Itulips repeats the Ideas of this Fool
MY COMMENT: Got trust? Fools getting giddy over this rally, think the crisis is over. The banking crisis might be over due to monetary expansion (aka Print Money and give it to the BIG banks until they are solvent). However, the REAL economic crisis is just getting started. How much longer do you think the US government can borrow $3 billion a day? How much longer do you think most states and local governments can go on with out major restructuring? Do you think that the restructuring will include massive hiring or lay offs and pension defaults or cut backs?
In Summary Crisis Flow Chart:
Financial > Economic > Social > Geopolitical
Read and heed:
You see the Keyensian model of constant inflation and Congress's constant Spend, spend on "bridges to no where" does not work with significant Asian production and massive savings that is deflationary.Something has to change and the druid cabal at the FED cannot change the circumstance despite all the helicopter drops by Ben. Do you believe the druids when they say "savings glut" in Asia?
So what do you invest in? Like I said before the stock market and real estate collapse. I am moving into "real assets".
itulips repeats what my groupies know:
Advice to readers: take advantage of the early 2009 Great American Fire Sale and go out and buy all the generators, chain saws, washing machines, fine linens, cars, and other durable goods you’re going to need for the next few years because by the end of 2009 most of the inventory may be sold through, many retailers will be shut down, and replenishment of stocks of the survivors will likely be meager; our models say that the goods import supply will decline more precipitously than the supply of money available to pay for them. That spells severe stagflation.
Read and heed the rest here: