Look out below.
Financial markets are exercises in crowd psychology. Analysts make good money analyzing the latest market moves and predicting the next ones. Today’s analyses often contradicts yesterday’s and yesterday’s errant predictions stops no one from making predictions today. It would be trivially easy to keep score, but few do; it would endanger six- and seven-figure compensation packages. What most everyone wants to obscure is the essence of the game: guessing where the crowd is going next.
Greatly aiding this obscurant project is the rubberiness of one of the measuring sticks: the value of fiat currencies. If you’re keeping score in dollars, the Dow Jones Industrial Average is up over 3.5 times from its 1999 high. If you’re keeping score in real money—gold—the Dow topped a quarter of a century ago at just over 42 (Dow divided by the dollar price of an ounce of gold) and is down over 60 percent since (it’s now 16 and change).
Everybody has a choice of measuring stick: either a precious metal that has served as money for centuries and has consistently preserved its value against real goods and services, or fiat currencies that historically have never preserved their value and are backed only by promises, always broken, not to create too many of them. The stock-selling industry chooses the latter.
Another great post from R. Gore, his prespective always opens an different insight on things that one may not think about. We know things are bad and like to blame ‘Deep State ‘ and Globalists.
Love this input…“Measured by gold, the stock market has been in a quarter-century bear market. Crowd psychology.”
Anyone who can truly know what the market is going to do is NOT going tp be working as a “financial adviser”. They will be busy getting filthy rich. All those “advisers” out there are just as clueless as everyone else about what the future holds and how it will affect finances.