Socio-Economics History Blog

Socio-Economics & History Commentary

Nomi Prins: Financial Crash-Collapse Coming, It Should Have Happened Already!

  • Nomi Prins-Financial Crash-Collapse Coming, It Should Have Happened Already! 
    Published on Apr 15, 2014
    http://usawatchdog.com/nomi-prins-aut… On another financial collapse, best-selling author Prins predicts, “We absolutely can. There is much more reason that we will than that we won’t. The stability of the system is really fake. A lot of speculation has occurred with cheap money, and then it is bailout, and then nothing changes, and then something worse happens. That is the current pattern and the pattern of the last three decades.”

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    Prins, who is a former top Goldman Sachs banker, exclaims, “It is very easy to see how the system could unravel because it isn’t stable. We are definitely in big trouble. There is no way we are not headed for a crisis. . . . It should have happened already, but the level of support is epic and reckless from the political and financial elite.”

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April 17, 2014 Posted by | Economics, GeoPolitics | , , , , , , , , , , , , , | Comments Off

Insiders Tell All: Both the Stock Market and the SEC Are Rigged !

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  • Insiders Tell All: Both the Stock Market and the SEC Are Rigged
    by Pam Martens, http://wallstreetonparade.com/ 
    Since bestselling author Michael Lewis appeared on 60 Minutes on March 30 to promote his new book, “Flash Boys,” and explained how the U.S. stock market is rigged; and Brad Katsuyama, the head of IEX, an electronic trading platform who plays a central role in the Lewis book, did the same on CNBC a few days later, the debate has gone viral.
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    But Lewis and Katsuyama were not the first to blow the whistle on rigged U.S. stock markets. Sal Arnuk and Joseph Saluzzi, Wall Street insiders and co-founders of Themis Trading LLC literally wrote the book on “Broken Markets” in 2012 and have been exposing details of the rigging  on their blog ever since.
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    Wall Street Journal reporter, Scott Patterson, mapped out the exotic and corrupt order types permitted by the stock exchanges to fleece the little guy in his 2012 book, “Dark Pools,” which follows the trading career of Haim Bodek, who has set up his own web site to blow the whistle on just how badly the stock market is rigged.
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    Following all the media hoopla, the FBI has recently announced that it has opened an investigation into the allegations. But under the Securities Exchange Act of 1934, the FBI is not in charge of rigged stock exchanges — the Securities and Exchange Commission is. But according to insiders, the SEC has stood down in much the same fashion that it ignored warnings about Bernard Madoff from whistleblower Harry Markopolos for years. The explanation for the SEC’s inaction, many traders feel, is that the SEC itself is rigged against Main Street in favor of big Wall Street firms. That view has found support among the SEC’s own insiders.
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    Since 2006, four attorneys at the Securities and Exchange Commission have put their reputations and family interests on the line by blowing the whistle on corrupt cronyism that is now so ingrained at the Nation’s regulator of stock exchanges and securities markets that it’s become part of the SEC’s business model.
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    read more!

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April 15, 2014 Posted by | Economics, GeoPolitics | , , , , , , | Comments Off

Axel Merk: Asset Prices Can Collapse at Any Time!

