Excellent/Fantastic Interview with Ron Paul regarding Bailouts, Banks and the future of the US Dollar.
Thursday, January 22, 2009
Monday, January 19, 2009
Bailout Bait & Switch Video - CBSNews (01-09)
If there was ever proof that the federal government and the banking industry are working to protect the interest of each other, here it is.
Unemployment Rate Actually Near 14%
MSNBC Interview with Dan Gross regarding the real unemployment figure.
Credit Crunch: Second Rescue for U.K. Banks
British Bank Rescue Plan - $75 Billion Fund to Buy Bonds and Loans, Guarantees for Asset-Backed Debt, Direct Relief for Banks, More Lending by Northern Rock, and RBS Stake Raised to 70%; Rescue Will Cost at Least $150 Billion; U.K. Prime Minister Gordon B
Supporting Britain's Bank; Break-Ups And Billions In Loan Guarantees
Supporting Britain's Bank; Break-Ups And Billions In Loan Guarantees
Saturday, January 17, 2009
Latest from Lindsey Williams - the next 12 months
Hat Tip FOFOA:
I've posted up several articles in the past regarding Lindsey Williams( Link).
Summary: Lindsey is a well-connected Pastor who, back when Oil was $140 a barrel, accurately predicted that it would be crushed back to $50 a Barrel - through massive gvt manipulation - a successful attempt at waging economic warfare against Arab/OPEC countries who were becoming too strong.
Anyway, Lindsay Williams evidently did another radio interview recently - explaining what we can expect to see over the next 12 months - and this guy "Tom" over at HenryMakow.com wrote a very good post about it.
I'll extract some of the major highlights and then leave you a link to read it in its entirety (recommended).
Major Highlights:
1. The reason why the "elite" dropped the world price of oil down below $50.00 a barrel was to wage economic warfare against the Arab/ OPEC countries. "They" seek to bankrupt OPEC countries., especially the Iranians by cutting their revenues more than 75%. (Do you think that is why Mr. Chavez is so belligerent towards the USA?) Why would they do that? Because Iran and the other OPEC states are getting too strong and too wealthy. The Iranians are running an oil bourse, that effectively sidesteps the oil markets of New York and London. (My note. Even worse they are trading oil not for dollars but for other currencies such as the Euro. This is a direct threat to the western banking system.) According to Williams, this will not be allowed to continue. This is about control!! "What is happening today has been planned for years and there are other more nefarious motives, which will be outlined below.
2. The world reserve currency is the dollar and dollar denominated assets such as U.S. Treasury Debt. The Arabs have been recycling their petro dollars into U.S. Treasury debt for thirty five years. (My comment. The Arabs/OPEC have been financing our national debt. This is per agreement with the New York Banking establishment, and the U.S. Treasury. This arrangement has been part of the world order since the collapse of the Bretton Wood Agreement in 1971. This is now coming to an end.) Now that they are being bankrupted (intentionally) the OPEC/Arab states are no longer willing or able to buy Treasury Debt. Hence, the interest on the National Debt (which now exceeds 15 Trillion dollars?) is not being financed by foreign creditors. China, India and other Asian states are doing the same thing. "They are running from dollar denominated assets." Therefore, the Federal Reserve is now buying up all the Treasury Debt issued by the U.S. Treasury to cover the debt maintenance on the national debt. (My Comment: this is called monetization and it is highly inflationary.) (My note: to put this in perspective, the so-called bailout, which was really nothing but a heist without the guns, in the amount of 700 billion dollars, was actually in the amount of 8.5 trillion dollars. All of this sum represents more debt "created" by the Federal Reserve which is then added to the National Debt. In addition to being extremely inflationary, we will be paying interest ("tribute?") on this debt to the banksters in perpetuity.)
3. Gold and Oil generally move in tandem i.e., when oil goes up, so does gold. This has not been the case since the oil market collapsed. Gold has shown huge relative strength to the price of oil. Because of intense world wide demand and speculation the relationship between gold and oil will no longer continue. Gold will now move independently of oil.
4. This year, 2009, the USA will face total financial collapse. The dollar will also collapse in value, and it will take years for the U.S.A. to recover.
