Economic pressures

[Danny B]

Credit markets, stock markets, death cross and Brexodus

Yesterday, I saw a headline about how the economy was doing so well because bank earnings were up.
April Bank Of America Earnings Jump 51% In Q1; Stock Setting Up
Bank of America hauls in biggest profit ever - CNN Money
OK, that all sounds good. The cheerleaders are hard at work. What is the reality?
June Banks just posted the longest losing streak ever, and it could get a lot worse

https://www.cnbc.com/2018/06/27/banks-just-posted-longestlosing-streak-ever-and-it-could-get-worse.html

The impossible trinity is eating them up.

Canadian and Alaskan railroads are well known for killing a couple hundred moose every year. The moose will never get off the tracks when a train is coming.

That's what happens when your customers go broke.

https://www.cnbc.com/2018/06/29/emerging-markets-are-in-a-death-cross-and-techniciansees-more-losses.html

China will devalue their currency and cause a drop in American markets of at least 10--12%. As the dollar "gets stronger", the EM debt will be that much harder to service.


YES, and as interest rates rise, this debt won't be serviced.

Unless you have a lot of money, hold paper U.S. dollars.

So, we aren't putting money in the banks AND, the flattening of the yield curve is killing their profits. Armstrong makes it very clear that the banks will be closing.


I wonder why??
"Danish households clocked in at 123.6% of household debt to GDP. These figures from the Bank for International Settlement, gathered up by Trading Economics, cover the period through Q2 2016. So Australians, who were essentially neck-to-neck at the time with the Danes, might have surpassed them by now. But that stunning level of 123.6% of GDP is good for 2nd place, though it's down from 140% just before the Financial Crisis (via Trading "
"And here is Number 1, the most glorious debt slaves of all, the country whose central bank is trying to manipulate down its currency by imposing steeply negative interest rates: Switzerland. "
Look at this rise, https://amp.businessinsider.com/imag...0e-750-364.png
"Nor for the global rankings of debt slaves, where US households squeaked into the ignominious 10th place, barely ahead of Portugal! I mean, come on! Portugal!! "
These are the countries with the biggest debt slaves - Business Insider

Yes, future paralysis.

https://wolfstreet.com/2018/06/28/corporate-brexodus-begins-as-no-deal-brexit-looms/

[Danny B]

A crisis here,,, a detonator there


The aggregate stock markets are down $10 trillion so far.

https://www.youtube.com/watch?v=IWF4Fwp8Cew

Armstrong broadly hinted at a bank closure. Deutsche bank may very well trigger this.

https://www.youtube.com/watch?v=vbLC08PV77c

They have many $trillions in derivatives that can't realistically be unwound.
The financial sector got access to our savings (Grahm-Leach-Bliley) and speculated against the consumer driving up prices. Wages went up enough to make us non-competitive globally but, NOT enough for us to keep up with price inflation. After our savings were gone, the banks needed continual bailouts to keep functioning.

The mentality of Wall St. did NOT allow any moral hazard to enter the equation. The bailout of Wall St. erased any feelings of financial hazard. This was especially true when every loan was securitized and passed off to some muppet (investor). The bailouts just emboldened AND empowered the self-proclaimed titans to leverage even more. While the FED is owned by it's private member banks, it is slowly becoming aware of the dangers of bailing out irresponsible people.

The FED, ESF and PPT pumped endless liquidity into the system to keep everything going when actual commerce would not do that. The problem comes in when; if you offer money to people, they WILL take it.

Excellent article on bull markets and sentiment.
Stock Markets Hyper-Risky 3 - GoldSeek.com
Keep in mind that a rising dollar will destroy the system.
"Tighter domestic monetary policy and global trade turmoil have set the US dollar for its best quarterly performance since December 2016. The DXY index, which tracks the US currency against a weighted basket of global peers, was up 5.2% in the three months to June 29. "
"U.S. dollar strength or emerging market weakness? It's most likely a mix of both,"
"The U.S. dollar gained 5.2% against the euro, 4.0% versus the Japanese yen, 6.7% versus the Swedish krona, 6.5% against the New Zealand dollar, 5.8% versus the British pound, 3.8% against the Norwegian krone, 3.7% against the Swiss franc, 3.6% versus the Australian dollar "

"14.7% drop in the Brazilian real. Surging inflation, a faltering boom, excessive debt and strongman President Erdogan's threats on central bank independence were behind the Turkish lira's 13.9% fall for the quarter. Vulnerable as well, the South African rand fell 13.7% versus the dollar.

