[mogul777]

Seems to me Sprott has been bearish for the last several years... inlcuding the ones where the TSX doubled. Granted that was largely on the backs of these resource stocks that he likes. As already pointed out that quote obviously means invest in real things, things you can actually touch, as opposed to the paper garbage. But again you can't have your cake and eat it too... meaning you need demand and supply to cooperate which it isn't doing. Sprott had his a$$ handed to him last year which is really embarrassing for his Canadian equity fund facade that he fails to correctly label as a resource fund to the chagrin of his foolhardy investors.

 

[mogul777]

You must assume that things that equity analysts produce are self-serving because they are supposed to be.

That being said, I share the view of that document. I think people have been fooled by this bear-market rally into thinking we're in a slow recovery.

Yes, China will be the biggest consumers of these "real things". They've been slowly accumulating it over the past several years. But, unfortunately, commodities will not rise because of economic recovery causing increasing world demand. Instead, commodity prices will increase as the world loses trust in fiat currencies and want to diversify out. That is how commodity prices will potentially rise substantially while the world remains in recession/depression.

The USD will be inflated and since it is the reserve currency, will export the inflation to the world.

Inflated with hot air? I concur. However, if you mean propped up that makes your last sentence incorrect. As you may have noticed last year inflation is exported when the USD drops.

 

[mogul777]

And the USD dropping is a result of inflation so I guess we agree, eh?

On the main point yes, on the chicken and the egg apparently not... as I already said you have it backwards... inflation is a result of the USD dropping. Get the chickens in a row and you can count your money a lot faster.

 

[mogul777]

True. I just don't want to start/end too many sentences with "in my opinion".



I have. Just not as much as you more experienced folks!



You're right but inflation came first, like the egg

I agree on the me being right part, but your sadly mistaken on the cause and effect part.

 

[mogul777]

It's not hard to beat earnings estimates when the bar is set so low.

The market didn't have a mind of its own in 1929?? Obviously things change, but the basics stay the same. Forget that and you'll stay a rookie.