A new “mystery disease” that causes “burning eyes” has already spread to hundreds of people in India

The outbreak of a mysterious new disease in India is creating quite a stir, because so far medical authorities have not been able to identify what is causing it.  Hundreds of very sick people in the city of Eluru have been brought to the hospital, and at least one victim has already died.  Unlike COVID-19, this illness seems to be hitting children particularly hard.  Some of them “started vomiting after complaining of burning eyes”, and quite a few victims have been gripped by seizures and have been “frothing at the mouth”.  Whatever this is, it seems pretty serious.

But before I go any further, I want to make it very clear that I believe that it is very important that we don’t jump to any conclusions.

Very few disease outbreaks end up developing into global pandemics.  In November, a mystery disease that caused very ugly sores on the skin was reported in Senegal, and we were being told that more than 700 fishermen had been affected.  But since that time that outbreak appears to have fizzled out.  I have been searching for an official explanation for what happened to those fishermen, but so far I have not been able to find one.

This new outbreak in India could also fizzle out very rapidly.  We just don’t know.  But whenever a new disease comes along that the medical establishment cannot identify, it is worth watching.  I believe that we have entered a period of time when global pestilences will become a lot more common, and so any story like this will immediately grab my attention.

Initially, we were told that approximately 300 people had been affected by this new mystery disease.  The following comes from CNN

An unidentified illness has hospitalized more than 300 people in southeastern India, including one who has died, according to local officials investigating the cases.

Patients in the city of Eluru, in the state of Andhra Pradesh, reported a range of symptoms including seizures, loss of consciousness and some nausea over the weekend, said Dolla Joshi Roy, the district surveillance officer of Eluru’s West Godavari District.

Subsequently, the number of victims that required hospitalization was increased to 450

Officials in India are working to identify an illness that has hospitalized 450 people with symptoms ranging from nausea and anxiety to loss of consciousness.

At least one person, a 45-year-old man, has died because of the illness in Eluru, a town in the southern Indian state of Andhra Pradesh, the Press Institute of India reported.

Once someone is affected by this mystery illness, things seem to progress rather rapidly.  As I noted above, a number of the victims said their eyes felt like they were “burning” before they began vomiting…

“The people who fell sick, especially the children, suddenly started vomiting after complaining of burning eyes,” a medical officer at Eluru Government Hospital told The Indian Express. “Some of them fainted or suffered bouts of seizures. Some were in critical condition when they were brought in on Saturday, but now all of them are safe.”

Other symptoms include anxiety, nausea, and loss of consciousness, according to AP News. So far, one 45-year-old man was admitted to the Government General Hospital in Eluru with seizures and narcolepsy and has since died on Sunday evening, the only reported death related to the illness.

In addition, there are reports that some of the victims were “frothing at their mouths”

The affected persons were developing fits and frothing at their mouths and collapsing. A 70-year-old woman collapsed while cooking while a 12-year-old girl developed fits during a visit to a temple.

The good news is that so far there has only been one death and a lot of the victims have improved so much that they have already been released from the hospital.

But the bad news is that authorities have been completely unable to determine what is causing this disease.

Since India is having such a problem with COVID, all of the patients were immediately tested for the virus and all of the tests came back negative.

So this new mystery disease does not appear to be related to the COVID pandemic at all.

Water pollution was also suspected as a potential cause, but so far all of the water samples that have been tested haven’t revealed anything out of the ordinary

“We ruled out water contamination or air pollution as the cause after officials visited the areas where people fell sick. Water samples were sent for testing and no contamination was found. Blood samples of the patients have been sent to labs. No viral infection has been detected,” Srinivas told The Indian Express. “It is some mystery illness and only lab analysis will reveal what it is.”

Hopefully there is some sort of really simple explanation and we won’t even be talking about this a week from now.

Having said that, we should definitely be on the alert for more disease outbreaks around the globe.  There have been killer pandemics all throughout human history, and scientists assure us that there will be more killer pandemics in our future.

In our time, the threat of pandemics is greater than ever, because on top of the threat of naturally occurring pandemics we also are facing the threat of man-made pandemics.

Thanks to our advanced technology, it has become so incredibly easy to tinker around with extremely deadly bugs, and a great plague could literally be released at any moment anywhere in the world.

My hope is that the outbreak of  this new mystery disease in India does not develop into something larger, and so far it does not fit the profile of the sort of future pandemic that I warned about in my new book.

But that does not necessarily mean that we can relax.

Nobody saw the Black Death coming in the Middle Ages, but it ultimately wiped out approximately 25 million people.

Nobody saw the Spanish Flu pandemic coming either, and that killed at least 50 million people.

It is just a matter of time before the next great killer pandemic comes along, and we may be closer to that day than most people would dare to imagine.

