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Guest Post: Everything Is Being Sold
Submitted by Chris Martenson of Peak Prosperity,
Global financial markets are now in a very perilous state, and there is a much higher than normal chance of a crash. Bernanke's recent statement revealed just how large a role speculation had played in the prices of nearly everything, and now there is a mad dash for cash taking place all over the world.
After years of cramming liquidity into the markets, creating massive imbalances such as stock markets hitting new highs even as economic fundamentals deteriorated (Germany) or were lackluster (U.S.), junk bonds hitting all-time-record highs, and sovereign bond yields steadily falling even as the macro economics of various countries worsened markedly (Spain, Italy, Greece, and Portugal), all of this was steadily building up pressures that were going to be relieved someday. Just over a month ago, Japan lit the fuse by destabilizing its domestic market, which sent ripples throughout the world.
[ZH: Must-watch clarifying few minutes with Chris - grab a glass of Absynth, forward to 1:40 in the following clip and listen]
The Dash for Cash
The early stage of any liquidity crisis is a mad dash for cash, especially by all of the leveraged speculators. Anything that can be sold is sold. As I scan the various markets, all I can find is selling. Stocks, commodities, and equities are all being shed at a rapid pace, and that's the first clue that we are not experiencing sector rotation or other artful portfolio-dodging designed to move out of one asset class into another (say, from equities into bonds).
Here's the data. Let's begin with the place that the most trouble potentially lurks – bonds – and here we have to start with the U.S. Treasury 10-year note, as that is the benchmark for so many other interest-rate-sensitive items, such as mortgage bonds.
Here there's been a very interesting story that predates the recent Fed announcement by nearly two months. This chart of the price of 10-year Treasurys tells us much (remember, price and yield are exact opposites for bonds; as one moves up, the other moves down):
The first take-away is that the current price of 10-year Treasurys is now lower that at any time since late 2011. The second take-away is that this has happened despite both Operation Twist and QE3.
That is, after all the hundreds and hundreds of billions of dollars of thin-air money-printing and bond-buying, Treasurys are now lower in price than when the Fed initiated Operation Twist and QE3.
And it's not just 10-year rates; the entire yield curve from 5-year to 30-year debt is now higher than it was a month ago:
This is very, very important. On the one hand, it tells us that the Fed may not be omnipotent after all, because you can bet your bottom dollar that the Fed simply does not want long rates to rise and that this was an unplanned and unwelcome move. On the other hand, rising rates will do much to a fragile economy and over-leveraged speculators and institutions.
I may need more hands here, because there are other undesirable effects of rising rates, including falling equities (we'll get to that in a minute), fiscal difficulties for heavy borrowers (many sovereign entities belong to this club), and mortgages becoming increasingly expensive.
An early casualty of rising U.S. interest rates, of course, was mortgage rates, which have climbed approximately 40 basis points (0.40%) over the past month:
Obviously, anything that will impact the housing market at this point is entirely unwelcome by the Fed, which has openly stated that it wants people buying homes – and for a variety of reasons, people tend to take out fewer mortgages when rates rise. This is especially true for refinancing mortgages, an important source of revenue for financial institutions.
If it were just U.S. rates that were rising, that would be one thing, but rates have been on the move in Europe and Japan. In this next table, you can see two things: (1) much of the one-month rise in rates can be attributed to the past 24 hours (red arrows), and (2) quite a number of the most problematic nations have bond yields that are below their recent highs (as seen in the green circle).
(Source)
What I gather from this is that countries like Spain, Portugal, Greece, and Italy do not deserve the ridiculously low rates they now enjoy, and that those old highs in yield will be revisited.
Where the U.S. had a change in yield trend in mid-May 2013, Spain was leading the charge by reversing course in early May:
Who was buying all that junky sovereign debt at inflated prices as Spanish yields fell? Institutions and speculators. The institutions were entities like Spanish banks and the Spain pension system, buying Spanish debt for reasons that seem far more political than financially prudent. For a while, that strategy worked, as rising bond prices delivered both nice yields and capital gains, but now pretty much anybody who bought those bonds in 2013 is (at best) roughly even for the year, leaving plenty who are nursing losses.
The speculators in this story represented the hottest of the hot money, involving hedge funds jumping on any trades that seemed to be headed in the right direction and/or offered useful yields for spread trades, both of which conditions were met by southern European sovereign debt. But that hot money is best described by the phrase easy come, easy go. It arrives fast and leaves even faster.
