QUESTION: Hello Martin,
Been a long time follower, met you finally in Phlly(I was the big white haired guy in the hallway at he end of the conference), which was wonderful by the way.
As we approach the Big Bang, I am tryig to be as liguiid as possible to follow the Capital Flows, so time is of the essence as Russia’s currency just imploded. Is this the true beginning of the dominoes beginning to move?
I was wondering since he US markets are the only true game going forward, do you think
the 30yr and 10yr will have a Phase Transition in Price before they really begin to sell/collapse when we shift from public to private? Looking to finalize some debt re-financing, and wondering if i should just pull the trigger and be done with it or wait just a little longer.
Also you have mentioned Depostiory Banks in the past as a place to store Physical cash, besides putting some in our matresses obviously.
Waiting on the books, the movie and your future reporting.
Stay good, stay healthy, and stay on the move.
It will be intresting to see if the movie ever now is shown in the US since “The N Koreans” just took over Hollywood. (Not buying it..)
ANSWER: Yes this is the dominoes starting to go. Of course the popular conspiracy theory is this is a CIA plot with Saudi Arabia to break Russia. Sorry. They have no such power. This is the major trend of how commodities crash just as was the case during the Roaring 1920s.
Custodian banks such as Brown Brothers and even Bank of New York are at least out of the “club”. Others have asked should they move their US equities offshore. Honestly, there is no place safer right now going into 2015 than the USA. Our high-flying banks will blow-up as always, but not until after 2015.75.
We are likely to see the first knee-jerk reaction be the traditional run into US bonds as the rest of the world starts to implode. The higher this pushes the dollar, the more defaults we will see in sovereign debt and foreign banks.
The dollar rally will push the commodities down as well, stocks up, and help create the bubble in the bond market for BIG BANG. That will be the real risk. The interesting aspect is the talking heads will continue to yell and scream about a stock bubble. They are blind to the debt bubble and have not even considered what happens when government bonds go off the boards. You can buy plenty of them on EBay. Very colorful reminders of how “gentlemen buy bonds” and lose absolutely everything.
We are really working full out. I have two editors working on two books simultaneously. I am in a made rush to get the computer systems up for January. When that is done, I can turn back to the publications.
The capital flows will be tracked on a daily basis and provides on the system. This will really be awesome – trust me.