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10 Key Events That Preceded The Last Financial Crisis Are Happening Again

Tyler Durden's picture




 

Submitted by Michael Snyder via The Economic Collapse blog,

If you do not believe that we are heading directly toward another major financial crisis, you need to read this article.  So many of the exact same patterns that preceded the great financial collapse of 2008 are happening again right before our very eyes.  History literally appears to be repeating, but most Americans seem absolutely oblivious to what is going on.  The mainstream media and our politicians are promising them that everything is going to be okay somehow, and that seems to be good enough for most people.  But the signs that another massive financial crisis is on the horizon are everywhere.  All you have to do is open up your eyes and look at them.

Bill Gross, considered by many to be the number one authority on government bonds on the entire planet, made headlines all over the world on Tuesday when he released his January Investment Outlook.  I don’t know if we have ever seen Gross be more negative about a new year than he is about 2015.  For example, just consider this statement

“When the year is done, there will be minus signs in front of returns for many asset classes. The good times are over.”

And this is how he ended the letter

And so that is why – at some future date – at some future Ides of March or May or November 2015, asset returns in many categories may turn negative.

 

What to consider in such a strange new world? High-quality assets with stable cash flows. Those would include Treasury and high-quality corporate bonds, as well as equities of lightly levered corporations with attractive dividends and diversified revenues both operationally and geographically. With moments of liquidity having already been experienced in recent months, 2015 may see a continuing round of musical chairs as riskier asset categories become less and less desirable.

 

Debt supercycles in the process of reversal are not favorable events for future investment returns. Father Time in 2015 is not the babe with a top hat in our opening cartoon. He is the grumpy old codger looking forward to his almost inevitable “Ides” sometime during the next 12 months. Be cautious and content with low positive returns in 2015. The time for risk taking has passed.

So why are Gross and so many other financial experts being so “negative” right now?

It is because they can see what is happening.

They can see the same patterns that we saw in early 2008 unfolding again right in front of us.  I wanted to put these patterns in a single article so that they will be easy to share with people.  The following are 10 key events that preceded the last financial crisis that are happening again right now…

 

#1 A really bad start to the year for the stock market.  During the first three trading days of 2015, the S&P 500 was down a total of 2.73 percent.  There are only two times in history when it has declined by more than three percent during the first three trading days of a year.  Those years were 2000 and 2008, and in both years we witnessed enormous stock market declines.

 

#2 Very choppy financial market behavior.  This is something that I discussed yesterday.  In general, calm markets tend to go up.  When markets get choppy, they tend to go down.  For example, the chart that I have posted below shows how the Dow Jones Industrial Average behaved from the beginning of 2006 to the end of 2008.  As you can see, the Dow was very calm as it rose throughout 2006 and most of 2007, but it got very choppy as 2008 played out…

The Dow 2006 to 2008

As I also mentioned yesterday, it is important not to get fooled if stocks soar on a particular day.  The three largest single day stock market gains in history were right in the middle of the financial crisis of 2008.  When you start to see big ups and big downs in the market, that is a sign of big trouble ahead.  That is why it is so alarming that global financial markets have begun to become quite choppy in recent weeks.

 

#3 A substantial decline for 10 year bond yields.  When investors get scared, there tends to be a “flight to safety” as investors move their money to safer investments.  We saw this happen in 2008, and that is happening again right now.

In fact, according to Bloomberg, global 10 year bond yields have already dropped to low levels that are absolutely unprecedented…

Taken together, the average 10-year bond yield of the U.S., Japan and Germany has dropped below 1 percent for the first time ever, according to Steven Englander, global head of G-10 foreign-exchange strategy at Citigroup Inc.

 

That’s not good news. The rock-bottom rates, which fall below zero when inflation is taken into account, show “that investors think we are going nowhere for a long time,” Englander wrote in a report yesterday.

 

#4 The price of oil crashes.  As I write this, the price of U.S. oil has dipped below $48 a barrel.  But back in June, it was sitting at $106 at one point.  As the chart below demonstrates, there is only one other time in history when the price of oil has declined by more than $50 in less than a year…

Price Of Oil 2015

The only other time there has been an oil price collapse of this magnitude we experienced the greatest financial crisis since the Great Depression shortly thereafter.  Are we about to see history repeat?  For much more on this, please see my previous article entitled “Guess What Happened The Last Time The Price Of Oil Crashed Like This?

 

#5 A dramatic drop in the number of oil and gas rigs in operation.  Right now, oil and gas rigs are going out of operation at a frightening pace.  During the fourth quarter of 2014, 93 oil and gas rigs were idled, and it is being projected that another 200 will shut down this quarter.  As this Business Insider article demonstrates, this is also something that happened during the financial crisis of 2008 and it continued well into 2009.

 

#6 The price of gasoline takes a huge tumble.  Millions of Americans are celebrating that the price of gasoline has plummeted in recent weeks.  But they were also celebrating when it happened back in 2008 as well.  But of course it turned out that there was really nothing to celebrate in 2008.  In short order, millions of Americans lost their jobs and their homes.  So the chart that I have posted below is definitely not “good news”…

Gas Price 2015

 

#7 A broad range of industrial commodities begin to decline in price.  When industrial commodities go down in price, that is a sign that economic activity is slowing down.  And just like in 2008, that is what we are watching unfold on the global stage right now.  The following is an excerpt from a recent CNBC article

From nickel to soybean oil, plywood to sugar, global commodity prices have been on a steady decline as the world’s economy has lost momentum.

For an extended discussion on this, please see my recent article entitled “Not Just Oil: Guess What Happened The Last Time Commodity Prices Crashed Like This?

 

#8 A junk bond crash Just like in 2008, we are witnessing the beginnings of a junk bond collapse.  High yield debt related to the energy industry is on the bleeding edge of this crash, but in recent weeks we have seen investors start to bail out of a broad range of junk bonds.  Check out this chart and this chart in addition to the chart that I have posted below…

High Yield Debt 2015

 

#9 Global inflation slows down significantly.  When economic activity slows down, so does inflation.  This is something that we witnessed in 2008, this is also something that is happening once again.  In fact, it is being projected that global inflation is about to fall to the lowest level that we have seen since World War II

Increases in the prices of goods and services in the world’s largest economies are slowing dramatically. Analysts are predicting that inflation will fall below 2pc in all of the countries that make up the G7 group of advanced nations this year – the first time that has happened since before the Second World War.

 

Indeed, Japan was the only G7 country whose inflation rate was above 2pc last year. And economists believe that was because its government increased sales tax which had the effect of artificially boosting prices.

