My right hand men, ChessnWine and Ragin Cajun (happy b-day), nailed this move from the beginning, unlike me. They saw the news, got scared, obeyed their rules, and went to cash. The result: they can buy my margin liquidations, if I was unfortunate enough to have one.
My position right now is a very dangerous one: a game of chicken against the bond vigilantes, mathematics and reason, siding with the unknown hand behind the Treasury curtain. I know people like to believe it’s all about Ben and Tim, but it’s not. Those two ham and eggers are spokesmen for the US government and her interests, nothing more. Now if I was basing my positions solely on reason, mathematics and all of the other things, I’d be short stocks now.
After all, the writing is all over the wall, is it not? Deflation is sucking the life out of the global economy. High quality paper are hardly yielding anything. The US government, as fucked as it is, can borrow money for 10 years at less than 1.6%. How cool is that? The reason they are able to do that is because of bank runs. All of the money is fleeing weak balance sheets in favor of strong: German, Switzerland, Denmark, UK, even French.
What’s especially odd about this rout of Europe is the immunity of France. Last year French yields spiked because of their exposure to Italy. However, now, they are tanking. What’s changed? The only explanation: the market is trying to price in the collapse of the Euro, meaning France will not bail out anyone. We might be entering the end game in Europe, providing policy makers do nothing.
Should they do nothing?
Under a do nothing scenario, stocks will crash. Economies will grind to a halt and life as you know it will change. I am fairly certain, under a full retard scenario, the markets will close, possibly for months until shit gets figured out. They’d have to do this in order to avoid bank runs.
My advice to you: keep the majority of your net worth out of the market. It’s okay to play with stocks, since we all like to gamble. But it won’t be funny if your net worth gets halted for trading for 6 months, while you starve to death in your fucking Mcmansion. This advice applies to short sellers too. Your fantastic tailwinds will be kept away from your purse, if the markets go on holiday.
I’ve always kept ample amounts of money and coin in my personal safes, one at home, two others in safe deposit boxes. Also, be sure to keep a few months worth of food in your fucking garage, and a loaded pistol under your bed to fend off the zombie hordes.
Don’t laugh at the shit I am telling you now: be very afraid, fuck face, for the end of times is no joke.
In short, this is all tracking in accordance to the Mayan calendar, in the strictest of ways. Now that you know how the story will end, prepare for it.
BEND THE KNEE!!