Okay, so what we can say at this point is that bonds are being sold off around the world. This is very bad for equities, because there's a connection between falling yields and rising equities. As yields fall, the risk-appetite of investors climbs because they need returns, and so they put more money into equities and real estate. This is especially true when interest rates are negative, meaning that they yield less than the rate of inflation, and that is precisely what the Fed engineered. On purpose.
However, this coin has two sides, and the less virtuous face combines rising bond yields with falling equities. It is simply the reverse of the Fed's desired and manufactured outcome of the prior several years.
If we look at the U.S. stock market, as typified by the S&P 500, we see that it peaked in May (to no one's surprise, I hope) and has been steadily falling over the same period that interest rates have been rising.
1600 is now the magic 'round number' for the market to break through if it is heading lower, which I think it is. We'll also note that the 50-day moving average (the rising blue line) has been critical support for the S&P 500 throughout the entire advance (green circles), and that it has been soundly violated on this drop.
Commodities have been heading down, too, but seemingly as a part of a larger move that's been underway for a couple of years:
Note that commodities are now beneath their 200-week moving average, which is a very bearish indicator (green circle).
Collectively, the move away from commodities, bonds, and equities in all markets globally tells us that there's nowhere to hide and that this is a 2008-style dash for cash. Everything is being sold, as it must, to meet margin calls, pay down leverage, and get out of positions; all are signs of the end of a speculative phase.
I know it's a lot to claim that we are at that turning point, but the evidence that we are there is now more than a month old, and it's time to consider that we are entering the next phase of our date with destiny.
What's Coming Next
In Part II: The Ride Down from Here, we look at the increasing number of flashing indicators warning that a 2008-style – but worse – sell-off is arriving. We say "worse" because this time it looks like it will be accompanied by a vicious cycle of rising interest rates. Plus, governments and central banks have used up all of their major options already. There are no more white knights to hope for.
We examine the likeliest course from here for asset prices and what to expect from the central planners as desperation increasingly drives the decision-making. We also look at what defensive steps individual investors should be considering. Because, as we've been advising for months, now is a time for safety.
Buckle up. It's going to be a bumpy summer.
Click here to read Part II of this report (free executive summary; enrollment required for full access).
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There has been a sale of BS for years now..
That sound you almost don't hear is the sound of liquidity vanishing.
The Fed TAP-er is closing, slowly, slowly...
http://aadivaahan.wordpress.com/2013/06/21/strange-days-especially-now-t...
Massive collateral/liquidity crunch, perhaps this is the weak-end it will all happen?
The rupee hs been crushed to keep things afloat.
ori
Bullshit, It is NOT ending; the minute the unemployment goes up the QE begins again...like the never ending "war against them evil doin terrerists" we got to keep it in check..same goes for that "war on drugs"- can have unauthorized non CIA approved types dealing that shit.
Only thing good I've seen in 5 years is another good buying opportunity for physical.
We were pricing in epic money printing. What do you expect? The smallest bad news was bound to send markets into the crapper.
Marc Faber says there may be more downside:
http://www.planbeconomics.com/2013/06/marc-faber-i-see-further-downside-...
I HOPE WE FAIL!
Nothing but a complete collapse will stop these Nazi fucks from taking our freedoms and wealth.
Let it burn and form something worthwhile after our "return to the plow". I hate that I am paying for drones, to spy on me and kill others as much as I hate rewarding those who never tried in life but are taken care of moar and moar.
I hope for a giant collapse from which the country will never emerge united in the Federal sense again.
A complete collapse will have just the opposite effect as you think; it is precisely what they want.
No, we will not be united- bound by their ideas of equality and false self-righteousness; but rather our ideas of reality. Only way to kill the snake is to take away it's centralized wealth of tax collection- Let's all hope for failure. Nothing I see going forward will continue this progressive shit- it looks like nothing but philosophical lies. Only way they win is if they get our guns- and too many of us will have a problem with that.
Sooner or later it will end because it is not self-sustaining, just never give up the guns! One day we will win and what a feeling it will be to have the government back to it's proper non-interfering position.
They seem to have mixed up their tactics in their playbook. Rather than going after your guns, they've taken the path of least effort and least resistance, by throttling the ammo supply.
Oops, looks like my 'truthiness' has pissed off retards and trolls. I would hope they're the same thing.
>> has pissed off retards and trolls.
People not agreeing with what you have to say doesn't classify them as "retards and trolls".
No ammo my ass.....America is locked and loaded. Odizmo has been a boon for that industry.
After you get that cash, convert it into gold asap.
