Archive - Sep 2015

Coming to, or rather from, every forced "minimum wage" provider near you.

What does it take to make you sit up and take notice of the problems surrounding society today? The events of the past few weeks should have been a warning shot across the bow for many. Our financial and distribution systems are in a delicate balancing act right now and any sudden shifts could send them tumbling off the cliff rendering the services they perform extinct in a matter of hours. What will it take to make you respond to the many crises taking place today?

Following Monday's roller coaster of manipulated market machinations, perhaps China's leadership will keep its mouth shut tonight and just "monitor" the situation. Japan's opening 300-point flash-smash has now been eviscerated back to unchanged, Chinese stocks look set to open lower as Margin debt rose for the first time in 13 days (likely thanks to CSRC telling retail investors to "come back in, the water's fine.") As markets anxiously await China's trade data - which will either confirm the collapse or confirm the manipulation (given the utter devastation in Taiwan and South Korea trade data), the PBOC fixes Yuan weaker after 5 straight days of stronger fixes and injected another CNY150 billion in 7-day rev repo.

In hot spot after hot spot in the Middle East, U.S. and Saudi objectives and priorities diverge, even if in some loose sense they are considered to be on the same side. It ought to be astounding that a place this far removed from the liberal democratic values with which the United States likes to be associated, even without considering the aforementioned divergence of objectives elsewhere in the region, still is considered a close partner of the United States. The usual, and to a large degree valid, explanation is that, as Friedman puts it, “we’re addicted to their oil and addicts never tell the truth to their pushers.”

The United States Bureau of Engraving and Printing makes approximately $696 million in currency each day. Amazingly, according to their very fitting website MoneyFactory.gov, in the fiscal year of 2014 they printed over $2.2 billion in $1 bills alone. It’s good practice, because with concerns of deflation circulating around Europe and Asia, the Feds may want to put the printing presses into overdrive.

Whether it is due to thin holiday liquidity, due to the BOJ intervening just ahead of its usual time, because Japan's "legendary" Twitter trader "CIS" just went bullish (again), because prime minister Abe just learned he would be reinstalled as head of his ruling LDP party because no challenger had emerged unleashing three more years of unchallenged Abenomics, because Japan's Q2 GDP was just revised modestly higher (to a less negative number) or just because this is how the New Normal rolls, moments ago the Nikkei flash smashed higher some 400 points higher, in a well-choreographed algorithmic frenzy, to take out Friday's high stops.

The data point everyone has been waiting on is out and, just as we tipped weeks ago, China liquidated nearly $100 billion in USD assets during the month of August in support of the yuan.

The hypocrisy is self-evident. That the U.S. has covertly supported the overthrow of the Assad regime in Syria is an open secret. That there are no American boots on the ground (at least officially) does not absolve the U.S. of partial responsibility for the refugee catastrophe unleashed by the Syrian war. Empire comes with responsibilities, and it should come with conscience. The U.S. is not a passive observer in Syria. Those of us outside the Deep State have no idea what's been done or supplied or promised in the name of the American people. Shall we accept 5% responsibility for events in Syria? That equates to 5% of 4 million refugees or 200,000 refugees. Of the estimated 4 million Syrian refugees, the U.S. has accepted a mere 1,500.

Monetary history, staggering mountains of debt, demographic problems, metrics relevant to the gold market, central bank debauchery and currency debasement in all their terrible glory, and even the beer price of gold – the latest Incrementum "In Gold We Trust"chartbook has it all...

Despite the liberal media spinning Hillary's non-apology as bringing her closer to the American public, it appears her presidential campaign took another shot to the chest this weekend. Not only does Bernie Sanders keep rising in the polls, Republican presidential front-runner Donald Trump leads Hillary Clinton head-to-head, garnering 45% support versus 40% of his Democratic rival, according to a new national poll.

In the early days of central banking, one primary objective of the new system was to take ownership of the public's gold, so that in a crisis the public would be unable to withdraw it. Gold was to be replaced by fiat cash which could be issued by the central bank at will. This removed from the public the power to bring a bank down by withdrawing their property. A primary, if unspoken, objective of modern central banking is to do the same with fiat cash itself.

Until now the two men who have supposedly discovered the final resting place of the Nazi "Gold Train" had kept their identity secret, fuelling suspicion that their claims were a hoax. This week, they finally revealed themselves to the Polish media. “We have clear evidence of the train,” said Mr Koper from reading a short prepared statement, adding they had found it by using “our own resources, eyewitness testimony and our own equipment and skills.” As proof of their discovery, the men released an image taken with ground penetrating radar purportedly showing an armoured train.

News That Matters

Why are the global elite buying extremely remote compounds that come with their own private airstrips in the middle of nowhere on the other side of the planet?  And why did they start dumping stocks like crazy earlier this year?  Do they know something that the rest of us don’t?

"We’re exhausted by your antics and empty promises. If we so much as sniff continued nuclear development, we are going to covertly and overtly stop you, even if that means military action and pre-emptive strikes on your nuclear facilities."