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  • Light up the world and,,, they send you all their money

    If investors believe that stocks are going to rise for another year, they deserve to get HAMMERED. The fools are too inward looking. If we have global capital flows and global wage arbitrage and global prices for commodities, they MUST look at the global picture. Here is an exceptional article. I will excerpt it but, you should read the whole thing. Remember the global view and do NOT overlook China. Pox American is loudly rattling sabers in their direction because Pox Americana can not do to China what it did to every other State that tried to ditch the dollar.

    "The People’s Liberation Army’s most influential strategist, Major-General Qiao Liang laid out his overall strategic philosophy
    Qiao’s principal thesis is that America uses the dollar to manage external trade and finance for its domestic benefit. Many of us are familiar with the proposition that by exporting dollars and dollar-denominated bank credit, America creates wealth for both the US government and the major American banks, and that the dollar’s reserve status is accordingly vital to the US economy.
    The U.S. avoided high inflation by letting the dollar circulate globally. It also needs to restrain the printing of dollars to avoid a dollar devaluation. Then what should it do when it runs out of dollars?

    The Americans came up with a solution: issuing debt to bring the dollar back to the U.S. The Americans started to play a game of printing money with one hand and borrowing money with the other hand.
    Since August 15, 1971, the U.S. has gradually stopped its real economy and moved into a virtual economy. It has become an “empty” economy state. Today’s U.S. Gross Domestic Product (GDP) has reached US$18 trillion, but only $5 trillion is from the real economy.
    The Asian Tiger phenomenon was created and destroyed, not by the countries themselves, but by the flood and ebb of dollar ownership and investment. Qiao notes that China escaped being caught up in this US-inspired operation. Again, dollars flowed back into US assets, this time fuelling the tech boom,

    Qiao goes so far to state that the most important event in the twentieth century was not the two world wars, but America’s abandonment of the gold standard in 1971.
    He claims the break-up of Yugoslavia was to undermine the status of the new euro. The euro lost 30% of its value from that time and was damaged as a settlement option for global trade. As Qiao goes on to say,

    “after the first cruise missiles exploded in Kabul, the Dow Jones index jumped up 600 points in one day”.
    If we acknowledge that there is a U.S. dollar index cycle and the Americans use this cycle to harvest from other countries, then we can conclude that it was time for the Americans to harvest China. Why? Because China had obtained the largest amount of investment from the world.
    However, China has protected herself from America’s financial attacks through its national ownership of the banks and by capital controls. Consequently, only foreigners can sell yuan to buy dollars, or withdraw dollars from their own operations to invest in Treasuries. Therefore, the damage was always going to be limited.
    Trump’s threats to escalate a regional war over North Korea and/or Syria/Iran takes on a wholly different light.
    By threatening North Korea, dollar investment is likely to flow out of trade and investment in South Korea and Japan, back to US Treasuries.

    Unknown to the public, America has already failed in its financial war against China, and needs new victims, which is why the attention has switched to the Korean peninsula as well as the Middle East. Trump now realises the only way his presidency can prosper is to encourage capital flight into America from abroad, and have the debt limit raised to accommodate it.
    China is thinking ahead, and has its own unique understanding of how America manages its financial empire for the benefit of its domestic economy, at the expense of everyone else. China has protected herself, and attempts by America to undermine China’s economy have already failed. Attention is now focused elsewhere.
    The current attempt to pump-and-dump the economies of Japan and South Korea by escalating tension over North Korea, as well as countries with dollar balances in the Middle East by escalating Syria, Northern Iraq and Iran, will likely be the last such attempt.

    The end game for the dollar and America’s harvesting of foreign countries is therefore in sight, and it will likely end with a final dollar crisis. China could bring this about at a time of its own choosing, simply by introducing the planned oil futures yuan contract alongside the gold futures yuan contract. When liquid enough, oil producers will be able to sell oil for gold, effectively restoring the pre-1971 price relationships.
    But because China still owns large quantities of US Treasuries and dollar reserves, for the moment she might prefer more time before executing the coup de grace.

    But execute it, she will. Her fundamental objective is to remove America’s ability to profit from having everything priced in dollars. Logically, that means getting oil and other key commodities referenced in gold, as they were before the Nixon shock in 1971, with fiat currencies merely being the settlement media. America must be careful not to bring forth the date of her own demise by attacking North Korea, Syria, or Iran.
    America?s Financial War Strategy | Global Research - Centre for Research on Globalization

    Every time that America is close to going bust, it lights off another war to cause capital flight.

