Rapture verdict ad 1
The Beginning Of The End Ad
Gold Buying Guide: Golden Eagle Coins
Lear Capital: The Best Source for Buying Gold & Precious Metal Investing

Recent Posts

Archives

Michael and Meranda's New Show

Michael & Meranda’s New Show

Food for liberty
Economic Collapse DVD The Preppers Blueprint Economic Collapse Blog Get Prepared Now Ad

5 Charts Which Show That The Next Economic Crash Is Dead Ahead

Share on FacebookTweet about this on TwitterPin on PinterestShare on Google+Share on LinkedInShare on StumbleUponEmail this to someone

Iceberg - Public DomainWhen an economic crisis is coming, there are usually certain indicators that appear in advance.  For example, commodity prices usually start to plunge before a recession begins.  And as you can see from the Bloomberg Commodity Index which you can find right here, this has already been happening.  In addition, I have previously written about how the U.S. dollar went on a great run just before the financial collapse of 2008.  This is something that has also been happening over the past few months.  Some people would have you believe that nobody can anticipate the next great economic downturn and that to try to do so is just an exercise in “guesswork”.  But that is not the case at all.  We can look back over history and see patterns that keep repeating.  And a lot of the exact same patterns that happened just before previous stock market crashes are happening again right now.

For example, let’s talk about the price of oil.  There are only two times in history when the price of oil has fallen by more than 50 dollars in a six month time period.  One was just before the financial crisis in 2008, and the other has just happened…

Price Of Oil 2015

As a result of crashing oil prices, we are witnessing oil rigs shut down in the United States at a blistering pace.  In fact, almost half of all oil rigs in the U.S. have already shut down.  The following commentary and chart come from Wolf Richter

In the latest week, drillers idled another 41 oil rigs, according to Baker Hughes. Only 825 rigs were still active, down 48.7% from October. In the 23 weeks since, drillers have idled 784 oil rigs, the steepest, deepest cliff-dive in the history of the data:

Fracking Bust 2015

We are looking at a full-blown fracking bust, and this bust is already having a dramatic impact on the economies of states that are heavily dependent on the energy industry.

For example, just check out the disturbing number that just came out of Texas

The crash in oil prices is hammering the Texas economy.

The latest manufacturing outlook index from the Dallas Fed plunged again in March, to -17.4 from -11.2 in February, indicating deteriorating business conditions in the state.

Ouch.

But this pain is going to be felt far beyond Texas.  In recent years, Wall Street banks have made a massive amount of money packaging up energy industry loans, bonds, etc. and selling them off to investors.

If that sounds similar to the kind of behavior that preceded the subprime mortgage meltdown, that is because it is.

Now those loans, bonds, etc. are going bad as the fracking bust intensifies, and whoever is left holding all of this worthless paper at the end of the day is going to lose an extraordinary amount of money.  Here is more from Wolf Richter

It suited Wall Street just fine: according to Dealogic, banks extracted $31 billion in fees from the US oil and gas industry and its investors over the past five years by handling IPOs, spin-offs, “leveraged-loan” transactions, the sale of bonds and junk bonds, and M&A.

That’s $6 billion in fees per year! Over the last four years, these banks made over $4 billion in fees on just “leveraged loans.” These loans to over-indebted, junk-rated companies soared from about $40 billion in 2009 to $210 billion in 2014 before it came to a screeching halt.

For Wall Street it doesn’t matter what happens to these junk bonds and leveraged loans after they’ve been moved on to mutual funds where they can decompose sight-unseen. And it doesn’t matter to Wall Street what happens to leverage loans after they’ve been repackaged into highly rated Collateralized Loan Obligations that are then sold to others.

At the same time, we are also witnessing a slowdown in global trade.  This usually happens when economic conditions are about to turn sour, and that is why it is so alarming that the total volume of global trade in January was down 1.4 percent from December.  According to Tyler Durden of Zero Hedge, that was the largest drop since 2011…

Presenting the latest data from the CPB Netherlands Bureau for Economic Policy Analysis, according to which in January world trade by volume dropped by a whopping 1.4% from December: the biggest drop since 2011!

Global Trade Volume

We are seeing some troubling signs in the U.S. as well.

I shared the following chart in a previous article, but it bears repeating.  It comes from Charles Hugh Smith, and it shows that new orders for consumer goods are falling at a rate not seen since the last recession…

Charles Hugh-Smith New Orders

Well, what about the stock market?  It was up more than 200 points on Monday.  Isn’t that good news?

Yes, but the euphoria on Wall Street will not last for long.

When corporate earnings per share either start flattening out or start to decline, that is a huge red flag.  We saw this just prior to the stock market crash of 2008, and it is happening again right now.  The following commentary and chart come from Phoenix Capital Research

Take a look at the below chart showing current stock levels and changes in forward Earnings Per Share (EPS). Note, in particular how divergences between EPS and stocks tend to play out (hint look at 2007-2008).

Change In 12 Month EPS

We all know what came next.

And guess what?

According to CNBC, a lot of the “smart money” is pulling their money out of the stock market right now while the getting is good…

Recent market volatility has sent stock market investors rushing for the exits and into cash.

Outflows from equity-based funds in 2015 have reached their highest level since 2009, thanks to a seesaw market that has come under pressure from weak economic data, a stronger dollar and the the prospect of monetary tightening.

Funds that invest in stocks have seen $44 billion in outflows, or redemptions, year to date, according to Bank of America Merrill Lynch. Equity funds have seen outflows in five of the last six weeks, including $6.1 billion in just the last week.

It doesn’t matter if you are a millionaire “on paper” today.

What matters is if the money is going to be there when you really need it.

At the moment, a whole lot of people have been lulled into a false sense of complacency by the soaring stock market and by the bubble of false economic stability that we have been enjoying.

But under the surface, there is a whole lot of turmoil going on.

Those that are looking for the signs are going to see the next crisis approaching well in advance.

Those that are not are going to get absolutely blindsided by what is coming.

Don’t let that happen to you.

  • GSOB

    Ouch.
    Dropped my sticks.

  • Bill

    Great run in stocks today. My old professor used to say the market looks 6 months down the road. I think today we are in a new paradigm, one in which the only relevance is immediate profit without regard to any other consequence. In short the world is driven by greed. A conscience today is a rare commodity. Michael has a conscience, an ability to read the tea leaves and most of all the ability to convey their meaning to the world.

    Time to listen folks.

    • autofixer

      Today’s market only looks at what the Central Bankers are saying.

      • Bill

        Run sheeple run. Run for the cliff and see the great green pasture down below. Jump sheeple jump—–

    • K2

      Michael has a conscience, but the people whom he believes in and qoutes (zerohedge) dont have one.

      • Level Headed

        Michael is an entrepreneur and a business owner and his top priority is to sell add space on his website to make a living. You need to keep that in mind when reading these types of articles. Not saying it’s bad, everyone has to pay their bills just don’t forget what his true goals are. He has been writing this article in one form or another several times a year for the past 4 years or so.

        • T.

          No. He has to “Sell” add space in order to be able to have this website. He is doing America a very good service with this website and it costs a lot of money to operate it. If you do not believe the information posted on his site – that is your prerogative but don’t try and demonize the man by saying that he has ulterior motives. Just read it – post your view on the subject – But don’t say things which you do not know to be true about the man.

          • K2

            You have spoken my mind.

  • Smithey

    So Michael, where does a person go with his money? I have pulled out of the market and I’m not sure cash is the way to go. What about buying rental property?

    • Bill

      1. Silver coins

      2. The hottest real estate is a certain area of Florida because a percentage of the 10k/day retiring baby boomers are going there.

      • alan

        Real estate is still pretty cheap in the panhandle, warm weather, you can grow a lot of things.

      • Priszilla

        Google mega tsunami

        • Bill

          I’ve read many of the articles that say the whole East Coast could be wiped out. I’ll take the chance for the opportunity to enjoy the Sunshine State in my remaining years.

    • MichaelfromTheEconomicCollapse

      I think that in the long run what Bill has suggested regarding silver coins is going to be a very good idea.

      And in the short-term having an emergency fund in cash will turn out to be very wise. When credit freezes up, those with cash will be way ahead of the game.

      Michael

      • Bill

        Emergency fund should be #1 for sure.

      • Tim

        Well, I hope you’re right because I put a big chunk of my life savings into silver coins. I believed all the hype in the blogosphere that the dollar would soon be worthless and that precious metals would soon become unavailable. I can’t sell some of my PMs because I would lose in fiat terms. But I wish I had some of that capital so that I could put it to use in other ways.

        My advice to others here is buy some precious metals, but be sensible.

    • Revolt to save America

      study Martin Armstrong and be so glad you did, yes,,,, tangible, go read him please, I put celente and Schiff aside, this mans studied history since 600bc, there are trends. Hope it helps, I’m excited to feel there is a direction. I was thinking the same as you. NOW WHAT<,, no big banks, credit unions only,, go read his work, he puts out an article per day,

    • alan

      I would say rentals, because even if unemployment goes to 80% uncle Sam will still pay the rent. I have had some section 8 people, rent is always paid.
      A little in silver for barter.

    • kfilly

      Any asset you can physically possess. Gold, silver, land, bullets, and beans are good places. Remember the old saying that possession is nine tenths of ownership. Those assests cannot be stored at a bank or in another location.

      You might also laugh about the food part. I heard of a Prepper that had to start eating some of his food because it was going to go bad. He calculated that he had about a 400% return on his food because of inflation. Those were his numbers and not mine. I would like to see any stock or other investments match that return.

    • Orange Jean

      My dad, who grew up during the Great Depression, always said buy land.

  • Daystrom2012

    Many seem to think that this will be just another blip that will be recovered from asking questions like what should I invest in, failing to take into account that one day all the signs will come together and the curtain will one day come down.Read 2Timothy 3,Ezekiel 38,Matthew 24,2Peter 3,Romans 1,Revelation 6-18,and so many other passages. Well that time is now,it is so painfully obvious to those who can see but because of a man centered gospel and a love of self and material goods, very few can see and are unable to discern the times loving their sin and wanting oh so bad to hold onto what little this world has to offer for such a brief time forgetting about eternity that awaits them.
    Your best investment is in the Lord Jesus Christ who has the power to forgive sin and grant eternal life, for you surely will not be taking your riches with you and the curtain is about to come down.

    Luke 12:54-56 And he said also to the people, When ye see a cloud rise out of the west, straightway ye say, There cometh a shower; and so it is.And when ye see the south wind blow, ye say, There will be heat; and it cometh to pass.Ye hypocrites, ye can discern the face of the sky and of the earth; but how is it that ye do not discern this time?

    • Antonio

      What you say resonates strongly with me. Its when we least expect it that it will happen. And thanks for posting. Its important to spread the word. The signs are there if you are prepared and perceptive enough to see them. He is all-compassionate and wouldn’t take us without warning.

  • SunnyFlaSnotress

    Not seeing it. Just not seeing it.
    Spring to early summer look good to me.

    • Priszilla

      Labour will win the election in may. Then the sheeple fearing economic downturn start the big sellouts. ..

      • SunnyFlaSnotress

        The UK Labour Party affecting us? LOL.. not!

  • K

    If you noticed, some of the big boys started talking about the market being over priced. Some started as early as last November. I have always felt they were covering themselves. They like to have articles like that to point to, when it goes down the drain. Now a couple are admitting the market is fixed. I would say there are more than a few, warning flags out there. Ignore them at your own peril.

    • K2

      Investors talk the market up or down depending on whether they want to buy or sell for example: if an investor wants to buy they say stock market will go down, if an investor wants to sell they will say the market will go up.

      • K2

        I am not implying people should continue being invested. They should keep an eye on the market themselves, look at how the market is moving..not what investors are saying about it… and make decisions based on that, not what investors say.

        • Jack Listerio

          Stock are worthless plastic as the FED can feed them.

          • K2

            Refer to my comment above.

      • K

        You are correct. However this time I feel there is a difference. I believe it is so rigged. That some already know the day the crash will begin. I know that is very hard to believe, but I do.

        • Jack Listerio

          LIKE 21ST JANUARY 2017

          • T.

            No. Like 29th September 2015.

        • K2

          Why bother if its rigged or not? The purpose of the market is to make money, if its rising buy, if its falling sell.

  • Liberty First

    Well, I have posted here that we expect to have a job offer to move to New Zealand in fall with permanent residency, and it appears as though this has come through. Should know for sure this week. It seems to be the right thing to do. Of course, a slowdown will hit there as well, and nothing is for sure. But my (legal) immigrant ancestors had the guts to come to the U.S. without global communication, etc. There is just something uniquely depressing about living in one’s country as it kills itself slowly.

    • Horiboyable .

      Do not buy property in New Zealand yet. The market there is in a massive bubble, especially Auckland. When the average house in Auckland New Zealand is nearly the same as London, you know there is trouble a head. Be careful there because for years the NZ govt has been using immigrants as a revenue stream and they really don’t give a crap about you. The locals will flock to fleece you when you arrive. I lived in NZ for about 28 years and was born there.

