As you would be well aware, a horrific situation has broken out between Israel and Palestine. Casualties are really starting to pile up and we are likely to see Gaza get bombed to smithereens in the coming days. There is also the risk that Iran and perhaps other Arab states join the conflict on the side of Palestine which would lead to a brutal and very lengthy religious war.
Whilst we are not in business to profit off of others misery, we do think it is important to be positioned in the investment markets for what could turn into a serious energy crisis that engulfs the whole world. Therefore we are advising to have overweight positions in the following: Oil & Gas stocks: WDS, STO, BPT; Coal: WHC, YAL, NHC and Uranium: URNM.
We are also strongly recommending to AVOID all exposure to FINACIALS/BONDS as rampant inflation (from spiking energy prices) will lead to further significant losses. So instead, high weightings towards PRECIOUS METALS are advised. Please note that in the short term, the heightened anxiety in markets could see WESTERN investors flood into the perceived safety of the USD. This could create headwinds for PRECIOUS METALS, but that will only be temporary as STAGFLATION takes hold.