    Comment


    • Originally posted by danny b View Post
      The end game for the dollar and america’s harvesting of foreign countries is therefore in sight, and it will likely end with a final dollar crisis. China could bring this about at a time of its own choosing, simply by introducing the planned oil futures yuan contract alongside the gold futures yuan contract. When liquid enough, oil producers will be able to sell oil for gold, effectively restoring the pre-1971 price relationships.
      But because china still owns large quantities of us treasuries and dollar reserves, for the moment she might prefer more time before executing the coup de grace.

      But execute it, she will. Her fundamental objective is to remove america’s ability to profit from having everything priced in dollars. Logically, that means getting oil and other key commodities referenced in gold, as they were before the nixon shock in 1971, with fiat currencies merely being the settlement media. America must be careful not to bring forth the date of her own demise by attacking north korea, syria, or iran.
      america?s financial war strategy | global research - centre for research on globalization

      every time that america is close to going bust, it lights off another war to cause capital flight.
      China could bring this

      Originally posted by danny b View Post

      headlines;
      china demands trump immediately
      stop thaad deployment to sk
      thaad system now deployed and operational in s korea
      kim warns 'us gangsters' pushing to brink of nuke war
      n korea's true crime - it's not dominated by the us !


      "in the year of 2000 there were seven countries without a rothschild owned central bank:

      Afghanistan
      iraq
      sudan
      libya
      cuba
      north korea
      iran"
      the only countries left in 2011 without a central bank owned by the rothschild family are:

      Cuba
      north korea
      iran

      after the instigated protests and riots in the arab countries the rothschild finally paved their way into establishing central banks, and getting rid of many leaders, which put them into more power.

      First attack will be on iran. We're getting softer with cuba and it won't be long before we impose a private central bank.

      North korea will be the final state standing up to the u.s."
      this should pretty much tell you what we are doing in north korea.

      Comment


      • Kick back and get a GOV job

        The jews have always championed socialism. Historically, socialism has an abysmal record. The 2 Germanys, the 2 Koreas, the U.S.S.R.
        Fidel Castro came out a few years ago and said that Cuba's economic system just didn't work. Venezuela will prove the unworkableness of socialism,,, right to death.
        The Marxists claim that it IS workable if it is implemented worldwide. At present, capital flows to where it gets the best return. EVERYTHING outside of that one bright spot, starves. See Germany. So, along with a one-world currency, we would have to have a centralized world credit market. World GOV would issue credit to whatever undertaking was the "best".
        Theoretically, world GOV would preclude wars and the attendant waste.

        Marx proposed euthanasia of the rentier so that the State could take over all credit distribution.
        https://medium.com/@DuncanWeldon/neg...y-dc3131d8d85e
        The war on cash is just one facet of the State trying to get control of everything.
        The War on Cash: Haldane Edition | The Cobden Centre
        So, were going to live in the perfect world where everybody is equal. Everybody will be paid equally,,,LOW. What happens to society when you pay everybody the same for unequal work?
        Access : Monkeys reject unequal pay : Nature

        SO, everybody lowers their productivity until it reaches the minimum. All you had to do was to compare West Berlin to East Berlin a few decades ago.
        The Hegelian Dialectic requires GOV to collect taxes and employ as many people as possible. This eventually grows until everybody is working for GOV. Saudi Arabia complains that all their GOV workers only show up for work for one hour a day and, have no work ethic.
        Both Hegel and Marx seemed to have no consideration for human nature.
        One-world GOV would bring one-world lethargy.

        Comment


        • Chinese money bleeding into RE

          The monetary inflation in the upper loop bleeds over to the lower loop, especially when people do not trust their government. The Chinese are a perfect example.
          5/04 Wealthy feel pinch of housing costs as 1/4 Australians face mortgage stress – Guardian Chinese buyers
          5/04 Orange County condo prices hit record level – Dr. Housing Bubble Chinese buyers.
          The same is true of Vancouver and several other cities. Chinese money flows into big-ticket items that can be considered as a store-of-wealth.

          Iceland jailed bankers and straightened out their problems. now, their currency is doing fine. https://www.rt.com/business/386987-i...best-currency/

          Comment


          • Michael Hudson, Steve Keen

            I needed a second post for Michael Hudson.
            "Steve Keen shows how ignoring debt the blind spot of neoliberal economics – basically the old neoclassical just-pretend view of the world. Its glib mathiness is a gloss for its unscientific “don’t worry about debt” message.
            Keen’s “Minsky” model traces this to what he has called “endogenous money creation,” that is, bank credit mainly to buyers of real estate, companies and other assets. The upper loop.
            Keen links financial dynamics to employment. If private debt grows faster than GDP, the debt/GDP ratio will rise. This stifles markets, and hence employment. Wages fall as a share of GDP.
            Add in falling employment due to automation AND falling wages.

