I wonder if the US is about to go into a death spiral of a decline, like we have never seen before. The kicker will be the wave of small businesses that are about to declare bankruptcy. But the deeper malaise is that there is no longer any real consensus about America anymore, but instead a tremendous amount of animosity and division. Could it all just fall apart? I’m beginning to think so. Don’t think this new government in Washington has the leadership to prevent this — if anything, the divisions will just get even more emphatic.
And the economy? It’s really a colossal Ponzi scheme — with the Federal Reserve propping everything up with “money” created out of thin air. Like the wizard in the Wizard of Oz. But what happens when we all look behind the curtain and see the scam? What happens when our credulity gets punctured?
You can almost see this simmering fear of near term chaos in the markets — lots of people are putting huge amounts of money into such alternative investments as gold/silver and bitcoin. They sense the wheels are about to come off and want to protect themselves with these — they think — safe-haven assets.
People in the stock market are waiting for the federal government to put out another multi-trillion dollar stimulus bill, and when that is first announced, the stock market will go on a tear. I think that’s when they hand you an opportunity to get out before the music stops. Because when the music does stop, there won’t be any chairs — there won’t be any safe places to hide — perhaps ever again in one’s lifetime. And economic collapse will surely lead to civil collapse, like the Great Depression, only much worse.
Henry's Views 