As we approach a new year, we wonder what it will bring, particularly the risks. A few thoughts include the following…
No doubt that the Federal Reserve will continue dumping more money into the system, even though they no longer call it Quantitative Easing.
The Fed will do their best to keep interest rates at all time lows, discouraging savings while encouraging more borrowing and spending into the marketplace to keep the scheme afloat.
The Fed will continue to debase the currency, meaning your purchasing power will continue to diminish.
Some countries race to devalue their own currency so they can export more products to foreign countries as their effective costs will be less. It’s a race to the bottom, a currency war.
The bond bubble will continue, and it will be huge whenever it finally bursts. At some point, interest rates are going to have to go up.
The search for tangible assets which will hold real value, continues.
Geopolitical struggle for finite and dwindling resources which are under pressure in a world with an insatiable appetite for energy.
Cyber wars. More of it.
Further moves towards socialism as the mindset of the population here continues beyond the apparent halfway point of more dependent versus independent minded and those who believe that government is the answer to our problems.
More encroachment on freedoms and liberties as the spy / police state continues to grow unabated (camouflaged “for our own safety”) while a majority of people either remain unaware or are unconcerned.
The food crisis looks to worsen worldwide as the effects of drought continue to raise food prices. Poor nations and people will have even more difficulty feeding themselves in this world of 7 billion.
More focus on safe foods as we continue to question GMO and other ‘fill’ that are in our processed foods.
Overseas… as revolutions continue, massive demonstrations from the people who are paying more for food and survival, who are disenchanted with their leaders, have lost much of what they had and who feel they have have nothing left to lose.
The next world war continues to develop, the one that has already begun…
Feel free to add your own thoughts or predictions by commenting below.