We are already hitting deflation, dollar is getting stronger than any other currency. Soon it will go parabolic and you will be lucky to get half the cash you get today.
Liquidity is at stake.
How do you plan to not get bankrupt before hiperinflation hits next year?
Deflation - take it seriously
Gavin Lewis
Leo Harris
If dollar is so strong, isn’t that a good thing if you have a dollar?
Aaron Parker
by buying bitcoin
Colton Nelson
Do you physicly have dollars? If banks shut down you can have problem.
Jace Nelson
is that what happen during the spanish flu too
John Smith
It's what happened during great Depression. Deflation.
Jace Davis
If you have a loan (most retards do and are generally overextended into credit) and the dollar deflates, you will eventually earn less money as the dollar becomes worth more, but your loan will remain the same total amount. This wouldn't be a problem if it was limited to small amounts of retail credit. It would hurt, but could be mitigated or just facetanked. The problem is that the institutions are also neck deep in debt because all the businesses and financial institutions are completely and utterly overextended into lines of credit they have no business using, leveraging every percentile of their business and assets into taking out bigass loans so they can use that loan money to make .0001% more money than the APR on the loan will cost. And they'll take out as many of these loans as they can to do this as much as they can because if you can take a loan out and invest it in something that returns more than the interest, you're basically getting free money (from your perspective).
Even McDonalds has something like 57 billion dollars of debt from doing this. McD. The fucking moneyprinter of fast food, is up to their eyes in debt, because taking it out to expand unsustainably had a very marginally better return than expanding with their own money.
Luis Watson
Well put. Lower your debt, save cash, work extra hours, hope it won't last long.
Joshua Davis
Honestly, if we make it through this, leverage should be considered as heinous as proper assrape 900% APR usury. No institution should have such large creditlines to put themselves in such a situation.
Also, I'm just saying, firearms virtually never depreciate in value. If you chart out any given gun it's probably gonna hold better than even precious metals. Especially if you get something mildly collectible or no longer imported. To say nothing of the utility.
Jaxon Jones
I think tools might be a good thing too.
Not best but they are always worth something and can sit in a corner for decades.
Jace Torres
the US dollar can't deflate beyond a minor deflation, hyper-deflation would be significantly worse for the US economy than hyper-inflation.
If it ever came down to it, the US would just print money and market buy various commodities or helicopter money, until the dollar stop deflating.
Adam Cook
Oh, and because the financial institutions have extended all these lines of credit, using the money deposited with them whether by you or by larger companies, it means the banks don't actually have any physical cash on hand. They basically have a pile of IOUs that they swear are worth cash because the guys who wrote the IOUs are totally gonna pay you back, but the bank can't give out more than a very small fraction of the amount that's been deposited with them.
So now if someone (another institution) needs a large amount of cash from the bank, they might be shit out of luck. This is why we're having all these t-bond repo swaps. The banks own a shitload of Treasury Bonds, which are basically just long term IOUs from the government, but have very little liquid cash. So the Federal Reserve says okay, hand over the IOUs overnight as collateral, and I'll loan you just about that much money in actual real dollars overnight. If you default I keep my IOUs and rip them up and eliminate my debt, if you don't you can have the IOUs back and I get all the money I gave you plus interest, so the banks have an injection of LIQUID funds that they can use for whatever kind of obligation they may need it for so they don't become insolvent.
It's scummery. Imagine if you let me hold onto your gameboy, and I loaned it to the kid down the street who swore up and down he was going to pay me $5 to keep it for an hour. It's your fucking gameboy but I'm making the decisions about who can be trusted to both return the gameboy and pay me a fee for the use of the gameboy. And when I get that fee, based on modern checking and savings account interest rates, when I get that $5, you can have half a fucking cent. For risking your entire fucking gameboy without any say in who is trustworthy enough for you to risk an entire gameboy for .05c return.
Isaac Nguyen
They are already pumping trillions a day with no result. What more can they do? Whole world is going to get currency reset.
Asher Cox
What should people with mortgage do?
William Gomez
The trillions of dollars are in repo swaps. If you conflated the treasury bonds to be equivalent to dollars you could say nothing is really being printed, exactly. Since the bonds were bought with however much cash which caused that much deflation in tying the money up in the bonds you can argue that them coming off the market is just about 1 to 1.
(Unless I've misunderstood the entire repo swap deal.)
If you want to bet on deflation happening, badly, for sure, do everything and anything you can to pay it off or get out from under it.
Adam Garcia
Imagine talking about deflation while we’re going straight into hyperinflation.
Leo Robinson
Sure, hiperinflation will just kick in, everyone will pay off their debt and we will continue to pump.
That's how life works.
No one will bankrupt, everthing will be forgotten and handed over for cheap.
