ECONOMICALLY SPEAKING –
We have argued for years the Federal Reserve Board is a complete utterly failed institution. The auspices of the FED need to be MERGED into the US TREASURY. The unique franchise to charge our unborn generation INTEREST to print our own money should be vacated yesterday by an act of congress. The FED is a leadership who has failed to understand the dot.com bubble, the real estate structured asset bubble, the market bubble anywhere, the solution, the cost to let Lehman go DOWN, and the never ending management of the aftermath. Today their insane free money policy is a bi product of obsolete economics from Chairman Bernake now at Princeton, obsessed with deflation. Deflation is a natural financial dust storm that clears out though bankruptcy obsolete under performing system waste over time.
The madness of free money is creating new bubbles far worse than old bubbles. How could free money not? The asset valuation of markets, of property in China, is so far past unsustainable, that the ripple effect of the CRASH in China is going to make Lehman look like a cake walk. The FED and its wrong minded policy are both the cause and the reason. Yet they are never held accountable by Congress or any one for the OUTCOME of their failed policy. They are simply an institution outdated by digital data. Today the Treasury can print money FOR FREE and manage the money supply using proven Fed AIA without the “interest” charge paid to a “contractor” who has an exclusive right to steal from us all. Which is the one thing the Fed does better than any other gang of crooks on earth. Until we end that franchise world war is the future. Financially speaking.
So today we have a property bubble like the world has never seen in China. Entire cities built and empty with no buyers. More on the way. Pollution beyond any spot on earth. Today we have China loosing world reserve assets at over 2.2 billion in one single months. Why? Because they spent 100 billion supporting their phony currency – and that is still going on – they spend their 3 trillion world reserves in dollars – to buy their junk currency and to buy their phony stock valuation =- loosing world reserves at the fastest pace in HISTORY – which does not stop the currency flight. Trillions are leaving China. Customers are leaving China to never return again. Quality is dropping in a China caught between higher valuation, labor, and related factors where Russia now has labor lower than China’s. Why make it and risk quality in China when you have so many better options. China is a run on the “market” where the market is in a death spiral. China will not recover and their crash is coming. China has lost control of its central control over commodity, stock, currency and economics. Unlimited capital is hammering China as capital flight continues unbated. Central control can’t stop the developing deflation. Nothing can. China may be like Germany in the 1920’s soon. Their huge crash is coming – their SUPER CRASH.
Will this lead to global melt down? The Fed long delayed in taking the world off FREE MONEY is sending oceans of money into the markets, ( free ) , where no one can control capital carry trade movement. Capital seeking best returns. As Fed rates rise the further deleveraging of third world currency, will explode. This means currencies down 60% against the dollar like Nigeria – will sink further – as will China. Their devaluation can not help in even the least – as free market factors will decide their fate. One can’t manipulate currency – commodities and economics much longer than a generation. For China time has run out. For the Fed time has run out.
The financial contagion the Fed has laid down as the world wild card in financial markets is about to be now corrected. The correction is going to be a time of SUPER CRASH and awful volatility. How will the world come out? Well the backbone of the USA will come out ahead but at what cost to the rest of the world. Can world war be avoided – we don’t see how?
Russia is calling more and more of the shots as the USA is marginalized by the policy of impotence. We watch others lead. Iran and the Iran deal is largely Russia leading Iran into the deal. Not the USA leading Iran into the deal. The USA has lost respect. Everyone wants the money hand out from the USA but no one respects the USA. Not after the last RED LINE in Syria with Chemical weapons which resulted in a Russia Solution to exit those weapons – while we rattle our baby rattle ( SANCTIONS ) versus our Super Powers ( nukes ) at ISIS. You can’t be a Super Power if you never use your SUPER POWER. Not really.
So financially the CRASH is still unfolding. The looming SUPER CRASH is next. The SUPER CRASH is a feature of failed Fed economic policy forced upon the global markets. Soon a contagion event will trigger SUPER CRASH. The SUPER CRASH will trigger world war. All of which appear in our blue print on these topics entitled REDEMPTION THE COOPERATION REVOLUTION available at Amazon ….
