April 18, 2014

Jim Rogers and Global Inflation

New Wave Slave videoJim Rogers, in his latest interview, cuts right to the chase: “I don’t own many equities, because I don’t know what is going to happen in the world economy. I expect more currency turmoil, more social unrest, more governments collapsing. So I am investing in currencies and commodities rather than stocks.” Pretty much like everyone else, as we have been suggesting for quite a while. Rogers snaps at the trademark CNBC question of what he would be investing in: “I have been explaining to everybody on CNBC for a year and half or two now that food prices are going to go through the roof, they’re going to explode. We have serious shortage of everything developing, including shortages of farmers… The average age of farmers in one major agricultural state is 58 years old. In 10 years it will be 68 years old. In parts of Japan they have no farmers… It takes 7 years for a coffee tree to mature. Orange trees, palm trees: you don’t just suddenly snap your fingers and suddenly get some more palm oil. All of this takes time.” So all those who believe that the surge in people rushing to fill the ag arbitrage holes will produce immediate results, may need to wait 3-7 years, dependant on access to manure.

On whether this is not a demand-led inflation in commodity prices:

Whenever governments have printed money throughout history, people put their money in real assets, whether it’s rice or silver or natural gas. People protect themselves, they don’t just say “give me some more paper money.” And if you say it’s not demand: go to India, go to China, see how people are changing their lives and using more.” As for supply: “Commodities are based on supply and demand. You can have demand go down, but if supply goes down more you are going to have a bull market.”

Not surprisingly, Rogers see oil at $150, and the exchange between Rogers and some CNBC guy discussing the role of speculators (it is all the evil speculators’ fault, never the Chairsaint) is worth watching the clip alone.

Rogers’ response to CNBC’s desperate attempt to get him to list a stock or two for the lemmings to buy into, the response is priceless: “Commodities have outperformed stock by 10 times over the last 10-12 years. Why aren’t you doing only commodities. It’s outperformed stocks by 1,000%. To me it’s pretty simple, you should change the name to CommoditiesNBC.”

And, finally, his response to what his stock exposure is is not what CNBC wanted to hear. “I am short emerging markets ETFs, short Nasdaq ETFs.”

Brilliant as always. (from the fine folks at ZeroHedge)

Here’s the Jim Rogers video posted by NewWaveSlave.com

Ashton Kutcher & Economic Crisis

Ashton Kutcher & economic crisisAshton Kutcher & Economic Crisis

Ashton Kutcher? Yes, I know it is strange to read his name on this blog.  The “economic crisis”  part?  Well, that is not so out of place… However, just stick with me for a bit and you will see how the two are connected.

I have long been saying that the public is starting to wake up to the realities of the world in which we live.  I like to call it a “collective conscience”.  I summarize it by saying that a growing number of people have an uneasy feeling in the pit of their stomach that things just don’t seem right, but they can’t explain exactly what it is.  These people are not the type to read blogs like this or to even look past the first layer of the main stream media/news.  In fact, the only information they receive are newspaper headlines or magazines at the checkout lane in the grocery.  But, without any research or true understanding of economics, finance, or politics, they know something just isn’t kosher.  These are the Moms & Dads who already have their hands full just trying to make a living and raise their kids, but they are secretly worried.

The reason I say there is a collective conscience emerging is because for the first time in their lives:

  • They feel like they need to keep a little extra cash at home and not in the bank.
  • They are stocking up on food a little at a time “just in case” something happens.
  • They decide to have a little garden and try their hand growing their own food.

Nothing radical, but for the first time in their lives, they feel the need to have a Plan B.

Keep in mind, these people are not shouting in the streets that the end of the world is coming.  Far from it.  No, these people don’t dare tell anyone what they are doing because they worry about what their friends may think and don’t want to appear like “one of those crazy conspiracy freaks.”  And just in case the shi*t does hit the fan, they don’t want anyone to know they are prepared because they know they are now a target.  Lets face it, the people I am talking about are you and me.

I talk to people like this all the time…

Ashton Kutcher & Economic Crisis

Enter Ashton Kutcher.  In the February issue of Men’s Fitness, he openly discusses his preparations for “when the sh*t hits the fan”, commonly abbreviated as: WTSHTF.  Remember, this is a fitness magazine so they are focusing on his workout regimen, but his thoughts and expectations are clear.  Kutcher says he trains because he believes all hell is going to break loose someday, and when it does, only the meanest, smartest and strongest will survive.  He intends to be among them.

Here Are Some Kutcher Quotes:

“It won’t take very much, I’m telling you,” he says passionately. “It will not take much for people to hit the panic button. The amount of convenience that people rely on based on electricity alone. You start taking out electricity and satellites, and people are going to lose their noodle.” He continues with exasperation. “People don’t have maps anymore,” he says, his voice rising with incredulity. “People use their iPhones or GPS systems, so if there’s no electricity, nobody has maps.

“And people are going to go, ‘That land’s not yours, prove that it’s yours,’ and the only thing you have to prove it’s yours is on an electric file. Then it’s like, ‘What’s the value of currency, and whose food is whose?’ People’s alarm systems at their homes will no longer work. Neither will our heating, our garbage disposals, hot-water heaters that run on gas but depend on electricity – what happens when all our modern conveniences fail? I’m going to be ready to take myself and my family to a safe place where they don’t have to worry.”

The Take Away…

If Ashton Kutcher is talking openly about social unrest, economic collapse, power grid failure, currency crisis, and survival of the fittest, then you know the feeling is pervasive across the country.  This is a HUGE signal and a chance to begin a dialogue on these topics with people who may have not otherwise ever thought about it.

Has the collective conscience awakening reached everyone?  Of course not.  In fact, only a small percentage of people are making the proper preparations, but the crowd is steadily growing.  I advise you to listen closely to what your peers are actually saying because many times there are subtle signals to let you know their thoughts.  It is no secret code, but if you pick up on it and ask the proper questions, they may let the cat out of the bag and let you know they are saving money, food, etc…   They are quietly searching for confirmation.

We are living in interesting and uncertain times.  My goal is to help you become educated on the realities of the world in which we live, and to build a growing group of individuals who want to have, do, and become more by going against the trend and achieving our full potential.

If you haven’t already, be sure to sign up for our free report “The New Wave Slave Manifesto” so you can get the latest news and commentary while connecting with like minded individuals.  If you like this article, please pass it along to your friends and family.  This could be the opening to start a whole new dialogue and a chance to connect on another level.

Breaking the Chains that Bind,