What I Learned From Our Trip Around the World

LAKE PEND OREILLE, IDAHO – As I contemplate the end of our trip, I ask myself, how have I changed?

When we started this trip, in May 2018, I was a mess.

I had no job, no income, no home, no connection with my kids, a weak connection with my friends and family, and no significant other. I was close to giving up.

Now, I’ve got a best friend and partner for life.

I’ve got my family back.

I’ve got a home (in Driggs, Idaho).

I’m close to my family again.

I do a job I love and receive an income from it.

Every Decision Will Come Down to This

I’m writing this message to you from under my blankets in the camper. It’s raining. It’s 3 a.m. I’m using a flashlight and writing by hand in my journal.

The others are all asleep. But I can’t sleep. I’ve got too much on my mind tonight…

What have I learned from our trip around the world?

That we only get a few years with our children.

They grow up so fast and then they’re not children anymore. So I must enjoy every moment of this I can and not let anything come between us again… not work, not money, not anything. (Put the phone away, Tom.)

Every decision I make for the next ten years should come down to this: Does this bring me closer or further away from my family?

Today we swam in the lake. This is probably the last time we’ll swim this summer. We’re nearing the end of September and it’s getting cold…

Holed Up in a Trailer Park

Greetings from northern Idaho.

We’re holed up in a beautiful trailer park on the shores of Lake Pend Oreille. The kids and I do our “work” in the mornings in the community center. And in the afternoon, we play outside. Here we are…

A busy railroad runs along the shore of the lake. Trains come past every 30 minutes or so. Here’s one crossing the lake just north of us…

The Keys to the Printing Press

Meanwhile, over in the world of finance…

There are two types of economic stimulus: monetary stimulus (which comes from the central bank) and fiscal stimulus (which comes from the government).

The Fed has cut interest rates to zero and promised interest rates will stay at zero for years. They’re out of bullets.

Words are the only thing they’ve got left, which they’ll use to try to “jawbone” the market higher. Monetary stimulus has run its course.

The government has taken over the responsibility for stimulus. We might say we’ve entered the era of “fiscal dominance.” The government will print money and spread it into the economy.

In other words, the people now have the keys to the printing press.

Earlier this month, Ice Cube, a legendary rapper, tweeted about this:

America is a currency creator, so there’s no reason for people to live like this. Government and the banks have made a deal to keep the people in debt. They always say if you print money it will cause inflation. They just printed $3 trillion. Little or no inflation.

The bankers no longer control the printing press. The lumps are in charge now. This is very bad for the currency’s purchasing power, but oh well. We’ve gone too far to go back now.

As we wrote on Tuesday, there is $250 trillion in debt outstanding worldwide. Fiscal dominance is bad for fixed-income investments.

As this trend gathers pace, expect to see trillions of dollars leaving the debt markets and rushing into the commodity and hard assets markets.

Gold will do especially well. (The current size of the global gold market is close to $11 trillion.)

– Tom Dyson

P.S. A few weeks ago, I hunkered down in a hotel room to record this URGENT video. America has gotten itself into a huge mess economically. What’s next, and what’s the single best thing you can do today to preserve and grow your wealth? Watch this.

Like what you’re reading? Send your thoughts to [email protected].

Digital gold and bitcoin are on readers’ minds today…

Reader comment: Tom and Kate: Howdy. Do you recommend buying digital gold (vault chain) to be stored at Royal Canadian Mint for free in an online trust account? Would there be any implications? Please advise. Thank you.

Tom’s response: As soon as we get settled in Driggs, I’ll take a look at this. Many people have asked about it.

Reader comment: Hi, Tom and family. I’ve been following your adventures since you arrived in China from here in London. Thank you so much for sharing. I am fully onboard with your gold investment, and have been building my gold reserves since retirement in 2015. I have also been buying bitcoin since then and am happy to hold both.

I think you are wrong about bitcoin. Not for the reasons you cite, but because now that the U.S. banks have permission for custodianship, they will not be able to resist the vast profits available to them through managing other people’s bitcoin, creating derivatives, and taking their usual rip-off percentage. This is why JP Morgan, Goldman Sachs, et al. have changed their position.

With negative fiat interest rates, their margins disappear. They are looking for the next flock of sheep to fleece. People who are not wise enough to keep their own keys, but hand over custody to the banks with promises of untold gains whilst the dollar tanks, are the target.

Good luck with your Mum in Chiswick. And if you want to meet up when you are over here to talk gold and bitcoin, don’t hesitate to get in touch. All the best wishes.

Meanwhile, thoughts on oil tankers from a reader who’s looking forward to Tom’s upcoming quarterly update for Tom’s Portfolio subscribers…

Reader comment: This might interest you, especially as you prepare your update on shipping stocks.

