 Good day, fellow investors. Welcome to the stock market news with a long-term fundamental twist. Everybody's talking about trade wars, Huawei's CFO arrest, Brexit, but I think that during the week there are two very crucial pieces of information that came out that are extremely important for your long-term financial well-being. The first information is this. US debt is projected to jump by $7.5 trillion from 2016 to 2023. U.S. government debt above $25 trillion. Trump will be long gone or on the exit doors if he wins another election, but the debt will be bigger, bigger and bigger. All politicians, Trump, Obama and whoever was before that, you see the debt is increasing, increasing and increasing. That's the first piece of information you have to take into account. The second piece of information comes from Europe. The ECB brings quantitative easing to an end and hold rates for now. Let's start by discussing Europe because Europe is, the information is about the policy. And the same policy will be applied in the US, in Europe, in China, in Japan, wherever in the world. And that's the most important information for investors, long-term investors, this week. So, the ECB is ready to adjust instruments if needed to meet its goal of sustained inflation just below 2% over the medium term, Draghi said. While policymakers didn't consider extending quantitative easing into next year, it remains in the central bank's arsenal if needed. Emphasized, quantitative easing is part now of the toolbox Draghi said. It's permanent. It's something that may be considered usable in contingencies that the governing council will assess in its full independence. Why is this so important? Why is now quantitative easing becoming a tool so important? Because it tells us what will be the next step when trouble hits the economy again. And the economy cyclical, we have ups and downs and trouble will always come. What will the Fed do? What will the ECB do? They will do more quantitative easing in the form to help the economy. That is what they have done and that's what they will do. And we'll connect all the dots, the debt, the policy, and the economy later in the video. So, knowing that, we have to also invest accordingly. I have summed up the balance sheet of the Federal Reserve and the European Central Bank balance sheet in the blue line and I have plotted that against the SAP 500 in the green line. Do you see any correlation between the Federal Bank's assets and the SAP 500? I don't even have to comment on this. The correlation is almost perfect over the last nine years. So, as soon as there will be trouble and there will be trouble, they will probably print more money, lower interest rates again because that has worked in the last nine years. Nothing else matters. Productivity, those are not important for them because you can print money and people don't feel the pain when you print money. Nobody feels the pain. If you go talking about productivity, improving competitiveness, etc., etc., that hurts and no politician wants to do that. And why the economy will hurt eventually? Because you have to stop with the quantitative easing at some point and then this happens. From Bloomberg, just a nice article. If we look at Trump's debt for his international hotels and what Trump National, Doral, Miami, the total debt is $340 million. Now, the interest expense on that debt was $11.1 million in January 2017. Now, two years later, with the Fed's tightening, the interest expense is 50% higher at $16.2 million. That is a huge increase. So, 50% higher interest expense and if you're working on tight margins, that can be crucial. Perhaps not for Trump in this case, but for many other businesses. And if you project that back onto the $25 trillion U.S. debt, you know, okay, there will be a debt problem somewhere in the future. Plus, if we look at economic projections in Europe, they have already been slowing down. Growth has slowed down as the ECB has been printing less money. So did economic activity slow down. And we see how quantitative easing really pushed economic growth in Europe. They will pause it for a while. But if there is a recession, Draghi will continue to print money. So the main message here is, okay, we have debt. Everybody is okay with the debt. And everybody is okay with more quantitative easing, with more money printing. And that is the crucial piece of information. Investors, long-term investors, savers need to know. Currencies will be sacrificed for the greater good. So be careful when investing, especially if you have a lot of currencies. And this leads me to 2008 Warren Buffett, that I found the New York Times article from Warren Buffett, where he said this. So Warren Buffett said that there are free ways of getting out of debt issues for a government. Those are default, higher taxes and less spending or inflation. So default, if you don't need to default, why would you default? Higher taxes and less spending. Did you see any politician be reelected if he says we are going to put higher taxes and spend less? No, Trump lowered the taxes and he's spending more to be reelected. So that's also not an option. Option number three, inflation makes everything easier, makes everything smoother. Who is the sucker there? The sucker there is the safer. The rich get richer, the poor get poorer, especially if they are savers. However, that's something that will be dealt in the future. But for now, if there will be problems we can print more money and we can let inflation ease the debt burdens. Europe is counting on it, the US is counting on it, Japan is doing it constantly. So that's something to keep in mind when it comes to investing. Further, another article from Buffett, today people who hold cash equivalents feel comfortable. They shouldn't. They have opted for a terrible long-term asset, one that pays virtually nothing and is certain to depreciate in value. Indeed, the policies that government will follow in its efforts to alleviate the current crisis will probably prove inflationary and therefore accelerate the clients in the real value of cash accounts. This doesn't really happen over the last 10 years, but that doesn't matter that it won't happen over the next 10 years. So from all the information that I see going on in the markets, I try to clean out the noise, the CFO arrests and all those things and see, okay, what are the fundamentals of the economy and how can I invest in the best way to deal with that. Tomorrow I'll be talking more about my investment strategy really into the details for 2019 and beyond and I'm really trying to think, okay, what's going on? How will the world look like in 2019? If you want to check everything I do, full disclosure, skin in the game, you can check my stock market research platform. The link is in the description below. So feel free to check that, but really focusing on, okay, I need assets that protect me for inflation, assets that have pricing power, quality assets, generating cash and improving margins in case of inflation. So this is extremely crucial to keep in mind, okay, how will the world look like in 10 years? Protect yourself against inflation, forget about the noise, about the CFO arrests, trade wars, etc. Hold great businesses with low permanent capital loss potential with high upside and that is what will make the difference within your portfolio. Everything else is noise. Check my research platform for more info, see how it fits. There is a 30-day money back guarantee so you practically have nothing to lose. See if my strategy can add value, if my research can add value to you, if not, well, we are all different. Thank you. Looking forward to your comments on this and I'll see you in the next video.