GOOGLE – F 35 – AIRLINE ORDERS – EARNINGS GO POOF !
The first quarter of 2016 – 2017 – 2018 and 2019 were increasingly Climate Change Winter effected. China released the WORST decline in manufacturing setting a bad news record for China. We told you. Their bond and stock market has hard landed into a Super Crash from peak values. There is WINTER coming for China which will not impact earnings upward. China is a mess this side of trade war. The math is in. The USA – the largest buyer on earth – is killing China in Trade war. Trump won and China lost and the loss is mounting as we read. Trade deal can’t come soon enough….for CHINA. Trump holding a full house keepings pushing more chips to the center.
Meanwhile the WINTER EFFECT slammed GOOGLE and their earnings were WAY WAY OFF. While the market still has Google as a BUY they must fix this issue and fast or FAANG WILL BE EFFECTED. So track that item.
Trump fights congress endless investigations into Trump WORLD a private world that congress wishes to tear into – line by line – to TRUMP UP as it “is” – implications of wrong doing – which in politics are all Joe Biden needs. Joe broke open the fight this week stating Trump was the First President who chose to represent the America for the Wealthy By the Wealthy and OF the Wealthy ( well in so many words my sound bites are always improved to their’s – Trump called him SLEEPY TIME JOE for all the nod off naps Joe is famous for in meetings – at age 76.
The markets are doing well considering the China Crash – the Google Earnings decline – Apple Bad press one after another – and FAANG IS STILL UP THERE.
Warren Buffet and Charlie are involved in their one last BIG DEAL following their own bad earnings reporting, at 10 billion into the Occidental Acquisition – and as I knew Armon Hammer I can’t watch this one to the finish line closely enough.
Violence is way way down in 2019 a trend that may not seem like it is true – that is a decline in overall violence for the past five years in a row. A great decline in fact. Cooperation is winning and competition is losing…finally. Sanity versus insanity.
The F 35 is the most advanced weapon system in the air today. Russia wants it. Today USA enemies including China and Russia get our advanced technology in two ways. In 2007 the AXIS of EVIL opened World War III a cold war into a HOT WAR with full on digital weapon attacks on our systems. These digital wars are on going, as we saw this AM with every major Airline in the US in digital down time all at once. These are DIGITAL WARFARE TESTS to turn off our transportation power seweage water and evaporate all digital records of who owes what and who owns what. The tests are harmful. The attacks are devastating. Inside these state digital war episodes is non stop hacking of all our industrial and nation’s secrets. If the enemy can’t hack the F 35 they work to have the F 35 with allies that play both sides of the fence.
MBS in Saudi has violated all his agreements with our military allowing our advanced weapon systems to fall into the hands of Iran fighters in Yemen which sends them directly to reverse engineering in Russia. Russia then makes improved technology having stolen our best. This play is now unfolding in NATO ALLY who is not really a NATO ALLY. Turkey is Russia supported and sharing F 35 secrets is not something the USA playing catch up to the digital wars and battles seeks to share anytime soon. However the supply chain to support F 35 operations world wide was key centered around the Turkey zone of flight times. Endgame today suggested the entire USA F 35 program calls apart completely as Turkey is removed from buying.
On economics the loss of orders to Boeing on the 735 Plane – is effecting GE who makes the engines. As the death was pilot error ( I’m a pilot ) – where the pilots with charts on their laps correctly took the plane OFF auto pilot which was mal functioning as one of its critical gauges was damaged fatally by a bird strike at take off the bane of all pilots. But then the pilot the youngest pilot in the fleet, put the plane back on the failing auto pilot which killed everyone minutes later. Pilot error. Should the entire fleet have been grounded in an abundance of safe cautions? No. The plane is safe to fly now. The plane is fully safe with auto pilot software updating returning more controls to live pilots. What is the economic consequence of this pilot error to the entire airline industry?
China also is flexing Navy muscle. In 25 years China has been spending 300% more than it earns by borrowing. The IMF suggests the current economy crash in China may be permanent. Meaning customers are leaving China ( Amazon just went out of China this month – why? Rip off and it can’t make a profit and times that by 1000’s of firms left and leaving ). Today one can make anything China in India or Indonesia with less red tape no theft of IP and far easier to make a buck countries. China is losing to its neighbors.
Every American can grock out this equation:
China spends more than it earns by 300% and is residing on the largest DEBT SUPER BUBBLE in the history of nations and mankind. The Fed the IMF and the World Bank and my blog warn since 2015 that China is facing a hard landing, a SUPER DEBT BUBBLE CRASH, that may trigger a DEBT DEFAULTING CASCADE to terminate the existing world economic order. The banks close. All of them.
