This is The End Game! Storm is Coming 2019-2020

By theUnderground (from around the web)

People need to understand the threat is at their doorstep. It’s not a few years off or a decade away; it’s here now. We are right in the middle of collapse.

The appearance of prosperity means nothing if the fundamentals do not support the optimism.

Most people simply don’t understand the gravity of the situation.  Nothing was ever fixed after the last financial crisis.  Instead, we went on the greatest debt binge that humanity has ever seen, and central banks started creating trillions of dollars out of thin air and recklessly injected that hot money into the financial system.

Our financial system is based on a pyramid of debt, and we have allowed Wall Street to operate like a giant casino.  Our entire economy has essentially become a colossal Ponzi scheme.

Debt brings consumption from the future into the present, and so it increases short-term economic activity at the expense of long-term financial health.

Here we all are; stuck together in a world awash with credit. $250 trillion in debt. Four times that amount in unfunded liabilities. And a mind-bogglingly massive amount of tangled financial derivatives roughly the same size as both those debts and liabilities put together. 

So now we are in the terminal phase of the largest financial bubble in human history, and there is no easy way out.

And that is why our leaders have been piling on the debt and global central banks have been recklessly creating money.

Today, we are all supposed to quietly believe that the economy is in ‘recovery.’

Trump’s trade policies are leading to economic meltdown

I have previously warned my readers that the damage caused by this trade war would get progressively worse the longer that it lasts.

Many companies have been trying to ride it out, but eventually the money runs out and layoffs start happening…

Anyone who thought that this trade war would not have very serious consequences was just fooling themselves.  According to one source, tariffs paid by U.S. businesses are up 45 percent compared to a year ago.

According to the nonpartisan Tax Policy Center, almost half of the benefits from Trump’s proposed tax cuts go to the top 1% of income earners.

Trump’s fiscal stimulus fueled inflation more than it did growth. Inflation then forced the Federal Reserve to hike up interest rates sooner and faster than it otherwise would have done, which drove up long-term interest rates and the value of the dollar still more.

This undesirable policy mix of excessively loose fiscal policy and tight monetary policy has tightened financial conditions which is causing stock markets to crash around the world.

This crash will be unlike anything the world has ever seen. Put simply, there has never been this much debt in the system (hundreds of trillions worldwide), so there will be no historical precedence for the crash. 

When the U.S. economy collapses, you will not have access to credit.

As occurred during the last crisis, we are likely to see some traditional financial institutions and even national governments become insolvent. They can print money in an attempt to stop the bleeding, but this inevitably leads to high inflation or hyperinflation.

(The FDIC currently only holds enough reserve for 40% of the nations current depositors, which is pointless anyway since the dollar will have no value)

Banks will close. Demand will outstrip supply of food, gas and other necessities. If the collapse affects local governments and utilities, then water and electricity will no longer be available. As people panic, they would revert to survival and self-defense modes.

A U.S. economic collapse will create global panic. Demand for the dollar and U.S. Treasurys will plummet. Interest rates will skyrocket. Investors will rush to other currencies, such as the yuan, euro or even gold. It will create not just inflation, but hyperinflation as the dollar became dirt cheap.

This is The End Game! Trump is part of their Plan! Storm is Coming 2019-2020

Trump is looking for an excuse to declare martial law, send troops into the streets, strip us of our freedoms, and quickly cancel the upcoming 2020 elections – keeping Trump in power until he passes the crown to one of his children.

If things are already hot between Trump and Mueller, they may soon be about to go nuclear if a report that the president’s children Don Jr. and Ivanka are now on the hit list.

Meryl Streep has warned that people should be afraid because President Trump‘s children are ‘in jeopardy’ and he may be willing do ‘anything’ to get them out of trouble. 

‘I’m scared by [Trump]. By his possibility. I empathize with him. I can’t imagine what his 3am is like. There is a gathering storm. Everybody feels it. He feels it. His children are in jeopardy and I feel that. I think, what if my children were jeopardy? I would do anything. Anything! To get them out of trouble. So we should be afraid,’ Streep said on stage. 

A July op-ed in the New York Times laid out “Trump’s Road to American Martial Law,”  while Salon used a quote from Trump ghostwriter turned foe Tony Schwartz to speculate about the worst case scenarios of the Trump years, including the president “temporarily suspending” the 2020 election and ordering a massive military crackdown.

Trump cannot continue to do what he is doing. Troops cannot be kept on a continual state of alert with no action plan. Trump and his children will benefit from a false flag incident. The only way that the President is going to survive this crisis, is to declare martial law.

