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2021 A Year of Mass Bankruptcy – John Rubino

2021 A Year of Mass Bankruptcy – John Rubino

 Financial writer John Rubino says, “2021 is going to be a pivotal year” in the debt markets.  Rubino says lots of debt will either be bailed out or defaulted on in some way.  Because of CV19, there is no getting around this.  The debt clock has been pushed forward by years.  One too huge to hide debt problem are heavily indebted U.S. states and cities.  Rubino says, “You have to call this a scam because years ago, they decided to offer wildly over generous pensions to public sector unions.  In return for that, the public sector unions elected people who would keep on doing that and keep the gravy train going. . . . Back then, it worked . . . but now they are all retiring, and these states and cities are heading for some version of bankruptcy at an accelerated rate.  It was always going to happen in the next 10 years, but with the pandemic, the time frame has been moved way up.  So, probably 2021 will be a year where a lot of these guys hit a wall where they have no choice but to default on a lot of their obligations.  That’s going to throw the financial system into turmoil.”

Rubino points out, “If they can’t pay their bills, they can’t pay their bills.  If it can’t happen, it won’t happen.  So, you get effective bankruptcy via defaults for a lot of these places.  That means massive layoffs of city and state workers and turmoil in the bond market.  That kind of thing alone is enough to send the U.S. back into recession assuming we are out of recession when it happens.

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

Global Financial System Broken & Bankrupt – Egon von Greyerz

Global Financial System Broken & Bankrupt – Egon von Greyerz

Financial and precious metals expert Egon von Greyerz (EvG) operates the largest private gold vault in the world in Switzerland. More than a year and a half ago, EvG warned here on USAWatchdog.com that “risk is exponential and unmeasurable” because of the estimated two quadrillion of derivatives and debt in the global financial system. He also warned that “at some point, all hell will break loose.” Looks like hell has indeed broken loose because of the China virus, and now EvG contends, “The system is bankrupt. . . . The system is broken and bankrupt. This did not start now with the Coronavirus. It didn’t start in August and September (of 2019) when central banks said we would do everything we can with the Fed QE, repos and the ECB (European Central Bank) QE. . . . This started a long time ago. The system was broken at the beginning of this century. The 2007-2009 crisis was the first signal that the financial system was not functioning. They threw $25 trillion at it in financing and guarantees, etc., but I always said 2007-2009 was a rehearsal. We are now approaching, sadly, the real thing. This is the end of a two to three hundred year cycle. So, we are going to see some extremely difficult times. The Corona virus is a horrible catalyst, but that is all it is. It’s not the reason for the problem. The reason for the problem is a broken financial system . . . and now we are starting the final stage of the end of this financial system.”

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

MASSIVE SURGE IN PHYSICAL SILVER BUYING: Totally Distorted & Broken Markets

MASSIVE SURGE IN PHYSICAL SILVER BUYING: Totally Distorted & Broken Markets

The world economic and financial markets have entered into a crippling cannibalization of the system in which few are prepared.  While the politicians, financial analysts, and media are providing optimistic forecasts for the future, they continue to underestimate the seriousness of the global contagion.  Thus, after a week or two, these forecasts will be revised lower (once again) to reflect a more gloomy, negative and more realistic outlook.

So, in another a few weeks, the world as it pertains to this contagion will look a lot worse than it does today.  I’d imagine the Dow Jones Index will likely shed another 5-8,000+ points during this period. Also, the global supply chain disruptions will kick into high gear as month-long lockdowns in various countries finally impact manufacturers and retailers across the world.

I haven’t put out too many new updates and articles over the past few weeks.  Rather, I decided to take a step back to research and watch as this global contagion continued to unfold.  However, I will be putting out more updates, videos, and articles over the next month as I believe most people are still unprepared for what’s coming.

Although, I have been a bit busy on Twitter recently.  You can follow my TWEETS and REPLIES on Twitter here: SRSRocco Report Twitter Feed.  When I posted this Tweet on March 15th, the price of oil was $31.  I stated that the price would likely fall to $29 the next day… and it did. The relevant sentence in the tweet below is… WE DON’T COME BACK FROM THIS ONE.

