Here are the latest 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 JWR. (SurvivalBlog’s Founder and Senior Editor.) Today’s focus is on National Digital Currencies.
Precious Metals (National Digital Currencies):
To start, there is this at Barron’s: Is gold on the verge of breaking out?
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Anyone serious about precious metals investing should consider the impact of the upcoming advent of national digital currencies. Some reports suggest that it will either be Israel or Norway to be the first to announce going cashless. The new digital currencies will probably use blockchain variants. I predict that once the first national announcement is made with a firm transition date, then it will immediately cause gold, silver, and to a lesser extent platinum to jump in price. The cryptocurrencies will also greatly benefit.
It all comes down to the huge amount of cash presently circulating in the gray and black markets. The national digital currencies will create 100% transparency for taxing and law enforcement agencies to exploit. Those desiring to remain private/opaque in their transactions will surely seek alternatives. And it won’t just be criminals who’ll want privacy. Even Regular Joes will desire privacy. Once the first nation braves an announcement, then country after country will announce going digital. As each domino falls, there will be another wave of buying in precious metals, cryptos, and various tangible investments. (The more liquid and fungible, the better.) Be ready, folks. If you wait until after the national digital currencies replacing printed cash are announced, then you will be buying your metals at a premium. Panic now, and beat the rush.
Forex:
Forex Trends: Will USD Fall to New Lows in 2018?
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The last time I checked the US Dollar Index (USDI), it was at 88.585. So it appears that I was corerct in my prediction of a Trump Weak Dollar policy. I expect it to continue. Plan (and hedge!), accordingly.
Commodities:
Reuters had this exclusive: U.S. small refiners make surge of biofuel waiver requests – sources
Economy and Finance:
By way of Claire Wolfe’s great Living Freedom blog, I found this article: Craft Beer Is the Strangest, Happiest Economic Story in America. It begins: “Corporate goliaths are taking over the U.S. economy. Yet small breweries are thriving. Why?” JWR’s Comments: As I mentioned in this column a few months ago, single malt whiskey from boutique distilleries is seeing a parallel boom. Unlike beer, whiskey stores well. So you can invest in some.
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Bitcoin: If currency crashed, plunge would harm its investors but not economy
Taxes:
Amazon gives in to Massachusetts tax officials and agrees to turn over third-party seller data
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Over at TaxProfBlog: The IRS Scandal, Day 1722: The IRS Apologizes For Targeting Tea Party Group. JWR’s Comment: Seeing this apology buried deep in a court finding underwhelms me. This is a case of: “Too Little, Too Begrudgingly, and Too Late.” Justice won’t be done until Lois Lerner and her henchmen need are prosecuted. Better yet: Indict Lois Lerner and Then Abolish the IRS!
Provisos:
SurvivalBlog and its Editors are not paid investment counselors or advisers. So 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 particularly watch individual markets. And due to their diligence and focus, we benefit from fresh “on target” investing news. We often “get the scoop” on economic and investing news that is probably ignored (or reported late) by mainstream American news outlets. Thanks!
Going cashless will severely affect tourism. I wonder if those countries have considered that.
Stockpiling booze is a must, even if you don’t drink. Tobacco, too.
Probably the best barter item out there.
You can also grow tobacco in your backyard. Fresh, dry it yourself, and don’t run out. Also, unrecognizable to most people.
But do not grow it in the same place for two years in a row.
tobacco and alchol great trade items that can be produced on any homestead…
The US Dollar Index is tanking. You can search here for an excellent explanation of the index by JWR.
Best be careful regarding strict OPSEC when attempting to barter alcohol (somewhat less so with tobacco). There are MANY people that are functioning alcoholics. They hold down jobs and don’t DWI or at least get caught. Most appear to be upstanding community citizens. Until the supply dries up (pun intended).
You do NOT want it known that you have a supply of alcoholic beverages when they are going through withdrawls, especially if the word gets around. Talk about a zombie apocalypse!
Personally, in a survival situation, I would not want to expose my family or myself to the kind of people who consume alcohol. Sure, some of them may be decent folks, but like you say, you really can’t tell for certain. Addicts will do the darndest things to feed their habit. I would steer clear of this. 1 John 2:10