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Analyst Warns Of Turbulence: ‘Geopolitical Dislocations Could Result In Key Resource Supplies Disappearing’

October 26, 2015

Analyst Warns Of Turbulence: ‘Geopolitical Dislocations Could Result In Key Resource Supplies Disappearing’

Some of the world’s biggest investors have been taking significant positions in the commodity resource sector as of late, most notably in gold. With geopolitical tension and fear of economic breakdown reaching a near boiling point, it’s not difficult to see why. Instability pervades the entire system, encompassing everything from financial markets to social safety nets. And while it is easy to ignore the seriousness of current events because stock markets remain at record highs and mainstream pundits continue to toe the recovery line, the fact is that an unexpected and seemingly minor event could well send the entire world into a tailspin.

According to analyst John Kaiser, this is exactly what we need to be concerned with. In a candid interview with Future Money Trends Kaiser explains just how political dislocations could result in supply lines to critical commodities like food, copper, zinc and gold being cut – even without a major war – should the United States, Russia and China continue to bump heads.

(Watch at Future Money Trends or Youtube)

Forget about the big, giant macro-economic increases in overall global GDP, but instead let’s look at the turbulence we’re starting to see where China is asserting itself in the South China Sea area… where Putin is eyeing its lost colonies in Europe and Central Asia and thinking maybe we should re-establish the Soviet empire… where we see instability in the middle east.

Then you also realize that a lot of metal comes from China… a lot of metal comes from Russia. And if we end up in a shoving match where, say, the United States pushes back in the South China Sea… and Chinese generals get all up in arms and we end up with an incident… well what happens if China suddenly has sanctions going against it… or something similar, that Russia goes beyond messing in the Ukraine and starts taking out Latvia or Estonia?

…click on the above link to read the rest of the article…

Overstock Holds 3 Months Of Food, $10 Million In Gold For Employees In Preparation For The Next Collapse

October 25, 2015

Overstock Holds 3 Months Of Food, $10 Million In Gold For Employees In Preparation For The Next Collapse

Overstock CEO Patrick Byrne’s crusade against naked short sellers in particular, and Wall Street and the Federal Reserve in general, has long been known and thoroughly documented (most recently with his push to use blockchain technology to revolutionize the multi-trillion repo market).

But little did we know that Overstock’s Chairman Jonathan Johnson is as vocal an opponent of the fiat system, and Wall Street’s tendency to create bubble after bubble, if not more than Byrne himself. That, and that his company actually puts its money where its gold-backed money is and in preparation for the next upcoming crash, has taken unprecedented steps to prepare for what comes next.

One week ago Johnson, who is also candidate for Utah governor, spoke at the United Precious Metals Association, or UPMA, which we first profiled a month ago, and which takes advantage of Utah’s special status allowing the it to use gold as legal tender, offering gold and silver-backed accounts. As a reminder, the UPMA takes Federal Reserve Notes (or paper dollars) which it then translates into golden dollars (or silver). The golden dollars are based off the $50 one ounce gold coins produced by the Treasury of The United States. They are legal tender under the law and are protected as such.

What did Johnson tell the UPMA? Here are some choice quotes:

We are not big fans of Wall Street and we don’t trust them. We foresaw the financial crisis, we fought against the financial crisis that happened in 2008; we don’t trust the banks still and we foresee that with QE3, and QE4 and QE n that at some point there is going to be another significant financial crisis.

So what do we do as a business so that we would be prepared when that happens. One thing that we do that is fairly unique: we have about $10 million in gold, mostly the small button-sized coins, that we keep outside of the banking system.

…click on the above link to read the rest of the article…

IMF Warns That We Have a New Crisis Coming

October 13, 2015

IMF Warns That We Have a New Crisis Coming

QUESTION: Marty; You mentioned that you met with a board member of the IMF. It certainly seems you are having a much larger impact than you may realize. The IMF is now warning of a crash. Do you think you can help reverse the trend if given the chance?

Thank you for caring

ANSWER: I absolutely could mitigate the crisis. There would be much I could stop in 30 days or less. But the trend is the trend. The system is collapsing. It is not because of some derivatives bubble. It is not because of fiat. This is because of the debt gone wild and governments run by politicians who are clueless and assume that they can bully their way through this by writing laws. LaGarde is now warning that we have not fixed the problems from the last crisis and we have another one brewing.

