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Today is Sunday, the 25th of January. Just in case you happen to see this, I thought I would give you an update on our economy: It is in its death throes.
Economic indicators I watch are all in the red. Banks are hanging on by a thread. They have already started limiting withdrawals of cash - not all banks however.
The stock market may start dropping tomorrow. It may be so bad they halt trading.
My wife and I just made a big Costco run yesterday. Had our gas and diesel farm tanks filled this week too (we are at our other home in Colorado). Not really interested in going to town if things start to get weird.
Politics are really out of control with Israel prepping for an imminent attack on Iran. Civil unrest here in the US is a factor too. Anything can upset the cart. Too many things seem to be going critical.
I am only posting this today in hopes someone might read this and then say to themselves "He may be wrong but it wouldn't hurt to top off our food supplies just in case. Maybe hit the ATM for a bit of cash just in case. Maybe fill the gas tank too."
Now if you are invested in the stock market, you might just want to watch that opening bell tomorrow morning at 8:30. You may find things interesting.
We shall see...
In case any of you followed up on my recommendations, I was wrong. Nothing happened on January 26th. Nothing at all. I sold everything I had in the market anyway...mostly metals and mining stocks.
But two days later, on the 28th, the market dropped like a rock. Everything I had sold dropped by around 40%. I felt vindicated on the one hand but sad on the other because I was sure no one had listened to me.
When I topped off our fuel tanks at the ranch, oil was at $65/barrel. Less than a week later, the Iran war had moved prices higher. Gas in town here in Colorado went from $1.97 to eventually $4.59/gallon. It went much higher in Citrus Heights.
Food prices didn't go up as quickly as expected. The government took massive crude out of our strategic reserve to moderate prices but our reserve storage tanks all over the country are at critical levels right now. Storage tanks across the country are almost empty. Even if the Straight of Hormuz is actually open now, it will take up to six weeks for oil to make it stateside. But the real problem was not oil getting out but urea for fertilizer not getting out. Farmers couldn't plant things like corn that require fertilizer so they planted soybeans instead. The jist of all that is food prices really will start shooting up. Big time. You can count on that.
So now it is almost July. I haven't bought back in to the market. I do feel that metals are close to bottoming out but the general stock market still has a rather big crash still to come...probably around the end of July general time line. Just a guesstimate.
Now is the time to stock up on your daily staples. Olive oil, coffee, orange juice for sure will increase dramatically. Many others will join them. Inflation will start coming hard. Be ready.
And store water as well. You don't want to have to fight those ducks for pool water!