High prices and supply problems don't equate to me not being armed to the hilt....been stacking lead, along with other metals, for years ;)
You want ammo ? Go to bulkammo.com or Palmetto state armory.The prices are dropping and you can find whatever you want except for .22
5 States With Highest Foreclosure Rates-- MarketWatch
...Foreclosures are on the rise again. After hitting a 75-month low in April, U.S. foreclosures rose 2% in May and bank repossessions jumped 11%, according to data released Thursday by RealtyTrac, a real-estate data firm. The increase comes after five straight months of declines....
http://finance.yahoo.com/news/5-states-highest-foreclosure-rates-1604463...
gott have the .22s for all of the Zombies....
Ammo seems to be coming back on line. Check out Cheaper Than Dirt. http://www.cheaperthandirt.com/categorylisting.aspx?catid=75
Ammo seems to be coming back on line. Check out Cheaper Than Dirt. http://www.cheaperthandirt.com/categorylisting.aspx?catid=75
Price gouging pricks,avoid if at all possible.
eFking agree.
The current system is not progressive, for better or for worse FDR was progressive ... the rich actually got poorer at that time, that's not what is happening now. The current system is a kleptocracy, the bread and circuses might be part of the problem but they are certainly not the source of the problem.
How decentralized do you think an anarcho capitalist system can be when ownership of wealth (ie. natural resources and productive capital) is massively centralized? Will we by the sweat of our brows create land, iron and energy out of thin air? Or will most of us simply have to exchange tax for rent? Human labour is worth very little in the current world to the people who own everything, they need only a fraction of it to sustain their luxury.
It's nice if you have some gold, arable land and water resources set aside to become a (small) part of the future landed class to rule the world ... but for most people it won't get better.
that's why hate the Government all you want but we still need the darn thing. I should say "we need the Government to work." I agree everything is being stolen right now. just started a book on how all the Native Americans land was stolen for pennies an acre. "vast speculations" with the imprimatur of what we called Government back then. would appear times haven't changed all that much actually...
You mean like when the Wiemar Republic collapsed? Be careful what you wish for. Collapses never result in an explosion of freedom.
correct. in fact, liberties bloom in times of economic prosperity.
Economic prosperity blooms in times of liberty.
Economic misery blooms in times of tyrannical control (Federal Reserve centrally planned (tyranny))
Flacon is correct - you have the cart before the horse
yes it does.
It takes time.
That increased freedom elsewhere and eventually more of it got to Germany. Just takes many, many decades. This is a long game.
If the whole sham goes down the crapper, the most likely replacement (at least in the short term) would be martial law and an overt fascist dictatorship. All in the National Interest doncha know.
The only thing that could either prevent this from happening or have it removed would be many millions of well-read citizens out on the streets. I don't mean the Occupy Wall Street crowd nor all the other groups who actually want more government, not less.
If the whole sham goes down the crapper, the most likely replacement (at least in the short term) would be martial law and an overt fascist dictatorship. All in the National Interest doncha know.
Dudeski,in case you have been asleep, the EVENT has already taken place, the MASKS are all that is left to come off.
DosZap: Hey!!! I've just woken up.
You say the MASKS have yet to come off.
When they do, you'll have the "overt fascist dictatorship" I referred to. And maybe you'll also have martial law.
"..I hope for a giant collapse from which the country will never emerge united in the Federal sense again..."
My fear is that the world, after a giant collapse, will emerge united in a Federal sense
2008 style dash for trash maybe.
Already plenty of 'repair' talk being issued. TPTB installed obozo for reasons that haven't yet been fully realized. The big push for an air tax (CO2) begins in a few weeks and that's one of if not in fact obozo's prime mandate. They need the appearance of all being well to pull it off and so the appearance shall be forthcoming.
@AssFire - agreed... QE will be back on larger than ever as soon as there is some major stess. When do we BTFD? Probably monday or tuesday.
Physical Gold and Silver is being bought hand over fist by wholesalers. They have a historically accurate track record.
http://ericsprott.blogspot.ca/
Here are 10 reasons why to own gold.
1. The USA, the biggest economy in the world, has been living off of debt to maintain our standard of living and to create growth. We have been playing a dangerous game since 1980 of living off of the reserve currency of the world (ignoring both our trade deficits and budget deficits). Now we have $10+ trillion of debt that requires interest payments (from budget deficits), and our manufacturing sector (from trade deficits) has been hallowed out. Our federal debt has gotten so large, the we can't service it without the Fed printing money to purchase it. Moreover, our ability to generate wealth has been neutered to the point where we have become dependent on Fed stimulus to prevent a depression.
