Options, futures contracts, shorting equities, buying blue-chips with a long term outlook, there will be massive arbitrage opportunities with conversion instruments such as convertible bonds etc. An astute investor can still make some cash but I fear that will just become general market sentiment, which in turn makes it a bit of self-fulfilling prophecy...
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The Coming Great Depression
- Thread starter Arthur
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Options, futures contracts, shorting equities, buying blue-chips with a long term outlook, there will be massive arbitrage opportunities with conversion instruments such as convertible bonds etc. An astute investor can still make some cash but I fear that will just become general market sentiment, which in turn makes it a bit of self-fulfilling prophecy...
Seriously just take a step back and have sober look at things. Things are no where near as bad as they're made out to be. Bad news is good news because it sells. As a forumite said earlier nowadays giving up DSTV and your PS3 constitutes a depression
And buildings? We've almost let out all the offices in our place. Another one is about to sold. Although might make a loss on it. Buildings in Aus still haven't be occupied though
And buildings? We've almost let out all the offices in our place. Another one is about to sold. Although might make a loss on it. Buildings in Aus still haven't be occupied though
If the details of the OP come to fruition then property is the last asset class you want to be exposed to. Hyper-inflation coupled with liquidity problems spells problems for property...
Retro
Senior Member
Can you explain that a little more simply for us noobs? I was planning on buying a house next year.
Like Alan said, take a step back and look at what's happening. They had interviews on tv a while ago with people losing their houses in the US. People with over 20 credit cards and debt going up to $100 000. Now really, if you live like that, prepare to take the fall. It's not a case of just everyone losing their houses.
Keep your debt in order and you'll be fine.
Can you explain that a little more simply for us noobs? I was planning on buying a house next year.
Good luck getting the banks to play ball. It's like dealing with Telscum
Exactly. Seems personal responsibility has been left totally out the equation. Live above your means and you will take a severe hit down the road. It's not rocket science
I just found out that one of the guys interviewed on the Obama's Deception documentary is a guy by the name of Gerald Celente, he is a trend forecaster. In the documentary he warns us of Obama and Obama's bankers. He has a good track record of correctly predicting past events.
Here's link to his latest prediction for this year http://www.lewrockwell.com/orig10/celente1.html
I don't know about you guys but I'm going to take his word for it, he might be right.
Link to his website http://www.trendsresearch.com/index.htm, you'll see him on the video on that website that it's the same guy who's on the Obama's Deception movie.
Maybe he is indeed right and we are all going south.........
Here's link to his latest prediction for this year http://www.lewrockwell.com/orig10/celente1.html
I don't know about you guys but I'm going to take his word for it, he might be right.
Link to his website http://www.trendsresearch.com/index.htm, you'll see him on the video on that website that it's the same guy who's on the Obama's Deception movie.
Maybe he is indeed right and we are all going south.........
Chicken Boo
Senior Member
Can you explain that a little more simply for us noobs? I was planning on buying a house next year.
read up on what happened to the US property market last year
and may I add, keep your job. You can prepare however you want, but when/if massive job losses start happening then even your cookie can crumble rapidly.
Arthur
Honorary Master
There's a historic opportunity coming to invest in gold and other physical asset hedge/stores. As the stimulus packages work their way through into the economy, gold will drop quite steeply. How far down it will go is hard to say (I'm no expert) but perhaps $800, or even lower ...
But this cannnot last.
Bear in mind that a fundamental strategy of the US monetary czars is to ensure the greenback remains the global currency of reserve. For this reason there have been large scale interventions over many years to hold down inter alia the gold price.
But the fiat-money 'stimulus' frenzy is unprecedented and cannot fail to unleash massive inflation. This is utterly unavoidable, though in the short term interventions and manipulations will give the appearance that the recession is bottoming out. It is not. Indeed, the 'stimulus' packages are fuel on the fire - politicians expropriating tomorrow for today's short-term gain (a la Mugabeconomics).
So, as gold weakens over the next few months, do not be fooled. Take advantage and buy whatever you can afford. When USA inflation starts to rise rapidly, there'll be a flight from the dollar, and also into gold. Some are predicting $4000-$6000 in the next 18-36 months.
BTW, the coming Depression will not be a simple deflationary depression as was the 1930s one. Assets will deflate (such as property), but there will be strong monetary inflation, which will mask the depression and fool most people for quite a while.
Think for yourself: when inflation is running at 10% and the economy is growing at 5% in nominal terms, you are in reality seeing a contraction of 5%. This is how inflationary recessions mask what's really happening. That's the kind we face in the coming years.
But this cannnot last.
Bear in mind that a fundamental strategy of the US monetary czars is to ensure the greenback remains the global currency of reserve. For this reason there have been large scale interventions over many years to hold down inter alia the gold price.
But the fiat-money 'stimulus' frenzy is unprecedented and cannot fail to unleash massive inflation. This is utterly unavoidable, though in the short term interventions and manipulations will give the appearance that the recession is bottoming out. It is not. Indeed, the 'stimulus' packages are fuel on the fire - politicians expropriating tomorrow for today's short-term gain (a la Mugabeconomics).
So, as gold weakens over the next few months, do not be fooled. Take advantage and buy whatever you can afford. When USA inflation starts to rise rapidly, there'll be a flight from the dollar, and also into gold. Some are predicting $4000-$6000 in the next 18-36 months.
BTW, the coming Depression will not be a simple deflationary depression as was the 1930s one. Assets will deflate (such as property), but there will be strong monetary inflation, which will mask the depression and fool most people for quite a while.
Think for yourself: when inflation is running at 10% and the economy is growing at 5% in nominal terms, you are in reality seeing a contraction of 5%. This is how inflationary recessions mask what's really happening. That's the kind we face in the coming years.
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