Monday, April 20, 2020

Stocks to buy

I think in there near term the market is not going to realize all this new money is here. The price of goods in the near term will stay where they are. As time goes on the inflation will start to show up. I think because we have decreased production and increased claims on production (money) that this effect could be quite severe. The longer that we continue our current pandemic policies the more severe this inflation on core necessities will be. Because remember this increased amount of cash is mostly going to be chasing the core things we need, so it should push up prices. They are creating new currency at a high speed I would not be expecting too much deflation especially in the medium to long term (six to eight quarters) Hopefully the government can reduce pandemic measures soon to mitigate some of the risks involved with what we are doing financially.

you should hold cash in your stock account. Stocks will drop 80% in dollar terms. Then you buy stuff up.

Just look at mining stocks during 2008, they dropped 98%, then exploded to the upside. Or amazon during the dot com. Started at $100, dropped to 6$, then sent it to $2000. So hold cash, don't hold stocks going in to this.

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