***Michael’s new book entitled “Lost Prophecies Of The Future Of America” is now available in paperback and for the Kindle on Amazon.***

About the Author: My name is Michael Snyder and my brand new book entitled “Lost Prophecies Of The Future Of America” is now available on Amazon.com.  In addition to my new book, I have written four others that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned)  By purchasing the books you help to support the work that my wife and I are doing, and by giving it to others you help to multiply the impact that we are having on people all over the globe.  I have published thousands of articles on The Economic Collapse BlogEnd Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe.  I always freely and happily allow others to republish my articles on their own websites, but I also ask that they include this “About the Author” section with each article.  The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions.  I encourage you to follow me on social media on FacebookTwitter and Parler, and any way that you can share these articles with others is a great help.  During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with as many people as we possibly can.

Airstrikes, Tanks Heading To The Border And Planes Shot Down – India And Pakistan Are In A State Of War

War has erupted in Asia.  India is the second largest country in the world by population, and Pakistan is the fifth largest, and they both possess large nuclear arsenals.  If this conflict continues to escalate, things could get really, really bad very quickly.  On Wednesday, military aircraft were shot down by both sides, there was shelling across the border by both armies, and in recent hours videos have been posted of Pakistani tanks and Indian tanks both heading to the border.  Once one army crosses the “Line of Control”, it is going to be very difficult to get the two sides to sit down at the negotiating table.  War is one of the elements of “the perfect storm” that I have been warning you about, and I have a feeling that this is just the beginning of the conflict that we are going to see in 2019.

The Pakistani military was greatly embarrassed by the successful Indian airstrikes on Monday, and on Tuesday military aircraft from both sides were shot down

Earlier today Pakistan and India said they had shot down each other’s warplanes, in a dramatic escalation of the dangerous confrontation between the nuclear-armed rivals.

Pakistan said it downed two Indian jets in its airspace and captured two pilots, later amended to one: whom they then seemingly paraded – blindfolded and bloodied – for the camera.

On Tuesday evening, Islamabad used heavy calibre artillery to shell 12 to 15 places along the Indian side creating panic among the populace on the border where bunkers are being hastily thrown up to ease their fears.

When the Indian pilot that was shot down was discovered by locals in Pakistan, they started beating the living daylights out of him.  The following comes from the Mirror

The brief clip shows the cameraman approach a group of people huddled around the stricken pilot in what appears to be a small creek.

The pilot, whose arms are being held above his head, is struck in the face twice before being kicked in the back of the head, with someone behind him appearing to attempt to knee him.

The Pakistani military was able to rescue the pilot from the locals, and they are now holding him in a detention facility.

In addition to airstrikes, it is being reported that both armies “have been shelling across the LoC (Line of Control)”.  Needless to say, a lot of civilians that live along the border are really freaked out, and on the Indian side of the border a total of 14,000 bunkers are hastily being constructed to give concerned citizens some shelter.

Most westerners don’t really think of India and Pakistan as prominent global military powers, but the truth is that they both have very large standing armies.  And at this point India is allocating even more money than the UK toward military spending…

India, home to 1.3 billion people, has a conventional army of about 1.4 million soldiers. Pakistan, with a population of over 200 million people, has about 650,000 troops. Both countries have spent billions developing conventional arms. Last year, Pakistan spent about $11 billion or about 3.6 percent of its gross domestic product on defense. India meanwhile allocated about $58 billion, or 2.1 percent of its GDP on defense, according to the International Institute for Strategic Studies. India’s ballooning military spending has propelled it to the world’s fifth-biggest defense spender, surpassing the United Kingdom, according to the IISS.

But the big concern is that this crisis could go nuclear.

If India and Pakistan fought a war and it stayed strictly conventional, the rest of the world would probably not be affected too much.

However, it is being reported that India and Pakistan both “possess more than 100 nuclear warheads each”, and if such weapons are actually used the global impact would be “devastating”…

Both India and Pakistan are believed to possess more than 100 nuclear warheads each and have conducted atomic weapon tests. Both countries have test-fired nuclear-capable missiles. Pakistan also has refused to renounce a first-strike option with its atomic bombs should it feel outgunned in a conventional war. It takes less than four minutes for a missile fired from Pakistan to reach India. The Bulletin of Atomic Scientists warns that “computer models have predicted that the physical impacts of a nuclear exchange between India and Pakistan, or even a single strike on a large city, would be devastating and would reverberate throughout the world.”

Approximately one out of every five people on the entire planet lives in either India or Pakistan.

So the death toll in a nuclear conflict between these two nations could result in a death toll that would be unimaginable.

And let us not forget that it looks like the U.S. is about to enter another new war as well.  In an article that I posted yesterday, I discussed the fact that Russian Security Council Secretary Nikolai Patrushev has just accused the United States of shipping troops to Colombia and Puerto Rico in preparation for an invasion of Venezuela.  China has come out very strongly against western military intervention in Venezuela, and the Russians already have special forces there.

If someone makes the wrong move, it could end up sparking World War 3.

We are living in one of the most pivotal times in all of human history, and most people don’t even realize it.

If India backs down, Pakistan will probably be willing to go to the negotiating table.  But if India’s tanks cross the Line of Control, Pakistan may feel forced to resort to using nukes because they can’t match India’s military strength, and then all hell could break loose.