Meanwhile China invests more in recent years in its Navy than any nation including the USA. America has been asleep at the wheel to the speed of China build up. Today the USA Navy dominates the oceans with almost 300 Navy vessels. Total. China this last year passed the USA with 400 war ships and submarines. Today China forces USA Caution in the largest sea lanes on earth where it claims entire oceans as its own – a fact of maritime 400 years of law – that the WORLD COURT ruled UNANIMOUSLY that China’s claims outside its own territorial ( 12 miles ) from its coast – is in fact ILLEGAL under existing laws. China flipped its finger at the world and the world court.
China is projected to pass 550 Warships by 2030 when its ambitions move to the larger oceans of the world from defense to offense. Trump is aware of the issues and has risen US Military to the occasion – a real navy arms race taxing both nations. Obama Shrank the US Navy substantially moving budget to other agenda’s. China now releases annually more ships in one year – new ships from the largest war footing non time navy war construction in human history – said another way China releases all debt financed more navy hardware in ONE YEAR – 2019 – than the entire British War Fleet in total – annually. A new British navy with more modern hacked and stolen weapon systems – every year. The missisel upgrading from our hacked systems experts conclude make China weapons superior to our own. Catching up is not instant. Will China hack our next generation weapons as they have in the past? Are we getting smart enough to protect our own inventions …yet?
The largest loss of wealth of any nation ever – is the hacking that the Axis of Evil has done all state sponsored as DIGITAL WORLD WAR III which began digitally and will escalate as it has to a shooting war the issue and trigger is economics. In the pending future down turns China is now more vulnerable than in the GREAT RECESSION it helped create. Future SUPER CRASHES will occur outside China influence, they will have zero warning, and they will not be able to survive as they slide into SUPER DEBT BUBBLE BURSTING. Communist central planners are humans. The economics are all controlled by AI today. AI will only get smarter. The effects on China in the next SUPER CRASH are so devastating China’s only option may be war with its regional neighbors and for unity of its people in crises perhaps reclaiming Taiwan. China can blockaide Taiwan. While we can introduced a Berlin Airlift approach to helping Taiwan the bigger question – will the USA go into full on war with China over Taiwan? In a SUPER CRASH period?
While this all plays out closer to 2030 than today the issues are on the table. How fast can the USA reassert Naval Dominance it still has due to weapon system superior technology? No one knows this answer as all the parties are spending more and more in the largest new peace times arms race in human history. The Arms race includes:
- Earth land based weapon systems
- Sea based navy’s and their weapon systems
- Space Based systems with India now launching satellite killers – and USA Space Force launching.
- The new digital weapons evolving rapidly
- Ai weapon systems representing trillions in global arms investing
President Putin stated – the nation that controls AI ( self aware self learning AI ) WILL control the entire world. 7 Trillion dollars is invested each year now in just SELF DRIVING TRANSPORTATION AI. 100 Trillion is being invested into AI with the bulk of those dollars into self learning self aware AI as the holy grail of the invention spiral. Who will control AI? As a new species the majority of experts note that AI will control AI and no human will ever control an intelligence 1 billion times greater than itself. Are they any rules of engagement in this weapon hardware arms race or the Ai aspect of the new arms race – no? The wealth of nations is diverted from economics that is sane into military destruction between nations that is insane.
Ultimately our future requires a:
- United Earth Federation.
- Only the UEF has weapons and they defend us all.
- All nations give up all military and weapons which transfer to the UEF.
- Killing each other stops as insane under UEF laws.
- Economic diversion of resources to sane sound economic prosperity for all nations occurs – with 100% food security 100% shelter security – no nation left behind prosperity – the end of economics of the FEW against the many elitist economics – as COOPERATIVE CAPITALISM rises in laws and precludes any nation is left behind…we all win.
We are closer than you think to those five to thrive rules and yet we are farther away than we think.
The economic and war risk remains management of the cause of all economic collapses and wars. DEBT SUPER BUBBLE SPIRALS. The world is inside one now. For the first time in human history AI controls all capital placements. While Warren Buffet is betting 10 billion with he and Charlies BIg Boy Pants on – they are aging to 100 – unable to model the future. The few human whales are dying. The future of M&A and IPO is all AI driven today. Human;s are rapidly becoming co dependant on AI and without AI they would not economically evolve well. The economics are too global too complex and require AI to present data summary to human decision makers where more and more choice is AI to AI versus AI to human. The world is SUPER CHANGING are you keeping UP?
Berny Dohrmann – The market is mixed and oil is up as MBS again flipped the bird to Trump on Oil !