      • Liberty First

        I think that the bubble does exist, as you say, and that its bursting will help us if we are patient. I agree re the challenges you note. But consider what is going on here as well. Obama talks of getting our IRAs. Trillions in debt. Illegals streaming across the border, soon to take billions in transfer payments. If we all are going to be struggling, best to do it in a beautiful enenvironment. Still it is a tough call and thanks for the input.

        • Jack Listerio

          There aint no tough cal obamas robbing all of us to pay his illegals off with………..they wont be contributing to society they will ne leaching off of whats left of it and your precious IRA or 401k is ripe for obamas picking along with about 7 trillion companies have left lay dormant for about a decade to rebuild our infrastructure with after Obama is gone. Now Obama wants to tax SAVINGS ACCOUNTS.

        • MacFly1

          Tough call but a good one, LF. Go for it! Just make sure wherever you land is significantly higher than the coasts.

    • Randy Townsend

      Retired Air Force buddy of mine moved to NZ two years ago (wife is a native of NZ, a nurse – you have to meet strict requirements to become a resident there). He absolutely loves it. Sad commentary on our nation, but the # of people leaving the US is growing.

      • sherlock32555

        That is because they have the money and brains to know when to leave.

      • SunnyFlaSnotress

        “the # of people leaving the US is growing”
        There’s a lot more influx than outflux. Apparently somebody sees the positives.

        • erik-da-red

          yes influx of myanmarese, somalis, nigerians, salvadoreans, colombians, mehicans , romanians,

    • MacFly1

      NZ’s a great country. They are in the way of major earthquakes and huge tsunami’s, so I hope you aren’t
      on the coastlines.

    • sherlock32555

      Don’t even think about it twice about it ,get out as soon as you can ,because this is not the place to be. If I could I would leave and not look back!

    • Pete

      Run and not fight?

      • Liberty First

        Kind of. Isn’t that what the folks (pilgrims) who left England did?

      • Liberty First

        But seriously, re the post below, it would indeed be a heck of a fight. Moving to a foreign country is hard work, even one that has as many desirable facets as New Zealand. At any rate, I love the country that America used to be and will continue whether here or abroad to argue for that former great republic and its principles. There remains hope and there is no group of people whom I love more as human beings than libertarian and conservative Americans.

      • erik-da-red

        no fighting chance,,,

  • T.

    “But under the surface there is a whole lot of turmoil going on.”
    That is so very true. The monetary Powers That Be (PTB) have such great control over the whole World Fiat Electronic System – That they have been able to keep things looking “Normal” on the surface. This is Why most Sheeple do Not see the flashing red danger signs – They are under the Surface. Come September 29th, 2015 – All “Financial Hell” will be breaking loose upon the U.S.S.A.

    • jox

      Why the 29th? What happens that day?

      • T.

        The Shemita is Sept 13th and the 4th blood moon (two in 2014 & two in 2015) is the 29th. These have great Significance to those who Control the western World Financial System. That is the month that they have decided to bring Down the $ reserve System under their Control. They will then bring in their New System (NWO).

  • joe

    your kidding me.

  • Genada

    They have been able to keep the game going for a pretty long time at this point. Have to wonder if they can just do more qe and keep it going.

    For most in the country this hasn’t been much of a recovery. Wages down, debts at high level, low prospect of increased standard of living. None of it’s been done tho in a way that sparks massive reaction, just a slow grind down. Have to think if they can keep that going they will do their best to do so.

    The world economy is based now only on the actions of central bankers and they still have ideas they can try to maintain this phony recovery.

    • K2

      ”The world economy is based now only on the actions of central bankers
      and they still have ideas they can try to maintain this phony recovery.”

      I feel the same. Only they are causing growth in most countries, these days.

      • K2

        Its not that bad, because the global economy has almost reached its natural limit of economic growth through conventional means.

    • alan

      No one is doing anything to improve the economy, a lot of jobs exported, too many trade agreements giving away everything, h1a visas, illegal immigration. The only thing important now is special treatment for gays. That’s whats important.
      So when you see divide and conquer hot button topics in the news one after another you know something is up. The shear amount of propaganda is disturbing in itself.

  • VigilanteCaregiver

    If you’ve already prepared the basics:

    1. Build a forge and foundry: Metalworking during a crisis is necessary for anyone trying to outpace the problems. A trade skill in basics will be worth a fortune – it supports woodworking, farming, medical, construction, etc. Casting metal is just as needed as blacksmithing. Aluminum cans, copper pipes, scrap steel, and other ‘waste’ metals can be melted down today into ingots or bars for better storage, and used for production or barter later. Yes, I’m doing this right now.

    2. Rabbits: build hutches for breeding stock (1 male, 3 females) and a communal hutch to fatten up fryers. Least expensive overall, great for urban environments, and provides good nutrition. Use manure for methane gas production and fertilizer. Useful by-products are plentiful. Save money for any and all dairy, or get some goats.

    3. Gather enough supplies for a chemistry kit: use it to make toiletries, medicines, process raw materials, food storage, salt and acid production, gunpowder production without sulfur, etc, etc. Learn what chemicals are in your vicinity. Learn what plants produce what medicines. Most important is how to extract salicylic acid from white willow bark; culture and extract penicillin from mold; extract oils from medicinal plants.

    Even if this is not a total collapse right now, it’s a good start to some extra wealth.

    • Priszilla

      You see. These are not consumer goods but people still spend.

      How is the construction going?
      How is the private debt developing?
      Do people start paying off their debts?
      Are they insulating their houses?
      Having their teeth and eyes fixed?

      • VigilanteCaregiver

        Umm… this is non-commercial home production to supplement or provide means for preparations. Selling it can become quite expensive.

        This seems like an odd line of questioning for my comment, but I’ll try answering anyway:

        How is the construction going? It’s going well. The water collection system, power generator, and methane digestor are up and running. Thinking of replacing the kitchen and bathroom cabinets (suspect mold issues).

        How is the private debt developing? It’s getting paid off quite fast now I’m working. :)

        Do people start paying off their debts? They should.

        Are they insulating their houses? I did. Need more in the attic. Others should too – good savings after 3 years.

        Having their teeth and eyes fixed? We can’t fix the wife’s eyes: it’s part of the TBI – Occipital Lobe damage. Can’t be fixed with surgery and is causing pre-glaucoma. When the insurance from work kicks in we’ll get our oldest her braces.

        Or, did you mean to respond to someone else?

        • Priszilla

          The general topic here is economics.

          So it wasn’t a direct reply to you but just using your post as a reference.

          So read my questions in regard to the whole economy / society.

          You are still spending money, just not on consumer goods. Just having a statistic on consumer goods doesn’t cover the whole economy. Same for the betting at “financial markets”.

  • Dirkk

    It’s quite obvious by now that the fractional reserve banking sysyem doesn’t work. Hyperinflation should have already started. The price of gold and silver should have doubled and the US dollar index should be down the toilet. Thanks to bankers and corrupt politicians who manipulate the fx and precious metals market with impunity.
    How can you have a commodity which is based on supply and demand priced in paper and leveraged 50:1. That means for every ounve of silver there are 50 people laying claim to it. That would be like me selling my home to 50 people. Where is the fairness in that. Its high time we had one world currency then they would not be able to manipulate it…….

    • jox

      Those are 2 separate items. The main problem of the world right now is the monetary system. The fractional reserve banking shoul be abolished. In the US there is an organization fighting for this to happen: the American Monetary Institute. Support it!

      • socalbeachdude

        False. THERE IS NO SUCH THING AS THE TWISTED AND FALSE VERSION OF “FRACTIONAL RESERVE BANKING / LENDING” that you are bogusly asserting. I made it very clear to you how RESERVE REQUIREMENTS WORK and that they only apply to DEMAND DEPOSITS and do not apply at all to TIME DEPOSITS. I would suggest that you read the full explanation of RESERVE REQUIREMENTS at the Federal Reserve web site.
        :

        At this stage, BANKS ARE AWASH IN VAST EXCESS RESERVES AMOUNTING TO ABOUT 33% OF CUSTOMER DEPOSITS IN THE US and there is NO PRACTICAL APPLICABILITY OF RESERVE REQUIREMENTS AT ALL.

        Reserve requirements only apply to DEMAND DEPOSITS and are about 3% of those deposits of customers at banks in the US. There are NO RESERVE REQUIREMENTS AT ALL ON TIME DEPOSITS.

        That would mean that a bank could only lend out about 97% on its customer’s demand deposits but could lend out 100% on its customers’ time deposits.

        Presently, BANK LOANS OUTSTANDING COMPARED TO CUSTOMER DEPOSITS ARE AT THE LOWEST RATIO IN HISTORY AT ONLY 67% which means that banks essentially have RESERVES OF 33% so reserve requirements are utterly irrelevant as this stage as BANKS HAVE MASSIVE EXCESS RESERVES.

        Moreover, US banks have around $3.5 TRILLION OF THOSE RESERVES IN THEIR EXCESS RESERVES ACCOUNTS INSIDE THE FEDERAL RESERVE as a result of participating in the Federal Reserve versions of QE in which they sold securities on the assets side of their general ledgers to the Federal Reserve in exchange for proceeds from those sales being deposited into the excess reserves accounts inside the Federal Reserve.

        Any financial transaction creates a MONEY MULTIPLIER EFFECT and that is what you obviously do not comprehend at all. Any loans to anyone create a MONEY MULTIPLIER EFFECT, but that has NOTHING WHATSOEVER TO DO WITH FRACTIONAL RESERVES AT BANKS AT ALL.

        • T.

          You have Bought into All the Bankster propaganda. So Deceived.

        • John Higson

          This guy works for the Fed,I’ve seen his posts a few times in the past and he’s definitely a paid shill!

          • socalbeachdude

            That is an absurdly false and extremely stupid assertion, dude. Where on earth do you come up with such blatantly bogus nonsense>

          • T.

            Your responses TROLL.

          • socalbeachdude

            That you be YOU, and now we know what the “T.” stands for dude or dudette.

          • Gay Veteran

            amen

          • booble

            a(gay)men?

        • T.

          Yes. Our monetary System has been nothing but one Giant Ponzi scheme since the Federal Reserve CAPTURED our Monetary System in the dead of nite on Christmas eve in 1913.

          • socalbeachdude

            Why would you make such incredibly baseless and utterly stupid and mindlessly false and bogus assertions?

            Are you that lost in your fog of delusions and total lack of any common sense?

            Given your obviously extreme ignorance regarding the Federal Reserve, I would suggest that you learn about what the Federal Reserve is and does at their web site.

            The Federal Reserve has done an absolutely superb job of managing the money supply and monetary policy in the US over the past 101 years during which time the US has become the biggest economy in the world and the wealthiest country in the world with over $180 trillion in assets which are offset by only about $60 trillion in debt resulting in around $120 trillion in net aggregate assets in the US..

            Without the Federal Reserve and its monetary policy and influence over the past 100 years, wouldn’t the US still be the irrelevant backwater banana republic that it was back in 1913 as opposed to the economic superpower of the world – by far – with the world’s reserve currency used in 85% of all global transactions and the wealthiest nation in the world with over $180 trillion in assets?

            The Federal Reserve has an excellent web site which explains all of the operations, functions, and details about the Federal Reserve and the Federal Reserve Act and anyone wanting to learn more about the Federal Reserve can peruse all of that information including their fully audited and highly detailed independently audited annual financial reports as well as a wealth of other information and statistics at their web site.

          • Mike Smithy

            Do yourself a favor and read “The Creature from Jekyl Island”.

          • socalbeachdude

            That “creature” book is nothing but a bunchy of INANE AND ASININE PROPAGANDA with no basis whatsoever in actual fact and is just an absurd bunch of bogus assertions regarding the Federal Reserve.

          • M miller

            You seem to have a lot of anger issues…….if you would quit trolling and get a real job it might help you….

          • socalbeachdude

            Huh? There’s nothing even slightly emotional about any of my comments. Where do you come up with such utter nonsense>? Do you have a reading or comprehension problem or both?

          • M miller

            There you go again with the insults and anger………you really need to seek professional help…….I can see you now driving in your car with the “co-exist” sticker and you yelling and screaming at people…..

          • socalbeachdude

            Huh? Apparently, however, that does describe YOU given your totally off the wall and utterly inane snarks.

          • M miller

            Now I see you have resorted to the good old “I know you are but what am I” defense……..your going to have to do better than that sweetie…..

          • socalbeachdude

            Dude or dudette, get a grip and start behaving yourself and attempt to think rationally.

          • Evil_shadow

            We do have those problems indeed.But at least we DONT support the monetary institution that was made by thiefs for thiefs. Rant all you want, but you cant change facts about FED’s devious intentions toward people of (once great and Free) USA and rest of the world with help from City of london and today’s ECB and EU parliament.But then again; we have problems with reading and comprehension of your so beloved FED reserves.Enlighten us o great one ,,,,

          • socalbeachdude

            Your bogus assertions regarding the Federal Reserve are utterly false nonsense.