Yet the IMF is focused on the rising risk of a global financial crash because of a slowdown in China, which undermines the stability of highly indebted emerging economies. The IMF is not saying much other than there are three crisis epic centers within the emerging market crisis including China, Brazil, Turkey, and Malaysia. This could shave 3% off of global GDP, which would devastate Europe in particular. Then there is the chaos of debt in Europe because of the failed euro, but that is a political problem and means politicians need to admit error. The IMF has warned about the battered global markets that have experienced a sharp decline in liquidity since 2007 and are more likely to transmit shocks rather than cushion the blow.

These three areas that the IMF is warning about are the symptoms rather than the causes. The IMF has not identified the root cause of this chaos and that is all emerging from the fact that governments borrow, owe debt, and in turn raise taxes, which lowers growth and reducing living standards. Wait for the pension crisis to hit. A further decline will undermine the European banks and will cause a real meltdown.

Leaving the Eye of the Hurricane

October 12, 2015

Leaving the Eye of the Hurricane

In the early 2000’s, there were those economists and investors who believed that the U.S. was headed for an economic fall – that the repeal of the Glass-Steagall Act in 1999 would allow the financial institutions to enter into widespread reckless loan practices that would lead to a housing crash. And that that crash would lead to a stock market crash that would herald in The Great Unravelling – The Greater Depression.

Most of us who made these predictions hypothesized that the initial collapse would be significant, but not severe – that the governments of the world would come to the rescue with bailout programmes that would stave off the symptoms of the problem, but would do nothing to cure the disease itself – that of massive debt.

We suggested that there would be a false recovery, resulting in the easing of symptoms. There would be repeated claims by both governments and the media that “recovery is nigh.” However, underneath all the folderol, the disease would worsen considerably, eventually reaching the point at which the patient (the economy) could not be saved. At some point, public confidence in the leaders’ abilities to resuscitate the body would fade. This would be triggered by some event or events, such as a crash in the stock or bond market, a dumping of debt back into the U.S. by creditor nations, debt default by Greece or some other nation, commodity price spikes, backlash from sanctioned nations, the imposition of protective tariffs – any one of a dozen possible triggers would do the trick. From that point on, each of the other triggers would eventually occur, as toppling dominoes, fulfilling the prediction of Depression.

Only in this latter period would the dreaded “D-word” be acknowledged by the governments and media.

…click on the above link to read the rest of the article…

America to Collapse As Dollar Dies: “You Cannot Stop What Is Coming… 25 to 50 Million Dead in 90 Days”

October 8, 2015

America to Collapse As Dollar Dies: “You Cannot Stop What Is Coming… 25 to 50 Million Dead in 90 Days”

A collapse is coming… but not as quickly as many are expecting.

There are many people high up in the power structure who not only see an end to the dollar coming soon, but an economic collapse that could trigger the death of tens of millions of Americans – rendered vulnerable by the lack of services and the stopping of checks, and harmed by the resulting looting, starvation and violence that is likely to occur.

According to an anonymous source who claims to have high level insider sources, everything from the power grid to the grocery store, to the government assistance checks that huge portions of the country depend upon will simply not be there. The result is pure chaos, tragedy and destruction.

That source is “V, the Guerrilla Economist,” who spoke to USA Watchdog’s Greg Hunter after the dire prospect of collapse:

China and others are positioning their currencies to rise with the demise of the petrodollar, which is based around U.S. military hegemony around the world – an empire of illusion that cannot last, and is under threat by the trend of foreign affairs. A global basket of currencies is expected to replace the dollar, but in the meantime, the dollar may become worthless, and people who have no plans or preparations may starve.

“V” claims that an economic crash will not come this year. Instead, it will come in the next two years to 30 months, in the wake of the end of the reign of the dollar. America may become a tragic repeat of the Weimar Republic, as other superpowers (namely, the BRICS nations) fill the void of the once-mighty United States.

…click on the above link to read the rest of the article…

The Beginners Guide To Selecting, Stockpiling And Defending A Survival Retreat Part Two

October 6, 2015

The Beginners Guide To Selecting, Stockpiling And Defending A Survival Retreat Part Two

…read part one here…

Once you have your retreat purchased you can begin the serious work of getting it ready to receive you and your hand-picked group. Everyone needs a place to live, sleep, eat and relax. All members of your group will need a place to be alone or completely by themselves for a period of time. I learned that lesson when I took off on my forty-one foot sailboat many years ago and headed for the South Pacific. Take my word for it, everyone needs to have a place where they can be completely alone.

