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Carnage!

Destruction!

Recession!

I reckon those three words are ones most used whenever I read or listened to anything market-related this last week.

No doubt it’s been a hell of a ride.

Wouldn’t it be nice if you could lift yourself above the noise and emotion and put this week’s market volatility into its proper perspective?

“It sure would!”, I hear you say.

Would it be even better if I told you that you could have been guided through all of it to make the correct decisions about your future wealth at the right time?

Now I have got your attention.

So please read on.

Are you the weak hand, or the strong hand?

They say nothing moves in isolation.

I guess you could include the financial markets in that. However, there’s another saying which, to my mind, encapsulates the current dynamic rather better.

“True wealth is never destroyed, it’s merely transferred from weak hands to strong”.

I think that sums up far more accurately the things I’ve witnessed in markets recently, as well as most of my investment career.

So, it’s no surprise to me that bond yields both here in Australia and particularly the US have risen lately in line with ‘forward guidance’ of their respective central bankers.

In their push to eradicate inflation (their words, not mine) the talk is that central banks will apply the brakes via rigorous and targeted multiple interest rate rises.

Thus, bond yields everywhere are rising and catching bids from money flowing out of equity markets straight into ‘safe havens’ like bonds.

Can you see how wealth is merely transferred during times like these?

Nonetheless, it doesn’t mean the worst is over yet.

Source: AFR

Now, whether you’re a crypto fanatic or interested bystander, it’s hard not to feel dizzy when you hear of some of the fortunes the so-called ‘whales’ of the industry made, and then lost, very quickly.

Worth as much as $US145 billion ($208 billion) on November 9, when bitcoin reached a record high of almost $US69,000, seven billionaires with fortunes tied to crypto have since lost a combined $US114 billion, according to the Bloomberg Billionaires Index.

Whoa, that’s not chump change!

Then of course there are the US stock markets.

As they say, when the US stock market sneezes, the rest of the world catches the cold!

Source: WSJ

Adding to concerns for stock investors: Many have begun to worry that corporate profits are coming under threat, suggesting that valuation measures based on earnings projections could be understating how expensive stocks really are. U.S. companies have warned of challenges on multiple fronts, from rising costs to a foreign exchange hit from a stronger dollar.

Those “challenges” mentioned from the article above refer to the ongoing war in Ukraine and supply chain disruptions across the globe which is causing a sharp rise in inflation.

The stock market’s job therefore is to discount all this news into the price.

Put aside the macro picture for a moment, all of this means average investors in stock markets, the housing and crypto markets are currently under significant financial stress.

Particularly if you own all three personally!

So, what can the average person do? I mean, if the big money is suffering right now how can you possibly cope?

I believe I have the answer, one that removes the emotions and provides you with a proven edge.

Precisely at times like these when you need it.

A market edge like no other.

I have utmost confidence in saying this to you.

And that is I no longer panic, make emotional decisions or lose sight of the big picture during market times like these.

And it’s all down to my knowledge of the 18.6-year Real Estate Cycle.

Can you even place a price upon such peace of mind?

You see, the benefits to me is, I can look back at times in history when precisely the same things occurring now, happened in the past.

That’s right, high inflation – check.

War between nation states – check.

Rising interest rates – check.

Residential property markets correcting down from astronomically high prices. You get the idea, no?

It has all happened before.

And the real estate cycle continued to move regardless.

Let me ask you, how often have you read or heard anyone mention or speak about the Law of Economic Rent during the past, let’s say, two weeks?

I haven’t, and yet this Law explains everything!

When a society encloses the natural rent generated by productive use of land and thus allows banks to lend money against said natural rent, you must and will get a real estate cycle. Only economists really use this term “rent”. You see the rent in the price you pay for a piece of land, or part of what you pay for your property.

It’s got nothing to do with inflation, stock market corrections, interest rate rises or residential home prices correcting at the present time.

We are no longer in Covid lockdowns. Despite the troubles, the world has returned back to its productive self as best as possible.

Which means the gains produced by society will eventually manifest themselves straight into the land.

So that’s residential, commercial, industrial, essential services, government owned land, infrastructure, space ports, EV recharging stations. Everything we do or own must be based on land.

Such that when we enclose the rights to it via private ownership, it’s the owners and not society that captures those gains.

It’s the Law.

And the Law states that right now is the wrong time for a looming recession or indeed a depression to occur.

It states that regardless of recent market action, we are beginning the largest single wealth generating event in human history.

And the dynamic is unequivocal when it comes to the land market.

The absolute peak in US land markets for this current cycle will happen sometime during or just after 2026 and not beforehand.

Are you panicking now, or instead are you preparing?

I know what I’m doing.

I invite you to be just as proactive and become our newest Boom Bust Bulletin (BBB) member.

It will teach you the history of the 18.6-year Real Estate Cycle, why it continues to repeat to this day and identify the opportunities as they present themselves.

Have a look now around you to see the kind of market action, emotion and behavior that permeates whenever we experience a correction like this.

Regardless of whether you hold crypto, property or shares, no one has been spared.

This is where we can help. The BBB can teach you how the cycle really works and the immutable laws which govern its movements for over 200 years of history.

Get on the right side of this trend, don’t falter or be indecisive any longer.

Get educated instead, identify the timing to succeed and win.

Sign up now.

Best wishes,

Darren J Wilson
and your Property Sharemarket Economics Team

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This content is not personal or general advice. If you are in doubt as to how to apply or even should be applying the content in this document to your own personal situation, we recommend you seek professional financial advice. Feel free to forward this email to any other person whom you think should read it.