5. OPEC has been cutting production steadily but they cannot influence the supply of oil enough to affect the world price.
6. Pastor Lindsey said that the Papacy and the Jesuits had nothing to do with what was going on.
7. He said we have more than enough oil in the USA for our own needs, but the so-called "elite" as he calls them have no intention of EVER developing a major oil field in the continental U.S. or Alaska. "They" will not allow this country to become energy independent, and they intend to continue to keep us dependent on foreign oil sources. (My note: Dependency is another world for control.) Later he mentioned the field just disclosed by the USGS which is located in Montana and N. Dakota. (This I believe is the Bakken Field.) He said that it contains 320 billion barrels which is only 10% of the reserves. This oil is worth about 15 trillion dollars. (My note: in others words the 300 BB is the easy oil. It's the oil that will flow out of the ground under its own pressure. That means total reserves of this one field using secondary and tertiary recovery techniques are probably near three trillion barrels. To put that in perspective the Saudis have reserves of about 260 Billion barrels.) One of the senators from Montana has been screaming about this to Congress. He has been totally ignored by both Congress and the media.
8. Regarding Obama. "It did not matter who won the election." The handlers around Obama are, for the most part, members of the Council on Foreign Relations. "The elite." "The globalists." They are essentially the same people who ran the Clinton administration and both Bush Administrations. "There will be absolutely no change in either our domestic or foreign policy. (My note: the people who have looted this country will continue to loot this country.) Regarding economic policies "Obama" will be another Hoover." In other words Obama will follow orders and will take the fall for the economic calamity that is about to unfold. (My note: Obama is another feckless, empty suit, who was selected, trained, groomed, packaged and sold to a gullible, naive and lazy American public.)
9. Because of the tremendous cut in revenue to the Arab states (75%.) Dubai will become a "wasteland." Already they have suspended all construction on major buildings in Dubai. "There will be no change in the future. "
10. All of the Arab states are sliding into a depression. Their budget planning is based upon $80.00 oil, so they are cutting their expenditures dramatically----especially infrastructure and public works.
11. In addition to no longer buying our treasury debt, the Arab/OPEC states are now actively selling what treasury debt they hold. This is also occurring throughout Asia, especially China. This of course amounts to Trillions of dollars of Treasury debt etc. (My Note: if the Fed is now monitizing these debt instruments, which they must surely do since they are the buyer of last resort, this will also be highly inflationary.) The Arabs/OPEC/Asia are converting their dollars and dollar denominated assets to gold and other hard assets.
12. The long term goal of "these people" is to control and own everything. "They intend to break us." (My comment: Geeeez. I am confused. Here, all along, I have been told by the media that our enemies are in the Middle East.)
13. Gasoline will remain at approximately $1.50 per gallon for the next year to a year and half. This is killing the State government gas tax revenues. Total, state tax revenues are collapsing. Expect many states to go bankrupt----especially California.
14. "They" intend to control the world price of oil by dumping massive amounts of oil on the market to keep the price down. They intend to use, among other sources, an oil field in Indonesia that "they" just brought "on line." This field has reserves of more than 300 billion barrels. He also mentioned another field in northern Russia.
15. The ultimate objective is to "destroy the USA." At the same time "they" seek to consolidate control over all assets of any significance. "They" already own and control, the banks, and the media. (My note: Williams did not say, but obviously, they also control the oil industry.) "They" intend to gain control of the entire auto industry. According to Williams "why not buy the auto industry? All they need to do is create the credit in a computer entry." The takeover of the auto industry will happen when the time is right. They also seek control of all the real estate that is worth owning. According to pastor Williams, everyone is going to be paying rent by the time this thing is over. Again he emphasized that "After years of collapse they intend to own everything."
16. Russia is a major world power. Tensions will increase between the west and Russia. Look for a return of the cold war. (My note: he did not say it but I got the feeling that the Russians are not anxious to become part of the New World Order. Of course this oil price suppression is really hurting the Russians. They have had to devalue the Ruble seven times.)
17. "There will be no attack on Iran. There will no war with Iran." "The American people will not stand for it." They intend to accomplish their goal of destroying Iran by economic means. "They will accomplish their goal of destroying Iran without the need of another 911 false flag operation."
