If You’re Not Scared, You’re Not Paying Attention

Phoenix Capital Research's picture

Forget the
details and the specifics… here’s the latest news you need to know about.


Europe is
bankrupt and the EU will not exist in its current form within 12 months. The
ECB tried to “bailout our way to success” strategy on some of the more minor
players (Greece), but is now finding that there isn’t actually enough money to
bail out the larger players (Spain and Italy).


So, barring
a leveraged buyout of Italy by Germany and China, the EU will be breaking up
and the Euro collapsing within the next 12 months. How this will happen remains
to be seen (the EU splits into two sections? Is done away with altogether?
Etc). But the facts remain that the EU has reached the end game for bailouts
(you cannot bail out entire countries).


The last
straw of hope that the bulls are clinging is China’s recent decision to
actively buy EU member states’ sovereign debt. Those of us who recall China’s
decision to buy Morgan Stanley in 2008 can’t help but wonder if the country has
never heard of “due diligence” or if it simply doesn’t care about losing money.


Speaking of
China, the People’s Republic is finding out that the Republic made $540 billion
worth of loans to the people that:


1)   Have
not been accounted for

2)   Are
properly garbage and won’t be paid back


We all know
how this scheme ends (see subprime collapse in US). However, given that China
pretty much makes up its economic data, it’s pretty safe to assume that the bad
loan situation there is even worse than Moody’s believes. So look for a “2008
type” bust in China in the coming months.


And then of
course there’s the US: the current least horrendous disaster winner by default
(literally in Europe’s case and metaphorically in China’s case). Congress
continues to play “debt talk” phone tag with President Obama.


However, to
say this is a debate ignores the fact that there isn’t actually two sides to
this discussion. Both Congress and the White House are debt-crazed groups who
believe throwing good money after bad = recovery. So regardless of whether the
debt ceiling is raised or budget talks reach an agreement, the US is broke and
will continue to be until we default and restructure our debt obligations.


In simple
terms, what I’m trying to say is that we are about to witness another “2008”
only on a sovereign scale. The EU will be first, but China, Japan, and even the
US will be defaulting in the future. The implications these actions have for
asset classes will be HUGE as all assets move relative to sovereign bonds which
used to be considered the primary low risk asset class in the world.


So expect another
bigger Crisis that will feature huge waves of volatility, market crashes, debt
defaults, civil unrest, food shortages, bank holidays and the like.


On that
note, if you’ve yet to prepare for these issues, you can download my FREE
report devoted to showing in painstaking detail how to protect yourself and
your portfolio from the coming ROUND TWO of the Financial Crisis (round one
wiped out $11 TRILLION in wealth).


I call it The
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And its 17 pages contain a
wealth of information about portfolio protection, which investments to own,
which to avoid, and how to take out Catastrophe Insurance on the stock market
(this “insurance” paid out triple digit gains in the Autumn of 2008).


Again, this
is all 100% FREE. To pick up your copy today, go to http://www.gainspainscapital.com
and click on FREE REPORTS.






PS. We also
offer a FREE Special Report on the inflation situation in the US. This other
FREE Special Report, The Inflationary
explains not only why inflation is here now, why the Fed is
powerless to stop it, and three investments that absolutely EXPLODE as a result
of this.


All in all
its 14 pages contain a literal treasure trove of information on how to take
steps to prepare AND profit from what’s to come. And it’s all 100% FREE.


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your copy today, go to http://www.gainspainscapital.com
and click on FREE REPORTS.














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Pitchman's picture
Geithner, Bernanke And Obama Are The Minions Of A Sociopathic Banking Cabal

"It is the duty of the Patriot to protect his country from his government." - ThomasPain

At the very top of our most important financial, corporate and governmental institutions the Rule of Law has been suspended in an orgy of fraud and corruption.  Our leadership no longer represents the people and borrowing $1.5 Trillion + a year to continue down the same path is the definition of insanity.