A captain, Scott, talks about the risk in shipping and how it could affect the world economy. 80% of the world’s goods are transported by ship. The seafarers are multinational and they are treated like slaves. The hidden enemy (Covid-19 virus) could impede shipping to the point of half the world dying of starvation and the other half freezing to death.

Okay, that may be exaggerated, but there is apparently a dangerous situation that could develop… with all the other extreme situations you have pointed out, that fake money has allowed to evolve.

Finally, others weigh in on the Dysons’ plans to travel north – and into Canada – for the winter…

Reader comment: If you are bound and determined to stay way up north, then we will soon be getting “Postcards From the Fridge.” Texas is a lot warmer, but you can still freeze to death on the odd occasion. The difference is that you will have a smile on your face. Think about that.

Drive due South! Otherwise, we will look forward to hearing from you when you thaw in the spring. We have accommodations here on the virus-free farm and could use the company. No masks, we still shake hands, and a hug is great. Otherwise, keep well.

You guys are living the life that the city dwellers covet. That’s about 80% of the population. We know. We get them from Houston, Austin, Dallas, and San Antonio all the time. Travel light, travel fast, keep well, and stay safe.

Reader comment: Canada is closed, as is most of the world, to travel from the U.S. The ban has been extended. You are displaying a lack of accepting the Covid crisis, and are exposing yourselves to possible infections. You may know gold, although as a post-grad economist, part of your thinking is flawed. And as someone who spent several years working with viral researchers, this is a nasty bug. Several people in Maine died – people who attended a wedding spread the bug to innocent bystanders…

Reader comment: After you get settled in Driggs, come back to Idaho Falls and spend a couple of hours witnessing the potato harvest, with its massive machines and interesting stories and perseverance. And see firsthand a two-pound potato, and other fun things!

Reader comment: Americans are facing $569,000 fines and six months in jail for sightseeing in Canada. Canada is currently closed to most Americans due to COVID. But an exception allows Americans to drive through Canada to reach Alaska. The rules state that the traveler must take the most direct route to their destination, and only stop for essentials like food and gas.

But one criminal mastermind did not take the most direct route, and instead decided to check out a national park along the way. He was arrested after his car with Ohio plates was reported to police at a sightseeing gondola at Sulphur Mountain. Some brave hero spotted this nefarious terrorist, and saved his fellow Canadians by ratting the man out to authorities. And now he is facing a $569,000 fine, plus six months in jail. Because he stopped at a park.

Reader comment: Hi, Tom and crew. I’ve just driven through the area you were writing about today – from Vancouver to Iowa, traveling through Washington state, Idaho, Montana, and South Dakota. Had just passed through Missoula when I received your message from a couple of days ago. It occurred to me then that I should have dropped you a note or stopped for the kids to play for a few minutes with my two dogs – including a German Shorthaired Pointer puppy!

The reason for my message is to actually pass information that could possibly be useful. Two items:

1. You won’t want to travel further west than Idaho right now without breathing and eye protection. The smoke is pretty grim in Washington state. From where you are, it gets worse going west and south. The whole of Washington state had less than half a mile visibility, with dense smoke that you could smell. Irritating to the eyes, too. I’ve arrived back in Iowa with a truck covered in fine ash, both inside and out.

2. I hold both Canadian and U.S. passports (naturalized U.S. citizen originally from Canada), and have traveled to Canada for work three times over the last six months. Being from Canada is possibly helping, but other American workers are also crossing the border. We’re considered exempt workers in the aerospace industry and have not been subject to the mandatory 14-day quarantine.

   You should check on this to make sure, based on your individual circumstances, but my understanding is that you can cross the border for personal reasons as well. If you aren’t an exempt worker, you’ll be subjected to the mandatory 14-day quarantine.

   You’ll need to present a quarantine plan when you go through Canada Customs, which needs to include a description of where you’ll be quarantining. An Airbnb you’ve rented where you’ll be by yourselves meets the criteria. You’ll need to have enough food and other supplies to get through 14 days, or a plan to have supplies delivered to you. Grocery stores will deliver to where you are and leave groceries outside your door.

All that is to say, I don’t think you need to give up on Fernie if that’s where you’d like to be over the winter. Just have a plan and ability to quarantine. I’ll be doing exactly that in December to visit my elderly parents, siblings, and their families over Christmas. Hope that helps. Safe travels, and thanks for the great information and fun stories.

Tom’s note: Thanks for all the kind messages and suggestions! Please keep writing us at [email protected]. We read every note you send us.

Inside This Month’s Bonner-Denning Letter “‘Political risk’ is now a factor in U.S. financial markets. U.S. political institutions are on the verge of ceasing to function in a lawful way,” writes Tom’s colleague Dan Denning in the latest issue of The Bonner-Denning Letter, just out. Plus, he introduces three “big money” pair trades to play what he’s calling the “American Crack-Up.” Click here to get immediate access.