Socio-Economics History Blog

Socio-Economics & History Commentary

Lynette Zang: Dollar Collapse & Gold

  • ITM Trading Streamed live on Oct 16, 2018
    yt-… Link to Slides and Sources: https://www.itmtrading.com/blog/takes…

    Question 1. Sean B: Would zirp apply to brokerage accounts? Would a brokerage money market account be safer than a bank account?
    Question 2. Stephanos R: How do you come up with 25 gold 1oz coins can buy you 1 square block, buildings and all?
    Question 3. Richard W: Can the US Treasury change the maturation date of a bill/note/bond? ie, changing a 6 month note that I purchase to a 30 year bond after the fact?
    Question 4. Ye K: Given gold and usd is currently so much stronger than Venezuala, Argentina dollar. Why would investors not take the opportunity to go raid their assets?
    Question 5. Donnie M: Is it likely that high priced beach front property will take biggest hit. While productive farm land will lose less?

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October 18, 2018 Posted by | Economics | , , , , , , , , | Leave a comment

Dr. Mark Skidmore: $21 Trillion “Missing” Money Huge Implications for Dollar. Entire Federal Budget Now National Security Secret

  • Dr. Mark Skidmore: $21 Trillion “Missing” Money Huge Implications for Dollar. Entire Federal Budget Now National Security Secret
    by Greg Hunter’s USAWatchdog.com (Early Sunday Release)
    Michigan State Economics Professor Mark Skidmore made a stunning discovery late last year. Using publicly available government accounting reports, he revealed there was $21 trillion in what he calls “missing money” from the Department of Defense (DOD) and Housing and Urban Development (HUD). The data he used has been scrubbed, all accounting records are heavily redacted and now the federal government has declared its accounting falls under “national security.” Dr. Skidmore can no longer get the government to respond. Dr. Skidmore explains, “At this point, they are no longer responding to any of my inquiries. They are just not answering, and that is very astounding . . . and you can go on and look at the report yourself and see all of it blacked out. I actually lost sleep over that. That really bothered me. . . . Now, they are not even using standard accounting financial reporting rules. They are just moving things around and not telling anybody. So, first, all of this stuff is hidden because it is a national security issue, and now they are just changing the accounting standards. I would ask is that constitutional? I don’t think so. Does it match any of our financial reporting laws? I don’t think so. I am not sure what gives the government the authority to make that decision, and, yet, it’s happening.”

    The revelation that there is an additional $21 trillion dollars that cannot be accounted for on top of the more than $21 trillion officially in federal debt is an astounding number. It is probably the most important data point since the Federal Reserve was founded in 1913. Dr. Skidmore says, “It’s a huge amount of money to not be able to explain, and they are not explaining it.”

    Dr. Skidmore says there is a limit to money printing even when all the global central banks are doing it. Skidmore says, “What does it mean when a central bank is buying equities, or buying debt with printed money in order to suppress interest rates and keep this game going? I think, overall, the whole world is awash in debt, and it’s expanding at a rate that is unsustainable. The only way it has been sustained is that interest rates have been falling for 30 years. Now, interest rates are no longer falling, and we are running up against a constraint. Now, if this $21 trillion in ‘missing’ federal money really represents spending above and beyond what the official records indicate, then that has huge financial implications and huge implications for confidence in the dollar as the reserve currency. This is an enormous priority to address and not just cover up and say we are all good.”

    In closing, Dr. Skidmore says, “How can you have a democracy if you don’t have any transparency whatsoever? Having integrity and confidence is so essential to the whole system, and this just puts everything in question. . . . We should clean this up and show we are legitimate. If we don’t, we are just shooting ourselves in the foot.”

http://www.wnd.com/2016/08/6-5-trillion-missing-from-defense-department/

Click on image for article.

http://crooksandliars.com/2015/06/report-reveals-85-trillion-missing

Click on image for article.

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October 16, 2018 Posted by | Economics | , , , , , , , , , , , | Leave a comment

WILL HYPERINFLATION PUSH US to Return to the Gold Standard? The Questions that Didn’t Get Answered

  • ITM Trading Streamed live on Oct 3, 2018
    Question 1: I’ve read that one of the reasons we haven’t experienced hyperinflation is because the banks have placed QE reserves they received at the Central Bank where they are receiving more interest $ than they could in other instruments. I have heard Lynette say that the banks have no reserves; they have either lent them all out or distributed them to executive compensation or buybacks. So which is correct?

    Question 2: My question is that if the Fed can create currency with the click of their mouse, are they, or why aren’t they creating money and buying physical gold? It would essentially be buying insurance for free.
    Question 3: Do you think it would make sense for the US to return to a gold standard and why/why not?
    Question 4: IF the US was to default on its China debt, would that in itself constitute a trigger event for the banks?