You must have adequate sanitary services for everyone. It should not be very close to your main retreat drinking water supply and close enough if during your rainy season or the winter snows that getting there won’t be a chore. It needs to be well ventilated for obvious reasons. There should be a kerosene lamp located in there as well or at least a candle.

I have always maintained that when you are setting up your retreat initially all buildings should be camouflaged when looking down at them from the air. Ideally, if there is time, you should build an underground structure as your main living area and as a gathering/meeting area.

They are climate controlled naturally year around, and are difficult to see from above. You always want to draw the least amount of attention on your retreat and your group. I cannot overemphasize to anyone who is a serious survivalist your retreat is the last stop and it will be your ultimate safety if and when the free trade and commerce stops around you for any reason. How bad things will get in the event of a national disaster such as an economic collapse can only be imagined, but all anyone has to do is look back on history to get a good idea.

…click on the above link to read the rest of the article…

Deflation Warning: The Next Wave

October 1, 2015

Deflation Warning: The Next Wave

The global economic slump is accelerating

The signs of deflation are now flashing all over the globe. In our estimation, the possibility of an associated financial crisis is now dangerously high over the next few months.

As we’ve been saying for a while, our preferred model for how things are going to unfold follows the Ka-Poom!Theory as put out by Erik Janszen of iTulip.com.

That theory states that this epic debt bubble will ultimately burst first by deflation (the “Ka!”) before then exploding (the “Poom!”) in hyperinflation due to additional massive money printing efforts by frightened global central bankers acting in unison.

First an inwards collapse, then an outwards explosion. Ka-Poom!

We’ve been tracking the deflationary impulse for a while, and declared deflation the winner back in July of this year.

A Failed Strategy

What exactly do we mean by deflation? Back in 2008 the central banks of the developed world, as well as China, had a choice:

admit that prior policies geared towards encouraging borrowing at a faster rate than income growth were a horrible idea, or
double down and push those failed policies even harder

As we all know, they chose option #2. And so here we are, just 8 years later, with nearly $60 trillion in new debt piled on top of the prior mountain — while GDP grew by only $12 trillion over the same time period:

(Source)

[Note: Global nominal GDP is projected to be $68.6 trillion in 2015, virtually unchanged from 2013]

In other words, instead of saying to ourselves: Hmmm…. it was probably a terrible idea to pile up debt at 2x the rate of income growth, what the world did instead was to double down on that terrible idea and pile on more debt at 5x the rate(!) of nominal GDP growth.

…click on the above link to read the rest of the article…

China Cannot Let This Happen

September 26, 2015

China Cannot Let This Happen

After borrowing — and largely wasting — $15 trillion during the Great Recession, China now looks like a typical decadent developed-world country, complete with slow growth, anemic consumer spending and unstable financial markets.

But it’s not France, Canada or the US, where recessions happen and voters peacefully replace one major party with the other. China, within living memory, has seen civil unrest beget open rebellion beget multi-decade civil war.

Just as Germany is never going back to hyperinflation, China will not tolerate mass protests. Which means it somehow has to find jobs for the tens of millions of citizens who aspire to middle class life. This need for growth at any price explains the borrowing/infrastructure binge of the past five years. And soon it will explain a massive devaluation/QE program. From Monday’s Wall Street Journal:

China’s Workers Stumble as Factories Stall

XIGUOZHUANG, China—For decades, an army of migrant workers drove China’s boom times, flocking to its cities to sew T-shirts, assemble iPhones, or build apartment blocks and Olympic stadiums.

The arrangement helped millions of poor, rural Chinese join a new consumer class, though many also paid a heavy price.

Now, many migrant workers struggle to find their footing in a downshifting economy. As factories run out of money and construction projects turn idle across China, there has been a rise in the last thing Beijing wants to see: unrest.

In Xiguozhuang, a village among cornfields some 155 miles south of Beijing, it had been rare to see working-age men for much of the year. This year, however, many of the men are at home, sidelined by a fading property boom.

“Times are tough now,” said Wang Hongxing, a 39-year-old father of three who has worked at building sites across China’s northeast since his teens, but who has spent the past two months tending his farmland plot. “There are too many workers and wages are dropping.”