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

The Demise of the Financial System is Imminent

THE DEMISE OF THE FINANCIAL SYSTEM IS IMMINENT

“Next five years is not about winning but surviving.” This is the headline of an article I wrote in early August 2019. At that point I was primarily thinking of economic survival. But now the world is facing multiple threats and multiple failures. As I have already stated, the Coronavirus is not the cause of global market crashes but the catalyst.

But even if I have been totally certain that the world will see an economic collapse greater than any crisis for 100s of years, this is the worst catalyst that anyone could have expected. Yes, a global virus was always one of the potential risks but of all triggers, this one was certainly the most unwelcome and horrible.

CORONAVIRUS IS FAR MORE SERIOUS THAN THE WORLD REALISES

Before I talk about markets and gold further on in this article, I will mention some of the horrific effects that are now hitting the world due to Coronavirus. Just to summarise that my market views haven’t changed. Stocks will go down by at least 90% from here and gold will surge to levels that few can imagine.

No one knows the extent of people affected by the CV. China has never given us the real figures. And the rest of the world hasn’t got a clue where they stand. Every country thinks they are in control of the situation until they panic. Outside of Asia, poor Italy got it first and there we have seen an exponential growth of the number of people affected. And still, in Italy like in most other countries, they haven’t got a clue how many people have been infected.

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

Fed Chairman Confirms Fed’s Role As The Great Enabler

Fed Chairman Confirms Fed’s Role As The Great Enabler 

As questions swirl about the Fed’s independence Fed Chair Powell has been busy trying to explain his reason for the  “emergency” 50bps rate cut. Regardless of what he says Fed Chair Powell has confirmed the Fed plans to continue its role as the great enabler. This means central banks across the globe can now lower their rates or do additional stimulus without damaging the delicate balance in the relationship in the value of one major currency to another. This is a delicate balance they have long held in check to stabilize the financial system and add credence to the myth no major currency can fail. 

At Best, The Fed Is Simply A Flawed Institution

Powell said,  “My colleagues and I took this action to help the U.S. economy keep strong in the face of new risks to the economic outlook.”

Whether Powell succumbed to pressure from the highly critical words of the President for not acting immediately or fear the coronavirus would take a toll on the economy is not clear. As Powell tried to explain his actions, many of us who pay attention to such things cried “Bullshit.” Not only is a rate cut uncalled for at this time, but because it will also do little to strengthen the economy. What it will do is continue to prop up asset prices and encourage risk-taking and malinvestment. This is a big deal and may even result in more negative interest rates across the world which could create greater problems.

In the Austrian business cycle theory, malinvestments are badly allocated business investments, due to the artificially low cost of credit and an unsustainable increase in the money supply. 

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

The Multipolar Alliance Induces Rumpelstiltskin’s Self-Destruction

The Multipolar Alliance Induces Rumpelstiltskin’s Self-Destruction 

There are several versions of the old German folk tale of Rumpelstiltskin. The story begins with greedy king who is told by a foolish old miller that a young girl (the miller’s daughter) had the ability to spin hay into gold. When the poor girl is locked into a tower with bales of straw, a loom and orders to transform it all into gold under threat of death, a magical imp appears out of thin air and they reach an agreement: He will use his magic to spin the hay into gold on the condition that the girl gives the imp her first born child. The greedy king is pleased with the wealth that appeared from thin air, and the daughter’s neck is saved. Sadly the day eventually arrives for her to give up a child, and the imp in sadistic glee responds to her pleading tears by giving her three chances annul the contract. All she has to do is guess his name. To make a long story short, his name is discovered and Rumpelstiltskin literally tears himself to pieces in a fit of mad rage.

I think this story exemplifies the self-cannibalization of the deep state over the past several years quite nicely.

It appeared for quite some time that the oligarchy managing the world’s financial system and military-intelligence community from above was able to do magic. If they wanted a nation overthrown, or a troublesome elected official killed, a mere snap of the fingers was all it took. Gold from straw? They could do that too! Just look at the mass of $1.5 quadrillion dollars of derivatives claims which appeared as though out of thin air in the mere space of 30 years!

