Hey Guys, Let's follow on with a that billionaire & hedge fun | Coin Bureau Insider

Hey Guys,

Let's follow on with a that billionaire & hedge fund trend and combine it with the inflation theme that I have been banging on about.

The most recent story that includes all three of those is this recent discussion that Paul Tudor Jones.

I have talked about Paul Jones quite a few times on the channel. He was one of the first few hedge funds managers to talk about that great monetary inflation & why he was allocating towards Bitcoin.

Yesterday, he conducted an interview with the folks over at CNBC. Here is a snippet of it:

https://www.cnbc.com/video/2021/06/14/paul-tudor-jones-inflation-trade-fed.html

I highly encourage you guys to watch it if you have a moment (only 5 mins).

However, here are some of the most important points that I took away from it:

- All eyes on the Fed meeting today...

- If there is no concern by the Fed around the high inflation numbers, it will be the clearest sign yet that you should go all in on inflation hedges.

- Massive short in the commodities complex because all investors are being told by the Fed that inflation is "Transitory" and nothing to worry about.

- Retail investors, on the other hand, know that inflation is a problem as they see the increasing cost of living. They may consider their own revolution of investing in inflation hedges.

- Happy he does not manage pension fund investments. There are no assets that really make sense in the current environment apart from commodities and inflation hedges.

For me, this all makes a lot of sense, and it is further reason to watch what the Fed talks about today. If they still bang on about how inflation is not that much of a concern, you know that it is time to seriously start considering allocating more funds to inflation hedges - that's what Paul will be doing.

And, as you know, Paul has invested in Bitcoin. In another segment of the interview, he reveals that he has 5% of his portfolio in Bitcoin.

https://twitter.com/SquawkCNBC/status/1404424423277486084

Of course, this Fed meeting today will be important as it will give the market an indication of what the Fed will do more broadly.

As I mentioned in my video on Macro factors, Bitcoin is also impacted by rate movements in the short term. If there is an indication that tapering could start earlier than expected, it could mean that assets such as equity and Bitcoin could temporarily sell off as people adjust portfolios.

However, that longer term inflation is likely to still be the bigger fear that is only just getting started.

For example, global shipping costs are going through the roof.

https://twitter.com/coinbureau/status/1404382361253449730

And they are likely to only continue increasing:

https://www.cnbc.com/2021/06/15/china-covid-cases-causing-higher-shipping-costs-delayed-goods.html

Shipping costs are a major factor in the cost of imported goods.

So, it's with this backdrop that we have the Fed meeting today. I will be keeping a close eye on it.

Feel free to watch some of my Bitcoin macro factors for more of a background:


Global Macro Bitcoin


Inflation Rising