Similarly, if the U.S. backs down and doesn’t arm the opposition in Venezuela, there probably won’t be a bloody war in that nation.  But if the U.S. arms the opposition and decides to invade on top of that, it is going to unleash a series of negative consequences that we will not be able to control.

Critical decisions are being made right now that are going to greatly alter our future, and let us hope that cooler heads prevail.

Get Prepared NowAbout the author: Michael Snyder is a nationally-syndicated writer, media personality and political activist. He is the author of four books including Get Prepared Now, The Beginning Of The End and Living A Life That Really Matters. His articles are originally published on The Economic Collapse Blog, End Of The American Dream and The Most Important News. From there, his articles are republished on dozens of other prominent websites. If you would like to republish his articles, please feel free to do so. The more people that see this information the better, and we need to wake more people up while there is still time.

Major Currencies All Over The World Are In “Complete Meltdown” As The $63 Trillion EM Debt Bubble Implodes

The wait for the next global financial crisis is over.  Major currencies all over the planet are in a “death spiral”, many global stock markets are crashing, and economic activity is beginning to decline at a stunning rate in quite a few nations.  Over the past 16 years, the emerging market debt bubble has grown from 9 trillion dollars to 63 trillion dollars.  Yes, you read that correctly.  Now that emerging market debt bubble is imploding, and as a result emerging market currencies all over the globe are in “complete meltdown”.  In fact, at least 20 different currencies have fallen by double-digit percentages against the U.S. dollar so far in 2018, and nobody is quite sure what is going to happen next.

You may be tempted to think that this must be a good thing for the United States since the value of the U.S. dollar has been rising, but it is not.

During the “boom years”, trillions of dollars were borrowed by emerging market economies, and a high percentage of those loans were denominated in U.S. dollars.  Now that their currencies are crashing, it is going to take much more local currency to service those U.S.-denominated debts, and a whole lot of them are going to start going bad.

That means that many financial institutions here in the United States and over in Europe are going to end up holding enormous piles of bad debt, and the losses could potentially be astronomical.

The dominoes are starting to fall, and even the mainstream media is admitting that what we are facing is really bad.  For example, the following comes from a CNBC article entitled “The emerging market crisis is back. And this time it’s serious”

The crisis has engulfed countries across the globe — from economies in South America, to Turkey, South Africa and some of the bigger economies in Asia, such as India and China. A number of these countries are seeing their currency fall to record levels, high inflation and unemployment, and in some cases, escalating tensions with the United States.

When I say that the world has been on the greatest debt binge in human history since the last financial crisis, I am not exaggerating one bit.

The emerging market debt bubble is now three times larger than it was in 2007, and it is seven times larger than it was in 2002.  Here is more from CNBC

Emerging markets are also heavily plagued by debt and a stronger dollar makes it tougher for them to pay this debt. The latest data from the Institute of International Finance shows that debt in emerging markets including China increased from $9 trillion in 2002 to $21 trillion in 2007 and finally to $63 trillion in 2017.

Of course this bubble was going to burst.

Anyone with half a brain should have been able to see that.

Now we have a full-blown crisis on our hands, and nobody seems to have any idea how to solve it.

As Charles Hugh Smith has observed, emerging market currencies all over the globe “are in complete meltdown”…

As the chart below illustrates, a great many currencies around the world are in complete meltdown. This is not normal. Nations that over-borrow, over-spend and print too much of their currency to generate an illusion of solvency eventually experience a currency crisis as investors and traders lose faith in the currency as a store of value, i.e. the faith that it will have the same (or more) purchasing power in a month that it has today.

This is the chart that Charles Hugh Smith referenced in that quote…

I am not sure that I even have the words to describe financial carnage of that magnitude.

Since the financial markets are not crashing here in the United States yet, most Americans do not really seem to be concerned about this crisis at this point.  But that is a mistake.  This meltdown has started with the weaker nations, but ultimately what we are witnessing is an “unraveling” of the entire global financial system

The fact that so many currencies are melting down at the same time is telling us the global financial system is unraveling, and unraveling fast. This is a symptom of a fatal disease. Currencies reflect all sorts of financial information; they’re akin to taking an economy’s pulse: trade balances, debt levels, interest rates, central bank policies, fiscal policies, and so on.

The global financial system is inter-connected, but this is not a viable excuse for the meltdown. The general explanation floating around is that currency weakness is like the flu: one currency gets it, and then it spreads to other weak currencies.

This diagnosis is misleading. What’s actually happening is the unprecedented global bubble of debt and assets of the past decade is popping, and it’s laying waste to the most indebted, over-leveraged and mismanaged nations first, either via stock market declines or meltdowns in currencies.

Earlier today, we learned that the South African economy has officially plunged into a new recession.  This crisis is spreading very quickly, and the United States won’t be immune from what is happening.  This is a point that Charles Hugh Smith made very well as he wrapped up his most recent article

The illusion that the U.S. is immune to the unraveling of debt and asset valuations won’t last. When the defaults start piling up, so will the losses, and when asset bubbles pop, incomes and spending decline. Although few seem to notice, almost half the profits of the S&P 500 corporations are earned overseas.

