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8 Financial Experts That Are Warning A Great Financial Crisis Is Imminent
Submitted by Michael Snyder via The Economic Collapse blog,
Will there be a financial collapse in the United States before the end of 2015? An increasing number of respected financial experts are now warning that we are right on the verge of another great economic crisis. Of course that doesn’t mean that it will happen. Experts have been wrong before. But without a doubt, red flags are popping up all over the place and things are lining up in textbook fashion for a new financial crisis. As I write this article, U.S. stocks have declined four days in a row, the Dow is down more than 750 points from the peak of the market in May, and one out of every five U.S. stocks is already in a bear market. I fully expect the next several months to be extremely chaotic, and I am far from alone. The following are 8 financial experts that are warning that a great financial crisis is imminent…
#1 During one recent interview, Doug Casey stated that we are heading for “a catastrophe of historic proportions”…
“With these stupid governments printing trillions and trillions of new currency units,” says investor Doug Casey, “it’s building up to a catastrophe of historic proportions.”
Doug Casey, a wildly successful investor who’s the head of the outfit Casey Research, is predicting doom and gloom for the global economy.
“I wouldn’t keep significant capital in banks,” he told Reason magazine Editor-in-Chief Matt Welch. “Most of the banks in the world are bankrupt.”
#2 Bill Fleckenstein is warning that U.S. markets could be headed for calamity in the coming months…
Noted short seller Bill Fleckenstein, who correctly predicted the financial crisis in 2007, says he is one step closer to opening up a short-focused fund for the first time since 2009. In the meantime, Fleckenstein says the entire market could be heading for calamity in the coming months.
“The market is uniquely crash-prone,” Fleckenstein told CNBC’s “Fast Money” this week. “I think the market is very brittle because of high-frequency trading, ETFs, a lot of momentum investors. I don’t think there’s going to be any painless back door.”
#3 Richard Russell believes that the bear market that is coming “will tear apart the current economic system”…
From my standpoint, this is the strangest period that I have gone through since the 1940s. The Industrials are declining faster than the Transports. If this continues, at some point the Industrials will touch the Transports. When that happens, I believe a bear market will be signaled, as both Industrials and Transports accelerate on the downside.
I expect a brief period of higher prices which will draw in the amateurish retail public. This brief breather will be followed by an historic bear market that will tear apart the current economic system.
#4 Larry Edelson is “100% confident” that a global financial crisis will be triggered “within the next few months”…
“On October 7, 2015, the first economic supercycle since 1929 will trigger a global financial crisis of epic proportions. It will bring Europe, Japan and the United States to their knees, sending nearly one billion human beings on a roller-coaster ride through hell for the next five years. A ride like no generation has ever seen. I am 100% confident it will hit within the next few months.”
#5 John Hussman is warning that market conditions such as we are observing right now have only happened at a few key moments throughout our history…
In any event, this is no time to be on autopilot. Look at the data, and you’ll realize that our present concerns are not hyperbole or exaggeration. We simply have not observed the market conditions we observe today except in a handful of instances in market history, and they have typically ended quite badly (see When You Look Back on This Moment in History and All Their Eggs in Janet’s Basket for a more extended discussion of current conditions). In my view, this is one of the most important moments in a generation to examine all of your risk exposures, the extent to which you believe historical evidence is informative, your tolerance for loss, your comfort or discomfort with missing out on potential rallies even in a wickedly overvalued market, and your true investment horizon.
#6 During a recent appearance on CNBC, Marc Faber suggested that U.S. stocks could soon plummet by up to 40 percent…
The U.S. stock market could “easily” drop 20 percent to 40 percent, closely followed contrarian Marc Faber said Wednesday—citing a host of factors including the growing list of companies trading below their 200-day moving average.
In recent days, “there were [also] more declining than advancing stocks, and the list of 12-month new lows was very high on Friday,” the publisher of The Gloom, Boom & Doom Report told CNBC’s “Squawk Box.”
“It shows you a lot of stocks are already declining.”
#7 In a previous article, I noted that Henry Blodget of Business Insider is suggesting that U.S. stocks could soon drop by up to 50 percent…
As regular readers know, for the past ~21 months I have been worrying out loud about US stock prices. Specifically, I have suggested that a decline of 30% to 50% would not be a surprise.
