Home » Posts tagged 'usa watchdog'

Tag Archives: usa watchdog

Olduvai
Click on image to purchase

Olduvai III: Catacylsm
Click on image to purchase

Post categories

Economy Still Falling Off a Cliff – John Williams

Economy Still Falling Off a Cliff – John Williams

Economist John Williams says don’t put too much faith in the good employment numbers that came out last week because “It’s not as happy of a picture as it looks.” Williams is the founder of ShadowStats.com. His calculations strip out government accounting gimmicks to give a more accurate picture of economic data. Williams explains, “What the Fed has done with their easing, according to the Fed, is they created a circumstance of sustainable moderate economic growth. So, they don’t need to cut rates anymore. That’s nonsense. You don’t have sustainable moderate growth. For example, look at this last month, industrial production is in a state of collapse. . . . Manufacturing is negative. . . . Oil production is collapsing year to year as oil and gas exploration has plunged. . . . Retail sales have been overstated in employment . . . . That’s going to be revised lower. . . . We have been getting better numbers as of late, and the economy is still falling off a cliff.”

Maybe that explains the Fed’s panic moves with $60 billion a month QE, which it says is not QE, and extreme intervention in the repo market where the Fed routinely pumps out tens of billions of dollars in liquidly a night. Williams says, “The system is not stable, and it probably is insolvent. They blew the system back in 2007. They gave up on the domestic economy to save the banking system. . . . They spent all their resources propping up the banks, and they are still doing the same thing, and it’s still costing us in terms of economic growth.”

So, the Fed is pumping out billions of dollars every month, and yet, the economy keeps sinking. What does this tell Williams? “The system is not operating properly. These are stopgap measures, stopgap liquidity that the Fed is putting into the system.

Economy Still Falling Off a Cliff – John Williams

Fed Out of Bailout Bullets – Rick Ackerman

Fed Out of Bailout Bullets – Rick Ackerman

Financial writer and professional trader Rick Ackerman says don’t expect a replay of the 2008-2009 financial crisis where the Federal Reserve bailed out almost everything in sight. Ackerman explains, “It ended up Lehman Brothers went under, and they needed a couple of sacrificial lambs, along with Bear Stearns. It could have just as easily been, and it might be the next time, Goldman Sachs. So, in that way, the Fed is kind of out of bailout bullets. We’ve already been through a bailout where it took a big hunk of the financial system. Each one takes more bailing out to get to that critical threshold of credibility where the bailout itself works.”

Ackerman sees bailout needs everywhere and gives the example of underwater state pensions across the country. Ackerman points out, “If you take just one piece of what they are going to have to bail out, which is going to start with the State of Illinois, which is probably going to be the first state that is going to collapse. It will renege on its pension obligations. So, if you picture the federal government riding to the rescue, the minute they bail out the Illinois pension system, California is there, along with New Jersey, Kentucky and a lot of other states, maybe 19 or 20 of them that have pension systems almost as insolvent as Illinois. . . . This means they are going to have to mail out checks to Illinois and then expand it to California, and all the other states that go under is to court hyperinflation. Of course, hyperinflation, in that sense, you can see where it has to collapse into deflation because . . .

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

Fed Fears Next Crash Fatal – John Rubino

Fed Fears Next Crash Fatal – John Rubino

Financial writer and book author John Rubino says he can see the end of the economic expansion fueled by massive debt creation. Rubino explains, “Every sector of the U.S. economy is so over indebted I don’t see how we go on much longer. The Fed is desperately trying to prolong this thing. We are running trillion dollar deficits now, and what that is for is to keep the system from falling apart. We are 11 years into an expansion, a record. This is the longest bull market in history, and this is the longest economic expansion in history. . . . These guys don’t know exactly what’s going to happen in the next recession, but they are afraid that the system is so highly leveraged that even a garden variety three quarters of a percent of negative growth and a garden variety of 20 % drop in stock prices might be fatal. The system might not be able to handle that because it would cause so much damage and there are so many different places that can blow up that the system would spin out of control. We would get 2008-2009 again but on steroids because the numbers are so much bigger this time around. So, they want to avoid that at all costs.”

