Economics & Investing For Preppers

Here are the latest news items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. We also cover hedges, derivatives, and obscura. And it bears mention that most of these items are from the “tangibles heavy” contrarian perspective of SurvivalBlog’s Founder and Senior Editor, JWR. Today, we look at some recent declines in classic car prices. (See the Tangibles Investing section.)

Precious Metals:

Can the rallies in gold and silver continue?

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The Surprising Advantages Of Investing In Gold, A 50 Year Historical Analysis

Economy & Finance:

Insider Selling Hits 20 Year High As Stock Buybacks Soar

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Martin W. Armstong: The Panic in Interest Rates is Just Getting Started. An excerpt:

“The Repo Rate reached a high of 10% by about 9 am just before the stock market opened. The fed funds rate was testing the Fed’s upper limit. The Fed was forced to intervene I believe for the first time since the 2008 crisis.

On Tuesday, the Fed offered $75 billion through its facility and received $53 billion of demand from borrowers who swap AAA Treasury holdings for cash at minimal rates. On Wednesday, the Fed again offered the same $75 billion facility and received this time $80 billion in bids.

Overnight financing (REPO Rate) is a basic function which holds the economy together. Those who trade on leverage rely on the REPO market (Broker-dealers, hedge funds, and institutional). It is rarely written about for it is not generally seen by the public. The events of the past few days is a clear warning sign of what I have been yelling about which is on the horizon. The central banks are TRAPPED and in Europe, they have destroyed their bond market with more than $15 trillion and perhaps up to $17 trillion in negative-yielding bonds ($1 trillion is corporate).”

Commodities:

At Zero Hedge: Why The Saudis Are Lying About Their Oil Production

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US Shale Kept Oil Prices From Surging After Attacks On Saudi Oil

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Nickel Prices Explode, Despite The Trade War

Candidates and Taxes:

By way of Whatfinger.com, I found this Fox Business video: Bernie Sanders unveils aggressive wealth tax proposal

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Reviewing The Democratic Candidates’ Tax Plans: Elizabeth Warren. A pericope:

“First, let’s understand what Warren’s wealth tax is all about. It would work like so: each and every year, the wealthiest Americans would have to value all of their holdings — their publicly traded stock, private businesses, personal residences, you name it. If the net value is in excess of $50 million, the owner of all that wealth will pay 2% of every dollar of excess; hence the “TWO CENTS” chants that have become so popular at Warren rallies. If the net value exceeds $1 billion, the rate increases to 3% of every dollar in excess of that thresholds. The idea, as we discussed in our last segment on Bernie Sanders, is the thread that binds all of the prominent Democratic candidates: to raise additional tax revenue necessary to implement promised social programs, but to do so from the rich, and only the rich. Warren argues that her wealth tax would do just that, to the tune of the aforementioned $2.75 trillion over the next ten years. “

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‘Hit them where it hurts’: Several 2020 Democrats want a carbon tax on corporations

Forex & Cryptos:

Foreign Exchange Trading Soars to $6.6 Trillion a Day, US Dollar is Total King

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At Seeking Alpha: Why The British Pound Matters

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Bitcoin Tumbles After Network Hash-Rate Mysteriously Flash-Crashes By 40%

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France: 25,000 Major Retail Stores to Accept Bitcoin in 2020

Tangibles Investing:

The Classic-Car Frenzy Is Over for Skittish Collectors

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Classic Car Market Hits A Pothole At 2019 Monterey Car Week

Provisos:

SurvivalBlog and its Editors are not paid investment counselors or advisers. Please see our Provisos page for our detailed disclaimers.

News Tips:

Please send your economics and investing news tips to JWR. (Either via e-mail of via our Contact form.) These are often especially relevant, because they come from folks who closely watch specific markets. If you spot any news that would be of interest to SurvivalBlog readers, then please send it in. News from local news outlets that is missed by the news wire services is especially appreciated. And it need not be just about commodities and precious metals. Thanks!




15 Comments

  1. Silly stupid liberals, Tax the rich , tax the corporations, implement socialism! They must have all gone to the same colleges that Elizabeth Warren and Alexandrea Orassio Cortez went to. Where after 4 years of classes to get a BA in economics they failed to teach a prime rule of economics, “That all costs of doing business are passed on to the consumer.” It’s starting to get me down that I am living in a country where morons are revered. I probably should go out and buy a few more sacks of beans.

  2. It is almost as if the ability to recognize facts and draw reasoned conclusions has been lost by the left. People who own and operate businesses live with the reality of setting pricing on the basis of the cost of goods to produce the product and the services required to bring them to market. These fundamental factors have escaped consideration in the left’s proposals. When a product becomes too expensive for the target market to purchase it they will look for alternatives or discontinue the use of the product. In both cases the business that offers that product finds ways to cut costs before that happens, I.E. cut labor and/ or make it with increasingly shoddy materials.
    It is like the unsustainable minimum wage hikes in Washington State. Fewer people have entry level jobs. Fast food restaurants have ordering kiosks eliminating the need for those who used to used to make a buck taking your order. Have you priced a Big Mack lately?
    The cost of these proposals will land squarely in all our laps.

  3. $2.75 trillion in ten years = $275 billion per year. Still need another $25 billion per year to cover the tax dollar cost of illegals.

    Interest on the national debt is pushing $400 to $500 per year.

    We’re running deficits of a trillion bucks a year.

    Warren et al obviously have flunked Remedial ‘Rithmetic 101.

    1. They didn’t flunk anything. This has nothing to do with economics and all to do with creating another economic crisis. A crisis that will cause the sheeple to clamor for more federal government intervention into their daily lives.

      Don’t mistake apparent economic stupidity for anything more than it is, pure marketing genius for the masses.

  4. this site keeps saying that the Baofengs are going to be banned but I’m not finding that info anywhere else.

    I see articles the likes of “Did the FCC just make Baofengs illegal? Short answer: NO!”

    Then articles stating the FCC only has a problem with Baofeng marketing.

    Can someone give me proof that they will indeed be banned so I can tell my friends who don’t believe in the ban?

    1. They did at the Bundy ranch and some of them went to jail and were not allowed bail. The threat of jail time will make patriots think twice about showing up for a cause that they believe in. I’m not sure what the answer is.

    2. I’m sure there will be many “straws” that come, but it seems like the liberty-minded community is so fragmented that any coordinated response to those “straws” will be insufficient and wasteful. A tremendously more powerful army can be defeated if it’s fragmented.
      The Bundy scenario is a perfect example. Just a handful of patriots gave the Gestapo a bloody nose before great men and women suffered so much.
      We all know the answer. It’s spelled out succinctly in the book, Molon Labe.
      I know there are others who agree with me, but I just don’t know where to find them. I have to believe that if there is any place in all the world to find them, it’d be here.

    3. The surprise is all Individuals putting effort into this blog never discuss optimal locations, gathering of like minded, and the gravitating towards communities in the termed America Reboot. The comments, discussions, etc., are fragmented across the issues but no discussion on meet-ups etc. probably due to a healthy respect for privacy but communities effect security, local economy, shared or exchange of skills making the blog discussions appear in a vacuum

    4. Been trying to get people to build Communities for quite some time now but most of the Liberty Community aren’t real good with people which is why there is no movement…

Comments are closed.