THREE TRILLION OF WEALTH – JUST WIPED OUT – GONE !
We have begged our readers since the summer to sell out of stocks bonds and risk investments. We are predicting a deflation global sea change in financial foundation under pinnings. We have advocated in the strongest possible terms, move into insurance diversified investment with assistance from licensed insurance investment professionals.
Today the Asian market looked at triple digit loses. With the Jarkata Bombing ( they are almost daily now ) a global believe NATIONS have LOST THE POWER to keep their citizens safe from vicious insane harm and violence. No one feels safe. This effects confidence to invest.
Companies drawing down on FREE FED MONEY for a decade, manipulated stock prices. The free money STOCK BUY BACKS where phony casino capitalistic approaches to bid the market up to 30 times Profit and Earnings RATIO’s when a HIGH but more stable average is around 16. As the market doubled that SAFE zone number, the correction we are seeing today had to take place. When do we get a market back in safe PE zone of 16. Oh around 6400 DOW. A crash of 50% off a total 70% correction of the phony values in the market.
However as we see with oil, DEFLATION has no mercy. The downward spiral in price has no end to it. No end. Not yet. Any FOOLS RALLY will be very short lived.
The market is trading on the lowest velocity of trader participation, the base of who is buying and selling – EVER. The base is hidden because ungodly leverage allows large volume days but that is institutional leveraging of trading along a small base of fantastic size institutions. Banks. Worse banks have only been in the markets speculating this way since Dec 1999 when the Glass Stegal laws protecting us from all this were WIPED OUT by a Congress that lacked a lot of facts. Obviously in hind sight.
Today as the market dumps off leverage and value, the margin calls on leverage which in counter party ETF speculations can trigger 50 to 1 leverage – such that – 100’s of billions of assets must be dumped – meaning down down down places money in a SINGLE MIND – preserve principle. Only the principle is called on margin and the assets must be dumped to make the margin call.
This VORTEX this giant global SYPHON is so huge that is sucking the economy of the world down the rat hole. What is the core issue? As the New Chappies never having lived through any of this report about the symptoms. They would not know a cause if it bit them on the lower lip.
The foundation of our nation is being destroyed by greed, credit, and central bank debt and policy. The fix of the cause includes:
- Merge the Fed into the US Treasury.
- Issue SUPER 200 YEAR BONDS with sliding index premiums and pay the entire national debt off today.
- Balance the budget and issue money with NO INTEREST.
- Initiate a G 100 Economic Constitutional Congress to draft a CONSTITUTION for financial governance world wide all nations can sign on to. Trade and currency wars would be impossible. Speculation would be criminal. IT isn’t hard. We had it all once. Lets go back to what worked.
- Advance laws globally to fairly trade and to have real teeth for those who trade at disadvantage – reward cooperation and punish competition. Rules can be advanced to regulate a global digital market and surprise the black market space.
The WAR on Terror in these times needs a GLOBAL EFFORT that is like World War II between all allies – the EU – Asia and Russia. It is time to get North Korea to a table and set up – we get a list of things we must have – or – we end you.
We need to go down the list.
ISIS needs to be massively wiped out in a month – using sufficient force to reset Syria into a nation of hope and promise and pick up the pieces. A Marshal Plan to rebuild Palestine should come forth from Isael to escrow 100’s of billions in G 100 contributors to make jobs and economic prosperity blossom in Palestine. Marshall plans for Korea and Iran and Iraq and Lybia should be put in place by a basket of nations the world bank and the IMF. All this can be done quickly.
Today we have the following taking place:
- 1% owned more wealth than 99% globally in 1999.
- This is unstable which created massive melt down in global wealth.
- This opened a market of distrust and negotiation as world trade stalled deflation crept and rose and nations moved to currency trade wars to save themselves.
- A contagion cvent inside the escalating trade war in currency and trade will result in a panic and SUPER CRASH.
- The SUPER CRASH will be sufficiency interrupting so as to breed a world war and full on wealth distribution.
This is avoidable if nations cooperation. It is not avoidable if nations compete. The current capitalistic system is broke at core. Velocity of trillions moving in and out of currency markets and nations at speeds no nation can manage, has created a NEW DIGITAL MARKET SPACE outside all reason and rational economics. The casino market is now driven by mindless greed.
Until a global regulatory RETHINK resolves the laws to reign in the insane frame work that allows ETF and related theoretical hedges which are nothing more than legal theft and market manipulation, the market is a casino capitalistic model with no morality ethics or integrity. That is spelled NONE.
N O N E
So don’t expect any. So what do YOU DO. You have these choices:
- Do nothing and lose your shirt as markets and real estate deflate and go down.
- Save values moving assets to insurance diversified portfolio’s the safe high return principle guarantee that can park money for five to seven years. No loss. You can always get it when you need it.
- Protect your assets.
- Invest in your business and growth. Make income ramp up faster.
- Africa on Asia off in my opinion.
The risk of the EU melting down is huge. The risk of issues in Asia and the Gulf – look at our sailors – is larger than usual an is growing even larger. There is no trend back to some old normal.
The markets are delivering. US Markets I think will go down today and Friday setting records for first two weeks of the year. The cost of oil plunges and pump prices are not brought down by nations. Legal theft is permitted. The gouging is criminal and massive. As cost for Airlines dropped their profits reached all time records but ticket prices didn’t reflect it all.
Prices overall are going down – deflation. Wages are going down not up. Income is going up for Entrepreneurs but not workers in general. The USA is moving backwards into recession. We are in it but there will be some reporting to verify it.
As the new economic crises hits the election will be brutal.
I’m suggesting you all read REDEMPTION THE COOPERATION REVOLUTION to secure knowledge about how to prosper no matter what.
We’ll keep you informed. But Asia was down today – EU was soundly down – and USA futures are DOWN DOWN DOWN for thee opening in our nation.
The core problem is a crises of leadership in our nation – in our administration, in our agencies, in our schools, in our industry, in our policy makers, an at Wal street. The focus remains on short term greed versus long term investing .
Last year stock buy backs for companies in the US passed ONE TRILLION DOLLARS. Money that would have opened plants, grown innovation, created new products, many new jobs, all squandered to manipulate share prices. Its a sin.
if the laws do not change is remains a CASINO MARKET and folks you KNOW how they always play out. Regulatory reform is the only logical solution to execute future planning that will work.
We’ll keep a light on for ya.
3 TRILLION OF WEALTH IN 15 DAYS – IS GONE GONE GONE….just like THAT.
Berny Dohrmann— January 14, 2016