    And if you want to actually DO about all of this, that’s what we specialize in at ITM Trading. How do you protect your wealth for the next collapse and financial reset? 

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October 8, 2018 Posted by | Economics | , , , , , , , , , | Leave a comment

Will Hyperinflation Push Us to Return to the Gold Standard? The Questions that Didn’t Get Answered.

  • ITM Trading Streamed live 5 hours ago
    Question 1: I’ve read that one of the reasons we haven’t experienced hyperinflation is because the banks have placed QE reserves they received at the Central Bank where they are receiving more interest $ than they could in other instruments. I have heard Lynette say that the banks have no reserves; they have either lent them all out or distributed them to executive compensation or buybacks. So which is correct?
    Question 2: My question is that if the Fed can create currency with the click of their mouse, are they, or why aren’t they creating money and buying physical gold? It would essentially be buying insurance for free.
    Question 3: Do you think it would make sense for the US to return to a gold standard and why/why not?
    Question 4: IF the US was to default on its China debt, would that in itself constitute a trigger event for the banks?

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October 4, 2018 Posted by | Economics | , , , , , , , , | Leave a comment

Peter Schiff: Coming Financial Crisis Much Bigger than 2008. People Will Be Dumping Dollars & Buying Gold

  • Peter Schiff: Coming Financial Crisis Much Bigger than 2008. People Will Be Dumping Dollars & Buying Gold
    by Greg Hunter’s USAWatchdog.com 
    Money manager Peter Schiff was in a small group warning of a coming financial meltdown that happened in 2008. Schiff says, “I was kind of a fixture on financial cable TV giving these warnings. My thought was the bubble would burst, and I knew that it would. Once the housing bubble burst and we had this financial crisis, I knew it would follow along with the Great Recession. I thought the Federal Reserve would try the best it could to reflate the bubbles in the stock markets and housing markets. But my thought was that their efforts would fail. The markets would not allow it and that a dollar collapse would intervene and would prevent new debt from being issued to fully reflate those bubbles. I was actually wrong. They didn’t just try to reflate the bubbles, they actually succeeded in blowing them bigger than ever.”


    Ten years later, Schiff is warning of another financial calamity bigger than the last one. Schiff says, “The problem is now we are on the precipice of a much bigger crisis than before. The next time, if they try to reflate those bubbles, which they will, it will be a spectacular failure because the markets are now prepared for the opposite. Everybody, right now, assumes the Fed is going to be able to keep raising rates. They assume they are going to shrink its balance sheet and that we have this booming economy that will never bust. When the Fed has to reverse course abruptly, acknowledge the underlying weakness that everybody has been oblivious to and they start cutting rates and launching another round of quantitative easing (money printing), I think the dollar is going to fall through the floor. I think the inflationary fires that are already burning pretty hot are going to ignite. It’s not going to be like 2008 where the dollar went up and consumer prices inched down a little bit. I think the dollar is going to tank and consumer prices are going to soar, and it’s going to be stagflation. When the markets get a whiff of that, they are not going to like the way it smells. It is going to create a dollar crisis. I think the Fed has put itself between a rock and a hard place. There is no way out this time. . . . This time, you really have to be positioned because this time is going to be the end of it. This is not going to be a hat trick or third time is a charm when it comes to reflating these bubbles.”

    read more.

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October 4, 2018 Posted by | Economics | , , , , , , , , , , , , | Leave a comment

GOLD VS. SILVER BALANCE: Hyperinflation & Collapse Discussions. Q&A with Lynette Zang

  • ITM Trading Streamed live 4 hours ago
    Link to Questions: https://www.itmtrading.com/blog/gold-… 
    Viewer Submitted Questions:
    Question 1. Brian T: Trying to get the optimum balance of holding gold v silver puts my head in a spin… Bix Weir says “sell all your gold and buy silver”… Jim Sinclair says gold will go to $50,000, while Bill Holter says it may go to $100,000+! Jim Willie et al say more like $10,000? Everyone says silver will skyrocket, but price estimates vary from $500 to $1,000, or possibly a lot more. What does your crystal ball say, please?
    Question 2. Ian M: let’s say we experience Weimar inflation and 1 oz. gold = $100 million. We know that wages won’t keep up. So who exactly will be able to buy gold at $100 million?
    Question 3. Dave: if there’s a “reset” what stops the government from only paying out the face value of the silver or gold coin? If they reset why can’t they reset the value to face value?
    Question 4. Neil: Is it possible some countries will experience a deflationary depression while others experience a hyperinflationary depression?