18. "Within six to nine months we will be into full blown hyper inflation." "Buy everything you need right NOW!!!!" "Prepare your dinner table NOW! It is going to be 1933 all over again."
19. "The nations of the world, especially China, are dumping U.S. currency and buying gold.
20. "The reason why it is getting so hard for people to buy gold is that "they" do not want people to be able to protect themselves." "They don't want people to have something that is REAL." (My note: it's hard to find any significant quantities of gold anywhere. Silver too!)
21. "They fear people buying gold because it is something "they" can NOT control. They feel that only they, the elite, should own gold.""They regard it as real money."
22. Their greatest fear is that the people will "wake up" from their slumber. "In fact they are terrified." They do not intend to impose martial law. They believe this would cause an armed revolution and that they do not want. Hmmmm. (I guess that is why the founders included the Second Amendment in the Constitution.) "A revolution means they could lose control."
23. "The American people are terrified of Obama." "The day after the election the gun shops in the USA were emptied by alarmed and frightened citizens." "Wal Mart reported that the day after the election their sales of ammunition went up by 400%. It was a record for ammunition sales in a twenty four hour period. (My note: this continued for several weeks after the election.) Evidently this behavior caused a great deal of alarm.
24. "They" have given up on implementing the North American Union and are "going all the way." The goal is total global control of everything. Global Government. Global bank. Global Currency. Etc. (My note: this NWO globalism business has always included a global army, and a global religion. I am sure we will be hearing more about global religion from "Americas pastor," Rick Warren)
Pastor Williams was asked what can we do? He made some suggestion which are not surprising. They are:
Link to full article
I've posted up several articles in the past regarding Lindsey Williams( Link).
Summary: Lindsey is a well-connected Pastor who, back when Oil was $140 a barrel, accurately predicted that it would be crushed back to $50 a Barrel - through massive gvt manipulation - a successful attempt at waging economic warfare against Arab/OPEC countries who were becoming too strong.
Anyway, Lindsay Williams evidently did another radio interview recently - explaining what we can expect to see over the next 12 months - and this guy "Tom" over at HenryMakow.com wrote a very good post about it.
I'll extract some of the major highlights and then leave you a link to read it in its entirety (recommended).
Major Highlights:
1. The reason why the "elite" dropped the world price of oil down below $50.00 a barrel was to wage economic warfare against the Arab/ OPEC countries. "They" seek to bankrupt OPEC countries., especially the Iranians by cutting their revenues more than 75%. (Do you think that is why Mr. Chavez is so belligerent towards the USA?) Why would they do that? Because Iran and the other OPEC states are getting too strong and too wealthy. The Iranians are running an oil bourse, that effectively sidesteps the oil markets of New York and London. (My note. Even worse they are trading oil not for dollars but for other currencies such as the Euro. This is a direct threat to the western banking system.) According to Williams, this will not be allowed to continue. This is about control!! "What is happening today has been planned for years and there are other more nefarious motives, which will be outlined below.
2. The world reserve currency is the dollar and dollar denominated assets such as U.S. Treasury Debt. The Arabs have been recycling their petro dollars into U.S. Treasury debt for thirty five years. (My comment. The Arabs/OPEC have been financing our national debt. This is per agreement with the New York Banking establishment, and the U.S. Treasury. This arrangement has been part of the world order since the collapse of the Bretton Wood Agreement in 1971. This is now coming to an end.) Now that they are being bankrupted (intentionally) the OPEC/Arab states are no longer willing or able to buy Treasury Debt. Hence, the interest on the National Debt (which now exceeds 15 Trillion dollars?) is not being financed by foreign creditors. China, India and other Asian states are doing the same thing. "They are running from dollar denominated assets." Therefore, the Federal Reserve is now buying up all the Treasury Debt issued by the U.S. Treasury to cover the debt maintenance on the national debt. (My Comment: this is called monetization and it is highly inflationary.) (My note: to put this in perspective, the so-called bailout, which was really nothing but a heist without the guns, in the amount of 700 billion dollars, was actually in the amount of 8.5 trillion dollars. All of this sum represents more debt "created" by the Federal Reserve which is then added to the National Debt. In addition to being extremely inflationary, we will be paying interest ("tribute?") on this debt to the banksters in perpetuity.)