Rubino points out, “Fear is the enemy in a fiat currency system. Everything is based on our assumption that the guys in charge know what they are doing and that the confidence in them is good. You take that away, and they let us see them sweat, and it’s over. There is no real bottom for the dollar, euro or the yen. Their intrinsic value is zero.

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

Bankers Going for Broke Because They Know it’s Broke – G. Edward Griffin

Bankers Going for Broke Because They Know it’s Broke – G. Edward Griffin

Edward Griffin, author of the wildly popular book about the Federal Reserve “The Creature from Jekyll Island,” is holding a conference this weekend called “Red Pill Expo.” It is all about waking people up from the illusions they are being told. Griffin explains, “The illusions are in health, in politics and in education. The illusions are in the media, in money and in banking, which is my specialty. So, people are coming, some of whom are informed, but most respond to the slogan we are using for the “Red Pill Expo,” and the slogan is ‘Because you know something is wrong.’ That sort of spells it out for most people, not just in America, but for people all over the world. People everywhere are being fed propaganda, lies and false stimuli of all kinds, but deep in their hearts, deep in their instincts, they know something is wrong.”

What’s wrong in the financial world with the longest expansion in history and the Fed starting QE (money printing) again? Griffin says, “We are living in a system of the banks, by the banks and for the banks, and that is the reality. . . . They see that the wheels are coming off. . . . The system of inflation in which we live cannot go on forever. . . . All systems of exponential growth always collapse. They come to an end at some point, and it’s hard to tell exactly at what point, but you do know there is a breaking point where it just moves beyond reality. The banks know this better than anybody. So, I am assuming that they feel they are at the end. You can smell it. You can see it. You can touch it almost.

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

MSM Co-conspirators with Deep State Treason – James Howard Kunstler

MSM Co-conspirators with Deep State Treason – James Howard Kunstler

Renowned author and journalist James Howard Kunstler thinks what has been happening for the last few years with the mainstream media’s coverage of President Trump borders on criminal activity. Kunstler explains, “What I am waiting for is if and when indictments come down from Mr. Barr and Mr. Durham.  I am wondering whether the editors and publishers of the Washington Post and New York Times and the producers at CNN and MSNBC are going to be named as unindicted co-conspirators in this effort to gaslight the country and really stage a coup to remove the President and to nullify the 2016 election. I say this as someone who is not necessarily a Trump supporter. I didn’t vote for the guy. I am not a cheerleader for the guy, but basically, I think the behavior of his antagonists has been much worse and much more dangerous for the nation and the American project as a long term matter.  I really need to see some action to hold people responsible for the acts they have committed. . . . I am not an attorney, and I have never worked for the Department of Justice, but it seems to me that by naming the publishers and editors of these companies as unindicted co-conspirators, that allows you to avoid the appearance of trying to shut down the press because you are not going to put them in jail, but you are going  to put them in disrepute. That may prompt their boards of directors to fire a few people and maybe change the way they do business at these places.”

Kunstler says things look unlike anything we have seen in the past because we are approaching a day of reckoning in our debt based monetary system.

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

Fed Panics & Starts Massive Money Printing – Michael Pento

Fed Panics & Starts Massive Money Printing – Michael Pento

Economist and money manager Michael Pento says the recent Federal Reserve about face in policy with cutting rates and new QE (money printing) means only one thing. Pento explains, “So, the Fed changed their mind, panicked, the Fed panicked. They not only stopped raising rates, they now cut rates twice, and they are going to cut rates again at the end of this month. They are also fully back in a massive QE. They have a $130 billion revolving repo facility shoving $130 billion every night, rolling it over, trying to re-liquefy the banking system and back into QE–$60 billion per month. At the peak, it was $85 billion. So, they are almost back to the peak of QE (during the Great Recession). They did not scale in, the Fed went to $60 billion right away.”

