Economy

While everyone continues to focus on stocks, a much larger, far more important situation is brewing in the single most important asset class in the world. That situation involves the USD and the US Dollar Index.

Have Americans been living above their means these past 37 years (since 1980)? I think so. We have borrowed and borrowed (and borrowed) to maintain our prosperity and our exceptional lifestyle. Much of this at the expense of the world’s citizens who provided us the goods. America has 4.4% of the world’s population yet we consume some 23.6% of Global production. How can this happen? Why this favoritism?

America’s national philosophy has become relying on debt to pay today’s expenses. Nothing’s easier than borrowing money, especially at super-low interest rates but believing that debt has no consequence, that the status quo is permanent, that all the promises based on soaring debt can be paid—it’s all an appealing fantasy. Believe at your own risk.

If you’re from Canada and the U.S., chances are you’ll never see market capitulation. However, you’ll likely see many corrections, and maybe even a couple of crashes. Here are the definitions of the meanings of the words: correction. crash and capitulation.

Today, we live with a rigged international cyber trading system. Digital money allows our Central Banks (who can create these digits out-of-nothing) to trade our markets and rig prices at will. Why do you think that our general stock markets continue to go up and up as dire international events happen daily?

My sense is that most investors and traders today are grossly deceived about the nature of reality. REALITY will prevail eventually! Isn’t it time to get REAL? I am.

The system is the problem and few comprehend this issue [and, unfortunately,] few desire to comprehend this issue [so] we will see no meaningful change until the economy turns down significantly. Watch and wait is all we can do for now!

This scheme of revolving credit will end badly when the pigeons come home to roost; when the piper has to be paid; when we find out that there is no such thing as a free lunch. It is just a matter of time before we become the last of society’s ‘greater fools’ and, as such, are the ones required to pay the inevitable price of achieving future economic and financial stability.

General increases in prices, which follow increases in money supply, is an indication — as it were — that the erosion of peoples’ purchasing power has taken place...It is not the symptoms of a disease, but the disease itself, that causes the physical damage.

Do our elected leaders comprehend the ‘nature’ of our money today? I don’t think so! We need to educate all our leaders and the public on what is happening today within our markets!