Economics: Something Financially (And Politically) Wicked This Way Comes
This is bad; very, very bad.
While I may not be able to forecast when “last to go” markets like the “Dow Jones Propaganda Average” and paper gold and silver will break free of the “powers that be’s’” unconscionable, blatantly obvious manipulation, I’ll put my track record of political, economic, and monetary predictions up there with any of the most famous – in many cases, infamous – “gurus.” The reason being, that in a world of lies, corruption, brainwashing, stupidity, manipulation, and brainwashing, only a handful of free thinkers – like myself, and you – still apply logic on a daily basis.
To that end, the titles of recent Audioblogs say it all, regarding what I’m feeling and anticipating; i.e., “frankly, I’m terrified”; “BrExit times ten”; and “…financial markets will die.” Regarding the latter, watching this morning’s acceleration of the post-Trump commodity; currency; and most importantly, bond market crash, I can’t help considering how close we are to the long-awaited “Big One” washing over Western shores as powerfully as it has already decimated many “third world” nations, and is in the process of doing so to most of the “second world.” Sure, the gold Cartel is going hog wild defending its current “line in the sand” at $1,230/oz. However, one day soon, we’ll be laughing when we consider the fear some of us were experiencing (particularly those heavily exposed to “paper PM investments”); or more likely, crying at the state of the world, and the catastrophic scenario a handful of “elites” caused.
The financial damage of the past week alone has already driven a dramatic plunge in worldwide trade – particularly the surge in interest rates, which has likely bankrupted countless hedge funds, institutions, and possibly heavily leveraged Central banks and sovereignties. Throw in the most explosive currency crash in memory – which again, I have vehemently predicted for years, as the dollar always rises during times of uncertainty; and the crude oil crash that – yesterday’s comical OPEC jawboning rally notwithstanding, is destined to continue – and we’re talking about massive financial losses and dramatic economic deceleration (see below, if you want to see what is occurring in the U.S. real estate “echo-bubble” as I write. Oh, and did I mention the tens of trillions of derivatives that likely blew up this week – such as those of Bank dei Monte Paschi, Italy’s third largest bank, which is likely to announce an ominously precedent-setting €5 billion bail-in by year end. Or oh yeah, the world’s largest derivatives purveyor – and “most systematically dangerous institution” – Deutsche Bank?
Central banks are dying, political and social instability is exploding, and the “final currency war” I first warned of nearly four years ago is going thermonuclear – led by the enactment, as I write, of the PBOC’s “cataclysmic financial big bang to end all big bangs”; as evidenced by last night’s lowest-ever Yuan/dollar peg, en route to much, much lower levels as China fights the collapse of global trade – and likely, Trump’s proposed protectionist trade policies – to the death. And by death, I mean America’s financial death – as sadly, China now holds all the cards, including the world’s gold; manufacturing base; increasingly dominant technology, political and military leadership. And oh yeah, $1 trillion-plus of U.S. Treasuries, which I assure you it will continue to sell hand over fist, necessitating a MASSIVE increase in Fed money printing and monetization, particularly if Trump’s Congress is stupid enough to attempt a new round of “supply-side economics” with the world’s largest-ever debt, and not a chance of returning the jobs Trump fallaciously promises to bring back.
I expect 2017 to be the scariest year of our lifetimes, as a multi-generational “perfect storm” hits an overpopulated, over-indebted world brimming with record debt, exploding money printing, and historic overcapacity. No amount of election rigging, market manipulation, or economic data fudging can stop “Economic Mother Nature’s” emergence from “hibernation.” Nor, for that matter, Mademoiselles “Political”; “Economic”; and “Monetary Mother Nature.” From the implosion of the European Union, to the crash of China’s epic real estate bubble, to the hyperinflation of the Yen and realization that America is indeed amidst a recession, no “first world” civilization will be unaffected. As for the “third world” – particularly the dozens of nations reliant on commodity prices and tourism – the carnage will be unprecedented.
But most of all, my personal bias notwithstanding, I anticipate the most dramatic, decidedly negative changes to occur here in the States. Not because I expect it to immediately plunge to the third world – which, I might add, was the likely result of a Hillary Clinton presidency; but because the dollar’s “reserve currency” status has enabled Americans to live further above the world’s mean- or better put, what real economics would dictate anywhere else – than any civilization in history. And given that the American Empire is in dramatic decline, whilst the global political, economic, and monetary system crashes around it, my greatest fear is the ramifications of tens, if not hundreds of millions of Americans being forced to downgrade their lifestyles to the global average, or lower. Unquestionably, this will unleash political and social unrest unlike any in American history – particularly when the people realize the government can no longer support them. This is why Hillary and Bernie the Socialists got so many votes; principally, from the denizens of a handful of overpopulated, heavily impoverished major cities. To which, I vehemently advice that if you live in one of them, you may want to consider leaving.
Which brings me to the catalyst for today’s article – as so often is the case, gleaned at the gym this morning. In this case, watching Steven King’s awesome Storm of the Century mini-series, whilst CNBC blared an interview with “Mr. Atlas Shrugged” himself, Larry Summers. Regarding the former, the main character, Andre Linoge, is actually the devil in disguise. So when I saw Summers talking of how Trump “caused” the market carnage that is destroying the economy; and the social unrest he proclaims is tearing the nation apart; it occurred to me that career “elites” like Summers – and the granddaddy of evil himself, George Soros – are in fact behind efforts to undermine the nation.
Yes, “they” lost the election, despite an historic level of rigging. However, “they” are clearly not giving up, as depicted by the – incredibly, publicly advertised – three-day “closed-door” meeting between those seeking to undermine Trump, chaired by none other than Soros himself. And trust me, when you consider who’s invited – including Democratic rabble-rousers like Nancy Pelosi and Elizabeth Warren – it couldn’t be clearer that their intentions are malicious, destructive, and self-serving. Fortunately, “they” cannot win in the long-term; however, in the short-term, the damage they can cause will be devastating.
In other words, just as the “evil Troika” of Washington, Wall Street, and the Mainstream Media used increasingly impoverished, historically desperate Americans’ fear of the future to try to steal the election, and hand it to the very belly of the beast, they are now attempting to foment the very divisiveness I wrote of earlier this week. Which in my view, is the greatest crime against America – and humanity – of all, as it will unquestionably yield further political instability, social unrest, economic volatility, and currency devaluation.
To that end, if you do NOT consider protecting yourself from the ramifications of this runaway train of political, economic, social, and monetary instability – particularly with dollar-priced gold and silver at historically suppressed prices, whilst they still readily available for purchase, consider that it may not be possible, at any price, to do so when the proverbial s—t really hits the fan in 2017; or perhaps, sooner.