Don't Listen to Those Market Pundits

One thing that I do know, maybe more than one thing.  If you follow the current market pundits (Those individuals that have not lived through a real, real bear market.  Yes, I know many of you are probably saying, but I did survive 2008-2009.), you will lose, big time.  These individuals are simply focusing on what they believe will occur, because their history is so limited.  What do I mean by "so limited?"  Their age is the barrier.  See, we don't teach history any longer in our schools.  If we do, it is a "revisionist" view of what the world is and how it operates.  That is, the market always goes up.  Therefore, don't worry.  Big Brother and the Fed will take care of all your financial needs.   If you take that position, your pension, 401(k), or 403 (b) will be at least halved over the next four years.

I truly believe that deflation has now usurped inflation as the #1 problem facing not only our country but the world.  See, we have not de-leveraged our debt burden over the past two years.  The Fed's policy of trying to increase the wealth effect of Americans through fiat creation has been a complete failure.  Debt still has to be eliminated, and it will occur one way or another.  That is, either through paying it off or through bankruptcy.  Just look at the following chart on oil (WTIC).  Oil is signaling a period of deflation lies directly ahead.