Central Banks' Battle of the Bulge

On January 10, 2016, Chicken Little warned of a deflationary depression. Within a few weeks of Chicken Little's deflationary warning, exactly the opposite happened -- prices of everything including oil, gold, and stocks and bonds began rising. 

Just today (Oct 30, 2016), the Wall Street Journal printed a front page headline "Inflation, Long Quiescent, Begins to Stir," writing "markets and central bankers alike will be relieved that the world is no longer skirting a deflationary abyss."

Did Chicken Little make the mistake of crying deflation just at the beginning of an inflation? 

The snake you can see, sometimes does bite.

Chicken Little Investing Rules - the short version

On August 11, 2016, Chicken Little changed his relationship status. After a nearly decade-long love affair with US Treasury bonds, Chicken Little packed his bags and moved to a small apartment near the beach with a bean bag chair and one cracked plastic cup.

Unfamiliar with the new financial dating scene, Chicken Little has been nervous. "It is too soon." "Do I swipe right or left on Tinder?" Before going on a few financial dates, Chicken Little knew that he had to set some rules. 

Chicken Little Looks for Investment Love

Chicken Little Portfolio Performance September 2016

In September 2016, the Chicken Little Portfolio lost 0.63% while the Dow Jones Industrial Average lost 0.44%.

You can view the portfolio performance in real time by clicking here (you need a free simvest.com account).

Dangers Lurk beneath the surface