Today I’m looking into a presentation by Jim Rickards about “Bloody Wednesday.”
I stumbled across this recently on the Paradigm Press website, and in short, Jim is predicting that a huge market crash could be coming on January 12th at 8:31 a.m.
He also mentions five ways to protect your wealth and prosper as it unfolds and shares all the details with those who join his advisory service, Strategic Intelligence.
Is it legit? Nobody can predict the future, not even Jim Rickards, but his “Bloody Wednesday” presentation is legitimate, and I did think he made some interesting points about what could take place in the economy and financial markets in the future.
In this post, I’ll show you everything I learned.
What Is “Bloody Wednesday?”
“Bloody Wednesday” is the title of a recent presentation by Jim Rickards. It’s also the term he uses to describe a potential market crash he sees coming on January 12th at 8:31 a.m.
And according to Jim, it’s not going to be an ordinary market correction, either. Instead, he believes “we are heading towards a massive, massive crash.”
Why does Jim Rickards believe this?
In short; a slowing economy.
Unlike most right-leaning finance gurus I come across, Jim isn’t predicting sky-high inflation. Instead, he believes it’s “pretty close to the opposite” that people should worry about.
But I’m here to tell you… high inflation is not coming. Not anytime soon. And that is what should really have you scared.Source: https://pro.paradigmletters.org/p/awn_bw500TAC_1221/LAWNXC46/Full
What has Jim so concerned?
During the presentation, Jim says that, after pouring so much debt and money into the U.S. financial system over the years, it has become “super-saturated” with money.
So much so that, according to Jim Rickards, no matter how much “money printing” or stimulus is used to boost the economy, it’s unlikely to drive economic growth.
And he says the reason for this centers around money velocity.
The Velocity of Money is a measure of the rate at which money changes hands in the economy. In other words, it’s a measure of how actively people are spending money versus hoarding it. And when it’s low, like it is now, Jim points out that getting real growth is virtually impossible.
Double it. Triple it. Quadruple it. If money has no velocity, and people aren’t spending it.
You’re not going to get economic growth, you’re not going to get any real economic recovery, and you’re not going to get inflation.
Jim also talks about how he believes the stock market is in a massive bubble and points out past market tops to illustrate this, and how things like the Buffer Indicator are peaking, etc.
Meanwhile, as Jim points out, markets keep on rallying higher and higher.
However, according to Jim, despite how markets continue rallying higher, it’s “only a matter of time before the bubble bursts,” and unlike previous market crashes, he says that this time the Fed won’t be able to save us.
Jim believes that the market crash he’s predicting could be a multi-decade market correction, similar to what took place in Japan in the 1990s or in the U.S. in the 1920s. Both of which saw the market fall significantly and took decades to recover from.
Long story short, he paints quite an ominous picture.
And according to Jim, this could start unfolding as soon as January 12th, which happens to fall on a Wednesday – hence why he’s referring to it as “Bloody Wednesday.”
What’s the big deal about January 12th?
January 12, 2022, is when the 2021 CPI (Consumer Price Index) data is scheduled to be released, and CPI is a popular measure of inflation. It takes into account the weighted average of prices of a basket of consumer goods and services.
And Jim believes the CPI numbers will come in low, which is virtually the opposite of what many are expecting, and this is why he thinks it could come as a shock to market participants.
Of course, nobody knows for sure what the CPI numbers will be in January or how the market will react to them, but Jim seems to think it’ll have an adverse impact on the stock market. And he has made numerous predictions over the years that have turned out to be correct.
Who Is Jim Rickards?
According to the Paradigm Press website, Jim Rickards is an economist, government advisor, and investment banker with four decades of experience on Wall Street.
The host of the “Bloody Wednesday” presentation, Chris Ford, also points out that Jim is a “former advisor to the CIA and the Pentagon” and says he’s predicted everything from Brexit and the election of Donald Trump to the 2008 crash and pandemic.
This isn’t the first time I’ve come across Jim Rickards, either. I first learned about him when I started investing in gold back in 2018.
He releases lots of helpful content on Youtube and the Daily Reckoning blog related to gold and is one of the foremost experts on precious metals investing. So, while I’m not into gold investing these days, I learned a lot from him at the time.
Jim has also published numerous best-selling books related to financial markets, the economy, and gold. For example, Currency Wars, The Death of Money, The Road to Ruin, Aftermath, and The New Great Depression. Not to mention, his work is often featured by popular media outlets.