Especially late in the quarter, Asian currencies were under heavy selling pressure. Declines for the quarter included the Thai baht's 5.8%, the Indian rupee's 4.8%, the South Korean won's 4.6%, the Taiwanese dollar's 4.5%, the Malaysian dollar's 4.3%, the Indonesian rupiah's 3.9% and the Singapore dollar's 3.7%."
"Losses included the Hungarian forint's 10.0%, the Russian ruble's 8.9%, the Polish zloty's 8.7%, the Czech koruna's 7.5%, the Iceland krona's 6.5%, the Romanian leu's 5.3%, the Bulgarian lev's 5.2%, the Serbian dinar's 5.0% and the Croatian kuna's 4.5%.

In Latin America, the Venezuelan bolivar sank 48.5%, the Mexican peso 8.7%, the Chilean peso 7.7% and the Colombian peso 4.6%. " Chinese stocks led the rout. The Shanghai Composite sank 10.1% during the quarter. The small cap CSI 500 lost 14.7%, and the CSI Midcap 200 fell 12.5%. China's growth/tech ChiNext index was slammed 15.5%. Hong Kong's Hang Seng financials index dropped 10.7% during the quarter, led by losses from the Chinese securities firms. As for China's two largest banks, Industrial and Commercial Bank of China dropped 12.6% during the quarter and China Construction Bank lost 15.5%.

https://creditbubblebulletin.blogspot.com/2018/06/weekly-commentary-decisive-quarter.html

The emerging markets are in a tailspin and may very well be a detonator. Problem is, there seem to be a dozen "known" detonators spread around the world.

China wants a weak currency to help it's exports markets AND a strong currency to stop capital flight.
Socialism is the firewall between Darwinian pressures and, non-producers. What happens when you get TOO many non-producers?

https://fabiusmaximus.com/2018/07/01/why-leave-san-francisco/

John Mauldin and his Train Wreck series of articles.

http://www.mauldineconomics.com/frontlinethoughts/unfunded-promises

Crypto news;

https://finance.yahoo.com/news/bitcoin-bloodbath-nears-dot-com-024507352.html

The EU is starting to face up to the fact that; borrowing money for consumption just isn't a good idea.
"After more than 2 trillion euros of asset purchases and a zero interest rate policy, it is long overdue. The massive quantitative easing (QE) program has generated very significant imbalances and the risks far outweigh the questionable benefits. The balance sheet of the ECB is now more than 40 percent of the eurozone GDP" Do tell!
"The governments of the eurozone, however, have not prepared themselves at all for the end of stimuli."
"In other words, the problems are still there, they were just hidden for a while, swept under the rug of an ever-expanding global economy."
ever-expanding global money supply

"The 19 eurozone countries have collectively saved 1.15 trillion euros in interest payments since 2008 due to ECB rate cuts and monetary policy interventions, according to German media outlet Handelsblatt. This reduction in costs is financed by pensioners and savers who are forced to invest in these debt instruments, often by institutional mandate."
"Taxes rose for families and small and medium-sized enterprises, while current spending by governments barely fell"
"The main eurozone economies face more than 2.1 trillion euros in debt maturities between 2018 and 2021."
Don't forget about the Euro 1.2 trillion in non-performing loans.
"Where would bond yields be if the ECB was not the largest purchaser of eurozone bonds? We do not know for sure, as there is no discernible market demand at these levels. "

Today, the ECB program buys more than three times the net issuances.

https://www.theepochtimes.com/the-eurozones-coming-debt-crisis_2579575.html

[Danny B]

Exit from equities,,, rising dollar,, DOD audit


OK, and the result;
May 22, 2018 ... The tough times for Emerging Market Bond Funds continued, with redemptions exceeding the $1 billion mark for the third
.................................................. ...........................................
Domestic Equity funds reporting net outflows of -$6.926 billion and Non-Domestic Equity funds reporting net outflows of -$1.027 billion...ExETFs - Emerging Markets Equity funds report net outflows of -$0.345 billion.
.................................................. ...............................................
High Yield funds reported net outflows of -$1.135 billion...Money Market funds reported net inflows of $18.188 billion
------------------------------------------------------------------------------
So, several $trillion is flowing out of equities and EM bonds. Much of it is flowing into money-market funds. Some into U.S. bonds.
FUND FLOWS: Despite Coming Rate Hikes, Investors Love US Bonds ...
Page not found | Wealth Management...
Cameron Brandt | May 22, 2018
I posted all the various currencies that are falling. The financial "air" is being sucked out of the room. A lot of investors are running to cash.


Nobody wants the dollar to go up like this but, it appears to be Unstoppable.