 

#10 A crisis in investor confidence.  Just prior to the last financial crisis, the confidence that investors had that we would be able to avoid a stock market collapse in the next six months began to decline significantly.  And guess what?  That is something else that is happening once again…

Investor confidence that the US will avoid a stock-market crash in the next six months has dropped dramatically since last spring.

 

The Yale School of Management publishes a monthly Crash Confidence Index. The index shows the proportion of investors who believe we will avoid a stock-market crash in the next six months.

 

Yale points out that “crash confidence reached its all-time low, both for individual and institutional investors, in early 2009, just months after the Lehman crisis, reflecting the turmoil in the credit markets and the strong depression fears generated by that event, and is plausibly related to the very low stock market valuations then.”

Are you starting to get the picture?

And of course I am not the only one warning about these things.  As I wrote about earlier in the week, there are a whole host of prominent voices that are now warning of imminent financial danger.

Today, I would like to add one more name to the list.  He is respected author James Howard Kunstler, and what he predicts is coming in 2015 is absolutely chilling

*****

Here are my financial forecast particulars for 2015:

  • Early in 2015 the ECB proposes a lame QE program and is laughed out of the room. European markets tank.
  • Greek elections in January produce a government that stands up to the EU and ECB and causes a fatal slippage of faith in the ability of that project to continue.
  • Second half of 2015, the rest of the world gangs up and counter-attacks the US dollar.
  • Bond markets in Europe implode in first half and the contagion spreads to the US as fear and distrust rises about viability of US safe haven status.
  • Derivatives associated with currencies, interest rates, and junk bonds trigger a bloodbath in credit default swaps (CDS) and the appearance of countless black holes through which debt and “wealth” disappear forever.
  • US stock markets continue to bid upward in the first half of 2015, crater in Q3 as faith in paper and pixels erodes. DJA and S & P fall 30 to 40 percent in the initial crash, then further into 2016.
  • Gold and silver slide in the first half, then take off as debt and equity markets craters, faith in abstract instruments evaporates, faith in central bank omnipotence dissolves, and citizens all over the world desperately seek safety from currency war.
  • Goldman Sachs, Citicorp, Morgan Stanley, Bank of America, DeutscheBank, SocGen, all succumb to insolvency. American government and Federal Reserve officials don’t dare attempt to rescue them again.
  • By the end of 2015, central banks everywhere stand in general discredit. In the US, the Federal Reserve’s mandate is publically debated and revised back to its original mission as lender of last resort. It is forbidden to engage in further interventions and a new less-secretive mechanism is drawn up for regulating basic interest rates.
  • Oil prices creep back into the $65 – $70 range by May 2015. It is not enough to halt the destruction in the shale, tar sand, and deepwater sectors. As contraction in the failing global economy accelerates, oil sinks back to the $40 range in October…
  • …unless mischief in the Middle East (in particular, the Islamic State messing with Saudi Arabia) leads to gross and perhaps fatally permanent disruption in world oil markets — and then all bets are off for both the continuity of advanced economies and for peace between nations.

*****

Personally, I don’t agree with Kunstler on all of the particulars and the timing of certain events, but overall I think that we are going to look back when the year is done and say that he was a lot more right than he was wrong.

We are moving into a time of extreme danger for the global economy.  There has never been a time when I have been more concerned about a new year since I began The Economic Collapse Blog back in 2009.

Over the past couple of years, we have been very blessed to be able to enjoy a bubble of relative stability.  But this period of stability also fooled many people into thinking that our economic problems had been fixed, when in reality they have only gotten worse.

We consume far more wealth than we produce, our debt levels are at record highs and we are at the tail end of the largest Wall Street financial bubble in all of history.

It is inevitable that we are heading for a tragic conclusion to all of this.  It is just a matter of time.

 

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Wed, 01/07/2015 - 19:52 | 5635043 yellowlight4570
yellowlight4570's picture

I rarely bother to read entire pieces on ZH any more. The headline and who wrote it is enough. This guy has been a doom porn fav of ZH for years. He never says what to do (except prepper stuff)  what to invest in. Never all it is crash crash crash. I'm waiting. I'm hoping. Wheres my crash. By now I would think I would be blowing blood out my Ebola ravaged nose given the hope he had for that earlier this year.  Still like you and many others I'm hopefull this is our year!

Wed, 01/07/2015 - 18:52 | 5634842 toadold
toadold's picture

"Look Boychick that Bank invested in Argentine Rail Road bonds on the promise of a high rate of return, they didn't look at the fine print.  They are paying British Pounds and will get paid back in whatever passes for Argentine currency. On top of that the Argentines don't have a very good credit record."  That was sometime in the 1850's. 

It will all be different this time.

Wed, 01/07/2015 - 19:01 | 5634863 geno-econ
geno-econ's picture

Assuming most of the predictions come to fruition, especially those related to energy, will spark a move towards isolationism in foriegn policy and towards economic Regionalism.  Specifically Americas including Canada and Mexico along with Venezuela make the North American continrnt self suficient thanks to fracking and horizontal drilling.  With a failing world fiat currency, its back to basics and comparative advantage, rather than manipulation by Bankers, Wall St,  and Wash. with dreams of Empire competition on a world scale. This also may result in the EU or its predecessor organization cooperating with Russia in the field of energy and commerce as well as other realignments around the world that make economic sense.  In essence, if the fiat reserve petrodollar fails, so does the NWO. Welcome back to Regionalism 

Wed, 01/07/2015 - 19:02 | 5634867 Barnaby
Barnaby's picture

 What are you, Ross Perot's 90-year-old secretary just catchin' up?

Wed, 01/07/2015 - 19:27 | 5634951 geno-econ
geno-econ's picture

Just expressing a point of view based on asumed predictions.  What is your wise thoughts or are you Ross Perot's candidate for VP 

Wed, 01/07/2015 - 19:50 | 5635031 Barnaby
Barnaby's picture

I genuinely thought you were being funny, and as it has been tried before sought to exploit the silliness of time and stuff. How it repeats when folks are dumn n stuf.

Wed, 01/07/2015 - 21:19 | 5635273 Buster Cherry
Buster Cherry's picture

I upvoted you because that was funny.

I remember the old Admiral drooling at the microphone....I think he took the beatings that McCain avoided.

Wed, 01/07/2015 - 21:49 | 5635364 Buckaroo Banzai
Buckaroo Banzai's picture

That "drooling old Admiral" was a better man than every other person in the Federal government.

Look him up.

You're certainly right about the beatings. He didn't collaborate with the enemy like McCain did.