The belief that U.S. markets are somehow disconnected from global markets and immune to the repricing of risk, debt, assets and currencies is magical thinking.

I am entirely convinced that we have reached a major turning point.

For several years it has seemed like things have been getting “better”, but it was largely an illusion.  Our ridiculously high standard of living was financed by the greatest debt binge in the history of the world, and it was inevitable that a day of reckoning would arrive.

Now that day of reckoning is knocking on the door, and our society is completely and utterly unprepared for what is going to happen next.

This article originally appeared on The Economic Collapse Blog.  About the author: Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

Economic Doom Returns: Emerging Market Currencies Collapse To Record Lows As Global Financial Chaos Accelerates

After a little bit of a lull, the international currency crisis is back with a vengeance.  Currencies are collapsing in Argentina, Brazil, India, Turkey and other emerging markets, and central banks are springing into action.  It is being hoped that the financial chaos can be confined to emerging markets so that it will not spread to the United States and Europe.  But of course the global financial system is more interconnected today than ever before, and a massive wave of debt defaults in emerging markets would inevitably have extremely serious consequences all over the planet.  It would be difficult to overstate the potential danger that this new crisis poses for all of us.  Emerging market economies went on an unprecedented debt binge over the past decade, and a high percentage of those debts were denominated in U.S. dollars.  As emerging market currencies collapse, it is going to become nearly impossible to service any debts denominated in U.S. dollars, and that could ultimately mean absolutely enormous losses for international lenders.  Our system tends to do fairly well as long as everybody is paying their debts, but once the dominoes begin to tumble things can get messy really quickly.

Let’s start our roundup today with India.  While India is currently not in as bad shape as some of the other emerging markets, the truth is that they could get there pretty rapidly if they keep going down this path.

On Thursday, concerns about rising oil prices drove the Indian rupee to a brand new all-time record low

The Indian rupee fell to a record low on Thursday morning, following a declining trend all year — which economists attributed to rising oil prices, broader emerging market concerns, and strong month-end dollar demand.

It slid to 70.8100 against the dollar, after a previous new low just a day before at 70.475. That marked a 10.97 percent decline since the start of the year.

But at least India is doing much better than Argentina.

The Argentine peso collapsed to another all-time record low on Thursday, and at this point it has fallen more than 45 percent against the U.S. dollar so far this year…

The Argentine peso crashed to record lows on the news. It saw steep losses in the previous session and collapsed another 15 percent to hit 39 pesos against the U.S. dollar on Thursday morning.

The peso is down more than 45 percent against the greenback this year, exacerbating pre-existing fears over the country’s weakening economy while inflation is running at 25.4 percent this year.

As Wolf Richter has noted, the Argentine peso was worth one U.S. dollar in 2002.

Today, it is worth 2.4 cents.

That is what a collapse looks like.

In an desperate attempt to stop the bleeding, the Argentine central bank raised interest rates to 60 percent

On Thursday, the central bank said it was increasing the amount of reserves that banks have to hold, in a bid to tighten fiscal policy and shore up the currency. It hiked rates by 15 percentage points to 60 percent from 45 percent and promised not to lower them at least until December.

Yes, I know that looks like a misprint, but it is not.

Interest rates in Argentina have not been raised to 6 percent.  They have been raised to 60 percent.

Could you imagine what 60 percent interest rates would do to the U.S. economy?

Well, we will get there someday if we don’t change our ways, because we are going down the exact same path that Argentina has gone.

Things continue to get even worse in Turkey as well

The risks are fast multiplying in Turkey’s beleaguered economy. In a clear sign of deterioration, Turkey’s economic confidence index plunged 9% month-on-month to 83.9 points in August, its lowest since March 2009. The country’s currency, the Lira, resumed its downward spiral. And Moody’s downgraded 20 financial institutions in Turkey.

The financial nightmare in Turkey is the gift that just keeps on giving.  Their entire system is in the process of imploding, and President Erdogan seems to be in a persistent state of panic these days.

Also on Thursday, the Brazilian central bank directly intervened in the market to keep their currency from plunging to another new all-time record low…

The bloodbath in Argentina and Turkey is evident in Brazil also where Bloomberg reports that the central bank just intervened for the first time since June 22.

BCB reportedly intervened at 4.20 “to provide liquidity” adding that intervention intensity and frequency will depend on the market. The BCB also attempted to provide some confidence by reaffirming that monetary policy is not directly linked to recent market shocks.

A global financial crisis has begun, but because it has not really affected the United States too much yet, the mainstream media and most Americans aren’t really paying any attention.

But if the markets start crashing here too, then it will suddenly be all over the news.

Most people are aware that most of the biggest stock market crashes in U.S. history have happened in the fall, and the calendar is about to turn to the month of September.

