it can be very bad to be int he wrong asset class at the wrong time if it goes down for an extended time.
the us dollar may be the wrong asset class for a while.
Agreed. One thing that I have come to realize is that the value of all assets is controlled and manipulated by very powerful persons (VPPs). The VPPs will move prices in ways that suit them and they use these movements to fleece the sheep (the rest of us). A great deal (not all) of what we read on the internet, in a newspaper, or see on TV is designed to move the flock in the same way that dogs are used to move flocks of sheep. Fear is the most powerful motivator. Just as the herd moves in fear of the predator-that-is-not-an-actual-predator (the sheep dog), we all move in fear of the threat-that-is-not-actually-a-threat. In recent years this has been:
1) Losing your standard of living because you don’t own dot-com stocks
2) Losing your standard of living because you don’t own a house in Southern California
3) Dying from terrorism
Now there are some new ones:
1) Losing your standard of living because the dollar is going to zero and you don’t own gold.
2) Dying from swine flu
The VPPs will do as they wish and will continue fleecing the flock. Gold might keep you safe for a while, but only if the VPPs allow it.