Thu, 01/08/2015 - 01:31 | 5635906 IridiumRebel
IridiumRebel's picture

BOOKS:

Taiwan and the Sino-Soviet Dispute, Stanford, California, 1962.
The Ethics of Citizenship, University of Texas at Dallas, 1981, Andrew R. Cecil lectures on moral values in a free society featured Stockdale and other speakers.
James Bond Stockdale Speaks on the "Melting Experience: Grow or Die",

Hoover Institution, Stanford, 1981 speech to the graduating class of John Carroll University in Cleveland, Ohio.
A Vietnam Experience: Ten Years of Reflection, Hoover Institution, Stanford, 1984, ISBN 0-8179-8151-9.
In Love and War: The Story of a Family's Ordeal and Sacrifice During the Vietnam Years, Harper & Row, New York, 1984, ISBN 0-06-015318-0.
In Love and War: The Story of a Family's Ordeal and Sacrifice During the Vietnam Years, Naval Institute Press, reprint 1990, Annapolis, Maryland, ISBN 0-87021-308-3.
Courage Under Fire: Testing Epictetus's Doctrines in a Laboratory of Human Behavior, Hoover Institution, Stanford, 1993, ISBN 0-8179-3692-0.
Thoughts of a Philosophical Fighter Pilot, Hoover Institution, Stanford, 1995 ISBN 0-8179-9391-6.
Other writings
Stockdale on Stoicism I: The Stoic Warrior's Triad
Stockdale on Stoicism II: Master of My Fate

Wed, 01/07/2015 - 19:05 | 5634878 Kreditanstalt
Kreditanstalt's picture

" That is why it is so alarming that global financial markets have begun to become quite choppy in recent weeks."

"Alarming?"  BRING IT ON!  We have fake interest rates, fake asset values, bogus statistics, no REAL GDP growth, fake "minimum wages", government-supported resource industries, fake house prices, "no inflation" (LOL!), no price discovery, manipulated markets, rigged stock prices, the central banks "buying" stocks and suppressed gold "prices"...

A little honesty would be refreshing...  "In a time of universal deceit, one word of truth is a shot heard around the world."

Wed, 01/07/2015 - 19:07 | 5634883 silverer
silverer's picture

One problem with a big drop in gas prices is the money gravitates to other things. Fast forward 2 years to when it shoots back up. Money now a problem again. Maybe a big problem for many on the edge.

Wed, 01/07/2015 - 20:31 | 5635158 p00k1e
p00k1e's picture

After we identify the low in oil, we’re going long using a leveraged ETF, simply sell at the top then pour the profits into real estate and boats and art….  On the cheap because you are correct. 

Wed, 01/07/2015 - 21:09 | 5635252 Ban KKiller
Ban KKiller's picture

Game plan!

Wed, 01/07/2015 - 19:10 | 5634887 Bro of the Sorr...
Bro of the Sorrowful Figure's picture

rather optimistic with that prediction about the american govt and federal reserve not daring to bail out the big banks. especially given that the federal reserve, american government, and big banks are owned by the same people and essentially interchangeable terms. same goes for the following prediction about restraining the reach of the fed. seems to me the only way any of that is happening is if a small group of patriots take the power back with arms and munitions. lots of spilled blood and beheaded bankers and neocons in that scenario.

Wed, 01/07/2015 - 19:26 | 5634952 the grateful un...
the grateful unemployed's picture

big surprise of the year Yellen is not an apparatchik. she wasnt Obamas first choice, he slid her in because she is a minority, Obama supposed because she is jewish she has a thing for a negro president and that somehow her loyalty to that cuts through a lot of central bank clubbiness. he says go she says no. headline

Wed, 01/07/2015 - 19:18 | 5634894 Kassandra
Kassandra's picture

Once you realize it's all a load of crap, life becomes much easier.

You can choose to play the game, not play the game or just kick back and watch the game.

Wed, 01/07/2015 - 19:18 | 5634908 Jumbie
Jumbie's picture

So, last time around, I lost some bucks waiting for market to drop, as many did. Martin Weiss had decent reasons, all economically sound in a real market. All traditional indicators were "collapse". Viola - FED banks buy up equities with depositor's funds, and magic, the market rises to 18k.

What is different this time?

Wed, 01/07/2015 - 19:18 | 5634914 the grateful un...
the grateful unemployed's picture

on the matter of bank insolvency i agree with Ellen Brown, she thinks that after the next crash there will be only five banks, (the smaller banks will be thrown under the bus) always assume that whatever they did during the last crisis they will do it again, only more so (TARP etc, hell they already passed the Cromnibus bill backstopping the banks derivative exposure) i would say they have already set the stage, its all over but the shouting, sorry Wells Fargo, Union.

Wed, 01/07/2015 - 19:22 | 5634926 snblitz
snblitz's picture

Assets classes going up or down in value is determined by the Fed in the US. 

The Fed buys, sells, naked shorts, as needed to direct various asset class values.

If a financial crisis is coming it would be as a result of the Fed wanting it.

Wed, 01/07/2015 - 19:27 | 5634928 honestann
honestann's picture

Reasonably good article, but Kunstler is as nutty as usual.  The predators-DBA-government cannot operate (as they absolutely demand to operate) without unlimited near-0% loans of fiat, fake, fraud, fiction, fantasy, fractional-reserve debt-notes.

The predators-that-be WANT and PLAN the world economy to collapse.  They recently change the law so ALL savings will be confiscated, and the taxpayer FULLY on the hook for unlimited losses of the big banks Kunstler claims "will fail".

No, the big banks won't fail.  The entire population of the USSA and EU and most of the western world will be OFFICIALLY declared "slaves", owned by these big banks.  Sure, they won't say that word, but the meaning will be the same.  Of course, the entire populations of all western nations are already slaves, both legally and practically.

Of course, not all slaves obey.  Do they?

Sadly, the vast majority do.

Wed, 01/07/2015 - 19:27 | 5634953 Counterpunch
Counterpunch's picture

Breaking up the biggest 5 or 7 or so banks is absolutely vital to the real economy, and of course it won't happen.

 

The issuing power needs to be taken from private hands once and for all.

Wed, 01/07/2015 - 19:31 | 5634964 honestann
honestann's picture

But only civil war against the predators-that-be can achieve that.  And only 1% to 3% of the population would be sufficient to make it happen.

Sadly, not even 0.1% today are willing to take serious action.  And so, goodbye humanity, you are finished.

Wed, 01/07/2015 - 20:08 | 5635096 DaddyO
DaddyO's picture

When the poop hits the propeller, you'll get your 3%...

Adversity will breed true patriotism.

DaddyO

Wed, 01/07/2015 - 22:05 | 5635413 Ginsengbull
Ginsengbull's picture

Poop wont hit the prop, until internet, smartphone, and cable service providers see significant drops in subscription.

 

Until that, the sheep follow the judas goat to the slaughter.

Wed, 01/07/2015 - 22:48 | 5635532 honestann
honestann's picture

I wish.  I truly do... even though I'm far away now, and will hopefully be off the planet by the time anything happens.  But... I STRONGLY DOUBT IT.