We have definitely entered a “danger zone”, and more shocks seem to hit the global economy with each passing day.  For example, we just learned that President Trump apparently intends to follow through on his threat to hit the Chinese with another 200 billion dollars in tariffs

Bloomberg reported Thursday that Trump had told aides that he wants to follow through on a threat to impose tariffs on another $200 billion worth of Chinese goods as early as next week. That would mean more than half of all Chinese imports would be subject to tariffs.

The tariffs could go into effect after the public-comment period ends on September 6.

Of course the Chinese will retaliate, and that will mean more disruption for the global economic system.

Many people believe that the U.S. economy is much stronger than it was in 2008, and that we will be able to easily weather any shocks that come along.

Unfortunately, that is not true at all.

The truth is that all of our long-term problems are much worse than they were in 2008, and the stage is definitely set for an economic disaster of unprecedented proportions.

This article originally appeared on The Economic Collapse Blog.  About the author: Michael Snyder is a nationally syndicated writer, media personality and political activist. He is publisher of The Most Important News and the author of four books including The Beginning Of The End and Living A Life That Really Matters.

‘You’re Fired – Now Train Your Much Cheaper Foreign Replacement’

Fired - Photo by XonecaIf you were laid off from your job, would you be willing to train your replacement if your company threatened to take away your severance pay if you didn’t do it?  And how would you feel if your replacement came from India, and the only reason your company was replacing you was because the foreign worker was a lot less expensive?  Sadly, this is happening all over America – especially in the information technology field.  Huge corporations such as Disney and Southern California Edison are coldly firing existing tech workers and filling those jobs with much cheaper foreign replacements.  They are doing this by blatantly abusing the H-1B temporary worker visa program.  Workers that had been doing a solid job for decades are being replaced without any hesitation just because it will save those firms a little bit of money.  There is very, very little loyalty left in corporate America today.  Even if you have poured your heart and your soul into your company for years, that ultimately means very little.  The moment that your usefulness is over, most firms will replace you in a heartbeat these days.

When I learned that Disney was doing this, I was absolutely outraged.  Talk about a company that is going down the toilet.  The following comes from the New York Times

While families rode the Seven Dwarfs Mine Train and searched for Nemo on clamobiles in the theme parks, these workers monitored computers in industrial buildings nearby, making sure millions of Walt Disney World ticket sales, store purchases and hotel reservations went through without a hitch. Some were performing so well that they thought they had been called in for bonuses.

Instead, about 250 Disney employees were told in late October that they would be laid off. Many of their jobs were transferred to immigrants on temporary visas for highly skilled technical workers, who were brought in by an outsourcing firm based in India. Over the next three months, some Disney employees were required to train their replacements to do the jobs they had lost.

I just couldn’t believe they could fly people in to sit at our desks and take over our jobs exactly,” said one former worker, an American in his 40s who remains unemployed since his last day at Disney on Jan. 30. “It was so humiliating to train somebody else to take over your job. I still can’t grasp it.

Honestly, I don’t think that I could do it.

I don’t think that I could train my much cheaper foreign replacement.

But if you are the average American that is just barely scraping by from paycheck to paycheck, I guess complete and total humiliation is better than losing your home to foreclosure.

Out on the west coast, Southern California Edison did the exact same thing that Disney did.  The following is an excerpt from a Fox News report

Anonymous workers who were displaced by the visa holders also submitted written testimonials to lawmakers detailing their firings. Several claimed they were forced to train their replacements, and threatened with losing their severance if they did not.

We had no choice in this,” one anonymous worker who claimed to have been one of those let go from Southern California Edison, said in a letter. The worker described how when the two vendors were picked – Infosys and TCS, both major Indian companies – SCE employees were told to “sit with, video chat or do whatever was needed to teach them our systems.”

If they did not cooperate, according to the testimonial, “we would be fired and not receive a severance package.”

That is wrong on so many levels.  But this is what corporate America has become today – a cold, heartless place that has absolutely no empathy for the average worker.

These workers at Southern California Edison were even told that the firm “could replace one of us with three, four, or five Indian personnel” and still save money on the deal

They told us they could replace one of us with three, four, or five Indian personnel and still save money,” one laid-off Edison worker told me, recounting a group meeting with supervisors last year. “They said, ‘We can get four Indian guys for cheaper than the price of you.’ You could hear a pin drop in the room.”

The original intent of the H-1B temporary worker visa program was to allow U.S. companies to import foreign workers to do jobs that they were unable to fill with American workers.

But that is not what is happening.

Instead, the H-1B temporary worker visa program is being used to replace thousands upon thousands of well paid American workers.

It is a disgusting practice and it needs to stop.  There has been so much outrage over this that it has even gotten the attention of the U.S. Senate.  The following is from a letter that a bipartisan group of U.S. Senators sent to the Attorney General

A number of U.S. employers, including some large, well-known, publicly-traded corporations, have reportedly laid off thousands of American workers and replaced them with H-1B visa holders.  To add insult to injury, many of the replaced American employees report that they have been forced to train the foreign workers who are taking their jobs. This troubling practice seems to be particularly concentrated in the information technology (IT) sector, which is not surprising given that sixty five percent of H-1B petitions approved in FY 2014 were for workers in computer-related occupations.  Though such reports of H-1B-driven layoffs have been circulating for years, their frequency seems to have increased dramatically in the past year alone.