Trump is kicking around another sacred cow;

https://sputniknews.com/us/201807021065954027-us-trump-wto-withdrawal/

Oil
"The U.S. and Saudi Arabia struck a side deal to boost oil supply by 2 million barrels per day, according to President Donald Trump."
Sounds fishy because Saudi production has been in decline for years.

https://static.seekingalpha.com/uploads/2018/1/22/35657635-15166682407555935.png

Think about it. The military-industrial-complex (don't forget the banks) have a bottomless check book that nobody ever looks at. Many years ago, David Walker, the comptroller-general of the U.S. refused to certify the books. Everybody is just writing checks without even a passing thought for congressional appropriations. Though, the do make sure that the grunts life in poverty. The DOD left no paper trail so that nobody could actually assign responsibility or accountability.

https://www.globalresearch.ca/how-21-trillion-in-u-s-tax-money-disappeared-full-scope-audit-of-the-pentagon/5638534

Trump indicated in the beginning that he wanted a complete audit.
andAmerican Patriot Daily ? Trey Gowdy Turned The Mueller Investigation Upside Down With This Speech

The offence industry spent $174 million on lobbying congress. EVERYBODY can be presumed dirty. Hundreds of congressmen have contributed miles of rope to the hangman.

[Danny B]

No money to fill the gas tank

The CBs pump money into the financial sector. The financial sector front-runs everything that the producer loop needs to buy. Effective wages drop since purchasing power is diminished by price inflation. A barrel of oil is sold (estimates vary) about 27 times before it is consumed. Since oil is one of the biggest markets, it attracts a lot of speculators. The end result is that; our diminishing purchasing power can't afford to buy oil. Price i8nflation has outrun wage inflation. Add to this; China, et al have put a roof on wages.
Global aggregate purchasing power is falling as various States raise their basic standard of living. Oil is getting more scarce and, more expensive. Our wages are falling and we can't actually pay for oil. The FED pumped out $trillions and some of this went to the junk-bond market to finance fracking.

Sr. Price writes about the fall of oil. It is not so much the price of recovering oil. It is also the amount of energy expended to recover it.
"Net Energy Available for GDP Growth, per barrel of oil, was about 61% of the total original energy in each barrel, after subtracting unavoidable Waste Energy, and Energy Costs of Production; by 2015, that figure had fallen to only 8%. In 2030, the Net Energy provided by the Petroleum Industry is forecasted to be - 0%!"
This is an excellent article.

http://www.plata.com.mx/enUS/More/355?idioma=2

"According to the thermodynamic thesis, the price of oil has not been able to rise to make good the financial promises of the Oil Industry, simply because the productivity of the world has been insufficient to allow payment of higher prices."
Yep, the money is stuck in the upper loop.

Here is a very comprehensive report on the 12 major debt sectors. Once again, debt is crashing because our wages are insufficient to service it.

https://www.narrowroadcapital.com/memos/the-dirty-dozen-sectors-of-global-debt/

China is in rapid meltdown because it too doesn't have high enough wages to service it's debts.

https://www.zerohedge.com/news/2018-07-02/chinese-yuan-suddenly-tumbles

As the FED raises rates it marches straight towards the dreaded inversion of the yield curve.

https://pbs.twimg.com/media/DhHZZynV4AA0nXd.jpg:small

So, the FED is raising rates to attract fleeing capital. Raising dates will crash domestic markets. The FED has lit one end of our life raft on fire.


Yep, smart money is fleeing equities. The dumb money is buying up all the deals with even-higher leverage.

What could go wrong and, when will it?

Crucify the bankers if you wants to end the drug war.
Kim Jong Un seems to have stripped a couple of cogs.
North Korea's Kim Jong Un Wants to 'Completely Eliminate Manual Labor'

[Danny B]

Oil Vs the economy,,,currency reset

Well, oil is going up so, everything else must go down.
The total cost of crude as a percentage of world GDP is now 3.57%. The 1960 to 2015 average was been 2.48%. Every time, over the last 58 years, that the ratio has exceeded 3.25% the economy has gone into a recession within a year. There is no reason to believe that this time will be any different.

http://i64.tinypic.com/2cfshth.jpg

depletion
Besides the cost of crude, the taxes are rising on fuel. The State does not care.
A good article on oil depletion;
depletion
A good graph, http://i64.tinypic.com/2cfshth.jpg

Armstrong, "I have explained that southern Europe got the worse deal. They converted their debts to Euro and then the Euro rose from 80 cents to $1.60 doubling their national debts and the austerity policy forced economic recession upon their economies with youth unemployment reach 60% in some regions known as the lost generation. "
This is the simplest explanation of what went wrong.

https://www.armstrongeconomics.com/international-news/europes-current-economy/diversity-in-europe-is-the-key-to-understanding-the-eurozone-crisis/

Special Discuss JUN 26, 2018 - MARTIN ARMSTRONG: The New Currency System is Coming

https://www.youtube.com/watch?v=aUesVfp643w&t=716s

The whole world sees that the rising strength of the dollar is ripping the system apart. The obvious solution is to devalue the dollar AND make it less attractive.

