Best of The Program | Guests: Rep. Karen Whitsett & Harry Dent | 4/16/20

This episode is brought to you by Progressive Commercial Insurance.

Business owners meet Progressive Insurance.

They make it easy to get discounts on commercial auto insurance and find coverages to grow with your business.

Quote in as little as eight minutes at progressivecommercial.com.

Progressive Casualty Insurance Company, coverage provided and serviced by affiliated and third-party insurers.

Discounts and coverage selections not available in all states or situations.

Hey, it's Pat Gray for Stu on the Glenn Beck program today.

A lot of great, great interviews on the podcast.

Oh, by the way, don't forget to vote for a national, state, or local official to receive the Mao Award.

Those will be awarded next week.

And you can vote in the meantime for your local, state, or national official who deserves this dictator award.

Today on the podcast, you're going to hear a great interview with Jim Jordan, who stopped by to talk to Glenn about quarantining, the healthy as well as the negative aspects of printing money.

Also, Representative Karen Whitsett of Detroit talks about how unprepared her city is to fight this virus.

She is the representative that defended Trump on the hydroxychloroquine thing because she took it and it saved her life.

Also, Harry Dent.

a chilling hour spent with him talking about what may be on the way.

And a bar owner in Georgia, Jennifer Knox, who owns a bar and had a tradition where people came in and pinned dollar bills to the wall and the ceiling in the bar.

She took it all down and gave it to her employees to keep them going for the next couple of weeks.

All of that and more coming up on the podcast.

You're listening to

the best of the Blendbeck program.

Welcome to the program.

On Monday, we had a Michigan state lawmaker who said

she had the coronavirus and she was cured by hydroxychloroquine.

And

she credited Donald Trump.

Well, she's a Democrat, and apparently you can't say anything nice about somebody if you're in the wrong party.

Well, that didn't stop her.

And she went to meet with President Trump on Tuesday.

She was asking for help for the people of Detroit.

Detroit is really,

really

suffering right now.

And so I wanted to get an update from her on how that meeting went and what was decided, if anything.

Welcome again to the program, Democrat State Representative Karen Whitsed.

Hi, Karen.

How are you?

Hi, Glenn.

Thank you for having me back on again.

I really appreciate it.

Sure.

So tell me what happened.

Well, it was an amazing experience to be able to be at the White House, not for myself, but for the city of Detroit and for the people that I represent, that I call my family.

So

to be able to speak to the president as well as to the vice president was, first off, an honor

that I did not expect.

But to be able to let them know firsthand that I did not feel that they were being handed the truth of what was going down in the city of Detroit, and that they needed to be made aware that we need to put people over politics and that I'm not going to let my people in the city of Detroit

be a political pawn in this game.

This has been going on for far too long, and we know that as far as history goes back, that people will be used as a political pawn, whatever the issue may be.

And that is what I'm not going to allow.

So I am on here and I went on there and I went there to talk about the fact that my people will not be used

for the Democratic Party.

That's not going to happen.

So, Karen, they shouldn't be used for the GOP either.

And I know you mean that as well.

But

it is such an honor to talk to you in a time where we are being trained to stay away from each other.

This is affecting all of us.

It doesn't matter who you voted for.

Coronavirus doesn't care.

It doesn't care.

When you went, did you feel the president and the vice president listened to you and headway was made?

Absolutely.

I mean, they were actually stunned by the information that I gave them.

They were not aware that we were in such bad shape.

And that was

very disheartening to me.

to hear that directly from the vice president.

How do you think that that happened?

And do you think that was genuine?

I honestly think that's a good idea.

They were genuinely surprised.

Oh,

they were genuinely surprised.

They were absolutely genuinely surprised.

It was not a game.

It wasn't an act.

They were genuinely surprised that they, you know, because up in the upper part of Michigan, in the upper part of Michigan, everyone is doing what they need to do.

They're honoring the executive orders.

In the lower part of Michigan, where I am in Detroit, Dearborn area, The executive orders are not being honored, but they can't be honored if you don't have what you need.

I'm tired of getting the phone calls that I'm receiving.

Yesterday, I got the most heartbreaking phone call from Beaumont Hospital nurse who is crying,

and she's at home.

She's sick with the virus.