So has anything been done about this?

Of course not.

Instead, Barack Obama is working on an extremely secretive global economic treaty which will reportedly allow far more foreign workers to come into this country and which will result in millions more good paying jobs being shipped overseas.  It is called “The Trans-Pacific Partnership”, and it is basically NAFTA on steroids.

Why is it that Barack Obama has to be on the wrong side of every single issue?

The U.S. middle class is being systematically ripped to shreds, and most Americans are showing very little alarm about this.

How much damage has to be done before people will finally start waking up?

Are We On The Verge Of A Massive Emerging Markets Currency Collapse?

Currency CollapseThis time, the Federal Reserve has created a truly global problem.  A big chunk of the trillions of dollars that it pumped into the financial system over the past several years has flowed into emerging markets.  But now that the Fed has decided to begin “the taper”, investors see it as a sign to pull the “hot money” out of emerging markets as rapidly as possible.  This is causing currencies to collapse and interest rates to soar all over the planet.  Argentina, Turkey, South Africa, Ukraine, Chile, Indonesia, Venezuela, India, Brazil, Taiwan and Malaysia are just some of the emerging markets that have been hit hard so far.  In fact, last week emerging market currencies experienced the biggest decline that we have seen since the financial crisis of 2008.  And all of this chaos in emerging markets is seriously spooking Wall Street as well.  The Dow has fallen nearly 500 points over the last two trading sessions alone.  If the Federal Reserve opts to taper even more in the coming days, this currency crisis could rapidly turn into a complete and total currency collapse.

A lot of Americans have always assumed that the U.S. dollar would be the first currency to collapse when the next great financial crisis happens.  But actually, right now just the opposite is happening and it is causing chaos all over the planet.

For instance, just check out what is happening in Turkey according to a recent report in the New York Times

Turkey’s currency fell to a record low against the dollar on Friday, a drop that will hit the purchasing power of everyone in the country.

On a street corner in Istanbul, Yilmaz Gok, 51, said, “I’m a retiree making ends meet on a small pension and all I care about is a possible increase in prices.”

“I will need to cut further,” he said. “Maybe I should use my natural gas heater less.”

As inflation escalates and interest rates soar in these countries, ordinary citizens are going to feel the squeeze.  Just having enough money to purchase the basics is going to become more difficult.

And this is not just limited to a few countries.  What we are watching right now is truly a global phenomenon

“You’ve had a massive selloff in these emerging-market currencies,” Nick Xanders, a London-based equity strategist at BTIG Ltd., said by telephone. “Ruble, rupee, real, rand: they’ve all fallen and the main cause has been tapering. A lot of companies that have benefited from emerging-markets growth are now seeing it go the other way.”

So why is this happening?  Well, there are a number of factors involved of course.  However, as with so many of our other problems, the actions of the Federal Reserve are at the very heart of this crisis.  A recent USA Today article described how the Fed helped create this massive bubble in the emerging markets…

Emerging markets are the future growth engine of the global economy and an important source of profits for U.S. companies. These developing economies were both recipients and beneficiaries of massive cash inflows the past few years as investors sought out bigger returns fostered by injections of cheap cash from the Federal Reserve and other central bankers.

But now that the Fed has started to dial back its stimulus, many investors are yanking their cash out of emerging markets and bringing the cash back to more stable markets and economies, such as the U.S., hurting the developing nations in the process, explains Russ Koesterich, chief investment strategist at BlackRock.

“Emerging markets need the hot money but capital is exiting now,” says Koesterich. “What you have is people saying, ‘I don’t want to own emerging markets.'”

What we are potentially facing is the bursting of a financial bubble on a global scale.  Just check out what Egon von Greyerz, the founder of Matterhorn Asset Management in Switzerland, recently had to say…

If you take the Turkish lira, that plunged to new lows this week, and the Russian ruble is at the lowest level in 5 years. In South Africa, the rand is at the weakest since 2008. The currencies are also weak in Brazil and Mexico. But there are many other countries whose situation is extremely dire, like India, Indonesia, Hungary, Poland, the Ukraine, and Venezuela.

I’m mentioning these countries individually just to stress that this situation is extremely serious. It is also on a massive scale. In virtually all of these countries currencies are plunging and so are bonds, which is leading to much higher interest rates. And the cost of credit-default swaps in these countries is surging due to the increased credit risks.

And many smaller nations are being deeply affected already as well.

For example, most Americans cannot even find Liberia on a map, but right now the actions of our Federal Reserve have pushed the currency of that small nation to the verge of collapse

Liberia’s finance minister warned against panic today after being summoned to parliament to explain a crash in the value of Liberia’s currency against the US dollar.