Why the sudden burst of money printing when we are being told the economy is fine? Pento says the Fed is panicking to stop a “depression.” That’s right, a depression. Pento contends, “I am on record saying given the extent of the asset bubbles that we have today . . . household debt is at a record high. Corporate debt is at a record high, up 60%. The national debt was $9 trillion prior to the Great Recession and is now $23 trillion. Total non-financial debt is now $53 trillion, and it was $33 trillion prior to the Great Recession. . . . Given all these imbalances and deformations, the Fed knows we are not going to have some mild recession. If they don’t re-liquefy the money markets, the same thing that happened back in 2008 would happen today, only the stock market was only a 100% of GDP and today it is 150% or one and a half times the economy.

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

Civil War Cycle Heating up in America – Charles Nenner (#2)

Civil War Cycle Heating up in America – Charles Nenner (#2)

Renowned geopolitical and financial cycle expert Charles Nenner thinks the probability for war and civil unrest is coming around in an intense cycle not seen for decades. Nenner says, “Years ago when we talked about my war cycles, I said I am more worried about internal social war in the United States than outside wars. I think there is a bigger chance in the United States than in Europe. They say it’s Trump’s fault . . . . I say it’s the other way around. If the Democrats would just get things organized and people would not get that angry. . . . The media will always take the other side, so they will never solve it. I think it is the Democrats whose fault it is that all these killings are there and not the Republicans. . . . So, there is a cycle of social unrest in the United States, which is 60 years old. So, you go back to what happened in the 1960’s. It could explode, and I think it is going to explode, and there is going to be a major problem. . . . I don’t know how bad it is going to be, but based on cycles, it has to be worse than the 1960’s. Each cycle always is worse. . . . WWII was worse than WWI, so every cycle becomes worse than the first cycle. . . . I don’t feel comfortable living in the United States anymore because people are so aggressive on everything. I went to the airport and I asked where the men’s room was, and they almost killed me. They said there was no men’s room. It’s called a ‘people room.’ I said I was sorry, you don’t have to be so aggressive.”

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

Cheap Money Not Going to Work Anymore – Charles Nenner (#1)

Cheap Money Not Going to Work Anymore – Charles Nenner (#1)

Renowned geopolitical and financial cycle expert Charles Nenner says forget what the mainstream financial channels are saying about more Fed easy money policies pushing the markets higher. Nenner explains, “The clever institutions I work with were selling all the time when the S&P was around 3,000, and the small investor and public were buying, buying and buying. The clever money was so happy then . . . . The small investor buys and all the time they (clever money) get a chance to sell, sell and sell until they are finished selling. Then, suddenly something happens. Then the small investor who holds the cash and he’s in a crisis, and here we go down. I always stress to the small investor, understand how this game works. Day before yesterday, the Dow was down 1,000 (inter-day). I heard one person say maybe you should sell. It’s always buy, buy, buy. They don’t do anybody any favors because there are so many losses. I never hear CNBC say sell, sell, sell. So, it’s a crooked game.”

What does he say to people waiting for the Fed to drive markets back up with easy money? Nenner says, “We are finished with the cheap money. It’s not going to work anymore. That’s what the big investors understand. Even if we have 0% rates, it’s not going to keep this economy going. They cannot keep it going anymore.”

Last time Nenner was on USAWatchdog.com, he said “gold was going up” and “interest rates were going to continue to fall.” He was correct and says those two trends are going to continue. Nenner says, “We are in a new bull market in gold, and the price is headed to at least $2,500 per ounce. . . .

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

Inflation Chickens Will Come Home to Roost – Peter Schiff

Inflation Chickens Will Come Home to Roost – Peter Schiff

Money manager Peter Schiff says all the money printing and debt explosion since the Great Recession comes with a huge downside. Schiff says, “All sorts of bad policies basically took place thanks to the monetary excesses applied by the world central banks, but now we are at a point where all these inflation chickens are going to come home to roost. It will not be in stock prices or real estate prices or bond prices, but in good old fashion consumer prices. Food, energy and all the things that we need to live are going to get a lot more expensive.”