  • Axel Merk: Asset Prices Can Collapse at Any Time! 
    by Greg Hunter’s USAWatchdog.com 
    Money manager Axel Merk thinks new Fed Chief Janet Yellen can’t do much to improve the labor market even though she claims she’s most interested in helping Main Street and not Wall Street.  Merk says, “Yellen is from Berkley, our neighborhood, and it’s all about warm and fuzzy feelings.  Ultimately, of course, there is only so much the Fed can do for Main Street.  My view is the Fed is the major contributor of the growing wealth gap we have in the U.S.  You have free money, easy money, hedge funds can do great with it, but when lured into credit, you can fall down into the cracks.  Yes, she wants to help Main Street, which conversely means she may be far more interested in regulatory policy to force banks to do certain things. . . . She is more interested in regulation than worrying about interest rates.”
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    Merk also points out, “The reason why the Fed wants to boost asset prices is because millions of home owners are underwater, and by pushing up asset prices, they are no longer under water.  The reason why this is relevant is the U.S. economy is very consumer dependent.  Consumers under water in their home are not good consumers.  That’s why they want prices to go up, and, sure, the stock market goes up at the same time.  If you have assets, if you have money, you have done great with this Fed. . . . The reason why they are pushing up asset prices is to bail out home owners.”
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    But don’t think the American home owner is in the clear and lives happily ever after.  Merk says, “Home price inflation is not sustainable.  It’s a very fragile policy because it can evaporate at any time.  The moment the ‘taper’ talk started, new home sales, existing home sales deteriorated because, guess what, as interest rates move up, you have to pay more for your home.  Now, interest rates have come down a little bit, but the signaling is out there; and home buyers are not coming, and that is a big problem for the Fed.  It’s one of the reasons why we are not going to see an exit anytime soon.”  Merk goes on to say, “The Fed is not going to reverse course until it’s way too late.  They have already decided to be behind the curve . . . they have agreed and promised to be behind the curve in raising rates if inflation becomes a bigger problem.  The best thing that can happen to us is that we will continue in the muddle through environment.  The worse thing that can happen is economic growth, that we have some of these economic policies succeed.  Look at the Japanese to understand what is happening.  If they are rebuilding Tokyo for the Olympics, if they are going to ramp up military spending, what do you think is going to happen to the bonds over there?  Bond prices will plunge, and it will make it impossible to finance government debt.”
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    On the possibility that the economy could suddenly collapse, Merk said, “What could possibly go wrong when the stock market goes up every day?  Asset price inflation means asset price inflation can reverse.  You can have a collapse in asset prices at any time.  You saw it in gold a little bit in April of last year.  There was just no bid out there.  The same thing can happen in the equity markets. . . . Meltdown is an over statement.  I think we can certainly have a crash, but central banks are there to prevent meltdowns.  Central banks can keep the zombie banking system afloat because they can always provide liquidity.  They cannot provide solvency but they provide liquidity.  That’s what happened with the Fed in 2008.” 
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    read more!

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April 2, 2014 Posted by | Economics | , , , , , , , , , , , , , , | Comments Off

Is “Dr. Copper” Foreshadowing A Stock Market Crash Just Like It Did In 2008?

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  • Is “Dr. Copper” Foreshadowing A Stock Market Crash Just Like It Did In 2008? 
    by Michael Snyder, http://theeconomiccollapseblog.com/ 
    Is the price of copper trying to tell us something?  Traditionally, “Dr. Copper” has been a very accurate indicator of where the global economy is heading next.  For example, back in 2008 the price of copper dropped from nearly $4.00 to under $1.50 in just a matter of months.  And now it appears that another big decline in the price of copper is starting to happen.  So far this year, the price of copper has dropped from a high of $3.40 back in January to a price of $2.95 as I write this article, and many analysts are warning that this is just the beginning.  By itself, this should be quite alarming to investors, but as you will see below there are a whole host of other signs that a stock market crash may be rapidly approaching.
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    But before we get to those other signs, let us discuss copper a bit more first.  I cannot remember a time since 2008 when there has been such an overwhelming negative consensus about where the price of copper is heading.  The following is from a CNBC article that was posted this week…
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    Cascading copper prices have multiple root causes that lead to one conclusion: The anticipated global economic recovery may not be all it’s cracked up to be.
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    Consequently, analysts are in virtual unison that the extended-term trajectory is lower for the metal often used as a growth barometer. Copper futures are off more than 12 percent in 2014 and 7 percent over just the past three days, though they rose less than 1 percent in Wednesday trading.
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    A slowdown in the global economy, forced selling by Chinese banks and technical factors have converged in multiple calls for more weakness in a commodity known by traders and economists as “Dr. Copper” for its ability to accurately make economic prognoses.
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    Of course there are some out there that are trying to claim that “this time is different” and that the price of copper is no longer a useful indicator for the global economy as a whole.
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    We shall see.
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    Meanwhile, there are lots of other signs that the financial markets are repeating patterns that we have seen in the past.  For instance, the level of margin debt on Wall Street just soared to another brand new record high
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    read more!

