The Economic Collapse

When hundreds of America’s admirals and generals gathered at a military base in Virginia on September 30th, Secretary of Defense Pete Hegseth instructed them to “prepare for war”.  Unfortunately, he was not exaggerating.  We are on the brink of war with Venezuela, President Trump is threatening to take military action if Hamas does not disarm, our relations with China are rapidly deteriorating, and if we give Tomahawk cruise missiles to Ukraine that will put us just one step away from a nuclear war with Russia.  I am entirely convinced that the months ahead will be extremely dramatic.  Let us hope that global leaders make wise decisions during this time, because a single miscalculation could lead to the unthinkable. (Read More...)

What do you think is going to happen when tens of millions of impoverished Americans suddenly stop getting their food stamp money from the government? It doesn’t take a genius to figure out that a lot of them will be extremely angry. Unfortunately, if the current government shutdown stretches into the month of November, we really will be facing a nightmare scenario. Vast numbers of extraordinarily frustrated people will be demanding their money, and if they don’t get it I have a feeling that we could see rioting and violence. (Read More...)

Was this just an isolated incident, or is this the beginning of the Big Crash?  The carnage that we witnessed on Friday was absolutely breathtaking.  The largest single day wipeout in the history of the cryptocurrency industry was accompanied by a tech bloodbath of epic proportions.  Many investors that were very highly leveraged got absolutely monkey-hammered.  In particular, wave after wave of forced liquidations caused a cascading cryptocurrency crash that was unlike anything that we have ever seen before.  Approximately 19.2 billion dollars in leveraged positions were suddenly liquidated, and as a result the collective value of all cryptocurrencies fell by almost 800 billion dollars in just 24 hours… (Read More...)

Did we just witness the economic trigger event that will cause the dramatic stock market crash that we were just warned about?  On Friday, U.S. stock prices absolutely plummeted once President Trump announced that China’s new rare earth export restrictions would be countered by “a massive increase” in tariffs on Chinese imports into the United States.  If tariff rates go above 100 percent, many Chinese-made goods that are currently filling our stores will no longer travel across the Pacific at all.  In addition, whatever does come over from China will cost a lot more.  For example, you may have noticed that many things that were priced at $1.25 at Dollar Tree are now priced at $1.50 or $1.75.  Of course this is just the beginning.  Once the new tariff rates on Chinese-made goods go into effect, we will see price shocks like we have never seen before. (Read More...)

Are the financial markets about to be greatly shaken? The housing market is imploding, corporate bankruptcies are surging, there are all sorts of warning signs in the employment market, and much of the population is feeling our seemingly endless cost of living crisis very keenly. But so far the stock market has seemed immune to the growing problems that are plaguing the real economy. We have witnessed an AI-driven stock market boom in recent months, and those at the top of the economic pyramid have greatly benefited. (Read More...)

It is exciting to see the price of gold soar to unprecedented levels, but we should also be horrified by what is happening to the U.S. dollar.  For years, many of us warned that debasing our currency was a really bad idea.  There are two primary ways that our leaders have done this.  Firstly, we have added more than 27 trillion dollars to the national debt since 2009.  Borrowing money that we do not have and pumping it into the economy temporarily raises our standard of living, but it also debases our currency.  Secondly, the Federal Reserve created trillions of dollars out of thin air and used it to buy bonds.  A lot of pundits hailed “quantitative easing” as a wonderful thing when it was introduced, but it has had very serious consequences.  Now the wealthy are swimming in cash, but the value of our currency has plummeted and our standard of living has crashed.  The first half of 2025 was the worst first half of a year for the U.S. dollar in more than 50 years.  In other words, the purchasing power of your money has gone way down. (Read More...)

During the weeks ahead, I will be watching Israel and Iran like a hawk.  Prior to the 12 day war between Israel and Iran earlier this year, it was clear that something was up.  Now we are witnessing similar signs, and many experts are concerned that the very fragile ceasefire that was agreed to at the end of the 12 day war could soon collapse.  Iran is rebuilding their nuclear sites and is telling western countries that there will be no more negotiations.  On the other side, the U.S. and Israel have both pledged that Iran will not be allowed to rebuild their nuclear program.  In fact, on Sunday President Trump publicly threatened to bomb Iran again… (Read More...)

Chaos has erupted on the streets of America.  We used to talk about civil unrest and political violence as threats that would be coming in the future, but now they have become reality.  And of course the domestic terror crisis that we are now dealing with is just one element of “the perfect storm” that we are now facing.  As economic conditions continue to deteriorate and as global events continue to go haywire, domestic terrorism will get even worse.  The groups that are committing acts of domestic terror are very highly organized, and they are recruiting more crazed lunatics with each passing day. (Read More...)