How to Prepare Yourself for Macro Summer

Are you prepared to capitalize on this?

Doge Lambo | X formerly known as Twitter

The dirty little secret in finance is that real wages haven’t increased in at least a generation. And the worst part? This problem is no longer exclusive to America; it's a global issue.

Talking heads might tell you that wages are increasing in places like California with their new $25 minimum wage (which is still unlivable) but none of these increases have outpaced inflation or currency debasement.

If prices increase on everything, you aren't making more money.

You’re losing it. It's like being on a hamster wheel with a Krispy Kreme donut hanging just outside of reach.

So what does any of this have to do with " macro summer "- AKA the period when we're clearly in a bull cycle and the markets are up?

Well, instead of wages increasing, what has risen empirically year over year are assets. I’m talking cryptocurrencies and tech stocks. Right now, we're experiencing what economists call Macro Spring: the markets go up one day like a summer day, and then come crashing down like a sudden April shower.

What’s next is Macro Summer — and that’s looking like 2024 and 2025.

Prime years to build wealth for yourself and your family.

My Big Picture Macro View

Early in my 20s, I became obsessed with the gold standard, Austrian economics, and pontificating about America’s circus economy shitshow.

Dumb.

Du-du-du-dumb!

Every single first-world country has more debt than GDP... and, spoiler alert! That will never change.

It's like when people don't understand why they don't have good credit because they have only one card and never borrow. That's not good credit.

Good credit is you're a borrower. You're a debtor.

This is the modern game.

Debt is the game.

You can be Dave Smith or Peter Schiff arguing for a return to the gold standard, but it is as pointless as arguing for the return of cassette tapes.

Congress has no plans to stop the debasement of currency to fund the things you don't support.

CPI is inflation (the new normal)

"I'm debt free."

Then die. Literally die. You're not in the game.

Governments (right or left) will never again believe in fiscal responsibility, just printing money and whack-a-molling problems. It's called Modern Moentary Theory (MMT). The new normal. It stems from Bretton Woods post-WW2, the removal of the gold standard in 71, and Reagan deregulating markets in the ‘80s.

Hell, if you want more evidence look at gold.

Gold goes up with assets like stocks and crypto. It’s not an inflation hedge.

Why? Because gold has ETFs on Wall Street, there are futures, derivatives, and options. Gold no longer comes in packages, boxes, or bags! It isn’t physical anymore, which totally defeats the purpose of gold.

So the game today is making more than the inflation rate; it's understanding what "good debt" is and how to use it to create more wealth for yourself.

I'm sorry if you followed my writing in 2020. I was wrong.

How to Prepare Yourself for Macro Summer

Another dirty secret: Your 401(k) or VOO/VTI fund will not outpace inflation.

These were once-great tools for Boomers who won the game by having a career that lasted 20 years and then retiring off those sweet, now worthless, pensions.

But Millennials and Gen Z live in a world where inflation and debt (the bad kind) have compounded so much that we need to play more aggressively.

So, how do you win the game?

Bitcoin. Crypto. Tech stocks.

The reason why crypto works is that it fits neatly in the current debasement model. What I mean by that is crypto will not replace the dollar; it isn't a magical panacea for the US economy. But it is a fixed asset that has exponentially outpaced inflation because tech and digitization are the gold of this generation.

Crypto makes the most sense in this money-printing economy.

Tim Draper thinks Bitcoin is worth 250k, Michael Saylor 300k, Cathie Wood and Bitmex Arthur say $1 million. In other words, it doesn't matter - we've already made it.

Tech stocks and digital money will continue to grow because our entire lives will depend on them.

In a world of infinite money, Bitcoin and a few other cryptos are the only fixed assets.

When in 2024?

Macro summer will come because the money printing, Fed interest cuts, and debt will not slow down.

So when in 2024 can we expect another big jump?

IDK.

Anyone telling you otherwise is lying.

Currently, economists are debating whether inflation is sticky and will cause the Federal Reserve to back off interest rate cuts. And they are also debating whether the interest rate cuts are already priced into the market.

In simple terms: A lot can go wrong.

But like I said, the "new normal" is MMT, debt, and printing.

Spend until you die.

It sounds like a black pill, but it's really a white pill to debtors like Robert Kiyosaki and Bill Zeckendorf, the famous New York architect.

Here’s a quote from the latter:

Someone once asked Zeckendorf if he was broke.

Bill responded with this:

“How can I be broke? I owe a billion dollars.”

If you understand that quote, you understand the US economy.

So now after two years of recession, due to killing supply and demand during the Covid pandemic — something economists warned of — things are beginning to look up.

The reason everyone is expecting 2024 to be the year is that Bitcoin is reducing the supply of tokens distributed on the market (causing the price to go higher; also known as the halving), there's a presidential election, and people are expecting the top of a typical business cycle.

Get ready. I'll be keeping you in the loop. And tomorrow, I've got some game-changing news headed your way. Stay tuned.

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Ever since I was a child it has been my dream to become a financial advisor. Unfortunately, it never came true. Therefore I am not a financial advisor and you should do your own research and not just listen to random people on the internet. Nothing contained in this publication should be construed as investment advice.