I haven’t predicted a crash. But I have said clearly that I think stocks will deliver returns that are way below average for the next seven to 10 years. And I certainly won’t be surprised to see stocks crash. So don’t say no one warned you!
#8 Egon von Greyerz is even more bearish. He recently told King World News that we are heading for “the most historic wealth destruction ever”…
Eric, there are now more problem areas in the world, rather than stable situations. No major nation in the West can repay its debts. The same is true for Japan and most of the emerging markets. Europe is a failed experiment for socialism and deficit spending. China is a massive bubble, in terms of its stock markets, property markets and shadow banking system. Japan is also a basket case and the U.S. is the most indebted country in the world and has lived above its means for over 50 years.
So we will see twin $200 trillion debt and $1.5 quadrillion derivatives implosions. That will lead to the most historic wealth destruction ever in global stock, with bond and property markets declining at least 75 – 95 percent. World trade will also contract dramatically and we will see massive hardship across the globe.
So are they right?
We’ll know soon.
And of course they are not the only ones with a bad feeling about what is ahead. A recent WSJ/NBC News survey found that 65 percent of all Americans believe that the country is currently on the wrong track.
Also, Gallup’s Economic Confidence Index just plunged to the lowest level that we have seen so far in 2015…
Americans confidence in the US economy dropped sharply in July to its lowest level in 2015, according to a new US Economic Confidence Index rating released by Gallup on Tuesday.
“Gallup’s Economic Confidence Index declined to an average of —12 in July from —8 in June. This is the lowest monthly average since last October, and is a noticeable departure from the +3 average in January,” the polling company said.
Gallup said that “unsettled economic” conditions, including tumult in Chinese markets and uncertainty in Europe over a Greek debt deal, as well as US stock market volatility are factors driving lower confidence in the US economy.
These “bad feelings” are also reflected in the hard economic data. U.S. consumer spending has declined for three months in a row, and U.S. factory orders have fallen for eight months in a row.
The numbers are screaming that we are heading for another major recession.
But could it be possible that this is just another false alarm?
Could it be possible that the blind optimists are right and that everything will work out okay somehow?
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8 blind mice are looking for a place to run...
I have some ideas, and I learned them on Zero Hedge.
Moo Shoo Pork...
.... 08' Redux in T-5 weeks
Chinese Regulator to intensify war on speculative Program Trading
10x worse we hope. baskets full of heads comin ' up?
The only difference this time is that "experts" are "dead wrong".
The times; they are a-chang'in. Prepare accordingly...
Carl Spackler: I'd keep playing. I don't think the heavy stuff's gonna come down for quite awhile.
http://m.imdb.com/title/tt0080487/quotes?qt=qt1877406
If it throws fits, you must print
But the black man in the White house says everything is awesome?
Nope he says there will be WW3 if the Congress shoots down the Iran agreement.
For once I think he is being sincere.
Shouldnt he be golfing or something?
Doom Porn!
Even a broken watch is correct two times a day. But seriously,... Hussman, Casey, Faber??? How is this new? These guys have been providing us with ample doom porn since 2007/8. What is different about today exactly?
That said, this time it really does feel different... Something has my Spidey Sense tingling,
Why did you change your Avatar?
Messing around on my iPad and lost the original... I'll change it back when I get back to my lab :-)
Okay
Even a broken watch is correct two times a day.
Exactly! They've been saying the same thing over-and-over-and-over-and-over now since 2008-2009....
Agreed, I have not felt this sense of foreboding since the Cuban Missile Crisis. Creepy, unnerving and I do not care for it at all.
Yes, and there are scores of non-economic indicators as well. We fully expect the final Planned Parenthood video to show one of these she Mengeles dining on blackened fetus with fava beans and a nice chianti.
A Chianti! Oh please.
Surely a Pinot Noir.
A delightful Oregon Pinot Noir.
Doom Porn?
Bubble Vision
Vote.....
Depends on if its using military time. If so, it's only right once a day.
Creative destruction. Time to get the shitbaggery out of the shitstem.
9/13/15 bitchez, you've been warned
That is a Sunday; I predict the market is flat.