            Paul Krugman (who plays the role of an intellectual Bambi to Keen’s Godzilla), who insists that banks do not create credit but merely recycle savings – as if they are savings banks. Banks do NOT loan out reserves or savings. The loans are created out of thin air. They insist on repeating this BS over and over for centuries.

            Keen explains why, mathematically, the Great Moderation leading up to the 2008 crash was not an anomaly, but is inherent in a basic principle: Economies can prolong the debt-financed boom and delay a crash simply by providing more and more credit, Australia-style.
            The effect is to make the ensuing crash worse, more long-lasting and more difficult to extricate. For this, he blames mainly Margaret Thatcher and Alan Greenspan as, in effect, bank lobbyists.

            His Figure 16 shows how stable UK private debt/GDP was for a century, until Margaret Thatcher deranged the economy. Debt soared, and mainstream economists applauded the boom.
            Privatization of Council Housing and basic infrastructure forced the population deeply into debt to afford their basic needs. The financial City of London ended up the big winners, while industry or labor have suffered a debt squeeze.
            Keen’s model shows that a long debt buildup can give the appearance of prosperity, until the crash comes.
            The problem is that the public is brainwashed to imagine that it is the banks that need saving, not the indebted economy.

            If this solution is not taken, debtors will continue to lumber on under debt and tax conditions where only about a third of their nominal wages are available to spend on the goods and services that labor produces. The circular flow between producers and consumers will shrink – being siphoned off by debt service and government taxes to bail out bankers instead of their victims.

            The Economics of the Future | by Michael Hudson | Defend Democracy Press
            Armstrong made it clear. The State is re-active, NOT pro-active. The crash will unfold and the State will try to pick up the pieces. After having lost all credibility, that will most likely be impossible. Our position as "destroyer of the world" will ensure that Pox Americana doesn't get any help or cooperation.
            "When the news turns to propaganda, it is one of the last things to take place in the historical sequence of how civilization falls. The mainstream media is the third horseman of economic Apocalypse "
            https://www.armstrongeconomics.com/w...ic-apocalypse/

            Comment


            • The big problem; employment

              Steve Keen disparages Thatcher for initiating a huge debt bubble. Armstrong praises Thatcher for standing up to the unions and closing unprofitable coal mines. So, who is correct?
              A purely corporatist view works towards efficiency. A humanist view works toward the greater good. A debt-currency and fractional reserve banking demand unending credit growth. That demands an increase in productivity, usually from an increase in population. At one time, Britain could increase it's markets by exporting to it's many overseas customers. That time has come to an end as the Industrial Revolution unfolds in the R.O.W.

              Many developed States have brought in lots of low-wage immigrants to depress local wages and attempt to remain globally competitive in manufacturing. Their efforts are, for the most part, brushed aside by China, India, Brazil, Viet Nam, Bangladesh, et al.
              The populace respond by cutting back their birth rate. In many instances, the State brings in even more immigrants to keep the population from shrinking.
              Every State is trying to export it's way to prosperity AND maintain domestic employment.
              As a result of ultra-low shipping costs and advanced telecommunications, ALL the jobs in value-added industries flow to just one provider. Germany has a lock on many sectors of the high-cost niches. china has a lock on many of the low-cost niches.

              So, while Thatcher may have had a good idea, she started a debt binge. The obvious thing to do when faced with a lot of unproductive workers would have been to just kill them. A corporation liquidates it's unproductive assets.
              BUT, the debt structure of the corporation demands growth. That demands growth in the number of customers. The obvious answer is to just kill off unproductive people and encourage productive people to have more children.
              There are more black babies aborted in NYC than are born. The acolytes of Margaret Sanger are hard at work in many places.

              While the corporatists would happily reduce their tax burden by killing off as many grifters as possible, the socialists are busy supporting as many as possible. Automation is RAPIDLY bring this problem into focus. As socialism crashes, man has to figure out some sort of solution for all the people who are surplus to the work force. The workplace has changed radically but, human nature has not.

              Comment


              • China crash as planned and the end of war

                Y'all wouldn't be reading this thread if I just posted pabulum. I look at a hundred headlines and mostly see pabulum. The big problem described in the previous post is rapidly coming into focus in many parts of the world. Y'all are going to have to do some reading if you expect to get a good understanding of the tectonic forces at work.
                For all of man's history, we have had trading empires and belligerent empires. The age of the belligerent empire seems to be coming to a close. MAD has been bumped up one step higher with the creation of the cobalt-nuclear weapons. The very destructive energetic weapons are a nebulous unknown outside of the weapons laboratories. The cobalt bomb is another story; the end of all life on earth is assured.