2. Oil, the engine of the economy, is no longer cheap. Without cheap energy, robust growth is no longer possible. In fact, I would argue that without cheap energy, global growth is problematic at best, and a crisis waiting to happen at worst.
3. Taxes and regulations have crushed small business. Many companies have to cheat to make a profit. These taxes and regulations are not going away and will not be curtailed. Thus, starting and growing a business has become very difficult. This difficulty factors into bank loans which have dried up.
4. Demographics in the USA and Europe are impinging growth in a negative way (older is not better). The baby boomers are past their prime spending years and are no longer an engine for consumer spending. Moreover, affluent families are having fewer children, which is impacting growth in a variety of consumer spending habits (fewer is not better).
5. Governments have gotten so large that they are squeezing the private sector into paying more taxes. This is a huge growth prohibitor. Governments are machines that grow at rapid rates. They suck the life out of the economy. Why? Because they do not generate wealth. Those myriad of government jobs are paid for by the private sector. But the private sector can only squeeze so much blood out of a turnip.
6. Healthcare costs are out of control and impacting many families and business in a detrimental way. In the US, healthcare is sucking up 18% of GDP. It is by far the largest industry. And it is largely inefficient and wasteful. A big part of government spending and debt is from healthcare. Because it is only going to get worse, it is like a giant sucking sound strangling our future.
7. The financial system has become a ponzi scheme with the bond market and derivatives ready to blow up. The large banks in the US, in which there are really less than 10, are mostly insolvent and under-capitalized. They have huge exposure to derivatives that they cannot pay. If one bank goes down, the whole system breaks. Our backstop is to rely on the Fed to bail everyone out. But what happens if there is a run on government bonds and no one want to own our worthless paper? Or if foreigners begin to dump the dollar? This can’t happen? We will be up to $20 trillion in debt by 2020. If interest rates go up only marginally, we are bankrupt.
8. The financial system has become so manipulated that valuations are impossible to make. Investors are basing their decisions on delusions. We are living in an era of manipulated interest rates, where the bond market is purchased with digital play money. And these interest rates are the basis for the very foundation of the economy: bonds, mortgages, bank loans, risk, business investment, etc. Everything hinges on the cost of debt, yet it has been manipulated to the point where no one knows the real value of money or risk.
9. The government no longer respects its citizens and instead collects their private information. You might not think of this as a reason to own gold, but to me it correlates closely to the economic reasons. Why? Because it is an omen, an clue of what is coming. When the government, who is supposed to exist FOR the people, begins to treat the people as untrustworthy, then the end is nigh.
10. The political system is broken with gridlock and no possibility for solutions. This is the ultimate reason why gold is going to blast off. How many of you trust or respect our politicians? I could call them a dozen names and I think you would agree with my labels. It has gotten so bad, that our level of trust has dropped below 20%. It has gotten so bad, that it reminds me of the movie Bullworth with Warren Beatty (a great movie).
He plays a California Senator running for re-election and hires someone to murder him. Then, while he has a few days left to live, he decides to tell the people the truth. He literally makes a mockery of our political system, but it hits close to the truth. In my favorite scene, he is interviewed on live TV, and rips the interviewer by telling the truth. He starts rapping the truth. And the truth is that our economic and social systems are rigged to protect the affluent. Bullworth tells everyone that the game is rigged, and those at the top are making sure that nothing changes. That is the mess we are in today. We can’t solve our problems, because the starting point would be to admit that the game is rigged! We can’t solve our problems, because those at the top are holding the strings, and they will not let go of those strings. Instead they will do everything in their power to pretend that the status quo will lead to a good outcome. Did you notice how Detroit was allowed to rot and go bankrupt? Who’s next?
So, my point is that we have serious problems, but the approach to solving those problems is to believe that our economic and social systems are sound. Well, I’m telling you they are not. As Einstein so eloquently stated, "We can not solve our problems with the same level of thinking that created them".
www.goldsilverdata.com (for mining stocks)
Nice piece...In No.7 you say "what happens if there is a run on government bonds and no one want to own our worthless paper? Or if foreigners begin to dump the dollar?"
Well, I guess in that case the only people left to buy govt debt are ordinary folks with some savings and pension funds. Federal "bail-ins" coming to a savings account near you...
There's still money available to be stolen, it's just a matter of time until they create the justification to steal it. Spain was ahead of the pack on this.
