A quantum algorithm, a 1920s roadmap, and $45 trillion on the move. Here is what Joseph Salvani sees coming — and why Wall Street isn’t ready.
Source: Joseph Salvani | JD Unfiltered | jd-unfiltered.ghost.io
Most market analysts will tell you to be cautious right now. Tariffs. Geopolitical uncertainty. Stubborn inflation fears. A Fed that won’t commit. The dominant narrative in early 2026 is one of nervousness, of waiting, of hedging.
I think they are wrong. Not just a little wrong — structurally, historically wrong. And the cost of that mistake, for investors who follow the consensus, will be measured in one of the most significant missed opportunities of the past century.
Here is what I see instead.
I am predicting 100% gains in U.S. equities in 2026 — and another 100% in 2027.
We Have Been Here Before
The closest historical analog to today’s economy is not 2008. It is not the dot-com bubble. It is 1921 — the beginning of the decade we now call the Roaring Twenties.
Consider the similarities. In 1920, the world was emerging from a devastating pandemic. Economic activity was depressed. Uncertainty was everywhere. Then something changed. A combination of new technology, surging capital formation, and a recovering consumer economy created the conditions for one of the most extraordinary bull markets in recorded history.
Today, we are rerunning that script. The pandemic was May 2020. The recovery began immediately after. And every month since then, the U.S. stock market has followed my algorithm’s predictions with a consistency I don’t think is coincidental — it is structural. I run my predictive model on a quantum computer. What it shows me, month after month, is a trajectory that maps almost exactly onto the 1921–1929 arc.
The Nvidia-RCA Parallel You Are Not Hearing About
In the 1920s, the transformational technology company was RCA — the Radio Corporation of America. It made the radios. It made the vacuum tubes that powered them — the semiconductor chips of their era. And then it moved into owning the programming, the content, the software of its day.
Does that trajectory sound familiar?
Nvidia makes the chips. It makes the hardware infrastructure that powers artificial intelligence. And now it is moving deeper into owning the software stack — the platforms, the models, the ecosystem. RCA and Nvidia are not just comparable. They are running the same play, a hundred years apart.
“RCA stock is doing the exact same thing Nvidia is doing — they made the radio, they made vacuum tubes, which are similar to semiconductor chips. They also owned the programs, which Nvidia is moving more and more toward owning the software component.”
In the 1920s, by mid-decade, almost half the population had a radio. By mid-decade in this one, AI will be embedded in the daily operations of most businesses and most households. The economic effect will be comparable — and the market effect will be too.
The Number Wall Street Is Ignoring: $45 Trillion
Here is the part of my thesis that I believe is the most significant — and the most underreported.
Right now, approximately $40 to $45 trillion in personal and institutional savings is sitting in countries where depositors are receiving inadequate or negative returns. Japan is the most extreme case. For decades, the Bank of Japan artificially suppressed interest rates. Japanese savers have effectively funded their government’s debt at near-zero interest rates while watching their purchasing power erode.
That is about to change. Not because Japan fixes its interest rate problem — but because technology has created an escape route.
Stablecoins — dollar-denominated digital assets — now allow any saver, anywhere in the world, to hold U.S. dollars and earn yields of 4 to 6 percent. Tokenized gold offers a similar return. For the first time in financial history, a Japanese retiree, a Chinese business owner, or a German pensioner can exit their domestic banking system and move into a dollar-denominated asset that pays a competitive return.
$1 trillion per year is already beginning to move. It is heading into U.S. stablecoins and tokenized gold. And it is just getting started.
The GENIUS Act — U.S. legislation establishing a regulatory framework for stablecoins — has just opened the floodgates further. The U.S. has essentially created a mechanism to absorb the world’s uninvested savings into dollar-denominated instruments. The macroeconomic implications are enormous and almost entirely absent from mainstream financial commentary.
Meanwhile, U.S. companies are redirecting investment back onshore. Foreign direct investment is accelerating. The combination of declining interest rates, fiscal stimulus from tax reform, and this unprecedented tokenization-driven capital inflow creates a growth environment unlike anything since the mid-1920s.
Gold Is Not What You Think It Is Anymore
I want to spend a moment on precious metals, because there is a widespread misunderstanding about what is driving their current performance — and what will drive them going forward.
The conventional narrative is that gold rises when inflation rises. But I believe inflation has been coming down. We are running below 2% on a real basis. So if inflation is not the driver, why am I predicting gold reaches $15,000 and silver reaches $2,000 within three years?
Because gold is no longer primarily an inflation hedge. It is becoming something different: a monetary savings asset. The same way you put money in a bank deposit, people around the world are beginning to hold tokenized gold — and earning a yield on it. That is a fundamental transformation in the role of precious metals in a portfolio.
“Gold and silver are no longer a hedge against inflation. They are becoming a monetary asset — no different than putting money in your bank deposit.”
Central banks have been accumulating gold for years. But the more significant shift is happening at the individual savings level, as ordinary people in yield-starved countries discover they can earn 5 to 6 percent on tokenized gold. When $45 trillion in savings starts flowing toward an asset class, the price implications are not incremental. They are transformational.
The Risks: China, Japan, and a Mid-Decade Reset
I am not predicting a frictionless ride. There will be a significant correction — I believe around mid-decade, somewhere around 2027 or 2028 — that will look and feel a great deal like 1929. I am estimating a decline of around 20%.
But here is what most people miss about 1929: even investors who held through the crash were still dramatically ahead of where they started. If you are up 100% and then down 20%, you are still up 60%. The correction matters. The trajectory matters more.
The trigger, when it comes, is most likely to originate in China. The Chinese economy is in far worse shape than official statistics suggest. Its banking system is under pressure, capital is leaving, and its export-driven growth model faces serious headwinds. Unlike Japan — which has the tools to reflate, even if painfully — China’s government faces a genuine structural bind. I believe the risk of a bank run on the Chinese financial system is real and underpriced by global markets.
Japan, by contrast, I expect to return to quantitative easing. Their long bond will rise, but I doubt they allow it to reach 6% before intervening. They will print their way back to stability at the cost of slower growth.
What Smart Money Does Right Now
Here is where I land:
Buy America. Go long U.S. equities, with a focus on the Dow Jones and the Russell 2000. The tailwinds are stacking: declining rates, tokenization-driven capital inflows, tax reform stimulus, and reshoring of foreign direct investment.
Accumulate gold and silver. Physical and tokenized precious metals are in the early stages of a multi-year repricing as they transition from inflation hedges to monetary savings assets. The window to accumulate at current prices will not stay open indefinitely.
Short Japan. The structural headwinds for Japanese equities are significant. Forced QE resumption is a matter of when, not if.
Avoid China entirely. The combination of capital flight, banking stress, and export vulnerability makes China the highest-risk major market in the world right now. There is no return profile that justifies that risk.
We are in the third leg of one of the greatest bull markets of all time. The question is whether you are on board.
The greatest mistake an investor can make is to miss a generational bull market because they were focused on the wrong risks. In the early 1920s, the people who stayed cautious missed one of the most extraordinary wealth-creation periods in financial history. Today, I believe we are at the same inflection point. The 1920s had radio. We have AI. The 1920s had post-pandemic recovery. So do we. The 1920s had a capital formation boom. We have tokenization. The pattern is not perfect. But it is close enough that I would not want to be on the wrong side of it.
Joseph Salvani is a financial strategist and independent market analyst. Along with Daniel J Walsh his business partner, he publishes economic commentary and market forecasts at JD Unfiltered. Watch the full video and explore more analysis at jd-unfiltered.ghost.io.
Originally published on JD Unfiltered — jd-unfiltered.ghost.io
