Loading ...many people have left the debt market seeking higher returns in the equity and real estate markets. as interest rates rise, that same fiat will leave real estate with its taxes, maintenance and upkeep. it will also leave the risk of equity and back to safer debt. the problem is, it really makes no difference. when the reset comes, trillions in fiat will be chasing safety. real estate and stocks will be pitched if favor of bonds which will become worthless by default . real estate will go to cash flow value with no “betting on the come”. stocks will crash to far below book value until a takeover shows value. the velocity of fiat will slow to a crawl since most of it will be wiped out in a deflationary crash.
fiat in banks, stock brokerages and other institutions will be lost completely. the fdic can’t even bail out bank of america now. if farmland goes to its current cash flow value, a drop of 70% is in the cards. you will not have any control of resources not in your physical possession. the market , government, or those inside institutions will steal every last dime and nothing will happen to them. the current clinton foundation is a perfect example of international money laundering and theft. does any reasonable person think they will get help while a worldwide shitstorm is going on? local, county, state and federal government will be raising taxes to phenomenal levels to maintain current levels of incompetence.
the federal reserve announced it will start selling its massive inventory of bonds. I’m trying my best of figure out who is going to buy those bonds knowing rates are headed higher. the government may strong-arm the banks into buying some but the days of forcing foreign governments to buy them is over. how will bonds maintain value when everyone is selling? how will the governments sell new issues?
the perfect storm continues to evolve. when the reset comes and the parasites get cut off, they will feel entitled to take whatever they want. gangs will form and get larger as larger targets are needed for resources. some of those gangs will operate under government orders. corruption will be rampant. think bill and hillary on steroids with no control. current illegal drugs will be legal and taxed so governments can operate at peak control.
i hope this post will encourage others to stack more phiz. my wife continues to question my sanity. i simply ask her what she purchased that still has value?
rno