I received an e-mail yesterday entitled “Everything is rigged, so what?”. The e-mail came from Bill Bonner’s “Daily Reckoning” website which more often than not has some good and thoughtful pieces to read. THIS not only was an exception, it was beyond stupid! I thought to myself, maybe the title is misleading so I read the piece. Nope, not misleading, the author, Chris Mayer, basically is saying that since everything is rigged and you are aware of it, you can take advantage of it. Through good research…blah blah blah you can more or less “outsmart” the riggers.
I was not in a particularly good mood while reading this and sent off a terse and vulgar reply to such ignorance. Think about it for a moment, “Everything is rigged, so what?” If you believe (know) that everything is rigged, what does that really mean? It means that EVERYTHING is false. It means that you cannot trust anything. You can’t trust what your bank statement says that you have. You can’t trust your brokerage or insurance statements. It means that when you work or trade, if you accept Dollars, you are being ripped off.
If everything is “rigged,” you can pretty much bet that it’s not rigged in YOUR favor, it is rigged in their favor. Investors will react to this en masse when they figure the game out. They will EXIT! In fact, if you look at the mutual fund (out)flows and the volume on the stock markets, investors are already withdrawing. “Where” will they withdraw to? This is easy, to tangibles that they can purchase and hold outside of the system. Eric Sprott just wrote a piece similar to this train of thought called Investors have nowhere left to hide and will start running to silver and gold: Sprott, and says that investors will exit NIRP (negative interest rate policy) by moving into Gold and Silver. Gold and Silver ARE money, when investors are being pushed into a corner, these funds will have no other logical place to go. It is the most basic of logic. So you are not being paid a fair interest rate? Silver and Gold. The markets and everything about them are rigged, not in your favor? Silver and Gold.
Do you see where this has lead to? “Official policy” of suppressing interest rates to prolong the debt bubbles are pushing investors into the exact investments that the policymakers DON’T WANT YOU IN! Their policies, (lies, rigs etc.) are now the foremost catalysts pushing logical investors AWAY from their system and into real money. When you can’t trust anything, what do you do? You move into THE only thing that you can trust. Real, hold in your hand, MONEY!