Jim Willie, "the upcoming Systemic Lehman event that hits both sovereign bonds and entire banking systems, "

http://www.goldenjackass.com/main5.html

https://www.youtube.com/watch?v=NX-xALgqH-s&t=116s

MARTIN ARMSTRONG Next Depression will Not Directly Effect Economy but Bonds and Governments

https://www.youtube.com/watch?v=O2yiyOVn6VY&t=373s

I just don't buy this.
Alex Jones;
Trillionaire Rothschild Warns His Own Central Banking System Is Failing and Buys Gold
The Dollar Vigilante

https://www.youtube.com/watch?v=cssfD0KlHxA&t=1557s

Deutsche Bank In PANIC MODE as Stock Near RECORD LOW and Market Shows MASSIVE Outflows!
The Money GPS

https://www.bloombergquint.com/opinion/2018/07/03/lehman-collapse-10-years-later-four-major-risks

Trump will seal a deal with Putin so that America will still get oil after the dollar crashes. The meeting is soon. The U.S. military is the biggest user of petroleum in the world. Something's gotta give. The dollar will be devalued overnight. This has been done many times with many currencies. Prices will be set commensurate with our wages.

Jim Willie;

https://www.silverdoctors.com/gold/gold-news/jim-willie-issues-alert-dollar-collapse-gold-and-silver-price-spike-were-at-the-door-of-the-global-currency-reset/

https://www.silverdoctors.com/gold/gold-news/gold-standard-china-dollar-collapse-jim-willie/

[Danny B]

https://www.cnbc.com/2018/03/26/bank-stocks-are-breaking-down-even-as-rates-are-rising-heres-why.html

Why Big Bank Stocks Are About to Crumble | Investopedia

https://www.investopedia.com/news/why-big-bank-stocks-are-about-crumble/

" The US Federal Reserve (Fed) struck an unprecedented bargain with Goldman Sachs and Morgan Stanley ahead of recent stress tests that allowed the two banking giants to avoid outright failing grades"

https://sputniknews.com/us/201807031065987616-usa-federal-reserve-stress-tests/

"US Branch of Deutsche Bank Fails Federal Reserve Stress Test"

https://sputniknews.com/business/201806291065878235-usa-deutsche-bank-fails-federal-reserve/

Deutsche Bank leads the way on the slow grind down to insolvency. The new Italian government is setting off capital flight. This may take down Deutsche Bank.

Apparently, the war-mongers / arms industry is running scared.

https://www.zerohedge.com/news/2018-07-02/ron-paul-whos-afraid-trump-putin-summit?destination=/news/2018-07-02/ron-paul-whos-afraid-trump-putin-summit

[Danny B]

What to do about the strong dollar

May is trying to do the bidding of the London bankers,

No such thing is possible. The markets and confidence are driving the rise in the dollar. Historically, when a State wanted to devalue it's currency, it re-pegged it to the U.S. dollar. The rising dollar is a fast-moving calamity. The only way to re-peg the dollar is to re-peg it to GOLD. Years ago, the peg was changed from $ 20 per pounce to about $35. This will happen again because market distortion caused by capital flight to the dollar is just too destructive.

Goodbye M3 - What is the Government hiding? - InflationData.com
https://inflationdata.comMar 16, 2006 - FED will no longer track M3 hiding massive inflation of the money supply. ... The most restrictive, M1, only measures the most liquid forms of money; it is limited ... So the question immediately arises why would the FED stop tracking this?

Why Did FRED Suddenly Discontinue Reporting On The Fed's Balance Sheet Normalization?
by Tyler Durden
Wed, 07/04/2018 -

https://www.zerohedge.com/news/2018-07-04/why-did-fred-suddenly-discontinue-reporting-feds-balance-sheet-normalization

https://www.armstrongeconomics.com/market-talk/market-talk-july-4-2018/

Armstrong, "This is war is building, but it is not really between Trump and Putin personally. The bureaucracy in the USA seems to want war. Perhaps as a diversion for economic problems with social programs"

https://www.armstrongeconomics.com/armstrongeconomics101/ecm-armstrongeconomics101/russian-summit-lining-up-with-ecm/

UK reportedly tells Trump he cannot meet with Brexit architect Nigel Farage
Nigel Farage unveils George Soros corruption with EU 200 MEPs on the take
Arrest george soros! nigel farage orders the eu parliament

Wait, NATO bases are the prime distribution point for drugs in Europe.
Iran Will Import Good Only From Countries Buying Its Oil
The face of the future.
Switzerland Chooses Gold Over Dollar-Backed Paper
Gazprom Boosts Natural Gas Production To Solidify Top Position In Europe
World Bank Backs Egypt To Become Regional Oil, Gas Trading Hub
YES, but Iran has the gas and oil, NOT Egypt.

