Dear reader,
The markets have been having some rough weeks. The outbreak of the Coronavirus has spread to over 100 countries and several countries have been in lockdown. The virus has impacted a lot on the world economy and will continue to do so for the rest of the year.
Besides the Coronavirus there are more things affecting the global markets and the financial systems. The war on oil has spiked a great rally these last days and will continue to have great effect on different markets and industries.
What is the everything bubble?
I came about a video from Mike Maloney about a year and a half ago. Mike is big investor in global markets particularly to the world of precious metals such as gold and silver. His video's are of good inspiration and knowledge. He has a very openminded towards the different markets and the research he has done is very great to see things out of different perspectives.
The title of his video is the everything bubble and I will leave a link to the video at the end of this weeks blog. In his video he talks about a crash in every market. From the stock market, to a real estate crash and a crash in the bond market. His video is made in 2017 and you can see that the things he predicts are starting to happen now.
You will be able to find more different video's on youtube that go in to debt about the everything bubble and have different views about the markets. I am going to keep this post based on the video from Mike Maloney.
The everything bubble 2020:
We have entered the third month of the year and the different markets have been making some big head waves. We have had our largest daily stock market decline since 2008. We are just shy of reaching bear territory. The 10 year bonds have been falling and they are down bellow 1% even reaching 0.341% yield. Oil has had it's second largest one day decline since 1991.
What does this mean?
The stock market has had some beautiful years. If you entered the market back in 2009 you would have several 100% gains on your investments. For the last year nearly every stock reached its all time high and things look good in green. But we are long over due for a crash and a correction. Investors are ready to take profits and let the market slow down a bit. But for the past 13 days the stock market has been in the red with even the dow jones loosing 1000+ points on several days. In just a month time the stock market is just shy of loosing 20% this means that we are heading into a recession territory.
While the stock market is coming down the bonds aren't doing much better. They have had the hardest hits these days. With the 10 year treasury bond yielding at 0.341% with a week before just falling under the 1% yield.
The hardest hit has been the oil market. With the Russians and the Saudi's starting a war on oil productions and sales it has let the oil market loose 30% of it's value. All major oil companies around the world have felt this and have seen a decrease in price between the 15 and 30% in one day.
What's next?:
If you have watched the video of Mike Maloney you would have seen that the data he has from back in 2017 correlates very well with the current market situation. There is no real panic on the streets but it is about to get serious. A lot of investors have said that the bottom has not been reached yet and more is to come. So keep your eyes and ears open.
I am not a financial advisor or expert. I started investing in the cryptocurrency world about three years ago and I am making my way in different markets as I go along. This year is going to be my year to start investing in the stock market. Are you sure...?? Yes I am. There is never a good time to start in the market. The best advice I can give you is do your research. Start small and make mistakes. Learn from your mistakes and don't make them again. (Some of the greatest investors of all time made most of their fortune during a market crash, just saying.)
What can you do?:
Prepare your self for anything. Make sure you don't put all your money into one company or stock. Diversify, put some money into gold and silver or mining companies. You can buy oil cheap at the moment and look for some saver companies that will last in every market like Coca Cola. But what ever you do, do your research. Don't let your emotions take control when it comes to investing. Yes you may loose some money but if you are smart you can make way more money than you have lost.
Thank you for reading and see you next week.
Franklin, Moments2Success.
https://www.youtube.com/watch?v=w0Oz2R0u4VM
The markets have been having some rough weeks. The outbreak of the Coronavirus has spread to over 100 countries and several countries have been in lockdown. The virus has impacted a lot on the world economy and will continue to do so for the rest of the year.
Besides the Coronavirus there are more things affecting the global markets and the financial systems. The war on oil has spiked a great rally these last days and will continue to have great effect on different markets and industries.
What is the everything bubble?
I came about a video from Mike Maloney about a year and a half ago. Mike is big investor in global markets particularly to the world of precious metals such as gold and silver. His video's are of good inspiration and knowledge. He has a very openminded towards the different markets and the research he has done is very great to see things out of different perspectives.
You will be able to find more different video's on youtube that go in to debt about the everything bubble and have different views about the markets. I am going to keep this post based on the video from Mike Maloney.
The everything bubble 2020:
We have entered the third month of the year and the different markets have been making some big head waves. We have had our largest daily stock market decline since 2008. We are just shy of reaching bear territory. The 10 year bonds have been falling and they are down bellow 1% even reaching 0.341% yield. Oil has had it's second largest one day decline since 1991.
What does this mean?
The stock market has had some beautiful years. If you entered the market back in 2009 you would have several 100% gains on your investments. For the last year nearly every stock reached its all time high and things look good in green. But we are long over due for a crash and a correction. Investors are ready to take profits and let the market slow down a bit. But for the past 13 days the stock market has been in the red with even the dow jones loosing 1000+ points on several days. In just a month time the stock market is just shy of loosing 20% this means that we are heading into a recession territory.
While the stock market is coming down the bonds aren't doing much better. They have had the hardest hits these days. With the 10 year treasury bond yielding at 0.341% with a week before just falling under the 1% yield.
The hardest hit has been the oil market. With the Russians and the Saudi's starting a war on oil productions and sales it has let the oil market loose 30% of it's value. All major oil companies around the world have felt this and have seen a decrease in price between the 15 and 30% in one day.
What's next?:
If you have watched the video of Mike Maloney you would have seen that the data he has from back in 2017 correlates very well with the current market situation. There is no real panic on the streets but it is about to get serious. A lot of investors have said that the bottom has not been reached yet and more is to come. So keep your eyes and ears open.
I am not a financial advisor or expert. I started investing in the cryptocurrency world about three years ago and I am making my way in different markets as I go along. This year is going to be my year to start investing in the stock market. Are you sure...?? Yes I am. There is never a good time to start in the market. The best advice I can give you is do your research. Start small and make mistakes. Learn from your mistakes and don't make them again. (Some of the greatest investors of all time made most of their fortune during a market crash, just saying.)
What can you do?:
Prepare your self for anything. Make sure you don't put all your money into one company or stock. Diversify, put some money into gold and silver or mining companies. You can buy oil cheap at the moment and look for some saver companies that will last in every market like Coca Cola. But what ever you do, do your research. Don't let your emotions take control when it comes to investing. Yes you may loose some money but if you are smart you can make way more money than you have lost.
Thank you for reading and see you next week.
Franklin, Moments2Success.
https://www.youtube.com/watch?v=w0Oz2R0u4VM
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