            Without the Federal Reserve and its monetary policy and influence over the past 100 years, wouldn’t the US still be the irrelevant backwater banana republic that it was back in 1913 as opposed to the economic superpower of the world – by far – with the world’s reserve currency used in 85% of all global transactions and the wealthiest nation in the world with over $180 trillion in assets?

            The Federal Reserve has an excellent web site which explains all of the operations, functions, and details about the Federal Reserve and the Federal Reserve Act and anyone wanting to learn more about the Federal Reserve can peruse all of that information including their fully audited and highly detailed independently audited annual financial reports as well as a wealth of other information and statistics at their excellent web site which I would suggest you visit and read.

          • Evil_shadow

            Sure sure, but did you even REMOTELY consider about consequences of their policies on other countries of the world? No wonder that US is one of the most hated countries ( next to north korea and china). Its just all about us, and us only but who cares for the rest of the world.THAt is the prime reason, why many (used to be allies) countires are flocking to chinese banking system instead to western, Us contolled one.

          • socalbeachdude

            The Federal Reserve is the CENTRAL BANK IN THE UNITED STATES and has nothing to do with other countries in the world. Why on earth would it have any concern at all about any other countries in the world. As to its “policies” what are you even talking about?

            As to China, are you not aware that its currency, the renminbi (RMB / yuan) is almost ENTIRELY PEGGED TO THE VALUE OF THE US DOLLAR and that China is the most EGREGIOUS MONEY AND CREDIT CREATOR IN THE WORLD AND CREATED A $23 TRILLION MONEY AND CREDIT BUBBLE over the past 10 years despite the fact that its economy is less than 50% the size of the US economy in which the Federal Reserve has only increased the MONETARY BASE BY AROUND $3 TRILLION during the same period of time.

            China is a ludicrous, laughable, and preposterous CREDIT BUBBLE WRECKAGE. The renminbi has ZERO CREDIBILITY AS A CURRENCY. Are you not aware that China “printed” $23 trillion in renminbi over the past 10 years and that China is BY FAR THE MOST EGREGIOUS MONEY PRINTER IN THE WORLD.

            During the same time that China increased its money supply by $23 TRILLION, the Federal Reserve only increased the MONETARY BASE (not the money supply) in the US by $3 trillion China’s economy is about HALF THE SIZE OF THE US.

            China has NO BANKING OPERATIONS IN THE US other than a single branch of the PBOC in New York with a very limited correspondent branch in Los Angeles.

            China created over $23 TRILLION IN NEW MONEY to do so making China by far the MOST EGREGIOUS MONEY PRINTER IN THE WORLD and they created an unprecedented debt bubble as a result of their unprecedented credit and money creation spree and it is now imploding.

            Fitch says China credit bubble unprecedented in modern world history

            What China did with credit and money creation over the past 10 years makes the US look like a bunch of little penny pinching pikers.

            China’s economy is a CATASTROPHIC DISASTER drowning in tens of trillions of dollars of BAD LOANS for which there is highly inadequate collateral and a TSUNAMI OF BANKRUPTCIES IMMINENT AND ALREADY HAPPENING.

          • Evil_shadow

            Its consequences that matters, not the decisions of FED reserves.And consequences of reckless policies have once again brought world to screeching halt. Werent FED reserves FIRST to announce QEd, followed by overburdened Japan and now over the top indebted Eu? And we all know “how wonderful”did past QEd helped Us industry and common people.

          • socalbeachdude

            Huh? Japan has been engaging in QE for the past 25 years. The Federal Reserve merely ran a brief experiment with their own versions of QE from 2008 to 2014.

            The Federal Reserve versions of QE were simply a series of ASSET SHIFTING of securities from the books of member banks to the Federal Reserve with 100% of the proceeds of QE ALWAYS REMAINING INSIDE THE FEDERAL RESERVE in the excess reserves accounts of the banks there from whom the Federal Reserve purchased securities.

            The Federal Reserve DOES NOT GIVE MONEY TO ANYONE and the BANKS PARTICIPATING IN QE HAD NO NET GAINS WHATSOEVER FROM QE.

            The Federal Reserve is MERELY A CENTRAL BANK and is not some kind of government welfare agency or charity and is not in business to “help industry and common people at all. IT IS A SIMPLY A CENTRAL BANK.

            At no time did the Federal Reserve ever purchase anything other than FULLY PERFORMING VERY HIGH QUALITY ASSETS FROM ANY OF THE BANKS AS PART OF QE OR OTHERWISE. That is fully confirmed by the fact that the Federal Reserve is now generating profits of more than $100 billion a year on its assets portfolio, and 94% of those profits are rebated to the US Treasury each year as has always been the case.

            PURPOSES OF THE FEDERAL RESERVE VERSION OF QE

            There were 3 reasons for the Federal Reserve version of QE.

            First, it was essentially a HOAX to make it look like the Federal Reserve was doing all it could to “stimulate” the economy and provide a “wealth effect” to try to life economic activity and asset prices.

            Second, and much more important in reality, the primary purpose of QE was TO CREATE A LARGE LIQUIDITY POOL OF EXCESS RESERVES OWNED BY THE BANKS AT THE FEDERAL RESERVE so that the banks would not have to sell off assets such as securities at fire sale prices in the next financial crises, panics, and shocks but rather could turn to that liquidity pool at the Federal Reserve to clear transactions, particularly from bad derivatives plays.

            Third, QE lowered the government interest on its massive $17.5 trillion debt because the Federal Reserve increased its holdings of US Treasuries to over $2 trillion making the interest on those ESSENTIALLY FREE to the US government because the Federal Reserve operates as a NOT-FOR-PROFIT entity and rebates 100% of its annual profits each year to the US Treasury after paying a modest 6% annual dividend to its member bank shareholders.

            That mission has now been fully accomplished with a LIQUIDITY POOL OF $3.0+ TRILLION in the excess reserves of the banks at the Federal Reserve which will act as a cushion in the next series of crises.

          • Mavenah

            You got that right

          • Mavenah

            Are you insane? Even I know better than that ,

          • socalbeachdude

            False. Every single point I stated is 100% true and correct, dude or dudette. You obviously need to learn about the Federal Reserve as you are apparently utterly clueless regarding the fine Federal Reserve.

        • nekksys

          When global GDP is $72T, explain to us how you expect to profit from a $710T derivatives bubble when it bursts?

          • socalbeachdude

            Huh? I don’t “expect to profit” at all. What on earth are you talking about?

          • nekksys

            All this talk of liquidity and futures markets and how solid the US currency is right now, I thought you might have some idea how to withstand the bursting of the derivatives bubble…

            Apparently, you’re not as wise as you seem to think you are. It’s OK, though… You have time to come awake but that time grows shorter every day. I hope you catch on sooner than later.

          • socalbeachdude

            What do derivatives have to do with anything I stated at all?

          • nekksys

            Ever heard the phrase “unfunded liability”???

            Didn’t think so…

          • socalbeachdude

            So-called “unfunded liabilities” are NOT DEBT AT ALL and aren’t due in any way until they become DUE IN THE FUTURE at which time they are OFFSET BY FUTURE REVENUES.

          • nekksys

            Wow… You are a SHILL… Astounding how hard some people will swallow the Federalist Kool-Aid…

            Have fun with that…

          • socalbeachdude

            What is so difficult about the actual facts that I stated for you to comprehend?

          • nekksys

            Because your logic excludes certain facts and principles and is circular at best; utterly ridiculous at worst…

            For example, if I pan for gold and find a few ounces, which is worth more; the gold or the paper I can turn it into? Finding gold or silver and selling it to the assayer has two effects: increases the supply of the commodity metal and decreases the money supply; both of which are negatives as both are devalued slightly. That’s basic supply-side economics.

            But you have fun with that tho… It’s kinda like teaching a pig to sing with you; it hurts everyone’s ears but only annoys the pig.

          • socalbeachdude

            False. Where do you come up with such utter nonsense? As to gold it is just a preposterously overpriced commidity that has plummeted in price 37% over the past 4 years and which is on its way towards and to its mean of $456 per ounce and then headed lower towards the current US government official price of $42.22 per ounce.

          • nekksys

            Glad to see you still missed the point…

            Shill.

          • socalbeachdude

            Nope. That would be YOU missing the point. Your bizarre views on money have NOTHING WHATSOEVER TO DO WITH THE REALITY OF MONEY IN THE WORLD TODAY.

          • nekksys

            Shill

        • Gay Veteran

          BEWARE: socalSHILL is back shilling for the banks.

        • CharlesH

          Excuse me but who are you working/fronting for? I’ve read all your comments on this article and please, don’t tell me you’re just another interested reader with no ties to the federal government or TBTF banks.

          • socalbeachdude

            I don’t work for anyone and am not fond of the concept of “work” at all, but happen to be highly knowledgeable at money and banking and the Federal Reserve and share my analysis along with a wealth of facts on those topics for the benefit and education of folks interested n such topics.

    • Horiboyable .

      Hyperinflation is symptom of a revolutionary environment. What you will observe over the next maybe five years is deflation because what you are witnessing is the collapse of the west as a economic power. Anyone my age (50) have been through a few recessions and I knew back in 2008 this was not going to be a normal recession depression. Bank runs, negative interest rates, money printing, government chasing peoples money movements but they are only after the big guys. Rubbish they are after your money. In Europe France have imposed capital controls on its citizens, you cant get gold delivered to your home, you can not write or talk about a banks that may not be in a healthy state, In other countries like Poland, Hungary and Greece have or are going to take all private pensions. Austria had a bank fail a few weeks ago and will not make good on their bonds. Wake up people its Rome all over again.

      • kodster

        Hyperinflation happens when you have more demand than supply. Not deflation, which is more supply than demand. With the droughts going on in the world (California, Arizona, Nevada, Utah, Colorado, and spreading; Chile, Argentina, et al), who are major suppliers of our fresh foods (California supplies 1/3rd of our fresh produce), and some northern California farmers are choosing to sell their water rights to southern California, instead of producing food, because they’re afraid that the water rights are going to be taken, anyways, and figure they’d rather make something, than nothing, especially when they can get $700+ for a water-acre, when they were getting only $50 per acre. So, no water, no crops being grown, the food prices are going to go sky high, because of demand for the food, but no food available. As the Lord told us… a day’s wages for a loaf of bread. That’s hyperinflation, friend.

        • EconomyTrap

          Hyperinflation happens when the demand for the US dollar drops (i.e. country’s stop using it to trade goods and services). When demand for the dollar is high, the purchasing power remains, but when demand drops, and there’s too much supply (FED Printing), then the value of the dollar drops (i.e. purchasing power falls)…This is what is happening now with Chinas’ new central bank and all the countries jumping on board…As a result the powers to be will go to War as a last fight to keep the Bretton Woods system intact (i.e. WWIII)

    • Genada

      None of the money is getting into the general public’s hands, money velocity is very low. So hyperinflation will not occur until it starts to make it in the general population first. I think we will see deflation before inflation.

      • Evil_shadow

        yeah it will be probably like its here in Europe.Printing 1.26 tril € in next 18 months without hope of seeing any of that cash trickle down to masses.It was alway about TOP only.And given how is EU parliament willing to destroy one coountry after another just to cover their mistakes…We’re screwed here in Europe, you guys are screwed over there.Good luck , i think we’ll all going need it. ;)Cheers from Beautiful Slvoenia.

    • antonio

      Nicely put. This is what I mean in my comment above. The signs are there.

    • SunnyFlaSnotress

      Yes, hyperinflation should have happened by now and the Dollar crash too with all the talk,right? But as you can see, the USA doesn’t actually exist in a vacuum. There’s other countries with budget needs.
      As far as a one world currency goes, ..you know the saying.. careful what you wish for..

      • socalbeachdude

        We are in a GLOBAL DEFLATONARY SPIRAL and commodities prices have been plunging for the past 4 years with most of the world’s 27 major commodities down about 50% over that period of time and headed much lower.

        • T.

          Gold and Silver are Not commodities. You Know nothing . Gold & Silver are MONEY – Have been for 5,000 years. Go read your History. This why you have Bought ALL the Bankster LIES.

          • socalbeachdude

            Gold and silver are NOTHING BUT LITTLE TINY FUNGIBLE NICHE COMMODITIES and have never been money for any floating exchange rate value at all. The total size of the annual gold market is less than $234 billion which is left than half the amount of Wal-Mart’s annual sales.

            Gold and silver have been PLUMMETING for the past 4 years and are on their way towards and to their respective means of $456 and $8 per ounce respectively and then lower.

            They are both AMONG THE MOST TOXIC ASSETS out there at anything above their means, so if you are interested in SAFETY, then CASH IS KING and the US DOLLAR IS THE KING OF KINGS.

            The commodities markets for gold and silver and JUST TINY LITTLE NICHE MARKETS THAT ARE EXTREMELY VOLATILE. The total annual market for the around 4,650 metric tonnes of gold supply and demand is less than $234 billion which is less than half the amount of Wal-Mart’s retail sales. The silver market is even smaller and even more volatile and can plunge massively in a very short period of time just as it has done many times in the past.

