Collapsing Stocks or A Head Fake?

The fact that Stinky Joe is hell bent on convincing everyone that our collapsing stocks is Putin’s fault raises some sobering questions.

Questions like:

1. Is this really all Putin’s fault?
2. Or are stocks taking a beating to take the focus off the bond market?

Huh?

Wait!  What’s going on in the bond market?

Well, for the last two years we’ve been pounding the table about the bond market being in a global sovereign debt crisis.

(Read:  Negative Yielding Bonds Surpass $17 Trillion HERE)

And it’s funny how – even in the light of day – things have a tendency to sneak up on you.

Example:  This may be hard to believe but the 2-year Treasury Note has gone from a yield of 0.17% (In August) to 1.6% this week.

In Plain English, that means that the yield has increased almost ten-fold in the last six months.

Why is this important?

Glad you asked.

Rising interest rates destroy existing bond prices.

And that means the day is coming – probably sooner than later – where the “solvency” of the almighty Fed will be questioned.

In case you missed it, in 2020, the US Government was spending more on debt interest (annually) than the total combined military budgets of China, Britain, France, Russia, Japan, Germany, Saudi Arabia, India, Italy, South Korea, Brazil, Canada, Australia, Spain, Turkey, and Israel.

Read that again.

And that doesn’t factor in the Trillions of new debts added by Stinky Joe in 2021.

Head Fake for Collapsing Stocks

So far 2022 hasn’t been so good for the stock market.

And the narrative you’re hearing is designed to keep you focusing on collapsing stocks…Courtesy of Putin.

Don’t take the bait.

The stock market is not going to collapse.

And you should consider it another “head fake” for several reasons:

1. The real damage is being done in the bond market
2. Blaming Putin will accelerate the movement of money – especially in Europe – to move towards stability
3. And the US is still the most stable place on the planet

Ironically (or NOT) a 2-year treasury yielding 1.6% looks like a bloody steak to a pack of starving wolves (no pun intended).

Translation:  While everyone panics over a stock market collapse, the smart money – billions upon billions – will seek safe haven in the US.

This will ultimately bolster our market. 

And it will reassure us that we’re still in The Most Hated Bull Market in History.

If you took our advice in the November AND December newsletter – where we emphasized the need to RAISE CASH (HERE) – then get ready to take advantage of some opportunities of a lifetime.

And if you’re not yet a subscriber of our “…In Plain English” newsletter, what are you waiting for?

(Go HERE Now)

Share this with a friend…especially if they’ve been waiting for the market to crash.

They’ll thank YOU later.

We’re Not Just About Finance.

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