# Chinese spend trillions speculating on the value of 'pet rocks'.



## Lt Commando (Jan 28, 2017)

I believe that we are heading for another global financial crisis in 2017. It will be blamed on Trump but it will actually be caused by the low interest rate, high liquidity experiment done by the inept Federal Reserve Bank.

Also the Government allows the banks to use our money to speculate in derivatives. Heads bankers win, tails tax payers lose as we fund another bailout.


The US bond market is in a huge bubble and is about to correct pushing interest rates up substantially. 
The property bubble will burst as interest rates rise.
The Chinese are investing in apartments in ghost cities that have no tenants. Property that has no tenants, or prospect of getting any, is of no economic value. Their bursting bubble will spread like a contagion. Investing in empty Chinese property makes no more sense than speculating on the value of 'pet rocks'.

Most assets you buy today will be much cheaper by the end of 2018.

My advice is buy silver bullion and keep the rest in cash. Real cash in your own safe. 
Don't trust the banking system.

You think the Federal Reserve can save us from the next banking crisis?
* Balance sheet of the Federal Reserve US$4.5 trillion
* Total size of the US government band market US$37 trillion
* Size of the derivatives market US$750 trillion
When it blows up market forces will eat the Federal Reserve before breakfast.


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