I’ve thought long and hard about this and have concluded that I need to eliminate yet another industry from my investment menu: precious metals. Perhaps it’s coincidence, or not, but ever since the gold/silver trade has withered away, Jakegint has been scarce. I do believe Jakegint was sent to this site from space aliens to promote the purchase of gold/silver, since that’s what aliens do, apparently. My sources have informed me that he and his clan have mined all they could and returned to their planet, which would explain his absence.
It’s time to let go of the idea that American inflation is something to protect against. We’ve seen the Fed’s balance sheet triple over the years, yet oil and everything else hasn’t budged.
I will be selling out of EXK today and moving on.
What is investable?
That’s the trillion dollar question of course. We can’t buy dollar stores, like Dollar General, since the poor people don’t have enough money to buy vending machine toys anymore. The only venue left for real, sustainable, investment is technology. Innovation will not be limited to our borders and wayward economy. If something is good, it will sell on a global scale.
Domestically, I like housing and construction materials, but would prefer to buy a dip rather than chase up here.
Banking analysts are banging their African drums, while dancing around in their dashikis, praising the fundamentals of Citibank. I must be in some sort of parallel universe where this is actually true. I cannot get myself to invest in banks. It doesn’t appeal to me.
Semiconductors have become a perverted joke. They are nothing more than trading vehicles with zero leverage and pricing power for the long term. Companies like AAPL squeeze them. Biotech is gambling, unless of course you know some Doctors who are participating in trials who can offer you free advice in the form of data. That data can be used to guesstimate if the FDA will grant approval for their prospective drugs.
Restaurant stocks? Should I buy DIN because fatties love panned cakes or SONC because they just expanded their menu? Frankly, the only fast food joints worth anything are PNRA and CMG. Maybe retail names have a future, considering the wealthy have an insatiable demand for luxury. I am sure KORS is a terrific long term hold.
Decisions need to be made. I haven’t figured out where I want to put money now, but I know where I want to divest– and that is, good sir, to sell the shares of EXK and write it off along with the grace and presence of Jakegint.