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March 14, 2014 Posted by | Economics | , , , , , , , | Comments Off

Man Who Executed QE1 For FedRes Says Stocks May Collapse 30%!

  • Man Who Executed QE1 For Fed Says Stocks May Collapse 30%! 
    by www.kingworldnews.com
    In the aftermath of the recent chaos and market turmoil in emerging markets, today King World News spoke with the man the Fed called on to execute QE1 and who also set up the Fed’s massive trading room, former Fed member and former Managing Director at Morgan Stanley, Andrew Huszar.  What he had to say will stun KWN readers around the world.  He warned stocks may collapse 30% or more in a matter of months if the Fed continues on the current course, and he also said that the Fed is now running the largest hedge fund in the world and it may end in disaster.  Below is what Huszard had to say in Part I of this remarkable interview.
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    Eric King:  “Andrew, what made you come out publicly and say that QE was a failure and apologize to everybody?  What made you come out and do that?”
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    Huszar:  “I left the Fed in 2011. … I maintain great respect for a lot of the people inside (the Fed), and so I struggled for a long time to come out and speak publicly about it.  But in the end I spoke out because I believe that QE, while initially well-intentioned, has really allowed the US to kick the can down the road with respect to major structural reform that has to do with its economy.
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    I think the financial crisis should have been a pretty significant wake-up call for the country, and yet five years after the peak of the financial crisis I think our economy looks pretty similar to where it was (after the 2008/2009 collapse), most importantly with respect to a banking sector, which has only become more concentrated and larger….
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    read more!

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February 22, 2014 Posted by | Economics | , , , , , , , , , , , , | 1 Comment

George Soros Bets $1.3 Billion on Stock Market Crash!

February 19, 2014 Posted by | Economics | , , , | 1 Comment

Robert Wiedemer: The Recovery is 100% Fake!

