-- Posted Wednesday, 10 August 2011 | | Disqus
The following are some snippets from the most recent issue of the International Forecaster. For the full 35 page issue, please see subscription information below.
US MARKETS
One thing is for sure the Fed leads by deception. We have seen the act since 2007 when it supposedly set out to solve the credit crisis. Quantitative easing and zero interest rates may have provided the Fed with additional time, but they did little to solve the long-term problems, or to help bring about recovery. In fact, these measures insure that we will have future problems, particularly with inflation. Those who understand what the Fed is up to also understand that the Fed has little credibility and its reputation may have been totally lost. The recent debt extension served to help the great spenders, but we see it as a prelude to a lowering of the US credit rating that could cost an additional $300 billion a year. That does not sound like any kind of a victory to us. The flipside is more debt, higher inflation, a falling dollar and higher gold and silver prices. That means more exports but more expensive inflationary imports. Such policies make our projection for 14% inflation this year very feasible in spite of $2 trillion lying dormant in bank vaults or at the Fed. Sooner or later those funds will be released and when they are monetized there will be a liquidity explosion that will catapult inflation.
The latest version of the “Star Chamber”, or the Soviet Politburo, or Obama’s version of Adolph Hitler’s “Enabling Act of 1933”, will soon appear in Washington to unconstitutionally bypass Congress. The latest version will be more on the corporatist fascist model. This is the first step toward a fascist dictatorship. The illegal placements of Czars over a year ago were a precursor to the elitists’ latest move. This Super Committee will deal with debt extension, but we believe it will spread into all areas of legislation. That means probably after the next presidential election much legislation will attempt passage including gun control it will be like all the animals have escaped from the zoo.
The extension of the short-term debt limit will only accomplish more debt and few cuts. This palliative will only last until after the next election and then there will be another confrontation. In the meantime the dollar will fall further and gold and silver will increase in value.
The challenge and victory of gold over the US dollar is now compete and gold’s strength will be accompanied by this new super structure We have not had this power since 1971. Yes, inflation and eventually hyperinflation will add to gold’s attraction, but now gold is again being recognized as the only real money, the only real store of value. There are very few recognized central bank sales and much central bank buying, which we believe will expand. Every time the gold suppression cartel attacks gold it comes right back up. Buyers, take full advantage of every small correction. As we predicted long ago, that there would be $40 to $50 swings in prices, they are now with us. As we close in on $3,000 an ounce the swings will widen to more than $100 daily. As we head higher the swings will again widen. In the US the train is leaving the station and it’s 90% empty – what a tragedy that so few are participating. Silver will make major moves in both directions as volatile as ever. If in this small recent correction JPM and HSBC do not cover, their losses could easily be well over $100 billion, plus an explosive upside. During the next part of the move upward we could see the demise of the ETF’S GLD and SLV as both are discovered to be frauds and escape hatches for Comex. No, there will not be any positive major media coverage, but that is ok. In time truth and reality will prevail, not the evil desires of the Illuminists. Just do not pay any attention; you already have the real story of where we are headed. Your wealth will be saved, but you will have to suffer the anguish as you watch your funds and family, who would not listen, be destroyed.
What we just witnessed in Washington was a cover and a pretext. Yes, elitist sights were set on the beginnings of the destruction of Social Security and Medicare, but even more important they wanted to destroy America’s constitutional form of government. That coup has been accomplished. Those in Congress in both Houses knew exactly what they voted for and were a party too. These are the great majority in Congress who have been purchased by the Illuminists. The Super-Congress will render the remainder of Congress absolute. The planning was done at the Royal Institute, the Council on Foreign Relations and at the Trilateral Commission. Obama carried it out with the cooperation of Congress. The idea was to blame the Republicans and the Tea Party faction and that is what is taking place presently and will continue in the future. If you recall it was the President who first recommended cuts in Social Security and Medicare via his two commissions. There is no question that the President and many in Congress have to be removed. If they are not replaced and Ron Paul is not elected president, America is doomed.
The first act by the new illegal “Super Congress” will be to cut $1.5 trillion, a good part of which will come from Social Security and Medicare. That has to happen by Thanksgiving. Then $1trillion has to be cut over ten years. If little or no action is taken on the former $1.2 trillion in cuts will be automatic. We can assure you the cuts will be made.
