One Principal that Compels us to War
Do they even teach the Monroe Doctrine in schools anymore?
The Monroe Doctrine began as a United States policy of opposing European colonialism in 1823.
It stated that further efforts by European nations to take control of any independent state in North or South America would be viewed as “the manifestation of an unfriendly disposition toward the United States.”
At the same time, the doctrine noted that the U.S. would recognize and not interfere with existing European colonies nor meddle in the internal concerns of European countries.
By the end of the 19th century, President James Monroe’s declaration was seen as a defining moment in the foreign policy of the United States and one of its longest-standing tenets.
It would be invoked by many U.S. statesmen and several U.S. presidents, including Ulysses S. Grant, Theodore Roosevelt, John F. Kennedy, and Ronald Reagan.
Do they even teach the Monroe Doctrine in schools anymore?
Perhaps they should!
Foreign powers are increasingly meddling in the affairs of the USA.
Barely a day goes by without some kind of cyber-attack splashed across the newswires.
And that doesn’t even begin to probe the alleged Trump / Russian Election hacking debacle.
In fact, the core US military doctrine was altered in the late 90s to include what is now known as the Fifth Dimension of Operations. The first four being:
1. Land
2. Sea
3. Air
4. Space
And now:
5. Information
Cyberterrorism and its antithesis, cybersecurity, now fulfill the characteristics for a new Elephant Bull Market
Speaking of areas of military operations, it should be obvious that we are embroiled in a heightened state of global conflict.
Whether religious, ethnic or tantrums brought about by global warming, we are not smart enough to identify its catalyst yet;
History Repeats…
What we find incredible is that nobody mentions or connects the current Heroine crisis plaguing this country with our military involvement in Afghanistan.
Have we forgotten the Soviet-Afghan War in the 1980s?
Now commonly referred to as Russia’s Vietnam:
Mujahideen (Bin Laden being the most notorious) used the addiction to cheap Heroine as a weapon against Soviet troops, a practice fully endorsed by the CIA at the time.
“Drug use in Russia exploded after the fall of the Soviet Union, though heroin addiction had already begun to grow among soldiers returning from Moscow’s ill-fated invasion of Afghanistan, currently the world’s largest producer of opium.”
Has the same epidemic reached the USA?
After a brief hiatus in the ‘90s global military spending is once again on the rise:
Source: Outsider Club
And the headlines are littered with scary geopolitical events:
- USA shoots down a Syrian Jet… lest we forget that Syria is a military hardware client of Russia … a dangerous escalation to say the least;
- North Korea successfully launches an Intercontinental –range Ballistic Missile capable of reaching Alaska!! Is Kim Jong Un a rogue dictator or acting under the auspices of the Chinese government??
Is it any wonder then that defense contractors such a Lockheed Martin have been on a tear for the better part of 5 years?
Figure 1 – Lockheed Martin on a tear
There is a global Arms race going on right now … a precursor to War?
If history is any guide, Wars are normally accompanied by inflations and their supernovas, Hyper-Inflations as well as higher Natural Resource prices.
Both of which are conspicuously absent right now. Potentially indicating a decent entry point?
Figure 2 – Commodities Research Bureau Index
Don’t shoot the messenger … We just work here!
Regards
Greg
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Thank you for reading my post. I regularly write about private market opportunities and trends. If you would like to read my regular posts feel free to also connect on LinkedIn, Twitter or via Atlanta Capital Group Investment Management.
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Greg Silberman is the Chief Investment Officer of Atlanta Capital Group Investment Management [ACGIM]. Atlanta Capital Group Investment Management specializes in creating custom private market solutions for RIA/Family Office clients.
Advisory Services offered through Atlanta Capital Group Investment Management.