Really? King World News? 'Nuf said...
really? the fucking drunk who lives down the street is knocking on the door and telling you that your house is on fire! what a fucking loser drunk... that still doesn't change the fact that YOUR FUCKING HOUSE IS ON FIRE
It's been on fire for years! Still doesn't change the fact that if you'd listened to any of these clowns and would have gone short during the last 7 years, you'd be broke now, because you'd have been fighting the Fed and QE every step of the way.
You can be correct about the weaving faults in the system, but you won't be solvent when the time comes that you're proven right.
p.s. how come the Fed is backed into a corner? I understand that they can't raise or lower interest rates, but they wound the QE program back to zero and they can restart that with a vengeance.
Been fighting the FED the whole time since 2000 and my net worth has quadrupled.
gold in 2000 at $300 - check
house for cash in 08 - check
Just waiting for the next FED fuckup. This time I'll retire to S. America.
Bullshit you did.
Hey AMF, see that little sail on the sailboat? It's blue. Have you ever seen that before?
If he holds it long enough he'll loose the house and the digital number on a bank/brokerage account; whilst if he had the gold & silver, it would have tripled in spite of the FED foot stepping on it. Time will tell and I doubt there is much of that left, but then again the Banking Cabal is one nasty group with many tricks.
Only Chinese and Indians are smart enough to do that huh? You must be racist.
QE has never stopped as all will see when the FED balance sheet grows an additional trillion or more YoY.
Bokkenrijder, Its too bad you're just another slave/tool of the status quo. Because your brain is so conditioned by their propaganda you are unable to see the TRUTH. You are like the blind who follow the blind and all end up in a ditch (Jesus). I suggest you become a real MAN and figure out that the Fed is a group of PINKO FASCIST COMMIES who desire to milk you dry. You either bend over for them (which you seem to be doing just fine) or you RESIST them and FIGHT for what is TRUE and JUST. Your choice, FOOL!
Bullshit. There are some good contributors at King World. Try this one blockhead.
http://kingworldnews.com/paul-craig-roberts-putin-issues-major-warning-b...
Ooh, I'm impressed by the Larry Edelson link which goes this site about the antichrist + "false prophets."
http://z3news.com
...which, in turn, references a recorded phone call...
The universe is a collapsing black hole, party hearty y'all!
trevor, how are financial experts different from
exceptional "sheep"?
.
The lighter side….
OCTOBER 8, 2010
https://aadivaahan.wordpress.com/2010/10/08/the-lighter-side/
This is shocking coming from these 8 rays of sunshine, who have, apparently, deviated from their typical pollyanna predictions.
Next thing you know they're gonna recommend allocating a portion of your portfolio to Au/Ag. I sure hope they find and don
their rose colored glasses, because these novel revelations are scaring the shit out of me. Literally. Now I must go change.
I tend to agree that a major fiscal crisis on governmental levels and a complete take down of inflated assets is coming. But, I was saying that in 2008, the collapse started and a was stopped by an ocean of money printing, market manipulation and liquidity injections into all assets, except hard work and factory production.
I still believe everything the above guys are saying. Yet, I am filled with doubt about when. I have seen money printing carry the world year after year after year. The USA is planning a massive new military and spy offensive across the globe, costing a couple trillion in added spending over the next few years. This shows the US Government's faith in King Dollar, and in the Fed's ability to keep the US asset economy alive.
I underestimated the money printers, I did that very badly. So I will believe it when I see it. It could go on like this for another five years, print, print, print! When it does fail, it is all over. But when is the question. Ask me, "I do not know" "I can't even guess".
This time is different, blacks will be shooting themselves in their own southern churches, no crisis yet?
Yeah, agreed. In 2014 I spoke to a very sharp mind (Let's say "Anonymous") @Morgan Stanley about dollar collapse. "Sometime in the next 20 yrs." Very hard to say when the credit house of cards will collapse. Anonymous believes people are underestimating the ability of the overall bull market to keep going. Anonymous added that at the very earliest, it could be some time in the next few years, but that was highly unlikely. Next earliest: several years away., also unlikely per Anonymous. (So if a "few" years is around 3 the "several" might be 7 ors so). It would seem Anonymous's "feel" for it is around a decade or more. But no one can know for sure or predict with accuracy. That's because the actions of millions of individuals are involved.
Anonymous's spouse spoke of "beans, bullets, and band-aids." No joke.
That said, I expect punctuated and dramatic (but short-term) crises here and there before the big one.