And she's talking about how the reuse of equipment at Beaumont Royal Oak.

She's talking about how babies are being tested positive for the COVID virus.

And she's talking about how she's at home sick and how I have to do something and please do something and to stop this and how we're losing Wayne County sheriffs to this virus and how many are sick because they don't have not even thermometers, not even proper PPE,

how people are still having water shutoffs here when we're not supposed to have water shutoffs, how people have started evictions here in February and they're still being carried out in March and April.

And this has to stop.

And we have pipes, pipes that are not connected in people's homes, so therefore they still do not have any water.

We still have problems in Flint, Michigan.

We still have problems.

And let's not talk about the hot days in our senior citizen homes and our charter schools.

Our charter schools.

So Karen, kids are not getting food.

You are at the level that no one in this country is really talking about, except, I think, like my friends and neighbors, we are.

We're talking about how are people doing it that are at the very bottom

level that don't have, they don't have computers, let alone have internet access for their kids.

They don't have food.

Their kids go to school to get their food.

They don't have a stove.

They don't have a stove.

You're talking about, I mean, they get the food.

They don't have a stove.

They don't have, we have drop-off points where you can go pick up food, but if you don't have access to go and get it, how are you supposed to get it?

And this is what's happening to my seniors as well.

They don't fall in the category for meals on wheels, and yet they can't get out and go get the food either.

I mean, I'm in here fighting a war, and I feel like I'm fighting by myself, Glenn.

I mean, this is insane what I'm going through.

And it's like, my God, this is the city of Detroit.

We are one of the biggest cities that there is, and I'm fighting by myself, and I'm tired of getting beat up because I care about the people of my city.

So what did the president say and the vice president say to give you comfort that help is on the way?

They gave me comfort and help is on the way.

I don't want to talk about specifics, but I can tell you that help and comfort is on, it's coming.

It is coming.

Okay.

Okay.

I want you to know that after we spoke on Monday, I reached out to my charity, Mercury One, and I said, we have got to help the people of Detroit.

And so

we will work with with your office.

If you will take a call from my charity, we will work with your office.

I don't care if we have to, you know, send truckloads of food up to you or if you need PPEs or whatever you need, we will help you.

This audience is one of the greatest groups of people ever.

Oh, my God.

Oh, my God.

Thank you.

Oh, my God, Glenn, thank you.

We're all in this together, Karen.

Glenn,

from the bottom of my heart, from the people in the city of Detroit,

I thank you so,

so very much.

You tell us what we need to do, and we will do it.

And if you need people that are there, I can guarantee you that we can send volunteers up there that will deliver whatever needs to be delivered.

You tell us what you need, and we will do it as a community.

I need,

you know,

for my mothers and my fathers that are at home with their kids in these charter schools that have fallen through the cracks that don't fall under the Detroit public school system.

They have no iPads.

They have no means of trying to do their homework, and they're trying to do it on a single phone.

They don't have even toaster ovens would be a benefit.

Even the cheapest, smallest toaster ovens would be a benefit.

Trying to get cleaning supplies for our jails and for our prisons and testing kits.

Partnering up with Mark Campbell

that I was with yesterday, partnering up with him because he does have the testing.

He can do the test.

If we can get

more testing kits, if we can test, if we can get thermometers, if we can help the Wayne County sheriffs, if we can help our Detroit police officers and our first responders, we had over 1,600 nurses walk out and staff walk out of hospitals and more than one hospital, even Sinai Grace Hospital.

I mean,

I have a laundry list.

Well, right now, what you've offered is a lifeline.

Karen, I'm going to put you in touch with my charity.

They will reach out to you today,

and we will figure out what we can do.

And I ask every member of this audience to please go to mercury1.org slash donate and donate now.

I want you to know that if you market for COVID or Detroit or whatever, 100% of your donation will go there.

It will not be used for any 100% of your donation.

So please donate now and let's make an impact in the lives of these people who everyone has forgotten in the great city of Detroit.

Karen,

we will talk again.

Glenn and your audience, thank you for making the United States united.

Thank you.

God bless.

We'll talk to you again.

The best of the Glen Bank program.

I just got a notification that Facebook is going to be alerting people if you have come up and crossed misinformation about the coronavirus,

I warn you, be very careful.

