Those who have been reading this blog know about a “black swan” event, an unexpected and unanticipated event that has a negative impact on lives and/or financial markets. It appears that we are finding a flock of black swans around the globe. There are so many unusual events happening around the globe that reporters must choose which event to focus on.
Japan’s triple catastrophes will be felt for a long time to come. In the current paradigm, nuclear energy must be developed but the images from Japan will cause an uphill battle for the industry. I find it interesting that the Japanese do not trust their government to tell them the truth about the exposure risks. It seems like the people around the world all have the same mistrust of their governments.
Meanwhile, President Obama’s pledge to get us out of war seems to be put on hold while the U.S. and its allies bomb Libyan targets and begin enforcing a no-fly zone over the country. Only time will tell when we can close down this latest campaign. Last weekend Saudi Arabia sent 1,000 troops to Bahrain to enforce martial law and keep the unrest in check. That did not make the network news but is probably the most significant piece of news of the weekend. If Bahrain falls, the Saudi’s could be next. If that happens, oil could shoot up to the $200 range.
While the geopolitical turmoil rages on, the Fed continues to print money which will ultimately show up as price inflation. They have been successfully re-liquefying the banks. That means they have provided the banks with money and means to create risk-free profits to offset past losses… what a deal! They have successfully robbed from the savers of America to give to the banks who in turn issue ungodly bonuses to management. This act of unequal weights and measures will receive a harsh judgment at some point. Our Heavenly Father has an excellent memory.
So we are seeing natural disasters with greater frequency, geopolitical upheavals in energy sensitive areas, and potential economic tsunamis heading our way. What should we do about all this? First and foremost, draw near to Our Heavenly Father for HE will lead and guide each one of us through the upheavals. Secondly, do what you can to prepare for worst case scenarios. Those of us who bought and stored potassium iodate were prepared when the news reported the nuclear event in Japan. With an indefinite shelf life, the pills provide a simple, low cost “insurance” policy against global events such as what we have recently experienced. Buy enough for your loved ones too. Buy extra non-perishable food. With inflation expected, it would be a good investment anyway. Keep extra cash in case of an emergency. ATM’s in Japan were shut down thus people were unable to get cash. Have an evacuation plan drawn up in case you have to leave your city unexpectedly. Most of all, deal with your denial that something could not happen to your locality. Think the unthinkable!