                With this new focus and the rise of competing economies, there is a HUGE amount of interest in where we go next as we demilitarize and automate even further. Here are a couple of articles that should be read in their entirety.

                GEAB asks the question, GEAB | Global Europe Anticipation Bulletin
                Global Systemic Crisis 2017-2021 – A phase of chaotic recomposition of the World: national re-landing, crash or rebound?

                Much of the world is VERY tired of war and is trying to create a trading economy rather than the FED imposed war economy.
                Empty Gold Vaults and Fresh Out of Bombs - The Daily Coin

                China has set it's course on an artificial growth program that was always destined to BLOW. The Chinese GOV owns all the Chinese banks. Pox Americana's attack on their system did NOT work because of this fact. When China blows, it will take down Western banks,,, as planned.
                The FED is trying to keep the mega banks alive but, when China blows.
                https://giphy.com/gifs/explosion-nuclear-12KiGLydHEdak8

                China and Russia are focused on gold because gold doesn't require trust. America will be able to import stuff equal to the value of it's exports. Anything over that will have to be paid in gold. The Wal Marts will go empty and employment will come back,,, to a degree. Oil imports are another story..

                Debt is growing exponentially. Debt service is growing fast & high, This Has Never Happened Before... | Zero Hedge
                Congress will fight over the debt ceiling. The FED is carrying ALL the load at present. Pox Americana has surrounded Russia and China with missiles. They can pull the plug on the American economy at ANY time. The R.O.W. will give us the middle finger if we look for help.
                Our postwar prosperity was hugely amplified by the reserve currency. This great wealth attracted great corruption. Our masters in Tel Aviv ran America into the ground and the R.O.W. is tired of our destructiveness.
                When the R.O.W. demands gold settlement, the FED will come up empty. That will end the entire sovereign debt market.

                Comment


                • French election,,, dollar-debt bubble

                  After May 7th comes May 8th. If Le Pen wins, the bond market will be unhappy. If Macron wins, the EU march to oblivion will pick up speed.
                  https://www.armstrongeconomics.com/i...nch-elections/
                  The first quarter of 2018 is scheduled to be doomsday for the Eurozone.

                  It seems that emerging markets are borrowing all the dollars they can get,,, even though this caused 2 previous crashes.
                  The Least Explicable Bubble Of All | Zero Hedge
                  Apple has 1/4 $ trillion in cash, Apple Is Now The World's Largest Bond Fund | Zero Hedge
                  A comparison between hurricanes and economic crashes, Where Do You Go in a Hurricane? | SWP Cayman Gold Storage

                  5/05 Oil’s plunge accelerates below $45 as US shale confounds OPEC – Bloomberg So, oil goes down. This causes banks and drillers to crash AND, the OPECers can't service their debts.
                  China is working on dumping all their dollars, PressTV-China mulls investing $500bn in Silk Road plan

                  Comment


                  • Who is depressing oil markets? The slow strangulation of the banks

                    When the U.S.S.R broke up, Russia defaulted on their bonds and killed Long Term Capital Management. When LTCM went down, it came VERY close to taking down the whole financial system.... Just one company.
                    Russia crashed and was broke. They sold ALL the oil they could for a discount on the informal sector of the Rotterdam market. They managed to pull themselves back up.
                    Pox Americana is presently at war with Russia. Though the price of pumping shale oil has come down, it is still moderately high. It was initially financed from the junk-bond market. Every time that oil goes down a bit, it causes losses in the finance industry.
                    5/05 Oil’s plunge accelerates below $45 as US shale confounds OPEC – Bloomberg
                    5/06 Suddenly, oil below $40 a barrel doesn’t seem so far-fetched – Bloomberg
                    1 day difference.
                    Who knows how much Russian oil goes here and there? Oil tankers are famous for changing their names while out at sea.

