President D. Trump repeatedly disappointed when unable to force FED to lower interest rates to stimulate the US economy. Suddenly, Covid-19 appeared to make FED reduce interest rates to nearly 0%, a gift for President Trump surprisingly.
As a godsend, Trump immediately signed a $ 2,000 billion bailout package. European giants chasing after the United Kingdom are $ 400 billion, France 45 billion, Switzerland 30 billion Euro, Spain 200 billion … (although not yet specific all countries) but equivalent to trillions of Euro to save the European economy. old green. Vietnam also launched 250 trillion dong (VND) in credit, 30 trillion (VND) in tax support. No less than anyone!
The story here is not simple anymore, it seems like 2008, the opportunity – the challenge suddenly struck in just 30 days in March 20/20 everyone. The term 2020 is relief, 2008 is the economy rescue. The vague financial term is loosening money, the term flea market is printing and pumping money.
What has gone through helps us predict the days ahead.
In the beginning of 2008, when the world economy was in recession, the United States launched 3 bailout packages, calling it a beauty QE (monetary easing): QE1 package in 11/2008 1700 billion USD, QE2 package on 8/2010 600 billion VND USD and the QE3 package was 1200 billion USD in September 2012. A total of 3500 billion USD pumped out in 4 years. At the same time, other countries around the world fearing losing will follow suit to keep their local currency competitive. In 2008, almost currency wars.
At this time, gold is the fastest rising price, most clearly, up from 18 million – 47.3 million, to 30 million / SJC in 4 years, ie 43% / year. Statistics show that:
2008 YELLOW PRICE 17.5mil / SJC
2009 YELLOW PRICE 21 million / SJC
2010 Average gold price 28 million VND / SJC
2011 Average gold price 35 million VND / SJC
2012 YELLOW PRICE 47.3 million VND / SJC
The problem of value: if in 2008 you bought an apartment of 2 billion, you need 114 gold trees. (2,000,000 VND: 17.5 million VND / sjc = 114 Sjc). Four years after the end of 2012, if you sell that apartment 2 billion dong (the price is still the same, CC rarely raises the price), you get 42 gold trees, losing 72 gold trees (2,000,000,000 VND: 47.4 million VND / sjc = 42 trees).
Now the law of money – gold – securities – real estate is still the same. There is nothing stinging, but probably not due to seasonal flu! It is a transfer of property value. You need to learn to recognize, which assets go up, which assets go down when inflation is as well as deflation. Invest in things that add value, need to liquidate things that lose value quickly.
It is an inevitable consequence of the quantitative easing ploy, the game played by financial tycoon tycoons, who in the name of the states warn the world, but not everyone understands to speculate on something. In my favor, at least prevent me from losing money because of their game.
No one takes your money, but the value of the things you are in between (real estate, gold, stocks, banknotes, crude oil) it begins to move, something rapidly depreciates, and some increases. Price is still strong (Rich crude is from 60 $ / barrel falling to 23 $ / barrel, gold rushed from 36 million to 48 million VND / sjc). Simply worth it is silently moving from continent to continent, from one hand to another, from the poor to the rich. It is often explained that this is the phenomenon of evaporating assets.
Stocks peak, collapses gold, peaks down, real estate peaks, regressions of banknotes dance with these assets, there is certainly the magic hand of European financial tycoons. , Japan, China and the Fed is the founder. A few people get rich, and most poor people lose money. The breakdown was like erasing a game to play again. Money is such a game.
I used to think there would never be a chance like the years 2008-2012, when the whole world printed money, houses playing in securities, real estate companies after a few months of establishment into a Group, banks. , Stock companies grow like mushrooms. Yet today the world seems to be repeating as it did in 2008 but on a higher level.
Try, the US pumped 2000 billion USD, Europe will pump several trillion EURO, China and Japan will follow suit. I think money will flood the market this summer to stimulate demand after the Covid epidemic, the opportunity to borrow money cheaply, cash in many different channels will run into production markets, securities, real estate projects, housing, land, it will bustle again.
Stimulating the economy by pumping money to the market to support production and enterprises, reducing loan interest rates is not only an opportunity for investors but also a challenge. The government will need to collect money from the government, stimulating growth and accompanying inflation by raising interest rates. After the mountain is always the abyss is so.
Source: Summary