History Doesn't Repeat But it Often Rhymes
A new possibility has arisen due to the FEDeral reserve's actions to stabilize the market.
The first half of this period will look like 1929 however throughout value will be lost relative to price.
We could see halfway through the collapse inflation takes over and prices go crazy.
This will be especially damaging to index investors who simply see prices rising and stand still till thinking the worst is over until they begin to see the price effects on their daily lives and make the connection triggering selling and a rush to hard assets.
I hope I am wrong but this is looking more and more like a possibility and thus I feel the need to share the idea.
Any comments are appreciated.
The first half of this period will look like 1929 however throughout value will be lost relative to price.
We could see halfway through the collapse inflation takes over and prices go crazy.
This will be especially damaging to index investors who simply see prices rising and stand still till thinking the worst is over until they begin to see the price effects on their daily lives and make the connection triggering selling and a rush to hard assets.
I hope I am wrong but this is looking more and more like a possibility and thus I feel the need to share the idea.
Any comments are appreciated.