Nicholas Sanchez
so when does this all die?
Daniel Wright
This is what stupid fucking finance autists think everyone else is thinking. The average normie is going to realize they can't make end's meat so they'll just stop paying on whatever loan applies. Rent and food matter the most. Credit card debt? Fuck 'em. Auto loan? If they have the spare change for it then sure, but if not then fuck the auto loan and hide the car. I expect being a repo tow truck driver to be a hazardous profession in really hard times. Fuck my student loans, fuck my medical bills, fuck it all to hell I walk away from all that shit.
That attitude describes 70% of Americans or more during a Great Depression, that's just my guess depending on how bad things get and I think they'll get pretty bad.
Cameron Ramirez
Nah bro, I know that's what everyone is thinking. Once it gets harder to pay the loans they'll default and all the institutions who own their debt will melt like turds in the sun. If I had a shitpile of debt I could default on without getting evicted and it popped off I'd definitely just let it fucking go. It'll go to collections, probably in less than 6 months, and you can talk the retard on the other end of the line who bought your debt on an excel sheet into letting you pay $20 a month on 20k in loans IF you even give a fuck then instead of just deciding to continue to ignore it. It's an extra big landmine for financial institutions BECAUSE the average retail creditor will just go "fuck it lmao" once deflation makes their loans too hard to pay back. To say fucking nothing of how shitty about like 80% of auto loans are at the moment. 100% agree with you.
Levi Jackson
JUST BE AMERICAN!
Kek.
No seriously.... buy UND. Unification. AKA the United Nations Dollar. Aside from BTC and Tezos, it's the only inflation hedge you need.
Brandon Robinson
How much can dollar value increase? 50%? More?
Camden Nelson
keep posting cunt, I find your thoughts very interesting
Aaron Hernandez
We are still waiting for dead cat bounce on dow, and another 30-60% down.
Bubbles are bursting 90% down.
On a way there you should save up as much as you can, work extra jobs, sell shit you don't need.
Once we bottom it's stocks time. Look for dividends around 10%.
Justin Collins
>still waiting for dead cat bounce on dow
Like the one in ur pic between 2000 and 2001 that lasted months?
Oliver Green
Brrrrrr
Christian Gray
u guys on chapotrapohouse rading Yas Forums have actually come up with some pretty funny brrrr memes.
unfortunately the cure is here and your movement is going back in cold storage for another hundred years.
gg.
Hunter Russell
That's all I really got, copkiller. If you wanted to dumb it down for the normalfags in your life, you can basically just explain that everybody is overleveraged on everything. Everybody's solvency relies on the solvency of the debts they own, which are owned by people who are using that credit to leveragemaxx and make pennies more than the interest rate will cost them. It's not that the people taking the loans out are taking a big risk, they're really playing it pretty safe if they're a big company that's relatively certain of their ability to pay it back. That bigass debt of mcdonalds probably won't even be a problem for them as long as they've spent the credit wisely and not on unsustainable shit that won't pay out. The problem is the banks aren't just loaning this shit to golden A-plus gang niggas like mcdonalds, they're extending lines of credit to people who have absolutely no chance to pay it off if what they've spent the loans on don't pay off. If their investments or enterprises they've used this credit for fails, they will default on everything, and now their loan is fucking worthless, so every derivative that loan is a part of becomes less valuable, and now all the (your) money deposited in the bank isn't even backed by a fucking IOU. The bank's burned it into nothing by loaning it to retards and failed to get it back. The kid I loaned your gameboy to moved away that day and now not only do I not have YOUR gameboy, I don't have the fucking $5 I was supposed to get. Now I -have- to give you a fucking gameboy back that I don't have. What do I do? I get a gameboy from someone else to give to you and hope they don't ask for their gameboy back any time soon. Someone deposits with me and now I have enough liquidity for you to withdraw. But not enough for both of you (everyone) to withdraw.
Christopher Butler
checked
Blake Bennett
They can literally just start market selling dollars, which they will do before the end of the week, if not today
Nathaniel Torres
>Even McDonalds
Not my chicken nuggies!!!!!!!
Nnnoooooo!!
@_@ this has to stop
save our McDs
Christian Scott
>How do you plan to not get bankrupt before hiperinflation hits next year?
I already am
Ryan Fisher
Nice digits. I hope some anons will profit from this thread.
Ian Campbell
thanks man
Nicholas Bennett
checked based gameboy poster
Christian Jenkins
Toasting in a beautiful bread
I’m heavy cash position now after never getting anywhere for years
Is this my chance? Can I turn $25k into a million by next year? Or are we just looking at boomer returns for the next 10yrs after trend reversal
Adam Anderson
you and all your alt IPs
Wyatt Harris
Take your meds
yawn I'm feeling sleepy guys think I'll GO TO SLEEP NOW... see you when I'm done SLEEPING. YAWN
Ayden Russell
Thank you, based Covid for this opportunity to leave a mediocre life.