The Congress has become the rebirth of the German Reichstag giving the President unlimited powers to be dictator. We have just seen the force repeated. The next subtle attack will be the neutralization of Congress. You will not see the banning of political parties as you did in Germany in 1934. Nothing as yet as blatant as that. If you remember we had said for a long time that the 1930s and 40s in Germany and Italy were a trial run for what we are experiencing today. What is happening and will continue to happen in America is in your face, but the major, mainstream media is not going to tell you that.
There are those who believe that England is behind these moves and they are correct. This is yet another attempt to recapture and control the US by the “Black Nobility” of Europe and England. The efforts are to be assisted by rating agencies, totally controlled by Wall Street, banking and the City of London. Future subjugation is the goal via a fascist new world order. The prelude to that is the destruction of America financially and economically in order to render the populace dependent on government and to force them to submit to the tyranny of the New World Order. All visages of freedom will be gone and the country and the world enslaved. Over the past few years in the ongoing credit crisis the public has been forced to assume the losses of the financial sector in the US, UK and Europe. The newest events by the controlled rating agencies are to finally discredit the credit structure of the US government. The connection between the Treasury and Fed and those rating agencies is very strong as pointed out in a House committee just two weeks ago. Now that S&P has deemed US credit no longer AAA, but AA+ next week comes the changes by Moody’s and Fitch and the approach to increase taxation and impose austerity along the lines that the IMF has used since 1946. You might call it strangling the US financial and economic structure. We note this austerity is taking place during a period of 22.6% unemployment - the highest since 1933. We believe unemployment will work its way much higher over the next few years as America is brought to its knees. The legal avenue of changing the system has been cut off and denied to the American public, thus it can only be a matter of time before America has revolution.
Then there is the issue of Ron Paul (R-TX) has alluded to and that is the $20 trillion in supposed unpayable debt owed by the Federal Reserve. All the president has to do is strike the bonds worthless and so they will be. That will eliminate part of the problem.
A reinstitution of the Glass-Steagall Act is needed as well. We fought hard against it in the late 1990s, but Wall Street and the bankers arranged its demise. For those who do not know two bills to this end exist in the House, HR2451 and 1489. They presently have 35 co-sponsors. A new bill would end the incestuous relationship between banking and brokerage that had to be ended in the early 1930s.
We believe the gains made in the House regarding Glass-Steagall could well have forced the “Black Nobility,” the ruling royal houses of Europe, to expedite the destruction of the US constitution via the Obama Enabling Law forming a “Super-Congress.” Such a committee is designed to implement austerity and more quickly force Americans into poverty, which will eventually cause chaos.
The GAO audit of the Fed has revealed the Fed issue $16.1 trillion to US and foreign banks and those funds were dispersed via private contractors such as Morgan Stanley, Wells Fargo and JPMorgan Chase. They were paid $660 million in fees for such services. These are owners of the Fed, thus the cozy super-profitable arrangement. The report stated none of the loan recipients has ever repaid the loans.
In the midst of these criminal actions was William Dudley, formerly of Goldman Sachs and presently the Chairman of the N.Y. Fed, who was given waivers to retain AIG and GE stock, while he authorized billions of dollars in fraudulent emergency loans to elitist firms.
Over in Europe, Greece really doesn’t know whether they have a second bail out deal or not as fighting reigns behind the scenes. During the first 6 months of the year Deutsche Bank sold 8 billion euros of Italian State bonds. Needless to say, Italy is outraged and now believes the European Stability Mechanism cannot be trusted and is now unworkable. We wonder if the German government wants to use the funds to buy German bonds if they come under pressure? It looks like there is no trust left.
The German electorates to say the least are beside themselves. They want no more bailouts and they want to write off all bad debts; leave the euro and perhaps the EU. They are tired of seeing their government turn control of financial policy to those who caused the problems in the first place. Like in the US, England and other countries the conflicts of interest are legion and the greed for money and power is unfathomable. There is also the part played by Deutsche Bank in their securitization of mortgages sold to German and other European entities as AAA, which were in fact BBB or less. One of the most corrupt entities in Europe, or the world, is Deutsche Bank. Do you remember Herr Herrhousen who was assassinated for trying to do the best for Germany? Obviously that can’t be tolerated. He was the President of Deutsche Bank for all the good it did him. These criminals also sold interest-rate swaps to a company that had negative value, because the bank could only profit if their client lost money. It shows you how mercenary and thieving this bank is, like all the major banks.