Edit: putting it more crudely, if them forriners stop buying US debt, the American people will buy it. Whether they like it or not.
Expect those Gummint workers everyone loves to hate to be the first in. Use that as your clarion call to gtfo the system. If you haven't already, sell and pay the fines, eat the taxes and run to tangibles. The Fed 401k is called TSP (Timmay's debt ceiling slush fund), and if you read that they bailed in the bond market with multiple billions, that will be your last warning. You will get no other.
ultimately there will be a need for a reliable means of exchange. that could be metals if there are enough of them to go around. if not, a local currency that will be as strong as the self sufficiency of the community in which it circulates. if your looking to hedge your bets, surround yourselves with farmers, seamstresses, weavers, knitters, shoemakers, potters, carpenters... right now all i see are rock stars, athletes, actors, computer programmers, real estate and car salesmen, insurance agents, teachers and bureaucrats. this isn't a money problem. it's an attitude adjustment.
Barter, boys and girls. When money dies, it's kaput until replaced, but barter never dies. Read Antel Fekete on permanent backwardation in gold.
http://www.professorfekete.com/articles/AEFWhoSaidDragon.pdf
We are already approaching zero hour.
Tried to explain this to a friend, who came up with the idea that one could - in a non-fiat situation - buy five acres and maybe a suitable home for some undetermined quantity of gold.
Had to sit him down and explain that the transaction - gold for land, house - would be BARTER, nothing else.
One may want to make the case that gold is money and/or currency, but does it really matter? An ounce of gold for a year's worth of chickens, a year's worth of chickens for two months' rent, etc. Trading FRNs for anything is just an advanced form of barter, including belief in the FRNs as a medium of exchange. why not knock out the middle-man (and the tax man, for that matter) and just go straight to the source.
Who among us would not trade a day's labor for a week's worth of food, a supply of ammo, maybe even a firearm, some silver, etc.? Depends on your perspective, I suppose. When SHTF, those who are already accustomed to bartering will be well ahead of the pack, having already established connections and resources.
Wow. Great post....but you need 10 reasons? I only need one....TRADITION. Yep thats right, Tradition.
Gold traditionally has been real money since 'the beginning of time'.....always has been, always will be.
That is all the reason I need.
Gold down 6% in the last month. Am I allowed to say that on ZH?
--bks
You mean comex inventory? ;-)
Gold down 6% in the last month
Started buying it well over a decade ago....I'm good. DIdn't see you around back then.
Woke up in '08, better late than never. G/S price is almost irrelevent - if I can afford it, then it is still "on sale".
It's it hate speech?
You mean GLD and other paper markets are being crushed by the demand for tangible real physical Gold?
What? You're saying that the demand for phys is driving down the price of paper gold? D'you forget the 'sarc' tag?
On the off-chance that you're actually serious... If you read the article again, you'll see that it's "The early stage of any liquidity crisis is a mad dash for cash, especially by all of the leveraged speculators. Anything that can be sold is sold."
The demand for Phys is now driven largely by falling paper prices, and the supply/demand relationship is affecting the retail prices via the sales margins. But I think you know this, right?
moved
I think he means that in order for the thieves to raid the phys out of GLD they need a falling paper price for cover.
Paper Gold is going to ZERO. Physical Gold is going to infinity. Very soon physical gold will become near impossible to buy even for the wealthy and those that do hold it will not let go of it for paper money, only for commodities such as food and medicine.
“And he took another swallow of the brandy, shaking his great fair head like a man who looks forward to the worst.”
? Robert Louis Stevenson, Treasure Island
+1
But are you sure it wasn't Dos Equis?
Or Paula Deen from the back?
Not quite to 'zero'. I believe they have a certain 'book value' with the Fed/Treasury. $35/oz rings a bell.
Not quite to $35 even, $42.22 as of 1973. <nitpick/>
MTM baby...
Since I have proven to myself I can buy gold at the ask side of the paper price spread, and in size, should I wait for zero?
Damn, these promoters can get this crowd to believe anything. They're hosing you, and yet you thank them. Bizarre.
Oracle down 10% in one day.
AAPL down 40%.
MFGlobal down to zero.
...and so on....
Gold and oil have held up pretty well considering the mad dash for cash.
Because Oil > paper promises. It's the only reason money exists right now. There is no other business on this planet that isn't solely dependent on it unless in some remote fishing village in south america.
They held up because it means hyper inflation is about to charge. That's what they indicate.
AAPL down 40%.
