Loading…Loading…Loading…Hi All,
I’ve just arrived in Cebu, Philippines, and there’s a lot happening in our portfolio names.Here’s a quick update on all you need to know on Sunday night (NY time).
The Federal Reserve DKI started proposing a controversial thesis a couple of months ago regarding the Federal Reserve.
While the market watches the Federal Reserve and follows Chairman Powell’s every utterance, I’ve been saying he no longer has control of the situation.Of course, if the Fed were to drop rates, the market would immediately rise.However, massive Congressional overspending (both parties) mean we’re looking at huge amounts of coming currency creation due to monetizing ever-expanding debt.This will lead to future inflation and “higher for longer” interest rates.No matter what the Fed does, we’re going to have inflation of the money supply.
Gold The market is starting to realize there’s coming dollar debasement (a fancy way of saying expansion of the money supply), and gold has now reached all-time highs.
DKI recommended gold GLD a couple of years ago and the price is up more than 25% since.
Bitcoin and $GBTC Gold is the traditional alternative to fiat debasement and Bitcoin is the new alternative.DKI recommended Bitcoin BTC/USD a few years ago at about $15k.Bitcoin is typically volatile and has just risen above $40k for the first time since dipping to about $15k in the last year.It’s one of the best performing asset classes year-to-date.In addition to Bitcoin, DKI re-recommended $GBTC GBTC below $15 in June.
That position has now more than doubled and should be up more when the market opens on Monday.
Loading…
Loading…Loading…Uranium ($SRUUF) One of my favorite positions is uranium SRUUF .It’s up a lot since DKI recommended it, and I haven’t sold a single share.
Worldwide use is far above production and every year, existing stockpiles decrease.New plants need 3x their annual use when they start operations.Right now, there isn’t enough uranium to get the nuclear plants under construction operational.As fuel is a small percentage of the cost of operating a nuclear plant, those plants are going to be bidding higher prices to cover the massive construction costs.
There has been recent news of new potential uranium production in Canada, but it will take years to start bringing on that capacity.
In the meantime, the big climate conference started over the weekend, and realizing that nuclear is the best carbon-free energy option, dozens of countries have agreed to TRIPLE nuclear energy production.
I anticipate that $SRUUF will be a l0ng-term holding due to an increasingly unbalanced supply/demand situation.
Las Vegas Sands ($LVS) I had a minor scare this morning (Philippine time) when I got an announcement that Sands China, the subsidiary that holds part of $LVS’ Macau LVS operations was down 13%.It turns out it was just a misprint in the thinly-traded pre-market.As I write this, Sands China is up 3.5% in Hong Kong trading early Monday morning.
Please note that $LVS has non-Macau operations so we can not project that price increase to the open in NY in just over 12 hours.However, up 3.5% is a good start to the day, and misprints do happen.
As reported earlier, I was able to attend the Inside Asian Gaming event in Manila last week and the knowledgeable crowd there is very bullish on Asian gaming and Macau in particular.
I have not sold any $LVS stock and have not sold any of the options listed on the Current Recommendations page.
Those options expire December 15th so I will be selling them soon.For DKI premium subscribers who want a real-time update on that position, please email me at [email protected] with the words “LVS Options” in the subject title.I will personally ensure you know what I’m doing in that position as it happens.Of course, any updates to any portfolio positions will always be posted to the premium blog here.As this one is more time-sensitive, we’re doing something extra to ensure good communication.
As always, I’m available at [email protected] for any questions.
Information contained in this report is believed by Deep Knowledge Investing (“DKI”) to be accurate and/or derived from sources which it believes to be reliable; however, such information is presented without warranty of any kind, whether express or implied and DKI makes no representation as to the completeness, timeliness or accuracy of the information contained therein or with regard to the results to be obtained from its use.
The provision of the information contained in the Services shall not be deemed to obligate DKI to provide updated or similar information in the future except to the extent it may be required to do so.
The information we provide is publicly available; our reports are neither an offer nor a solicitation to buy or sell securities.All expressions of opinion are precisely that and are subject to change.DKI, affiliates of DKI or its principal or others associated with DKI may have, take or sell positions in securities of companies about which we write.
Our opinions are not advice that investment in a company’s securities is suitable for any particular investor.Each investor should consult with and rely on his or its own investigation, due diligence and the recommendations of investment professionals whom the investor has engaged for that purpose.
In no event shall DKI be liable for any costs, liabilities, losses, expenses (including, but not limited to, attorneys’ fees), damages of any kind, including direct, indirect, punitive, incidental, special or consequential damages, or for any trading losses arising from or attributable to the use of this report.
Loading…Loading…Loading….