…click on the above link to read the rest of the article…

Bubble Bubble Where is the Bubble

September 23, 2015

Bubble Bubble Where is the Bubble

It is fascinating that when I warn of anything using the word “CRASH” newspapers immediate report it as I am forecasting a crash in the stock market. This demonstrates that there is no consideration that government can also crash and burn – the perfect example of 100% confidence. Yes, if this week simply closes on the Dow below 16280, then we can be looking at that slingshot move I have warned about where in one year, we have a crash and a swing to the upside to new highs. These type of events are the ultimate mind game, but that is how they destroy the majority. As for those who write asking which investment will be safe – the answer is NONE.

While those who distort the events of the Great Depression to sell gold or whatever, keep in mind that commodities peaked in 1919 and bottomed WITHstocks in 1932. Real Estate peaked in 1927 followed by bonds when the Fed cut rates to try to help Europe, then everything reversed and stocks soared in 1929 and then crashed and burned into 1932 bottoming with commodities.

There was NO SINGLE INVESTMENT left standing – ABSOLUTELY NOTHING. So why the charlatans are trying to sell you newsletter with promises of if you just bought this letter you will make 20,000%, keep in mind this is a period of survival we are entering – not wild speculation. If you do not understand the nature of the beast, the beast will have you for lunch.

…click on the above link to read the rest of the article…

I Am Mourning For America

September 23, 2015

I Am Mourning For America

I am mourning for America, because she is dying. I am mourning for a nation that once knew such greatness but that has now fallen to depths that were once unimaginable. I am mourning for the death and destruction that are coming, and I am mourning for a future that our children and our grandchildren will never get to see. I am mourning for a nation that has refused to listen to the warnings and that now stands on the precipice of judgment. I am mourning for games that will never be played, for books that will never be finished, for family vacations that will never get to happen and for memories that will never be made. I am mourning for the economic depression that is coming, for the horror and suffering that friends and family will endure, and for the coming death of the country where I drew my first breath.

To many, these words will seem “over the top” and overly dramatic. After all, despite the thousands of problems facing this nation, things still seem very “normal” at this moment. Well, if you don’t “get” what I am saying right now, just bookmark this page and come back to it later. Eventually it will make sense to you.

Last week, I was invited to be a guest on a major television show that is beamed into the homes of millions of people in the United States and Canada. If you get a chance to view the shows that are being aired this week, you will notice that I wore all black.

…click on the above link to read the rest of the article…

Tick Tock

September 13, 2015

Tick Tock

8 years to fix the malfunctioning heart of the world’s financial and legal systems but nothing was actually done … and now the clock is ticking and there is hardly any time left.

The number of red lights now blinking at us, largely ignored by those who are supposed to be flying this thing, is growing all the time. It is not that any one of them is a clear harbinger of the end but taken together they paint a dismal and coherent picture – of a system eating itself.

What I mean is that every political and financial system, every bureaucracy, public or private is originally set up to do a necessary job. And the duty of those who work in it is to make sure the system doe that job. But when the challenges facing the system change so that the system begins to no longer be able to do its job, those in it have two choices: they can work for the greater good and help change the old system into a new one better fit to the new challenges, or they can ignore the problems, and forget the reason they and the system were created in the first place and instead seek merely to get as much as they can from the failing system before it implodes.

It seems obvious to me that is where we are today, both politically and financially. We are living in the End Times not because some angry supernatural being is coming to punish us, but because we are living in a system, a machine, which we built and therfore can change, but we have forgotten this. Some time in the recent past we crawled inside our machine, closed the last hatch to the outside behind us, and then forget there was an outside.

…click on the above link to read the rest of the article…

Today Is the Last Day of Trading on Wall Street Before Shemitah Ends… What Will Happen This Time?

September 12, 2015

Today Is the Last Day of Trading on Wall Street Before Shemitah Ends… What Will Happen This Time?

This isn’t meant to be another one of those scary September 2015 stories, but we can’t just completely ignore history either.

Today isn’t just the 14th anniversary of the September 11, 2001 attacks. It also happens to be the last day of trading on Wall Street before this Shemitah cycle — a seven-year period on the Jewish calendar — ends on Sunday.

Why should that matter, you might ask?

Look at how the end of each Shemitah cycle has played out in the past (via The Times of India):

See what I mean? Some immense financial disaster has occurred after each Shemitah has ended in recent history.

Not featured on that graphic are 1980 and 1973. In 1980, the Savings and Loan crisis was going on and the Fed raised interest rates (which they are currently discussing doing right now actually) and we ended up in a really deep recession. Ten days after Shemitah ended in 1973, the Yom Kippur War started which resulted in the 1973 oil crisis.

