by Sys1 » Tue 21 Feb 2012, 13:25:51
$this->bbcode_second_pass_quote('', 't')hat we're at the latest peak of the undulating plateau, where the stock market prices and oil prices are at their highest - and are about to nose dive again as the economy once again tanks?
I am seriously thinking of taking most of my money OUT of the stock markets, and moving to a "cash" position. I've recovered nicely from 2008 - and I see us going back down into serious recession from the current quasi-recession mode.
You seem to understand the situation since you mention in your post undulating plateau. That's why I think it's pretty crazy that despite your knowledge of peak oil and its consequences, you still have some money on stock markets... I personnaly didn't invest a cent in stock market since I've heard about peak oil. Anyway, as a french, stock markets have never been popular over there.
It's great that you recovered from 2008 with your stocks. But actually, your money was saved with sovereign debt, meaning that the economic system is running out of ammos. Nowadays, countries can't increase debt much more. They have two choices :
- Printing money : meaning hyperinflation. In this case, stock markets could go up while their real value get down.
- Austerity : meaning depression. In this case everything go down, but money, at least until the final crash, will worth more and more.
In those two cases, money going exponential with hyperinflation or going 0 with depression, average Joe will become poor Joe. Or starving Joe.
Invest in hard assets (gold, canned food, utilities...). Arable soil if you are really rich.
Note that my peak oil bible or should I say my "revelation book" is Olduvai theory. Every important decisions I made from 2005 were done with this theory in mind. We are going down the cliff this year. 2012. We are very close from a total breakdown of BAU. The Europe debt situation is grim, oil prices are back around 100$ a barrel and a risk of war is growing around Iran.