Extraordinary popular delusions

[Bill Bonner’s Diary]( Extraordinary Popular Delusions By Bill Bonner Wednesday, February 3, 2021 Let us not, in the pride of our superior knowledge, turn with contempt from the follies of our predecessors. The study of the errors into which great minds have fallen in the pursuit of truth can never be uninstructive. – 19th-century Scottish author Charles MacKay [Bill Bonner] WEST RIVER, MARYLAND – As you know, Dear Reader, we live in an Age of Miracles. Jesus could turn water into wine. But the Federal Reserve can go one better… It can turn worthless pieces of paper into – money! Trillions of dollars’ worth of money. Enough to “stimulate” the world’s biggest economy into a state of transcendental ecstasy. Or at least into a pleasurable, momentary delusion of normalcy. Recommended Link [Man Who Picked Bitcoin, Nvidia, and Tesla Issues New “Buy” Alert]( [image]( This is all part of a $30 trillion megatrend that’s set to dominate this decade. Warren Buffett, Jeff Bezos, and Elon Musk are investing billions in this trend. Research firm MRP even called it “a mania” and said the stocks in this area “will experience exponential growth from here.” Don’t miss out. To get all the details now from the man regarded by many as America’s #1 tech investing expert… [Click here]( -- Distraction This is the big story of the 21st century… the fantasy of fake money and the subsequent real-world, real-time butt-kicking that Americans will get as a result. But we are getting ahead of ourselves. We are only in the fairly early stages, when the delusions are still more or less agreeable. Our biggest challenge here at the Diary is to avoid getting distracted and misled by them. Each incredible tale has its own trail of hooey leading to yet another incredible tale. Follow one… and then the other… and pretty soon, you are lost. But let’s see where we end up today. [Featured: Firm That Predicted 9/11 Issues Urgent Warning: Move Your Money Now]( Infinity Squeeze Last week, the Reddit crew seemed to open a whole new chapter in financial history. Suddenly, using the internet, a flash mob of “little guy” investors was able to humble the big, rich hedge funds. The hedgies had sold some 140% of the GameStop shares outstanding. Some people wondered how that was possible. Others wondered why it was legal. Or how the young traders – [led by Reddit users]( Kitty or DeepF**kingValue]( – could possibly execute an “infinity squeeze” against the pros. Even the “infinity squeeze” itself is an object of wonder. In it, buyers drive up the price so high… leaving so little available float that the next buyer (say, [a short seller who needs to cover his bet]( must pay an infinitely higher price. We didn’t know how it would turn out in practice, but anyone could guess how it would go in theory. Once the shorts had all retreated, licking their wounded egos and counting their billions in losses, the longs would be masters of the field. Recommended Link [“The Man Who Refused $100 Million”]( [image]( Legendary stock picker Teeka Tiwari – who picked Apple way back in 2003… and Bitcoin in 2016 – was recently asked to manage $100 million… But he refused. Why? Because he recently discovered what he believed will be [his single biggest investment winner]( A novel technology (not 5G!) that the World Economic Forum believes will grow 295,762% over the next seven years… And Teeka wants “the average” guy to get a shot, too. “This shouldn’t stay in the hands of the elite only,” says Tiwari. As you’ll see in Teeka’s new exposé, his reasons for doing this are personal. And it could lead to a stunning $1.6 million windfall… [See Teeka’s personal story here…]( -- Back Down to Earth But then what? They would be holding shares in a company, bought at an average basis cost far above what they are really worth – perhaps hundreds of times more than they are worth. These buyers had sworn to “never sell.” And perhaps, in the spirit of solidarity or insanity, they would stall before hitting the bid. But all is fair in love, war, and squeeze plays. The smartest of them edged towards the exit last Thursday, selling a stock then worth more than $400. By yesterday, a crowd had rushed the open door, trampling many and bringing the price down to $90. In a few weeks, it ought to be back to where it began, around $15. By this time next year, it might be closer to zero. For while the Fed can perform miracles of levitation on Wall Street, it leaves Main Street flat on the ground. And GameStop, a bricks-and-mortar retailer of video games now readily available online, seems likely to go out of business. [Featured: The #1 Tech Stock of 2021]( Hate the Rich So what was that all about, we wonder? All the sturm and drang? All the huffing and puffing on the part of bystanders? Everybody seemed to get worked up about it. The shorts thought they were doing God’s work – helping Mr. Market find the appropriate price for GameStop shares. The longs all wore white, too, confident that they were on a crusade to stop the rich from taking over the world. The only “takeaways” for us from the whole saga were that the Fed’s bubble must be getting ready to pop (the madness of the gaming crowd is reaching a fever pitch)… and that hatred towards “the rich” is running high – and growing. A recent news item told us that a wealthy white couple had rented a private plane in order to go into the wilds of Canada to get “the vaccine” that had been sent for the local people. The Guardian’s headline captured the hate-the-rich mood. ‘It disgusts me’: how a wealthy couple lied to get a vaccine meant for Indigenous people It’s hard to know which part of the news item to wonder about first. The rich couple turned out to be young. They didn’t even need the vaccine. Why bother to fly across hundreds of miles of wilderness and pretend to be local motel staff in order to get it? And how did they get away with it? The town of Beaver Creek in Canada’s Yukon territory has a population of about 100. Everybody knows everybody else. And isn’t the vaccine supposed to be in short supply? Isn’t it supposed to be the only thing standing between life and death for millions of people? Why send the precious elixir to the middle of nowhere and give it to people who’ve reportedly never had a single case of the disease? We have no answers. We only wonder. And we wonder what the effect would be if the roles were reversed. Let’s try it out: Indigenous people lie in order