Summer is coming – and things really do not look promising

by May 6, 2021Thinking outside the bottle0 comments

inflation edit.jpg

Paulo Pinto

Alti Wine Exchange founding member


Dear reader,

I must be honest. I am in a bad mood because of something I just read: this economic contraction we are in is four times worse than the one in 2008.

Western living standards are getting squeezed because of the sharpest economic contraction in modern western history, man-made by forced lockdowns. Centralized political authority, with central banks printing unlimited amounts of money to stimulate the economy, have arrived with a vengeance.

Historically, the result is always the same – and maybe you are already feeling this in your own life by paying a lot more at the grocery store. Corn, and soya and wheat are at eight-year highs.

The Arab Spring in 2010 was fueled because of the cost of bread. Higher commodity prices can easily lead to political unrest.

Now, summer is coming, and even though so many people eagerly await a vaccinated post-pandemic life –, things are not particularly looking good if you look at the bigger picture.

We are coming out of a period of globalization, with people owning assets in several jurisdictions, with new nomad capitalists stuck in different places that do not depend on any country for capital or expertise. Now, the difficult times come.

Those of you reading us know. We have been talking about inflation for a while, and we have been doing so in such an emphatic way because it is a matter of enormous importance.

The economic devastation we are living is generational, but we must not let the losses dominate our view, because for every crisis there is a strategy.

Those with no strategy, seeking more security, will only be more disturbed about every change happening in their lives.

For those with a strategy, things can change. Your attitude helps. It’s also important to have a sound philosophy of life, living as a free individual.

Looking ahead

As our long-time readers know, Alti Wine Exchange should be a workable part of your strategy dealing with physical goods as a way to help protect you from disastrous monetary policy.

We have been basically talking about a pandemic-stricken scenario, but everything flows from the way the monetary system is handled. Without that understanding, you are forced to rely on news made by people with conflicting opinions and credentials.

Worrying about money never solves our money problems – but taking action does. Choosing where to put your money is crucial.

Until next time.



Explore More from Our Blog

Would you bring your child to a winery?

DEAR READER, What a pleasure to be back! I admit it: these mailbags are now my favorite point of the week. Even during the contentious back-and-forth, I always enjoy opening my inbox to see words from you all. “Kind” ones, sometimes—but as you know from last week—I...

Our Sommeliers suggested wine

DEAR READER, I must be honest—I expected many more well wishes after posting that old journal entry. Everyone is modest when they say they don’t want well wishes, and so I expected there would be a few of you who saw through my “plea for privacy”. But, I forgive and I...

Because Life Needs Good and Evil

Black and white. Chaos and order. Sinner. Sinless. Life is a constant search for the happy medium, the yin and the yang. It’s as renowned psychologist Jordan B. Peterson explains, “Order is not enough. You can’t just be stable, and secure, and unchanging, because...

Thank you, Lehman Brothers?

On this day, 13 years ago, the world broke out in a panic when Lehman Brothers filed for Ch. 11 bankruptcy. Still the largest bankruptcy filing in US history, it was the climax of the Great Recession of 2007-2009. Subprime mortgages were to blame, lending money to...

Beer vs Wine, a timeless debate…

DEAR READER, Blah blah blah let’s get right to it! Dear Sommelier Ferdinand, You’ve dropped some hints that you look down on beer. Why is this, Sommelier Ferdinand? You have a growing fanbase—surely, you’re aware the effect that your insults have? And before you...

What would you do if you found an expensive wine in a cellar?

DEAR READER, Never in my life have I been happier to pontificate about wine than at my computer desk. In person is stimulating, sure, but they always talk back at some point. My lovely readers, however, only speak when I like! This internet thing has utility!...

The Beginning and The End.

Alas, the sun has crossed the celestial equator from north to south. Summer is now quite uneasy, shifting into fall in the north, while life is springing into action down south. What a beautiful time of the year! When grapes are cut from the vine to create new wine,...

Ever heard of a wine cocktail?

DEAR READER, I hope some of you learned from the reader letter last week [hyperlink to Week Ten post] and checked your attics! You never know how much wine sits above you, waiting to be uncorked and decanted—on someone else’s dime! Dear Sommelier Ferdinand, I have a...

The Future of Wine

We humans are bold if nothing else. Unlike any other species (that we know of), only we have chosen time and again to go boldly where no other has gone before. This holds especially true to the modern European, the first to really “discover” ignorance. Though they...

Could Mozart Make Your Wine More Complex?

We usually do three things when drinking wine: look at it, smell it and taste it. We activate three of our five senses to understand what’s going on in the glass. I propose we go further by incorporating sound and touch. Surely what we’re listening to while...

What on earth is a ‘Wine Decanter’?

DEAR READER, It’s come to my attention that many of you are ill-informed, misinformed, and frankly, uninformed about how wine is to be consumed. Were I only a wine enthusiast, it would be wholly dispiriting. But—wine is my profession, and I’m obligated to recognize...

“What’s My Next Question?” – Benjamin Kaplan

What’s My Next Question? On a random day like today 11 years ago, a legendary Harvard Law professor and lawyer, Benjamin Kaplan, died at 99 years of age. A rich, marked life that left an impact long after his last breathe. Apart from influencing the likes of Ruth...