  • Robert Wiedemer: The Recovery is 100% Fake! 
    by Greg Hunter’s USAWatchdog.com 
    Robert Wiedemer, best-selling author of “The Aftershock Investor,” says the so-called recovery is “100 percent fake.”  Wiedemer explains, “If you look at the amount our economy has grown last year, our GDP grew 2% or $350 billion, but we borrowed over $700 billion.  That tells you right there that we are borrowing more than we are even growing.  Our entire growth is due to government borrowing . . . it’s a fake recovery.”  Wiedemer, who has totally rewritten and updated his book, goes on to say, “It would be great if we would adjust our economic figures for stimulus.  What would the figures really look like if you took the fake money and borrowed money away?”  It is supported heavily by printed money of over a trillion dollars last year.  We’re not talking about what’s driving the recovery we are getting, and it’s powered by massive money printing and massive money borrowing.  Yes, we are getting some recovery, but it is not driven by something that is sustainable.”
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    On
    the bond market, Wiedemer contends, “The only way you can keep interest rates low is to print money, and you are printing money to buy bonds.  Ultimately, that’s not going to work.  If printing money could do all the things they say it can do without creating inflation then . . . why don’t we get rid of taxes?  We could print the money instead.  The money we are printing, ultimately, will create inflation.”  Overall, the bond market has turned and turned for good, and you are going to have inflation.  That’s really going to be a problem for the bond market.”
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    On the stock market, Wiedemer says, “Fundamentally, stocks should reflect earnings, and last year, stocks were up 30% and earnings were up about 3%.  So, we’re way out of line with corporate reality, and we’re way out of line with economic reality.”  What’s happening is the feeling of the Fed’s got my back, printing a lot of money.  Some of that money has to go into the stock market. . . . So, there’s been this feeling the Fed can boost us up . . . yes, the Fed can boost us up, but it is not the basis for long term economic recovery or a long term stock market recovery.  As I say in my book, it’s the basis for a long term huge, huge explosion.”
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    On gold, Wiedemer says to not believe the false narrative that gold is a “risky” investment.  Wiedemer contends, “Let’s look at gold since 2000.  Up 12 years in a row, every single year.  That’s risky?  Can stocks say the same thing, you got to be kidding. . . . It did fall 30%, that’s a big drop . . .  we’re still up over 300% from where we were in 2000.  Can we say that about stocks?  No way, we’re now about where we were in 2000 . . . I might add, on the NASDAQ, you are significantly below where you were in 2000. . . . Let’s put this into perspective.  When did anyone in the mainstream media say gold was a great investment?  What you are hearing is a huge bias not borne out by the facts.”
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    On the Federal Reserve, Wiedemer says, “You are actually getting negative growth.  The Fed knows this.  They just don’t talk about it because their job is to be a cheerleader.  They want to try to make everybody feel good and that their policies are working.  If those policies don’t work, what’s the Fed going to do?  What are we going to do?  It’s a bigger issue, but bottom line here is I think the banks are safe in the sense the Fed can bail them out, but there will come a point when the Fed can’t and won’t, and that’s when you got a bigger problem.”
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    For anyone who thinks we’ve seen the worst of the bad economy—think again.  Wiedemer predicts, “The big one is coming . . . we’re just pumping up the bubbles, and all that’s going to do is make them a lot worse when they pop. . . . You are just putting more gun powder under the house . . . that’s a big mistake long term.”  (There is much more in the video interview.) 

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February 10, 2014 Posted by | Economics, GeoPolitics | , , , , , , , , , , , , , | 1 Comment

Jim Rogers: “Be Worried & Be Careful…The Emerging Market Crisis Is Not Over Yet”!

  • Jim Rogers: “Be Worried & Be Careful…The Emerging Market Crisis Is Not Over Yet”! 
    by Tyler Durden, www.zerohedge.com
    UBS’ George Magnus believes the next global economic “crisis”‘ lightning rod will be the emerging markets and as Jim Rogers tells BoomBust’s Erin Ade in this brief interview, “the emerging market crisis has only just begun.” While Rogers is careful to add that there are lots of emerging markets – “some better than others;” he warns that “there are some serious problems out there and they are going to get worse.” Who is to blame? The Fed, of course – “by driving rates so low and providing as much liquidity as anyone in the world could want, the EMs have borrowed to cover up their real problems… be worried.
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    90 Seconds of simple clarity From 17:00 to 18:30 (top of post)
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    Transcript:

    For Turkey, Indonesia, India, Brazil – this is not over yet – “they have serious problems and are not being resolved.” 
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    The major problem is the Federal Reserve: with interest rates at such low levels, people can borrow lots of money – and America is printing a lot of money so there’s plenty to go around
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    A lot of countries have borrowed money at cheap rates which covers up their problems… they haven’t addressed their real problems; and so now, we have a huge problem facing us and it’s going to get worse.
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    This is not over yet – you should be worried, be careful, and be prepared

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February 10, 2014 Posted by | Economics | , , , , , , , , , , , , , | Comments Off

Gregory Mannarino: Debt and Currency Crisis that Will Rock the Core of the Earth!