However, I would so love to be totally wrong.

Hope you're right.

You should be.

Wed, 01/07/2015 - 21:14 | 5635261 Buster Cherry
Buster Cherry's picture

Yeah at first I wondered why revolution wasn't fitted in to the list somewhere, but alas, I fear you are correct that citizens are too pacified to revolt.

Wed, 01/07/2015 - 21:52 | 5635375 Buckaroo Banzai
Buckaroo Banzai's picture

The white man has been enslaved ever since the 16th Amendment was passed, and the Federal Reserve was enthroned.

Wed, 01/07/2015 - 22:50 | 5635524 honestann
honestann's picture

Yup.  And now most can't even IMAGINE living without FED or IRS.  MORONS.  99.9999% cannot even imagine liberty.

Thu, 01/08/2015 - 01:09 | 5635881 Prometheus418
Prometheus418's picture

@honestann

I'd like to say you're wrong, but I can't.  You say things that sound sort of crazy, but they're technically correct.

If you ever find or build that starship of yours, beam me up, Annie.  I already have some work rolling around on the red planet, so perhaps I could help break the ice with the local microbes.  For my part, I have reached the point where I can't fully avoid the FED/IRS combo, but in daily life, I'm pretty free to do as I wish.

Here's to the impossible dream of drinks and dinner amongst the stars.  Cheers.

Thu, 01/08/2015 - 17:39 | 5636026 honestann
honestann's picture

Yup, I bet your little devices wandering around on Mars are "technically correct".  And if they aren't, I bet they don't work.  Which is why mankind doesn't work, their motivating ideas are blatantly technically incorrect.

Yeah, I avoid them too, living here in the extreme boonies of the southern hemisphere.  But the world would be a much better place, and we'd get our project done a lot faster and easier... if all these predators and fictions would just go away, and let us live our "technically correct" lives (or suffer the consequences).  Which sorta sounds like "feedback", doesn't it.  Bet you have some of that on Mars too.  :-)

PS:  Unfortunately, we won't have a starship, unless we're very wrong about FTL.  Nonetheless, just wandering around the solar system will be plenty of fun... AWAY from predators-that-be... and morons-that-be too.

PS:  It isn't impossible, just lots of work and difficult.  We KNOW how.  If we finish our project in the time expected... we will get into space.  And live forever.  And engineer the universe to our liking.  Which will take quite a while without FTL.

Wed, 01/07/2015 - 19:41 | 5634969 HardlyZero
HardlyZero's picture

WTI or Brent are excellent indicators of where this is going without flash crash.

Its all there up front and center.

Get your shorts on !

 

 

His 2nd to last 2015 forcast bullet is too optimistic...

"  Oil prices creep back into the $65 – $70 range by May 2015  "

 

if we have a full-out deflationary spiral we will not see oil price recover...until we are on the other side.

 

Wed, 01/07/2015 - 22:07 | 5635424 TruthHunter
TruthHunter's picture

"  Oil prices creep back into the $65 – $70 range by May 2015  "

Its optimistic unless....

If Russia and Saudia Arabia collapse, quadruple that.

Wed, 01/07/2015 - 19:36 | 5634987 disgruntled hou...
disgruntled housewife's picture

Well- something is going to happen when Goldman Sachs suggests now is the time to break up JP Morgan. I have been waiting to hear if JP Morgan had a response. Doesn't anyone else find this announcement by Goldman as pre-emptive. I mean if the system is soon to implode did GS put out JP's name to direct the ire to this TBTF entity. Why now?- does GS know the Fed is out of ammo or are they signaling to the others they will not let the Fed act. GS runs the NY Fed and most likely the rest of the Fed is under their thumb too.

Wed, 01/07/2015 - 19:49 | 5635029 Clesthenes
Clesthenes's picture

Bill Gross recommends, “Treasury and high-quality corporate bonds…”

Counterparties… counterparties… counterparties.

And no one thinks to examine the most basic of all.

When I was in the Navy, I was the lead electronic technician (ET) for a task force of 8 ships; when ET’s on other ships couldn’t fix gear, they’d call me.  Most of the problems were too simple for them to see.  For example, who would think to check the AC plug?  It’s the simplest thing that could go wrong, and yet, nothing happens without secure connections to power.  It would usually take me about 15 minutes to find this problem (more than once); and I never told them what I did; didn’t want to embarrass them.

We have the same problem today: people fail to consider the most basic of factors needed to secure capital: namely, our currency unit.

The most basic factor relative to all economic activity is a currency unit.  Without a stable or functioning currency unit, barter is the alternative – or will be the alternative when a baseless currency unit ultimately fails.  When that happens, fully 95% of all economic activity will cease.  It would lead to… well, let your imagination run wild.

Is the dollar a baseless currency unit?

We derive the answer by examining how dollars (and American bank reserves) come into economic existence.  They do so IN EXCHANGE for US Treasuries (directly or indirectly).

And what gives US Treasuries value?  Wishful thinking… nothing more.  They have value only because people worldwide believe the US Treasury can collect confiscatory taxes from following generations of American tax payers.  Government debt, thus, is a form of financial cannibalization.  The problem here is that, such taxes can neither be practically nor constitutionally collected.  For, you see, a man, or a generation of men, will not voluntarily cannibalize himself.  Hence, if such taxes are to be collected, it must happen BEFORE power passes from the hands of the cannibalizing generation.  And the time for this is long past; for, this type of cannibalism began some 150 years ago (with the National Banking Act of 1863).

Unfortunately, owing to the mandate of Congress (thru the FR Act and debt authorizations), bureaucrats of the FR and Treasury are pursuing policies that can only end with the total destruction of the dollar and, owing to its status of reserve currency for the world, a few dozen banking systems that use the dollar as a reserve currency (Yen, yuan, Euro, English pound, Canadian and Australian dollars, among others).  (Bad News…; and Anat., part two)

Chances of survival are very slim for those 95% who fail to prepare for those storms now looming on the horizon.

What are preparations most essential for survival?

There are at least two: and each requires a comprehensive network of sub-factors: one) establishment of an alternative and functioning currency and two) the collection of power (thru First-Amendment assemblies) needed to protect your person and company from those who failed to prepare.  (What Price Gold…; and Failure of Power)

Physical gold, of course, is the only historically-proven stable currency.

The problem here is that, if you deal with fairly large “cash equivalents” or dollar-denominated investments (bank notes, bank reserves, debt instruments, Mortgage Backed Securities (MBS) serving as “cash equivalents” (see What Price Gold…), you’ve just about run out of time to convert to physical gold.

