the dollar vigilante blog
The Weekend Vigilante
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Hello from chilly San Francisco!
It's been a whirlwind month for me, from Argentina to Montreal to San Francisco. I'll be wrapping it up this week at the Hard Assets show and then will be returning to my beach condos in Acapulco. But, the craziness doesn't stop there. I'll be getting married on the beach in Acapulco on December 2nd... and, from what I hear, Mexican weddings last anywhere from 3-15 days... so, by Christmas, if I and my liver are still alive, I should be looking forward to a few weeks on the beach to replenish and get rested up for what the Mayans keep saying is going to be a wild 2012.
With or without the Mayans, it is going to be wild though. At the rate the euro is going, it may not make it through to 2012. TDV subscriber, Stefan S., sent us these two photos from Frankfurt airport which may already show that the designs for a hyperinflating 10,000 euro note are already in process.
Here's a close-up:
While that is obviously just a typical government warning to declare your currency (always the first step prior to currency controls) and is obviously just a photoshopped mock-up, they may be ahead of the game by designing a 10,000 euro note.... soon that might be what it takes to buy you a weiner schnitzel and an ice-cold Hefeweizen.
Seriously, however, we are walking the razor fine line of euro collapse at the moment. And, a collapse of the euro would all but set off a complete monetary system collapse that would bring down virtually all western fiat currencies and result in a depression unlike anything we've ever seen before.
From our perspective, as dollar vigilantes, we are prepared for whatever happens. If the euro collapses and brings down the financial system, instantly impoverishing hundreds of millions, we have the majority of our assets in hard assets and many of us have already moved out from population centers. For those who remain, they should hopefully be as prepared as possible with a few months worth of food, water and some weapons to stave off the hordes.
And, if they paper over the euro, yet again, then that means we are headed for another year or two of rising inflation that will likely result in a gold stock mania bubble unlike any in history... at that point we'll be looking for 1,000-10,000%+ type returns on our gold stocks (which are 30% of our general portfolio) and then we'll look to cash in our profits and get into hard assets again before the next collapse.
All in all, it is not easy times for investors/speculators. There isn't a lot of historical data for what works best during a global monetary system collapse... so, all we can do is hedge our bets and do our best to adapt to the constantly changing landscape and try to avoid the traps, mostly laid by our own governments to confiscate our wealth, along the way through geopolitically diversifying our assets, second passports and the like.
As Richard Russell once said, in times like these, the person who loses the least, wins. Many of our friends and neighbors - those who roll their eyes when we talk about things like this - will be wiped out completely. And, Occupy Wall Street is already carving their knives for anyone who has any remaining assets - as is usually the case during the collapse of a socialist-style system.
And, that is if the US doesn't enter the world into World War III in the meantime as the Prince of Peace, Barack Obama and the psychopathic murderer, Hillary Clinton, romp around the world sabre-rattling and provoking almost everyone, from the Chinese, to the Russians to the Arabs into an all-out, world-ending, nuclear armageddon.
So, especially for our American friends this week, enjoy your time with your friends and loved ones this Thanksgiving... we should all do the same, not just on special occassions, but everyday. We live in incredibly dangerous times... and not for the things that the government tells us, such as terrorists. It is dangerous because of all of the things the governments have been doing. We may be nearing the end of the failed nation-state experiment and are headed towards a time of unprecedented peace and prosperity but these nation-states never seem to go away quietly.
SAN FRANCISCO HARD ASSETS SHOW
I'll be speaking with my presentation "Escape from America" at 7:40am at the Hard Assets show at the Marriott Marquis in downtown San Francisco. I'll also be making an unscheduled appearance on the Keynote panel entitled "Up and Comers" at 5:30pm on Sunday, with Chris Berry, David Franklin and moderated by Gordon Holmes. I have no idea what that panel is going to be about but I doubt it will be as pornographic as it sounds.
I'll also be at the show at our booth most of the day Monday. If you will be at the show, please drop by and say hi. We may be organizing a dollar vigilante meet-up this weekend. If you are interested, email us at email@example.com.
We received an email monsoon of responses to our request for interest in being an editor for TDV as well as contributors. Due to the massive amount we have decided to wait until December, when things will be quieter for us, to go through them all. So, if you sent us an email and haven't heard a reply, that's why.
However, for anyone who wishes to contribute, feel free to send any article submissions our way. If we find the article is interesting and in-line with our anarcho-capitalist worldview, we'll publish it. Already, we published one article this month from Alexander Jousse, entitled "Italy a Perfect Example of the Despotism of Democracy". Alexander is now our official Italian TDV correspondent... which comes in handy because it is good to have like-minded people on the ground in many of these countries to keep an eye out for change in this rapidly developing western monetary system collapse.
To all those in the US, Happy Thanksgiving. Below are two of our favorite Thanksgiving-related "Pepper Spray" mock-pieces, followed by one non-Thanksgiving related one, just because it is funny.
HAVE A GREAT WEEKEND
That's all for this week, have a great one!