The United States sits upon the most blessed piece of geography on the planet. It is rich in farmland, water, minerals, metals, oil and natural gas. Today, after six decades of looking elsewhere for resources, America is beginning to use her own bounty to promote a new boom - The American Resource Boom.
Core to this boom is what I have dubbed in the national press as the "Energy Technolution." This massive change in energy technology, from hydraulic fracturing to efficiency to solar, is a paradigm shift that is giving America an enormous leg up versus global competitors. America's leadership in energy technology is a legitimate difference maker.
- A Simple Thesis -
Most of the developed world is currently in a demographically and debt driven flat period economically that is marked by risk and volatility. This will lead many central banks - including the U.S. Federal Reserve - to print money and governments to overspend in order to stimulate growth. Both actions are based upon the mistaken notion that the current economic malaise is cyclical and can be dealt with using various forms of stimulus and "inflation targeting."
Monetary inflation is already unavoidable. In a few years, as emerging economies continue to grow, Asian middle classes expand and the U.S. Millennial Generation or "Echo Boom" takes hold, the global economy will start to grow faster again. This will lead to an acceleration in the velocity of money, i.e. more transactions faster. The result will be recognizable inflation that will be painful for the under skilled and those not invested properly.
In addition to monetary inflation, once aggregate demand growth returns later this decade, scarcity for natural resources will emerge. This will happen for two reasons. First is that during the current slow economic period, investment in most natural resources development, with the exception of natural gas, has tightened. Second, there simply are fewer resources to be exploited in affordable ways - both financially affordable and environmentally affordable. The result will be upward price pressure on resources.
The expectation of developing scarcity in the 2020's is not widely accepted, however, the Pentagon has sited this issue as one of its key issues to prepare for. It is easy to make the correlation by simply watching Russia's actions in Europe and with China.
- The Future is Near -
Many doubt that this will boom will develop, but they are very wrong. Winston Churchill believed that:
“...you can always count on the Americans to do the right thing - after they've tried everything else.”
America is already slowly but surely doing the right things for her future despite her political dance...
In 2011, America became a net exporter of fuel for the first time since 1949. As of 2013, United States production of oil matched Saudi Arabia's. Today, America produces more natural gas than the entire Middle East combined. In addition, the fastest growing electrical power source in America is solar, which in turn, is freeing up natural gas and fuel for export.
- Where to Invest -
Only a few types of investments will do well in the inflationary environment that is coming. While the short-term will be volatile as deflationary forces ebb and flow with inflationary, we will use that volatility to our advantage!
In order to thrive in the coming inflation you will need to be invested in the assets that benefit from the trend of monetary inflation and natural resources scarcity. Subscribing to The American Resource Boom Letter will help you find some of the most exciting stock, option and ETF investments that can help you and your family's long-term standard of living.
Look at my "must own" stocks chart and read my back articles. I picked SunEdison - the top performing midcap of 2013, in early 2012 on MarketWatch of the Wall Street Journal network and here as a "must own" stock. I have led people to oil companies that have been up well in excess of the market the past couple years such as Whiting Petroleum, Triangle Petroleum, Magnum Hunter... I told people to jump on Carl Icahn favorite Chesapeake Energy and made it a "must own" multiple times. There are more including oil and gas services small caps Flotek and CJ Energy Services... There will be more.
Over the next decade people can build fantastic long-term wealth by investing in the right companies when short-term market conditions give us a discount to buy. Billionaires and smart hedge fund managers are already scooping up shares in the companies that will lead this boom. Learn here what companies are about to rise on the back of monumental changes in global economics.
Get on the side of the smart money by using our simple buy and sell strategies. With only a few trades per quarter, investors can navigate the cycles while riding the massive longer term trend.
Warren Buffett's Berkshire Hathaway has increased its exposure to American resources. Jeremy Grantham of GMO in a recent quarterly letter told investors to get at least 30% exposure to resource investments. George Soros, Jim Rogers and many other top investors are saying the same thing - get into resource investments.
Today's volatility is the opportunity you need to acquire the holdings that in several years others will wish they had bought today. Don't miss this massive trend in its early stages. Help yourself and your family by remaking your portfolio with America's best resource investment opportunities. Learn what you get when you subscribe to the American Resource Boom Letter today!