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

The Cannibalization Of The Financial System Will Force Investors Into Silver

The Cannibalization Of The Financial System Will Force Investors Into Silver

Day in and day out, the global financial system continues to cannibalize itself.  Clear evidence of this points to the massive “Artificial” liquidity and asset purchase policy instituted by the Federal Reserve.  While financial analysts provided several theories why the Fed was forced to inject liquidity via the Repo Market and also purchase $60 billion a month in U.S. Treasuries, the real reason has to do with the falling quality of oil and its impact on the value of assets and collateral.

It’s really that simple.  However, there is no mention of it (energy) by any of the leading financial or precious metals analysts.  For example, in Alasdair Macleod’s recent Goldmoney.com article titled, How To Return To Sound Money, he states the following:

This article provides a template for an enduring sound money solution that will deliver economic progress while eliminating destructive credit cycles. It posits that a properly constructed gold and gold substitute monetary system, which also includes the removal of bank credit inflation as a means of providing investment capital, is the only way that lasting stability and prosperity can be achieved.

Alasdair Macleod, who I have a great deal of respect, doesn’t mention “Energy” once in his entire article suggesting that returning to sound money, through gold, is the only way for lasting stability and prosperity can be achieved. The majority of economic prosperity has come from the burning of oil, natural gas, and coal, not from gold or silver. The precious metals act as money, a store of value, or economic energy, but are not the ENERGY SOURCES themselves.  While this is self-evident, it is very important to understand.

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

Global Debt Is Up To $188,000,000,000,000 – This Is Officially The Biggest Debt Bubble The World Has Ever Seen

Global Debt Is Up To $188,000,000,000,000 – This Is Officially The Biggest Debt Bubble The World Has Ever Seen

The world is now 188 trillion dollars in debt, and that number continues to grow rapidly each year. It is a form of enslavement that is deeply insidious, because most of those living on the planet do not even understand how the system works, and even if they did most of them would have absolutely no hope of ever getting free from it. The borrower is the servant of the lender, and the global financial system is designed to funnel as much wealth to the top 0.1% as possible. Of course throughout human history there has always been slavery, and the primary motivation for having slaves is to extract an economic benefit from those that are enslaved. And even though most of us don’t like to think of ourselves as “slaves” today, the truth is that the global elite are extracting more wealth from all of us than ever before. So much of our labor is going to make them wealthy, and yet most people don’t even realize what is happening.

Let’s start with a very simple example to help illustrate this.

When you go into credit card debt and you only make small payments each month, you can easily end up paying back more than double the amount of money that you originally borrowed.

So where does all that money go?

Well, of course it goes to the financial institution that you got your credit card from, and in turn that financial institution is owned by the global elite.

In essence, you willingly became a debt slave when you chose to go into credit card debt, and the hard work that it took to earn enough money to pay back that debt with interest ended up enriching others.

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

Crashing The Financial System For Fun And Profit

Crashing The Financial System For Fun And Profit

Huge Fortunes Can Be Made In Falling Markets

It would be wise to remember we are in uncharted waters and this market could reverse on a dime. The stories flowing out of companies such as WeWork that are burning through cash screams danger ahead! This means we should not discount the idea that those in charge might reach a tipping point where they crash the financial system for fun and profit. While this may seem outlandish the possibility is real. This doesn’t mean that every rich guy and gal would sign on to this plan, just enough to push things over the edge. When things have gone too far in one direction history shows that a correction always takes place. It could be argued we have reached that point and true price discovery has been lost.

A huge amount of money can be made during a market crash for those properly positioned. As long as the Fed and the big banks survive those who control these institutions couldn’t care less about how the 99.5% at the bottom fair. In fact, the Dodd-Frank Act which is over 2,300 pages allows this under Title II what is viewed by many as a “bank bail-in”. This is done by imposing the losses of insolvent financial companies on their common and preferred stockholders, debt holders, and other unsecured creditors including depositors.

The whole event of a “bank bail-in” can be viewed as another way to disguise a massive default and it can happen here in America. An example of just how delusional we have become as to the fragility of our financial system is that many people have taken comfort in the efforts to control the banking sector through the Dodd-Frank act following the 2008 crisis. 

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

Financial Storm Clouds Gather

Financial Storm Clouds Gather

The price of this “solution”–the undermining of the financial system–will eventually be paid in full.

The financial storm clouds are gathering, and no, I’m not talking about impeachment or the Fed and repo troubles–I’m talking about much more serious structural issues, issues that cannot possibly be fixed within the existing financial system.

