Originally posted Apr 7, 2020
With stock markets down 20-40% (depending on a national index or geography), bond yields collapsed, credit spreads still blown out, oil almost in the low teens, and gold topping $1700, the COVID-19 black swan will trigger the largest insolvency event in all history.
- First, the panic, which is the liquidity phase.
- Then the hope, which is the correction phase.
- And finally, the insolvency, the brutal phase that changes everything, including the system itself
For the average person, this is going to become a very difficult transition into the world we are soon going to as we take the journey “down the rabbit hole” and we sugarcoat it because there is no nice answers or solutions.
Las Vegas, NV·Posted Apr 7, 2020