Star Wars is no longer fantasy.
I’m not suggesting a cruel Darth Vader is about to hold sexy Princess Leia captive.
But US President Donald Trump has wanted to explore — and enforce — space since he became a candidate for president.
Back in June 2018 he said…
‘When it comes to defending America, it is not enough to merely have an American presence in space.
‘We must have American dominance in space…
‘I’m hereby directing the Department of Defense and Pentagon to immediately begin the process necessary to establish a Space Force as the sixth branch of the armed forces.’
Some of this is to do with the defence of satellites.
They provide communications, navigation, reconnaissance, tactical missile detection, and weapons targeting.
China successfully shot down a satellite in 2007.
In 2019, India did the same.
Russia is also testing such a weapon.
And China and Russia are working on methods to disrupt satellites with lasers or electronic jammers, according to US officials.
Shooting down a satellite is not easy. They move around Earth at 17,000 miles per hour.
But the consequences of losing them are dire.
If you think a pandemic has disrupted your life, imagine the rapid communication systems that have tied the world together totally unravelling.
If GPS signals stop, the internet cloud would begin to fail.
Web searches become slower.
In time the internet would grind to a halt.
Emergency services would need to switch to manual systems.
Commercial airlines would be grounded.
Ships would lose navigation and weather warning systems.
Food supply chains would be affected, and the world would be a whole lot bigger than it currently is.
The above scenario doesn’t bear thinking about. It may leave you wondering what could lead to it.
Because we are about to take our wars into space…
Why humans go to war
A space war is really all about land.
Securing access to land and natural resources is the main reason why we humans fight each other.
The countries that monopolise the resources hold the greatest power and wealth.
Here’s one example…
Currently, 90% of the world’s rare earth metals (REM) are produced in China.
Between 2004 and 2017, Chinese supply accounted for 80% of US rare earth imports.
It’s one reason the US Defense Department is seeking federal funds to bolster domestic production.
Current trade disputes are threatening this type of supply line.
However, the moon has a treasure trove of REMs.
Hundreds of millions of dollars worth, just waiting to be claimed…
All of the following are in abundance on the moon, too:
Helium, silicon, iron, magnesium, calcium, aluminium, manganese, titanium.
With a mass of 73sq tonnes, removal of one metric tonne of material each day would barely make a dent.
At that rate, it would take 220 million years to deplete 1% of the moon’s mass.
Moon mining would be controversial — but no more so than mines on Earth.
Down here mines have cut through underground streams and aquifers, drying out water tables and contaminating air and land with toxic materials.
The virgin territory of space will hardly stay immune.
In 1966 the Outer Space Treaty was created. It gave a framework on international space law.
This included limits on any one country declaring ownership of a celestial body.
However, Trump is a real estate man.
He understands the power of land ownership.
And so he recently signed an executive order stating the US has the right to explore and use resources from outer space.
It also said the US did not see space as a common area for resources and didn’t need permission of international agreements to ‘get started’.
Elon Musk’s SpaceX is trying to solve technical issues with the development of reusable rockets.
Just one reason why Trump is now declaring Musk a ‘genius’.
And manpower is not a concern.
Robots are already replacing humans in Earth’s mines and would be used to do the manual work on Moon’s mines.
This all fits in with everything we know about a cycle called the Kondratieff wave (K-wave).
The K-waves are long commodity cycles plus technology waves…
The next peak of the K-wave is coming
It’s all about raw materials that fall under increasing demand from innovation and population growth.
These cycles last 50–60 years.
We see around 25 years of inflationary prices, and 25 years of deflation.
Think the Industrial Revolution of the 1770s.
Steam engine and railroads in the 1820s.
The birth of the steel industry and manufacturing in the 1870s.
The age of oil, electricity, and cars in the 1900s.
And the wave of computers, information technology, and robotics, which we are currently living with now.
Securing the recourses for the roll-out— of the new technology brings rising prices, increased investment, and jobs.
Once the technology has been completed however, the deflationary part of the cycle kicks in.
Numerous studies have uncovered a correlation between the K-wave peaks and war.
We’re currently on the upswing of a K-wave — set to peak later this decade (between 2025 and 2027).
It also sets the stage for a spectacular build-up of global tensions and wealth creation.
Cycles, Trends & Forecasts readers are already being informed of the investment opportunities that surround these trends.
Right now — whilst the world is focused on COVID-19, it’s a great time to start taking advantage of what’s to come.
PS: I reveal why I thinks we could see the biggest property boom of our lifetimes — over the next five years. Click here to learn more.