            Liquidity is generally taken to mean the ease with which an investor can quickly buy or sell a security without moving its price.

            Neither gold nor silver even remotely meet the requirements of the definition of liquidity.

          • T.

            You are FOOL and Not worthy of a response.

          • socalbeachdude

            That indeed describes YOU, dude or dudette.

          • T.

            When Gold is Properly Revalued by the WORLD – The Gold Price PER Ounce Will Astound FOOLS like YOU.

          • socalbeachdude

            When gold is properly revalued it will be a lot closer to the current US government official price of $42.22 per ounce than its mean of $456 per ounce where it is rapidly headed after plummeting nearly 40% from its manic highs over the past 4 years since April 2011 when the supply of greater fools for that absurdly overpriced yellow stuff started to run out.

            THE ISSUE IS THE PROPER PRICE OF GOLD.

            An array of reasonable historical metrics can be used to establish the proper price of gold, including:

            1) Its historical mean which would put gold right around $456 per ounce

            2) Its 16:1 historical ratio against silver which would put gold right around $271.52 per ounce based on silver being around $16.97 per ounce

            3) Its inflation adjusted price today from its last stable historical price of $35 per ounce in 1971 which would put gold right around $386 per ounce.

            4) Its current official US government price of $42.22 per ounce which is how the approximately 8200 metric tonnes of US government gold are valued:

          • airedale

            Okay, I’ll buy 20 oz of gold from you for $1000, now. By your standards, that should make you a tidy profit someday.

          • socalbeachdude

            I would never considering owning any gold bullion even at $20 per barrel and have never bought any of that stuff. The only gold Ihave is fine jewelry and US Mint Numismatics which are not valued on bullion value but rather primarily valued for their artisanry and rarity.

          • Gay Veteran

            you’re an idiot shill

          • guitar_hack

            Gold isn’t sold per barrel. That’s oil.

          • socalbeachdude

            Gold many soon have to be sold by the barrel as the supply of greater fools totally runs out.

            I really do like gold and would happily use it to build a very nice koi pond at a price of $20 per barrel or lower.

          • guitar_hack

            Again, what planet are you from? Your numbers are nonsensical! Just to point out that you mention in point #2 above that gold is over valued based on a 16:1 ratio to silver, assuming that silver is accurately valued at $16.97 oz.. It is more likely that this ratio is wrong on both sides of the equation. Not to mention that gold and silver are outlandishly undervalued based on true physical demand. One should consider that if paper obligations were to be “delivered” reserves would be exhausted in the blink of an eye and demand would not be met.

          • socalbeachdude

            Huh? My numbers are 100% ACCURATE with the exception that silver has now plunged to $16.69 per ounce as of late today so I overstated the value of gold relative to silver.

            As to your “paper obligations” nonsense, that is just a totally bogus assertion.

          • Guitar_hack

            I will gladly take my gold and silver over your worthless, leveraged paper assets! I also call in to question the validity of your 1% claim. Not that it matters as any artificially manipulated market rises and falls on command, not by natural market forces such as…PRICE DISCOVERY!.

          • socalbeachdude

            I mostly hold cash and real estate do not have any “worthless leveraged paper assets.”

            The total value of all of the 180,000 or so metric tonnes of gold ever mined is worth less than $7 trillion in a world where global assets are now worth around $800 trillion so the total current value of all gold ever mined is now worth less than 1% of global assets.

            If all of the gold ever mined were to be rounded up and dropped into the mouth of an erupting volcano to melt it back into the earth from whence it came, the fact that all of it was gone back into the earth wouldn’t matter a single bit of hoot in the US and international financial system as it amounts to LESS THAN 1% OF GLOBAL ASSETS.

          • nekksys

            Please, give us a lesson! Please, do tell us, what IS money?

          • socalbeachdude

            MONEY IS LEGAL TENDER CURRENCY AND NOTHING ELSE.

          • VigilanteCaregiver

            Money is a medium of exchange with it’s own intrinsic value.

            Many cultures in history used many different commodities for money. Roman’s used salt (their word for salt is where we get the word ‘salary’), Greeks once used wheat, Mayan’s used rabbit skins, Warring State’s China used bronze, the US Constitution declares gold and silver as money. Depends on what the buyer and seller agree as their medium of exchange. Governments were formed by civilizations to moderate in case of a dispute – not to create the system.

          • VigilanteCaregiver

            Addendum: the gold and silver declaration in the Constitution was ratified by the state’s voters. The people and market made the declaration as to what they want as money. That’s what so amazing about our Republic.

          • socalbeachdude

            There is no such thing as “intrinsic value” as related to money. The only value that matters with money is its NOMINAL GENERALLY ACCEPTED VALUE as a medium exchange such as a $1 bill being worth $1 in payment against a good or service priced at $1.

            As to the US Constitution, Article 1 Section 10 of the Constitution of the United States certainly does NOT “say that States shall only use Gold and and Silver coin” AND SAYS NOTHING AT ALL ABOUT WHAT THEY USE (key word) for money, but rather simply PROHIBIT STATES FROM CREATING THEIR OWN MONEY OR CURRENCY IN ANY FORM OTHER THAN GOLD OR SILVER.

            Today, we live in MODERN TIMES WITH ELECTRONIC MONEY and have come a long way from those horrible barbaric times of yesterday, thank heavens.

          • VigilanteCaregiver

            Are you up voting your own posts?! Faux pas, mate!

            If money has no intrinsic value, then what’s the point of using it? How does it store value? All you’d have is paper promissory notes with nothing to back it but trust in the honesty of other people. I’m sorry, but that’s not enough to buy/sell/trade in goods.

          • socalbeachdude

            MONEY HAS A NOMINAL FACE VALUE AND IS USED AS THE MEDIUM OF EXCHANGE IN THE US AND AROUND THE WORLD AND EVERYBODY RECOGNIZES AND HONORS THE FACE VALUE OF ALL CURRENCIES, ESPECIALLY THE US DOLLAR.

          • VigilanteCaregiver

            So, it’s face value is what gives it value? By what power in the universe does that? A government that says “This is money”? Not strong enough: someone or some group’s declaration does not real value make. Metaphorical equivalent of me writing “hamburger” on some paper and using a gun to force someone to eat my burger. It doesn’t matter if it’s paper; I say it’s beef, bun, lettuce, and tomato, therefore it is.

          • socalbeachdude

            Obviously the value of the US dollar is exactly what it states on its face: ONE DOLLAR. Period. Get a clue, dude or dudette and put down the bong.

          • VigilanteCaregiver

            Okay, now I see what you are. Good luck.

          • socalbeachdude

            A realist who understands that ONE DOLLAR is worth $1. Hellloooooooo?

          • Evil_shadow

            So was deutche mark in early 30’s and right after ww2.But for how long eh? If its says 1billion US doolars on banknote, will it be worth 1 billion? What about trillion? More?

          • socalbeachdude

            What does Germany’s currency have to do with anything?

            As to denominations of the US dollar the largest ever issued was $100,000 for interbank use only, and there was also a $10,000 bill as well as $1,000 and $500 bills, but all denominations larger than $100 ceased to be produced in 1946 and were entirely withdrawn from circulation in 1969 and there will never be a larger denomination produced than the current $100 bill.

          • Catman

            We do it every day. That paper promissory note will fill your car with gas. The vendor believes it will buy the goods/services he needs, and so it goes, and we live to eat another day.

          • Evil_shadow

            barbaric times of yesterday ?! For GOD’s SAKE are you even reading after yourself?How can you claim, that electronic money is in ANY WAY BETTER than gold or silver?

          • socalbeachdude

            Indeed, the times before electronic currencies were truly barbaric and extremely crude as respects currencies. As to gold and silver, neither of those are currencies at all as respects their constantly fluctuation (and plummeting) bullion values. For anything to be a currency it MUST BE A LEGAL TENDER CURRENCY WITH A STATED NOMINAL VALUE, obviously.

            However, you are free to use a 1 oz. gold American Eagle for its stated value of $50 as it is legal tender for that value as clearly stated and can be used for exactly the same value as a $50 bill although it is much clunkier to carry around than a nice fresh $50 bill.

          • GSOB

            ‘thank heavens’
            ?

          • guitar_hack

            Money as defined by Wikipedia: is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts in a particular country or socio-economic context. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, sometimes, a standard of deferred payment.[4][5] Any item or verifiable record that fulfills these functions can be considered money. Gold and Silver qualify as per this definition. The currency that is printed by the Fed is just that, currency!!!

          • nekksys

            Currency, as we have it here in the US, is issued by government decree, or fiat, which is why ours is called a fiat currency. No fiat currency in world history has EVER withstood the tests of time and devaluation. Weimar Republic comes to mind in regards to fiat currencies.

            In everything you have said, you keep referencing PAPER which, to borrow from Jefferson, is nothing but a ghost of real money. If you look at the US Constitution, Article I, Section 8, paragraph 1, you’ll find what money is and who controls the value thereof. The several states were forbidden to create anything other than Gold and Silver as tender for all debts. By this prohibition, the Federal government claims Gold and Silver are the only acceptable forms of real money.

          • socalbeachdude

            There is no such thing as “intrinsic value” as related to money. The only value that matters with money is its NOMINAL GENERALLY ACCEPTED VALUE as a medium exchange such as a $1 bill being worth $1 in payment against a good or service priced at $1.

            As to the US Constitution, Article 1 Section 10 of the Constitution of the United States certainly does NOT “say that States shall only use Gold and and Silver coin” AND SAYS NOTHING AT ALL ABOUT WHAT THEY USE (key word) for money, but rather simply PROHIBIT STATES FROM CREATING THEIR OWN MONEY OR CURRENCY IN ANY FORM OTHER THAN GOLD OR SILVER.

            Today, we live in MODERN TIMES WITH ELECTRONIC MONEY and have come a long way from those horrible barbaric times of yesterday, thank heavens.

          • nekksys

            1) I quoted Article I, Section 8… Please try to keep up…

            2) If our founding fathers decided that the only thing worthy of being used as money was gold and silver, why would they go to the trouble of prohibiting the several states from using anything else?

            3) And,yet again, you have yet to define precisely what money is..

          • socalbeachdude

            Article 1 Section 8 of the Us Constitution (otherwise known as that “goddam piece of paper” as so eloquently stated by GWB) has NOTHING SPECIFIC TO SAY AT ALL ABOUT MONEY. It merely states”

            “The Congress shall have power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States; but all duties, imposts and excises shall be uniform throughout the United States;

            To borrow money on the credit of the United States;

            To regulate commerce with foreign nations, and among the several states, and with the Indian tribes;

            To establish a uniform rule of naturalization, and uniform laws on the subject of bankruptcies throughout the United States;

            To coin money, regulate the value thereof, and of foreign coin, and fix the standard of weights and measures…”

            Article I Section 8 of the US Constitution SAYS NOTHING WHATSOEVER ABOUT ANY METALS IN REGARDS TO MONEY contrary to your bogus assertions.

            Nowhere in the US Constitution including its amendments is anything stated whatsoever regarding the form of money and currency of the federal government of the USA.

            The only reference in the US Constitution at all to metals is in Article 1 Section 10 of the US Constitution which ONLY APPLIES TO STATES regarding the creating and form of currencies and has NOTHING WHATSOEVER TO DO WITH THE FEDERAL GOVERNMENT ITSELF.

            What you fail to understand is that in the United States the ONLY LEGAL TENDER FORM OF CURRENCY IS US DOLLARS and that gold and silver are NOT ACCEPTED AS ANY FORM OF CURRENCY AT ALL FOR A FLOATING COMMODITIES VALUE.

            The only extent to which gold and silver coins may be used in the US is with legal tender US Mint coins for their STATED NOMINAL FACE VALUES which in the case of a 1 oz. silver American Eagle is $1.900 and in the case of a 1 oz. gold American Eagle is $50.00.

          • Gay Veteran

            The price of gold is being manipulated, just like the banksters were manipulating LIBOR, foreign exchange, etc.

            BEWARE: socalSHILL is back shilling for the banks.

          • socalbeachdude

            Those are totally false and stupid assertions.

            As to the price of gold it is plummeting simply because the SUPPLY OF GREATER FOOLS STARTED RUNNING OUT IN APRIL 2011 and it will be plummeting much further towards and to its mean of $456 per ounce and then lower.

          • Gay Veteran

            socalSHILL works for the banksters!
            Helllllooooooooooo?

          • socalbeachdude

            False. Flagged.

          • Gay Veteran

            socalSHILL working for the banksters!
            Helllllooooooooooo?

          • Guitar_hack

            The assertion that neither Gold nor silver are remotely liquid is factually incorrect. A liquid asset has some or all of the following features: It can be sold
            rapidly, with minimal loss of value, any time within market hours. The
            essential characteristic of a liquid market is that there are always
            ready and willing buyers and sellers. Both gold and silver qualify. What planet are you from?