Twenty years ago, while I was operating my gold-based banking service, I learned that an order for $500,000 to $1 million worth of physical gold would seize up the physical gold market 4-6 weeks.

I need to stress the enormous disparity between “cash equivalents” and assets supposedly collateralizing (backing) them; as gold used to be backing (or collateral) for issued currency and bank reserves.

By “cash equivalents”, I mean, 1) all paper currency; 2) all bank reserves; 3) Mortgage Backed Securities (MBS) owned by central banks (now and future); 4) all $ instruments owned by foreign institutions; 5) all US Treasuries; 6) plus a large variety of flimsy paper (student loans, car-lot loans, SBA loans, credit-card loans et cetera (see Anat., part one)) owned by the Federal Reserve.

(As you realize that the FR now collateralizes dollars and American bank reserves with such fuzzy paper as SBA and student loans, you will begin to wonder, ‘When did idiots and bandits seize control of the Federal Reserve?’)

All these “cash equivalents” are collateralized by a scrap of paper listed as “gold certificate” on the FR’s asset statement, which, in turn, is collateralized by a scrap of paper listed as “gold or gold swaps” on the Treasury’s asset statement.  This last should tell you that there may not be any physical gold at Fort Knox.

Now, what is the price of gold necessary to make the following formula an equality?

“gold or gold swaps” = all those “cash equivalents” listed above.

Remember, we are dealing with a situation where 90% of the world’s banking systems (by volume) are built (at least partly) on top of the dollar.

What is the price… $7,000… $70,000… infinity?

What will the Piper demand when he finally presents his invoice to the town council?

What will people do when they can no longer cannibalize their children (see Bad News…)… on a world-wide scale?

 

Please, let your lawyers and accountants examine my work; and then act accordingly.

Wed, 01/07/2015 - 20:08 | 5635080 Okienomics
Okienomics's picture

Are you the FOFOFOA we've been seeking?  Qualifications include deep esoteric knowledge of metals markets, high-level relationships with the wealthiest of sheikhs, and an ability to write volumes without saying anything but making us think you have hidden knowledge proving that gold is going to the moon and you cannot share it directly or else the universe would explode.

Wed, 01/07/2015 - 22:02 | 5635409 Ginsengbull
Ginsengbull's picture

He did say that he knows how to plug in an electronic device, given 15 minutes.

Thu, 01/08/2015 - 14:24 | 5638005 Clesthenes
Clesthenes's picture

Er, no, I don't engage in wishful thinking.  Sorry.

Just sit back, and the MSM will give you all you want.

Wed, 01/07/2015 - 20:11 | 5635090 RaceToTheBottom
RaceToTheBottom's picture

Lawyers are dicks and Accounting has been outlawed, but other than that, I agree..

Wed, 01/07/2015 - 23:28 | 5635667 combatsnoopy
combatsnoopy's picture

The irony in the Federal Reserves' "Job Creation" is that a lot of either large or mid-sized firms just lost so much business during the subprime collapse.  They laid off many people that they're either a small or a small, midsized firm.  They're being sued by investors for losing gobs of their money, and paying lawyers $20,000-$30,000/month for protection.   How many strong in-house, full time with benefits accountants would that afford per month? 

Thu, 01/08/2015 - 14:16 | 5637958 Clesthenes
Clesthenes's picture

Correction: MOST lawyers are corrupted beyond remedy.  I have found several who are just as outraged as I am, and you are.

Still, thanks for your reply.

Wed, 01/07/2015 - 19:55 | 5635054 HardlyZero
HardlyZero's picture

Somewhat interesting...if people can't afford Caviar or McD's what's next ?

Signs.

 

McDonald's will lay off 63 workers at headquarters

http://www.cnbc.com/id/102319126

Thu, 01/08/2015 - 00:08 | 5635764 Dragon HAwk
Dragon HAwk's picture

63 out of  1,700  ? Christ that many get lost in the Bathrooms and die in a Year..

Thu, 01/08/2015 - 03:40 | 5636007 dreadnaught
dreadnaught's picture

multiply that times 100 for worldwide employees

Wed, 01/07/2015 - 19:59 | 5635075 Clesthenes
Clesthenes's picture

Care to vote on a Poll?

How should Congress respond next time Treasury requests new debt limit?

 

Raise taxes?  Cut federal salaries and pensions?  Investigate and recover missing trillions?

Wed, 01/07/2015 - 20:02 | 5635083 Questan1913
Questan1913's picture

Weak.  If you want meat rather than idle musings try paying some attention to a heavyweight:

 

http://davidstockmanscontracorner.com/

Wed, 01/07/2015 - 20:13 | 5635109 falconflight
falconflight's picture

 

  • By the end of 2015, central banks everywhere stand in general discredit. In the US, the Federal Reserve’s mandate is publically debated and revised back to its original mission as lender of last resort. It is forbidden to engage in further interventions and a new less-secretive mechanism is drawn up for regulating basic interest rates.

Wish list item, bordering on fantasy.  You'd be hard pressed to find a quorum of 5 calling for this within the Legislative Branch.

Wed, 01/07/2015 - 20:19 | 5635129 NubianSundance
NubianSundance's picture

Even though the system is incredibly corrupt and setup for the benefit of the wealthy and against the interests of ordinary people we do have to remember that the Fed was setup in 1913 to deal with crisis after crisis in the banking sector. It does need substantial reform and needs to be taken away from private ownership into ownership of the American people as soon as possible.

19th century
Panic of 1819, a U.S. recession with bank failures; culmination of U.S.'s first boom-to-bust economic cycle
Panic of 1825, a pervasive British recession in which many banks failed, nearly including the Bank of England
Panic of 1837, a U.S. recession with bank failures, followed by a 5-year depression
Panic of 1847, United Kingdom
Panic of 1857, a U.S. recession with bank failures
Panic of 1866, Europe
Panic of 1873, a U.S. recession with bank failures, followed by a 4-year depression
Panic of 1884, United States and Europe
Panic of 1890, mainly affecting the United Kingdom and Argentina
Panic of 1893, a U.S. recession with bank failures
Australian banking crisis of 1893
Panic of 1896, acute U.S. recession
20th century
Panic of 1901, a U.S. economic recession that started a fight for financial control of the Northern Pacific Railway
Panic of 1907, a U.S. economic recession with bank failures

Wed, 01/07/2015 - 21:02 | 5635238 falconflight
falconflight's picture

Even with this list, I have a hard time agreeing with the premise.  Post Fed creation hasn't stopped or agruably lessened recessions or depressions.  In fact, most would agree that the Fed as allowed government debt creation beyond repair.  Free enterprise, since the human condition can never be factored out, will necessarily have excesses, and the resultant busts.  Government excesses are beyond control and are unaccountable to the citizens.

