So this weekend five of the head, and THE HEAD, of North Korea Security Force at the tippy top, like a head of CIA and NSA here, were executed for making the SUPREME ( insane ) leader angry. Yes. Kim Jon Nam had a hissy fit. So he took his head of State Security for North Korea, with the highest officials watching, and he blasted them all the tiny pieces with giant anti-aircraft guns. I assume he went and had a warm meal after and made jokes while the five had their families moved to prison camps and their possessions repossessed by the State of North Korea. Why?

  1. Well, the flawless hit team engaged in killing the only blood line to the throne to replace KIM Jong – his half brother – didn’t do such a great job. The world found out it was a North Korean HIT JOB run by all NORTH KOREAN’s most of whom have fled back home to Kim Jong – AND – that they used VX to do the killing.
  2. This is important as North Korea has some 3000 to 5000 TONS of bioweapons and the threat that their insane ruler will use those weapons, or will sell them to their party terror groups, is well, not predictable with insanity. He just used antiaircraft weapons on his own team at the top how will he treat say Americans? One already knows that.
  3. Kim Jong is perfecting long-range missiles to take his hydrogen bombs to the USA and other locations madness will dictate like South Korea for example.
  4. Kim may sell their atomic weapons to our enemies as a way to make up for China cutting back on coal and other trade as North Korea’s largest trading partner.
  5. Kim Jong is so insane one can not predict what Kim will do because one must always act with my one recommendation with madness in leadership – never not ever believe that THEY will act in their OWN best self-interest – as they will NOT.

Taking out the madness in leadership early is the historic best course of action. Every delay will increase the pay ( in lost lives ) one must exchange as time passes and madness a contagious illness, and a rampant illness, grows inside the carrier Kim Jong. Don’t ask WHY he does it. He does it because he is insane – he’s NUTS.

He could have aligned with all nations, opened massive trade, become a South Korea of trade and invention for his people, making history with prosperity, health care, and well-being for generations. Kim Jong could be reversed if he were sane for his achievement. Today Kim Jong is insane and is revered because if he has a hissy fit because of you out come the anti-aircraft guns.

So today and since November 8th there is no BIG NEWS in the world. ZERO. The longest recent period of NO BIG NEWS. Since Donald Trump was THE GUY the world has changed. Those who acted out without FEAR OF REPROCUSSION from the WEST are today “waiting” at least. There is ZERO DOUBT there WILL BE COSTLY REPROCUSSIONS for acting OUT. Since Donald Trump became President Kim Jong has lost his largest trade card for cash – COAL TRADE WITH CHINA – and the cost to the already bankrupt defense lopsided nation – is beyond their ability to manage. Out came the anti-aircraft guns. What is Kim Jung’s insane reaction to having his money river cut off by his largest trading partner:

  1. To lambast China as a puppet dance partner to the USA and
  2. Execute head of security with anti-aircraft guns

Insanity is always so easy – you can see it. Tip to world leaders over 5000  years




Warren Buffet says – I will rank President Trump by how he as President deals with the # 1 THREAT to our Security the world has ever faced – the – risk that North Korea will sell weapons of mass destruction to Iran, to ISIS, to rogue states and nations. We add or insane Kim Jung worshiped by his people who have no way to know how insane he is as their information is filtered by the madness completely to brainwash a population just like Hitler managed to do it with media – THAT KIM JUNG WILL USE THOSE WEAPONS HIMSELF.

Yes, his military KNOW that “use or sale” will be suicide to all of them and their people culture and way of life – first use – they all die. They know THAT. So what. Madness acts without regard for THAT. Madness in leadership has been the most serious cost to humanity and the appeasement the sane give the insane along the path of history.

So we have a little window of acquiescence. Trump has YET TO BE TESTED but the madness will test TRUMP. That is coming.

We have a market window of months of relative calm. 