            I must admit that I have not come across such an obvious and aggressive troll as this yahoo, “Socalbeachdude”. We must be close to the end folks???

          • socalbeachdude

            You obviously don’t understand the FINANCIAL definition of liquidity at all, so let me state it for you once again:

            Liquidity is generally taken to mean the ease with which an investor can quickly buy or sell a security without moving its price.

            Gold DOES NOT MEET that definition at all.

            As to gold there are two primary ways to achieve “liquidity” in a non-financial sense:

            1) melt the stuff at 1,948°F (1,064°C)

            2) truly liquify the stuff by putting it in a solution of aqua regia where it will dissolve into an orangish transparent liquid.

            PLOP, PLOP, FIZZ, FIZZ!!!

            Gold has NO MONETARY LIQUIDITY AT ALL and is just a fungible commodity. The only time gold has any liquidity is when it is melted as a metal or dropped like Alka-Seltzer tables into Aqua Regia in which it dissolves into a clear orangish liquid.

          • guitar_hack

            Your efforts are wasted here, Socal. The loyal users of this site understand the monetary system is being destroyed by your beloved private bank, the Federal Reserve. That is why they like gold and silver. They understand that the political and banking class have terminally corrupted this world. Nothing you write will dissuade any of them. Your efforts are truly wasted. Just look at how many here know you are a troll. You have given yourself away with your overt pro-banking and anti gold statements. I recommend that you change your username to “Lying Troll”. That, I could respect! You should go “PLOP PLOP FIZZ FIZZ”.

          • socalbeachdude

            Anyone with any intelligence is aware that the price of gold has been plummeting for the past 4 years during which it has fallen more than 35% from preposterous bubble heights, and intelligent people are quite aware that it is reverting towards and to its mean of $456 per ounce and then headed lower towards the current US government official price of $42.22 per ounce.

            The Federal Reserve couldn’t give the slightest bit of a hoot about gold or silver and own practically no gold at all and no silver.

            Where do you get the false notion that I don’t like gold?

            I really do like gold and would happily use it to build a very nice koi pond at a price of $20 per barrel or lower.

            THE ISSUE IS THE PROPER PRICE OF GOLD.

            An array of reasonable historical metrics can be used to establish the proper price of gold, including:

            1) Its historical mean which would put gold right around $456 per ounce

            2) Its 16:1 historical ratio against silver which would put gold right around $268 per ounce based on silver being around $16.75 per ounce

            3) Its inflation adjusted price today from its last stable historical price of $35 per ounce in 1971 which would put gold right around $400 per ounce.

            4) Its current official US government price of $42.22 per ounce which is how the approximately 8133 metric tonnes of US government gold are valued:

    • Folgers 19

      Wow, you seemed to be onto the problem, but when you jumped to the solution, you totally failed.
      Why would you trust other nations’ corrupt kleptocrats to control your money? It’s not like they have a better track record than our own govt.

    • socalbeachdude

      The price of gold and silver have plunged 40% and 62% respectively over the past 4 years and those overpriced junk commodities are headed towards and to their means of $456 and $8 per ounce respectively.

      Your bogus assertions regarding the metals markets are totally false. There is no 50:1 leverage at all as you preposterously and bogusly assert. You obviously have zero comprehension of the commodities futures markets and I would suggest you learn about those markets and commodities futures contracts at the CME Group web site.

      • T.

        CME is controlled by the World Banking Cabal (Banksters). You are the Deceived and Deluded one.

        • socalbeachdude

          That is a totally false and utterly bogus assertion. The CME Group Inc. is controlled by its SHAREHOLDERS.

          • T.

            So is JP Morgan and Citi and Goldman and all the rest of the Bankster Cabal. You are the Deceived one.

          • socalbeachdude

            Huh? The core problem in the global economies today is not the highly regulated banking system including JPMC, Citi, and Goldman Sachs, but rather in the largely unregulated SHADOW BANKING SYSTEM which is much larger than the regulated banking system.

          • T.

            The CORE problem in the International Banking Cabal run by the City of London under the tight control of Jacob Rothschild. That is The CORE of The PROBLEM.

          • Gay Veteran

            BEWARE: socalSHILL is back shilling for the banks!!

      • nekksys

        Futures market means nothing. They’re a gamble; a bet placed against future market performance. What’s the real value of Gold and Silver???

        • socalbeachdude

          You obviously have zero comprehension as to commodities futures markets at all.

          There is no valid reason why gold would rise, but rather a myriad of valid reasons why gold will CONTINUE TO PLUNGE.

          Gold and silver have been PLUMMETING for the past 4 years and are on their way towards and to their respective means of $456 and $8 per ounce respectively and then lower.

          They are both AMONG THE MOST TOXIC ASSETS out there at anything above their means, so if you are interested in SAFETY, then CASH IS KING and the US DOLLAR IS THE KING OF KINGS.

          The commodities markets for gold and silver and JUST TINY LITTLE NICHE MARKETS THAT ARE EXTREMELY VOLATILE. The total annual market for the around 4,650 metric tonnes of gold supply and demand is less than $234 billion which is less than half the amount of Wal-Mart’s retail sales. The silver market is even smaller and even more volatile and can plunge massively in a very short period of time just as it has done many times in the past.

          The proper price of all commodities was highly distorted as a result of ARTIFICIAL DEMAND FROM MANIC SPECULATORS CAUSING HUGE BUBBLES IN THE PRICES OF NEARLY ALL OF THE WORLD’S 27 MAJOR COMMODITIES. Those bubbles started bursting about 4 years ago in April 2011 and since them most all of the world’s commodities have been returning towards and to PROPER PRICING IN EQUILIBRIUM WITH ACTUAL SUPPLY AND DEMAND FACTORS.

          Each one of the world’s 27 major commodities has their own set of particularly factors that affects its proper price and supply and demand. In the case of copper it became the basis for a huge shadow banking system in China based on copper. Also in the case of copper it is decreasingly being used in plumbing around the world as nearly all plumbing is moving to plastic pipes instead of copper pipes.

          Anyone failing to comprehend the NEARLY 4 YEAR LONG COMMODITIES PLUNGE has to be totally asleep at the wheel. Commodities prices were driven up by manic speculators to absurd BUBBLE HIGHS by April 2011 and then began a rapid descent which is now accelerating sharply. The Bloomberg Commodities Index has hit a 12 year low and most commodities have plunged around 50%. Silver has plunged more than 62% and gold has lagged behind with only a 40% plunge so far.

          The big issue with fungible commodities is that they were DRIVEN TO ABSURDLY HIGH BUBBLE LEVELS AS A RESULT OF MANIC SPECULATION in them on the commodities futures markets and reached prices that were in DISEQUILIBRIUM WITH SUPPLY AND DEMAND FUNDAMENTALS as well as historical valuation metrics.

          That is why the COMMODITIES BUBBLES started bursting around 4 years ago and most all of the world’s 27 major commodities have come crashing down in price since then by around 50% with some down more and some down less and most all are still headed much further down.

          At any price above $456 per ounce gold is preposterously overvalued and that speculative froth will rapidly be blown off the top.

          THE ISSUE IS THE PROPER PRICE OF GOLD.

          An array of reasonable historical metrics can be used to establish the proper price of gold, including:

          1) Its historical mean which would put gold right around $456 per ounce

          2) Its 16:1 historical ratio against silver which would put gold right around $271.52 per ounce based on silver being around $16.97 per ounce

          3) Its inflation adjusted price today from its last stable historical price of $35 per ounce in 1971 which would put gold right around $386 per ounce.

          4) Its current official US government price of $42.22 per ounce which is how the approximately 8200 metric tonnes of US government gold are valued:

          • nekksys

            “They are both AMONG THE MOST TOXIC ASSETS out there at anything above their means, so if you are interested in SAFETY, then CASH IS KING and the US DOLLAR IS THE KING OF KINGS.

            If that’s the case, then why did Thomas Jefferson make the following statement at the founding of our nation?

            “Paper is Poverty. It is only the ghost of money, and not money itself.”

            First off, I’d like you to define “money”. What is money? What gives money value?

            Second, what gives the dollar value? Does it have substantial backing which will cause it to retain value or even appreciate in value?

            Third, I do understand that gold valuation is outside of historical weight-to-price ratios. This has been well understood since the price rush in the mid-1970s. Gold is overvalued when compared to other commodity metals valuations. Copper, however, is still hovering around it’s basis valuation of 100:1 against silver (Current value is running right around 86:1 but that’s insignificant at this time.) Silver is running at about 70:1 basis valuation which is WAY out of line compared to historical means. It will correct itself in due time but, again, that is insignificant.

            Now, I’m sure you’re fuming because I say these corrections are insignificant. They are and here’s why: No matter what kind of dollar value is placed on a Troy Ounce of Gold, it will _always_ be a Troy Ounce of Gold. The same applies to Silver, Copper, Nickel, Platinum, Palladium, etc… Once you remove the “Dollar” valuation from the metal, the metal retains it value by the very fact of it’s own weight.

      • Caledonia

        If gold / silver so worthless why are the Chinese Russians etc buying it and why are countries in Europe repatriating their gold from the fed? You sound as if you are about to have an MI – go take your tabs . I don’t think you are paid enough to get this agitated. We are not fools . Even we know the brics are financed by Sachs .

        • socalbeachdude

          The governments of Russia and China HAVE VERY LITTLE GOLD. In the case of Russia, they have about 1,150 metric tonnes of gold worth about $65 billion and in the case of China, they have about 1,054 metric tonnes of gold worth about $60 billion. The combined total for all of the gold held by both countries’ governments is only about $125 billion which is not much more in value than less than 2 months of the current US federal government deficit.

          As to European countries, they are only moving small amounts of gold back to their vaults from the Federal Reserve.

          As to Germany specifically, the transport of the requested Germany gold to Frankfurt from the New York Branch of the Federal Reserve is now AHEAD OF SCHEDULE with 80 metric tonnes of the 300 total metric tonnes to be transported having been transported in 2014 as was confirmed by the Bundesbank lat month. 5 metric tonnes were transported to Germany in 2013.

          There are now only 215 metric tonnes to transport over the next 5 years in order to achieve the full goal of 300 metric tonnes which is 20% of the gold owned by Germany at the Federal Reserve NYB depository, and Germany intends to keep the remaining 80% of its original 1,536 metric tonnes in the Federal NYB depository for the foreseeable future.

          • Gay Veteran

            BEWARE: socalSHILL is back shilling for the banks!

          • Evil_shadow

            dude , REALY?! Do you really believe that Rusia own “ONLY” 1,150 metric tonnes of gold? I wonder where you are getting your info’s from…If so, tell us what are the reserves of US gold then.

      • Gay Veteran

        BEWARE: socalSHILL is back shilling for the banks.

        Paul Craig Roberts (assistant secretary of Treasury under Reagan) has shown that the price of gold is being manipulated.
        heck, the banksters are manipulating every market

        • socalbeachdude

          Paul has done no such thing at all, but has merely made some very bogus assertions without any basis whatsoever.

          • Gay Veteran

            hey socalSHILL, stop spreading lies for the banksters

          • socalbeachdude

            Flagged.

  • K2

    Michael, this charts could also mean the economy is stagnating not necessarily ‘crashing’. And not just US the global economy is stagnating too.

    Also zerohedge is a doom p*rn site, so please dont link to it as it relies on deliberately selling doom and gloom to people everyday.

    Everyday is crashday on that site.

    • K2

      I said the samething about zerohedge a few weeks back too.

    • alan

      I spend time on there reading too. I like to see opposing views to CNBC. A lot of good info on there. Everyone likes to make predictions, this is going to be going on for a long time.

      • K2

        I read it too for opposing views, but the site is turning out to be quite like MSM. On MSM everything is always good, and on ZH everything is always bad. Its no different than MSM.

    • Genada

      So far this is playing out a lot like Japan. No major crash, just slow grind. Could end up being much the same way for us with just lower and lower expectations over time. Destroying a large portion of the populations wealth and standard of living would only be accepted if it’s done in a slow manner and not noticed too much.

      The new normal is less then the old normal. This seems to be largely accepted by the general population.

      • K2

        ”No major crash, just slow grind. Could end up being much the same way for us with just lower and lower expectations over time.”

        I feel the same.

        • K2

          But i would leave a small window open for a ‘crash’. Most likely slippage into stagnation, but a small likelihood of a crash (and possibly accompanied by a stagnation after that) because there are a lot of bubbles the world over.

      • Nemnor

        However, this slow grind – with standard of living going down and down, obviously can NOT go on forever. There MUST come a time when the system will reach total collapse and chaos, except if the mass of WORKING people “wake up” and bring about a FUNDAMENTAL change away from the current Capitalist economic system to an alternative SUSTAINABLE system with the aim of providing true abundance for ALL.

        • Genada

          There’s no reason it has to stop. As long as people accept it and allow it to keep happening it can keep going on forever.

          Take a look at the youngest generation of working adults, they know they are being screwed. They know they are not only having a harder time today but that their future is going to be less then their parents. Are they rebelling against the system? Are they out demanding change? No they are not, they accept it and try to do the best they can.

