"Surf's up"
Amateur hour is ending:
30 year Treasury yields with stocks:
When it has been too long since the last depression, the attention deficit forget what it's like to be in one. Always fighting the last war, they believe that the greatest threat is inflation. A belief that will get people blown up post haste.
Only one thing goes up in value during extreme deflation: Cash and ammunition. Two things.
ZH: Oct. 19, 2015
Deflation = Debt + Demographics + Disruption
WRONG.
Benign deflation derives from productivity enhancement.
Credit deflation is the pull forward of consumption leading to ponzi borrowing and insolvency.
Imported deflation aka. Pandora's Box:
Third World deflation is the most lethal form of deflation, because it's the importation of poverty, causing wages and jobs to stagnate and then decline and the obliteration of entire industries. Leading ultimately to a "revenue recession" (which is well underway), followed by credit deflation followed by Depression.
Today's corporate apologists forget that Mercantilist "Beggar Thy Neighbour" policy was predominant long before modern Ricardian "Free trade" economics. Meaning that "Free trade" isn't free, something they have to learn the hard way.
What everyone wants to know is when do I buy gold?
The impetus to buy gold, will only come via the "nuclear option" printing of currency and distributing it to the indolent masses. "Some people" need to believe that will happen next month. However, understand that the nuclear option will obliterate all paper assets ~ $200 trillion worth. And the almighty status quo world order along with it, as debts are inflated away. Therefore, it will only occur after the riots are well underway and ALL non-liquid assets have been severely devalued. Because when the average family realizes they are bankrupt and one paycheck away from extreme poverty, the shit will hit the fan. And politicians will remember who they actually work for. Hyperinflation inordinately benefits borrowers over lenders.
The status quo won't go away without a fight:
The current world order assumes this clusterfuck (below) is intact, therefore it won't go away overnight. It will require some amount of "inducement", because all fake wealth is predicated upon all debts being paid...
In other words, across the board, today's asset values are a figment of the imagination. Having some gold makes sense, but don't be surprised if it can be bought at $400/oz before it finds the floor. And pre-paying a mortgage at this late stage makes no sense - better to hold onto the cash. Hyperinflation is coming, but it could still be year(s) away...
"How much do I owe - $100,000? Here is today's pay..."
