There has been a LOT of chatter lately, warning of the impending DEFLATION. People like Rick Ackerman and Harry Dent are leading the bandwagon. It is very important to your financial well being that YOU get this one right. Your portfolio should be very different under a deflation or hyperinflation scenario. Unfortunately, you have to react to one or the other; you can’t just sit idly by on the sidelines. Each scenario will affect your portfolio. Should you be in the stock market? Should you be in dollars? Should you keep investing in precious metals? The inflation/deflation outcome will affect all of these areas.
So, it is critical that you pick the right outcome. Should you follow Dent’s recommendations – or those provided by the brilliant John Williams at Shadowstats? I am going with Williams. I will take my chances with his analysis and not look back.
If you don’t already subscribe to Shadowstats, you really should. In today’s newsletter, I have presented a few of his recent comments on the state of the economy, the dollar and where we are (soon) headed. Hint: hyperinflation, collapsing economy, plunging dollar and rising precious metals. Read his section today.