          It’s been a long held thought at the top that nations do not matter and that everyone is a citizen of the world, not nations. Part of that thinking goes into thinking that the standard of living of people around the world should be more on par with each other. That par isn’t bringing everyone up, it’s bringing some down. The only way to do that is to have them accept a lower standard of living and you do that in a slow process, not all at one. To violent of a move down and people rebel, do it slowly and people learn to live with.

          I agree with you having abundance for all is a nice goal but humans are humans. That system could never happen.

  • Priszilla

    There are also a number of technological revolutions in the making. IoT, Wearables, Industry 4.0, 3D Printing, Energy harvesting, to name a few.
    They will produce new consumer goods. They have the potential to change the way we work and produce. They can influence the energy consumption.

    To participate you better keep some cash to buy in early. 2015 may be a very volatile year. Don’t waste your life, don’t waste your time, don’t waste your money.

  • Priszilla

    I love American Idol & co. As I don’t watch it it gives me time to do sth useful.

  • big al

    Michael excellent article, and good warning to all. Living over here in Australia it saddens me that in general the responses to your articles show such a lack of community consciousness.
    It would be assumed having read the responses, that everyone knows what’s coming and have been following your blog for ages, so is disappointing that overall responses lack the real US spirit of old, I/E togetherness and the will to help others through no matter what the costs.
    All need to understand that this is the real deal and all need to stand together side by side, especially as Christians. The Lord God is testing all of us, it is now time for all to stand together in respect and honouring the Lord!
    Stand up America we are waiting for you to lead!!!

  • Horiboyable .

    What is coming this year will scare the crap out of everybody but we all need to understand that we have to be ready to control the events on the other side of this event. Here in Europe they have tried socialism since the war, they have borrowed money year after year with no intention of ever paying it back. I have already made up my mind that if any attempt is made to rescue the banks again I will be on the streets quick as a flash, the first time in my life. We need to keep government out of business. When Politicians and so called businessmen do deals that is when corruption starts and we begin to have our money stolen us the tax payer. The EU is full of crooks whose only interests is money and power.

    • antonio

      We have a bank here in Portugal called Espirito Santo (Bank of the Holy Spirit) would you believe. Last year it had a €3.5 billion hole in its finances. Bank of Portugal rescued it with a €4.5 billion bale out. In the book Banksters by Murphy/Devlin
      a whole chapter has been devoted to it and Murphy doesn’t mince his words. He says the governor of the bank should’ve been fired. Needless to say he hasn’t been. How can the people accept this in a climate of austerity? I suppose everyone is too concerned with making ends meet.

      • jox

        Fired? No. He should be in jail. Society has anesthesia.

        • Evil_shadow

          that’s too easy for them monsters :P. I say rope and hang’em all .

      • T.

        Governments are under the Control of the Big banks (BofP). Banks are their Source of Goodies (Digital Euros). Government will Not prosecute their sugar daddy.

      • Horiboyable .

        There is no democracy in Europe anymore and the only purpose of the ruling elite over there and here is ensuring that the Banksters get paid back. The whole of Europe needs to default and if the Politicians were smart they would start now so they can manage the process. It is going to happen anyway later this year but typically politicians like to be re-active instead of pro-active. What everyone will witness is the collapse of socialism. Lets hope we get democracy on the other side of this event. Unfortunately with many Police becoming militarized here and in the USA we might end up with authoritarianism. Look at the way most governments are acting at the moment under the guise of keeping external threats from us, collecting all emails, intercepting our phone calls, banks being made to report on its own citizens regarding money / gold movements. It feels like East Germany during the cold war. People had better wake up and start preparing to get involved in your communities and try and guide events towards freedom. They have already stolen billions from us last time to prop up their bankster friends so I don’t think your welfare are very high on their priorities. Banks finance political campaigns and sell government debt.

        • Considering History and human nature, what we will have on the other side is not Democracy, it is Dictatorship in Europe, and a new grand scale war to liquidate the “useless” of society (as seen by extreme ideology), impose restrictions and many “new rules” that Socialist Europe refused to put in place, etc, etc, etc. History will repeat… and the worse is that the people of Europe will ask for it somehow…

          The Pendulum Logic is that for any movement on one side, the pendulum will go as far on the other side… one extreme will lead to another extreme as a reaction before equilibrium is found (if it is ever found)

          • Horiboyable .

            Here in the Uk the government did not understand the anger on the street back in the riots of 2011. Sure there were folks that were just criminal but many folks were very angry that having bailed out the bankers underwritten by the taxpayers, that no banker has been jailed, that banks continually get off with fines for serious offences as fraud is raising peoples anger. In the Uk if they attempt another bank bailout or start confiscating individuals pensions like in Poland, Spain, Hungary and Greece there will be trouble on the streets. They cant expect citizens to accept cut backs when bankers are still getting million pound bonuses.

        • antonio

          Recently saw a documentary on “Goldman Sachs” courtesy Al Jazeera. Very enlightening. I didn’t know that Mario Draghi did a stint at GS. I’m sure facts like this will never be published by msm.

          • Horiboyable .

            Its a pity these days that you have to watch Al Jazeera and RT to get honest news. BBC Breakfast is utter rubbish.

    • T.

      Bobbies are now armed you know.

  • selaretus

    Unless you hold cash (in your actual possession, not in some criminal bank or credit union) or physical metal (not phony paper ‘futures’) you have nothing.

    • Stan

      “Cash”, is a Federal Reserve Note, which is a promise to pay what they believe money is worth according to the Federal Reserve…… Paper money is worthless (or quickly after) during a complete crash.

      • socalbeachdude

        Those are absurdly false assertions, dude.

        • T.

          Dude. Janet Yellen as much last Friday when she addressed the meeting of the Federal Reserve bank in San Francisco. This the first time in recorded history of the Fed that any Chair has Made Such a Statement of TRUTH.

          • socalbeachdude

            Huh?

          • T.

            You need to read up more. There is a Utube going viral from last week where Rick Santelli scolds her for her remark on his CNBC program.

          • socalbeachdude

            So what:? What difference does that make?

            As to Janet Yellen, who is Chairperson of the 7 member Board of Governors (BOG) of the Federal Reserve, she does not make any unilateral decisions at all at the Federal Reserve as all decisions there are made by CONSENSUS of the BOG and the FOMC.

          • T.

            Your type NEVER let’s the TRUTH interfere with believing your Bankster LIES.

          • socalbeachdude

            Your ignorance apparently has no bounds.

        • Gay Veteran

          BEWARE: socalSHILL is back shilling for the banks.

          everyone here knows their standard of living is going DOWN

    • socalbeachdude

      False.

  • Bill

    Texas economy is getting hammered ? A bit extreme isn’t it ? Don’t look at a bs chart call UHaul and ask for a price to tx from anywhere and look at the price from tx to the same place.

    • Bill

      Please change your user name. Disqus should not allow more than one to use the same username. I am the original Bill.

  • DJohn1

    Never, ever, think that an island population that does not have the capability to feed themselves will be a good place to be. Britain has been in that situation for a long time.
    I think New Zealand will get that way soon if too many people want to go there. Australia pretty much rules New Zealand, though the people living there don’t think so.
    Australia inhabits mostly the coastal areas. It is a dry place. I think water is at a premium in many of the interior places.
    I have studied an economy that went bust. It was South Korea in the 1960s. When they went under a lot of things happened. Those that owned warehouses and commodities actually were the winners. Because even though the money supply became next to worthless, the commodities stored in the warehouses made it a seller’s market.
    Those people eventually made a fortune selling those commodities to the highest bidders.
    What the government did was to make everything downsized. That made the equivalent of a dollar was now worth a dime. And a dime became the new cent. Anything under a dime became worthless except as a collector’s item.
    So if your wage is 100 dollars a week, you might be earning $10 a week instead.
    It will still be 100 dollars on paper. But it will be worth $10 from now on. After the things break down of course.
    We shifted like that in the 70s. With 10-12% inflation per year for almost 10 years. I bought a VW wagon in 1969. I bought it for 2,900 dollars on a loan and a trade in. In 10 years the same new vehicle was running around 8,000 dollars. Today, it would probably go for around 20,000. Housing went up as well. In 1968, I bought a house for 13,900. In just 3 years, it inflated to 18,900.
    Instead of it inflating all at once, it inflated gradually each year.
    Only a union was able to keep up the wages for a while.
    Eventually even that did not work.
    Reagan “fixed” it. He put money so tight that it squeaked. New loans were at a record 18% after he took office. Eventually this drove a lot of money into the country from abroad. No one was paying that kind of interest elsewhere. So the money flowed into the country while the people had their pockets picked with inflation.
    That is going to happen again. The eventual problem is that housing prices dived. Anyone with an assume-able loan could get up to 5k more than a similar home in the same area. At the time that was many VA Loans and FHA loans. Anyone with a conventional loan was in trouble.
    Under a conservative Republican regime, interest on money is going to go out of sight. The currency will still suffer. But the high interest will bring investors back here in groves.
    The easy money loaning of less than 5% on new home loans will disappear.
    People with money will be king. Because when the loan money dries up, only people with cash will be able to buy.
    I think the basics of transportation, food, clothing, housing will all be driven up by supply and demand.
    The problem really is that people’s wages will not be driven up with the inflation. So working will be an iffy situation as to whether or not it will be worth while. People will gradually realize that working is not a solution. When that happens supply and demand will drive wages up.
    My own thought is this will create the situation that starts World War III if we are not careful.

    • Nemnor

      “DJohn1″ – The info you put out in your post (above) is what that mass of the WORKING people in the USA and ALL over the world have been experiencing for several decades now. i.e. the cost of living keeps going up and up, while real disposable tends to remain stagnant, or even go down. This is the NATURAL character of the Capitalist economic system in the USA and virtually everywhere in the World. The Capitalist system, as it INEVITABLY goes into the monopoly/imperialist stage, is ultimately an UNSUSTAINABLE system, because the world-wide market and resources have a physical/practical LIMIT. Because of this LIMIT, imperialist Capitalism MUST have one or more major wars every 2 decades or so, in order to maintain itself. The wars are NEEDED in order to destroy much Capital and even destroy the lives of millions, so that the Capitalist system can have a “reconstruction boom” while it uses much propaganda to prevent (they hope) the mass of the WORKING people from rising up against the Capitalist system.

      • DJohn1

        We are not a capitalistic system.
        We are in a system of socialists.
        We used to be capitalists dating back as far as World War II. But starting with Roosevelt in the 30s we gradually have become socialist in the nature of our rules of government beginning with the sponsorship of Unionism and Social Security.
        The idea was to counter-balance a system gone wrong. Because even back then the world was divided into those that have money and those that do not. Those that have to work to survive and those that inherit huge sums of money by the accident of birth.
        What you are saying is straight out of Report from Iron Mountain by the Rand Corporation. This report was a study of the causes and ramifications of war. Probably still in the public library even though it was published in 1969 or 70.
        When people are better off on welfare than they are working. Namely laws that prohibit benefits to anyone making over a certain sum of money.
        That is socialism.
        When the medical profession bankrupts anyone not broke all ready with any major disease such as cancer, then you have a direct problem with people working to get ahead. The carrot is gone.
        Under medicaid guidelines, all of your financial resources must be exhausted before they step in. That is after 60 days of Medicare. You are allowed to keep a car no more than 2,000 dollars in value.
        When the government will support you to the tune of 6,000 dollars a month in a nursing home but only allow you under social security to survive on 800 a month out in the world.
        Where section 8 housing is a way of life.
        What you make in real life at a job has sunk to about 20,000 a year on average. Yet if you go over that amount you lose all benefits.
        Where income tax rules everything you do. If you happen to succeed they rob you of a lot of the income you might have made.
        There are exceptions few and far between. Microsoft is one of them.
        Where business is sunk by the IRS because it is too small to protect itself.
        That is not a Capitalist system. It is a system designed to keep the average person broken financially.

        I suggest that the only way around this kind of system is to change the rules of doing business back to something that provides an incentive to work.

  • A spartan woman

    Another economic collapse? Keep your money “under the mattress”. lol

  • socalbeachdude

    The GRAND GLOBAL DEPRESSION which started in August 2007 is now rapidly intensifying but is likely to turn around somewhat by around 2040 to 2050.

  • socalbeachdude

    So what? The US is not the most debt burdened currency ever at all. The most debt burdened currency by far is the Japanese Yen as Japan’s government debt ratio to GDP is 250% versus the vastly lower 105% US government debt to GDP. The US dollar will continue soaring upwards as it has been doing and is by far the most important and most stable currency in the world.

    • Gay Veteran

      yeah, soaring dollar will do wonders for our exports.
      idiot shill for the banksters

  • socalbeachdude

    Doug Noland has accurately pointed out the KEY BIG PICTURE issue facing the markets:

    Fundamentally, market-based Credit is unstable, with this era’s great experiment requiring progressive government intervention and manipulation. Providing robust incentives for leveraged speculation ensures mispriced Credit, loose Credit Availability and boom and bust dynamics. It also ensures an inflating pool of trend-following and performance-chasing finance.