Game Plan by Kevin Freeman tells you whats worse and he tells you what do TO ABOUT the coming repeat of financial history. Why don’t we learn? No history discusses why we never learn and why we always repeat the avoidable.
Debt and credit will tear markets to shreds due to Fed Ebola of free money. The EU even with untold money printing is not growing or building inflation – the EU is moving in the final terrible quarter back to DEFLATION. A EU DEFLATION economic can not recover for twenty years given their nation debt load. The EU is not survivable. No amount of money can save the EU. With China now declining there is no way to save the EU as a system. The EU is going to as it has forever wobble the world into World War III.
Germany is looking at 64 billion costing to just VW being crooks. This will take their largest economic motor and set that brand and buying back by trillions over decades. TRUST is shattered by what – by crooks. Cheating and gaming the system. Why? To make profits and undermine the environment. Criminals. Do they go to jail? It seems a poor person with the most minor victimless crime gets years of their life into slavery in prison where the SUPER RICH pay a fine factor come as a cost item to their balance sheet. The corrupt governments of Communism and Capitalism just collect criminal bribes known as fines scansions and the rest – funding their terrible monopolies against the people versus for the people.
The worship of the MONEY GOD when abused this long and this far – has a consequence. The consequence is contagion – super crash – and world war. That is coming next. WE have told you in our blog how we suggest you prepare. Those who did or are lose no sleep and have their assets in safe harbor.
The Fed free money disaster will not create blood bath currency movement from third world and developing countries. China will become a blood bath. Investors are not returning to China where no rule of law exists and where digital gun fights are the norm, as is digital theft. The President Shaking hands with Adolph saying ..hey I’m sure you won’t hack us no more …is not a comfort folks. America has no respect because we simply have a crises of leadership and policy. For so long.
We have had the Government, all our agencies – NSA – CIA – FBI – every government data base – all prime contractors – all major firms – all private and security firms – all innovation firms – all data bases hacked and the future IP of our nations – stolen and now in the hands of state sponsored terrorism. From engineering for weapons of mass destruction – latest stealth – latest missile technology – all hacked all stolen. Latest communication codes all satellites and drones – all hacked into and taken over by state sponsored terrorism. Read KEVIN FREEMAN and learn this areas impact on your life and future. We have no PLAN that is why Kevin suggests in GAME PLAN you develop your OWN PLAN. Although Kevin and I advocate a policy we call MARS – mutually assured reconstruction. But until such a policy is adopted the global system is at risk – in its entirety. The average citizen has no clue. Bad for you. Bone up and get a clue. You need to.
China is trying to avoid SUPER CRASH but the level of capital flight from China is beyond their resources to manage. The down bubble on deflation in China is going to SUPER CRASH. Property is going to crash – and hard. The ripple in banking will strike the world much more deeply than Lehman’s failure. Another group of economic criminals trying to preserve their own crimes. Today their corruption industry has become a legal way to steal lifetime work – just label the CEO corrupt and the party leader seeking the theft takes the corrupt branded CEO’s asset – no recovery from that. Worse than McCarthy age in the USA. Its going on now. Its spiraling so far out of any control.
China’s reform intention is venerable. The lack of institutions to manage the reform is legend and the outcome of the failure of these reforms in growing deflation and SUPER CRASH is beyond central planning. China lacks a PLAN for Super Crash containment. This will be their next test for China and for the world. The contagion from CHINA SUPER CRASH and EU BREAK UP will SUPER CRASH THE WORLD.
The Greeks have unsustainable debt. The EU can’t pay the debt load now or in any lifetime. Greece is a penny to the billions worse owed by Spain, Italy, and others. That can never pay their bills. You can’t have an EU moving into DEFLATION that many nations spend 160% of what they make each year. Their old debt is not sustainable and new borrowing is a comedy club routine versus an economic reality. Its all funny money. No one who KNOWS is looking at the EU as anything but a childs game of musical chairs. Now with the refugee crises and its mismanagement the EU is done. Toast. Capital flight is just starting but watch the pick up now. The capital flight flows will become enormous in October – just beyond any math we have seen yet. As the Fed raises interest rates. Its failed policy and no one is held accountable. MERGE THE ANTIQUE OUDATED FED INTO THE US TREASURY – vote for candidates that talk about this ONE MASTER ISSUE over any other issue. This one issue balances our budget folks. STOP PAYING INTEREST ON PRINTING MONEY. STOP IT because its insane.