They demonetized us and throttled us way back at Glenn Beck, my Facebook page, because I posted the

show two weeks ago that it looks like, not as a weapon, but it looks like the Chinese were doing a study on bats and they brought them back to this

this laboratory in Wuhan, and that's where this thing came from, not from BAPT Soup.

Well, two weeks ago, that was new information, and USA Today deemed that

fake information and fake news.

We are still

being penalized for that and been on the list of fake news.

You might get a notice saying Glenn Beck has been passing around fake news that is not fake news, and we stand by it, and we demand that our ban be taken off.

but this is one reason why please please become a member of Blaze TV because you're going to get information in real time and if the media decides they don't like that information for instance AP is now saying that it's just the far right that has a problem in Michigan No, I think there's a lot of people that are having a problem with the governor of Michigan and they're not all far right.

Just because you believe in the Bill of Rights is not far right.

And I say this now because I've asked Harry Dent to come back on the program.

He is a guy who was here in the fall, and he predicted that we would hit a Great Depression.

At the time, that looked like it was insane.

Turns out, not so insane.

Looks like that's exactly what we're in right now.

So we wanted to talk to him about what he's seen and what we should do as individuals.

And

is there an exit on this one?

Welcome to the program, Harry Dent.

How are you, sir?

Nice to be back, Glenn.

It's good to have you back.

Harry, I wish that I could say you were wrong,

but you're not.

You've been,

you are a bit like me.

You might be wrong on timing sometimes, but you're not wrong on the direction.

And this one is quite a call that you made on this program.

You said

we are going to be in a depression in 2020.

And

what was it that you saw that predicted this?

Because it's now being brought on by this virus.

Well, you know, Glenn, last time we talked, you were contacting me because you were seeing the same thing I was.

This, oh, this little repo crisis.

You know, this was not a total full-out resumption of quantitative easing.

It was.

It was a total panic.

It gotten up to $700 billion in a matter of a few months to cover these leveraged investment stuff, overnight stuff that banks are supposed to cover themselves, wouldn't.

Fed had to step in.

They panicked so much, they not only did that, they bought a bunch of T-bills, and now they're buying everything and then they had a $5 trillion credit line.

This was the system breaking down.

The Federal Reserve and central banks have had us now since early 2009 on emergency support, endless money printing to keep the whole banking system and weak demographics and excessive debt here and around the world from breaking down, which it wants to do so we can get healthy again and get rid of a lot of this excesses.

And so, in 2017, they said, well, we'll taper.

Well, you know,

this was just a short-term black swan, and we're over it now.

By the way, that's 9 or 11,

9 years later.

And, of course, when they started to drain the reserves, the bank stopped funding the repos, and everything went bad.

And here we are.

Now, what happened, what I saw then, right as we were talking, this was what I call the final orgasmic phase.

This bubble's been going and going and people like you and I warn against it and they just print more money, but I saw this final orgasmic phase with this repo thing.

The market was going up directly in step with every dollar they printed in that repo panic.

And I knew that I was saying this is going to peak by early March to mid-May at the rate it's going compared to past final phases.

And the only thing that cut it a few weeks early was this great virus.

And I hate to say say it,

I like this virus in one stupid way and that it's the perfect trigger because

it's the one thing the central banks can't stop by just printing ever more money.

It doesn't stop the virus.

It may cushion the economy less and less.

Didn't stop this virus and the virus took this thing down.

And I always said,

I mean, way back, you'll know this bubbles over when you get a first sudden 40% give or take crash in two, two and a half months.

And that's exactly what we just got.

And I think we still have chances are we got one more leg down in this until we get a rebound that allows people to get out.

And that's going to be the real reprieve here.

A lot of people are going to miss this person, but there is going to be a better chance to get out and reposition.

Okay, so hang on just a second, Harry, because I don't believe in the stock market at all.

I mean, we didn't.

We're not getting healthy.

We're printing even more money.

The Fed owns almost everything now.

They're the largest landowner in the world.

They own our treasuries.

They're buying them up.

I mean, how is this getting us more healthy?

And Japan, Japan and Europe's done this more than us.

Japan's been buying stocks for a long time.

We're going to end up doing that.

And now the Fed's buying all types of bonds, corporate munis, junk bonds.

They're propping everything up, and they've been doing it for now 11 years, and it doesn't work.

