I have written ad nauseum about the hopeless economic mess that we find ourselves. We all know about the ballooning debt and the derivative mess caused by opportunistic and irresponsible bankers. However they were not acting alone, they acted under the direct knowledge and support of our federal government and other governments around the world. We are is such big trouble the mess is so huge that its is bringing the world economy to a standstill and his own verge of collapse.
So now these very same banks, bankers, financial sector companies are on the hook for massive losses for these derivatives that they created which made them huge profits in what we can call a pyramid type scheme. For this reason and only this reason, under the auspices of this “too big to fail doctrine” so to speak. A saying created during the during the 2008 financial crisis, central banks globally are in the process of manufacturing or printing money which will essentially get all the banks in the financial institutions off the hook. They will get away Scott free, and as usual the average citizen will suffer, as we will all live in a super inflationary environment.
And so I may sound critical, but I'm not. I don't think anyone has a solution for this gigantic mess. I am only critical of how we got here. I am critical of the failure of our president and our politicians to not protect our citizens by NOT putting the people responsible for this mess in jail. Where is the justice they speak of? They put a guy who has there priors for selling nickel bags or less sometimes in jail for 25 years. The guys who steal billions of dollars from ordinary people and pretty much put the entire world economy on its knees, they get a bailout and huge x-mas bonus, WOW. It's so ridiculous to think that this is actually happening and they are gonna get away with it.
Okay that's enough complaining. What should be done to protect ourselves and how can we make money in this environment. I firmly believe that soft commodities, there are many AG commodity ETF’s that are great for this purpose, simple basket is DBA where you get enough exposure. Then you have specific Ag plays, I think sugar, cocoa are good, oil (USO), and in physical metals (not ETF’s GLD or SLV). Stocks across the board especially tech will also move higher but their value of the paper will do erode overtime due to inflation.
I will put up some charts later today. Happy Monday