WARREN BUFFET also said today – at age 87 – that the market has not reached a point of price value imbalance in which bubble has taken place. We hasten to disagree with Warren Buffet with all respect. Some facts:

  1. The PE ratios and the CRAP table at the highest since 1929. That is a bubble.
  2. The flip market of speculation buying of real estate is the highest since 2007.
  3. The subprime market is higher than 2007.
  4. The ratio of creditworthy buyers to sustain today’s prices is lowest in 70 years.
  5. The household debt for US households is the highest ever rising faster than ever.
  6. The commercial market has 100’s of billions to refinance in 36 months. It can’t.
  7. interest on all the foregoing is going UP and the bubble bursts after that.
  8. The USA can’t pay its own debt in 2020 without creating x million jobs. It Can’t.
  9. The USA can’t pay its debt with rising interest on that debt – it’s a bubble in bonds.
  10. The entire world asset class group are speculation price bubbled and not real.

Rebalancing all the Debt is going to occur after the Super Bubble Warren Buffet says does not exist – moves into SUPER CRASH – that we have long predicted. I gong to WRITE SUPER CRASH so a book is out there like a lantern holding the light from the liars.

The liars are different than the insane. The INSANE do not KNOW they are INSANE.

The liars believe their own lies which are a different problem entirely. But the truth is the truth and the lie is the lie and it does not matter WHO speaks either as in the end, you will know the result speaks for itself.

For example, Warren Buffett is a gambler. Did you KNOW that Warren Buffet is a gambler? Well in one bet he has bet $ 1,000,000 that he is sure he will win, that managed funds by humans ( he brands as too high priced and too high fee driven ) do not perform as well as electronically traded funds ( ETF’s ) where software trades the bets. As ETF’s are largely unregulated compared to the managed funds, the COST of doing the managed trades is greater. 

ETF is a new market space. Software against software. We have written about this market frequently. The problem is not front-end profits and trading efficiency. The problem in this largely structured asset with super high risk and super high return diversity markets – is CLEANING The modeling for global clearing is not equal to the world regulated exchanges where liquidity is balanced and accommodate through controls that cost money to maintain. Removing these costs also removes ALL THOSE PROTECTIONS and SAFEGUARDS.

So imagine the largest lakes in the world of the money call them the GREAT LAKES are money pools managed forever by those systems of managers so well known. Now imagine the GREAT LAKES are being drained into new OCEANS of money where all the GREAT LAKES are drying up and the GREAT NEW OCEAN is rising and rising.

Now imagine SUPER CRASH – all at once – global contagion – and a catastrophe of say “one weapon of mass destruction ) that is 100% certain to appear before too long. Just ONE. Or one debt default by a nation that is 100% certain to appear before long. Make sense? Am I not insane to you?

So this EVENT happens and LIQUIDITY stops for the ETF markets. They freeze and the price begins to free fall only investors CAN NOT GET OUT while that plunge goes on and on. Mr. Buffet loses a lot more than $ 1,000,000 on that day. With 50% of the largest capital, GREAT LAKES moving from diversified managed money pools in traditional exchange markets ( lower yields higher safety on LIQUIDITY RISK DYNAMIC ) into ETF markets ( enormous liquidity and loss potential with short term higher yields ). I stand alone stating ETF will be the SUPER SHORT FORTUNE MARKER coming up NEXT and the contagion even coming up next will stop liquidity in those new markets with LOSS like the world has never known in the 1902 and 1929 depressions. LOSS LIKE THE WORLD HAS NEVER KNOWN with the only way to rebalance trade accounts being the world war. Historic economic fact nothing personal.

That is INSANE ( to me ) and we can avoid repeating such speculative history for near-term profit ( sane ) but….we never not ever do we DO the sane path. Financially we are like Kimmy over in North Korea.

Is it sane a few decades back to cause horror and nightmares for a billion human beings with toxic chemicals when Dow and other’s well knew they were killing our own troops – read WHEN THE LION ROARED?

Is it sane to pollute a generation with lead poisoned water in Michigan to save a few bucks on water cost for the water district or is it insane?