Yes, I’m talking about the cost structure of our society: earned income has stagnated while costs have soared, and households have filled the widening gap with debt they cannot afford to service once the long-delayed recession grabs the economy by the throat.

Everywhere we look, we find households, enterprises and local governments barely able to keep their heads above water–in the longest expansion in recent history. This is as good as it gets, and we’re only able to pay our bills by borrowing more, draining rainy-day funds or playing accounting tricks.

So what happens when earned income and tax revenues sag? Households, enterprises and local governments will be unable to pay their bills, and borrowing more will become difficult as the financial markets awaken to the re-emergence of risk: as shocking as it may be in the era of Central Bank Omnipotence, borrowers can still default and lenders can be destroyed by the resulting losses.

The era of Central Bank Omnipotence has been characterized by two things:

1. A disconnect between risk and return. Since “central banks have our backs,” risk has been vanquished, and since central banks socialize losses by bailing out corporations and banks who gambled and lost, then the financial Oligarchs have been free to ignore risk since the Federal Reserve has implicitly guaranteed returns will always be secured by Fed backstops, market interventions, etc.

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

US Threatens Europe With “Loss Of Access To US Financial System” Over SWIFT-Evading Iran SPV

US Threatens Europe With “Loss Of Access To US Financial System” Over SWIFT-Evading Iran SPV

It’s going from bad to worse for Europe, whose currency had just hit session lows after Brussels confirmed that Italy faces a massive fine over its debt, when the Euro was hit with a double whammy after Bloomberg reported that the Trump administration is escalating its battle with “European allies” over the fate of the Iran nuclear accord, and is “threatening penalties against the financial body created by Germany, the U.K. and France to shield trade with the Islamic Republic from U.S. sanctions.

According to Bloomberg, the Treasury Department’s undersecretary for terrorism and financial intelligence, Sigal Mandelker, sent a letter on May 7 warning that Instex, the European SPV to sustain trade with Tehran, and anyone associated with it could be barred from the U.S. financial system if it goes into effect.

As a reminder, last September, in order to maintain a financial relationship with Iran that can not be vetoed by the US, Europe unveiled a “Special Purpose Vehicle” to bypass SWIFT. Back then we predicted that Washington would not be too delighted with this development seeking to undermine the dollar’s reserve status. We were right.

EU foreign policy chief Federica Mogherini alongside Iranian Foreign Minister Mohammad Javad Zarif

“I urge you to carefully consider the potential sanctions exposure of Instex,” Mandelker wrote in the letter to Instex President Per Fischer. “Engaging in activities that run afoul of U.S. sanctions can result in severe consequences, including a loss of access to the U.S. financial system.”

Germany, France and the U.K. finalized the Instex system in January, allowing companies to trade with Iran without the use of U.S. dollars or American banks, allowing them to get around wide-ranging U.S. sanctions that were imposed after the Trump administration abandoned the 2015 Iran nuclear deal last year.

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

Gold & Silver Will Survive Whole System Burning Down – Bill Holter

Gold & Silver Will Survive Whole System Burning Down – Bill Holter

Financial writer and precious metals expert Bill Holter is “not worried at all” about the current price smash down for precious metals. Holter says, “We live in a world where all liabilities are more than all liabilities in history. This whole system is going to come down. . . . If you see a house burn down, the only thing left is the foundation. That’s the only thing left because the foundation doesn’t burn. That’s what gold and silver are, and that’s what’s going to be left when this house of financial cards burns down.”

Why are dark powers intentionally driving metal prices down? It’s all part of a very simple thought control message. Holter explains, “Basically, it’s so the people believe that gold is bad and the dollar is good. It’s basically to support the dollar, and also thus support the Treasury market. . . . This has to have an official backing to it. It could not be done if they were not given a pass. This would not be going on if there was true rule of law. . . . We don’t have free markets. There are no markets. All markets are rigged. . . . Markets should be panicking that we are moving towards hyperinflation. All markets are locked down, and they are locked down by derivatives. . . . In 2008, there were $1.4 quadrillion in derivatives. How is it possible that derivatives are larger than the system as a whole? The answer to that is because derivatives have become the system. Derivatives are what price the system. You are basically putting up one cent to control $1. So, it’s easy to put the price of something where you want it to be.”

