RISK OFF IN 2016
I listen to the pundits reporting and I think, shallow. Are they ever shallow. We have had the worst global financial crash in 70 years of generational time. Our institutions charged to keep us safe failed us all across the world. Why did this crash occur?
Two reasons. Speculation that was and remains unregulated and wild. This is the cause of the GREAT DEPRESSION. And leverage that is beyond fundamentals. These players caused all depressions throughout history. Whey do we repeat known behaviors that wipe our wealth? Easy, we forget generationally and Greed wipes our memory banks.
Where are we today? I’ve told you. I’ve reported the facts. The issue remains unregulated market speculation on a scale the world market has never experienced. With leverage the world market has never known before.
Now lets look at 2016. A monetary system wide reset, requires a SUPER CRASH to complete deleveraging and to wipe our speculators once and for all. The global pain is possibly a world war if we look at 5000 years of repeating history that never not ever varies.
So lets look at at the EU ( on the brink ) Asia – on the brink – South America from Rio to Argentina – ON THE BRINK – and as they all teeter the notion the USA is standing tall safe and strong is to fail to see the house of card in free fall. There is no inflation. There is deflation. Prices are deleveraging. As short sellers have their lunch handed to them margin calls create a NIAGARA of floods as assets are sold to cover the ungodly LEVERAGE. Think Hedge Fund and Private Equity wipe out that ripples to banks and to institutions that are too big to indict.
The six year BULL MARKET is a feature of the Fed front loading the market with FREE MONEY. Now the FREE MONEY is being truncated. The market is not reacting to CHINA because China and the world are reacting to MARKET RATE MOENY COSTING versus FREE MONEY COSTING for over half a decade. DELIVERING races are now in play at the huge money silo of private equity and hedge funds and financial institutions. The pensions and the huge asset managers are RISK OFF now and that will remain through a bear decade of DEFLATIONARY pressures and stagflation markets.
Picking a stock to make a fortune in 2016? I think NOT. Rather pick a stock in 2016 that might make a Fortune in 2020 but really not before. The wild fluctuations will continue through SUPER CRASH until the market RE-REGULATES globally to remove unwanted criminal speculation and leverage. THAT IS THE SAND OF OUR FOUNDATION and it is global quick sand now catching up to every serious monetary brain.
The Central Banks, should be merged into the Treasury of nations. All Treasury planners wished to preclude successive EASING ( FREE MONEY ) ROUNDS. Today when you think:
- The markets opened 2016 in their worst performance of any year in ten.
- The markets hit a low that was the worst in 84 years at one point January 4th.
- Real Unemployment in the USA is 22%.
- Home Prices at rising interest are no longer affordable to buyer demographics and institutional buyers will be fired to dump in deflating prices. Crashing real estate.
- Markets are over priced with real Price to Earning Ratio’s near 30 to 1 – where average approrapite HIGH PE ratio’s are 16 to 1 – the market is SO OVER PRICED it must deleverage.
- Credit is crazy and trillions in bad loans will SUPER CRASH all markets as the money tide roles out we will see which global institutions are too big to indict for their crimes. Who is financially naked and without cash to survive and who has a cash bikini = we are about to see folks.
- SUPER CRASH can be manipulated by politics in an election year to influence election results. If your naive enough to suggest such an opportunity will not be acted upon when POWER always trumps profit – just look at history and look backwards. See the track history.
Will the ELECTION realities foster SUPER CRASH to moderate deleveraging and reset monetary systems world wide? The pain will be fantastic – as we have never known it before. A world war is likely as a result. Will the new World Order be better? Most assuredly. But will we correct systemic abuse in Speculation and credit – both criminal – to the system? I don’t know we never have over time. In 1999 in the last three hours of the BILL CLINTON administration we have the very last recorded UNANIMOUS VOTE OF CONGRESS. They passed going home to Christmas the COMMODITY MODERNIZATION ACT. This act had little to do with commodities. This act slew 100’s of financial regulations, and allowed banks to own investment banks, a crime in the past, and banks to invest your grand mother’s deposits at 50 one leverage off shore in highly speculative market manipulation schemes, ( criminal before 1999 ) such that banks are free to commit what was once crimes. So we never learn. Greed always wins over time.
Today the unborn generation carry 264 trillion dollars in fully allocated USA Debt at almost 70,000 for every baby to senior alive as their DEBT BOMB. It is not payable. Not now. Not tomorrow. Not ever. Folks we go to war over them there numbers.
So the world has given us their labor and goods and we have give them a Fed promise to pay. Good luck.
This house of cards folks is coming down. Greece is nothing compared to the USA. When we can’t pay our credit card bills we apply for a Black American Express card to pay off the old debt This plan does not work.
Politicians world wide have spent more money than they earn for too long a time. The system world wide is now bankrupt. Laws that are awful permit institutions to report as good paper what is bad loans and debt that are loss only and when adjusted to their books wipes out the banks. Entirely. Your money is not in the bank.
For every thousand dollars in your bank the FDIC has reserves to insure part of a penny. The insurance offered is fraud. Real fraud. There is no safety net.
Panic will set you free one day.
Panic in the market.
Panic at the bank.
Try and get your money out. Just try it. Try it today.
One day you will look back and say – you know I was told the truth in 2016 – I was and that guy was right. He was telling the truth.
Then you’ll say WHAT DO I DO. I’ve told you what to do in my own investment banking opinion.
- Sell out of all markets – stocks bonds and hard assets – risk off.
- Reduce debt in real estate. Make sure on this.
- Invest in diversified insurance products ask a licensed professional for guidance. Listen to no one else.
- Ride seven years in the insurance safe house then come back into the newly revised reset world markets with CASH from your protected insurance products.
- Act now because delay is the cost you will find too costly to pay.
Super Crash is not an IF.
Super Crash is a WHEN.
Berny Dohrmann – Keeping the light on just for you ( spread the word )
PS: You know what – you KNOW all this anyway – I”m just reaffirming what you really know. You knew all this didn’t you? Now believe what you KNOW you KNOW.— January 6, 2016