Friday, December 30, 2022

Zoltan Pozsar: G7 Investors Should Worry About Gold-Backed Renminbi Eclipsing Dollars, Commodity Encumbrance

Game-changer? Zoltan Pozsar thinks so.

7 comments:

Peter Pan said...

"G7 investors"... sounds like a savvy, sophisticated bunch.

The unsophisticated and their money are soon parted.

Ahmed Fares said...

The unsophisticated and their money are soon parted.

Canadians all excited about marijuana being legal. Do you know what marijuana is when it becomes legal? It's lettuce and has the same economics as lettuce.

Canadians have lost more than $131 billion investing in cannabis companies: firm

This from a different article (bold mine):

To the naked eye, this collapse may not seem all that unusual. Canada’s entire cannabis sector is reeling. The market peak was in September, 2018, a month before recreational cannabis was legalized. Four years later, many mid-tier producers have merged with rivals simply to stay alive. Canopy’s share price has collapsed from $67.74 on Sept. 7, 2018 to $3.39 as of Friday’s market close.

Warren Buffett said that the market is a wealth transfer mechanism that transfers wealth from the less-informed to the more-informed. It would have been useful if this money had been taken away from these so-called "investors" and invested in something useful for Canada's future instead of being invested in "lettuce".

Peter Pan said...

And I thought the excitement was about the opportunity to legally smoke weed.

Matt Franko said...

You have to fade all this..,,

sths said...

It seems like all vague handwavy stuff. What does convertibility to gold mean? Does it mean china plans on pegging the yuan to gold? If not then it's pretty meaningless. Every currency is convertible to gold. You just go to the mint and you can "convert" your currency to gold.

NeilW said...

It won't be gold. It will be alleged claims over gold, ie gold derivatives. Much like the US dollar was before decoupling.

You don't have gold unless it is in a vault you control.

Matt Franko said...

It’s a commodity backed munnie scheme… it doesn’t work…