Normally when all the asset prices go up, it is a boom.
But, a crack up boom is when the currency is being printed too fast, and debasement starts to become visible to the ordinary person. So, they rush into assets, away from the currency.
Or, more basically, people get scared that money's value is disappearing, so the rush to buy anything real. So, most assets go up. And currency move towards hyper-inflation. (probably only galloping inflation at this point)
There is nothing new to this, however many people have not seen an actual currency collapse.
However, what will be different is that what are considered valuable assets will be changing
Normally, in the winter, we experience deflation.
There is high unemployment, and since people are spending less, prices have to fall.
The best place to be during a Kondratiev Winter is usually in cash, cold hard cash.
But in a Crack Up Boom, cash is being printed into oblivion. And the prices of everything goes through the roof.
Especially on necessities.
Everyone tries to move their cash into assets as fast as possible.
However, the assets that will be worth something in the future are changing.
My favorite thing to harp on:
Real estate is WAY overvalued. This was fuelled by really cheap money, and investor speculation.
Now, not only have the mortgage rates gone up, but the banks are only offering mortgages to highly qualified people, thus double tightening the money that can flow into real estate. And with banks collapsing, mortgages will become even harder to acquire. Meaning, soon, a house will only get what someone can pay in cash. Which means that housing prices will drop to 10% of what they are now.
Of course, the mother WEFers intend to buy up all the houses for pennies on the dollar, and then build their 15 minute cities, and rent to everyone. Blackrock has already started this. We will see it continue.
However, real estate will never be the same again. The suburbs will become ghost towns. The people that can leave will leave. The rest of the people will die. From old age, from the vaxxx, from natural disasters, or from starvation. Just the demographics is mean enough, but there will be a lot of pain there. And there will just be acres of empty houses.
So, the normal go to, to preserve wealth, real estate, will not be a safe haven.
The bond market is going to turn into useless paper, as the paper it is based on also turns into useless paper.
The stock market is just going to quietly shutter its doors… they wish. What is going to be found out is that all the people who trade on the stock market are going to be found to own no stock. It is a game of musical chairs, and there are already fat banksters sitting in all the chairs.
Yes, the stock market is about to crash. All the CEOs are selling their stock. However, on top of the crash (in which the WEFers plan to buy up everything at pennies on the dollar) it is going to be found that there is so much fraud, that the system gets shut down. At first, they are going to say, that no one owns any stock. But after the pitchforks and torches come out, they will try to work out a more amicable split.
So, stock and bonds will not be a safe haven.
Gold and Silver are probably going to go way up. But the COMEX will probably crash.
Grain will probably skyrocket, but delivery may be a problem.
Copper will probably plummet as no one can buy new houses, and construction goes down.
The COMEX will not be a safe place. Even if the underlying commodity is extremely valuable. Or maybe, especially if the commodity is extremely valuable.
The bitcoin ETFs are going to fail extremely hard.
So, what you really want is commodities in your own hand. If you can't hold it, you don't own it (or have the private keys) And these may be hard to come by.
In the Crack Up Boom, all the prices should go up, but due to no one wanting/needing the commodity, or you just can't get your hands on it, not all commodities will be equal.
Food and enegy will become extremely expensive. Both from inflation and distribution problems.
Doug Casey has often said that in the next era, farmers would be the ones driving fancy cars. And, it looks like he is going to be right (again)
Stock up on food now. Start to grow your own food, if you haven't already. You are going to need it. (and it is better for your body)
Of course cryptos will do really well, maybe too well.
Instead of bitcoin going up and up and up, no one will be selling bitcoin, so there will be no price. (in dollars)
Life will be changing drastically. All kinds of new inventions will be coming out. The floor will fall out from under you, while a new floor is being constructed.
So, stay agile
This is not quite the Crack Up Boom that Kondratiev described. Because there are bigger cycles at play.