to get vaccine intended for the wealthy Who would be disgusted then? At whom? We wonder. Recommended Link [NEW Gold Interview — Not Available on CNN, Fox, or MSNBC]( [image]( Legendary investor Doug Casey just made a MASSIVE gold prediction… It’s so outrageous, we nearly refused to publish it. But then Doug agreed to fly 5,700 miles – from his ranch in Argentina to Aspen, Colorado – to explain everything in this exclusive interview. And what he told us left us all shocked… Our entire office is still talking about it. Doug calls it the “most bullish sign he’s seen in 45 years”… and shares his #1 Gold Secret – LIVE on camera. If you’ve been waiting to profit from this massive gold boom… Now, is your chance. [Watch the Interview Now (Doug’s No. 1 Gold Secret Revealed)]( -- White Hats But wondering takes time. And energy. More important, it turns your attention away from the main drama. It is like a sidewalk clown who swallows a mouse so you won’t notice the bank robbery across the street. But more than a distraction, it is a formula… a universal template that you can use to shore up the levees on the magical river… and imagine that it always leads to ever-more miracles ahead. The GameStop story pitted the “little guys” against the “big guys.” [The little guys won]( until they lost. Then, the media dropped the story. The “rich” stole the vaccine from “indigenous people.” Now, they are threatened with jail time. An “insurrection” in Washington was a battle between the pristine forces of democracy… and a mob of barbarians. [The bad guys are being hunted down](. And even the COVID-19 Plague story followed the same Hollywood script. The bug killed millions… but The Science and Mankind (oops, we mean Personkind) triumphed by developing miracle vaccines. Surely now, anno domini 2021, the white hats at the Fed – with their “miracle” money at hand – will triumph again… and banish poverty/recession/financial crises from the face of the Earth. Or not. Stay tuned. Regards, [signature] Bill --------------------------------------------------------------- Like what you’re reading? Send your thoughts to [feedback@rogueeconomics.com](mailto:feedback@rogueeconomics.com?subject=Extraordinary Popular Delusions). --------------------------------------------------------------- FEATURED READS [New COVID-19 Stimulus Could See Congress’ “Reconciliation” Process. Here’s What That Means](. lawmakers will use an expedited process to pass the next round of COVID-19 stimulus, called “budget reconciliation.” And rather than the traditional 60-vote minimum, it will require only 51 votes for Senate approval… [How Main Street Turned the Tables on Wall Street With GameStop]( Bill touched on the GameStop short squeeze earlier this week, you may still be wondering how regular, everyday investors managed to bankrupt some of Wall Street’s massive hedge funds. Former Wall Street expert Teeka Tiwari explains… MAILBAG Harsh words from one dear reader today, after Bill called Donald Trump [“]( big-government, big-spending, big-jackass Democrat]( You are short-sighted, small-minded, and completely miss the far bigger (and more important) issues. Trump was the only one on the horizon who recognized the problems and was willing to take them on directly. Start practicing your Mandarin, knucklehead. – John T. Meanwhile, another dear reader truly believes the 2020 U.S. election was stolen from Donald Trump… Apparently, with the new Democratic math being taught in our public schools, an impressive 11 million more votes was just not quite enough to deliver him back into the White House. Who knew? I mean, literally, thousands of supporters were showing up in the middle of the pandemic to support Trump in all those stopover campaign events, while there weren’t even enough cars for a traffic jam at Biden’s occasional efforts to campaign. Never in a million years did we really believe that an election could truly be stolen… until this one was. And no, it wasn’t the occasional nearly dead voter’s mail-in ballot, filled out by well-meaning offspring, nor was it really the harvested ones. It was, however, a determined effort, on the part of a few states’ leadership and some others, to deliberately ignore their own statutory election laws and allow votes to be counted that should not have been, and failing intentionally to verify (or even make it possible to actually verify) valid votes from invalid ones. Shocking, but lesson learned. We’re all still out here. We still love our Mr. Trump. – Cathy T. And finally, praise for Bill’s essay, “[Sic Transit Gloria Trumpi]( Enjoyed your humor and observations. I am sure it will provoke, perhaps offend, some of your “dear readers.” But then, isn’t that your portfolio? As the good ship “USA Titanic” sails on to unquestioned disaster, the crew – with arrogant disdain for warnings of caution or a change of course, blissfully confident in their own infallibility – blindly ignores the reality of danger ahead. At this point, about the best the “passengers” can do is tell a few jokes, write a clever satire, perhaps sing a hymn or two, or maybe wear a funny hat – with horns, even. The handwriting is, indeed, on the wall. – W. L. M. What lesson is there to learn from the outcome of the 2020 election, as Cathy says? How do you plan to ride out America’s decline? Write us at feedback@rogueeconomics.com. IN CASE YOU MISSED IT… [Dan Denning: “Democrats have the power and America is Doomed”]( With the Democrats taking charge, for the third time in U.S. history, our government is preparing to [“nationalize” America’s currency](. Before long, everywhere you go, they’ll be talking about how we must reset America’s currency… to keep things fair… to build a stronger country… to “wipe the slate clean.” But think about it: Where will all this new money come from? [Here’s what they aren’t telling you about this plan…]( [image]( --------------------------------------------------------------- Get Instant Access Click to read these free reports and automatically sign up for daily research. [image]( [An Insider’s Guide to Making a Fortune from Small Tech Stocks]( [image]( [The Gold Investor’s Guide]( [image]( [The Ultimate Guide to Taking Back Your Privacy]( [Rogue Economincs]( Rogue Economics 55 NE 5th Avenue, Delray Beach, FL 33483 [www.rogueeconomics.com]( [Share]( [FACEBOOK]( [Tweet]( [TWITTER]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. 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