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

The True Size Of The U.S. National Debt, Including Unfunded Liabilities, Is 222 Trillion Dollars

The True Size Of The U.S. National Debt, Including Unfunded Liabilities, Is 222 Trillion Dollars

The United States is on a path to financial ruin, and everyone can see what is happening, but nobody can seem to come up with a way to stop it.  According to the U.S. Treasury, the federal government is currently 22 trillion dollars in debt, and that represents the single largest debt in the history of the planet.  Over the past decade, we have been adding to that debt at a rate of about 1.1 trillion dollars a year, and we will add more than a trillion dollars to that total once again this year.  But when you add in our unfunded liabilities, our long-term financial outlook as a nation looks downright apocalyptic.  According to Boston University economics professor Laurence Kotlikoff, the U.S. is currently facing 200 trillion dollars in unfunded liabilities, and when you add that number to our 22 trillion dollar debt, you get a grand total of 222 trillion dollars.

Of course we are never going to pay back all of this debt.

The truth is that we are just going to keep accumulating more debt until the system completely and utterly collapses.

And even though the federal government is the biggest offender, there are also others to blame for the mess that we find ourselves in.  State and local governments are more than 3 trillion dollars in debt, corporate debt has more than doubled since the last financial crisis, and U.S. consumers are more than 13 trillion dollars in debt.

When you add it all together, the total amount of debt in our society is well above 300 percent of GDP, and it keeps rising with each passing year.

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

How Individuals Can Reset The Financial System

How Individuals Can Reset The Financial System

We have often heard the predictions that the currency system will be reset at some point when the bankers can no longer keep the current ponzi scheme going. The current scheme involves the ability of the bankers to convince the population that pieces of paper rolling off a machine or digits created on a computer screen are real wealth. The education system has been successful in that regard. 

Very few people actually understand what real wealth is or anything about economics. They have been led to believe that these things are too complicated for them to understand and it should be left to the experts. These same experts get richer as everyone else gets poorer. That is the way they have rigged the system. 

Resetting the system and taking these con artists out of the loop can be as easy as refusing to accept paper or electronic money and only accepting gold and silver for payments. This sounds crazy on the surface but it is not impossible to do and it must be done before they can transition completely into electronic payment systems. Once they transition into electronic payments they will be able to control everything you do and buy. 

If they do not want you to own guns or ammo they can simply ban all of these types of transactions. If they do not want you to buy gold or silver they can ban those transactions. If they do not want you to stockpile food they can limit how much you buy from week to week. With no way to buy outside of the electronic system, you will be totally under their control even more than you are now. 

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

Total Planetary Collapse: The World’s Vertebrate Population Has Fallen By An Average Of 60 Percent Since 1970

Total Planetary Collapse: The World’s Vertebrate Population Has Fallen By An Average Of 60 Percent Since 1970

The clock is ticking for humanity, and it is not just because our financial system is heading for the biggest implosion that any of us have ever seen.  The truth is that we are literally running out of everything.  We will not have enough oil to meet our energy needs long before we get to the end of this century.  The lack of fresh water is already a major crisis in many parts of the world.  Our air and our soil are more polluted than they have ever been before.  And at this point we can barely feed the entire planet, but global demand for food is expected to escalate dramatically in the years ahead.  If we continue doing things the way that we have been doing them, a future filled with famine, civil unrest, environmental chaos and war appears to be inevitable.  We are literally on the verge of total planetary collapse, but because this is happening in slow-motion most people don’t feel an urgency to do anything about it.

And to a certain extent, the damage has already been done.  This week, the WWF released a report which found that the vertebrate population of the world has fallen by an average of 60 percent since 1970.  the following comes from NBC News

The population of the planet’s vertebrates has dropped an average of 60 percent since 1970, according to a report by the WWF conservation organization.

The most striking decline in vertebrate population was in the tropics in South and Central America, with an 89 percent loss compared to 1970. Freshwater species have also significantly fallen — down 83 percent in that period.

You may be thinking that you are not a big fan of the WWF, and I certainly am not either.

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

Olduvai IV: Courage
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Olduvai II: Exodus
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