by Roger Wiegand.
Stagflation Nations Engulfed in a Paradigm of Paralysis
“…The inability or refusal to see beyond the current models of thinking.”
The world financial community and international governments have concocted a fairy tale of monstrous proportions to levitate stock and credit markets, prop-up insolvent global banks, perpetuating a fictional reality consistent with their desires to steal using the bond and credit markets; prolonging a decades-long paradigm of unreality. –Trader Rog
“Perhaps the greatest barrier to a paradigm shift, in some cases, is the reality of paradigm paralysis: the inability or refusal to see beyond the current models of thinking.” –Wikipedia
The elites planned this international platform game of phony news, complete with all details to set up the world for the most massive theft in history. The objective is to create a one-world government with one currency totally managed by the alleged Masters of Finance to corral all monetary matters. This is not new. The excitement began in 1913 with a birth of the Federal Reserve designed to allegedly contain crisis. How well has that worked (especially in the last few years)? In our view, a stillborn Federal Reserve would have better served the world.
These vultures were not happy enough to just control the USA by using the Federal Reserve as their private piggy bank. No. They want it all and have installed an elaborate plan, many years in the making, to do just that.
Obama is just one of many international puppets dangling on the strings of the elites, running down a crooked road helping them to complete their take over success. We see less control in the White House as the top three Obama aides who could tell the president NO have resigned.
However, we see other trip wires on that road and they are closing in fast. We say this is the Road to Perdition: a path taking them straight into a monetary hell of their own making. The problem with it is they are taking the rest of us along with them.
Among those tripwires traps would be the most important one of the Big Boy Banks holding trillions in fiat bonds and phony paper to finance their objectives. These tricksters are hopeful of continuing their bonds game to the extent they can manage a complete political-monetary take over before bond-land crashes on the rocks of insolvent stupidity.
There are way too many observers and smart analysts who clearly understand the scam and they are going to squeal like stuck pigs pointing fingers at the guilty when the world’s most religious financial experience in history ever, happens throughout the world; in many nations simultaneously.
Considering the global banks were handed piles of fiat bonds to replenish their broken, busted insolvent balance sheets in 2008 by then Secretary of the Treasury Paulson, the beauty of this little scam dissolves over them when the bond markets themselves have no more buyers. That scenario is already in escalation play and we begin to see naked fear in the eyes of those perpetrators. Mr. Timothy Geithner is running fast and far. He understands.
When this hits the markets, there is no more credit and cash to fund their scam. Then it’s game over as the very mess they produced to pay for it all takes them down. How ironic is that? The global banks are sitting with piles of this paper manure on their balance sheets earning 2-3% keeping them alive, as they cannot make any loans to earn genuine bank profits.
So when it all goes over the cliff, the fiat paper in their hands fails too and it’s bye-bye banker capital and: “Adios banksters!”
In our view, the rocks crashing has already begun, as Mr. Bernanke with each scammy little auction offering is seeing less and less in aftermath results in markets. Each new offering has to be larger and has fewer effects. Obviously, it’s not working to inflate current financial deflation.
We’ve not heard the latest report on his $3 billion plus offered just last week, but would suspect more than half of it came back unsold to the FOMC shelf marked as “Sold.” During the past few months, as much as 66% of each offering was bouncing back like rubber checks.
This cannot continue forever. We are unsure when it all caves in but it will, without warning.
Another trip wire was the pushback imposed by the administration regarding the American gun tragedies. Those events have been proven to be 100% caused by mentally disturbed people unbalanced by medical pills and pharmaceuticals ruining their ability to reason.
So instead of going after the root cause of these tragedies, the misguided congress people (an overly kind phase) decided to chase legitimate sportsmen and gun owners to deprive them of their Second Amendment Constitutional Rights.
That was a huge political error. Not only are they looking in the wrong places to solve a big problem, but those wrong places are holding something north of 50,000,000 loaded weapons and they are very unhappy. Now what? A child could give you the answer and the outcome.
In a recent report from a top analyst friend, we learned about reality on the ground in Greece, which has been smashed by central bankers and politicians fighting over fiat bonds and bad credit they wanted re-paid. That paper was a scam in the first place, setting up the Greek government to fail on a loan repayment so the lenders could steal Greek central bank gold collateral. That’s the old banker “set ‘em to fail” just like S&L’s funding builders and developers.