                    Bitcoin is screaming up higher and higher. That makes it an easy target, https://dailyreckoning.com/the-death-of-bitcoin/
                    5/05 Largest bitcoin exchange headed for Mt. Gox-style collapse – Zero Hedge

                    Finance went from 5% of the economy to 40% of the economy. There was no corresponding increase in productivity. The upper loop just puffed itself up higher and higher. Since there was very little tangible action in finance, it is safe to say that most of the action was in information handling. That 5% to 40% increase was all done with vaporware. The banks sucked out tons of fees just for information services.
                    As the deflation of the lower loop starts to bleed over into the upper loop, the banks have had to cut back. B of A has already let go 20% of their employees.
                    "Over two million banking jobs could be cut in the next decade, according to a new report by Citigroup." 2015. 2015 also, 30,000 at Barclays, 23,000 at Deutsche bank. 10,000 at Unicredit.
                    "In China, this 'FinTech tipping point' has been reached. The companies country's top FinTech companies (such as Alipay or Tencent) often have as many, if not more, clients than the top banks."

                    https://www.bloomberg.com/news/artic...-mckinsey-says

                    "investment capital is fleeing from actively-managed funds to passively-managed ones." "more than half a trillion dollars heading into passive funds over the past 12 months, according to Morningstar.

                    Active management in total saw $13.6 billion in outflows for January, " The S.O.B. investment managers just churned your money around to generate fees.
                    "Well, many of the bankers who cheered the boost the machines gave to their annual bonuses aren't cheering so much now. You know what algo-driven markets don't need? Human traders."
                    "The total number of people employed by all kinds of banking in the U.K. has fallen 22% from its precrisis peak in 2008, or by about 120,000 jobs,"
                    "Goldman's cash equities trading floor at the firm's headquarters which, according to the MIT Tech Review, employed 600 traders its height back in 2000, buying and selling stocks for Goldman's institutional client clients. Today there are just two equity traders left."

                    "As warned of in our earlier article Automating Ourselves To Unemployment, jobs lost to automation don't come back. More than that, the technology itself lowers the cost structure, ultimately lowering industry profits as other competitors invest in similar tech and the margins are competed down:

                    Structural changes to the equities business over the last several years, such as the rise of electronic trading, have knocked off around $15 billion from the equities fee pool, according to a report from Morgan Stanley and management consulting firm Oliver Wyman."
                    The automation eating away at the lower loop is making big inroads in the upper loop.
                    "For decades and decades, more and more sharks found their way into the financial industry. And for decades and decades, there was plenty of prey for them all to feast and fatten on.

                    But now we're at the point where there's much less to prey on. So the biggest sharks are now turning on the smaller ones. "
                    "This is happening, mind you, at a time when the banks are in their 8th straight year of enjoying practically-free money from the world's central banks, which is essentially a great wealth transfer from the public's coffers. And at a time when financial assets have been re-inflated to all-time highs."
                    So, what happens to the finance industry when we hit all-time LOWS?

                    "If things have reached this cutthroat a state when Wall Street is booming, imagine how much more gruesome this "eating their young" dynamic can/will become during a market downturn.

                    We're at the point where those at the apex of power are becoming increasingly desperate to maintain their unfair advantage. And as the economic pie refuses to grow due to the twin overload of too much debt and declining net energy, these apex predators will turn on each other -- first to maintain their spoils, and then simply to survive."
                    https://www.peakprosperity.com/blog/...sympathy-devil

                    I HAVE A SOLUTION,,, SEND GUNS TO WALL STREET.

                    Comment


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                      Comment


                      • Finance & economics,,, total strangers

                        Well, stocks just keep going up. The central banks just keep buying them, hoping for some kind of miracle. 7 years ago, it was considered "fake news" if you reported that the CBs were buying assets. No more.
                        "Mystery" Central Bank Buyer Revealed, Goes On Q1 Buying Spree | Zero Hedge

                        Traders are engaged in "wilful blindness".
                        "It’s not all that astounding that markets disregard troubling issues unfolding in Chinese finance. The bullish narrative is focused on Trump administration tax cuts, deregulation and infrastructure spending. Throw in a European recovery and hope for EM.
                        Talk is clearly not of a historic global Bubble vulnerable to a massive and fragile Credit Bubble in China. That is an analytical perspective markets avoid like the plague. " The "plague" moves on the wind.
                        Credit Bubble Bulletin : Weekly Commentary: Belly of the Beast

                        "Why did Keen get it right when the grandees of his profession flunked? Institutional dominance appears to have placed the mainstream economists at an intellectual disadvantage. Long before they were blindsided by the Lehman Brothers bust, many in the economics elite had become a self-regarding bunch, worldly from a careerist perspective, eager to dominate policy discussions but cut off from the real world, inhabiting an echo chamber where only received opinions were entertained."
                        "In a withering speech, Paul Romer, the chief economist of the World Bank and a former New York University professor, accused his fellow macroeconomists of forming a monolithic intellectual community, which deferred to authority, disregarded the opinions of those outside of their group and ignored unwelcome facts. They behaved more like cult members than genuine scientists." Hey, the State pays my salary.