The Fed is a private stock firm, owned by stock holders who are never disclosed, with books ever audited by the USA, and lacking any transparency to the nation or its leadership. They serve in any exclusive protected contract created by Congress as a super bad idea – 100 years ago – that needs to be reversed by Congress because the unborn generation require the lease on their futures to renew.
The Fed have killed us versus saved us – moving their war partnerships into new profits in world war about to develop next. Why? Profits and demographic realignments – an insane way to proceed. In the end AI will restore sanity to buggy code on our human brains – a flaw in our nature driven by mindless greed – the pope draw attention to. Can we relieve 72,000 on the streets of LA tonight? Yes. Will we ? No? Why? No profit in it. Well there is social profit but not immediate corporate profit. Is this system wrong then?
Yes. Competitive capitalism is evil – its about time we said it.
Communism and socialism are evil as well.
The revolution we require is COOPERATIVE CAPITALISM that creates a global economic constitution to glue the world systems into transparency, integrity, reparability, speculation free markets – without secrets. Tax policy must be uniform global and applied under a global G 100 economic constitution. Everyone agrees over a three year economic constitutional congress to develop the digital global new rules for COOPERATIVE CAPITALISM. Some of the rules play by play include:
- Public reporting firms report earnings every six month – Jan and June versus every third week – that model is purely insane.
- Speculation – structured assets – ETF – Short selling – ( bets which way a price will go ) are felonies in Cooperative Capitalism and market manipulators go to prison. No fines. Jail.
- All Feds are merged into national treasury. Monetary policy is following box top rules of the new global economic constitution – a single world currency based on GNP – debt to income ratio – defines the standards for national interest by constitution by laws.
- All markets are fully reportable accountable and without secrets.
- Tax policy is uniform, global, consumption based and not income based. All income taxes are abolished as social slavery designed by elites.
- Fraud and financial crimes carry penalties worse than any other non violent crime.
- Drugs are legalized – state controlled as to issue – with black markets being given life sentences
The G 100 Economic Constitution in Hawaii – for three years – defines a structure for a one world financial system – within a tapestry of nation political system – funded by economic rules that work by agreement of all. These rules self correct and are changeable by mechanisms the constitutional founders define. Politicizing monetary policy is removed by systems replacing trust – by full transparency replacing opaque systems of today.
Sovereign debt would be refinanced by a class of security known as SUPER BONDS under the constitution, where these 200 year bonds, recapitalize nations – rescheduled debt – pay off all creditors – and define sustainable cash flow to nations within guarantees by the host nation – the IMF and the WORLD BANK under rules established by the Constitution for resetting debt bombs to debt alarms using TIME as the new asset to rest debt for nations.
Immigration policy can be advanced within the Constitution to repopulate demographics globally. Terrorism would be defunded in this model – and terror institutions would have no access to digital expression or media. Their black out would remove their source economically.
Delay on a G 100 Sanity summit to discuss an ECONOMIC CONSTITUTION to reset the financial modeling for the world is what comes with sanity – moving from the insanity of competition to the sanity of cooperation and its rule set. All these modeling suggestions are laid out in the book REDEMPTION THE COOPERATION REVOLUTION – Hillary has it – Jeb has it – President Obama has it – but do you have it ?
Time is short – in my opinion
PS: I have suggested your exploring with licensed insurance investment professionals a diversified portfolio of whole life – index life – and annuities moving out of all markets through 2020. Looking at returns since the crash its not a bad suggestion – do the math – its a DO THE MATH safe harbor and when the financial storms hit – it is too late to create your own safe harbor. Think about it. I would register into CEO SPACE Vegas October 12th – to develop a much larger cooperative trading community to prosper in the coming periods of financial weather.