Thu, 01/08/2015 - 05:39 | 5636079 NubianSundance
NubianSundance's picture

The Japanese economic miracle happened when the Ministry of Finance was in control of finance and loans, no external loans, the BofJ subservient, as soon as that ended following intense pressure from the US the problems for Japan began.

Wed, 01/07/2015 - 22:09 | 5635436 Meat Hammer
Meat Hammer's picture

So to deal with the problem of banks and their effect on the economy the solution was to create an all-powerful central bank and put it in bed with the Federal Government.

Much better.

Ahem...

END THE FED!

Thu, 01/08/2015 - 03:23 | 5635994 Proofreder
Proofreder's picture

IMHO, here is the scary part ...

"All this unreality in money and markets should be expected in the conditions just preceding systemic collapse of an entire trans-national industrial civilization, just as one should expect societies to construct their most grandiose monuments to themselves shortly before collapse. The Mayans R us. One year, they were cavorting bloodthirstily atop their garish painted pyramids and a generation later the jungle was stealing back over the temple steps and the population was a tenth of its former size.

The same thing is going to happen to us, except there will be a hell of a lot more worthless, toxic debris left on the landscape."

Wed, 01/07/2015 - 20:34 | 5635167 Magnum
Magnum's picture

I'd like to see gold go from $1200 to $2600.  2008 it was $800 and ran up to $1900.  

Wed, 01/07/2015 - 20:58 | 5635231 Dead Man Walking
Dead Man Walking's picture

bitcoin will go to 10,000 usd when gold is 2k.

Wed, 01/07/2015 - 21:12 | 5635260 Ban KKiller
Ban KKiller's picture

Hmmmm...all good things comes to those that wait? OK, then, party on!

Slowly circling the drain is my view. 

Wed, 01/07/2015 - 21:27 | 5635288 El Hosel
El Hosel's picture

Only Ten?.... oops

Wed, 01/07/2015 - 21:25 | 5635289 El Hosel
El Hosel's picture

Only Ten?.... A Bullish clusterfuck, as it were.

Wed, 01/07/2015 - 21:45 | 5635355 yrbmegr
yrbmegr's picture

The thing about writing a blog called "The Economic Collapse Blog" is, one day you'll be right.  You just never know when.

Wed, 01/07/2015 - 21:56 | 5635394 Voice of Reason
Voice of Reason's picture

Why did the SP 500 futures just pop up 15 points?

Wed, 01/07/2015 - 21:59 | 5635397 Jack Burton
Jack Burton's picture

" The mainstream media and our politicians are promising them that everything is going to be okay somehow, and that seems to be good enough for most people."

On the contrary. Todays NRP economic report did not say things would be allright. They said things were alright, and getting better. Large jobs growth in the USA and lower energy prices are double plus good. Europe may have a problem, But, that is being solved and the EU will return to good growth just like the USA and UK, the ECB will take on dramatic asset purchases, often called QE. This is what solved the economic growth problems in the USA and UK, and now the entire EU will benefit and go into growth on the new QE coming from the ECB.

Not only do they not mention that we are on teh cusp of a major financial crisis, they claim we are deep into a sustained recovery, due to central bank QE.

 

Thu, 01/08/2015 - 03:03 | 5635987 Victor999
Victor999's picture

And when it all blows up in their (our?) faces again, they will chant, "We just didn't see this coming!"

Wed, 01/07/2015 - 21:59 | 5635401 Bear
Bear's picture

I feel like the only seller in the EShit market ... it's up 20 pts in the PM

Wed, 01/07/2015 - 22:51 | 5635540 El Hosel
El Hosel's picture

I wonder who just fat fingered the fuckin futures?... Never mind

Wed, 01/07/2015 - 22:57 | 5635567 Bear
Bear's picture

Dandy Digit from Delaware

Wed, 01/07/2015 - 22:05 | 5635418 Meat Hammer
Meat Hammer's picture

Explain to me how a financial collapse wouldn't benefit the elites......................................................................................

Waiting............................................................

Exactly.

Keep stacking.

Wed, 01/07/2015 - 22:11 | 5635438 Jackson B. Nimble
Jackson B. Nimble's picture

Remember that Noah was considered an idiot until the second day of the rain.

Thu, 01/08/2015 - 01:37 | 5635913 IrritableBowels
IrritableBowels's picture

but... Noah WAS an idiot.

Wed, 01/07/2015 - 22:25 | 5635467 rejected
rejected's picture

Bill Bonner has the perfect example of what is happening today. Explains it all...

http://bonnerandpartners.com/isnt-investing-russian-roulette-debt/

Wed, 01/07/2015 - 22:59 | 5635569 Sub MOA
Sub MOA's picture

hey all you Putin worshippers

justice4germans.com  full article

“UN General Assembly’s Third Committee passed a Russia-proposed resolution condemning attempts to glorify Nazism ideology and denial of German Nazi war crimes. The US, Canada and Ukraine were the only countries to vote against it.

The resolution was passed on Friday by the committee, which is tasked with tackling social and humanitarian issues and human rights abuses, by 115 votes against three, with 55 nations abstaining, Tass news agency reported.

The document voiced concern over the rise of racism-driven crimes around the world and the influence that parties with extremist agendas are gaining.

It called for a universal adoption of the International Convention on the Elimination of All Forms of Racial Discrimination. Many nations including the US, the UK, China and India, signed the convention but did not recognize a mechanism resolving individual complaints it establishes, which makes the convention unenforceable in their jurisdictions.

The resolution also decried attempts to whitewash Nazi collaborators by depicting them as fighters of nationalist resistance movements and honoring them as such.

It condemned any form of denial of Nazi war crimes, including the Jewish Holocaust. ” Continue reading here: http://rt.com/news/207899-un-anti-nazism-resolution/

I am already on record, from the beginning, as not being a supporter of Mr. Putin who many in the “truth movement” and “peace movement” believe is so wonderful and is being demonized. I say it is all staged. What agenda is truly served by Mr. Putin’s recent actions? I think people need to think long and hard on that, and reconsider what the “truther gurus” have sold them about Hitler and National Socialism,  as well as about Putin, and about the NWO agenda. Then consider the implications for themselves and for peace, truth, justice and freedom in this world, for ALL mankind.

Thu, 01/08/2015 - 00:01 | 5635752 Rock On Roger
Rock On Roger's picture

Ya, and when you think about all that shit

You should come to the realization that

Perhaps Putin is the lesser of the evils.

 

Whom has Putin droned lately?

Which children has he caused to be bombed in 2014?

We certainly know that the anglo american Empire of Zion has bombed hundreds of children in 2014.

Blown up little children.

 

Is that peace, truth, justice, and freedom for all mankind?

Blown up, little, kids.