The evidence is available, but neither European regulators nor the policing agencies want to know about it. European banks, such as British banks are stealing everything in sight. It is their nature as predators just as it is for scorpions. This forced redistribution of wealth knows no end, because the elitist own most of the politicians and the judiciary.
Two-thirds of the House and 74% of the Senate passed the debt extension. The bill cuts forward estimates or increases in new budget debt. Spending is based on growing revenues in the midst of an inflationary depression. That on its own is totally ridiculous, with growing unemployment and reduced revenues. We ask you how can the economy have GDP growth of 4%, when with QE2 and stimulus 2 it can only manage 1.8%? The majority of spending cuts do not take place until 2016, which is an insult to anyone with half a brain. The first group to get hit this year is healthcare providers. This should escalate into doctors and nurses leaving the profession for other professional pursuits. Many will as well leave the country. Spending cuts for 2012 will only be $21 billion – what slime. The bill is a fiscal nightmare. This is a result of what is wrong with a bought and paid for Senate and House. You get nothing from your elected representatives, who only respond to the moneybag elitists who are paying them off. The political theatre you have just witnessed was a cover not only for a fiscal nightmare, but the beginning of the final collapse of debt and the US government. It just shows us that the political and economic theory that says economies can exist on debt indefinitely is totally wrong. Every great country has collapsed in the same manner and every economist is well aware of that. This is the type of government that wants to cut Medicare, in preference to new and better wars for the wealthy, military and industrial complex, when 43% of the Medicare recipients say they haven’t’ used government programs. You have to ask yourself who is using government programs, illegal aliens and those who simply refuse to work? Ladies and gentlemen socialism Marxism and fascism simply do not work. The government knows that, but continues onward burying our society in debt to enrich themselves and their masters.
Due to being paid off by campaign contributions lobbyists and along with severe ignorance politicians have no concept of fiscal or monetary policy. They just vote as they are told. Legislators believe there is no end of what government is capable of spending. Ron Paul calls this living in a fool’s paradise.
The funds in Social Security and Medicare have all been spent – stolen and they are not an entitlement – the public paid for both and they demand them, and they should. A solution is cutting back military spending by 50% and shift those funds to where they belong, not where the military industrial complex wants them.
Both political parties live in another world of ignorance. The revenue doesn’t exist, yet they still authorize spending. Almost half of Americans pay no income tax, but Congress has no interest in changing that. This means at some point government is unsustainable. The political theater you have witnessed over the past several weeks was ridiculous and stupid, but there was a reason for it. The elitists wanted SS and Medicare cut and they wanted the Obama Enabling Act in place to form a dictatorial government in behalf of the Illuminists. This is what the play was all about and those of you who do not believe these elitists are running everything from behind the scenes just don’t get it. Economic and financial collapse is on the way and now nothing can be done to stop it. Your government has lied to you about almost everything for the last 100 years and denial is not going to change that. Every society worldwide has done the same thing. Everything from official statistics to wars for profit. You are expected to die in if necessary. Government is terrified that the public will find out what they have done to them and strike. That moment will soon be here and that is why we do what we do on radio and in print. We want the people to know who is doing what to them and why so they can bring an end to it. We want the people to understand the truth. The truth is on August 2nd - debt of the US government surged $232.3 billion to $14.532 billion and another $500 billion is on the way. That is to be offset by cuts of $917 billion over ten years. They and we know that will never happen, which makes this all another fraud, because future congresses are not bound by the acts of preceding Congresses. What a way to run a country.
...
THE INTERNATIONAL FORECASTER
WEDNESDAY, AUGUST 10, 2011
08/10/11 (3) IF
E-MAIL ADDRESSES
For correspondence to Bob:
bob@intforecaster.com
For subscription and renewal; technical support, log in problems, etc.:
info@intforecaster.com
CHECK OUT OUR WEBSITE
http://theinternationalforecaster.com/
RADIO APPEARANCES:
To check out all of our radio appearances click on this link below:
http://theinternationalforecaster.com/Radio_Interviews
