Elon Musk failed to deliver: No scalable EV and no space station either … The Bankers are trapped! with the rest of us, with a swarming mass of low IQ pissed-off chimps.
They had their chance and they shat their pants—bunch of fucking pussies. Several wasted opportunities, including the Bitcoin berserker run in 2017 … now Basel can kicked and Brexit is indefinite.
What happens next? Well, first thing’s first, the Empire is collapsing. You have the Russians and Chinese putting troops in Venezuela, and Washington can’t do dick to stop them. That will bleed more confidence out of the Dollar Empire, especially because domestic taxation will increase to fund a cost structure that wasn’t Reset to zero. Wasn’t that what happened when the Pound lost Reserve Currency status? Taxation on the natives went up because they were financing Imperial instruments all by themselves. So Americans, watch out for the taxman and debasement!
The markets will want to price in capitulation (aka MMT), so we may witness the DOW melt-up masking Dollar rejection and inflaming inequality and populist movements. Stocks are like Crypto now; you may witness 1% inflation per day, 1000 point jumps, huge flash crashes. The Dow at 50-to-60,000 would be where panic kicks in—the stock market in Venezuela is having a great bull run by the way—maybe we should ask them when they started panicking.
Of course there’s also Crypto to store the incoming inflation. So perhaps it’s best to now focus on Crypto as that’s the smallest market; following the money flow as the wealthy search for vehicles to avoid the coming capital controls and allowing for continuing mobility.
Another explosive issue is the growing mass of migrations ultimately caused by the terminal phase of oil depletion—record numbers crossing into the USA via Mexico—borders will have to be closed and nations will become tribal and violent if they aren’t. Look below at Mexico’s oil chart:
Lots of oil charts look just like that by the way; so lots of nations will ultimately become death traps. Your number one job is stay out of the traps. If there’s a melt-up then we’ll see inflation hit Gold and commodities hard in early 2020 and Powell will have pressure to raise rates; but he can’t because the Shale Ponzi would collapse and the USA would become an energy desert. Powell’s fucked. Munchkin shat in his pants. Not sure if Powell matters anymore.
Unfortunately, and aggravatingly, this bullshit can’t be timed or modeled anymore, that’s partly due to the lack of faith: and it’s not just a question of costs, it’s the increasing risk of getting trapped and murdered that’ll influence the decisions of huge numbers of people.
Then there’s those nations on the periphery that have Dollar debts, they can choose: Default and come under financial attack or close their capital accounts. Then no trade and cross border flows. If you’re inside such a country you’re trapped, think Turkey right now.
So what to do?