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September 19, 2018 Posted by | Economics | , , , , , , , , | Leave a comment

WHERE Did the Missing $21 Trillion COME FROM? | Wayne Jett

  • Reluctant Preppers Published on Sep 10, 2018
    President Trump’s Executive Order (EO 13818) freezes the assets and travel rights of perpetrators of human rights abuses & corruption. Is this EO actually locking up unthinkable trillions of illicit funds in bank accounts just made public via a major leak? Author of “The Fruits of Graft: Great Depressions Then and Now,” Wayne Jett, returns to Reluctant Preppers to publicly comment on his recent article, “Where Did the Missing $21 Trillion COME FROM?” Jett declares with characteristic measured judgment why he believes we are witnessing a rout of globalists and their ill-gotten fortunes as never before seen in the history of the world! Read Wayne Jett’s article,

    “Where Did the Missing $21 Trillion COME FROM?” http://www.classicalcapital.com/Missi…

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September 12, 2018 Posted by | Economics | , , , , , , , , , , , | Leave a comment

Major Currencies All Over The World Are In “Complete Meltdown” As The $63 Trillion EM Debt Bubble Implodes

9 Jan 1988 cover, The Economist: Get Ready for a World Currency by 2018! The Rise of the Phoenix world currency from the ashes of national fiat currencies ie. destruction of fiat currencies via hyperinflation. “Phoenix” is of course an occult metaphor. Out of the destruction, the ashes of the old world order, the Luciferian New World Order will rise like a Phoenix!

  • Major Currencies All Over The World Are In “Complete Meltdown” As The $63 Trillion EM Debt Bubble Implodes
    by http://theeconomiccollapseblog.com/
    The wait for the next global financial crisis is over.  Major currencies all over the planet are in a “death spiral”, many global stock markets are crashing, and economic activity is beginning to decline at a stunning rate in quite a few nations.  Over the past 16 years, the emerging market debt bubble has grown from 9 trillion dollars to 63 trillion dollars.  Yes, you read that correctly.  Now that emerging market debt bubble is imploding, and as a result emerging market currencies all over the globe are in “complete meltdown”.  In fact, at least 20 different currencies have fallen by double-digit percentages against the U.S. dollar so far in 2018, and nobody is quite sure what is going to happen next.

    You may be tempted to think that this must be a good thing for the United States since the value of the U.S. dollar has been rising, but it is not.

    During the “boom years”, trillions of dollars were borrowed by emerging market economies, and a high percentage of those loans were denominated in U.S. dollars.  Now that their currencies are crashing, it is going to take much more local currency to service those U.S.-denominated debts, and a whole lot of them are going to start going bad.

    That means that many financial institutions here in the United States and over in Europe are going to end up holding enormous piles of bad debt, and the losses could potentially be astronomical.

    The dominoes are starting to fall, and even the mainstream media is admitting that what we are facing is really bad.  For example, the following comes from a CNBC article entitled “The emerging market crisis is back. And this time it’s serious”

    read more.

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September 8, 2018 Posted by | Economics | , , , , , , , | Leave a comment

HEADS UP: Central Bank Domino’s Falling!

  • ITM Trading Streamed live 3 hours ago
    The global contagion has begun. At this writing thirteen fiat currencies are imploding, and currency markets no longer seem to be listening to the central bankers as any intervention has a very short or no impact at all. What the globalists feared, is now coming to pass. In my opinion, we have just entered the next phase of the fiat system unraveling as confidence in emerging market central bankers evaporates. Since it is the “Full Faith and Credit” that supports the fiat system, this loss in confidence is critical. So what do governments and central bankers have confidence in? Physical gold. They know that gold is real money with global value, that is beyond the control of any other government or central bank. They know, what J.P. Morgan knew at the start of this fiat experiment, “Gold is money. Everything else is credit.”

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September 7, 2018 Posted by | Economics | , , , , , , , , , , , , , , , | Leave a comment

WHAT HYPERINFLATION LOOKS LIKE: Boots on the Ground

September 7, 2018 Posted by | Economics | | Leave a comment

The Global Financial System Is Unraveling, And No, the U.S. Is Not immune

  • The Global Financial System Is Unraveling, And No, the U.S. Is Not immune
    by CHARLES HUGH SMITH, http://charleshughsmith.blogspot.com/
    Currencies don’t melt down randomly. This is only the first stage of a complete re-ordering of the global financial system.

    Take a look at the Shanghai Stock Market (China) and tell me what you see:(top of post).