As Syria is purged of mercenaries, the pipeline wars are winding down. Pox Americana is provoking Iran still trying to diminish their oil sales. At the same time, they don't want to provoke them TOO much.

https://www.rt.com/business/431669-oil-surge-iran-sanctions/

[Danny B]

Systemic failure, Countdown, hot in the Golan

"The unwelcome reality is the systemic issues cannot be reversed with policy tweaks or shuffling those at the top of a crumbling centralized order. The systemic problems arise from the structures of centralization and monopoly capital, the institutionalization of perverse incentives"
"The Ratchet Effect is another key reason why meaningful reform of the status quo is impossible. In flush times, budgets expand as easily as waistlines, ratcheting up to consume ever-higher revenues. But once revenues start declining, the administrative/consumerist status quo is fiercely resistant to any reduction."
Don't cut off my welfare , or else

"In other words, the social crises, the constitutional crises, the financial crises--all of these are to some degree mere manifestations of the failure of centralized systems that arose to benefit from conditions that no longer exist."
"Rather than admit the failure of our socio-economic system, those benefiting from the system's gross imbalances are pursuing a multi-pronged strategy of control:"
oftwominds-Charles Hugh Smith: The Gathering Storm

One would expect a war to break out to be the scapegoat for economic and social collapse..
The M.I.C. is deathly afraid that peace will break out and end their gravy train. What about China?

https://www.yahoo.com/news/m/6c426788-6998-3f87-b0e0-85b534177973/ss_china%27s-army-says-it-has-a.html

https://www.rt.com/usa/431695-ice-agents-assault-training/

Trump is trying to cut back on the debt to make it more manageable.
President Trump Cuts More US Debt for a Longer Period of Time Than Any President | MAGA PILL

The West is provoking Iran hoping to get regime change. They want to reduce it's oil earnings to zero. That can't be realistically done. Iran is holding the Straights of Hormuz as hostage.

https://www.rt.com/business/431669-oil-surge-iran-sanctions/

The pentagram says that they can keep the straights open. No possibility.

Trump has refused to bomb the Syrian army that is taking back Syria from the mercenaries hired by Saudi, israel and the neocons. Teresa May, held in bondage by the London bankers has dropped a few bombs in a show of support.

https://www.rt.com/business/431669-oil-surge-iran-sanctions/

Meanwhile, israel is demanding that Syria honor a 1974 separation of force agreement that both of them signed. Syria has no particular reason to abide by a de-escalation agreement that was nothing more that a convenience.
"The agreement was signed a year after an Arab-Israeli war in which Syrian forces failed to retake a large part of the Golan Heights area seized by Israel in 1967.

The strategic highland has since been annexed by Israel, bringing some Israeli troops as well as settlements to within a few dozen miles (kilometers) of Damascus. " "The Britain-based Syrian Observatory for Human Rights reported some 600 airstrikes in Daraa province."

https://www.yahoo.com/news/intense-airstrikes-reported-southwestern-syrias-daraa-085312926.html

So, will the Syrians take the Golan or, not?
Netanyahooo is running to Moscow again to plead / demand that Putin let israel have the Golan. . Everybody on the planet is tired of the endless wars. The U.N. is VERY clear.

https://www.aljazeera.com/news/2016/04/rejects-israel-claim-syria-golan-heights-160426195853040.html

"To underline that this capacity still exists and should not be tested, Hizbollah has retaliated against direct Israeli attacks on its assets in Syria with operations in the Israeli-occupied Sheba farms area, which it considers Lebanese territory,"

https://www.crisisgroup.org/trigger-list/iran-us-trigger-list/flashpoints/golan-heights

A LOT of arms were funnelled to the mercenaries through Jordan. Recently, Netanayahooo went to Jordan to demand more help. More recently, the king and queen of Jordan came to visit Trump. He said that the king and he were old friends.

[Danny B]

Save the investor, kill the jobs

"U.S. has record 6 million job openings, even as 6.8 million Americans are looking for jobs"
U.S. has record 6 million job openings, even as 6.8 million Americans are looking for jobs

https://www.dollarcollapse.com/labor-shortage-critical-wage-inflation-8/

America has a massive truck driver shortage. Here's why few want an ...
https://www.washingtonpost.com/.../a...hortage-heres-...
Construction industry struggles with labor shortage | The Seattle Times
https://www.seattletimes.com/nation....-labor-shortag...