Oh the horror.....the horror.
BTFD or catch some falling knifes!!!
At this point if a 350 point down day could not drop yields I don't see how they get the herd running back to bonds without going for a whopper of a hit to stocks, which I think is coming. Even with that, yields overall still seem to want to trend higher. Crazy shit.
Psychological warfare trading software. They know before we do. Some days. Not today.
We either believe the data or not. HFT doesn't care about these things. There will be no crash while HFT is over 50% of volume.
Now, if they shut down you can have your crash. But if they don't, you can't. There is no market.
When things get extreme the HFT are programmed to stop trading. Their programs are only designed for a normal range of factors, so their programming is no longer valid. The liquidity disappears.
And Maria Bartiromo is convinced that $37 Billion going out of Bond funds just HAS to be going into stocks. Twit!
Maria, my dear, that money is going into CA$H!
Fool me once shame on you...
Somebody, please...
Please.
Make it stop.
Please.
Maria always gets me thinking of donuts for some unasociated eason.
"Maria always gets me thinking of donuts for some unasociated [r]eason."
Must be the gloss lipstick (or whatever they call that thing)
Funny, she always gets me thinking of Dyson vacuum cleaners. You know, "the proper amount of suction". I agree, it must be the gloss lipstick thing.
"Must be the gloss lipstick (or whatever they call that thing)"
Strawberry-courant icing. Licked some off Maria's lips one passionate evening in 1988 (when she was still pretty good-looking) - before she performed some magic down below.
Not all of it. It's not a zero sum game anymore when leverage is involved. As margin calls increase the impact will be exponential.
A few years back,I would have given up a couple oz of gold for a shot at MB, now I would give up a couple oz of silver for a shot. Time takes it's toll.
Deflation?
By the pricking of my thumbs,
Something wicked this way comes.
Well, maybe.
By the fluttering of my eye,
Bye and bye.
Surely...
Hey, hero - how's the journey?
Hey SR, that Sissy-fussian tale was written for a reason, as I now deeply know and understand... :-)
How is your electric jet?
ori
110 MPG jet fuel equivalent.
I always knew you wern't just a retired english teacher.... ;-)
You two should get a room, or at least use the bathroom at the McDonalds together.
http://philadelphia.cbslocal.com/2013/06/21/police-women-found-having-se...
This country is turning into SHIT.
Turning...or did you mean turned?
It has turned on the left and right coasts. It is starting to turn elsewhere.
Soon it will reach critical mass and then the shit storm begins- obtain as high a vantage point possible and enjoy the ride!
Interesting times and we will be a part of it- I do not fear it; I embrace it.
Great, then kindly slip your pointed head into the noose.
Do you know what a shit barometer is? It measures the shit pressure in the air. When the shit storm comes, your ears will explode from the shit pressure.
http://www.youtube.com/watch?v=OQufxG1GcAk
There's always APPL :: /sarc on
Selling everywhere...
So who is on the other end, doing all this buying?
"So who is on the other end, doing all this buying?"
The "Market Makers"?
Bernanke is buying $85 billion/month in MBS. So whoever sold the MBS probably takes the newly printed money from the Fed and buys stocks or bonds, probably on leverage. Which is why POMO days are so good for the markets and why the market wilted when Bernanke dared to utter the "T-word".
That's the only important question. The rest is noise.
Who? The central banks. Do pay attention. QE to infinity. All for the latest fiatsco, until the reset linked to gold.
Yes, the other central banks back stopped by Ben. That was a real eye-opener to me this past month when I read that on ZH. I always knew they could, but knowing they are makes this a whole new game.
I can't image why people can't see the endgame.....Ben is not 'tapering'....he is only talking taper so that assets, commodities, etc will stop rising so fast.
Ben (or whoever) must continue to print. they may slow down for a bit to slow down the real 'inflation' but the economy will TANK. they must always print.
Knowing this, buying PMs is the only real option. Sorry. Again, knowing the endgame, people should use the dip in PMs to stop loading up again....I am.
Goldman's Muppets.
Selling everywhere...
So who is on the other end, doing all this buying?
Depends, if it's gold and sliver,it's all on ships headed to the East.
If the Fed is the only one buying the stock market, and the stock market is "melting up on low volume," then who cares?
"It's no use Jim, not enough people believe in magic anymore, Tinkerbell has died." "Get the replicator to make a shoe box."
I'll be damned. The local cab is not being sold. I am sure that the winery closed early tonight because of asshole oBUMMERweasel.