3. Gold and Oil generally move in tandem i.e., when oil goes up, so does gold. This has not been the case since the oil market collapsed. Gold has shown huge relative strength to the price of oil. Because of intense world wide demand and speculation the relationship between gold and oil will no longer continue. Gold will now move independently of oil.
4. This year, 2009, the USA will face total financial collapse. The dollar will also collapse in value, and it will take years for the U.S.A. to recover.
5. OPEC has been cutting production steadily but they cannot influence the supply of oil enough to affect the world price.
6. Pastor Lindsey said that the Papacy and the Jesuits had nothing to do with what was going on.
7. He said we have more than enough oil in the USA for our own needs, but the so-called "elite" as he calls them have no intention of EVER developing a major oil field in the continental U.S. or Alaska. "They" will not allow this country to become energy independent, and they intend to continue to keep us dependent on foreign oil sources. (My note: Dependency is another world for control.) Later he mentioned the field just disclosed by the USGS which is located in Montana and N. Dakota. (This I believe is the Bakken Field.) He said that it contains 320 billion barrels which is only 10% of the reserves. This oil is worth about 15 trillion dollars. (My note: in others words the 300 BB is the easy oil. It's the oil that will flow out of the ground under its own pressure. That means total reserves of this one field using secondary and tertiary recovery techniques are probably near three trillion barrels. To put that in perspective the Saudis have reserves of about 260 Billion barrels.) One of the senators from Montana has been screaming about this to Congress. He has been totally ignored by both Congress and the media.
8. Regarding Obama. "It did not matter who won the election." The handlers around Obama are, for the most part, members of the Council on Foreign Relations. "The elite." "The globalists." They are essentially the same people who ran the Clinton administration and both Bush Administrations. "There will be absolutely no change in either our domestic or foreign policy. (My note: the people who have looted this country will continue to loot this country.) Regarding economic policies "Obama" will be another Hoover." In other words Obama will follow orders and will take the fall for the economic calamity that is about to unfold. (My note: Obama is another feckless, empty suit, who was selected, trained, groomed, packaged and sold to a gullible, naive and lazy American public.)
9. Because of the tremendous cut in revenue to the Arab states (75%.) Dubai will become a "wasteland." Already they have suspended all construction on major buildings in Dubai. "There will be no change in the future. "
10. All of the Arab states are sliding into a depression. Their budget planning is based upon $80.00 oil, so they are cutting their expenditures dramatically----especially infrastructure and public works.
11. In addition to no longer buying our treasury debt, the Arab/OPEC states are now actively selling what treasury debt they hold. This is also occurring throughout Asia, especially China. This of course amounts to Trillions of dollars of Treasury debt etc. (My Note: if the Fed is now monitizing these debt instruments, which they must surely do since they are the buyer of last resort, this will also be highly inflationary.) The Arabs/OPEC/Asia are converting their dollars and dollar denominated assets to gold and other hard assets.
12. The long term goal of "these people" is to control and own everything. "They intend to break us." (My comment: Geeeez. I am confused. Here, all along, I have been told by the media that our enemies are in the Middle East.)
13. Gasoline will remain at approximately $1.50 per gallon for the next year to a year and half. This is killing the State government gas tax revenues. Total, state tax revenues are collapsing. Expect many states to go bankrupt----especially California.
14. "They" intend to control the world price of oil by dumping massive amounts of oil on the market to keep the price down. They intend to use, among other sources, an oil field in Indonesia that "they" just brought "on line." This field has reserves of more than 300 billion barrels. He also mentioned another field in northern Russia.
15. The ultimate objective is to "destroy the USA." At the same time "they" seek to consolidate control over all assets of any significance. "They" already own and control, the banks, and the media. (My note: Williams did not say, but obviously, they also control the oil industry.) "They" intend to gain control of the entire auto industry. According to Williams "why not buy the auto industry? All they need to do is create the credit in a computer entry." The takeover of the auto industry will happen when the time is right. They also seek control of all the real estate that is worth owning. According to pastor Williams, everyone is going to be paying rent by the time this thing is over. Again he emphasized that "After years of collapse they intend to own everything."