So, who can we blame this on?
"In the United States, the total capacity of all colleges and universities is only 40% of high school graduates."
"The misguided decision to close the majority of LAUSD's once vibrant industrial arts program was made under the false assumptions that it would be too expensive to retrofit them to modern standard"
"3.There are critical shortages in the skilled labor market for mechanics, welders, carpenters, and electricians with starting salaries of over $40,000 that are going unfilled in our society. "
The case for Industrial Arts. - Perdaily.com

The Death Of Shop Class And America's Skilled Workforce - Forbes
https://www.forbes.com/.../the-death...killed-workfor

https://americanaffairsjournal.org/2018/05/the-american-way-of-innovation-and-its-deficiencies/

[Danny B]

All quiet besides tariffs

The U.S. is relatively stable when compared to China, India, Brazil and Europe. It appears that Trump wants to shake up foreign markets with his tariffs. Here is the list.
The Office of the US Trade Representative on Tuesday announced a list of Chinese products that will face a new 25% tariff.
The list includes machinery, agricultural equipment, and tech goods.
The Chinese are laying tariffs on pork, fruit and nuts.
Apparently, the list is set to expand.


so far the tariffs haven't destabilized markets but, the night is yet young.

[Danny B]

Trade war, Powell, EU banks, Kunstler

Here is a 12 page report on economic factors that includes tons of charts. Among the many things that it shows; Chinese exports to America only account for 3.5 % of it's GDP.

http://alpinemacro.com/wr/June29_2018/Seven_Steps_and_a_Stumble.pdf

Here is one chart that shows the "everything" bubble.

https://www.freedomsphoenix.com/Uploads/Graphics/533-0706164457-https2F2Fs3-us-west-2.amazonaws.jpg

Dr. copper is a very good indicator of true economic strength.

So, Japan believes that junk bonds carry less risk than U.S. treasuries.

The French, Swiss and German banks have no intention of letting London
banks continue to do business as usual on the continent.

There are 688 billion reasons to go looking for enemies.

Kunstler has a new report that is more than mildly pessimistic.
Summer of Tough Love - KunstlerYeah, that should go over real well around the world.

https://oilprice.com/Energy/Crude-Oil/Do-Trumps-Tweets-Point-To-Another-Oil-Crisis.html

An excellent report on Work and Wealth

https://www.marketwatch.com/story/americans-are-working-hard-and-getting-nowhere-2018-07-02?mod=idealmedia

In the Battle for Syria, it still remains to be seen just where the Syrian army will stop.

https://russia-insider.com/en/politics/battle-southern-syria-coming-end-israel-bowed-russias-will/ri24004

This is a very big deal.

[Danny B]

Failed Capitalism,, bring in socialism

Capitalism; the operating system;
Take something from the natural world, add in a bit of labor, trade it for some other item that you need.
This is the only system that actually produces anything. Any other system must necessarily involve theft by some non-producer.
About 27,800,000 results
The first return is; Posner, famous for his advocacy of free markets, turns on free-market capitalism in this book: "the financial crisis is indeed a crisis of capitalism rather than a failure of government." ... He asserts that the "depression is a failure of capitalism".
Richard Posner was born on January 11, 1939, in New York City. His father's family were of Romanian Jewish descent, and his mother's family were Ashkenazi Jews from Vienna, Austria.

The failure of CRONY capitalism is most assuredly a failure of government. The State regulators enabled the bankers to steal everything. Aside from regulatory failures, the bankers are responsible for the enormous currency inflation that robs everyone who doesn't have a printing press.

5 Reasons Capitalism Has Failed | Alternet
The Failure of Capitalism | The Swamp
American capitalism has failed us: We're overworked, underemployed ..
A Failure of Capitalism: The Crisis of '08 and the Descent into depression, Posner
Not a Failure of Capitalism--A Failure of Government
The Failure of Laissez Faire Capitalism and Economic Dissolution of the West. Towards a New Economics for a Full World.
Capitalism, American style; a failing system, no longer a model for the world
Capitalism has failed the world: Socialism is the viable alternative ...
Ah, now we're getting somewhere.

Has capitalism failed or do we just not like its results? | Stuff.co.nz
Socialism vs. Capitalism: Which is the Moral System | Ashbrook
Laissez Faire Capitalism left when the State demanded to grow without limits. The only host available was the producer.
Mother Nature does not "do" morality. It is impossible to claim that socialism is moral if a great number of people must steal their sustenance.
Socialism has never worked because it removes motivation. It does appeal to the masses of people who never had any motivation. They can be counted on to vote for it every time.