Schiff says the Fed is overlooking some big problems coming. Schiff says, “They (Fed) did not stress an environment where we have more inflation or where we have stagflation, where we not only have a rise in unemployment and a recession, but consumer prices and long term interest rates that go up at the same time. They (Fed) are not even thinking that’s possible, but that’s actually probable. The real problem is when real inflation rears its head, there is nothing the central bankers can do about it. If they try to fight the inflation by tightening up on monetary policy, it’s like slamming on the brakes. They are going to have to jack interest rates very high, and everything is going to start imploding. The whole credit bubble is going to collapse. We are going to see stock markets tumble. Bonds are going to go into default. There will be bankruptcies, layoffs, bank failures and the governments will have to start defaulting on their obligations and payments on social programs, or even interest on principal.

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

If Deutsche Bank Breaks $6.40 World in Trouble – Charles Nenner

If Deutsche Bank Breaks $6.40 World in Trouble – Charles Nenner

Renowned geopolitical and financial cycle expert Charles Nenner says if there was ever a global canary in the coal mine warning for the financial system, it is Germany’s Deutsche Bank (DB). Late last year, Nenner predicted if DB stock went below $8 a share, “You should be worried.” Recently, DB stock hit all-time lows and now sits around the $7.50 per share level.

Nenner warns, “I see it can hold up to late July, and then it can go to $6.50 (per share). If it breaks below $6.40, it can go out of business. So, it’s a very serious situation. . . . I think all the markets can have a bounce in a couple of days to the end of July. That’s why DB might hold up, but if it gets below $6.40, the world is in trouble.”

This is not a hyped prediction considering the IMF called DB the “most systemically dangerous bank” in the world in 2016. If DB does break $6.40, do we get a daisy chain of default around the world? Nenner says, “It is a very dangerous situation. I don’t think DB is the only one. They just got caught. I think if you look at the balance sheets very closely of other banks, especially Europe and Italian banks, you will see a lot of troubling signs also. I don’t think it’s only Deutsche Bank. It’s much more. . . . If it breaks $6.40, the downside price target is zero. If everybody watches my analysis and it does go below $6.40, everybody is going to run for the exits.”

If DB goes under with its massive book of derivatives, other banks would be in the same trouble as DB. Nenner says, “Yes, if they have to close their derivatives, who knows which bank is going to lose how much? It’s going to be a big problem.”

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

Artificial & Fragile Market Very Dangerous – Michael Pento

Artificial & Fragile Market Very Dangerous – Michael Pento

By Greg Hunter’s USAWatchdog.com

Money manager Michael Pento says don’t confuse a near record high stock market with strength and resiliency. What we have is just the opposite, as Pento explains, “There are some people who will listen to this and say, ‘Hey Mr. Pento, why are you such a Cassandra? Why are you so down? Don’t you know that the stock market is doing great? Don’t you know that I have a job?’ But here’s the thing, the entire edifice, the entire construct is artificial. It is controlled by governments and central banks. Hence, it is much more fragile, infinitely more fragile than if it was dictated by the free market. . . . This has to end badly because the distortions have to be reconciled. It was once okay to have recessions and corrections in the stock market when the stock market was not the economy, but asset prices have become the economy. Therefore, they lead the economy and they don’t follow the economy. Yes, this is going to end badly I am sorry to say.”

What will knock this market back to reality? Pento says, “You will eventually get a recession or eventually you will get inflation. You might just get both. You might just get a huge case of stagflation to hit this country and around the world. That’s what I am most afraid of.”

In closing, Pento warns, “Japan has no growth. There is no growth in Germany. There is no growth in Italy. We have an earnings recession here in the United States. So, what you have engendered here is most likely a protracted period of stagflation, which is going to lead to an epic and massive crash in asset prices. That’s what you have at your feet, so be careful.”