"When a government is dependent upon bankers for money, they and not the leaders of the government control the situation, since the hand that gives is above the hand that takes... Money has no motherland; financiers are without patriotism and without decency; their sole object is gain." - Napoleon Bonaparte

Geithner zerObama and vast bureaucratic institutions are the Minions of a sociopathic cabal of transnational financial and corporate elites. 

As you have rightly pointed out; this is not democracy and it surely is not capitalism.

When government policy is driven by corporate and financial elitist, where positive returns are enjoyed by a few fat cats and their loses are socialized it's Fascism not free market capitalism.

According to Christopher Whalen, "The fraud and obfuscation now underway in Washington to protect the TBTF banks and GSEs totals into the trillions of dollars and rises to the level of treason."  This is not a question of party loyalty or right vs. left. It is a great fundamental principle of freedom, justice and humanity, a tenet of truth, law and legal right which is sought to be tampered with, and down-trod.

ThomasPainsaid, "It is the duty of the Patriot to protect his country from his government."    Our leaders have failed to uphold constitution.  They have broken their social contractand thus, have lost the consent of the governed;"WE THE PEOPLE"

To protect our liberty and the Union, every Patriot must physically take a stand against Tyranny to reinstate a government of the people, by the people and for the people!.


And: It's The DEBT Stupid

Visit: Inflection Point
mudduck's picture

Graham, you may be right about the EMU, but I seem to recall an April (April 15 I think) call you made saying that the US dollar was toast within 3 months. 3 months later the buck is higher. Sooner or later you will be right about one of these EOTWAWKI calls, but in the meantime cheers for short term memory loss. One thing though dude, I do appreciate the honesty of the way you state your calls as "I think that...", instead of "We think that...", like most analysts do so as to give the impression of at least an additional 80, 90, or more IQ points delving into the matter.

akak's picture

If you're not scared, you're leo.

MrBinkeyWhat's picture

OOOH! I am scared now!!! Should I give up my farmland, stored food, guns & ammo; go ahead and check into a FEMA camp, so that Big Momma can take care of me?


theopco's picture

1) Be afraid- scary shit is coming

2) Buy me a hamburger



MrBinkeyWhat's picture

DAMN! And I was just starting to sober up. Frack that.

InvalidID's picture

 This just in, the financial state of the world is in dire straights.


 Look, I can state the obvious too. Do I get a guest spot on ZH now?

falak pema's picture

van Rompuy soup will be served to all who are illiquid and illiterate...by order of ECB.

snakehead's picture

I call it Spam. Go away.

Hedgetard55's picture

So, who goes first, England or the US? England seems to be off the radar lately.

BKbroiler's picture

it's the anticipation that's the real bitch. Let's do this already.

Smiddywesson's picture

Zombie repellant?

Mowhawk gell?



Cognitive Dissonance's picture

OK, I'm ready.

Depends. (check)

Precious Metals. (check)

Guns and ammo. (check)

Stack of Playboy for me and PlayGirl for Mrs CD. (check)

What am I missing and when does the show start? 

Geoff-UK's picture

Water, food, and lube.



Noah Vail's picture

Screw that, the Fed has us covered.


Hulk's picture

You left out this:


The shows already started, its just more is added every day

JustPrintMoreDuh's picture

That might be worth letting go of some of the silver stockpile for ... muhahaha

Cognitive Dissonance's picture

I just saw that episode.

I loved near the end where Richard climbs into the Red Monster at the shopping center and, finding himself boxed in by other cars, simply drives over the two cars in front of him like he's out for a Sunday drive. The people watching from inside the store were hilarious. :>)

Hulk's picture

I was impressed when 7 pounds of plastics went off under it and it drove away. Not easy to do at all...

Billy Bob's picture



the best part is his comment......"Oh Dear, no reason to see if it really will start as some important parts are missing"


Just like our leadership.... some important parts are missing.



sgt_doom's picture

So, basically what this blog post is saying is what three political action groups, and several government analysts predicted by in 1978:

2012:  R.I.P. -- Predatory Capitalism