                        "mainstream economics had come to rest on a number of gloriously improbable assumptions. In their models, millions of households were reduced to a single “representative agent,"
                        "Both Romer and Keen agree that the most serious error of modern macroeconomics is that it ignores finance."
                        "Money and credit are the essence of capitalism: economic transactions can only take place after financing."
                        " In Minsky’s world, the tail of finance wags the real economy dog."
                        "So what of the next crisis? With his eye on credit growth, Keen sees China as a terminal case. The People’s Republic has expanded credit at an annualized rate of around 25 per cent for years on end."
                        "Australia shows, says Keen, that “you can avoid a debt crisis today only by putting it off till later.” GO AUSSIE!
                        The current value of U.S. financial assets is more inflated relative to GDP than at any time in the country’s history.
                        Review: Can we avoid another financial crisis? | Reuters
                        OZ is locked in to the commodities boom in China. Commodities are falling back hard. Hot money from China went towards the property boom in OZ.

                        "According to the Bank of International Settlements, this (FOREX) market has swelled to some $5.1 trillion a day, 25 times global GDP and 73 times all trade in goods and services. Yet all the vast shuffle of money fails to achieve the crucial function of money and markets: to yield a reliable guide for international transactions."
                        73 times all trade in goods and services How many millions of parasites make a living shuffling around debt paper?
                        "This is happening, mind you, at a time when the banks are in their 8th straight year of enjoying practically-free money from the world's central banks, "
                        The CBs are financing/supporting VAST hordes of fellow speculators. MANY of these speculators have high salaries. There is?was a hope that these vast hordes would create enough of a trickle-down effect to support consumption in the lower loop. This hope has faded away. The current hope is; this money pumping into the upper loop will hold back the avalanche of deflation.I avoided the word, tsunami.
                        "The Theory of Information holds that an economy is an information system "
                        "When money becomes merely a reflection of the policies of central banks, it can no longer guide enterprise or international trade.

                        In the years after NAFTA took effect in January 1994, the Mexican peso lost 87 percent of its value, dropping from nearly 35 cents American to under a nickel. The peso has dropped 5.8-fold while Mexican exports have risen 6.6-fold."
                        "With incomes in the financial sector nearly tripling as a share of all corporate income since 1971, the economy suffers from a bloat of banking. Yet as gold prophet Nathan Lewis observes in a forthcoming book, Gold: The Final Standard, the banks' "old roles had actually become even less profitable ... eroded by competition and advances in information technology"
                        The axe is slowly falling on the banking system. Before long, it will be falling rapidly. Information technology and super-fast algorithms do NOT receive bonuses.

                        "Instead, financial profits have risen to 30 percent of all corporate profits, mostly through the shuffling of currencies and derivatives." Gravity will soon take over.
                        "After World War II, the Bretton Woods gold-exchange standard sustained another 27 years of unparalleled world economic growth at 2.5 percent per year." That just wasn’t adequate for the bankers and warmongers,,, not to mention the Marxists.
                        "According to the conventional wisdom, though, the gold standard led to gold hoarding and the Great Depression. But that hoarding was not an effect of irrational panic. Gold was signaling a tragic breakdown of civilization and a global turn against free markets."
                        How very strange. Nobody wanted to lose their hard-earned money to the predations of the bankers.
                        https://www.dallasnews.com/opinion/c...me-return-gold

                        Eurasia is going to move to (effective) barter with gold settlement of deficits.
                        https://rbth.com/business/2016/06/02...e-basis_599621
                        The banks won't have access to global capital flows. The computer has made it possible to keep perfect track of the flow of goods without assigning a currency value to same goods. I give you 2 shiploads of oil in exchange for one shipload of iron ore. We never mention currency.
                        https://www.dallasnews.com/opinion/c...me-return-gold

                        "Unfortunately, the absence of growth portends not stagnation but collapse as society fails to generate enough new wealth to pay its debts.
                        But the dishonesty at work is pretty obvious, and the problem with dishonesty in financial affairs is that it represents unreality. The accrued momentum in colossal sums of money flowing this way and that way has allowed unreality to reign in international finance for a while. But that is now flying apart. The ultimate reality, politicians and economists will soon discover, is that you can’t create your own reality.
                        http://kunstler.com/cluster****-nation/ready-set-splat/

