It is now in the interest of US government that all oil be bought without using USD, as long as non-US government bonds are not used to store trade surpluses.
This has radical implications. It means Gold, and currencies of export oriented economies like Japan, and even Bitcoin are now more desirable. Because it is easier to settle trade imbalances using them.
Source: https://twitter.com/ces921/status/1772918400806715798
what does this mean for the retail investor?
@perfect_brains Most likely it means buy gold, buy Japanese stocks, buy silver, buy oil. But of these, perhaps only a few Japanese stocks, and silver still remain cheap. And silver will need a few years after cocoa goes up to go to the moon.
This 50 year chart is Cocoa (black) and Silver (Pink). Cocoa tends to lead silver with very sharp moves higher
usually they say sell in May, so I wonder if cocoa stocks will do well in summer
@perfect_brains Cocoa will fall soon. The current spike is unjustifiable for long term. Currently 1 ton cocoa cost more than 1 ton of copper. I think we can agree copper is more useful than chocolate.
