A Few Thoughts On The Greek Situation

In America, we’ve had states go bankrupt, cities, counties. This has happened before. It didn’t end America, didn’t end the US Dollar. You let entities collapse, go bankrupt. This happens all the time. This happened throughout history. That’s all you have to do, let them go bankrupt, let the people who made the bad loans take their losses and start over from a sounder base. But just pushing into the future and letting debt go higher and higher will mean it’s going to end very, very badly and then you know, five years from now, you may have a complete collapse of the Euro, the European Union and for that matter, all the Western world.

I’ll Probably Make More Money In Agriculture Than In Other Things

Agriculture prices are still, on a historic basis, extremely depressed, and in my view I’ll probably make more money in agriculture than in other things.

The US Dollar Has Started To Fade As The World`s Reserve Currency

The U.S. dollar has started fading as the world's reserve currency. However, the dollar could get a temporary boost if the government allows U.S. companies to repatriate their overseas cash without onerous taxation

All Markets, Bull or Bear, Have Contractions, Consolidations, Corrections

Well, all markets, bull or bear, have contractions, consolidations, corrections — call them what you will—and it looks as though that’s happened to some commodities now. It’s also happened to some stocks and some currencies. It’s the way the world works. If you look at oil, for instance, it has gone down over 50 percent three or four different times since 1998. That’s what markets do, and they will continue to do that. I would expect we’re going to see many more periods like this in the next decade. I hope we do. Anything that goes straight up you know turns around and comes straight down eventually.

This Is A Huge Mistake For Switzerland

The move will work for a while, but the market will have more money in the end than the SNB. The Swiss central bank risks losing a lot of money buying up lots of foreign currencies which they will eventually sell at a loss.

Another risk is that the central bank will totally debase the Swiss franc trying to keep Switzerland 'competitive' which will then destroy the traditional Swiss financial industry.

So this is a huge mistake for Switzerland since they are going to suffer more either way.

The Price Of A Commodity Will Never Go To Zero

The price of a commodity will never go to zero. When you invest in commodities futures, you're not buying a piece of paper that says you own an intangible piece of company that can go bankrupt.

Recognize Change And React Accordingly

Those who can not adjust to change will be swept aside by it. Those who recognize change and react accordingly will benefit.