                        Comment


                        • Student debt... pumping liquidity into every orifice

                          The debt has doubled under each successive administration. That has been a necessity because of the nature of the debt. Every time that debt growth has threatened to slow down, the FED GOV pumps in more money to one sector or another. Using Fanny, Freddy and the FHA, the CB pumped money into residential RE. Currently, the CB is pumping money into stocks and corporate bonds. This is done by all the CBs. The Swiss national bank pumped $80 billion into the American stock market.
                          ANYTHING to keep the credit markets from slowing down.
                          5/07 US student, auto loans hit new all time high of $2.6 trillion – Zero Hedge

                          The credit bubble MUST grow. The debt must be assigned to someone, anyone. No matter how bad their credit rating is. This brings us to student loans. Many of the people who received student loans use them for paying day-to-day expenses. Many of the students have Pell grants and don't even show up for class. Schools have been caught signing up hobos and deadbeats for classes just to keep the money rolling in.
                          Student loans went up 12% in just one year, Obama Unveils Student Loan Debt Bubble Bailout | Zero Hedge
                          THAT is what it takes to keep the debt bubble going.

                          The TARP money was used to bail out the banks after the crash of unqualified borrowers. True to form, the GOV must now bail out the students who have no money and no job prospects, Here Comes The Student Loan Bailout | Zero Hedge 2013

                          "Why Seven Million Student Loan Defaulters Are In A Standoff With Uncle Sam" ... (which the article above today merely adds another wrinkle to) ... Students, whether they like it or not, and regardless of to whatever degree that they do, or, more likely, do not, understand their situation, are trapped within the runaway debt slavery systems that they were born into,
                          Those runaway debt slavery systems MUST continue to double down on their total debts
                          That is WHY President Bush II presided over America doubling its total debts, and then President Obama also presided over American continuing to double it total debts.
                          When all money is debt-money, you can NEVER slow down.
                          If President Trump does not preside over the total American debts continuing to double at about an exponential rate (as those have doubled since 1971), through whatever excuses are possible to allow that to happen, then the entire system would collapse into chaos.

                          Much of the TARP money was never paid back. Debt is extinguished when it is repaid. The State and CB desperately need currency inflation to achieve debt inflation. With that mentality, you can see that repaying student loans is a "bad" thing.
                          "The Crisis Has Become Pandemic" - System To Collect Defaulted Student Loans Is No Longer Functioning | Zero Hedge
                          The debt bubble can't grow if idiots pay back their loans.

                          "US consumers owed $1.44 trillion in student loans, an increase of $32 billion for the quarter and $80 billion for the year, as well as $1.12 trillion in auto loans, an increase of $8 billion Q/Q and $73 billion Q/Q. "
                          You can see that these increases are ASTRONOMICAL.
                          US Student, Auto Loans Hit New All Time High Of $2.6 Trillion | Zero Hedge
                          THAT is what it takes to attempt to double the debt.

                          So, where does this money come from? How much does it take? Keep in mind that Trump must double Obummer's $20 up to $40 trillion.
                          "October 2014, Citi's Matt King calculated that it costs central banks $200 billion per quarter to avoid a market crash"
                          "On the surface, these sums appear vast; however in the latest weekly report by Deutsche's Dominic Konstam, the credit strategist finds something even more troubling: $1 trillion in central bank liquidity YTD - or roughly $250 billion per month - is not enough. "

                          "Which means that when stocks realize just how insufficient the record $1 trillion in central bank liquidity has become, central banks - which have stepped into every single market correction over the past 7 years with some "liquidity supernova" - will, for the first time since the financial crisis - be out of tools... something Janet Yellen appears to have realized some time ago."
                          A Problem Emerges: Central Banks Injected A Record $1 Trillion In 2017... It's Not Enough | Zero Hedge

                          Debt money is non-tangible,,, essentially non-existent. BUT, when they pump it into physical markets, it changes the whole picture. The FED, being the uber-speculator tries to save the whole speculator class. The State just runs wild on the spending and eventually blows the whole thing.
                          YOU are along for the ride.

                          Comment


                          • China, the ultimate black swan

                            I've speculated that China will crash their OWN debt markets to cripple the West/AVOID world war three. The signs are all around. China holds about $1 trillion in US GOV paper that they don't want to see evaporate.
                            https://www.statista.com/statistics/...treasury-debt/
                            China is spending half of that to help other States on the Silk Road.
                            Roosevelt got America dragged into the war by the simple ploy of blockading Japan and,,, just waiting for their response. GOV moved the important ships from Pearl and waited for the Japs. Naturally it had to be a dastardly surprise attack.
                            https://www.youtube.com/watch?v=AoafS24TKOg

