Sunday, February 9, 2020

The Borrowing Binge


If the fed is pumping tens upon tens of billions of dollars into the market everyday, how can stocks go down?

We are in the midst of a deliberate debt bubble. Investors are lining up and paying up for companies whose earnings are flat to going down. Huge multiple expansions on some companies who don't even make money.

Think TSLA here. This is what a classic bubble and a massive top looked like.



You have to recognize the signs to profit from these moves. Trade the market that's in front of you. I never owned TSLA. I came real close to owning it about 3 years ago when talking to a fellow patient at the hospital. It was trading around $250 but I didn't know shit about the company so I balked. Congrats to all those who made money.


The Debt Bubble is the biggest in the history of the world. This time it really is different. I really hate that tagline but in this case how can it not be true?

Do debts have to be paid back?

How does $1T a year get paid back anyhow?

More money is being pumped into the system to prop up this economy. They lie and tell us it's temporary, but it's not. 

If the economy is booming as they claim why is so much money being pumped into this Frankenstein debt market?

Focus on what they don't tell us and not what they reveal.

The stock market being high is just an illusion that everything is OK.

Trillions of dollars of debt being added with no end in sight.


From the Fed's own website, here we go again;


Repurchase Agreement Operational Details


Yes this time it really is different.

Don't we have a really different President this time around? One with business experience and nothing else.


How's that for different? All the while the fed is printing more and more money to throw at this debt expansion bubble that hyper inflates the stock market.

Oh yes! Stocks are going higher.

Where else are they going to go?

Larry Kudlow hints he wants fed to be bolder with rate cuts.

Job numbers were too good for that to happen.

Trump loves debt. He's the king of debt.

Welcome to the age of epic debt and a borrowing bnge the likes ofwhich the world has never seen!

Friday Market Close

Crude down 1%
Crypto - flat
Metals - flat

Buy some physical Gold
Buy some physical Silver

Buy Crypto currencies of your choice

Shouldn't we all be betting against this debt to protect our wealth?

What hedge are you using?


This Week's Posts

2 comments:

  1. Not just govt's but individual debt is way up. Too much tech stuff, too much student loans, too much eating out, not enough concern about who's going to pay back all the debt.

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  2. The world is pickled in debt. Its just insane. All debts get paid back eventually. I was never one much for debt besides our mortgage. My kids are always in debt and never listen to me. Sheesh!

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