    A complete meltdown, right? More specifically, a four-month battle to cling to the key technical support of the 200-week moving average (the red line). Once the support finally broke, the index crashed.


    As the chart below illustrates, a great many currencies around the world are in complete meltdown. This is not normal. Nations that over-borrow, over-spend and print too much of their currency to generate an illusion of solvency eventually experience a currency crisis as investors and traders lose faith in the currency as a store of value, i.e. the faith that it will have the same (or more) purchasing power in a month that it has today.

    Here’s the key takeaway: a currency crisis is a symptom of a deeper disease–it is not the illness.
     The same is true of stock market declines like the Shanghai Index that break long-term support levels: a crashing stock market is a symptom of a deeper disease, it’s not the illness.


    The fact that so many currencies are melting down at the same time is telling us the global financial system is unraveling, and unraveling fast. This is a symptom of a fatal disease.
     Currencies reflect all sorts of financial information; they’re akin to taking an economy’s pulse: trade balances, debt levels, interest rates, central bank policies, fiscal policies, and so on.


    The global financial system is inter-connected, but this is not a viable excuse for the meltdown. The general explanation floating around is that currency weakness is like the flu: one currency gets it, and then it spreads to other weak currencies.

    This diagnosis is misleading. What’s actually happening is the unprecedented global bubble of debt and assets of the past decade is popping, and it’s laying waste to the most indebted, over-leveraged and mismanaged nations first, either via stock market declines or meltdowns in currencies.

    read more.

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September 5, 2018 Posted by | Economics | , , , , , , , , | Leave a comment

Rob Kirby: Stupid Amounts of Money Seeking Physical Gold & Silver. $21 Trillion in Dark Money Will Cause Hyperinflation

  • Rob Kirby: Stupid Amounts of Money Seeking Physical Gold & Silver. $21 Trillion in Dark Money Will Cause Hyperinflation
    by Greg Hunter’s USAWatchdog.com (Early Sunday Release)
    Macroeconomic analyst Rob Kirby says the big elephant in the global financial room, that nobody wants to acknowledge, is the still “missing” $21 trillion from the DOD and HUD. Kirby contends, “They don’t want to believe it. They don’t want to believe that, at least, $21 trillion in extra dollars has been created out of thin air. It is siloed, and I would say it is siloed in dark places like the Exchange Stabilization Fund (ESF), which is the secretive adjunct to the U.S. Treasury. I would also contend that this enormous cache of dark money is exactly what is used to do dirty tricks like rig the precious metals market because that is a very expensive operation to carry out. That is not a sustainable sort of thing. The Fed . . . knew years and years ago that they were going to hit a point where the amount of money that they would need to be put into the system would have to grow vertically. This is why they created and siloed at least $21 trillion extra dollars.”

    Kirby also says the extra $21 trillion “missing” dollars has been a well-kept secret. Kirby says, “This is a true secret, and I am going to say a true secret of the Deep State. This is why everybody avoids this at all costs.”

    What is the downside to massive money printing? Kirby says, “Is everything going to be okay in America when people really realize how much money there really is in existence. When people realize instead of money supply being “X,” and it’s really 10 times “X,” is everything going to be okay then? I don’t think so. Once there is widespread acceptance that the money supply is not “X,” but it is 10 times “X,” 10 “X” is going to come home to America very quickly. That 10 “X” worth of money is going to be buying anything that isn’t nailed down things, and it might be buying things that are nailed down. We are going to get a hyperinflation. There is absolutely no doubt in my mind. It’s not a question of if, it’s only a question of when.”

    Kirby, who is also a broker of physical precious metals by the ton for wealthy clients, says people are quietly panicking. Kirby explains, “If you look at a duck moving across the water, it looks very graceful. But if you take a picture of what’s going on underneath the waterline, you see the duck paddling seriously. In the precious metals space, what we see above the waterline is the reckless suppression of physical precious metals . . . but what’s really going on beneath the waterline is mega, mega money is on a ‘seek and acquire’ mission to secure physical precious metals in amounts that would stagger most people. . . . There will come a point where physical precious metal will be hard, if not impossible, to find in exchange for fiat currency. . . .The amount of money seeking physical precious metals would alarm a lot of people. You are talking stupid amounts of money.”

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September 3, 2018 Posted by | Economics | , , , , , , , , , , , , | Leave a comment

In Argentina “All Bets Are Off” As Peso Disintegrates

  • In Argentina “All Bets Are Off” As Peso Disintegrates
    by Tyler Durden, https://www.zerohedge.com/
    “All bets are off” in Argentina” – as Bloomberg puts it – where the value of the local peso has plummeted, falling 20% this week alone. It is now 50$ weaker on the year versus the USD, making it the worst performing currency of 2018 and sending massive shockwaves through Argentina’s economy. The effect on business owners and anyone who transacts in local currency has been profound, according to Bloomberg.

