I wrote this in my last post of 2020
“I now like cash. I’m putting more of that in my portfolio. Commodities like gold and oil look attractive as well.”
Well, two out of three isn’t bad. By the way, I sold all my oil stocks.
I also wrote this:
“The levee will break sometime in 2020. I will tell you the exact day two weeks after it happens.”
I’m telling you now. The levee broke. About two weeks ago.
The final notice came today:
“The US central bank massively accelerated its rescue plans Monday by announcing unlimited bond-buying, three new credit facilities and an upcoming Main Street lending program.”
In the face of the greatest liquidity crisis in history, the US Fed has signaled there is no limit to the dollarization of debt.
Yes, the Fed gave itself permission to print unlimited amounts of money.
Is it going to be enough to stop the bleeding? I guess we will find out in the next few months.
Dumb Money Confidence indicators from various outlets are reaching all-time lows. This means that novice investors have all but thrown in the towel.
This past week saw the most down 90% down volume days in the history of the exchange.
And the ultimate gauge of sentiment – google search and news outlets – are writing negative and “bear market” articles near the record 2008-09 levels.
Now, this is going to be painful. And difficult to digest.
I don’t give investment advice. I don’t run a paid advisory service.
But Marin Katusa has been in the business for more than 10 years. He advised his subscribers 18 months ago that the shoe was going to drop.
He explains that the worst is not yet over and we are at that critical moment. With mass panic and fear, blood is now in the streets.
Over the last two decades, Marin has made a fortune investing in precisely these types of markets. When everyone else running away, he’s making big, bold bets.
He spent all weekend trying to put together a video to make sense of it all, and what happens next. He’s kindly let me share it with you
Here it is.