    Incentivizing flows to the risk markets as opposed to savings only exacerbates the proclivity of markets toward destabilizing speculative excess. As we’ve witnessed over the years, mounting market distortions and associated fragilities have been met with only more aggressive policy measures. A breakdown in market pricing mechanisms is celebrated as a historic “bull market.”

    • T.

      Doug Nolan has been Wrong since 10 years before he left the Prudent Bear Fund. You are so Gullible.

      • socalbeachdude

        Doug Noland is one of the brightest and most accurate economists in the US today and has done an absolutely outstanding job presenting in great detail all of the issues facing the US and global economy as well as providing superb analysis of those issues.

        • T.

          No. He is and has been WRONG just like YOU are for more 13 years since I have been following him. You are BOTH Wrong.

          • socalbeachdude

            Those are totally false assertions. Wrong about what? What are you even talking about?

          • T.

            Totally true my friend. You need to go do your home work.

          • socalbeachdude

            As I stated, your vacuous and non-specific assertions are obviously totally false and do not even involve one single specific and merely preposterously and bogusly claim that everything that Doug or I have said is “wrong” which is not only totally false but extremely stupid and preposterous.

          • T.

            You TROLLS are PUTRID in your Evil assertions for the Banksters.

          • socalbeachdude

            Why another totally preposterous and utterly baseless assertion from you?

          • Gay Veteran

            BEWARE: socalSHILL is back shilling for the banks. His purpose is to DECEIVE you

        • ed

          socal please explain this shadow banking system and what its impact is on the world.

          • socalbeachdude

            SHADOW BANKING BIGGEST ECONOMIC CRISIS THREAT

            Reuters (Huw Jones): “Authorities are nowhere near to fully understanding ‘shadow banking’ as the $75 trillion sector morphs and grows under the influence of new technology and regulation, a top markets supervisor said…Shadow banking refers to the supply of credit outside traditional banks, such as from private equity investors, money market funds, insurers, repurchase agreements and securities lending.

            The Group of 20 economies (G20) agreed during the 2007-09 financial crisis that the opaque sector should be better supervised, fearing that as traditional banks become more regulated, risky lending activities would migrate there. But progress has been slow. ‘After 10 years of being a hot topic there isn’t a consensus yet,’ Ashley Alder, chief executive of Hong Kong’s Securities and Futures Commission, told a CityWeek conference.

            ‘Is it banking or is it part of market-based finance? What are we going to do about it? We are nowhere near the finishing line,’ he said. So far, regulators have limited themselves to tighter supervision of the sector and rules which make it more expensive for hedge funds and insurance companies to raise funds from loaning shares from the end of 2017.”

            Doug Noland has accurately pointed out the KEY BIG PICTURE issue facing the markets:

            Fundamentally, market-based Credit is unstable, with this era’s great experiment requiring progressive government intervention and manipulation. Providing robust incentives for leveraged speculation ensures mispriced Credit, loose Credit Availability and boom and bust dynamics. It also ensures an inflating pool of trend-following and performance-chasing finance.

            Incentivizing flows to the risk markets as opposed to savings only exacerbates the proclivity of markets toward destabilizing speculative excess. As we’ve witnessed over the years, mounting market distortions and associated fragilities have been met with only more aggressive policy measures. A breakdown in market pricing mechanisms is celebrated as a historic “bull market.”

          • ed

            socal, Not sure if you saw my post below as it was in the moderators cue for at least 15 hours. Please have a look and comment when you have time.

          • socalbeachdude

            SHADOW BANKING BIGGER THAN ACTUAL BANKING

            Bloomberg (by Christopher CondonIan Katz): “Federal Reserve officials, fresh from the latest round of tests designed to ensure the safety of the biggest banks, are now peering into the darker corners of the financial system as they assess the risks of another crisis. One source of concern: tighter regulation of banks is prompting more borrowers to seek funding through the $25 trillion shadow banking system — money-market mutual funds, hedge funds, brokerages and other entities that face fewer restrictions.

            ‘These institutions are a significant and growing source of credit in the economy,’ Dennis Lockhart, president of the Atlanta Fed, said… ‘They are part of an interconnected financial system that, in extreme circumstances, is prone to contagion.’

            Worldwide, shadow banking assets have grown, while banking assets stagnated, according to a report by the Financial Stability Board, a global group of regulators. Non-bank financial intermediation grew almost 7% to $75 trillion in 2013, the latest year for which figures are available, while banking assets declined less than 1% to $139 trillion.

            In the U.S., shadow banking — also known as market finance — grew almost 9% to $25.2 trillion in 2013, while banking assets increased almost 5% to $20.2 trillion

          • ed

            Why not place the same sort of regulations banks have on the shadow banking system? Wouldn’t that solve the problem?

          • socalbeachdude

            Yep, ed, and that is exactly what should be done ASAP.

          • ed

            thanks socal

      • retired22

        You reply to this guy & you just feed into his insanity!

  • socalbeachdude

    SHADOW BANKING BIGGER THAN ACTUAL BANKING

    Bloomberg (by Christopher CondonIan Katz): “Federal Reserve officials, fresh from the latest round of tests designed to ensure the safety of the biggest banks, are now peering into the darker corners of the financial system as they assess the risks of another crisis. One source of concern: tighter regulation of banks is prompting more borrowers to seek funding through the $25 trillion shadow banking system — money-market mutual funds, hedge funds, brokerages and other entities that face fewer restrictions.

    ‘These institutions are a significant and growing source of credit in the economy,’ Dennis Lockhart, president of the Atlanta Fed, said… ‘They are part of an interconnected financial system that, in extreme circumstances, is prone to contagion.’

    Worldwide, shadow banking assets have grown, while banking assets stagnated, according to a report by the Financial Stability Board, a global group of regulators. Non-bank financial intermediation grew almost 7% to $75 trillion in 2013, the latest year for which figures are available, while banking assets declined less than 1% to $139 trillion.

    In the U.S., shadow banking — also known as market finance — grew almost 9% to $25.2 trillion in 2013, while banking assets increased almost 5% to $20.2 trillion

    • John Higson

      Are all these things pre-written ? No normal human could write so many posts so fast.So,there’s more than one of you…..

      • socalbeachdude

        Huh? That is a quote from a Bloomberg article which is attributed accordingly. Helllooooooo?

        • Gay Veteran

          Helllllooooooooooo?
          socalSHILL is back shilling for the banks.

          • retired22

            It will get to the point where either this obnoxious turkey,social beach dud ,is thrown off of this site or everyone else will leave!

      • T.

        Yes. This Guy is a Bankster TROLL.

        • socalbeachdude

          False.

      • retired22

        This Jerk is back?
        He is like a disease.this beachdud was driving John Rubino’s Dollar Collapse site to distraction,…You couldn’t get a word in sideways without this guy butting in.Finally,I suppose,he was banned from there! He disappeared from the Dollar Collapse comment section & I hadn’t seen him for awhile till about 10 minutes ago.Now this character is spreading his infection to Economic Collapse!

  • socalbeachdude

    The Federal Reserve ALWAYS MATCHES THE FEDERAL FUNDS RATE IT SPECIFIES TO THE YIELD ON THE 3 MONTH US TREASURIES. The Federal Reserve DOES NOT SET ANY INTEREST RATES THAT MATTER IN THE US ECONOMY AT ALL.

    The only 3 rates that the Federal Reserve is involved with setting are:

    1) Federal Discount Rate – currently 0.75%

    2) Federal Funds Rate (which it influences) – currently 0.25%

    3) Federal Reserve IOER (Interest On Excess Reserves) – current 0.25%

    Both the Federal Discount and Federal Funds rates are only for VERY SHORT TERM LIQUIDITY PURPOSES AND APPLY ONLY TO BANK BORROWING, with the Federal Discount rate being for direct borrowing by banks from the Federal Discount Window at the Federal Reserve and the Federal Funds rate being for interbank borrowing.

    As to your review of interest rates, the Federal Funds Rate only applies to interbank lending at a rate (or rate range) specified by the Federal Reserve which the banks do not even have to follow. Any lending done under the Federal Funds rate must be done 1) strictly for liquidity purposes, 2) only on a very short term basis (typically overnight), and 3) on a fully collateralized basis. The Federal funds Rate has nothing to do with general interest rates in the US economy and is always keyed by the Federal Reserve off the 3 month US Treasury yield and that has always been the case and never deviates.

    As to Federal Reserve open market transactions which are referred to as TOMO (temporary) and POMO (permanent), they essentially have no relevance whatsoever today as BANKS ARE AWASH IN VAST EXCESS LIQUIDITY including the $3+ trillion they have as excess reserves in their excess reserves accounts inside the Federal Reserve as a result of QE.

    Banks NEVER GET ANY MONEY FROM THE FEDERAL RESERVE TO LEND TO ANYONE AT ALL AND NEVER HAVE GOTTEN ANY FUNDS FROM THE FEDERAL RESERVE TO LEND TO ANYONE in the entire history of the Federal Reserve.

    All the Federal Reserve does (or rather used to do) with TOMO and POMO is to INCREASE LIQUIDITY TO BANKS BY PURCHASING SECURITIES ALREADY OWNED BY THOSE BANKS FROM THOSE BANKS so they had more LIQUID CASH to lend rather than securities on their asset ledgers. There was never any “infusion” of funds to banks at all and BANKS NEVER HAVE OR HAD ANY NET GAINS AT ALL as a result of TOMO / POMO.

    Presently the US aggregate bank outstanding loans to customer deposits utilization ratio is a record low of 67% further confirming that BANKS ARE AWASH WITH VAST EXCESS LIQUIDITY (CASH) but very low demand for borrowing, so liquidity isn’t even slightly an issue these days.

    • T.

      You’re Nothing but a TROLL for the Banksters. Who’s your daddy JPM?

      • socalbeachdude

        What I stated above is 100% true and correct,

        As to JPMC, I am a Private Client Banking customer at JPMC and they are one of the best banks in the US and the world.

        • T.

          Since YOU are being PAID by them – Of course they are one best (CRIMINAL) banks in the world.

          • socalbeachdude

            Why are you continuing to make BLATANTLY FALSE and extraordinarily stupid assertions>?

        • Gay Veteran

          in other words JPMC is paying socalSHILL

  • Ranier Wolfcastle

    YAWN… how long have you been saying the exact same thing? Four years now? Something like that?

    • socalbeachdude

      This situation has been getting MASSIVELY WORSE FOR THE ENTIRE PAST 35 YEARS and the resulting crashes will now be catastrophically worse than if the economies of the US and globally had corrected as they should have during those past 35 years rather than being propped up with bogus policies and an unprecedented credit / debt bubble that has now resulted in over $200 trillion of global debt now in 2015.

  • Richard O. Mann

    Honestly, there really is no place in this world where you can go to get away from what is coming. When the US economy does the crash and burn thing, the world will follow. Throw in what we have going on in the Middle East, and well, you may has well just make yourself comfy right were you are. If you have your own private island, and have everything needed to live there, you may make it a bit longer than others. But, sooner or later, this world as we know it is going to go up in smoke.

  • EconomyTrap

    Hyperinflation happens when the demand for the US dollar drops (i.e. country’s stop using it to trade goods and services). When demand for the dollar is high, the purchasing power remains, but when demand drops, and there’s too much supply (FED Over printing), then the value of the dollar drops (i.e. purchasing power falls)…China is creating a new World bank system, and many countries are jumping on board…This will lead to a major drop in demand for the US Dollar.
    As a result, the powers to be will go to War…plan on seeing some false flag staged attack against the US, then a media blitz to go to War (possibly WWIII)…all with the real intention of keeping the Elites’ Bretton Woods system intact.

    • socalbeachdude

      False. China is the most EGREGIOUS MONEY AND CREDIT CREATOR IN THE WORLD AND CREATED A $23 TRILLION MONEY AND CREDIT BUBBLE over the past 10 years despite the fact that its economy is less than 50% the size of the US economy in which the Federal Reserve has only increased the MONETARY BASE BY AROUND $3 TRILLION during the same period of time.

      China is a ludicrous, laughable, and preposterous CREDIT BUBBLE WRECKAGE. The renminbi has ZERO CREDIBILITY AS A CURRENCY. Are you not aware that China “printed” $23 trillion in renminbi over the past 10 years and that China is BY FAR THE MOST EGREGIOUS MONEY PRINTER IN THE WORLD.

      During the same time that China increased its money supply by $23 TRILLION, the Federal Reserve only increased the MONETARY BASE (not the money supply) in the US by $3 trillion China’s economy is about HALF THE SIZE OF THE US.

      China has NO BANKING OPERATIONS IN THE US other than a single branch of the PBOC in New York with a very limited correspondent branch in Los Angeles.

      China created over $23 TRILLION IN NEW MONEY to do so making China by far the MOST EGREGIOUS MONEY PRINTER IN THE WORLD and they created an unprecedented debt bubble as a result of their unprecedented credit and money creation spree and it is now imploding.