  • FedRes Rattling Emerging Markets to Keep U.S. Propped Up-Gregory Mannarino!
    by Greg Hunter’s USAWatchdog.com 
    Analyst and stock trader Gregory Mannarino says the market meltdown this week was caused by the Fed and weak economy.  Mannarino says, “We understand there is a dynamic that has been changing here in the market with regard to the Fed’s purchasing mortgage-backed securities and bonds.  This has rattled the emerging markets.  They’re having problems with their currencies . . .  The Federal Reserve has created an environment of distortions.  By them pulling back some of this liquidity from the global economy, they’ve caused problems in these emerging markets, and this is being done on purpose.”  What is the Fed trying to accomplish by destabilizing emerging market countries?  Mannarino claims, “So, by rattling the emerging markets here, they are going to force investors into U.S. equities and into the U.S. bond market.  It’s sort of a backdoor stimulus. . . . This just keeps the party going.  That’s all this is.”
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    This may work in the short term, but it is not long term bullish for the markets.  Mannarino warns, “We have this issue with the U.S. economy.  They have been force feeding us nonsense . . . that we are in some kind of recovery. . . . This ISM number we got (Institute of Supply Management), we have not seen a pullback like this since 1980.  It rattled the market. . . . We’re also getting mediocre earnings reports.  We got unemployment numbers that are not good.  So, this is spooking the market.”  Looking at the big picture of the global economy, Mannarino goes on to say, “I am still a bull here in regards to the U.S. equity markets, but we all know where this is going.  This is going to end terribly at some point.  A complete financial meltdown is happening.  You can see this already how the Federal Reserve has distorted this beyond the point of ridiculousness.  Now, they are forcing the emerging market investor to look to the U.S. equity markets.  At some point, people are going to see this whole thing is not sustainable.  We are going to have a crisis of currency, a crisis of debt that is going to rock the core of the earth—period.” 
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    This is a confidence game according to Mannarino.  He says, “This is all about perception, not reality.  If we were really in some type of a recovery, would we be talking about extending unemployment benefits for people?  Would we be talking about more stimulus?  Of course not, because there is no recovery.  This is just smoke and mirrors across the board.”  Don’t expect the market to plunge just yet because Mannarino says, “The Fed is counting on turmoil in the emerging markets to drive money into the U.S. market to keep the system propped up.” 
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    Mannarino contends what you are seeing now is just a short term trade.  In the longer term, Mannarino predicts, “Without a doubt, this is going to blow up. . . . I’ve been saying this for years now–we are headed for a pan global financial cataclysm.  That’s a fact.”  So, how does Mannarino plan to protect himself from this surefire coming calamity?  Mannarino says, “I pull my gains out of the market, and I turn them into hard assets.  I am the biggest precious metals bull out here.  I can’t imagine a better place to be than in gold or silver, especially silver.”  
Where did the money go? Definitely not to the American people!

Where did the money go? Definitely not to the American people!

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February 6, 2014 Posted by | Economics, GeoPolitics | , , , , , , , , , , , , , , , , , | Comments Off

Harvard Economist Expects Bank Runs, Withdraws $1 Million from BofA!

February 5, 2014 Posted by | Economics, Social Trends | , , , , , , , | 2 Comments

Gerald Celente: Boom-Bust! ‘There’s Panic on the Street’!

  • Published on Feb  4, 2014           
    Celente: ‘There’s panic on the Street’ simply because the economy is faltering. Gerald talks about the Fed, the US Economy and global economic trends. The US Federal Reserve has pared its QE program even before Janet Yellen took the reins. The question for Celente is what this means for the US economy. Yields have gone down, not up. But Celente believes this will not last and that the economy is faltering to boot. Note: Gerald’s segment starts at 4:06 in this video.
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    The Trends Journal® is the World’s #1 source for the most important trends that are shaping the future. The Trends Journal® shows you how these trends will affect your life, how to profit from them, and what to do to avoid pitfalls. Regardless of business or profession, the Trends Journal® provides insights, strategies and opportunities to help you navigate these treacherous, unprecedented times.

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February 5, 2014 Posted by | Economics, GeoPolitics | , , , , , , , , , , , , , , , | 1 Comment

Listen Carefully to What the Chinese Yuan is Telling Us!