16. Russia is a major world power. Tensions will increase between the west and Russia. Look for a return of the cold war. (My note: he did not say it but I got the feeling that the Russians are not anxious to become part of the New World Order. Of course this oil price suppression is really hurting the Russians. They have had to devalue the Ruble seven times.)
17. "There will be no attack on Iran. There will no war with Iran." "The American people will not stand for it." They intend to accomplish their goal of destroying Iran by economic means. "They will accomplish their goal of destroying Iran without the need of another 911 false flag operation."
18. "Within six to nine months we will be into full blown hyper inflation." "Buy everything you need right NOW!!!!" "Prepare your dinner table NOW! It is going to be 1933 all over again."
19. "The nations of the world, especially China, are dumping U.S. currency and buying gold.
20. "The reason why it is getting so hard for people to buy gold is that "they" do not want people to be able to protect themselves." "They don't want people to have something that is REAL." (My note: it's hard to find any significant quantities of gold anywhere. Silver too!)
21. "They fear people buying gold because it is something "they" can NOT control. They feel that only they, the elite, should own gold.""They regard it as real money."
22. Their greatest fear is that the people will "wake up" from their slumber. "In fact they are terrified." They do not intend to impose martial law. They believe this would cause an armed revolution and that they do not want. Hmmmm. (I guess that is why the founders included the Second Amendment in the Constitution.) "A revolution means they could lose control."
23. "The American people are terrified of Obama." "The day after the election the gun shops in the USA were emptied by alarmed and frightened citizens." "Wal Mart reported that the day after the election their sales of ammunition went up by 400%. It was a record for ammunition sales in a twenty four hour period. (My note: this continued for several weeks after the election.) Evidently this behavior caused a great deal of alarm.
24. "They" have given up on implementing the North American Union and are "going all the way." The goal is total global control of everything. Global Government. Global bank. Global Currency. Etc. (My note: this NWO globalism business has always included a global army, and a global religion. I am sure we will be hearing more about global religion from "Americas pastor," Rick Warren)
Pastor Williams was asked what can we do? He made some suggestion which are not surprising. They are:
Link to full article
Friday, January 16, 2009
Bank Crisis II beginning NOW
I subscribe to the Martin Weiss, Money and Markets newsletter and receive free daily emails full of great information you won't get from the mainstream. Give it a shot - the daily reports are free!
Anyway, I wanted to share the email (below) that I received in my inbox today - reinforcing what many of us already know and/or feel, but that which we fail to hear from the many talking heads in the media.
BREAKING NEWS:
Bank of America posts massive $1.79 billion loss in last three months of 2008 ... slashes dividends ... accepts $138 billion emergency lifeline ...
Citigroup reports total losses of $18.7 billion in 2008 — $8.29 billion in the fourth quarter ALONE ...
New phase of bank crisis beginning ... soaring unemployment, plunging stocks, canceled dividends, and sinking investment income ahead ...
FREE VIDEO BRIEFING — “7 Startling Forecasts for 2009” — to help you survive ... and to help keep money flowing to you no matter how much worse this great financial famine becomes — CLICK THIS LINK to watch it now!
Dear Subscriber,
Just when everyone thought we’d seen the worst of the carnage in the U.S. banking system ...
Despite the $350 billion in TARP funds Washington already spent to save the big banks ...
Despite Treasury Secretary Paulson’s emphatic assurance to CNBC’s Maria Bartiromo that the banks are no longer in danger just a few days ago ...
And regardless of the $138 billion ADDITIONAL lifeline he’s just been forced to throw Bank of America yesterday ...
A new, more virulent strain of the bank panic contagion is now hitting Wall Street!
Just this morning, Bank of America posted its first loss in 17 years — a whopping $1.7 billion in October, November and December — and cut the dividend it pays to stockholders.
Plus, Citigroup, which had already received $45 billion in government handouts, posted its fifth straight multi-billion dollar quarterly loss — $8.3 billion in the last three months of 2008, bringing its total losses for the year to a staggering $18.7 billion!
No wonder Obama’s advisers have freely admitted that they see an increasingly grave banking crisis beginning to unfold! No wonder they have scrambled to gain control over the second $350 billion in bailout funds! And no wonder ...