 

 

Thu, 01/08/2015 - 01:08 | 5635880 Sub MOA
Sub MOA's picture

Hey I'm not picking one for the other and fuck that lesser of 2 evils shit evil is evil bottom line.  bothe these fuck stick cuntrys are guilty of millions of murders if not a few billion along with a handfull of other jew run shitholes.  I'm just pointing out that putin is just a big a shitbag as obozo.  putin winning the hearts and minds of murikans bunch of dumbass dupes chess game indeed one board 2 opponents and ONE PLAYER so around spins the lazy susan and what move do the jews make next ...I think this "chess" theory needs re-vamped is more like roullette with one player making decisions on the red and black outcomes aka pot fuckin luck.. the above shows alot about putin the jew conspirator... he is no saviour

Thu, 01/08/2015 - 01:21 | 5635900 Sub MOA
Sub MOA's picture

Hey heres another thing for those who ain't paying attention since it gets very little attention national socialist groups are popping up all over the world and stirring up the jews at a fevered pitch (and so they should) alongside the national socialists white pride groups are on the rise also hmmmm whats old putin affraid of now that national socialists are screaming in the ukraine and nulands "nazis" are being left without a name LMFAO white pride groups and national socialists are ripping through the streets of germany again uh oh fuckin great news.  half the EU has national socialist or white pride groups screaming against multiculturism and multiracism Well I say ABOUT FUCKING TIME....so whats putin do he writes up a law against white people being white ...there;s your saviour nit wits ... So who do ya really want to be your master now...ah forget about it ya already have one ...they call him jew

Thu, 01/08/2015 - 03:21 | 5635992 dreadnaught
dreadnaught's picture

Mr Sub MORon...

 

you live in a fantasy world-just becuase you wish it to be true doesnt mean it will happen-if wishes were horses, youd be a proud member at Ponyland.com

Wed, 01/07/2015 - 23:12 | 5635611 Bryan
Bryan's picture

"It's different this time."  That's all the sheep need to hear.

Wed, 01/07/2015 - 23:39 | 5635698 bitusa
bitusa's picture

Barron's front page a couple of weeks back...I saved it to frame ;-))

Wed, 01/07/2015 - 23:26 | 5635662 world_debt_slave
world_debt_slave's picture

imo, WW3 is just around the corner

Wed, 01/07/2015 - 23:55 | 5635745 FallenOne
FallenOne's picture

Really you mean you really mean it Yahweh??? it is the signs that intimates that Yellen gets to seriously shove that big swangin Gorrila dick up that filthy whitey goy bunghole?? please say it is true Yahweh we are all praying it is!!

Thu, 01/08/2015 - 00:07 | 5635761 Prometheus418
Prometheus418's picture

All you old-tmers here know that I just love the wall of text approach- that's just how I roll, most of the time.  But tonight it's short and sweet- another apocaylpse has come again, and I don't have much to say before I drop the mike and walk back to stage left.

Rinse and Repeat, bitchez.

(Pro-tip, stock up on gas, food and PMs while they're still cheap- and then sell the crap outta them before they crash again.  I raked in a tidy sum on silver in my last rodeo, and then got over it and went back to work building the economy that makes this stuff happen every so often.)

Regards, ZH peeps- I'm just glad I zeroed in on career instead of this in the last storm.  The next one is coming- duck and cover.  Use your $$$ from this time to learn some new stuff for the next cycle (personally, I learned to be a Linux admin and code Python- that shit is better than gold, and my stable paychecks and steady raises over the past seven years reflect that truth.)  The next one will be worse than the first, at least until the financial engineers have everything tweaked in and locked down tight- it's a educated guess situation, at best.  Won't be too long until it's standardized into a form where acceptable losses happen, but you don't care because you're still comfy and warm.  Sadly, that's a best-case scenario- we're all getting Harrison Bergeroned sooner or later, and you're not the exception- there's always a bigger shark out there looking for a snack.

Hey, here's a tip your ol' granddad used to give out- "buy low, sell high."  Words of wisdom, there.  When you cash out, start educating yourselves- that pays dividends, too.

Thu, 01/08/2015 - 00:09 | 5635768 Lin S
Lin S's picture

I don't read Snyder's crap and haven't for a long time, but the ZH comments continue to rock!

Thu, 01/08/2015 - 00:14 | 5635770 BeerMe
BeerMe's picture

The collapse has already happened; look around you.  The collapse doesn't have to be one big thing when it has been a continous decline.

Thu, 01/08/2015 - 01:36 | 5635910 BlindMonkey
BlindMonkey's picture

Hey! But there is always mall real estate!!!

/s

Thu, 01/08/2015 - 00:37 | 5635822 Pike Bishop
Pike Bishop's picture

Bill Gross? Holy Shit. Besides being in a position to frontrun the Fed for a number of years, when has Bill Gross not just talked his book?

We can't break the guy's balls for years, then count on him as an authority.

Unless you think he's about to have his Blind Squirrel moment.

Thu, 01/08/2015 - 07:52 | 5636188 Raoul_Luke
Raoul_Luke's picture

Yeah, that caused me to take the rest pretty lightly.  When you use someone like that for your back up, you don't know shit!

Thu, 01/08/2015 - 01:42 | 5635917 Sub MOA
Sub MOA's picture

Ok I waited long enough for someone to finally say this and thus far no one has so let me say it for ya.... WE HAVE A ONE WORLD GOVERNMENT ALREADY tada

 

obozo putin madero merkle etc. etc. are just governors wow I can hear the fucking brain cells exploding from here!!!

Thu, 01/08/2015 - 03:17 | 5635990 dreadnaught
dreadnaught's picture

no I think the Putin and China are the last 2 dominos that the US is insanely, viciously trying to topple-they are failing EPICLY

Thu, 01/08/2015 - 02:51 | 5635982 grant
grant's picture

History repeats itself!

Zerohedge is once again paid to public a piece of trash infomercial!

Thu, 01/08/2015 - 03:07 | 5635988 The central planners
The central planners's picture

2015 is the year so..  you'd better have that nail gun ready.

Thu, 01/08/2015 - 03:57 | 5636013 cherry picker
cherry picker's picture

If the message never changes, is always the same, isn't it an infommercial?

 

Thu, 01/08/2015 - 05:42 | 5636082 Ribeye
Ribeye's picture

HERE WE GO AGAIN......

2 police officers and a civilian shot in the north of Paris....

Too early to confirm any link....but the shooter is said to have used an AK, and was wearing body armour....

 

Thu, 01/08/2015 - 05:56 | 5636091 Ribeye
Ribeye's picture

AAAAANNNND....THE CYCLE OF VIOLENCE STARTS ROLLING....

Grenades thrown at a mosque in western Paris...

