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Inflationary Holocaust Survival Guide
The following is an
excerpt from our FREE report detailing how to prepare one’s portfolio for the coming
Inflationary Holocaust.
Are you ready for the
Inflationary Holocaust?
As I’m sure you’re aware,
starting in July 2007, the financial markets entered one of the most severe
crises in history. And as the Crisis unfolded, the Feds (the Federal Reserve,
Treasury Department, and the Federal Government) tried to prop up the financial
system with numerous interventions. A brief recap of their moves are as
follows:
- The Federal Reserve cutting interest rates
from 5.25-0.25% (Sept ’07-today) - The Bear Stearns deal/ Fed taking on $30
billion in junk mortgages (March ’08) - The Fed opens up various lending windows to
investment banks (March ’08) - The SEC proposes banning short-selling on
financial stocks (July ’08) - Hank Paulson gets a blank check for
Fannie/Freddie but promises not to use it (July ’08) - Hank Paulson uses the blank check with Fannie/
Freddie spending $400 billion in the process (Sept ’08). - The Fed takes over insurance company AIG (Sept
’08) for $85 billion. - The Fed doles out $25 billion for the auto
makers (Sept ’08) - The Feds kick off the $700 billion Troubled
Assets Relief Program (TARP) with the Government taking stakes in private
banks (Oct ’08) - The Fed offers to buy commercial paper
(non-bank debt) from non-financial firms (Oct ’08) - The Fed offers $540 billion to backstop money
market funds (Oct ’08) - The Feds agree to back up to $280 billion of
Citigroup’s liabilities (Oct ’08). - $40 billion more to AIG (Nov ’08)
- Feds agree to back up $140 billion of Bank of
America’s liabilities (Jan ’09) - Obama’s $787 Billion Stimulus (Jan ’09)
- QE
lite (August ’10) - QE 2
(November ’10)
And that’s a BRIEF recap.
Everyone knows the US has
a debt problem. And there are only two ways to deal with a debt problem.
1)
Sell off
assets to pay off debt
2)
Inflate the
debt away
The Feds chose Option #2. They chose to try and
inflate away our gargantuan debts. We’re not talking about millions or even
billions of dollars either. We’re talking about TRILLIONS.
Now, $1 trillion is a
tough number to get your head around. Here’s a little visualization to help
you…Imagine you had a stack of $1,000 bills. $1 million would be a stack eight
inches high. $1 billion would be over 800 feet high (think of the Washington
Monument). And $1 trillion would be a stack 142 MILES high.
You simply cannot throw
this kind of money around without creating inflation at some point. Indeed,
from the looks of the headlines, it’s already hitting now:
Food
Prices Hit Record High. What Now?
On Wednesday, the UN's Food and Agriculture
Organization announced that food prices for basic commodities had hit record
highs last month – above and beyond the soaring prices in 2008 that sparked
worldwide protests and food hoarding from Haiti to Egypt to the Philippines.
Though the news has yet to evolve into the kind of crisis that unfolded that
year, this round has not been without incident. In November, in China rioted in
their cafeteria over the increase in school lunch prices (our story on that
here) and just yesterday, protests broke out in Algiers after sharp rises in
the price of milk, flour and sugar in Algeria.
http://ecocentric.blogs.time.com/2011/01/07/food-prices-hit-record-high-what-now/#ixzz1Ce48SybA
Money Rates in Developing Nations
Rise Most Since 2008 on Inflation, Egypt
Money-market rates in developing nations are
increasing at the fastest pace since 2008 as central banks from China to Brazil
lift borrowing costs and banks hoard cash on concern unrest in Egypt may
destabilize the Middle East.
http://www.bloomberg.com/news/2011-01-30/egypt-spurs-jump-in-developing-money-market-rates.html
High
Inflation Seen as Threat to India’s Booming Economy
In India, fears are growing that runaway inflation
could slowdown the brisk growth of its economy, which was among the fastest to
recover from the global financial crisis. In particular, a huge rise in food
prices has emerged as a major worry for a country with millions of poor people.
However, all is not lost.
I’ve identified three investments that should all soar as the inflationary
storm takes hold. I’ve detailed all three in our FREE Special Report.
To continue with the rest of our FREE Inflationary Holocaust Survival Guide, swing by http://www.gainspainscapital.com and
click on FREE REPORTS. This 14-page report details not only what’s likely to
come, but how to prepare for it. And it’s all 100% FREE.
Good Investing!
Graham Summers
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All salesmen on ZH go fucking die. Enough with the SPAM.
That's why Obumer is getting rid of NASA. He can stack $1 bills to the moon, we just climb there. There's some budget savings there somewhere
This is funny....See how big $1Trillion really is:
http://www.pagetutor.com/trillion/index.html
hero
Deflation, inflation, deflation, inflation, yadda yadda yadda...
Who here will give some Bernank Dollars to Graham Summers for his advice?
Crickets..... TD, why you let this crap in?
I’ve identified three investments that should all soar as the inflationary storm takes hold.
What a pile of bollocks
The Fed has chucked over $1 Trillion into the ring since 2007 and has got sweet f.a. back. Stocks are down 20% since '07, property is down 35%, car sales are down, credit is down worldwide $2 Trillion, consumer credit is down $160bn, companies are going bankrupt, unemployment cues are getting longer, US States are about to go bankrupt, pension funds, hedge funds, you name it it's all going implosion shaped, not inflation shaped.
