| By Bill Bonner, Chairman, Bonner & Partners RANCHO SANTANA, NICARAGUA – The seas have gotten rough. The boat is pitching… rolling. It’s hard to tell which direction we’re going. Today, we grab the guard rail to get our bearings. Bad Rehearsal We’re on our way south… to Panama… and then to Salta, Argentina. Salta is not on the pampas. It’s on the high ground. There’s no ocean at our front door. Just desert. Miles and miles of desert. Argentina is a great place for us to explore the future. That is, all the bad ideas… bad policies… and bad politics that are now developing in the U.S. have been rehearsed for many years – 8 decades, to be more precise – south of the Rio de la Plata. Runaway spending programs? Check! Huge government deficits? Check! Uncontrolled money-printing? Check! Price fixing? Uh huh. Tariffs and subsidies to protect crony industries? Yep. Phony statistics, fake news, demagoguery, pandering? If they haven’t tried it in Argentina, it’s not worth trying. Crackpots, scalawags, grifters, and opportunists running the government? Hey… Argentina has them, too. Lots of them. And inflation? You bet. The current inflation rate is said to be 55%. How can you do business with your money losing value at that rate? How can you protect your family’s wealth? And what should you do now if you think the U.S. is headed down that same long, lost highway? That’s what we aim to find out. We’ll be giving you on-the-scene reports. Today, though, we are still looking at the storm-toss’d seas of the U.S… Buy the Dip? The Dow jumped 700 points on the open yesterday. By precisely 11:30 a.m… it was back in the red. A minute later, the S&P 500 went red, too. Then it began a climb… very, very slowly. It was only in the last few minutes that the Dow sprinted up to close over 1,000 points to the good. CNBC: Stocks rose sharply in wild trading on Tuesday as investors weighed the prospects of fiscal stimulus to curb slower economic growth stemming from the coronavirus outbreak. And today? As we write from the Managua airport, the Dow is expected to open 500 points lower! What to make of it? Are we in a bear market yet? Buy the dip? [Amazing 17-second Video Reveals Key to Tech Fortune…] Meanwhile, the dreaded virus continues its progress. ABC News reports from New York: Gov. Cuomo orders containment zone in New Rochelle, calls in National Guard The New York Auto Show was put off. Sanders and Biden both canceled rallies; neither wanted to lose supporters to the virus. Google told its employees to go home. Boston cancelled its St. Patrick’s Day parade. But amid all the lurid news, it’s easy to lose track of what is really going on… | Recommended Link | | A Sneak Peek Inside Apple’s 5G iPhone? 5G will really kick off on September 22. That’s when Apple is expected to release their first 5G iPhone. Details are scarce. But this video gives you a sneak peek at what’s inside. And there’s one piece that’s critical to these phones. Silicon Valley’s top angel investor, Jeff Brown, thinks one company behind this piece could be… | | | -- | Final Insult In our view, the U.S. empire began its downward slide in 1999. The glory days were over. Old… decrepit… and fearful… after decades of corruption, conniving, bad policies, and bad money… America slid by nearly every comparative measure. The final insult came last year when – despite breakthroughs in medical science and record spending on health care – life expectancies actually fell. At the start of the new millennium, the U.S. elite turned to the two worst possible policies to try to keep money moving in its direction: war overseas and inflation at home. So far, the inflation has been of the pleasant variety; it boosted prices for stocks and bonds… and enriched the elite who own them. [New 5G Device Revealed to Public for First Time] But it also enfeebled the economy and compromised its immune system. Debt grew – corporate, household, and government. Asset prices rose to the highest levels ever. And government finances deteriorated, with trillion-dollar deficits “as far as the eye can see.” Ol’ Humpty Dumpty had never been on such a high wall, in other words. It was only a matter of time until something knocked him off. A virus? An oil price war? A worldwide recession? We didn’t know what would give him the shove, but something would. And now… maybe something has… | Recommended Link | | Urgent Retirement Update – Involving More Than 200 Banks If you’re at or near retirement… And your retirement savings is with JP Morgan Chase, Bank of America, Wells Fargo, Citigroup, or any other major bank… You’ll want to pay close attention to this message. As you read this, a powerful global network – involving the U.S., China, U.K., Brazil, and 56 other nations – is at work making swift and significant changes to international banking regulations. And your bank could be affected. This urgent briefing details everything you need to know. While many Americans may be blindsided… If you act early enough, you could turn this into a huge opportunity. | | | -- | Certain Conclusion As we write, poor Humpty is squirming and struggling, trying desperately to hold on. And there are the feds. They are out with their ladders and poles – stimulus! – trying to keep him up there. In the short term, we don’t know which way it will go. But over the longer term, the conclusion is almost certain. Tax cuts, rate cuts, quantitative easing (QE), Repo Madness, equity purchases, Modern Monetary Theory (MMT)… the president even says he has some beautiful new trick up his sleeve… Helicopter money and every jackass scheme the hinds can come up with – they’ll try them all. But all the king’s horses and all the king’s men will only make things worse. Stay tuned. Regards, Bill Like what you’re reading? Send your thoughts to feedback@bonnerandpartners.com. MARKET INSIGHT: WALL STREET’S PROBLEM MEANS OPPORTUNITY Maria’s Note: Today’s insight comes from Teeka Tiwari, whose Wall Street roots go back a long way. Before he left the Street to become a world-renowned cryptocurrency expert, Teeka was the youngest VP in the history of investment-banking giant Shearson Lehman. Below, Teeka exposes Wall Street’s “MO”… and how you can use it to your advantage…