    “There’s no clear price reference after the peso plunge,” one business owner told Bloomberg. The price plunge has created havoc for him and his surgical equipment business, where he buys in foreign currencies and sells in pesos.

    Unlike hyperinflating economic basket case Venezuela, Argentina is a sizable $640 billion economy that is now being put to the test to see how much strain it can truly endure.

    The peso crippling could also be a precursor to political unrest, as President Mauricio Macri’s chances of being reelected are reportedly falling, despite being known as a leader who has been friendly to the markets over the course of his tenure. However, as a result of the recent turmoil, he’s “struggling” to restore investor confidence in the Argentinian peso.

    Argentina and its Central Bank have taken a number of decisive steps to try and halt the plunge, yesterday hiking interest rates to the world’s highest 60%. Previously, the country had requested quicker payouts from the International Monetary Fund, which promptly granted the collapsing country’s request.

    read more.

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September 1, 2018 Posted by | Economics | , , , , , | 1 Comment

Fear Of Global Financial Collapse? Emerging Market Currencies Collapse

  • RT America Published on Aug 30, 2018
    As tariffs and sanctions are increasing globally many nations are dealing with reeling financial issues and the near collapse of local currency. Investors are concerned Latin Americas third largest economy, Argentina, could collapse after the country unexpectedly asked for the early release of a $50 billion loan from the International Monetary Fund. At the same time nations like Canada and Venezuela are dealing with growing inflation. For more on the current global currency crises we turn to RT’s Manila Chan and former UK member of parliament, George Galloway.

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August 31, 2018 Posted by | Economics | , , , , , , , , , | Leave a comment

Danielle DiMartino Booth: Gold is the Ultimate Hiding Place

  • Danielle DiMartino Booth: Gold is the Ultimate Hiding Place
    by Greg Hunter’s USAWatchdog.com 
    Former Fed insider Danielle DiMartino Booth is sure the Fed is going to raise interest rates again at the September meeting. Why? DiMartino Booth explains, “I think he’s (Jerome Powell) the most independent Fed Chair in the past 30 years, and I think he’s going to raise rates regardless of what is happening in politics. . . . You don’t kowtow to political pressure when you need to do right by the economy. . . . Powell thinks the inflation numbers are under-reported. He’s listening to companies saying their profit margins are being squeezed . . . non-labor costs are outpacing labor costs by the greatest extent in three years, and what that tells you is inflation has run amok. . . . I think the Fed is going to continue to raise rates. . . . I think the markets have priced in the (September) rate hike by 90%. We may be looking forward to Jay Powell backing off come December. So, I am not really worried right now about a skyrocketing dollar.”

    DiMartino Booth points out the biggest problem the world faces now is record global debt near $250 trillion “that few can conceive a workable solution.” Di Martino Booth says, “It really does keep me up at night because of the nature of debt. As we approach the 10 year anniversary of Lehman Brothers, the one takeaway that many have forgotten in the decade that has passed is that you don’t know where the true ticking time bomb is when there is an over-indebted problem. . . . When systemic risk is released, it cannot be contained by any higher authority and potentially be unleashed. The greatest peril of debt is we don’t know where the danger truly lies until something triggers it.”

    Where could the next debt problem be? DiMartino Booth says, “There are trillions and trillions of dollars of leverage in this country that are not regulated by any entity and could cause problems in and of themselves. Can I rattle your memory with Angelo Mozilo and Countrywide? Again, a big company that was not regulated, and look at these problems, these subprime unregulated lenders caused way back when. If you want the parallel today, look at private equity and the trillions of dollars they control in our financial system where basically nobody is looking over them. The fox has taken over the hen house. That’s what keeps Jay Powell up at night, and that’s what keeps me up at night. . . . There is more leverage than in 2008. If you are gauging it on the fact that we used to have a $160 trillion to $170 trillion in global debt, and now we have $250 trillion in global debt, yes, things are worse. Things are definitely worse. ”

    DiMartino Booth says the simple way to protect yourself is get out of debt. You can also do what the wealthy are doing. DiMartino Booth says, “I am no gold bug, but I can tell you gold is the ultimate hiding place. It is the ultimate place to hide when financial markets are disrupted because when financial markets are disrupted, all of them react in tandem. All of that hooey that you need to have a diversified portfolio, all of that falls apart with one exception, and that would be precious metals.”

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August 30, 2018 Posted by | Economics | , , , , , , , , , | Leave a comment