Aside from that, he’s the editor of four advisory services for Paradigm Press LLC, a financial publishing company that (from what I can tell) is owned by Agora Financial.
These include Gold Speculator, Tactical Currency Profits, Crash Speculator, and his flagship advisor service, Strategic Intelligence.
Strategic Intelligence is also the service Jim is promoting as part of the “Bloody Wednesday” presentation, and I’ll explain more about that in a moment. But first, let’s take a look at what he recommends doing to avoid the potential market crash he sees coming.
What Does Jim Rickards Recommend?
During the presentation, Jim Rickards mentions five ways to help protect your wealth and potentially even profit in the days ahead, even if there is a market crash.
His first suggestion is about making sure you have enough cash to ensure you can cover 3-6 months’ worth of expenses. He also suggests “moving a large part of your portfolio to cash” because this can help you avoid a drawdown and re-enter the market when prices are low.
From there, Jim specifically mentions four steps you can take to protect and grow your wealth as his “Bloody Wednesday” prediction unfolds.
- The first “step” is all about investing in gold.
- The second step involves a “special type of crash protection play.”
- Third, Jim says he’s identified 5 “Anti-Meme” stocks that he says each have a high return on invested capital, and could thrive during tough times.
- And lastly, Jim talks about an “Invitation-Only Event” where he reveals some of his best strategies for profiting during a crisis.
So, to sum it up, Jim recommends a mix of holding cash, investing in gold, and betting on various stocks he recommends.
He doesn’t reveal the exact details in the presentation, though.
So if you want to get all the details about what he recommends, you’d need to join his advisory service, Strategic Intelligence, through the “Bloody Wednesday” presentation.
When you do, you get access to a report titled “The “Bloody Wednesday” Survival Guide — How to Survive and Prosper in the Decades That Lie Ahead.”
This report details Jim Rickards’ insight into where he sees the market heading and exactly how he recommends protecting and growing your wealth should his prediction play out.
And as I’ll explain in the next section, you also get access to other resources with a subscription to Strategic Intelligence aimed at helping you become a successful investor.
Overview of Strategic Intelligence
Strategic Intelligence is an investment advisory service edited by Jim Rickards of Paradigm Press, and according to the company website, its goal is to “help you prepare and profit from the coming collapse of the dollar.”
As you might have guessed, the service caters to conservative investors and anyone concerned about things like quantitative easing, monetary policy, and the economy, for example.
The Paradigm Press website also states that Jim uses a predictive tool called “complexity theory” to help subscribers “build safe investment positions in stocks, bonds, cash, art, land, precious metals and other hard assets” he believes could help you thrive as an investor.
What do you get if you join?
The monthly newsletters and model portfolio are at the core of the service. Each newsletter issue breaks down Rickards’ latest market insights and investment ideas, and the model portfolio shows you all of Jim Rickards’ active recommendations related to Strategic Intelligence.
You also get access to several bonus reports that cover some of the topics he discussed in the presentation in more detail, a copy of his book, The New Case for Gold, access to the Paradigm Shift Summit, a virtual event, and some other resources.
How much does it cost?
If you sign up for Strategic Intelligence through the presentation, it costs $49 per year. And according to the website, the service comes with a six-month refund policy.
Jim Rickards’ “Bloody Wednesday” presentation centers around what he believes could be a massive market crash on January 12, when the CPI results are scheduled to be released.
To recap, Jim thinks that, instead of seeing inflation, we could end up seeing disinflation (a slowing rate of inflation) due to low money velocity and a slowing economy.
This is virtually the opposite of what many experts in the financial education space are saying. However, Jim Rickards’ is a genuine expert when it comes to this sort of thing, and he makes a strong case about what could potentially unfold going forward.
Either way, precisely what happens going forward is anyone’s guess.
There are so many theories from different investment experts regarding inflation and what the market is likely to do next that the only certainty seems to be uncertainty.
Should you join Strategic Intelligence?
Regardless of what may or may not occur on “Bloody Wednesday,” Strategic Intelligence could still be worth checking out if you’re interested in learning from Jim Rickards.
Particularly if you’re a more conservative, risk-averse investor and want to learn how Jim recommends investing in assets like gold, bonds, stocks, and land.
Whatever you decide, I hope you found this post helpful. And if you’d like to share your thoughts on Jim’s presentation or service, feel free to comment below.