                            History repeats and Pox Americana is doing the same thing again; The US Bill H.R. 1644 to kill Russian food export and Chinese trade | The Vineyard of the Saker
                            BUT, China is NOT Japan. China is not going to be maneuvred and pushed around. The sons of Sun Tzu are going to ACT.
                            "I’m of the opinion this kerfuffle with N. Korea may be the catalyst which drives China to either embark on an outright kinetic posture against the West to resolve. (e.g., If no one backs down or worse) Or – will be the inflection point as to allow the monetary fallout within its financial markets to begin in earnest. Crippling the entire global economy in ways not fully understood (or envisioned) by many, especially “The West”, in what may be akin to a “First Strike” monetary (rather than kinetic) action."
                            Is North Korea The Excuse China Needs To Launch Monetary Armageddon? | Zero Hedge

                            How many missiles are they going to allow to be placed around them? Same with Russia.
                            "The current financial underpinnings within the Chinese economy are once again under pressure in ways very few understand. With that said all one needs to watch as to perceive significant clues into the health of its underpinnings is the price stability in commodities. For much of China’s internal, and interwoven financial constructs for collateral are based on them. And one of the main players of that is iron ore. And guess what? Hint: Prices are/have collapsed at a precarious pace."

                            "Commodities are the collateral and pricing foundation to much of China’s financial obligations " "Just remember what a sudden (like in 2007/08) real estate value collapse can do (or did) to an economy, and you have the same scenario in earnest via commodity prices currently happening in China,"
                            "If the politburo decides that there is no other way (and easier timing for a scapegoat) than now as to suddenly devalue the currency and put a world of financial hurt squarely on the West (and the U.S. in-particular) while simultaneously using all the turmoil as to hasten the pace (and possibly secure the position for more SDR influence) the table for such a move has probably never been set so neatly, so perfectly, and so probable as it is today."
                            This is a VERY important observation BUT, forget everything that you read about the SDR.

                            Logic says that this is coming.

                            Comment


                            • Economic war

                              A recap of the war with China.
                              Many years ago, Armstrong reported that the war cycle would turn way up around 2018. Other than religion and ideology, most wars are for economic reasons. The Chinese are GREAT admirers of Armstrong. Armstrong REALLY hates the N.Y bankers that put him in prison for 7 years. I imagine that he advised the PROC that they would eventually be attacked by Pox Americana. He probably advised them to let their credit system run wild until it blew. He would get his revenge on the bankers who put him in jail AND the crooked GOV.
                              One day after the PBOC devalued the Yuan, Pox Americana attacked China.
                              Ground Zero » KINETIC RETALIATION

                              5/09 Chinese deleveraging spilling over into other countries – Seeking Alpha
                              5/09 China has now become the biggest fear for markets – CNBC


                              PressTV-'US Navy to challenge China in South China Sea'
                              "The US Navy will restart so-called Freedom of Navigation Operations (FONOPs) in the South China Sea.
                              Pox Americana is trying to restrict China in any way that it can. China is starting to unwind it's debt system. The R.O.W. had been depending on ALL the CBs to print in turn and inject liquidity into global currency markets. The $ trillion a year is no longer enough so, somebody has to rev up the printing presses even faster. The emerging markets are borrowing like crazy. This tends to dry up liquidity and somebody must print like crazy.

                              "If you owe the bank $100, you have a problem. If you owe the bank $10 million, the bank has a problem." The emerging markets are borrowing hundreds of $billions. As their debt/credit system blows, they will be unable to pay the Western banks.
                              The West loaned tons of dollars to China and expected the Chinese GOV to regulate banks in the best manner to preserve the Chinese credit system. The whole system will melt down and take the western banks with it.
                              Asia will close ranks against the West.

                              Comment


                              • Wars & banks

                                Bankers don't want to ever lose a penny. They won't trust anybody who looks weak.
                                5/09 Some Chinese banks suspend “interbank business” – Zero Hedge
                                It's hard to say just how fast this contagion will spread.
                                5/09 ‘Soft’ data collapses back to ‘hard’ data reality – Zero Hedge
                                It doesn't seem to matter, investors just keep pushing money into markets.
                                They figure that the FED will always save them. They aren't worried.
                                Citi Warns Of Volatility Surge As Its Macro Risk Index Crashes Near Record Lows | Zero Hedge

                                " When the cost of past wars and the surveillance state expenditures are included, the U.S. spends in excess of $1 trillion per year."
                                A Problem Emerges: Central Banks Injected A Record $1 Trillion In 2017... It's Not Enough | Zero Hedge
                                “It is no coincidence that the century of total war coincided with the century of central banking.” – Ron Paul, End the Fed"
                                https://www.theburningplatform.com/2...or-part-three/

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