These are the Jewish socialists who paved the way for Bernie Sanders
The Jews Who Dreamed of Utopia - The New York Times
Milton Friedman on Israel and Jewish Support for Socialism
Empire, Socialism and Jews V: The Postwar Years
Jewish Socialism is Hot Among Millennial Voters - PJ Media
Historical Dictionary of Socialism - Page 254 - Google Books Result

https://books.google.com/books?isbn=1442258276

Peter Lamb - 2015 - Political Science
JEWS. Jews have played an outstanding role in the history of socialism as both revolutionaries and reformists. Among the many socialist thinkers and leaders ...

So, here we are. Capitalism has FAILED. Socialism is the better system and MSM is pushing it. The legislature is responsible for the collapse. How will the battle shape up. How will the armies on non-producers wage war to bring socialist enlightenment?

[Danny B]

Bumps and potholes in the financial road

Teresa May is trying to do the bidding of the city of London bankers. She has just run into a block wall. Everybody is deserting. They can see that Brexit is going to be such a bloody mess, they don't want to be anywhere near Parliament.
'Absolute chaos': BoJo is third minister to resign as foreign secretary within 24 hours
Chris Hedges has a very impre4ssive history as a foreign correspondent. Here is an excellent vid of the battle lines.

https://www.youtube.com/watch?v=qQU4x3DqzuQ&t=591s

https://www.truthdig.com/articles/america-the-failed-state/

"It's been my view, going back to 2009's aggressive reflationary measures, that central bankers failed to learn key lessons from the mortgage finance Bubble period. My biggest frustration revolved around the Fed's fateful decision to target mortgage Credit for system reflation - and then their complete neglect of prudent oversight of mortgage lending and mortgage-related financial intermediation, leverage and speculation. "

https://creditbubblebulletin.blogspot.com/2018/07/weekly-commentary-bis-annual-economic.html

The residential real estate market is where the upper loop meets the lower loop. They wanted to bring confidence to those in the upper loop. The lower loop got the shaft because RE price inflation meant that millions would be homeless.

The billionaires have a problem. When the crash and the chaos hits, how can they insure the obedience of their guards? ,,,, shock collars OR, robot guards???

https://medium.com/s/futurehuman/survival-of-the-richest-9ef6cddd0cc1

Here is a graph of Lehman Bros laid over a graph of Deutsche bank,http://goldswitzerland.com/wp-conten...nn-600x334.jpg

https://goldswitzerland.com/us-debt-explosion-weimar-ii/

Here is an article about how tight the labor market is.

https://www.dollarcollapse.com/currency-reset-inflation-back-part-9/

AND


A very good article by Armstrong on the history of tariffs.

https://www.armstrongeconomics.com/world-news/sovereign-debt-crisis/did-tariffs-cause-great-depression/

Here is an exhaustive article on the effects of the coming oil crunch.https://www.zerohedge.com/news/2018-...ll-shock-world

http://batr.org/forbidden/102715.html

Trump meant it when he said America first. Other states are starting to catch on.

https://www.theguardian.com/us-news/2018/jul/08/donald-trump-uk-visit-contempt-for-european-allies

Trump has GREAT plans to cut back on the huge waste of money that Pox Americana has become.

https://www.zerohedge.com/news/2018-07-07/america-first-helsinki-and-trumps-existential-threat-empire

[Danny B]

About that North Sea oil that ran out,,,

"It may simply be too much to expect rational political leadership any more from Britain. Instead of the cabinet stabbing the PM in the back as they did with Thatcher to also try to join the euro, this time it is the PM who is stabbing her cabinet and the people in the back trying to stay in the EU "
"There are people now calling for Nigel Farage to return. Quite frankly, Nigel is probably the ONLY hope for Britain. Unless they cut the umbilical cord to the EU, Britain cannot possibly survive. Its economy has been sucked dry. "
"The economic growth of Britain peaked before it joined the EU and has declined steadily ever since. Britain loses EVERY trade argument in the EU Court. "
"after the coup against Margaret Thatcher to take the pound into the euro. This is not the END of the Conservatives, but the PM has to realize that any concern about leaving the EU is absolutely stupid. Europe is tearing itself apart. Nigel Farage should step back in, but he has paid a high price personally for trying to save his own country.