Is it sane to put TOXIC FILLERS you can’t dispose of under EPA rules anywhere on earth into crop fertilizer at a high % of each bag spraying that on our food to satisfy legal ways to dispose of the most toxic soup on earth? Is THAT SANE?

The competitive capitalistic and communist systems that permit such insanity are those system’s sane that breed insanity? The truth will set you free.

Do the people of the planet need a SANE SYSTEM REVOLUTION into COOPERATIVE CAPITALISM without competitive insane tendency – self-correcting – operating from integrity rather than its lack – as a transformation from insanity into sanity?

The sane tend to read my blog.

The insane block my URL. After all, I’m writing about their mental illness. So the sane are blog readers and I am grateful for YOU every single day. Thank you for sharing this blog with those who truly want to make a difference with their lives.

SO the news is more or less blah blah blah. The War in Syria and Iraq is not being covered as it once was – as the slaughter is just beyond imagination. The good news is that Sunni and Shite met in Iraq and are forming collaborations for the unborn. Saudi and Iran met for the first time in a decade same outcome.

Isis the absolute insanity upon the earth today, is losing. Terribly losing and is about to be destroyed utterly. Their money is being cut off. They have no future. They are instead of opting and suing for a peace they are battling like insanity does – like Hitler does – until they are humility to the bone. It is obvious to 1 billion Muslim believers that ALLAH is NOT blessing ISIS – that ISIS is in the worship of the ENEMY “the competition” the great evil – insane brain – and madness upon the earth. Early prevention is always the cure for insanity.


The leader of North Korea is INSANE today and those who alliance with him are using that insanity for “bad and wrong’ purposes. Early delete and we do not repeat.

So the big news remains:

  1. North Korea is perfecting missiles to deliver weapons of massive destruction anywhere on the earth.
  2. North Korea has perfected weapons of the most massive destruction of bioweapons and nuclear weapons and their arms race is never ending the largest threat to the sane by the insane in the world.
  3. North Korea leadership demonstrated insanity once again – a pure insane behavior clear to all psychologists worldwide – in which mentally ill – this insane person murdered five of his own leaders by a crime against humanity using anti-aircraft weapons to do it and punishing their innocent families and children. Insane.
  4. South Korea is in disarray. Its largest company CEO is now in prison for “crimes” every firm commits in every nation – influence peddling. The head of state has been removed from power without a trial. The acting head of state is now being impeached. In this unstable nation we are installing anti-missile shields China and Russia object to to protect South Korea from North Korean insanity and our own tens of thousands of troops in that theater of war.
  5. The EU continues to be plagued by politics in France and in Italy to break up the EU and possibly Spain next – while debt defaults in Greece and other EU nations are inevitable. The instability of the EU is a killer for NATO ultimately and a game changer for GEOPOLITICS and world markets. 

Yet investors are rushing forward as if there is no risk at all to the all-time record high rally in history ..ever forward …into what has always been historically for 100’s of years  …the trend just before the SUPER crashes of history. So we have done all the data reporting and told you: what is coming – why – and what you should do for safe harbor. Let’s see if my SPRING season correction occurs – and I’ll admit if I’m wrong.

The first time will be a record since the 1980’s ( being the wrong economically) but hey there is always a first time. Warren Buffet has been wrong way more than I as he noted in his shareholder letter but then this is his last rodeo and he is making new moves for profits that are harvesting in the short term a lot of profits. We’ll see how it all works out a londer term. He bought Apple like we said and IBM – good job.

Berny Dohrmann – Chairman and custodian of economic data truth just for you 

PS: The news since Trump in November – everyone talks but no one is testing Trump because they can predict the outcome is not predictable as in the past – Trump displays one known quality – you can NOT PREDICT HIS OUTCOME and he WILL act in the best interest of the United States of America….that is the one item you can predict. Who wants to risk it – as an economic guy the first reply is not bullets its MONEY as in he will CUT YOUR OFFENDING NATION OFF – see North Korea for a change in the playbook rules.