  • Listen Carefully to What the Chinese Yuan is Telling Us! 
    by http://www.jsmineset.com/ 
    Recently, emerging market currencies have been crashing. The Thai Baht has fallen 14% in the past several months, while the Russian Ruble has fallen 18% since 2013. The Turkish Lira has fared even worse plummeting an astonishing 30% since 2013 and the Argentinian Peso is literally in free fall, plunging by 60% in purchasing power since the start of 2013.
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    Former US Assistant Treasury Secretary Paul Craig Roberts offered a compelling theory this past week that the US Federal Reserve is deliberately attacking emerging currencies through their global monetary policies in an effort to force people to fall back to the US dollar to prevent the US dollar from crashing to its intrinsic value of zero.  In fact, Mr. Roberts has speculated that US bankers are rejoicing in collapsing the currencies of two of the US’s perceived enemies – Russia and Venezuela. However, even if this is the US bankers’ nefarious plan, I have a feeling that it will backfire on them and only usher in the death of the USD more quickly. Why? Two of the pillars slowing down the inevitable collapse of the USD is the petrodollar and its use as a de facto currency in international trade. Every country from Iraq to India to Russia to Iran to China to Australia to Japan to Brazil has already stated their intention to completely cut out the USD from use in bllateral trade agreements as well as oil purchases, and many countries that had tied their currency’s fate to the USD in past years have long severed ties to the USD as well. But let’s look to Zimbabwe, yes that infamous beacon of hyperinflation, as to why the US Federal Reserve’s plan to force emerging markets to adopt the USD may just backfire on them.
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    We all remember when the Reserve Bank of Zimbabwe’s Gideon Gono praised Ben Bernanke for the similarities between his QE monetary policy and Ben’s QE policy of the US Federal Reserve. Recall that Albert Einstein said that doing the same thing over and over again and expecting a different outcome is the definition of insanity if you want to predict the outcome of the USD.  In hindsight, Mr. Gono acknowledges that while things looked better in the short-term in Zimbabwe for a while, that his QE policies in the end turned out to be brutally disastrous, causing in his country the following ills that his country still has not recovered from 5 years later: frequent power outages, a shortage of skilled labor, a persistent liquidity problem in their banking system, a rapid rise in production costs which killed their manufacturing sector, endemic greed-induced and exploitative renter’s markets, and much more.
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    So what does it say now that the brains behind a 79,600,000,000% monthly inflation rate in the Zimbabwe dollar (a rate that caused a USD $40 meal to cost $Z 100 billion! ) is now dumping USDs from their economy? Is the US headed for a fate of printing USD $100 billion notes too? While that scenario is far fetched at this point, people fleeing out of emerging market currencies into the Chinese yuan, and NOT the USD as the Feds are trying to engineer, is not.  Just last week, Gideon Gono announced that his country will now be accepting Chinese Yuan, Japanese Yen, Indian Rupees and the Australian dollar in an effort to lessen their country’s dependency on the USD.  Of course, the smartest people would consider dumping the USD in Zimbabwe (one of two currencies now accepted in addition to the S. African rand) for the Chinese Yuan. Given that the worst offender of hyperinflation does not even want the USD now, I think the Federal Reserve may succeed not in forcing people out of emerging currencies into the USD, but into Chinese Yuan. Emerging markets businessmen conducting import/export business already increasingly need Yuan to conduct business so why would they not convert more of their domestic currencies into Yuan instead of USD? And this is what I think will happen, so in the end the US Federal Reserves’ plan may just backfire and induce a flight into Chinese Yuan.
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    Consequently when the architect of the worst fiat currency disaster in modern history wants to trade in USD for Chinese Yuan, we should listen very carefully to what the Yuan is telling us.  Already, in just one month to start 2014, the Nikkei 225 has given up 9-full months of returns artificially spurred by Abenomics QE and has crashed 2,300+ points, with the Nikkei 225 shedding another -4.2% today in Asia. Other QE inflated stock market bubbles will pop at some point in 2014 as well. Yes, you’re probably being bombarded as I speak by messages from US stock market pushers not to worry about the setback in US stock markets to begin 2014 and that all will be okay, but I’m here to tell you that you better worry because risk is enormous and upside very constrained at this point. And when all these unsustainable bubbles built on the backs of irrational and foolish Central Bank QE policy around the world pop, that’s when the real money will flow into gold and silver.
Feel free to wipe your ass with it!