The Great Financial Famine of 2009 Is Spreading Like Wildfire!
After the prior phase of this great banking crisis struck last fall, U.S. job losses surged, bringing the total number of paychecks lost by U.S. families to 2.6 million for 2008.
The stock market had a nervous breakdown — with stocks plunging as much as 1,000 points in a single trading session and the Dow crashing by nearly a third in less than 30 days.
Reeling from the carnage, many companies delayed, postponed or even cancelled dividend payments to investors — and the Fed slashed interest rates, cutting yields on other income investments.
But now, it’s looking like last year’s disaster was little more than a dress rehearsal for the new phase of the banking crisis that’s beginning now!
This new phase of the banking crisis is compelling new evidence of the great “financial famine” we warned you about in yesterday’s “7 Startling Forecasts for 2009” emergency briefing: At least a full year in which every source of income and profits you count on is in extreme danger.
That’s why we’ve urged you to consider a new strategy to get yourself and your family through this disaster: A practical way for you to keep money flowing to you no matter how intense this crisis gets — and no matter how long it lasts.
And it’s why we’ve decided to leave the recording of “7 Startling Forecasts for 2009” online for a short time: It is absolutely essential viewing for you if you’re concerned about your income and investments in the year ahead.
Just turn up your computer speakers, and click this link to watch this crucial video while it’s still online.
Best wishes,
Martin
My Closing Comment:
The first 30 minutes of the video at the link above is full of great information about our current economic delimma and what you can anticipate to see in 2009 - the remainder is a discussion on Currency trading and Martin's Team Guided approach to it.
Anyway, I wanted to share the email (below) that I received in my inbox today - reinforcing what many of us already know and/or feel, but that which we fail to hear from the many talking heads in the media.
BREAKING NEWS:
Bank of America posts massive $1.79 billion loss in last three months of 2008 ... slashes dividends ... accepts $138 billion emergency lifeline ...
Citigroup reports total losses of $18.7 billion in 2008 — $8.29 billion in the fourth quarter ALONE ...
New phase of bank crisis beginning ... soaring unemployment, plunging stocks, canceled dividends, and sinking investment income ahead ...
FREE VIDEO BRIEFING — “7 Startling Forecasts for 2009” — to help you survive ... and to help keep money flowing to you no matter how much worse this great financial famine becomes — CLICK THIS LINK to watch it now!
Dear Subscriber,
Just when everyone thought we’d seen the worst of the carnage in the U.S. banking system ...
Despite the $350 billion in TARP funds Washington already spent to save the big banks ...
Despite Treasury Secretary Paulson’s emphatic assurance to CNBC’s Maria Bartiromo that the banks are no longer in danger just a few days ago ...
And regardless of the $138 billion ADDITIONAL lifeline he’s just been forced to throw Bank of America yesterday ...
A new, more virulent strain of the bank panic contagion is now hitting Wall Street!
Just this morning, Bank of America posted its first loss in 17 years — a whopping $1.7 billion in October, November and December — and cut the dividend it pays to stockholders.
Plus, Citigroup, which had already received $45 billion in government handouts, posted its fifth straight multi-billion dollar quarterly loss — $8.3 billion in the last three months of 2008, bringing its total losses for the year to a staggering $18.7 billion!
No wonder Obama’s advisers have freely admitted that they see an increasingly grave banking crisis beginning to unfold! No wonder they have scrambled to gain control over the second $350 billion in bailout funds! And no wonder ...
The Great Financial Famine of 2009 Is Spreading Like Wildfire!
After the prior phase of this great banking crisis struck last fall, U.S. job losses surged, bringing the total number of paychecks lost by U.S. families to 2.6 million for 2008.
The stock market had a nervous breakdown — with stocks plunging as much as 1,000 points in a single trading session and the Dow crashing by nearly a third in less than 30 days.
Reeling from the carnage, many companies delayed, postponed or even cancelled dividend payments to investors — and the Fed slashed interest rates, cutting yields on other income investments.
But now, it’s looking like last year’s disaster was little more than a dress rehearsal for the new phase of the banking crisis that’s beginning now!
This new phase of the banking crisis is compelling new evidence of the great “financial famine” we warned you about in yesterday’s “7 Startling Forecasts for 2009” emergency briefing: At least a full year in which every source of income and profits you count on is in extreme danger.