Rep. Louie Gohmert (R-Texas) suggested that President Donald Trump might have to declare martial law along the southern border of the United States to prevent a large group of Central American refugees and migrants from entering the country.

Gohmert appeared Tuesday on the “Todd Starnes Radio Show,” a Fox News program, to discuss the so-called migrant caravan, a group of thousands of migrants currently seeking asylum.

“This has got to be so massive, I mean, you might have to declare martial law along the border,” Gohmert said. “And the Democrats have been to stupid to realize that encouraging this caravan they may actually empower the president to do things they never wanted.” 

A  spider’s web is being woven by President Trump and his cronies to stay in power and crack down on non-believers.

On Friday’s broadcast of HBO’s “Real Time,” host Bill Maher said that when President Trump talks about the left being an angry mob, it “sounds like he’s setting up” implementing martial law.

Maher stated, “I’m frightened because Trump talks every day about us in some way, the enemy of the people is the press, talks about — that we’re an angry mob. I mean, when you talk about angry mob, that sounds like he’s setting up, at some point, ‘We’re going to need martial law until we find out what the hell is going on.’”

The Nobel laureate economist Edmund S. Phelps has described Trump’s direct interference in the corporate sector as reminiscent of corporatist Nazi Germany and Fascist Italy.

The CIA is the undisputed all-time world champion of orchestrating coups. And Trump trust the CIA so much that he promoted from within (Gina Haspel), restored CIA black sites and authorized the torture of anyone he deems to be a terrorist threat or a democrat or a journalist.

It smells to me like the CIA and Donald Trump are trying to start a “color revolution” in the US, just like they’ve done in numerous foreign countries.

It’s an old game. Get control of government, set up and control secret military agencies that effectively operate outside the law to become your personal goon squad, then control illegal industries like gambling, drugs, arms and prostitution. Anyone who has closely studied the origins and operations of the CIA will know that the agency has barely ever or never represented the American people, and in 1953 quickly grew (under the control of JFK assassination mastermind Allen Dulles) into a private hitman group to protect the interests and investments of the wealthy.

Corrupt government is the tool by which corporations can extort goods and labor from a population as well as exert force to subdue rebellion. It is highly unlikely that the global reset will result in a collapse of government. On the contrary, it is usually during economic collapse that governments grow in power to the point of totalitarianism.

We are entering a time when the economy was likely to slow down anyway, but if stocks continue to crash and global banking woes escalate, that is going to spread fear and panic like wildfire. 

The stock markets worst enemy is unpredictability and Trump is considered to be very unpredictable. Can you feel it? How greed is now giving way to fear?

As the next great depression hits it will be unlike anything we have lived through before. Nothing will be as it seems and only those that have the resources to adapt will come through it whole.

Preparation is the key to adapting to future events and those without resources will reap a bitter harvest as they struggle to survive. No announcements will be made, no warnings will be given by the establishment, it will just suddenly happen out of the blue and everyone will say it was unpredictable. But those who prepared will know better. 

Those who trust in government or only live for today will reap what they sow and it will be unpleasant at best if they survive at all. A simple strategy to insure you do not suffer does not have to be expensive or complicated. The best plans are simple and allow you to adapt to the changing times. 

History shows, pundits obsess over what precisely triggers a crash, as if that matters. It doesn’t, because ’cause’ of a bubble’s bursting can be anything

Click for more: How to fight the NWO

Click for more: How to Prepare

Click for more: Survival skills  

The stock market, the greatest false indicator of all time, is on the verge of implosion; and the banking elites are positioning themselves to avoid blame for this implosion while the rest of us are being sold on the most elaborate recovery con-game ever conceived.

This is the age old strategy of Centralization; to remove all choices within a system, by force or manipulation, until the masses think they have nothing left but the choices the elites give them.

In our highly interdependent system in the West in which more than 80 percent of the population has been domesticated and is psychologically incapable of self-reliance, it is very likely that a disruption of normal supply chains and services would result in considerable poverty and death. Such a threat would invariably lead frightened and unprepared people to demand increased government controls so that they can return to the level of comfort they have grown accustomed to.

While the initial scenario we face in America will be one of stagflation, many necessities and the means to produce those necessities will skyrocket in cost. There may not be inflation in every sector of the economy because imploding demand could offset some of the effects of falling currency value, but there will be extreme inflation in the areas that hurt common people most.

Super markets will be stripped bare. Civil riots will break out over the lack of food! People will begin to know the aching, clawing sensation of true hunger. And it will happen across America and the nations of the world very soon.