      • EconomyTrap

        Spoken like a true serf protecting his lords…Just goes to show how desperate people are getting for a buck.
        You did not touch upon my comment once, only went on some tangent to make the point that China Banking is bad and Federal Reserve is good?
        My point is the demand for the US dollar is dropping at a faster rate, especially with Chinas new reserve currency they are creating, now with 47 countries on board. When the demand for the dollar drops because no one wants to use the dollar as a reserve currency, what happens to the value idiot? If the value drops, that means the purchasing power drops as well… We will never again see the growth and prosperity that was enjoyed in the 50’s – 90’s because of Keynesianism and centrally planned economics brought to you by your feudal lords.

        • socalbeachdude

          False. Demand for the US dollar has NEVER BEEN STRONGER THAN IT IS TODAY which is why the US dollar is literally soaring and up 25% in its exchange rate on the DXY over the past year.

          The US dollar is again soaring and is now at 98.55 on the DXY and will soon be well above 100 and on its way to the 120 to 140 range and perhaps as high as 164 while that yellow yuck is plunging and is now down below $1,182 and rapidly on its way to its mean of $456 per ounce and then lower towards its current US government official price of $42.22 per ounce.

          Happy days are truly here again!

  • robbie41

    New Bank Bail-in Rules.
    2015.

    Don’t forget about the New Bank Bail-in Rules, Because YOU have NO IDEA / CLUE, that YOUR MONEY in the BANK is no longer YOURS & will be GONE.. The bank’s have changed the rules again in their FAVOR & now are able to & will confiscate & steal your Pensions, 401k’s, Retirement Account’s & your BANK ACCOUNT’S,Checking Account’s, & Safe Deposit Boxes, then they will come after the Hard Asset’s. (when the next Derivatives Bubble Pops.) (Remember, ONLY keep just enough money in YOUR bank account’s to PAY YOUR BILL’S & KEEP the rest OUT of the BANK, PERIOD).. 1. $18 =TRILLION DOLLAR DEFICIT.

    2. THE ENTIRE GDP OF THE UNITED STATES= APPROXIMATELY $20 TRILLION DOLLARS.

    3. THE ENTIRE GDP OF THE PLANET EARTH= APPROXIMATELY $65 TRILLION DOLLARS.

    4. $240 =TRILLION DOLLAR UNFUNDED LIABILITIES.

    5. THE ESTIMATED DERIVATIVES DEBT= $1.5 QUADRILLION DOLLARS.

    6. THE ANNUAL TAX REVENUE COLLECTIONS BY THE IRS= $2 TRILLION DOLLARS = (YEARLY).

    UNEMPLOYED AMERICANS OUTNUMBER EMPLOYED AMERICANS!

    WE ARE IGNORING THE BANKSTER ELEPHANT IN THE ROOM..

    The last day of the Shemitah is Sept 13, 2015..

    ( Jade Helm 15 ) Jade Helm, a “realistic” military training exercise which will involve the Green Berets, Navy Seals, and the 82nd Airborne Division, is set to take place from July 15-/ Sepember 15 / and will cover at least nine U.S. states.. Ends Sept 15, 2015, then shortly afterwards comes impeding Martial Law in America.. Your Pastor Will Know the Date of Martial Law Implementation.. I also HOPE YOU have prepared & have 3-4 MONTHS worth of FOOD, WATER, BATHROOM, & MEDICAL SUPPLIES on hand, (Your Going to Need IT )..

    • socalbeachdude

      False.

  • robbie41

    New Bank Bail-in Rules.

    2015.

    Don’t forget about the New Bank Bail-in Rules, Because YOU have NO IDEA / CLUE, that YOUR MONEY in the BANK is no longer YOURS & will be GONE.. The bank’s have changed the rules again in their FAVOR & now are able to & will confiscate & steal your Pensions, 401k’s, Retirement Account’s & your BANK ACCOUNT’S,Checking Account’s, & Safe Deposit Boxes, then they will come after the Hard Asset’s. (when the next Derivatives Bubble Pops.) (Remember, ONLY keep just enough money in YOUR bank account’s to PAY YOUR BILL’S & KEEP the rest OUT of the BANK, PERIOD)..Since your money may or may not be in large banking institutions, the bank sees it now as—- no longer YOUR MONEY..Hopefully Credit Unions are not effected..

    1. $18 =TRILLION DOLLAR DEFICIT.

    2. THE ENTIRE GDP OF THE UNITED STATES= APPROXIMATELY $20 TRILLION DOLLARS.

    3. THE ENTIRE GDP OF THE PLANET EARTH= APPROXIMATELY $65 TRILLION DOLLARS.

    4. $240 =TRILLION DOLLAR UNFUNDED LIABILITIES.

    5. THE ESTIMATED DERIVATIVES DEBT= $1.5 QUADRILLION DOLLARS.

    6. THE ANNUAL TAX REVENUE COLLECTIONS BY THE IRS= $2 TRILLION DOLLARS = (YEARLY).

    UNEMPLOYED AMERICANS OUTNUMBER EMPLOYED AMERICANS!

    WE ARE IGNORING THE BANKSTER ELEPHANT IN THE ROOM..

    The last day of the Shemitah is Sept 13, 2015..

    ( Jade Helm 15 ) Jade Helm, a “realistic” military training exercise which will involve the Green Berets, Navy Seals, and the 82nd Airborne Division, is set to take place from July 15-/ Sepember 15 / and will cover at least nine U.S. states.. Ends Sept 15, 2015, then shortly afterwards comes impeding Martial Law in America.. Your Pastor Will Know the Date of Martial Law Implementation.. I also HOPE YOU have prepared & have 3-4 MONTHS worth of FOOD, WATER, BATHROOM, & MEDICAL SUPPLIES on hand, (Your Going to Need IT )..

    I see a pattern here, ever since the OCT 19, 1987 stock market crash, I notice a seven year stretch between crashes in the stock market. So will this Sept 11,2015 be another day that continues the seven year cycle? Well just have to wait & see..Also notice that the event’s are getting MORE Precise & Intense, with each passing seven years.. Just think of the Possibilities.. If YOU prepare, YOU shall not fear..

    1. Black Monday October 19th 1987

    2. (1994 Bond Market Crash )

    3. Black Tuesday Sept. 17, 2001

    4. Black Monday Sept. 29, 2008

    5. Black Friday Sept 11, 2015 ( Elul 29 ) The Mystery of the Shemitah

    FOOD, WATER, & MEDICAL SUPPLIES.. —-PRICELESS..

    I did MY homework, & tried to find the TRUTH, How about YOU..

    May the good lord Jesus look after you & your family, stay safe & may GOD BLESS YOU ALWAYS..

    • socalbeachdude

      Those are utterly bogus and absurdly false assertions.

  • rentslave

    Tax exempt bonds fell about 18 per cent last time vs 50-60 per cent for stocks.States will pay the interest because they’ll never be able to again borrow if they default.

    • socalbeachdude

      States and municipalities are required by the terms of their bonds to PAY PRINCIPAL AND INTEREST DUE ON THE BONDS ON A FIRST DOLLAR BASIS before spending money for any other purpose.

  • socalbeachdude

    Bogus.

  • victor

    It’s Elul 29th.
    Checkout Jonathan Cahn on U tube. The resetting of the Shemitah, where all debts are wiped clean.
    About the other stuff mentioned, it’s his take on things.
    Really all we can do is Trust the Lord and see what happens.
    If You need more info, be glad to share with You.
    In all this, what really matters is if we have a life of faith in Jesus Christ.
    We don’t know about tomorrow, look at the poor people killed on that plane, all because of someone else’s evil.

    • T.

      You are absolutely correct. This is MY take on things. The important item is the Month and Not the Day.

  • Nene

    Not to forget, the global out output of carbon dioxide has fallen for the first time since the 2008 recession, as it has done in every recession for the last several decades..though, mostly this time, as a result of decline in china.

  • Priszilla

    With consumer goods there is also market saturation.
    In the early 90s I visited a Chinese manufacturer of refrigerators. They told me they make about 1.5 million fridges per year, about 10% of what China makes.
    Now, with a fridge remaining in the household for 10 or 15 years, when will they reach market saturation if they only grow by 10% each year?
    And the same goes for every other consumer good.

  • Ranier Wolfcastle

    Love how Michael just goes in and deletes any comments that criticize his clickbait blogging techniques.

    This is the same crap he’s been saying for YEARS now. Same. Exact. Thing.

  • Nemnor

    “DJohn1″ – The info you put out in your one of your posts is what that mass of the WORKING people in the USA and ALL over the world have been experiencing for several decades now. i.e. the cost of living keeps going up and up, while real disposable tends to remain stagnant, or even go down. This is the NATURAL character of the Capitalist economic system in the USA and virtually everywhere in the World. The Capitalist system, as it INEVITABLY goes into the monopoly/imperialist stage, is ultimately an UNSUSTAINABLE system, because the world-wide market and resources have a physical/practical LIMIT. Because of this LIMIT, imperialist Capitalism MUST have one or more major wars every 2 decades or so, in order to maintain itself. The wars are NEEDED in order to destroy much Capital and even destroy the lives of millions, so that the Capitalist system can have a “reconstruction boom” while it uses much propaganda to prevent (they hope) the mass of the WORKING people from rising up against the Capitalist system.

    • socalbeachdude

      That has nothing to do with “capitalism” but rather with “GLOBALISM” where labor is used in the most efficient and least costly ways. Helllllllllllllooooooooooooo?

  • patriot6992

    Will not leave, will not surrender. This country is worth the struggle. Wherever you run too, tyranny will find you.

  • Cyber Revengeance

    you can’t just show similar charts and say it is same as the previous time. This time oil price drop is because of over production.

    some people say commodity like gold can save the wealth.
    Then why is it falling in price and dollar rising.
    While you keep saying dollar domination will end. then why is it increasing value when things are getting bad.

  • ed

    Socal you are a God D*mned financial rock star in my book and very entertaining to boot!

    • socalbeachdude

      Thank you, ed!

  • GSOB

    We always carry around in our body the death of Jesus, so that the life of Jesus may also be revealed in our body.

  • nekksys

    It’s nice that you can read a bit and find a way to insult a dead man but I’m still not seeing any answers to my questions…

    1) What IS money? Not currency… Money… What is Money???

    2) What gives money value? Not a government’s say-so… What is the real, tangible, underlying commodity that gives money value?

    3) If the dollar is so strong, what gives the dollar value? Not because it’s traded. Trading dollars can stop and that will wreck the value. So what real, tangible asset underpins the dollar and gives it real, measurable value??

    If you can’t answer the questions, that’s OK. I’m sure your freshman economics professor will understand.

    • socalbeachdude

      MONEY IS LEGAL TENDER CURRENCY AND NOTHING ELSE.

      • nekksys

        You still haven’t answered the questions…

        Keep swallowing that Kool-Aid. Let me know how that works out for you…

        • socalbeachdude

          Your “questions” are as bogus as a $3 Euro, dude or dudette.

          • nekksys

            In other words, you don’t know. It’s OK to admit you don’t know everything surrounding economics.

            No one here expects you to be perfect.

            Except you. Have a nice life!!!

          • socalbeachdude

            MONEY IS LEGAL TENDER CURRENCY AND NOTHING ELSE AND WHAT GIVES ITS VALUE IS THE NOMINAL AMOUNT STATED CLEARLY ON IT AND WHAT GIVES IT ITS VALUE IS THAT IT IS UNIVERSALLY ACCEPTED AS PAYMENT FOR ANY AND ALL TRANSACTIONS.

          • nekksys

            In other words, “because the government says so…”

            Shill.

          • socalbeachdude

            Well, that’s the way it is with money and that’s the way it will always be with money regardless as to whether you like it or not. Start dealing with ACTUAL REALITY than than bizarre and absurd notions regarding money which have no relevance whatsoever in the world today.

          • nekksys

            Shill…

  • Fights coming

    probably the best indicator of what the ‘government’ is planning is to simply look at their exercises. they always run exercises in areas where they’re up to no good such as london bombings, 9/11, boston bombing, and on and on it goes. the latest exercise is huge involving southwest states and is lasting months giving plenty of time to ummm cough cough conveniently have something happen while they justtttttt happen to be conducting exercises in the same area and gosh darn are we all lucky they were there… not!

  • socalbeachdude

    We now have a MASSIVE GLOBAL OIL GLUT and the only that has come to an end is peak pricing.

Rapture Verdict Ad1
Ready Made Resources 2015
New Self Defense Tool
High Blood Pressure?

Silver.com

MHSale_micheal
Lifestraw
Economic Collapse Investing
Lifesilver
Panama Relocation Tours
The 1 Must Own Gold Stock
The Babylon Code
180x350
Marzulli Gift Offer
Coach David
Solar Wholesale
Karatbars
Credible Warning
theeconomiccollapseblog_160x160_01
ProphecyHour
Facebook Twitter More...