I don’t want cars or shiny things.
I just want to never have to suck a bosses dick again just to keep my bank paid so I can keep a house
My utopia consists of a paid for 40 acre farm over a flood plane and harvesting my own crops to eat. I just want true FREEDOM from this hedonist narcissistic world we live in
Sebastian Fisher
>before hiperinflation hits next year
you mean hyperdeflation?
Justin Martinez
City guys always thinks farming is so relaxing roflmao
Camden Brown
We are at the bottom of how bad deflation will get right now. The central banks will simply not allow deflation to occur, and they can do this simply by market selling dollars for other fiat currencies and sending neetbux to everyone. More QE, etc...
Anyone sitting in cash right now expecting this trend to continue is badly underestimating the power of central banks to avoid this scenario.
Just think for a moment: let’s say dollar deflation continues on this path and explodes: what financial institutions world wide will remain solvent? Virtually none. Civilization will implode as we know it. You shouldn’t be hoarding dollars if you believe deflation will get worse: you should be training with a local militia
Central banks will simply not allow it to happen, and they can do it easily by market selling dollars. A new plaza accord is coming within days. Buy gold and silver now: this is the bottom.
Jason Thompson
.5c, .05c.... IM ONTO YOU.
Thomas Thompson
Seems like hedgies agree with me btw. This was posted 5 min ago
Eli Lopez
I’m rural
And I know it’s a lot of work I created my own garden only 20sqft worth. But it’s a hell of a lot better than kneeling and sucking of mr shekelburg on the daily just to make a decent wage. I’m tired of being told what to do, being told I’m wrong, being told no to time off requests. I’d rather dig in the dirt for my own benefit than continue to make the Jews richer through my spent energy.
Juan Thompson
>once deflation makes their loans too hard to pay back
this is just for the US dollar, right? what do you see happening to other currencies?
Daniel Bennett
kek they do. pure bucolic fantasy
Elijah Cooper
This user
is right that deflation simply will not be allowed to occur and is very simply defeated with lmao helicopter money or whatever other strat governments care to take. The issue of the loans going to tits remains. This will still cause an insane liquidity crisis and total failure of many financial institutions in the US once the economic impact of this shutdown and the numerous layoffs across the workforce strike. I don't really know what this will mean for other currencies but some other user is probably smart enough to provide good conjecture. It won't be good.
Jayden Butler
Ok, so what do you suggest us cash-heavy ppl do? I’ve thought of guns, gold, silver etc but nothing seems like it will hold. It’s almost like I should just pay down my house but then again I’m not very financially literate so idk. My financial advisor tells me to buy stocks now so I stopped responding to her calls.
Austin Campbell
Not unless you have no desire or need to sell your crops. Obviously it takes some dirt work but you get to sit on your ass more than not in a small self sustaining operation.
Jonathan Miller
blockchain-based decentralized currency is the best solution for this problem, there will be a requirement of decentralized internet in future which would be secure, maintain privacy & restriction-free, one of the firms working on this technology is Tachyon protocol they have excellent internet service which is powered by the V system & X-VPN.
Alexander Roberts
Gold and silver idiot.
Ian Nelson
If deflation hit and you don't have cash you loose everything and land on a street for years.
If hiperinflation hits and you have cash you loose it.
Solution:
Hold enought cash to pay bills, put rest in gold.
Jonathan Baker
The POINT OF MY POST IDIOT is that If deflation hits, society will instantly collapse 1929 style but worse. It will NOT be allowed to happen.
Jeremiah Gomez
Are you simply shilling wealth conservation or are you assuming gold will 5x like it did during the 2008 drama?
Ryder Evans
FED is printing trillion a day and it does nothing, what more can they do? Print trillion every hour?
Dylan Perez
They can openly devalue the dollar on global markets. Begin open market operations and just mass sell dollars in euros, yen, pounds, etc...
In fact they’ll probably do it tonight.
Robert Bailey
Why would anyone buy it now. Countries walk away from dollar. Petrodollars are on the way out.
Alexander Perry
Kek. The world is literally BEGGING the fed for dollars. EVERYONE is short dollars
Are you even awake right now retard?
Dominic Ross
Yeah i see your point. But most farmers have to suck up to buyers, banks, land owners etc anyhow. Just growing your own food wont help you when you need to pay for gas, vet services, doctors, lawyers etc etc
Benjamin Edwards
I got me a bag of this and some Gold. UND is unironically a hedge.
>hoarding dollars if you believe deflation will get worse: you should be training with a local militia
BASED