Psalms 21:11 – “For they intended evil against thee: they imagined a mischievous device”
How Far Will Stocks Collapse
Investors are desperately hoping the Fed and central banks will come to their rescue. How far will stocks collapse is a question many want to know!
Central banks are determined to kill off inflation and with that the economy.
They will of course panic at regular intervals.
The Bank of England injected £65 billion to save pension funds and the market recently!
The 40 year down trend in rates finished in 2021.
As inflation rages around the world, the coming rapid rise in interest rates will shock investors.
But the heavy weight of the debt will lead to both private and sovereign defaults and sell offs which will put continuous upward pressure on rates.
A debt infested world has lived on borrowed time since the debt feast started in 1971 when Nixon took the dollar off the gold standard.
It is clearly no coincidence that stocks are up 54X and debt 55X since the early 1970s.
Stocks only went up because printed money was handed to investors to inflate the economy and asset prices.
Conclusion
When the gold window was closed, the US dollar lost 98% of its value in real terms.
Every time the Feds raise rates, more money is taken away from the economy.
Thus, the debt explosion has created inflated values (fake evaluations) which will deflate much faster when the debt implodes (crash).
When money runs out, like it did in 1971, there is only one way to stay in power and that is to buy votes.
US Federal debt has increased every year since 1930.
The dilemma of creating money out of thin air of such a magnitude is that it leads to debts that can never be repaid.
The government knows they can never repay this debt; thus, they will continue on the same path.
Do you see there is no way out of this unless you plan ahead? Both price and earnings will decline.
The inevitable consequences are economic and financial collapse.
Now is the time for wealth preservation and protecting what you have.
Better put your money into tangible assets!!! And hurry up while your at it!
DISCLAIMER: I am not a financial adviser. This site is for educational purposes only. It is imperative that you do your own research. I am sharing my opinion from personal research and experience with no guarantee of gains or losses on investments, finance etc.
AFFILIATE DISCLAIMER: this post contains references to products from our advertisers. Therefore, we may receive compensation when you click on links to those products at NO additional cost to you.
