Dear Reader, David Malpass, President of the World Bank Group, has finally come clean: ‘The war in Ukraine, lockdowns in China, supply chain disruptions and the risk of stagflation are hammering growth. For many countries, recession will be hard to avoid.’ The admission has been a long time coming. Central bankers lulled us into thinking they were in control. But in their mind, the easiest way to destroy inflation is to let it accumulate and then pop. However, the way to achieve that is to keep the public complacent about what they’re doing until it’s about to happen. That way they create a perception of incompetence as a get-out-of-jail-free card. Think about what they were doing about the housing markets prior to the subprime crisis. It’s the same thing! There’s a pattern with them when it comes to major financial, political, and social matters. They talk up their perspectives, shush the dissenters, start changing the story, and then suddenly fold at the crucial moment. This crucial moment is usually when it’s too late for anyone to really fix the mess they’ve left behind because society made decisions or enacted policies based on their views. Many want to give them the benefit of the doubt using the ‘Hanlon’s razor’ argument — never attribute to malice what is incompetence. I’ve said that it makes more sense to apply the ‘reverse Hanlon’s razor’ argument with these people. Now that the cat is out of the bag, it’s important that you make your preparations as a financial storm could start brewing. You can start on that now by reading this. God bless, Brian Chu,
Investment Director, Strategic Intelligence Australia | 