 …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…

What’s Cheap? Gold and Silver – John Rubino

What’s Cheap? Gold and Silver – John Rubino

Unemployment is near 3% and President Trump is calling for rate cuts and quantitative easing. Is the economy doing well or getting ready to tank? Financial writer John Rubino says, “We went from being at all-time highs to down 20% in sort of a flash crash in two months towards the end of last year. That told the Fed and the other central banks that they can never tighten again. This is it for this cycle and for the entire remaining time of today’s financial system for higher interest rates. They abruptly announced to never mind about those four rate hikes that were going to happen in 2019. We (the Fed) are not going to do anything. If we do anything, it will be in the opposite direction and cut interest rates and a new round of QE, etcetera and etcetera. The stock market went right back up to record levels. . . . The end part of this story is how good all this is for gold. . . . The next thing from the Fed will be a rate cut, and it will increase and not decrease its balance sheet. . . . We are going to go preemptively to monetary easing, and that’s really new. This is very, very new. You normally don’t do this. You wait until you see a bear market and a slowdown in the economy that gets people laid off before you start aggressively easing. Apparently, we are going to do that stuff before that stuff starts happening. Who knows what the impact of that will be? If it works the way they want, more people will get hired, wages will pick up and we’ll have inflation in the 4% or 5% range before you know it.”

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

Fed Can’t Get Out – Buy Gold Now – Jim Rickards

Fed Can’t Get Out – Buy Gold Now – Jim Rickards

Four time best-selling author Jim Rickards says the Fed “throwing in the towel” on rate hikes is signaling a big problem for the economy. Rickards says, “The Fed was tightening to get ready for the next recession. . . . You need to cut interest rates somewhere between 4% and 5% to get out of a recession. How do you cut interest rates 4% if you are only at 2.25%? The answer is you can’t. You have to get to 4% before you can cut 4%, and that’s what the Fed was trying to do. . . . How do you raise rates in weakness to get ready for the next recession without causing the next recession that you are preparing to cure? That was the conundrum. I never thought they would get it right . . . and, as of now, it looks like they didn’t get it right. Meaning, they tightened so much to get ready for the next recession they slowed the economy.”

Rickards says, “Bernanke painted them into a corner, and they can’t get out. There is no escape from the room. By the way, one of the reasons gold is preforming so well, the Fed has proved that they can’t get out of this. They got into it, but they can’t get out of it because every time they try, they sink the stock market. They sink the housing market. They raise the specter of recession. They slow economic growth. They don’t want that. So, they sort of pause and maybe tiptoe back into it, but they really can’t get out of it.”

On gold, Rickards says, “People always say there is not enough gold to support commerce and trade and the money supply. I always remind them that is nonsense.

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

Intractable Inflation Very Dangerous New Paradigm – Michael Pento

Intractable Inflation Very Dangerous New Paradigm – Michael Pento

Money manager Michael Pento says get ready for big inflation. Pento explains, “When the emergency ended (from the 2008-2009 financial meltdown), they were going to reverse course, sell those assets back to the public and take those dollars out of the economy. . . . A funny thing happened on the way to doing that, the global economy imploded. So, here’s the point . . . the central banks have admitted, tacitly at least, they can never take away those assets. They can never drain their balance sheet, meaning they have permanently monetized this debt. Interest rates can never be allowed to rise above 0% in nominal terms and, in real terms, will grow more and more profoundly negative. That should shock investors. That is a moment of enlightenment, a watershed moment, an epiphany throughout the world. Hello investors, central banks are putting you on notice that nominal interest rates are going to be at 0% or below, and real interest rates will grow more and more negative throughout time. . . . If China cannot re-leverage its economy for explosive growth, and central banks are extremely fettered with their ability and means for which to stimulate economic growth immediately, I would be cautious about buying this rally, which I am. I think we are going to have one more sharp downturn in the equity market . . . and then, here’s the sad truth, you have to go massively long inflation hedges.”

This brings up top gold and silver for protection against the coming money printing and inflation. Pento explains, “These currencies will collapse against precious metals as they did in Rome. Prices will go a lot higher as they did in Rome. . . . When people lose faith in a currency’s purchasing power . . . this is why gold has had spectacular three month rally, and I expect it to continue after a little consolidation here. . . .

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

Olduvai IV: Courage
In progress...

Olduvai II: Exodus
Click on image to purchase