SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : Sioux Nation
DJT 14.41+0.1%Jan 5 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Wharf Rat who wrote (323919)3/24/2020 12:02:24 AM
From: Sun Tzu  Read Replies (1) of 362074
 
That's a good plan. But before you get there, you want to be in gold.

There is a long wave cycle upon which smaller waves ride. The small waves are the regular business cycle and recessions. The long wave is deflation/inflation which at extremes can become depression/hyperinflation (or stagflation).

We just finished our deflationary period. Go lock in whatever interest rates you can, because once this mess is over, you are unlikely to see such low rates again. Then, once the economy stabilizes (say a year from now), run - don't walk - to gold. Why? Because while the central banks will want to curb inflation, the policy makers will not let them to because the recovery will be slow. As a result inflation will be rampant.

Here's a book that examines the great waves through out history (I have it somewhere - if only I can find it). amazon.ca It is a good historical examination of the subject and does not try to build a stock trading method or tea leaves reading schools. It simply examines how prices have changed through out history and what we can learn from it.

A more practical read is Ray Dalio's Big Debt Crises - Bridgewater Associates, LP It is instructional, if boring. Dalio touches on those concepts in an animated narration (linking below). Which is relatively short and accessible. But it is not prescriptive like the Big Debt paper.

Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext