Today the widely followed Joseph Shaefer issued a widely acclaimed article on how he is deploying assets. Eight thousand followes is a huge mark of success.
However, one eye catcher was the revelation he is 50 percent cash.
Cash can mean a lot of different things, but to most it means either money in the bank or in money markets, both of which are not yielding much right now.
I urged him to consider deploying that cash into Treasury bills because if the elites, the only ones with major residual wealth, do not prop up the folly fiat money issued by the private Federal Reserve then the looming dollar crisis will trigger huge losses in cash holdings.
After all, cash held in the U. S. is priced in U. S. dollars.
Of course, even the elites collectively are not large enough to shore up the huge black hole created by 97 years of central bank intrigue, incompetence and inability to publicly define what money is (Greenspan before Congress).
If the privately issued U. S. money supply is now too big to manage - which it seems it is - then I suggested a better alternative to cash is gold, which is produced by Gold Corporation and Kinross Gold, which were among Shaefer's equity picks.
If or when the looming dollar devaluation crisis comes to pass, gold will not so much go up in value as it will be repriced in more of the lower value dollars. That logically seems to make the precious metal a hedge.
Holding cash, which is denominated in private Federal Reserve Bank notes, would seem like a huge speculative play right now. If another huge market correction coincides this time with a dollar correction too then the cash won't buy as much as it did in March 2009.
Note: my brokerage account does hold a 10 percent cash position.
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A place to post my writing in journalism, fiction, poetry and rants.