Japan has never come out of a long downturn 30 years later and getting ready to go deeper.

And we're getting ready to finally see the deleveraging

and getting rid of debt and excessive bubbles that should have happened in 2009 and 10.

We would have been over this by now if they hadn't stepped in and just goosed everything up artificially.

You're right, the stock market has nothing to do with the economy.

It is one hundred twenty percent overvalued at the recent peak.

ten times more any time in history because of this money printing has only created asset price inflation, especially in stocks.

It has not reignited the economy, which has been growing the slowest in all of history.

Okay, so

I said a couple of years ago that I felt that stocks could go 30,000 to 40,000 and we would have a melt up,

and then it would just shut down.

I don't think we're ⁇

we haven't hit that.

And I think with all this money printing and everything else, and everybody is just screaming about, oh my gosh, look, the stocks are are up today i think we're still going we're headed for a melt-up do you agree or not

you know i i think you get a a semi-one i i think this was it i think this was the top the reason is and remember what i just said this is the perfect trigger last time the trigger was the subprime mortgage crisis and that was minor in the global scale it was only four states it was only 14 percent of consumer debt only in the united states only nobody else had a subprime crisis but it triggered a worldwide collapse because the world was heavily in debt.

Demographic trends were turning down, which is something I can easily predict decades in advance.

And so that's what caused the, it was a trigger, but the bigger thing was a change in demographic trends when the world was awash in debt way more than in time in history.

Well, now we're way more awash.

Another 90 trillion in global debt, most of that in emerging countries who are less credit worthy, most of it in corporate debt and government debt, not consumer this time.

And so we're just worse off, more overstretched.

And what I think happens here, and it is possible we have one more new high in the markets, but I think only the NASDAQ may make that.

And I don't even know of that, because we're going into this deep shock.

I mean, I went through this at the hurricane

in Puerto Rico.

Three months of total zero.

The economy knocked out.

No internet, no TV, no phones, no nothing.

I had to go to New York for three months and come back for a slow recovery, but it was dead.

This is a deep freeze.

Now, what that does is it shows how weak the economy is, how many corporations are going to default, and even if they get some level of government assistance, which is going to be too little and too late, and consumers that get laid off for the third time in the last 10 years, and baby boomers, a lot of them, very close to retirement anyway, and just decide, I'm not coming back.

We're not going to come back full way.

So markets are going to try.

They're already bouncing a little stronger than they should with the Zig.

But

I put the odds of a new high not that high.

And by the way, Glenn, the Dow got within points of 30,000.

And

my target was 10,000 on the NASDAQ, and we got within points of that, too.

So I think that was the top.

This is the first 40% crash.

I think we got one more leg down when the reality sets in.

And then we're going to rally like we did in the first 1929 crash, the biggest bubble before this one,

the last tech bubble that crashed in early 2000, that first crash, we got a little more to go.

Then we have like maybe three, four, five months rally into the election, and that's when, boy, we can, yeah, take then get out of stocks, let them bounce, and then get out, and boy, really play it safe.

Okay, so, Harry, I want to talk to you beyond stocks

because

I don't see a way out.

They're debasing our currency.

We are headed headlong into socialism and everything else,

everything bad.

And

we lost another, what,

5 million people joined the jobless roles this week.

Any guess what our unemployment number is going to be when it comes out next month?

Yeah, I think we're between 14 and 17 already percent, and it's going to be just in this first shock as high as 20.

Now that the Great Depression had a 25% peak early on and an 18% segment.

That is great depression levels.

And again now I think we're going to get this first shock for the second quarter, maybe bleed in the third quarter.

There will be some sort of rebound, but

there's no way, Glenn, no freaking way the economy even gets close back to normal.

Travel plans have been canceled.

I had speaking engagements around the world canceled, and nobody's even thinking about anything the rest of the year.

Nobody's thinking about traveling anywhere on a jet.

Jet travel passengers are down 95%.

Cruise ships annihilated.

Hotels, I mean, you don't come back from this.

So the only thing that will try to come back will be, like you said, stocks.

I bet stocks don't make it to new highs.

And the only index that might be that NASDAQ, and it might make a slight new high.

It might just go up and ring 10,000.

And then I would run and get out of stocks.

