Home > Investment tips, Mainstream failure, The Makian Distribution > Volatility is the “new normal”

Volatility is the “new normal”

Gold was down today on US dollar strength. Treasury yields were up (and conversely bond prices down) on news of “growth” in the US economy.

If the govt “”borrows” (prints?) trillions and then spends these trillions on handouts and killing people, of course “GDP” numbers will spike.  The question is: What happens when the handouts end and there are no new people to kill?

Govt spending is invariably unsustainable.  So these ripples in the market mean nothing when the tide continues to recede.  If I was still in the US, I’d buy gold today and continue to reduce exposure to the US dollar, despite these short-term movements. 

Volatility is your friend now.  Use it.

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