O'bomba, chosen by Soros, the major Democrat funder who stole from jews, and continues his mad men nazionism which cares nothing for gentiles...and only serves the Rothschilds ( the international financiers and monarchists).
Get off your knees.
First world problems.
Ben (or his replacement Yellen) will double their printing efforts very soon. On the other hand, they may drag the Master Mormon back onstage, Hank Paulson with all his nervous twitching and stuttering to scare the Sheeples with visions of mushroom clouds and catastrophic end of Western Civilization if we don't save the systm pronto.
Henry Paulson is a Scientologist (Christian Scientist), it appears.
L. Ron objects to this use of Scientologist.
Why can’t Bernanke, O’bama and Jack Lew find new investment partners in Africa?
Chinese president in S. Africa for state visit, BRICS summit
World Bank
http://microdata.worldbank.org/index.php/catalog/1305
http://data.worldbank.org/country/south-africa
O'bomba, Bernanke and Lew hate what their Rothschild nazionsm call the 'schwartze'.
If American jews stay on their knees, then they will be ruined by the same international financiers who funded Hitler, Lenin, Mao, Pol Pot and every warmongering two faced freak...and go to the showers once more, as the American flag will be ruined, just as the swastika a peaceful indian symbol was ruined by the Rothschild zionists, and their Hitler, Lenin, Trotsky, Stalin.
The USA is the only place on earth where black people can advance by their own merit, regardless of birth and happenstance.
Nazionists hate what they call the 'schwartze'. O'bomba was chosen by the Democrats' biggest funder, Soros - the man who as a boy stole from ordinary jews, and pursues the freak new world order of the Rothschild nazionists. Not American. Not humane. Money grubbing. The very thing which the founders of this Republic warned against.
Bravo, bravo..
Monster!
On the bright side, velocity of money is up. /sarc
Ok...who didn't see this coming. Popcorn...check...gold/silver stored in lake...check...rounds of various caliber...check...
If you ever come across a lake littered with popcorn and gun shells - the good stuff's at the bottom.
Nice interview.
The den of thieves have been quarantined. Once they sell off their shares for a profit. All international/domestic Bank accounts will be froze. Better luck next time fuck sticks!
/LOL
Edit: this resonates from US elected official members only.
.
Keep selling.
Operation Paperclip brought the Nazis to the USA after Hitler failed, despite the Rothschild zionist, central bankster 'new world order' money, and their grand final solution failed again in 2008.
Or perhaps you would rather walk to another shower, munchkins; American jews to be most reviled for the old British/European treachery; the age old bankster class, serving the monarchies.
Physical gold, silver, land and genuine community are the only refuge for Americans in particular.
Jews owe allegiance to the USA, the only country that refused to forsake them in WWII. Pay up now.
I am talking to you Rothschild in particular, as you recently took up residence in the USA.
"Jews owe allegiance to the USA, the only country that refused to forsake them in WWII. Pay up now."
Actually boatloads of non-banker Jews were turned away during the war.
Or...you could own up to the US sitting on their hands and letting the rest of the world get pummelled (including said Jews) because there was a profit in it.
Stop patting yourself on the back for shit that you didn't even have anything to do with.
Homes will be cheaper to buy during the revolution.
Yes. "Buy", thats what I meant. What happened to my neighbor? I unno, Fema camped?
I dont see how they can taper anything if a massive selloff insues, yields to the moon, actual depression sets in (as in becomes visible to all who are still sleeping)...unless thats the plan?
Just fire up the presses again!
Edit: The new Prime Interest chick is hot in the 'girl next door' kinda way, but shes a terrible presenter. I miss Lauren Lyster.
QE to infinity.
I'll sell whatever that buys.
With rumors of it stopping.....just to keep everything in check.
I remember my Dad who was born in 1908, telling me you could buy 40 acres and a shack for $500 during the Great Depression. What you do you figure the same would go for, post Kaboom?
And I remember my Dad, a farm boy from Maine who went on to be an engineer and run a famous American company, still renowned today.
He said: don't get angry. Get even.
So be it.
Sell now. All of it. Or be left holding the ruins.
This Republic is being ruined by foreigners: nazionists and their DC 'globalists' who make nothing, and take everything, with JP Morgan and Goldman Sacks as the undertakers with their unregulated otc derivatives equal to more than global gdp.
Those damn furriners.
Nazionist British banksters in particular. You are a bumpkin. A poor apparatchik, most likely.