Personally, London to me is the most beautiful city in the world to live in. I lived there for about 5 years. "
You can bet that he didn't live in Earl's Court.

https://www.armstrongeconomics.com/international-news/britain/britain-committing-suicide/

"Therefore, the business cycle I discovered was INTERNATIONAL, and by that very nature, it means that when one nation peaks, another bottoms."

https://www.armstrongeconomics.com/future-forecasts/ecm/economic-confidence-model-when-one-nation-peaks-another-bottoms/

"We are in the eye of the storm coming out the other end. When we do, the turmoil will begin. While I would hope that at some point the political powers at large will listen, the likelihood of that is nil until the crisis happens."
"The longer the government wages war against its own people to retain power, the greater the fall into economic oblivion."

https://www.armstrongeconomics.com/armstrongeconomics101/understanding-cycles/doom-gloom-v-optimism-is-there-a-middle-ground

Charles Hugh Smith; "Here are the core characteristics of dysfunctional but stable states that benefit the entrenched few at the expense of the many, i.e. 3rd World nations:"
" 6. Cartels and quasi-monopolies are parasitically extracting the wealth of the nation for their elite owners and managers. Google: quasi-monopoly. Facebook: quasi-monopoly. Healthcare: cartel. Banking: cartel. National defense: cartel. National Security: cartel. Corporate mainstream media: cartel. Higher education: cartel. Student loans: cartel. I think you get the point: every key institution or function is controlled by cartels or quasi-monopolies that serve the interests of the few via parasitic exploitation of the powerless.
7. The elites use the extreme violence and repressive powers of the government to suppress, marginalize and/or destroy any dissent. "
"The USA is definitively a 3rd World nation. Read the list above and then try to argue the USA is not a 3rd World nation. Try arguing against the facts displayed in this chart:"
oftwominds-Charles Hugh Smith: The USA Is Now a 3rd World Nation

Here is a good article on the mega-parasite, the blob State.
Janus v AFSCME and the truth about Illinois pensions in one graphic – Wirepoints Original | WirepointsYou can't pay your taxes in slave girls either. Armstrong is deliberately mixing currency with store-of-value.
"Those who keep preaching that only gold is money are in the same category. Money at the end of the day is labor be in physical or mental. You accept whatever in exchange for that because someone else will accept it from you. "
Once again, Armstrong ignores the fact that "money" is a store-of-value AND a medium of exchange.
You don't get paid in slave girls for building a wall. You get whatever is the most convenient medium of exchange.

"Besides, for gold to reach such levels, nothing would be left including a place to even spend it. If there is nothing you can spend it on, it becomes worthless for it is only a medium of exchange. The dark pictures they paint are not something gold would survive. At that point, the control-alt-delete buttons are pushed and everything would rest back to the hunter-gather period meaning food is everything."

" it is only a medium of exchange" Gold has been the premier store-of-value for thousands of years. It doesn't wear out like slave girls.
Bankers HATE gold because it limits currency expansion. Since most banking is parasitic, they need unlimited monetary inflation.
"This is Alice in Wonderland, plain and simple to say gold will rise to $50,000 or higher. The maximum our models project is $5,000. That is probably the point at which total chaos is unleashed anyhow and you end up with a completely new monetary system."
He refuses to recognise the store-of-value function.

"Keep in mind, however, gold will not go so easily into the light. There is a high probability that they will declare gold illegal for transactions and prosecute under money laundering, which has been redefined as simply hiding money from government. The end game is really the collapse of the monetary system and hopefully that coincides with a collapse in government power. That is where gold will make the transition from the old to the new."
NOT in the R.O.W.

https://www.armstrongeconomics.com/markets-by-sector/precious-metals/gold/gold-what-is-a-high-really-worth/

U.S. Gov may very well try to take the gold because that will be the only thing that the East desires

https://www.zerohedge.com/news/2018-07-07/america-first-helsinki-and-trumps-existential-threat-empire

[Danny B]

https://www.zerohedge.com/news/2018-07-11/hammurabis-code-key-fixing-banks#comment-11988633

When Collapse Goes Kinetic - Kunstler

Kunstler calls for a downturn after this summer. Look at this graph and, decide for your selves.

https://www.zerohedge.com/sites/default/files/inline-images/2018-07-05_12-24-02_2.jpg

Powell plans to ignore the yield curve and forge ahead with rate hikes. It is going to get messy.
"Bloomberg's markets recession model, which translates how various asset classes are trading into recession probabilities, now flags the next recession to take place in 12-24 months. More importantly, the start of the recession is more likely to be in the next 12 months rather than in two years."

https://www.zerohedge.com/news/2018-07-10/us-closer-recession-you-think?destination=/news/2018-07-10/us-closer-recession-you-think

https://deviantinvestor.com/10156/these-pictures-what-is-wrong/

The yield curve is also showing a recession in the not-to-distant future.

https://www.financialsense.com/sites/default/files/imagecache/desktop/users/u80/images/2018/0709/01-yield-curve-inversions.jpg

https://www.financialsense.com/daniel-amerman-cfa/remarkably-accurate-warning-indicator-economic-market-peril