Linked from Fullermoney:
Excerpt from article:
"...the 'safe haven' changes over time. It's important to remember not only that government bonds aren't always the market's safe haven, but that that there will always be a safe haven somewhere. For all the headlines about the billions wiped off stock market values during market routs, that money had to go somewhere. It doesn't just disappear. It will go into whatever the safe haven is, which in normal times will be bonds. But what happens when government bonds themselves fall victim to the primary ills of the day? In the 1970s, bonds were no place to seek refuge from the inflation and so the safe haven mantle passed to gold"
My thought:
When investments are base on credit I believe "billions" can disappear. When a home, a stock, or any other investment is over priced and bought using leverage and then the bubble bursts...a vacuum ensues and billions can just disappear.
Finding Safe Havens
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