Think about it. It’s kind of like a totally manipulated, self-fulfilling prophecy, isn’t it?

So… What do you think will happen this time?

Economic Crisis: How You Can Prepare Over The Next Six Months

September 9, 2015

Economic Crisis: How You Can Prepare Over The Next Six Months

I wouldn’t say that it is “never too late” to prepare for potential disaster because, obviously, the numerous economic and social catastrophes of the past have proven otherwise. There simply comes a point in time in which the ignorant and presumptive are indeed officially screwed. I will say that we have not quite come to that point yet here in the U.S., but the window of opportunity for preparation is growing very narrow.

As expected, U.S. stocks are now revealing the underlying instability of our economy, which has been festering for several years. Extreme volatility not seen since 2008/2009 has returned, sometimes with 1000 point fluctuations positive and negative in the span of only a couple days. Current market tremors are beginning to resemble the EKG of a patient suffering a heart attack.

Stocks are a trailing indicator, meaning that when an equities crash finally becomes visible to the mainstream public, it indicates that the economic fundamentals have been broken beyond repair for quite a while. What does this mean for those people who prefer to protect themselves and their families rather than wait to be drowned like lemmings in a deluge? It means they are lucky if they have more than a few months to put their house in order.

The process of crisis preparedness is not as simple as going on a gear-buying bonanza or making a few extra trips to Costco. That is better than nothing; but really, it’s a form of half-assed prepping that creates more of an illusion of survivabilty rather than providing ample security in the event that financial systems malfunction.

Much of what’s listed in this article will include training and infrastructure goals far beyond the usual standards of beans, bullets and Band-Aids.

…click on the above link to read the rest of the article…

If You Want To Know The Truth About The Unemployment Rate Read This Article

September 8, 2015

If You Want To Know The Truth About The Unemployment Rate Read This Article

The Obama administration is telling us that the unemployment rate in the United States has fallen to 5.1 percent, but does that number actually bear any resemblance to reality? On Friday, news outlets all over America celebrated the fact that the U.S. economy added 173,000 jobs in August. We were told that the unemployment rate has fallen to a seven year low and that wages are going up. So everything must be getting better for the middle class, right? After all, isn’t that what the official numbers are telling us?

The financial markets are buzzing over this news because the unemployment rate has fallen into a range that the Federal Reserve has typically considered to be “full employment”, so there is an expectation that the Fed may raise interest rates shortly. The following comes from Business Insider…

The unemployment rate fell to 5.1% in August, the lowest since April 2008. This was lower than forecast, and put the measure in the middle of the 5.2% – 5.0% range the Federal Reserve considers to be “full employment.” The economy added 173,000 jobs, below the expectation for 217,000, although August payrolls are usually revised higher. We also saw some wage growth, with average hourly earnings rising 0.3% month-on-month, and 2.5% year-over-year. The payrolls gain for July was revised up to 245,000 from 215,000.

But do we actually have anything close to “full employment” in this country?

Of course not.

The truth is that the only way they have been able to get the official “unemployment rate” to steadily go down over the past few years is to eliminate hundreds of thousands of Americans that are chronically unemployed from the official labor force numbers every month. Jim Quinn elaborated on this very eloquently in one of his recent articles…

…click on the above link to read the rest of the article…

Watch Carefully as Dangerous Economic Times Approach: “Nothing but Black Swans Ahead”

September 6, 2015

Watch Carefully as Dangerous Economic Times Approach: “Nothing but Black Swans Ahead”

USA Watchdog’s Greg Hunter interviewed investment expert Jeff Berwick on the ominous signs headed our way in the near future, and in particular, in the month of September.

Berwick has, like so many other voices, been on the forefront of warning about the instability of markets ahead, and during the seven year cycle of Shemitah, that it would unwise to ignore their warnings and prepare for a potential market crash.

Whatever does or doesn’t happen in the days and weeks ahead, it has become all too clear that the system is teetering on the edge, and the powers that be are doing all they can to keep the illusion going, and keep the public under the spell that everything is fine.

But as we have all known since nursery school, once the thing cracks and falls apart, even all the king’s men can’t put the thing back together again.

Keeping the music playing while the chairs are rearranged for collapse is more a way of making an orderly exit for the members of the Ponzi scheme than it is any kind of way of repairing the damage or creating a viable economy.

With black swans on the horizon, it is indeed time to beware, and watch the path ahead.

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