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Thursday, January 10, 2008

Money: News

Ok, so this is what's going to happen:

You heard it here first!   The stock market is on extremely shaky ground.  This means that I, in essence, am expecting a huge crash, that will bring us below our August 2007 lows when the sub prime credit crunch crash occurred.  This should happen before June 2008, if not much much sooner.  This will be the precipitator to what we many call a deflationary environment.  Typically this means "depression" but though technically we may be in one, the powers that be, the establishment if you will, will call it a mere blip and a normal cyclic movement.  Regardless, in order to hedge against this scenario, you want to be a buyer of Gold/Silver.  The most preferred way to purchase this metal is to hold the physical.  

When this crash occurs, it will be a quick drop and the beginning of the end to a long, long market decline that will take the market to likely around 5000.  Now I don't know, the exact number, but can only technically identify it, reality can be much harsher.  Regardless, the fall, even if it doesn't quite reach DOW 5000 will take out a LOT of Americans and send them to bankruptcy, suicide and really change the face of the Americas...the empire, as we know it.

The immediate fall maybe a 10-15% initial fall, prior to June, which will then begin the long drawn out decline in the stock market, likely over several years...at least 3 yrs. I simply use the Great Depression of the 1920's as my historical backdrop.

Again, using this same precedence, the best investment to be in will be GOLD/SILVER.  These will rise exponentially relative to the fall in the market and rising even faster and further will be any security backed by Gold/Silver....ie, in the 20's it was Homestake mining, now it will be the likes of Yamana, Kinross Gold,....

Get out of Real Estate in the Western countries, ie, US, Europe....preferably all together unless you know it....if you know Argentina/Uruguay then go there and buy a farm.


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