Agent - I have the three B's covered so I just dance until the music stops. It is a time to be prudent, stay out of debt and save some for the second big dip of the 'W' shaped depression.
I called 2008 to the T on crash and was one of a few like Bob Doll of Blackrock who did. If I was more vain I would go onto Seeking Alpha and cut and paste it. The markets were far more based on technicals then.
Now its a full command economy so I dont even want to try and guess. I just save in PM's as a decade long buy and hold and in property, tgough my area here in Fort Myers is now in a bubble, it rocketed up in less than a year a good 20% easy. Never saw a market climb this fast so that is out for me. Not much else to invest in long term buy and hold than PM's and as mentioned more save way to save rather than disaster hedge.
Going to still dance/work on my biz till the music stops. However this year was slow but these times are making me more conservative so I didnt sweat it. Actually partied my ass off for a couple months but now getting back into more exercise and moderation of habits.
Good luck and God bless to all. Very dangerous time so close to the end of our human evolution. Hope I get to stick around and see some very advanced tech. The apex of this stuff seems to be 2020-2021.
As long as the US dollar remains the global reserve currency, the money printing can continue with impunity as the inflation that is created is exported to the rest of the world. However, as soon as reserve currency status is lost, the dollar will collapse and create a domino effect. That will certainly happen in the next 20 years (probably sooner than later) but no one can predict exactly when it will happen so in that regard Anonymous is right.
08 just proved you should be ready for the next opportunity and that they are not infallible.
AND...crooked accountants.
I have seen money printing carry the world year after year after year.
It should have caused hyperinflation by now. Why hasn't it? How is this different than the Weimar Republic and Zimbabwe? Is it just because we are the reserve currency and can bring the whole world down with us?
I don't know why the obvous haven't happened yet. My guess is that the rules that make the outcome so obvious were formulated back when money was actually something. Now "money" is simply debt at interest, and it's all abstract anyway. I don't know of any rules that govern shared hallucinations.
Withglee... why hasn't it caused hyperinflation? Simply, because it always causes a depression first. And since gold is a commodity, it initially drops in the downturn. It even dropped in 2008! Then, in reaction with heavy debt and money printing comes the loss of confidence and that causes currency collapse and hyperinflation next.
Martin Armstrong's writings are what saved me from Peter Schiff's collosal misunderstanding about how currency falls apart. Armstring even now is predicting 600-800 bottom and I think that will indeed by true.
When gold was at 1800 and Schiff (and this place) were predicting $3000 within months, I got out. Arnstriong was right. My guess is he will be right again.
withglee,
The credit bubble of the last 40+ years was the hyperinflation. All of that debt (mortgages, credit cards, student loans) is money created out of thin air. And the default of a lot of that debt is money going POOF back into thin air. The "printing" that you are referring to is much less than the deflation (decrease of the money supply). I think they were just trying to mitigate some of the damages and/or cover it up.
The credit bubble of the last 40+ years was the hyperinflation.
4% compounded annually is "not" hyperinflation.
"It should have caused hyperinflation by now. Why hasn't it?"
Because the depth of the economic depression (hidden by a wall of statistical lies being perped by gov) is offsetting (dragging down) the hyper-inflationary effects of massive money creation?? On the face of it, this has created a visual equilibrium but this masks the realities which are becoming ever more toxic and explosive.
IOW: massive money creation is the only thing preventing the economy being sucked into the vortex of a blackhole.
The world could go on a gold standard if needed although I prefer freegold instead but:
World Population 1900 , 1.8B, total gold in existence - 24,000 mt or about .42oz per person
World population 2000 , 6.0B, total gold in existence - 165,000 mt or about .88oz per person
Most of the world was on a gold standard in 1900 but in 2000 there was over 2X as much gold per person with no gold standard.
Conclusion: With twice as much gold available per person there is no reason we could not use gold again as a standard, with silver also of course.
Nice to see some numbers put to Gold Levels.
Just revalue gold, plenty of gold to go around Chinese know this..
Just revalue gold, plenty of gold to go around Chinese know this..
Great idea. Revalue it to what?
What do you think miner's behavior will be after you do this? How about people who have gold vs those who don't? Do you really think you can just revalue it?
Roosevelt did it overnight. Devalued the dollar against gold by 70%.
