Investing in uncertain times. How can I prepare for the worse?
Dear Chuck,
Everything seems to be getting expensive fast. What should I do to protect my family? Is it time to buy or sell? I am confused.
Should I Buy or Sell?
Dear Should I Buy or Sell?
Your question is very relevant to all of us. Prices are going up, and our purchasing power is going down. Fortunately, this topic is addressed in Scripture. Let's take a brief look at where we are, and then I will offer some Biblical perspective.
Everything is going up!
I recently read a report published by The Kobeissi Letter, an industry-leading commentary on the global capital markets (not an endorsement, just a data source), that noted where we are right now:
- Stocks = Record High
- Gold = Record High
- Silver = Record High
- Home Prices = Record High
- Copper = Record High
- Platinum = Record High
- Money Market Funds = Record High
- US Debt = Record High
- Deficit Spending = Record High
- Household Debt = Record High
Their conclusion: "Fiat currencies are depreciating." My translation: The U.S. dollar is losing purchasing power, and everything is being affected at once.
One of the most interesting replies to the post on X was: "My Anxiety = Record High."
The dollar continues to devalue
The most recent data through December 2025, with updates just released this week from the Consumer Price Index, reveals the following:
- Approximately $8.00 today (early 2026) is equivalent in purchasing power to $1.00 in 1971.
- This represents a cumulative price increase of about 700% (or seven times higher prices on average). This devaluation has occurred over the past five decades, since leaving the gold standard.
- In other words, the dollar has lost roughly 87.5% of its purchasing power since 1971. [Calculation: Today's dollar buys only about 12.5% (1/8) of what it could in 1971 → 87.5% loss.]
- The average annual inflation rate over this period has been around 3.85% per year. Remember, inflation rates translate to rapid devaluation of purchasing power.
To buy or to sell?
Your question and the anxiety you may be experiencing are driven by the tension we all have of being unable to know the future. The Bible makes it clear we cannot know what one day will bring. So, we must live one day at a time, obey God's principles, and put our faith in Him — not money. With that perspective, we can try to discern whether we will enter a period of deflation or continued inflation and make necessary adjustments.
If the supply of goods begins to exceed the demand for those goods, prices will go down. Often, high prices reduce demand (fewer people can afford to buy), and prices begin to drop. If that dynamic persists over a sustained period, we enter a depression, such as happened in 1929–1933.
If the supply of money exceeds the available goods, then prices go up, and inflation persists.
The reality is that it is better to buy assets during a period of deflation and sell assets during a period of inflation. This is the proverbial "buy low, sell high" strategy. Sir John Templeton determined his timing by framing it around emotional sentiment. He said we should buy during times of peak pessimism and sell during times of peak optimism. The problem is always a matter of knowing what period we are actually in. This leads me to Solomon's wisdom and counsel.
Stay diversified
"Give a portion to seven, or even to eight, for you do not know what disaster may occur on the earth" (Ecclesiastes 11:2 ESV).
This is widely seen as the Bible's clearest endorsement of diversification — spreading investments across multiple ventures so that if one fails (due to unforeseen "disaster"), others may succeed. Modern financial experts often cite this as ancient wisdom for not putting all your eggs in one basket. This equates to no more than 12–15% of your investments in a single asset.
Be patient
"Wealth gained hastily will dwindle, but whoever gathers little by little will increase it" (Proverbs 13:11 ESV).
Building resources gradually through consistent effort (like compounding in investments) rather than chasing quick riches is an approach that demonstrates wisdom.
It has been said that fear and greed are the two key drivers of when people buy or sell. However, we must set aside our emotional responses to economic news and keep these two biblical principles in mind. I would not suggest you make a decision to buy versus a decision to sell. Instead, make a decision to sell some assets and possibly buy others after seeking wise counsel or professional advice. Remain diversified, be cautious, and stay diligent, regardless of what may change in the economy.
Persistent, escalating inflation dangers
I don't foresee a case in which the United States federal government starts to exercise fiscal constraint by curtailing deficit spending, paying down debt, and limiting the printing of money. Socialist thought is spreading, which means the demand for more social services from national, state, and local budgets is increasing. However, an economic crisis could force austerity measures upon us.
I said in 2021 that we are effectively practicing "Modern Monetary Theory" (MMT), which is a macroeconomic theory that suggests governments that issue their own currency can spend freely without needing to rely on taxes or borrowing. This ideology advocates that Uncle Sam can print and spend our nation’s way out of any financial problem and that federal debt does not matter. I call it the "Monopoly Money Theory" because it is foolish. Debt does matter. Money supply does matter. When people lose confidence in their currency, a deeper devaluation is likely. Inflation is like an invisible tax the government passes along to us without our permission!
Without a significant economic crisis to serve as a wake-up call, be wary of persistent inflation, and continually monitor the potential for escalating inflation if fiscal and monetary policy is not reformed. Grow in wisdom and discernment to know when it is best to sell and when it is best to buy. Avoid overreacting or responding to fear or greed.
You may benefit from reading my book Seven Gray Swans: Trends That Threaten Our Financial Future. In it, I discuss several economic threats, including MMT, digital currencies, universal basic income, democratic socialism, etc., that we should keep in full view as we navigate a volatile economic environment.
Chuck Bentley is CEO of Crown Financial Ministries, a global Christian ministry, founded by the late Larry Burkett. He is the host of a daily radio broadcast, My MoneyLife, featured on more than 1,000 Christian Music and Talk stations in the U.S., and author of his most recent book, Economic Evidence for God?. Be sure to follow Crown on Facebook.