“Let’s be careful about what we say about the economy. Inflation, ladies and gentlemen, is not out of control,” Amara Konneh told lawmakers, while adding that the government was “concerned” about the trend.

Closer to home, the Mexican peso tumbled quite a bit last week and is now beginning to show significant weakness.  If Mexico experiences a currency collapse, that would be a huge blow to the U.S. economy.

Like I said, this is something that is happening on a global scale.

If this continues, we will eventually see looting, violence, blackouts, shortages of basic supplies, and runs on the banks in emerging markets all over the planet just like we are already witnessing in Argentina and Venezuela.

Hopefully something can be done to stop this from happening.  But once a bubble starts to burst, it is really difficult to try to hold it together.

Meanwhile, I find it to be very “interesting” that last week we witnessed the largest withdrawal from JPMorgan’s gold vault ever recorded.

Was someone anticipating something?

Once again, hopefully this crisis will be contained shortly.  But if the Fed announces that it has decided to taper some more, that is going to be a signal to investors that they should race for the exits and the crisis in the emerging markets will get a whole lot worse.

And if you listen carefully, global officials are telling us that is precisely what we should expect.  For example, consider the following statement from the finance minister of Mexico

“We expected this year to be a volatile year for EM as the Fed tapers,” Mexican Finance Minister Luis Videgaray said, adding that volatility “will happen throughout the year as tapering goes on”.

Yes indeed – it is looking like this is going to be a very volatile year.

I hope that you are ready for what is coming next.

Wheelbarrow of Money

18 Signs That Massive Economic Problems Are Erupting All Over The Planet

Volcano Eruption - Mount RedoubtThis is no time to be complacent.  Massive economic problems are erupting all over the globe, but most people seem to believe that everything is going to be just fine.  In fact, a whole bunch of recent polls and surveys show that the American people are starting to feel much better about how the U.S. economy is performing.  Unfortunately, the false prosperity that we are currently enjoying is not going to last much longer.  Just look at what is happening in Europe.  The eurozone is now in the midst of the longest recession that it has ever experienced.  Just look at what is happening over in Asia.  Economic growth in India is the lowest that it has been in a decade and the Japanese financial system is beginning to spin wildly out of control.  One of the only places on the entire planet where serious economic problems have not already erupted is in the United States, and that is only because we have “kicked the can down the road” by recklessly printing money and by borrowing money at an unprecedented rate.  Unfortunately, the “sugar high” produced by those foolish measures is starting to wear off.  We are going to experience a massive amount of economic pain along with the rest of the world – it is just a matter of time.

But for the moment, there are a lot of skeptics out there.

For the moment, there are a lot of people that are declaring that the problems of the past have been fixed and that we are heading for incredibly bright economic times ahead.

Unfortunately, those people appear to be purposely ignoring the economic horror that is breaking out all over the globe.

The following are 18 signs that massive economic problems are erupting all over the planet…

#1 The eurozone is now in the midst of its longest recession ever.  Economic activity in the eurozone has declined for six quarters in a row.

#2 Italy’s economy has now been contracting for seven quarters in a row.

#3 Industrial production in Italy has fallen for 15 months in a row.  It has now fallen to its lowest level in about 25 years.

#4 The number of people that are considered to be “seriously deprived” in Italy has doubled over the past two years.

#5 Consumer confidence in France has just hit a new all-time low.

#6 The number of unemployed workers seeking a job in France has hit a brand new all-time record high.  Many unemployed workers in France are utterly frustrated at this point…

“I’ve sent CVs everywhere, I come to the unemployment agency every day, for 3 or 4 hours to look for work as a truck driver and there’s never anything,” said 42-year old Djamel Sami, who has been unemployed for a year, leaving a job agency in Paris.

#7 Unemployment in the eurozone as a whole has just hit a brand new all-time record high of 12.2 percent.

#8 Youth unemployment continues to soar to unprecedented heights in Europe.  The following is from an article that was recently posted on the website of the Guardian that detailed how bad things are getting in some of the worst countries…

In Greece, 62.5% of young people are out of work, in Spain it’s 56.4%, then Portugal with 42.5%, and then Italy with 40.5%.

#9 Youth unemployment is being partially blamed for the worst rioting that Sweden has seen in many years.  The following is how the Daily Mail described the riots…

Sweden is reeling after a third night of rioting in largely run-down immigrant areas of the capital Stockholm.

In the last 48 hours violence has spread to at least ten suburbs with mobs of youths torching hundreds of cars and clashing with police.

It is Sweden’s worst disorder in years and has shocked the country and provoked a debate on how Sweden is coping with youth unemployment and an influx of immigrants.

#10 An astounding 10 percent of all banking deposits were pulled out of banks in Cyprus during the month of April alone.

#11 Economic growth in India is the slowest that it has been in an entire decade.

#12 Suddenly Australia is experiencing some tremendous economic challenges.  The following quotes are from a recent Zero Hedge article

-“We’re seeing a much sharper contraction in the Australian economy than we’d anticipated four or five months ago”. Coffey MD, John Douglas. The engineering group has seen its shares, which traded above $4 in 2007, hit 10c last week.

