April/May 2019 - Summary -

This 8th and final monthly newsletter shows that the cracks are finally appearing in economies around the world, and that these cracks can cause massive financial instability, which will most likely be much larger than during the 2008 crisis. I`ve said it many times, but i`ll say it again: the 2008 crisis wasn`t fixed, it was patched. It couldn`t be fixed, because the underlying problems are just too big, and the economic suffering that we`d all have to endure to really fix it, would cause massive poverty all over the globe.

Hence the governments chose to “keep the music playing”, and create artificial wealth by printing more and more money, while the value of this money kept on going down. To top that off, most of the wealth ended up in the hands of the small percentage of people who own stocks.
Now that the U.S. – China trade war is shaping up, we should prepare ourselves for massive declines in stock market value, massive layoffs, and prices that keep on rising. The word for this is stagflation, which is still my number one outcome of this whole debacle that we are in right now.

From now on I will write shorter, weekly newsletters that will be available through the website www.bubblesbottoms.com, or the good old twitter. If you haven`t done so, do follow me on Twitter at @bubblesbottoms, which is where I post all the charts that are added into the newsletter. Practically none of these charts are mine, they are made by the great individuals who run the financial twitter or “fintwit” community, and whose insights make me smarter every day. The only thing I do is compile this information, share their insights and mix it with my own opinion.

A special mention goes to the $TSLAQ community, which has given amazing insights into the workings of Tesla as a business. I started following many of the people in this community in July, when Elon Musk worked on a submarine for the Thai cave rescue, and suddenly called one of the divers a “pedo guy”. Two months later he got interviewed by Joe Rogan and smoked weed in front of millions of viewers. This irrational behaviour has intrigued me, and the $TSLAQ community has shown that not only he, but also his company has deeper secrets than what the mainstream media shows. From excess inventory to the thickness of car paint, from the “whompy wheels” to the tens of videos with failures in autonomous driving, the community has taught me a lot about a person and a company that I admired a lot in the past!

 To me Elon Musk is one of the poster childs of cheap credit; big promises, small delivery.

Thank you for reading, and don`t forget to stay positive!

Robbert-John Sjollema

The information contained in this publication is not intended to constitute individual investment advice and is not designed to meet your personal financial situation. The opinions expressed in this publication is that of the publisher and is subject to change without notice. The information in this publication may become outdated and there is no obligation to update any such information.