Sunday, February 6, 2011

Hyperinflation: Its Arrived

(snippet)
This is serious business, folks.  The future is not going to arrive 'someday.'  For the billions of people who spend a huge portion of their income on food and fuel, it has already arrived.
Looking at the above chart of the past 12 months, what we see is that everything, from metals to stocks to bonds to grains to energy, has experienced profound price increases. That pretty much covers everything you need to live on and the bulk of the paper universe.  Such a chart is a historical rarity for any one country, yet it currently happens to apply to the entire world.  You are living in historic times, which certainly belabors the obvious.

Your Lying Eyes

On the flip side, the story we are being told almost daily is that inflation is very low -- too low, even -- in a worrisome sort of way.  I am reminded here of an old Richard Prior skit where his wife walks in on him in bed with another woman.  To her increasing agitation, he denies that he has been cheating on her, finally shouting, "Who are you going to believe, woman?  Me, or your lying eyes!?"
Well, my lying eyes see something very different in that chart above from what I am being told; instead of worryingly low inflation, I see rapidly rising inflation that is very close to slipping out of control.   
I spend as much time on this subject as I do because the decisions you make based on whether you are protecting yourself from inflation vs. deflation are as different as to whether you grab an anvil or a life raft on your way out the door when facing an emergency. 
I do my best to let the data do the talking, and right now it is saying inflation.

How long will it last?

The old saying is, Don't fight the Fed.  That's good advice.  I have dutifully been following the developing story by watching what the Fed does, not what it says, and by letting prices tell me which way the wind is blowing.  It's a regrettable position to be in, because it's nearly impossible to make any long-range plans when you have no idea what the Fed is going to do next.  But here we are.
More Here..



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10 comments:

  1. The US is failing and will be in complete and utter anarchy soon. Are you sheep ready????

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  2. Sheeples get ready, a change is coming

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  3. Food, Energy bills and rent eat it all up, there is no savings just more and more credit card debt. There is no recovery, that is just propaganda.

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  4. Hyperinflation? Depression? Where did you hear that?

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  5. protesting in Serbia

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  6. bank reserves dropped in dec. meanwhile revolving credit expanded in dec. the saying was always used that qe is fine because the money never hits main street(ignoring the devalue for just the act) but if the money starts entering the system now...lol

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  7. Good luck to all..For quite a while I have felt like a lone voice in the wilderness, and I know many people who think I am off my rocker. I have always said I would rather prepare for the worst and hope for the best, and let the sheeple think what they will. I hate to be right because if I am, I envision severe suffering for the majority of Americans in the coming month and years.
    I started prepping 8 years ago, as I could sence that society seemed to be losing it's foundations with reality. I decided I needed to get back to the basics, so I bought 5 acres of land, built a nice comfortable brick home, and went to work like a dog to pay it off.

    I made the final payment in Dec, of 09, and have been putting everything since into prepping.

    I built a 48x60 foot outbuilding, concrete floors, and have been bust filling it up with what I think we will need in the years to come.

    Hired a guy with an excavator and loader to build me a 1acre pond, 8-10 feet deep with some holes 30 feet deep into the ogalla aguifer. Stocked it with hybrid blue gill..regular bluegill..catfish...and large mouth bass. Put in a ton of structure, and a lot of cedars, and have great production.

    Added some small outbuildings, and a big chicken coop with a pretty descent sized rabbit hutch enclosure. Have 50 hens, 4 roosters, 18 ducks, 3 turkeys, 19 does and 4 buck rabbits.

    Raising and selling Nigerian dwarf goats, have 5 does, 1buck, and 3 wethers.

    Have purchased additional firearms, so have a mix of 2-savage 30-06, 3-243's, 4-22's, 2-12 gage's, 3-20 gage's, ruger9mm, a 357mag, a 38mag, and an old time 410 just to round out the mix. I have thousands of shells of various shot size as well as slugs for the shotguns, thousands of rounds for the riddle and hand guns, so we should be ok.

    Have a berkey system with 8 extra filters,

    2- advanced medical kits with dental tools and supplies (have been taking EMT type classes at the red cross and the community college).

    I have treated rule, propane, charcoal, rocket stoves, chainsaws, firewood, garden tools, and a whole bunch of outdoor type stuff.

    We have heirloom seeds, and this summer I built a 9 x12 greenhouse, it's small, but will be a big asset when I start my own seeds this early spring.

    We are sitting on a 1 year supply for 4 people of freeze dried food, have 25 cases of mre's and a lot of rice, beans,sugar and milk powder in 5 gal buckets from Costco.

    As you can see, I believe that we are in for a tough road, but we finished up the install this week of the most advanced purchase in this endeavor.

    24-230 volt solar panels on Lorentz single axis trackers. Tied into 2 -5,000 watt sunny boy inverters, backed up with 20 valence 12 volt lithium batteries with 2- sunny islands to give us an on grid off grid solution.

    I believe I am about 65% ready, now it's just fine tuning the training, reading, practice, and pray for the best....good luck
    Bilbo

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  8. Na, there’s no inflation, smirks……..

    The problem is “they” (BLS) and that little general Bernakapart don’t count any of those items in the so called “core” so there’s no COLA, and less than 1% on CD’s, which is what “they” want fr the so called middle class.

    Hell I just seen another Harvard economist Phd on Cspan this morning stating the same “no inflation low interest” mantra as the CNBC crowd does all day to push those stocks.

    Are we Having any fun yet!

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  9. This fucking dickbag is prepared ......

    But cannot spell " guage "

    It's 12 Guage asshole dickbag

    Not gage

    Fuck - are we ever screwed !

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