By Teeka Tiwari, editor, Palm Beach Daily Wall Street makes its big bucks by spinning up financial products like exchange traded funds (ETFs) and derivatives. Banks and brokerages can then charge transaction and management fees on these products. They’re the lifeblood of the Wall Street profit machine. But the fee machine is slowing down. Over the last decade, Wall Street profits from managed funds and security products have decreased by about 24%. Altogether, Wall Street saw $458 billion in assets flee into low-cost index funds in 2018. And we estimate it lost as much as $18.3 billion in fee revenue in 2018 as investors left active funds for low-cost funds. The point is: Wall Street is greedy… and its fund fees are shrinking like a snowman in summer. Add in the recent decision by major online brokerages to get rid of stock commissions, and you can see Wall Street has a big hole to fill in its income statement. That’s why Wall Street firms are salivating at the chance to get into the crypto business. As a new asset class with no defined rules yet, they can charge just about whatever they want for any new crypto-related securities they end up creating. That’s why established players such as NYSE parent company Intercontinental Exchange (ICE), Nasdaq, TD Ameritrade, and Fidelity Investments are all planning to bring crypto to their clients. These Wall Street firms are smart. They know the average investor isn’t going to bother with digital wallets and multiple exchanges to buy and store crypto. So they’ll launch products to “help” investors better navigate the sometimes complex waters of crypto investing. There are nearly 500 million stock investors in the world compared to 35 million crypto investors. That’s wildly bullish for crypto… Friends, hear me out when I tell you we’re at the very beginning of the biggest rotation from one asset class (stocks) into a new asset class (crypto) we’ve ever seen in our lifetimes. Wall Street’s presence will usher in a wave of demand for crypto assets the crypto market has never seen before. And I can tell you this: The world’s two largest cryptos – bitcoin and Ethereum – will be significantly higher than they are today. At the time of this writing, bitcoin is around $7,860 and Ethereum is trading at about $200. They’re up 9% and 54%, respectively, since the beginning of the year. But they have plenty of runway left. As the demand for cryptos grows, a tiny stake could turn into life-changing gains. – Teeka Tiwari P.S. The rallies in bitcoin and Ethereum will be nothing compared to what I see coming for the coins I call “The Final Five.” These are the last five tiny cryptos that a rare phenomenon will send soaring so high… $500 stakes in each could mint new crypto millionaires. To prove it, I’m doing something never been done before in the history of our industry. I’ve chartered a private jet and taken strict precautions to keep its destination secret. And on Wednesday, March 18, I’ll take you along to the hidden epicenter of this millionaire-making phenomenon during a special event from inside my private jet… I picked the No. 1 performing cryptos in 2016, 2017, 2018, and 2019. So if you want to make the biggest profits in crypto in 2020, you need to know the name of these five tiny coins. Click here to register. FEATURED READS World’s Richest Billionaires Lost $38 Billion on Monday
After both the Dow and S&P 500 dropped almost 8% on Monday, the world’s billionaires counted their losses. The top 10 totaled their losses for a combined $38 billion. Read on to find out who made the list… Gold and Bitcoin Are Still Poised to Boom
With stock market and oil prices plummeting, investors are seeking out financial safe-havens. Wall Street expert Teeka Tiwari explains why two niches – gold and cryptocurrency – are the best options for protecting your assets… MAILBAG Trump and respect for the U.S. presidency are on Dear Readers’ minds again today… More than once Americans have misjudged the president and his advisors. Perhaps it is best to watch what the President DOES than what he SAYS! Remember Trump is not a politician. He is a business-person. Stepping on toes and trying to drain the Washington swamp are being achieved with the other party crying foul. – Len C. Respect is earned, not gifted. Trump acts more as a dictator than a president. I respect your commentaries because what is important is not to make the president feel good about himself. It is to steer policymakers and citizens in the direction that serves the best for all of us. – Charles G. While another Dear Reader asks about the stock market downturn, following Bill’s insights over the last few days… I would like your opinion on what is the basic reason for the downturn in stock price. Is the market reacting to what needed to happen, or what is happening? Is this the start of a repricing of what is real money or is this just another fake move? – Larry B. Is it best to watch what a president does rather than what he says, as Len argues? Is respect earned, as Charles says? Write us at feedback@bonnerandpartners.com. IN CASE YOU MISSED IT… Will “Fundamentally Change the Way We Invest” – Billionaires The rich rarely reveal their secrets… But in a stunning new report from UBS, 200 of the richest families on earth – worth an average $1.2 BILLION – let slip they believe a new technology will “fundamentally change the way we invest.” “You can feel the electricity,” said one of the families. “It’s almost like what you felt in the 1990s with the Internet.” One of America’s most esteemed (and successful) investors recently met with 4 different billionaires. And he reveals the truth about this revolutionary new technology. As well as what it means for regular investors… See the billionaire’s “top tech” investment here… 
| 
No comments:
Post a Comment