They're going to go down for for two some years after that.

They're going to be down 80% or more.

I've been forecasting this for 20 years, not just recent years.

When this great boom and bubble peaks, stocks will go down 80 to 90 percent like they did in 1929 to 32, not 50 percent like they did in the long recession in the 70s or any other time.

So you've got to get out.

Real estate's going to go down.

It just goes down later than stocks and less, but it's going to go down.

And now, you know,

last time it was 34 percent in the U.S.

I think it's going to be 40 to 50 this time.

Imagine the foreclosures and the bank problems from that.

So

this is the biggest thing in our lifetimes.

If you don't get out of the way of it, and again, I've studied these things.

Everyone in history, particularly the two big ones of the last century in the U.S.,

you are going to get, because of this mass stimulus, you are going to get some sort of reprieve.

probably into August, September, October, right in maybe as much as the election.

I'm telling you, after all the stimulus election and Trump getting re-elected or not, or whatever happens, this thing's going to fall apart.

All the smart money in Silicon Valley are trying to get any IP PO out while they can, because they all know after the election, this thing's going to hell.

That the smart money

is the smart money.

Okay, Harry, hold on just a second.

I'm going to ask you to stay for the full hour.

I'm going to move our coronavirus update.

In fact, we may even blow it off today.

This is the best of the Glen Beck program.

Harry Dent, the author of the book Zero Hour, he put it out quite a while ago, and it's beginning to look like, oh, now's the time.

We should have all read that book.

He was on the program in the fall, and he said, we are going to hit around March, and we're going to hit a Great Depression.

He did, you know, nobody knew about the coronavirus, but that was the trigger that forced this house of cards down.

Harry, we talked about the stock market and everything else last hour.

I want to talk to you about things like, for instance,

inflation versus deflation.

We're probably headed for deflation, where

nothing has real value.

Our homes are worth about half.

Right?

Is that what we're headed towards?

Yeah, yeah.

Basically,

when the central banks inflated all this money, they didn't give it to consumers or even put it into the banking system or businesses or anything like they're finally doing this final thing.

They just bought financial assets from banks to give them liquidity to keep them from going under, and they ignited a huge financial asset bubble.

So stocks and real estate, stocks the most, then real estate,

those type of investments, and most bonds are way overvalued, and they have to reset back down to reality.

That's going to destroy a lot of money.

There's money in your bank account

to spend, but there's money in your brokerage account that's going to disappear even more.

That's money.

So

if you can sell your house or have to sell your house, now is the time to do it.

I mean, you know, there's no better time than right now.

But if you don't have to, can you ride this out?

I mean, what does it look like?

Does it come back in five, six years?

It does not, Glenn.

For the first time in history, we have a smaller generation following a larger one.

The baby boom peak around the world and particularly here in the United States in births in the early 60s and in their inflation impact 20 years later when they hit the workforce in the 70s.

So that's done.

We're never going to have that much growth again and now the baby boomers are dying faster than the millennials coming along to buy.

Real estate will not come back fast and will not come back new.

I advise selling all non-strategic real estate and real estate that's bubbly.

Even

I'm not living in I'm not owning my primary home, but I own my vacation home on an island because it's going to better zoning and it's a special place.

I don't even own my primary home right now.

I'm willing to buy after this.

You're going to get the bargain of your life.

Here's the difference in real estate.

What you said is to sell real estate right now.

You've got less time.

Real estate freezes up in a crash.

Stocks, even when you're late, you can still sell.

They're very liquid.

Same with high-quality bonds and stuff.

You've got to move on real estate now.

Stocks, I'd say more like August, September, October into the election is going to be the time to sell at an even better price, especially if we go lower first.

So real estate is the hardest to get out of, and you're going to get the biggest penalty if you wait because it just freezes up and nobody wants to buy it.

So we have 20%, let's just say, 20% unemployment.

When does that number start to come down, Harry?

Okay, first of all, three scenarios in the past, the 80 to 82 deep recession, the 29 to 32 bubble crash, and the 2000 to 2000 tech bubble crash, all have the same shape.

There's nothing black swan about this, Glenn.

It starts with a first crash when the reality sets in and the bubble bursts.

We're in that now.

That's going to cause a sharp, sudden downturn in the economy like happened in the first half of 1980.

