Dwane

The White Elephant That Could Destroy Your Portfolio, Part I

We all know that food and fuel are rising and these ae two staples which we require for our surival and lifestyle. The idea of lowering interest rates until housing stabalizes might be 2-5 years off. In the end inflation will have to rise faster and faster until houses look cheap. This mess looks much worse than the tech bubble. The problem is all the cheap money went after commodities. It may be awhile before cheap money goes back to the housing industry. In the meantime core inflation (which I might add means nothing to an aging population rises) real inflation will have to rise higher and higher.