That’s why we’ve urged you to consider a new strategy to get yourself and your family through this disaster: A practical way for you to keep money flowing to you no matter how intense this crisis gets — and no matter how long it lasts.
And it’s why we’ve decided to leave the recording of “7 Startling Forecasts for 2009” online for a short time: It is absolutely essential viewing for you if you’re concerned about your income and investments in the year ahead.
Just turn up your computer speakers, and click this link to watch this crucial video while it’s still online.
Best wishes,
Martin
My Closing Comment:
The first 30 minutes of the video at the link above is full of great information about our current economic delimma and what you can anticipate to see in 2009 - the remainder is a discussion on Currency trading and Martin's Team Guided approach to it.
Thursday, January 15, 2009
On "Hyperinflation"
FOFOA discusses Hyperinflation vs Deflation - to develop one unifying explanation for these two very seemingly different events.
fofoa.blogspot.com
fofoa.blogspot.com
Tuesday, January 13, 2009
Bear Market Rally Exhausted
For those of you who don't know: during the Great Depression US Stock markets initially tanked in 1929, but didn't bottom out until 1932. In-between these years however there were great bear-market rallies and many of the experts at that time were consistently telling the masses that the bottom was in and the crisis was nearly over. This (over time) started a new boost in confidence, investors reentered the markets and stocks rallied (for a short period of time) - only to turn around and begin a new (more severe) down leg just a few months later - crushing investors along the way... This trend repeated itself for several years.
Which brings us to to day... If you recall back to Oct - Nov 2008, remember the severe volatility, complete loss of confidence and the sheer panic that set in during that two month period? Stocks were smashed, gold was creamed and the dollar rallied as the Volatility Index rose and people fled to safety.
This sheer panic settled down after huge losses were incurred and conditions became massively oversold - thus causing investors to reenter and buy some "bargains". Eventually, after volatility settled down, even the financial talking heads gave their "all clear" and told folks "time to get back in"...
Well dear readers, from the looks of things, seems this recent bear-market rally is nearly exhausted and more crushing is heading our way...
If you look at the chart of the DOW below - note how the index cratered in Oct followed by a dive in the Price Oscillator (PPO Line). We had a slight upturn in November only to be followed by a lower low (7,449) late in the same month. Since that time we've had a lot of sideways action, broke back above 9,000 and the PPO has consistently headed upwards (a positive sign) - until just recently - take note of the recent PPO turn downwards. Could this signify something is about to change with 4th quarter reporting now due out?
During that very same time period discussed above, the dollar (chart below) gained strength as people became liquid and flocked to the so called "safe-haven". Note how the PPO line in November rose and became "overbought" - ultimately leading to a sharp selloff and decline in mid December. But also note how the PPO line is rising again - illustrating potential new strength (albeit probably short-term) as the Stock Markets begin to look unstable once again...
Same goes for Gold (chart below). Short term, looks like we're headed lower once again - as the dollar increases and stocks once again tank... Note the PPO falling (not a good sign for gold)
Lastly, lets take a quick look at the Volitility Index (VIX). Again, covering the same period, note how the VIX increased in Oct and Nov 08 (as the markets tanked). Take a look at the PPO highs - followed by the trend lower - until the beginning of Jan 09 anyway - see how the PPO is now indicating an new upturn.
Bottom Line:
Now I'm not a trained chartist, but I am equipped with a bit of common sense and from what I can garner, these charts are highlighting the fact that we're in for a new round of volatility, falling stocks, falling gold and a rising dollar.
More thoughts: If we take out 7,200 on the DOW (last seen in 2002) sometime in the not too distant future (which I think we will), the next stop (support) is 6,500 last seen in 1997.
DOW: Wheres the Floor?
Regards
Randy
Which brings us to to day... If you recall back to Oct - Nov 2008, remember the severe volatility, complete loss of confidence and the sheer panic that set in during that two month period? Stocks were smashed, gold was creamed and the dollar rallied as the Volatility Index rose and people fled to safety.