Then all the stimulus will cause a quarter or two of rebound, but that won't work because too much damage has been done.

And we go into a two-year slide into deleveraging, deflation of assets.

That's when deflation sets in before inflation follows after.

So deflation does come first and then inflation.

That's important to understand.

The deflation is about loans being restructured and financial assets coming down to reality.

And that's where you lose your money.

That's where your business gets in trouble if you're not ahead of it and hunkered down.

That's where people get unemployed.

and all this sort of stuff.

And so you have to be ahead of this on every minute.

If you've got a good job,

be nice to your boss and keep it.

If you can do something on the side for business, do that.

If you can hunker down on your business, cut costs ahead of your competitors.

The point of this whole thing is to get the economy healthy again, out of debt, into reality, prices back to where people can invest in the future and afford to buy a home healthy, but that's going to be painful.

You've got to get out of the way of this ahead of everybody else.

If your business just survives this downturn, you're going to have double the market share for years and decades to come.

You're going to come out stronger than ever.

If you

like Joseph Kennedy, sold his stocks at the top and then rebuy when they're down 70, 80, 90%,

you're going to have the greatest gains in your life.

Yeah, my grandfather used to say he lived through the Great Depression.

He said those who had money, those who didn't lose it right at the beginning, they made a killing.

In the business, General Motors passed Ford forever and became the largest corporation in the world

out of that.

Right.

General Motors, everybody in business should read about what General Motors did in World War II and the Great Depression because they were the real winners.

They were really, really ahead of the game.

The other big winner was the mafia.

The mafia played the bloom, the roaring pennies, bootlegging, and became the lone shark for small businesses in the Depression and just hit a home run both ways.

The mafia probably played, Mafia General Motors and Joseph Kennedy are the three great examples of how you make a fortune in a crash instead of losing most of your asset.

And only one of them was really legitimate.

So, Harry,

let me go to the people who are,

and I mean, what do restaurants look like?

I mean, I don't know how the mom-and-pop restaurant survives this.

Okay, look, I went to the, again, the hurricane in Puerto Rico.

We were totally out for three months.

When we get back, back, you crawl back, and guess what?

I had 21 restaurants within a block and a half of my condo, and six out of seven good ones went under and never came back, and one out of three of the bad ones went under and never came back, the cheapos.

And they just don't come back because a lot of businesses are already over in debt or have weak market positions.

This just brings that all out.

So people who think, oh, this is just a virus, and when it goes back, all this stimulus will come back, a V-shaped recovery.

There is no V-shaped shaped recovery to this.

No way.

Only stocks will try that, and they will fail.

All right.

So

let me go back to the unemployment.

When do we start seeing?

Because we have significant unrest if we have 20% unemployment for very long.

Another reason I'm glad I'm in Puerto Rico, Glenn, we've been in 14 years of recession and no civil unrest.

Okay, 80-82 is a great example.

So is the 30s, but that's more reason.

The first shock, unemployment went up to 8%,

and then when GDP came back for a quarter, quarter and a half, all it did was kind of edge back down to like 7%

because it's still the economy's weak, like I said.

You don't come V-shape out of it.

And then in the next phase, late 81-82, it went up to 11%.

So double those figures.

This time, let's call that 15% plus in the first shock.

And then you go down a little bit, and then you go to 20%, 25%

in the longer shock.

This is serious.

There is going to be civil unrest.

It's going to get a point where the government can't backstop every small business and every person like they're doing.

You've got to realize, the government this time after the last shock and stimulating for nine to 11 years, nobody knows better than the central banks how weak the economy is because they keep pumping Viagra into this thing and nothing happens.

And so they're blowing their whole wad right at the beginning.

What else can they do?

And there's no, I tell small businesses, get every subsidy or loan you'll get right now.

You know, consumers, get anything you can get.

Be first in line because this is going to run out.

And don't have your money in normal bank accounts other than pay your bills.

Have it in a brokerage account in Safe Haven Investments under your own name that cannot be lent against and lose that money.

The government can't back all the bank accounts in the country either.

So you have to get safe.

You can't listen to Warren Buffett or the experts or Wall Street or politicians the least.

They're all going to tell you this is okay.

Don't panic.

This is one time you should panic and cover your assets.