Roosevelt did it overnight. Devalued the dollar against gold by 70%.
Didn't work did it.
Conclusion: With twice as much gold available per person there is no reason we could not use gold again as a standard, with silver also of course.
You've got to be joking. There's 1oz per person on Earth ... less than $2,000 (and I have more than my share). And "silver of course"? Total silver in the world is 1/5th the value of gold ... $400 per person (and I have more than my share). One month in substandard housing and your share is gone.
Not to mention there were plenty of economic busts/panics/depressions plus corruption and cronyism when we were on a gold standard.
Yawn... Who ever has stated that the gold standard is a fix for everything.
Don't "yawn" me. I made a valid, true, point. You did not. People advocate for a return to the gold standard as a fix ALL THE TIME. Why else would they advocate for it?
People advocate for a return to the gold standard as a fix ALL THE TIME. Why else would they advocate for it?
I would like to hear arguments against a guarantee of zero inflation of the MOE, all the time, everywhere. It can be done. But are there reasons it shouldn't be done?
Additionally, I would like to hear arguments against:
There can never be a guarantee against bending/breaking the rules by those who make the rules.
The only thing gold guarantees is that it cannot be hidden and instead easily detected when the medium of exchange and accounting is devalued by the ruling cabal.
The tree has fallen in the forest and everyone is ignoring it.
Jesuit Pope means bad news for the world.
Ok, got cash, PMs, freezers are full, guns and ammo, solar, water, nat gas tank full. Shit. Forgot firewood. Wanted to have a cord stored in the shed. Damn, there is always something you forget.
Miffed;-)
Seeds?
I think if you graft Maui onto...ohhh yeah, those seeds! ;-)
Check the plants. Males are needing to be pulled.
nah bruthah, force dem to be trannies...
dat wut dey did didn'dey...graff d'maui to da wowee...
Miffed - Smart. Better to have it and not need it then need it and not have it. Now go try and have some fun, living in perpetual isn't living.
“On October 7, 2015, the first economic supercycle since 1929 will trigger a global financial crisis of epic proportions. It will bring Europe, Japan and the United States to their knees, sending nearly one billion human beings on a roller-coaster ride through hell for the next five years. A ride like no generation has ever seen. I am 100% confident it will hit within the next few months.”...
Everything you wanted to know about Central Bank(s) but were afraid to ask!
Teach the little ones about "The ZIRP & The derivatives" so that they finally understand how this kind of procreation leads to the kind of births they'll never want!!!
Wow that dude picked the exact day. Pretty impresive. Wish I was god too.
Yeah - given what we know from complexity theory, picking the day is the province of 'false prophets.'
As a kid I was amazed when they started using 'billions' in financial equations, then trillions, now i am frequently seeing the use of quadrillions.
Sounds like a pyramid scheme to me, and we all know how those work out.
And to put a trillion into perspective: I read an article, likely on ZH, a yr or 2 ago that said 'if you were alive when Christ was born and spent a million dollars a day until now, you wouldn't have spent a trillion dollars'. I posted (after I looked up what came after a trillion) that soon we will start seeing the word quadrillion thrown around a lot. But soon we'll be talking ounces again.
Put me down for a quadrillion ounces of anything. No matter what it is, that much of it has to be worth something.
Yep. This one has been around a while: If you spent a dollar a second how long would it take you to spend a trillion dollars? Ans: 32,000 (thirty-two thousand) YEARS!
Good article...except...FUCK YOU Blodget
Personally I'm not going to click the links or go to CNBC to watch a video to get some specifics, metrics they look at, or statistics that would teach me.
Where are the metrics these guys are looking at?
Oh, they don't want to face the masses or their critics.
Or... is the article too brief to be believed for what it is trying to say!
How is that guy not in jail? Now he's back and someone is actually listening to him?
He must be a made man.
I thought part of his settlement was not talking about stocks? So he can talk about markets or groups of stocks?
You know, with a few of these sociopaths strung up on major intersections and their behaviour as a whole would begin to change. And if not, well you still rid the world of some scum.
All I can say for sure is that the financial and economic world seems very tenuous. It could
fail, and if it did, yes SHTF all over. But, I've thought that ever since I started reading
this site in 2008 or 9. Is it different now? It feels like it, but feelings meh. Hide and
watch; we all have a front row seat.
