Imagine that your savings-account balance suddenly vanished…
You had $1,000 in savings last week. You could have purchased a nice suit, a gourmet dinner, and a good bottle of wine.
But there’s an abrupt devaluation. Your $1,000 is now worth just $50. And, to make matters worse, the tailor, the restaurant, and the liquor store are out of business.
That’s what happened in socialist paradise Venezuela over the weekend…
It’s one of the greatest assaults on savers in history.
Inflation is hitting 100,000%. Prices are doubling every four weeks. Most shops, supermarkets, and restaurants are closed. Some 90% of the population lives in poverty. And hunger is so widespread that the average Venezuelan citizen reported losing more than 20 pounds in the past year.
This is the eventual result of every single nation that has embraced socialist policies. There are no success stories.
After all, you can only spend the money in your neighbor’s wallet for so long.
But these ideas remain attractive to many Americans.
We suspect that we’ll see several big, expensive promises in the 2020 election: free college, free health care, a universal basic income, and debt forgiveness on a grand scale – what we’ve called a “debt jubilee” in the pages of our American Consequences magazine.
And their results could be devastating if you are nearing retirement and have diligently saved money for yourself and your family.
If you’re interested in a few simple steps that you can take to protect your retirement savings, I recommend reading The Battle for America, by one of our American Consequences feature contributors, Porter Stansberry. You can get a hardback book shipped to your door for $19 here.
Now here’s a few things we’re reading…
In the meantime, the bull market hit an all-time high yesterday, and today is officially the longest on record…
Investors bet that the strengthening economy and booming corporate profits seen under President Donald Trump’s first two years will continue, despite recent trade battles.
But that doesn’t mean all is rosy…
The investment rationale underlying this indicator is that it “measures the struggle for capital” between the two major asset classes that compete for capital at the riskier end of the spectrum — stocks and real estate.
And while gold is getting cheaper… it hasn’t hit an uptrend yet.
If you are a contrarian, this might look like the moment you’ve been waiting for… Gold is extremely hated. Except, my friend, we don’t have the start of an uptrend yet.
How will this deal get done?
The twin administration initiatives – pursuing tariffs on $200 billion of Chinese goods while relaunching talks to scrap tariffs – underscore a split within the U.S. administration, with negotiators in the U.S. Treasury Department offering a carrot, while the office of the U.S. trade representative threatens with a stick
Fascinating look at a complicated investor and political heavyweight who rarely loses…
Singer and similar investors have been compared to vultures, wolves, and hyenas. Bloomberg has called Singer ”aggressive, tenacious and litigious to a fault,” anointing him “The World’s Most Feared Investor.”
A good candidate for the dumbest story of the week?
Instead of showing the animals in cages — implying that they’re traveling in boxcars for the circus — the new boxes feature a zebra, elephant, lion, giraffe and gorilla wandering side-by-side in a grassland.
And let us know what you’re reading at [email protected].
With P.J. O’Rourke and the American Consequences Editorial Staff
August 22, 2018