-“By 10am, the Fitness First gym in the city is packed full of brokers who’ve had a gutful of sitting at their desk doing nothing – salary cuts are starting and next it will be jobs” Perth broker

-“Oh mate, the funding market is dead. You are now seeing a few deeply discounted rights issues for those that are reaching desperate levels ….. liquidity has completely disappeared” Perth broker

#13 The financial system in Japan is beginning to spin wildly out of control.  The Japanese stock market has now declined about 15 percent from the peak, and many believe that the yen will continue to get weaker and that interest rates in Japan will start to rise significantly.

#14 Global cash flow is declining at a rate not seen since the last recession.  This indicates that we could be headed for a global credit crunch.

#15 Real wages continue to decline in the United States.  Even though we are being told that the U.S. is experiencing an “economy recovery”, real weekly earnings have declined from $297.79 in 2010 to $295.49 in 2011 to $294.83 in 2012.  (The preceding calculation is based on 1982-1984 dollars)

#16 Wall Street is buzzing about the fact that “the Hindenburg Omen” appeared at the end of last week.  So exactly what is “the Hindenburg Omen”?  The following are the criteria that are used to determine whether it has appeared or not…

1. The daily number of NYSE new 52 Week Highs and the daily number of new 52 Week Lows must both be greater than 2.2 percent of total NYSE issues traded that day.

2. The smaller of these numbers is greater than or equal to 69 (68.772 is 2.2% of 3126). This is not a rule but more like a checksum. This condition is a function of the 2.2% of the total issues.

3. That the NYSE 10 Week moving average is rising.

4. That the McClellan Oscillator ( a market breadth indicator used to evaluate the rate of money entering or leaving the market and interpretively indicate overbought or oversold conditions of the market)is negative on that same day.

5. That new 52 Week Highs cannot be more than twice the new 52 Week Lows (however it is fine for new 52 Week Lows to be more than double new 52 Week Highs).

When the Hindenburg Omen makes an appearance, it supposedly means that the U.S. stock market is likely to experience a serious decline within the next 40 days.

#17 As I wrote about the other day, the SentimenTrader Smart/Dumb Money Index is now the lowest that it has been in more than two years.  That means that lots of “smart money” has been getting out of the market and lots of “dumb money” has been pouring in.

#18 Margin debt on the New York Stock Exchange has set a new all-time high.  The following is from a recent Market Oracle article

Margin debt—that’s the amount of money borrowed to purchase stocks—on the New York Stock Exchange (NYSE) reached its all-time high in April. Margin debt on the NYSE registered at $384.3 billion as the key stock indices hit new record-highs. (Source: New York Stock Exchange web site, last accessed May 29, 2013.) The highest margin debt ever reached prior to this was in July of 2007, when it stood just above $381.0 billion. At that time, just like today, the key stock indices were near their peaks and “buy now before it’s too late” was the prominent theme of the day

Whenever margin debt spikes like this, a stock market crash almost always follows.  If you doubt this, just check out the chart in this article.

Wall Street has had a good couple of years, but it has been a “false prosperity” that has been pumped up by reckless money printing by the Federal Reserve.  Just like all of the other stock market bubbles that we have seen in recent years, this one is going to burst too.  And as Marc Faber recently pointed out, this bubble has been particularly beneficial to the wealthy…

The Fed has been flooding the system with money. The problem is the money doesn’t flow into the system evenly. It doesn’t increase economic activity and asset prices in concert. Instead, it creates dangerous excesses in countries and asset classes. Money-printing fueled the colossal stock-market bubble of 1999-2000, when the Nasdaq more than doubled, becoming disconnected from economic reality. It fueled the housing bubble, which burst in 2008, and the commodities bubble. Now money is flowing into the high-end asset market – things like stocks, bonds, art, wine, jewelry, and luxury real estate.

Money-printing boosts the economy of the people closest to the money flow. But it doesn’t help the worker in Detroit, or the vast majority of the middle class. It leads to a widening wealth gap. The majority loses, and the minority wins.

The fact that the U.S. stock market has set new all-time record high after new all-time record high in recent months means very little.  At this point, the stock market has become completely divorced from economic reality.  When this current bubble bursts, the adjustment is going to be very painful.  Wall Street will likely whine and complain and ask for more bailouts, but they may find that authorities are not nearly as sympathetic this time.

Much of the rest of the world is already experiencing the next major wave of the economic collapse.  Reckless money printing by the Fed and reckless borrowing and spending by the federal government may have delayed the inevitable in the United States for a little while, but those measures have also made our long-term problems even worse.

There was one piece of advice that Ben Bernanke included in his commencement speech to students at Princeton recently that I thought was particularly ironic…

“Don’t be afraid to let the drama play out.”

Will he take his own advice when the next great financial crisis strikes the United States?

That seems very unlikely.

Unfortunately, things are not going to be so easy to fix this next time.

What happened back in 2008 was just a preview.

What is coming next is going to absolutely shock the world.