So wait, wait, wait.

So where is the

what is the safe haven?

Okay, number one.

We just saw it, Glenn.

We just saw it except for one exception.

I told people the number one is the 10 and 30 year, yes, U.S.

Treasury bonds because they won't default.

They have to print money to pay them off.

Second is AAA.

Only the highest highest quality corporate bonds don't have the default risk when interest rates go down.

So bonds like interest rates going down, but only the highest quality.

Well, guess what?

In this crash,

the treasury bonds did great.

The AAA corporates didn't do so well because when you see you're a cruise line or an airline or a retail store and you see 50 to 80 percent declines, your triple A rating turns into junk overnight and you trade like a junk bond.

So really it's the treasury bonds at first and then when things settle down, the triple H.

So that is the best.

So wait, wait, wait, wait.

But how do you do you have belief in a long-term treasury?

I mean, you know, you say, well, they'll just print their money.

They have to pay out.

I mean, money has no value.

No, no, that's not true, coin.

Currencies trade relative to each other.

And I can tell you this, I've said this for years.

Nobody gets it till it happens.

It happened in 2008.

When the Lehman Brothers and things went to worst, the U.S.

dollar went up 28% and all the other currencies went down.

We are not a good house.

We're just the best house in a bad neighborhood.

Japan has printed 105% of their GDP.

Now we're at 20%.

Europe's at 42%.

Now we're all amping up again.

We are the best house.

We're still the reserve currency.

Loans around the world are made in dollars.

When those loans go bad, especially in the emerging world, dollars are going to disappear.

There's going to be fewer dollars, which means they're worth more.

temporarily.

I say the U.S.

dollar, and particularly the U.S.

Treasury bonds and highest quality corporate bonds, hold up the best in deflation at first.

After that, no,

I'm not in the dollar after that.

The dollar just does well as the best house in the crisis like it did in 2008.

When we go into the next boom, it's all going to be about Asia and even less about China.

It's going to be about India, Southeast Asia.

There's no way the U.S.

is going to be the reserve currency in the future.

I'm just saying the U.S.

dollar, I mean, there's not enough gold to back everything.

And cryptos, cryptos are the biggest bubble of all.

I've been saying the cryptos are going to be on the most when this happens.

Crypto.

It's already proven not to be.

No, just recently, in just this first crash, treasury bonds did the best.

The U.S.

dollar went up, other currencies went down.

Gold went up in the early stages, as it did in 2008, and then retreated some.

Gold was still the next best to those high-quality bonds because it held its value better than other commodities and way better than stocks.

But the ultimate safe haven, I'm telling you, it's going to be the 10- to 30-year treasury bond during the crisis.

After that, those very treasury bonds and all bonds are going to go into a 20-year-plus bear market with rising rates.

Inflation is going to follow.

Not high inflation, but gnawing inflation is going to follow this crisis, and bonds are going to be trash.

But in this crisis, only the best ones are good.

And, of course, cash, just sitting in cash.

So I would have cash.

Like I'd have high-quality bond.

I'd have some gold.

It's also a great diversify.

And that's it.

And if you want to hedge, you can put some money in a simple, unleveraged inverse fund.

S p 500, you have to bet against that?

You buy SH.

SPY on the way up?

SH.

Will just go down.

If the S ⁇ P goes down 40% here, then you're up 40%, and it ultimately goes down 80%, you're up 80%, and you're not unleveraged, you're not going to get margin calls.

You just sit on it, and maybe you put 10 or 20% of your portfolio in that.

So small amount inverse funds, small amount in gold, a lot in high-quality bonds.

That's where I would be.

But you have now, you're going to have several months to prepare for this.

So it's the real estate you should focus on first because that just dries up.

And I've seen that happen time and time again.

Nobody wants to buy a house and no bank will lend to buy a house even if somebody wants to once it starts.

Okay, Harry, thank you very much.

I really appreciate it.

Harry Dent from HarryDent.com.

The name of the book is Zero Hour.

It came out a while ago, but it's describing everything that we're going through right now.

And he backs all of it up with charts and graphs.

And I mean, he said that it would be probably about March that we would hit the Great Depression.

And that's pretty accurate.

Pretty accurate.

So

we'll keep in touch with him.

And you should read Zero Hour.