FED (just annouced) Official Rates to rise to 0.25%

There has been a bubble for years... and its been Low Interest Rates!

The FED/Other economies will need to keep moving rates higher whether they like it or not over the coming few years. This of course, will have terrible implications to any foreign nation/corporation hold USD denominated debt! Their currencies will slide, whilst the move of capital to the USD will surge, making the problem even worse.

The fixed income market is f*kd. Plenty of Hedge Funds etc. holding such on their books will be fried! Bonds, especially risky markets 'junk bonds' will be a severe place of turmoil.

I think we will no a lot more as we hit Q2 in 2016 when things begin to really heat up and problems relating to the above comments become more apparent and amplified.

The entire commodities matrix has been in a severe bear market for many years now and i think there is further pain into the near term as China's slow-down (supply/demand) takes effect. Deflation. USD cash will be king. For awhile...

That said... there will be some really good commodity stocks 'on-sale' in 2016/2017 as markets get shaken up and all that capital from around the world sloshes about.

Enjoy the ride!

BB
 
bellinvest said:
There has been a bubble for years... and its been Low Interest Rates!
Click to expand...


6641_rates.png
 
This all brings me back to the genius Kondratiev, and his wave theory, in particular to 60 year super cycle. A specific modification of the theory of Kondratieff cycles was developed by Daniel mihula. mihula identified six long-waves within modern society and the capitalist economy, each of which was initiated by a specific technological revolution:[22]

1. (16001780) The wave of the Financial-agricultural revolution
2. (17801880) The wave of the Industrial revolution
3. (18801940) The wave of the Technical revolution
4. (19401985) The wave of the Scientific-technical revolution
5. (19852015) The wave of the Information and telecommunications revolution
6. (20152035?) The hypothetical wave of the post-informational technological revolution

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