Larry Edelson, Mike Burnick and Weiss Research are crooked snake oil salesmen.
http://www.sec.gov/litigation/admin/2006/ia-2525.pdf
You need to get more credible doom mongers!
Yes.. I lost money with the Weiss crooked snake oil salesman.... must admit.. his advertising department did a great job in hooking us in to his losing scenes... glad to see the litigation pdf file...
Thanks
You're all gonna die die die!
Die! Die! Dieeeeeeeeeeeeeeeee!
You'll see! You'll see!
Dying is just for retail investors.
I'm fully hedged against mortality.
These are the same half baked loons that have been regularly quoted since 2011. "You, wait, there will be riots in the streets, paper money isn't going to be worth shit, you wait till the elektricity goes out, there will be lynch mobs, you wait, you wait." Never ends. Even a broken clock is right twice a day. Utterly useless commentary.
It's like a certain kind of person (a loser) actually wants the system to fail so they can say "I told you so" cept of course they didn't. Telling us so would be saying exactly when but only once, not constantly revising your date to "sometime within the next quarter".
When are people going to wake up and realize that these people have a vested interest in other people pouring all their money into these persons "wealth protection" schemes of one form or another. It's just "sales" FFS. The sky is not falling.
I learned all those wealth protection schemes from my Jewish girlfriend in college.
A crisis is the only time you can be sure you’re buying at bargain prices. It’s one of the world’s greatest wealth secrets. When people panic, they dump stocks, bonds, and almost everything else with little regard to real value. They just want out.
Frightening news, the scarier the better, can make quality investments cheap for you to buy.
Can you extend this another year, my bunker isn't done yet.
The economic collapse will be blamed on a natural disaster event. Perfect excuse.
Flooding of Wall Street almost did it.
So, when you get hungry look for a fat bankster. Of course he tastes of coke and bad pussy! Ha-ha.
https://www.youtube.com/watch?v=xlyRYzMdAxQ
y2k....Nope
21 December 2012....No sir
some fucking death star or planet nibru or whatever... wise up
15 September 2015....grrrr more shite
FFS guys apart from making story lines for crappy dumbed down movies... the world aint going to end .... there may be an "economic crash",... but economics is still measured in accountancy .. i.e DR & CR so for some smock to lose some other wise guy wins... same every time ...
only question is which side of the double entry are you going to be on??
watch out for those zombies.... killing them's a bitch ...
www.teamramgold.com
That graph by Blodget that overlays Shiller PE with Tobin Q is just awesome to see as a value investor. A cyclical value of replacement of assets and cyclical PE. Earnings and assets. There is nothing else folks!
I think we were heading to Tobin Q of the historical bottom of .3 to .4 but was stopped twice by the Fed in 2003 and 2009. Third time is the charm!
I will get a google of down arrows for this I'm sure. But really... Casey? Russell? von Greyerz? These guys have been stock market permabears and gold permabulls since the days of my great grandfathers. Doug Casey, Mr. "Buy Argentina!" And Larry Edelson - that guy would have been bankrupt years ago if he didn't have poor saps to buy his newsletter. These dudes are more scam experts than financial experts? They are all a bunch of shills ... but hey, ONE day they will be right!
bullish
"8 Financial Experts That Are Warning A Great Financial Crisis Is Imminent"
So called "Financial Experts" have been predicitng that "A Great Financial Crisis Is Imminent" for decades - Ross Perot's entire election campaign was based upon the inevitability of imminent disaster resulting from the exploding USA debt -
but the rotten corrupt system just kept chugging along, and it will continue chugging along for many more years to come.
Eventually it will crash, but I will be worm shit by then, so I don't care anymore now.
All these experts are telling you is that a collapse is imminent when you have deformed markets with more evaporation in price discoveries. That CBs have become poachers rather than game keepers and with it the declining liquidities across asset classes in markets.
Their collapse is looking at the present from the rear mirrors of historical market matrices. Good smoke particularly when accompanied by what is fashonable today to spin this diatribe.
Real Question is When ? We can limp along in a global economy that is non-static. It is just that you trade in today's markets and ignore the noises of past heroes where some of them are just more sophisticated snake oil peddlers. Many of these expert (?) have no experience in the the new normal and worse no skins in the games.