Feel free to wipe your ass with it!

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February 5, 2014 Posted by | Economics | , , , , , , , , , , , , , , , , , , , , | Comments Off

The Financial System is Crumbling… Again!

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  • The Financial System is Crumbling… Again! 
    by Graham Summers, Phoenix Capital Research
    We find it truly extraordinary that anyone is surprised the financial system is under duress again. After all, what have the Central Banks accomplished in the last five years?
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    1)   Did they clear out the bad debts that caused the 2008 collapse? NOPE
    2)   Did they implement structural reforms to insure another 2008 didn’t happen? NOPE
    3)   Did they punish fraud or corruption in any way to insure that the system was clean? NOPE
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    So what did they do?
    They cut interest rates over 500 times and funneled over $10 trillion into the financial system, over 98% of which went to the very players (key banks) who nearly blew up the world in 2008.
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    And people are actually surprised that the system is back in trouble again? Would you be surprised if giving another shot of heroin to a drug addict who was in a coma didn’tbring him to health?
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    Honestly, did anyone think this would really work? I know that the connected elites loved it because the whole process allowed them to hand off their garbage investments to the public while leveraging up to acquire more assets via the Fed’s cheap money… but what about those who DON’T work for a top 20 global financial institutions? Did anyone actually believe this would work?
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    So here we are today, Europe’s already insolvent banks are now potentially on the hook for $3 trillion in Emerging Market investments.
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    When your entire banking system is leveraged at 26-to-1 it really doesn’t matter who you lend to… you’re bust. But in this case, the bad emerging market investments are just the icing on the rotten cake that is Europe’s banking balance sheets.
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    Hopefully Mario Draghi can “promise” something again and the whole system will hold together. After all, THAT and Bernanke’s decision to engage in more and more QE (despite NO evidence that QE benefits the economy) are what brought us back from the brink in June 2012… maybe Janet Yellen and Mario Draghi can repeat this.
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    Then of course there’s China… which has created the single biggest credit bubble relative to GDP in history. Nevermind, that they literally blow up buildings to build new ones to pad their GDP numbers… China is a miracle and its economy is on the verge of becoming another US.
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    The world believes China can become more driven by consumers… though the data shows consumer spending has grown by 9% a year for 30 years there… so hoping that things are going to erupt higher there is a little misguided.
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    And of course there’s the US, which is STILL printing $65 billion per month despite two QE tapers… which folks claim were terrible for the world (how exactly is printing $65 billion per month five years into an alleged recovery, a good thing? Doesn’t that NEGATE the entire claim of a recovery at all?).
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    You can build a house on a rotten foundation (bad debt, fraud, corruption) and it will stand for a while. But eventually it will collapse.
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    This will again happen with the markets. The only difference is that this time around, the Central banks have already spent most if not ALL of their ammo propping up the system.

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February 5, 2014 Posted by | Economics | , , , , , , , , , , , , | 2 Comments

Gregory Mannarino: ALERT! Stock Market Critical On Shocking ISM Report!

February 4, 2014 Posted by | Economics | , , , , , , , , | Comments Off

QE5: Stock Market Crash, Dollar Collapse!!

  • How do you reflate collapsing asset prices when you have chosen the tapering route? Either the FedRes abandon tapering or the US treasury revalue the price of gold very much higher!! A Global Currency Reset is coming!

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February 4, 2014 Posted by | Economics | , , , , , , , , , , , , , | Comments Off

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