This isn’t a “May 15th comes around and everything goes back to normal” event here in Michigan. We’re all seeing so many different things going on right now in our economy and even our own local communities. There is so much uncertainty and LARGE fluctuations in the many markets (bonds, equities, precious metals, oil, etc.) around the world daily.
The unintended consequences of policies made today will be felt for years to come. In this video I talk about some of those unintended consequences, how to spot them and how to protect yourself.
- 26+ Million Unemployment Claims so far (Released 4/23/20)
- Erased all job growth (22 million added) since 2008
- Years of poor economic activity and hardship
- Goldman Sachs analysis predicts 4x’s as bad of a recession as 2008
$310 Billion Paycheck Protection Plan (Round 2)
- Fraud & Abuse
- Poor Government Planning
- Wells Fargo (Stacking applications in their favor?)
- -$40 per barrel futures
- Oil Companies highly leveraged with DEBT
- Too much oil with nowhere to store it
- Gas isn’t being used
- Unemployment Through the Roof
- People make more money unemployed than working! Why go back to work??
- Fear = People won’t spend money
- Confidence in the economy is in the Dumps
- Bankruptcies appearing left and right
- Real Estate prices to tank
Two Possible Future Scenarios
Stop the Bailouts = Politically is bad (probably why they won’t)
Destroy the Dollar = Inflation and loss of purchasing value.
What to do:
- Cut Back Your Expenses
- Reserve Cash (for financial security and opportunistic funds)
- Invest in Your Mind
- Focus on Relationships & Personal networks