My guess this one is the work of nothing more than a few useful idiots...

Thu, 01/08/2015 - 06:06 | 5636100 Ribeye
Ribeye's picture

1 Police officer (female) pronounced dead...1 male civilian seriously injured....

2 gunmen now....1 arrested, 1 at large...unclear in this is the two brothers or not....

SWAT look like they're prepping for a siege / raid....

 

Thu, 01/08/2015 - 07:09 | 5636149 Baby Eating Dingo22
Baby Eating Dingo22's picture

From Alan Grayson

 

Yesterday I had the temerity, the gall, the (dare I say it?) chutzpah to point out that for the past five months, every single elected Republican in Congress was a white Christian.

The Nazis are not pleased. Frankly, I have never been a favorite of theirs, but now they are really pissed off.

The "white nationalists" congregate at an online watering hole called Stormfront.org. The home page, in Fraktur font (look it up), proudly boast that "Every Month is White History Month". Stormfront.org is famous for, among other things, trying to dictate the results of a Fox News online poll on racial segregation, because it takes one to know one, or something like that.

Lest you think that this is a non-serious matter, please be advised that according to the Southern Poverty Law Center, Stormfront members have murdered almost 100 people during the past five years alone. No Members of Congress yet, though.

So yesterday at Stormfront, under the heading "News," subheading "Politics & Continuing Crises," there popped up a report called "Jew revealed: Florida Rep. Alan Grayson attacks GOP as the party of white Christians."

The writer explained his sad tale: "I tried to unsubscribe before[,] yet this Jew keeps sending me his lunatic Europhobic and anti-Christian rant that reeks of atavistic hatred." [Note to neo-Nazis: Punctuation has a purpose. Use it properly.]

Talk about "avavistic hatred." He didn't call me a schweinhund. But he wanted to. I could tell.

The author's signature line asserts that the "U.S. was founded as an exclusive Anglo-Saxon nation, according to Founding Fathers' preference." He overlooks more than 600,000 slaves, who made up 42% of the population of South Carolina, 39% of the population of Virginia, 35% of the population of Georgia and 32% of the population of . . . Maryland. Not to mention leftover colonists from France, Spain, the Netherlands and Sweden. And the "Injuns," too.

Someone else posted my missive as a picture file, with the file name "jew white hate."

I feel constrained to mention that I did not actually "attack" the GOP for being the party of White Christians. I simply observed that for the past five months, every single elected GOP Member of Congress (all 250+ of them) has been a White Christian. Maybe it's a coincidence. Let's see: 27% of all Americans are black, mixed race or Asian. 24% do not identify themselves as Christians. Let's suppose that half of all Americans are white, self-identified Christians, and half are not. What are the chances that 250 of the white Christians just randomly would end up as the Republicans in Congress, and 0 of the others?

Answer: 0.28 percent. There is a 0.28% chance that it's all just a terrible misunderstanding. And a 99.72% chance that it's not.

Listen, Nazis: Achtung! The leitmotif of the GOP is not simply that when it comes to choosing GOP kommandants, all others are told Raus! It's that the GOP says ja! - nein,Wonderbar! - to every bigoted policy that comes down the autobahn. Blocking immigration reform: Ja! Gutting affirmative action: Ja! Suppressing the vote: Ja! Denying a woman's right to choose: Ja! Denying the pink triangles the right to get married: Ja!

Am I attacking the GOP tribe for all of that? Ja. Because that creates a weltschmerz that I loathe.

There are two planks in the GOP's platform today. One is hatred. The other is fear. As I listen to their "debate" on the Floor of the House each day, I think of Rodney King's very pertinent question: "Can we all get along?"

Courage,

Rep. Alan Grayson

"When the Nazis came for the communists,
I remained silent;
I was not a communist.

When they locked up the social democrats,
I remained silent;
I was not a social democrat.

When they came for the trade unionists,
I did not speak out;
I was not a trade unionist.

When they came for the Jews,
I remained silent;
I wasn't a Jew.

When they came for me,
there was no one left to speak out."

- Martin Niemoller (1946).

 


Paid for and Authorized by the Committee to Elect Alan Grayson

 

Thu, 01/08/2015 - 08:04 | 5636164 Comte d'herblay
Comte d'herblay's picture

Mr. Grayson,

Perhaps you will now tell us why there have been 3 Jewish FED Chairpeople monopolizing the position for the last 40 years and counting, to wit:  Greenspan, Bernanke, and J Yell-----and simultaneously Why the Jewish mafia on Wall Street hasn't spent one second in handcuffs, why simultaneously our Treasury has seen Bobby Rubin, Tim Geithner, and Jack Lew--all Jews--- in the pilot's seat?

Here we have a .oo1 % fraction of the population occupying the most powerful positions in the United States Government if not the world (Let me control the money and I care not what your fucking laws are) a closed shop for Jews Only and you have the temerity to point to poweless drones, with no power, who got elected, but who are not Jews. 

If all those crooks were Sicilian, or German, or Greek, or Black, or Buddhists, or women, or Gays, or lesbians, or trandvestite/gendered, or Catalan, or Swiss, or other identity, there would be an outcry from every corner of the world about incestuous monopolies by one ethnic, religious or sex preferenced group and so should there be.

While you wish to play indentity politics, you would do well to sit the fuck down, shut the fuck up , and look straight ahead.

Thu, 01/08/2015 - 10:12 | 5636592 Baby Eating Dingo22
Baby Eating Dingo22's picture

Interesting response, and brings up a good question

Pols are elected

Fed  and treasurer are appointed

Who appoints Fed and Treasurer...? Pols

So the real question is why do pols appoint Jews?

Why are Jews always in position to be appointed?

They're smart enough to know where the real power lies and they know it's futile trying to gain power popular vote in Christian dominated country. They gain power with smarts versus populism

 

 

Thu, 01/08/2015 - 07:30 | 5636171 Ribeye
Ribeye's picture

Looks like the two incidents involve different shooters, although they appear to be almost certainly connected, 

The two brothers have apparently been spotted in a car in the north of France, still armed, 

Defo more blood today, hopefully not from anymore innocent people, 

Thu, 01/08/2015 - 07:50 | 5636179 Element
Element's picture

Remember when Rogoff and Reinhart's book (This Time Is Different) found that the average time period from the initial financial crisis 'event', until the State Sovereign default collapse(s) phase of the crisis usually took 7 years (within most of the past millennia)?

In Sept 2015 the 7 years grace-period will be up.

 

It's OK though, because this time is totally different.

Thu, 01/08/2015 - 09:50 | 5636505 Bogdog
Bogdog's picture

I need a unicorn/rainbow/puppy chaser after that.

Do NOT follow this link or you will be banned from the site!