Loading ...Marty’s angry
“So when rates go negative, a 1% yield in a blue-chip stock looks like heaven. That is the shift on the horizon from public to private.”
I don’t understand this. By this logic, shouldn’t the European and Japanese stock markets be through the roof since they are at negative rates?
“you have to get the weak minded running into the arms of government before the markets will slaughter them for their stupidity”…I guess what he is saying is money has to flow into bonds (the government) and banks before the slingshot move upwards in the SM can occur…and I don’t think it is the stockmarket’s negative rates he is talking about it is the banks’ negative interest rates where customers pay the bank to hold their money or the negative interest rates in government bonds where the customer pays the government to hold their bonds…..when the pendulum swings away from banks and bonds (public sector) then money will flow into the private sector–the stock markets causing a slingshot move upwards. The banks are moving toward outlawing cash so money will flow out of banks and into gold and silver (private) and the same with bonds
so now I see why MA has said gold and the stockmarkets will go up together–both are in the private realm fleeing from the public realm