Whatever the Fed wants it gets the opposite biting it in the arse. So this isn't going to be a blowing up of more credit bubbles and a Fed-led inflation mushroom cloud. The evidence is already patent, it's a deflation shaped imploding black hole (aka Japan and 1929) just what the Fed's not expecting.
Deflation Bitchez
Here's another million-billion-trillion comparison:
Let's say hyperinflation sets in and you get a raise...your boss is going to start paying you $1 per second. That's a dollar every second, every minute, every hour of every day, 24/7.
It would take -
11-1/2 days to accumulate $1 million
31 years, 8+ months to accumulate $1 billion
31,709+ years to accumulate $1 trillion
fuck, bring it on. i'm tired of waiting and watching the elite gloat.
I don't know if people realize the size of the problem that we as human
beings are just about to face.
What is the debt, $172K per person?
The joke's on them... I ain't got it!!
+++
if I got it or not, I'm not pay'in. Not my debt!!!
All is not lost?!?!?! You have to fucking joking!!! Three investments????? WHAT??????????????
sellada tbtizzzer
The ADL will be in contact with you soon. They don't like anyone using the holocaust terminology since they feel they have a copyright on its usage.
I dont give a darn. I is bankrupt all ready anysway.
Is that you buttwheat?
Thanks for the spam
Well right off the bat you've presented us with a false choice: Sell or inflate.
Those are the only two ways you see of handling debt?
Really?
Something of an exaggeration if a 1000 bill is the same thickness as a $1. A Trillion $ would only be a stack about 68 miles high by my calculation. Do the math guys.
Thickness of a dollar bill 0.0043
dollars per inch 233
1000 dollars per in. 232,558
1000 dollars per ft. 2,790,698
1000 dollars per mile 14,734,883,721
1000 dollars per 142 miles 2,092,353,488,372
Exaggeration factor 2.092 X
See? It gets even worse. Is this a Madoff investment firm?
Fuck. All those Trillions are on a flash drive in ole Benakulers pocket. Just take it out and plug it in, Bingo, another Trillion sent to New York.....................I need a drink.
crappy post. inflation blah blah buy my newsletter blah blah.... tyler where is the editing? (think you guys are a lot better than this usually)
You've go that right.
Didn't get past the false choice.
The sad reality is the US and Europe are both deflationary environments. If it wasn't for Helicopter Ben printing like a madman, prices everywhere would be dropping like a rock and we could crawl out of this mess. What we are getting instead is massive inflation in developing countries that were not in a deflationary position when the crisis started. Way to go Benron! The road to hell is paved with good intentions.
Not to pick at nits, but if a million bucks is 8 inches high, then a billion should be 8,000 inches high, or roughly 666 feet (where have I seen that number before?). And a trillion would be 1,000 times that, or about 125 miles.
So relax, everybody, those 1,000 dollar bills aren't 142 miles high after all. Everything should work out just fine.
"$1,000 bills. $1 million would be a stack eight inches high. $1 billion would be over 800 feet high (think of the Washington Monument). And $1 trillion would be a stack 142 MILES high."
Just to be pedantic, assuming the part about $1M being 8 inches high is even correct (it is not), then 1000 times that is not over 800 feet, but around 666 feet. So the height in miles of the $1 trillion similarly drops to around 126 miles.
Not that it really matters, but just seemed sort of glaring.
Not that it really matters? This is a guy who wants to give me investment advice and he doesn't even know how to use a calculator. 800 instead of 666 is off by 16.75%. Would I have to just subtract that amount from every monthly return statement they sent me?
And the higher the stack goes, the heavier it gets, thus the more it compresses the dollars beneath.
How much? Perhaps some keen-as-mustard ZH-reading materials sciences engineer can work it out for us.
JIM ROGERS warns of "Inflationary Holocaust"
http://www.youtube.com/watch?v=eeSIJF1vOPU
Hello third world. The united states is going to play a game of begger thy neighbor, and you can't join us! (Cuz your inflation rates are already too high, bitchez).
whenever a country has over 700.000 armed forces and enough toys to blow up the earth 10 times over...
BEGGING won't be needed.
If your not PRO you're CONTRA. And that's reason enough to be invaded.
Not like the US never did it before...
Now. A shortlist for countries with enough recources and a lauzy army....
WHAT ABOUT SOUTH AMERICA?
Get rid of the drugs and stuff and take some souvenirs along the way?
A little poll:
Who thinks the US would just sit by and let itself go down without a fight?
Who thinks the US will "solve" this crisis abroad?
They have at least 2 wars going right now, maybe more I lost count. Plus they are deeper in debt than ever. So what resources does the US have left, to fight another war with?
SD, No poll needed, the US has been using these tactics since the late 1890's. "Walk softly and carry a big stick." same old, same old.... except we have forgotten the "walk softly" part or maybe not. I doubt we ever understood what "walk softly" meant.
The world has changed, can we pull it off again?
Luckily all of my currency is in Schrute Bucks
How many does it take to buy a goat?
I know 1000 Shrute Bucks is worth an extra 5 minutes for lunch break. So you could convert that based on your current salary vs. the price of said goat.
Also if you know the value of the goat in Stanley Nickles, the converstion rate from Shrute Bucks to Stanley Nickles is the same as unicorns to leprechauns.
Are the cost of bibles inflationary?
It will cost your soul - the ultimate inflationary act - for non-belief. The highest price has been paid. Rejecting the Third party payment puts the ultimate cram-down to the debtor. κoλαση εiναι αιwνια
only the braille text
The Book of Eli - great story
Nope, one can always find one free if you know where to look.