This sheer panic settled down after huge losses were incurred and conditions became massively oversold - thus causing investors to reenter and buy some "bargains". Eventually, after volatility settled down, even the financial talking heads gave their "all clear" and told folks "time to get back in"...
Well dear readers, from the looks of things, seems this recent bear-market rally is nearly exhausted and more crushing is heading our way...
If you look at the chart of the DOW below - note how the index cratered in Oct followed by a dive in the Price Oscillator (PPO Line). We had a slight upturn in November only to be followed by a lower low (7,449) late in the same month. Since that time we've had a lot of sideways action, broke back above 9,000 and the PPO has consistently headed upwards (a positive sign) - until just recently - take note of the recent PPO turn downwards. Could this signify something is about to change with 4th quarter reporting now due out?
During that very same time period discussed above, the dollar (chart below) gained strength as people became liquid and flocked to the so called "safe-haven". Note how the PPO line in November rose and became "overbought" - ultimately leading to a sharp selloff and decline in mid December. But also note how the PPO line is rising again - illustrating potential new strength (albeit probably short-term) as the Stock Markets begin to look unstable once again...
Same goes for Gold (chart below). Short term, looks like we're headed lower once again - as the dollar increases and stocks once again tank... Note the PPO falling (not a good sign for gold)
Lastly, lets take a quick look at the Volitility Index (VIX). Again, covering the same period, note how the VIX increased in Oct and Nov 08 (as the markets tanked). Take a look at the PPO highs - followed by the trend lower - until the beginning of Jan 09 anyway - see how the PPO is now indicating an new upturn.
Bottom Line:
Now I'm not a trained chartist, but I am equipped with a bit of common sense and from what I can garner, these charts are highlighting the fact that we're in for a new round of volatility, falling stocks, falling gold and a rising dollar.
More thoughts: If we take out 7,200 on the DOW (last seen in 2002) sometime in the not too distant future (which I think we will), the next stop (support) is 6,500 last seen in 1997.
DOW: Wheres the Floor?
Regards
Randy
Monday, January 12, 2009
The collapsing US economy - by Paul Craig Roberts
A Superb Read!
The collapsing US economy - Will the Government Turn to the Printing Press?
Paul Craig Roberts was Assistant Secretary of the Treasury during President Reagan’s first term. He was Associate Editor of the Wall Street Journal. He has held numerous academic appointments, including the William E. Simon Chair, Center for Strategic and International Studies, Georgetown University, and Senior Research Fellow, Hoover Institution, Stanford University. He was awarded the Legion of Honor by French President Francois Mitterrand. He is the author of Supply-Side Revolution : An Insider's Account of Policymaking in Washington; Alienation and the Soviet Economy and Meltdown: Inside the Soviet Economy, and is the co-author with Lawrence M. Stratton of The Tyranny of Good Intentions : How Prosecutors and Bureaucrats Are Trampling the Constitution in the Name of Justice.
The collapsing US economy - Will the Government Turn to the Printing Press?
Paul Craig Roberts was Assistant Secretary of the Treasury during President Reagan’s first term. He was Associate Editor of the Wall Street Journal. He has held numerous academic appointments, including the William E. Simon Chair, Center for Strategic and International Studies, Georgetown University, and Senior Research Fellow, Hoover Institution, Stanford University. He was awarded the Legion of Honor by French President Francois Mitterrand. He is the author of Supply-Side Revolution : An Insider's Account of Policymaking in Washington; Alienation and the Soviet Economy and Meltdown: Inside the Soviet Economy, and is the co-author with Lawrence M. Stratton of The Tyranny of Good Intentions : How Prosecutors and Bureaucrats Are Trampling the Constitution in the Name of Justice.
Tyche's Hennecke Says Gold Prices May Rise to $10,000
Oct. 9 (Bloomberg) -- Martin Hennecke, senior manager at Tyche Group Ltd., talks with Bloomberg's Susan Li in Hong Kong about the outlook for Asian equity markets, global economies and gold prices. (Source: Bloomberg)
Potential for "$6,000 to $10,000" gold and hyperinflation
Can't yet find the video to embed, but here's the Bloomberg Video link: Video Link
Potential for "$6,000 to $10,000" gold and hyperinflation
Can't yet find the video to embed, but here's the Bloomberg Video link: Video Link
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