You might find this of interest, NE:
-----
The Advocate: America's Jewish Journal
August 31, 1912
http://is.gd/9ug9zm
"Governor Wilson will make his first campaign speech in this city next Wednesday week, when he will attend a dinner at the Cafe Boulevard, under the auspices of the Workingmen's Woodrow Wilson Club, of the lower East Side. It is expected that his address will treat of immigration topics. Henry Goldman, head of Goldman, Sachs & Co., international bankers, has followed Jacob H. Schiff's course and announces his support of Governor Wilson. "
well SUMBITCH. Right back to the 1st generation vampire.
If we could just go back in time....with really big freakin guns.
I remember my Dad who was born in 1908, telling me you could buy 40 acres and a shack for $500 during the Great Depression. What you do you figure the same would go for, post Kaboom?
That was when 40 dollars was worth $40.00,now it's shit.At least it was backed by silver.
400 oz silver? Where was he located at that time?
That's cuz upkeep will be a bitch between lootings, zombie swarms and re-setting the booby-traps.
That reply has all the elements of a classic Greek tale.
Comedy.
Tragedy.
Underlying truth.
With the use of only 16 words, masterful
Tank ye kindly. saaar!
and for those who clicked the link it's the short-round kid, I felt that was a nice addition. DOCTAH JONES LOOK OUT!
This is pretty scary stuff.
I guess I'll go ahead and order one of those Brown Safes to keep my 28 wristwatches secure.
Cowards are scared. Patriots are ready... not buying this bull$hit any longer.
Love hearing that coming from New England!
Love hearing anyone support the Republic. We shall prevail. We, the Republic, our Republic by many hands...our money, our land.
Liars be damned. It is not jingoistic to love the USA. It is respect for all who give more than they take.
Rather embarrassed to declare that, but hey ho, some say worse.
We won’t prevail unless we unplug our children from the propaganda machine that includes Hollywood, the MSM and the public school system. If there is going to be any future for liberty and the republic it has to start with teaching and raising of the next generations.
Common Core = marxist stupidity
Am very confident that Mr presidents expected nomination to replace Gary Gensler as chair of CFTC, Amanda Renteria ( ex Goldman ) will do a wonderful job overseeing that pesky $630 trillion derivtives market.
If this isn't proof that Obi is not in bed with the rest of the motley crew ( Congress) in siding with the banks then my grandmothers a chinaman.
Heartbreakingly refreshing not! Sad, so sad.
i might just be a dick, but i am sick of reading shit like this.
bumpy...
Well, now for some good news:
Adding a little silver to your anti-biotic is 1,000 times more effective.
http://www.dailymail.co.uk/health/article-2344583/Silver-really-COULD-ne...
Silver sister, a very bright opportunity.
How very ironic that the un-Federal no-Reserve Bored is much liked by central banks and their failed foreigners, , whereas the Constitution only recognises silver and gold.
There are technical warnings of deflation everywhere.
This weak the Dow theory signaled:
On June 21: a primary bear market in stocks: http://www.dowtheoryinvestment.com/2013/06/dow-theory-update-for-june-21...
On June 20: a primary bear market in gold and silver miners reconfirmed: http://www.dowtheoryinvestment.com/2013/06/dow-theory-update-for-june-20...
On June 19: a primary bear market in paper gold and silver reconfirmed: http://www.dowtheoryinvestment.com/2013/06/dow-theory-update-for-june-19...
And bonds falling out of bed.....
FWIW on the northern solstice
The Mystery Religion
God bless Captain Cooper
Here's an interesting article on Chinese banks with a translated video on Falsified Chinese statistics being revealed. If this is true then China is undergoing a major crisis right now. No wonder citizens there are buy gold like crazy.
Here's the video:
http://beforeitsnews.com/economy/2013/06/chinese-banks-go-bust-as-bubble-bursts-2531220.html
The Bob* & Chris Show. Most excellent!
* Bob TD English
There is one way out of this. It is nine letters in length: END THE FED.
Some men you just can reach ...
Failure to communicate .......https://www.youtube.com/watch?v=SnO9Jyz82Ps&feature=player_embedded#at=1...
I work as a part time cashier in the mid-west and notice that US currency and coin is falling apart, not being renewed.
Are you working at a bank? We could speculate on the reasons for this. New currency with devaluation and cutting out all those poor marks holding USD abroad? The end of currency and the beginning of plastic? Government too bankrupt to print actual currency and mint coin? There must be other possibilities I haven't thought of. None of those are good things.
I believe some large parties are still buying Silver eagles as fast as they can stamp em out.