We don’t want to repeat that sad tale from Greece but suffice it to say it was reminiscent of life in the streets of Germany at the end of World War II. This is absolutely disgraceful. Now it is reported the old Nazi party has reappeared in Greece and Mr. Berlusconi, the formerly successful premier of Italy was celebrating on an Israeli holocaust anniversary by touting Mussolini’s old politics. My word! Are we heading toward the old 1930s pre-war preliminaries? It appears so. This is the result of harsh depressionary economic times. Desperation becomes hard and dangerous as old enemies of the free become challenged.
More Trip Wires on the Path Ahead
Switzerland is straining to keep their Franc currency from rising too fast as it’s becoming the go-to safe haven for Europeans, leaving a dissolving Euro-land and Euro currency.
Japan has deliberately knocked back the Yen -14% in just a few days to create inflation to alter 20 years of deflationary economics and it is ruining that nation. Now it all gets wrecked going in the other direction and incites other nations to devalue their currencies in self-defense. Further, Japan is buying valueless bonds and other junky paper from neighboring Asian nations to devalue their own Yen even more. It’s called: make good friends with your neighbors while paying their debts and devaluing your own money.
Egypt has erupted into a new “Arab Spring” civil war as the peace loving Mubarak capitalists fight the newest bad boyz of the Middle East for control of their nation, their future and their very lives. This weekend the immediate reaction to this has been a selling Egyptian Pound currency as violence continues to spread.
Israel is installing the Iron Dome of protection (missile defense) as it reported neighboring Syria is coming apart at the seams. Even the Russians are saying the Syrian’s dictator days are numbered.
Politics and Political Regression Induced by Crashing Economies
Here is the big picture of current and future trends. Most of these things we have written about before and elaborated on with great detail. We think they bear a reconfirmation and restatement as they are THE MAJOR TRENDS AHEAD FOR THE NEXT TWO TO THREE YEARS AND PERHAPS LONGER.
- The US Dollar now at Index 80.00 will sell off over time to 46-40 on the charts, effectively cutting its value in half. This could take a few months but more probably a few years. The trend is cast in bronze and remains intact with no alternatives.
- The USA debt ceiling will be pushed up to infinity. It stops when bonds have no value and crash and burn along with the credit rating of the United States of America.
- Interest rates will rise dramatically when the bonds cave in as trading markets, not the central planners, realign bond and Treasury bill valuations.
- Gold will rise to at least our old 2005 long range technical forecast of $2,960 and most probably much higher.
- The Canadian Dollar will rise with precious metals and other commodities, until these markets sell off in a global crash selling event. Canada fares better than the USA but it is tightly tied to American trade exports and will diminish Canada somewhat.
- The three nations in the worst condition for this year in Europe are Greece, Spain and Italy. Others will follow down the Road to Perdition.
- Inflation ramps up this year, heading for 15% or higher. If and when it touches 50% or more it becomes hyperinflation. Crude oil is beginning to rise on inflation right now.
- History repeats and we see the cycle of 2013 to 2016-2017 replicating 1934-1938. The 1937-1938 US stock markets fell -45% in the third major selling event from 1929 to 1942. The Dow could touch 4,940-5,600 as a technical lower support. Politics and a markets selling overshoot might even take the Dow to 1,500 with a -90% smash like the 1929-1930 scenario.
- Then sadly and lastly, comes the World War, the ultimate jobs-maker-machine used by all governments to right the global economic ship.
It’s not the end of the world but its mayhem and maelstrom for certain. It ends and we heal and we start all over again. This is history repeating itself over and over.
Hard Assets are Best Investment not Fiat Paper
It is obvious to us hard assets are the answer. It all starts with physical gold and silver.
Somebody please tell us when global bond markets crash for good and we’ll tell you when this can all get better and we start over again, maybe with a gold-backed currency. –Trader Rog
Roger Wiegand is the writer of Trader Tracks Newsletter for gold, silver and energy traders. Roger provides recommendations for short and long term traditional stock shares, futures and commodities trading with specifics for individual trades. Stay tuned for more of Trader Rog’s insights and predictions via his interactive daily audio subscription, now available at www.letustrade.net.
Roger also is a regular contributor to The Korelin Economics Report (www.kereport.com), the highest rated daily Internet radio program listened to throughout the world, dealing with politics and hard assets. He is also a regular guest on the Weekend Edition of The Korelin Economics Report, which airs on radio stations across the USA on Saturdays and Sundays.
Contact Amberleigh Brownson at Trader Tracks Newsletter in our beautiful Northwest publishing offices for a complimentary copy of our latest newsletter or visit our website for a free sample: www.wavelengthpublishing.com. Call 1.360.296.1953 for details. You can e-mail Amberleigh Brownson at wavelengthpublishing@gmail.com for more information. –Trader Rog
traderrog@comcast.net www.tradertracks.com www.letustrade.net
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