PreferredStonk

Why the Storming of the Capitol doesn't matter to the markets

Long
AMEX:SPY   SPDR S&P 500 ETF TRUST
On the ground, it feels like a momentous day in history. Since this time last year we've had a third impeachment, electoral primary upsets, viral pandemics jump species to infect humans, months of protest, one of the strangest presidential elections in history, and now the Capitol be stormed by partition demonstrators in a manner thusfar unseen in the United States, and for the first time since 1814 with the pesky brits did it. I couldn't be prouder to be an American. And yet, the markets didn't seem to care much. Come to think of it, the outcome of the Georgia senate runoffs didn't matter either.

But I'm going to clue you in on a little secret. Had the demonstrators/insurrectionists focused their efforts just a few blocks away at the Eccles Building that houses the Federal Reserve the market would've crashed. Why? Well that might interfere with the precious money printing.

That's right, this is another post about how our currency is being manipulated, the fed is going to end the stock market, etc, etc.

I can tell you with a straight face, don't short this thing. It's too dangerous. Yes, it's a bubble. But don't try and short anything. Consider every sector bullish. The money supply is just that high.

We're gambling with the USD and the global currencies. This is a dance with the devil, and the risks are catestrophic. For over a decade the FED has funneled money to the rich in the form of "Quantitative Easing" (fancy-talk for asset inflation), by taking their titles unwanted debts and covering them. Like a rich, trust-fund daddy's girl, the wealthiest have been able to skate by, pawning off their mistake to the Central Bank.

Except the FED doesn't pay with their money. They pay using everybody's money. They don't just pay with the money we have now, but money that we will have later. It's a good grift.

What do the wealthy do with their newfound freedom (from bad credit)? Well they invest it, of course. Some go off and create more bad debt with more crappy loans. But in this day and age most goes towards the great stock bubble of the 2020s.

I'll cut to the chase.

Here's what you need to know. This bubble is massive. The best thing in the world would be for this thing to pop. But, it probably won't anytime soon. If you want to hedge against inflation, start gambling now. In fact, you've already started by having a savings account; except the FED is placing the bets, and you can never win. But you might lose and lose big.

What to do Beware of those that say that the sky is falling when really the ground is rising. This is a Noachian deluge of cash we're riding, so don't try to drink this ocean. Ride it. We're in, what I like to call, a "2 call 1 put" market. It only goes up, until it's in a major correction.

Meh.
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