Wednesday, 18 June 2014

Chicken farming for investors.....................from Rico

I'm looking at the Zimbabwe 100 Trillion Dollar note on my office wall right now while humming the depression-era tune "Buddy can you spare a dime" (only I'm thinking trillion instead of dime)..

- It's a reminder of what Central Banks can do for us all, and of what is coming for us all.

The Financial Times did a story over the weekend titled "Central Banks shift into equities."

- Central Banks have now invested about $29 trillion dollars into global equity markets since roughly the beginnning of the financial crisis in 2008-9. This is WHY stocks are UP while everyone else reported has been a seller.

Twenty nine trillion dollars doesn't get any attention today. Remember when a million was a pretty big deal? A billion? Even a mere trillion doesn't raise an eyebrow now.

- People are numbed by these massively huge numbers, and many of them are too dumbed-down to understand the numbers...much less what their significance is.

Consider that the total value of ALL stock markets on the planet is about $62 trillion dollars.

- Understand that this means Central Banks own nearly 50% of ALL stocks on earth today. This means half of all private business. Half.

Since the markets are only where they are by reason of this unnatural and artificial buying, ask where they would really be priced at IF they were on their own and unmanipulated?

- How much lower? 50%?

Then ask if that much money can be created by the Central Banks, then what is that money really worth?

- The current US Dollar now has the purchasing power of a 1913 penny. A $100 note then only has the purchasing power of a 1913 dollar. This is why everyone today carries $20's...they are today's 25-cent pieces only they fold, an are no longer made from real silver.

This is what things are all about today. Let this sink in.

- This is exactly why I'm looking at the completely worthless Z100 trillion Dollar today. It does not cheer me one bit to also see that the total US debt is around $60 trillion dollars, either. What cannnot be paid back, will not be paid back. It is a reminder of the answer to the question "How did you go broke?" A: Slowly, then all at once.

It would be a good idea to have some sort of insurance policy in the event this system comes crashing down.

- Some chickens might be a good idea.

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