ChinaAs we know so well; over the last two weeks, the chaos in global markets finally reached the shores of Manhattan. Market chaos, that had previously been quite widespread and headlined by China, finally gripped U.S. markets. Now we find out China has exited over $100 billion of U.S. Treasury bonds in just the last two weeks and has indicated it is dumping more through Belgium and elsewhere.
China will clearly no longer fund U.S. budget deficits in the foreseeable future. This leaves us with the misunderstood truth “the Federal Reserve is THE Buyer of last resort.” Worse yet; the Emerging Markets have had to jump the gun and have already started to unload U.S. Treasury’s as their currency falls to reflect lower trade and China’s devaluation of the Yuan.
Apparently, the U.S. has now crossed the Rubicon of sorts and will be forced to “print” deficit spending as a last resort. It is called MONETIZATION and has ALWAYS led to hyperinflation.

When China’s stock market started to slide a few months ago it was a gift in disguise to the IMF. It wasn’t that China’s financial markets were thrown into chaos. Those things happen from time to time, especially when economies are so bloated on fiat paper.
The real problem was how the Chinese government reacted to it.
They froze stock prices. They jailed short sellers. They even tried whipping retail investors into a frenzy, pushing them to go out and mortgage their homes to buy more stocks.
The string of authoritarian measures they implemented looked plain desperate and amateurish, leaving the rest of the world thinking, “same old China.”
Thus, China’s 10+ years of trying to convince the world that they are serious and credible were in vain.

fall plunge[We are] Ultimately headed for a dollar crisis – next time when the dollar falls it will fall vs. the yuan. The next currency crisis will be much worse because when the dollar falls, China won’t be there to catch it.

Let me give you an example of something that I bought recently, and talk you through my thought process.
As a caveat, I should tell you that I generally dislike stocks.

Stock markets are a rigged game designed to extract wealth from the little guy and put it in the pockets of investment banks and high frequency traders.
So for me to be interested, there better be some serious value on the table.