Remember, the markets always surge before the crash. We’ve had the surge, so we know what comes next.

When the U.S. economic collapse occurs, it will happen quickly. Get prepared now.

Click for more: How to fight the NWO

Click for more: How to Prepare

Click for more: Survival skills 

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As the US Economy Collapses, What Will Happen and How to Prepare

By Christopher R Rice (from around the web), TheUnderground

Future historians are likely to identify the Bush administration’s rash invasion of Iraq as the start of America’s downfall.

The causes of a crash like this are many and varied. While most media sources tend to report on things in terms of a simplistic dichotomy (this or that), reality tends to be more complex

The World Economic Forum ranked the United States at a mediocre 52nd among 139 nations in the quality of its university math and science instruction in 2010.

I have previously warned my readers that the damage caused by this trade war would get progressively worse the longer that it lasts.  

Many companies have been trying to ride it out, but eventually the money runs out and layoffs start happening… 

Anyone who thought that this trade war would not have very serious consequences was just fooling themselves.  According to one source, tariffs paid by U.S. businesses are up 45 percent compared to a year ago.

Most people simply don’t understand the gravity of the situation.  Nothing was ever fixed after the last financial crisis.  Instead, we went on the greatest debt binge that humanity has ever seen, and central banks started creating trillions of dollars out of thin air and recklessly injected that hot money into the financial system.

Flooding the market with trillions of new fiat currency units and pushing interest rates to zero for the greater part of a decade made a new crisis inevitable. So now we are in the terminal phase of the largest financial bubble in human history, and there is no easy way out.

And that is why our leaders have been piling on the debt and global central banks have been recklessly creating money.

But it is inevitable that our bad choices would catch up with us, and the pain that we are going to experience is going to be absolutely off the charts.

This crash will be unlike anything the world has ever seen. Put simply, there has never been this much debt in the system (hundreds of trillions worldwide), so there will be no historical precedence for the crash. Under Trump, fiscal deficits will push up interest rates and the dollar even further, and hurt the economy in the long term.

Trump’s fiscal stimulus will fuel inflation more than it does growth. Inflation will then force the Federal Reserve to hike up interest rates sooner and faster than it otherwise would have done, which will drive up long-term interest rates and the value of the dollar still more.

This undesirable policy mix of excessively loose fiscal policy and tight monetary policy will tighten financial conditions, hurting blue-collar workers’ incomes and employment prospects.

It is worth remembering how America’s 1930 Smoot-Hawley Tariff Act triggered global trade wars that exacerbated the Great Depression.

The Nobel laureate economist Edmund S. Phelps has described Trump’s direct interference in the corporate sector as reminiscent of corporatist Nazi Germany and Fascist Italy.

To be sure, expectations of stimulus, lower taxes, and deregulation did boost the economy and the market’s performance in the short term. But, as the vacillation in financial markets indicates, the president’s inconsistent, erratic, and destructive policies have taken their toll on domestic and global economic growth in the long run.

The stock markets worst enemy is unpredictability and Trump is considered to be very unpredictable. Can you feel it? How greed is now giving way to fear?

Already, in anticipation of higher short-term rates, investors have driven longer-term interest rates higher. Yields on 10-year Treasury notes, for instance, reached as high as 2.86% on Monday, up from 2.40% at the start of the year and 2.03% in September.

The IMF’s latest Financial Stability Report, is a surprisingly candid discussion on the topic of whether “Rising Medium-Term Vulnerabilities Could Derail the Global Recovery”, which is a politically correct way of saying is the financial system on the verge of crashing.

In recent years, Republicans have been characterized by two principal positions: They like starting wars and don’t like paying for them. George W. Bush initiated two major wars in Iraq and Afghanistan, but adamantly refused to pay for either of them by cutting non-military spending or raising taxes. Indeed, at his behest, Congress actually cut taxes and established a massive new entitlement program, Medicare Part D.

Bush’s actions were unprecedented.

No one ever imagined a US president would actually conspire to attack his own country in order to engineer a political agenda…but one did. And now, by Trumps own inaction, is doing the exact same thing Bush & Cheney did.

The Federal Reserve bank and its manipulation of the currency supply is directly causing this depression.  

Suddenly you reach a point where there is too much money chasing limited resources. According to economic theory, that is when inflation happens.  

One group caused another group to lose their property’s value. In most places, this activity by another name is called “destruction of property” or “theft.” However, currency devaluation is such an esoteric and ingenious form of theft or destruction that it goes unnoticed and unexamined by the majority of the population.  

Whenever central authorities inflate the currency supply it causes the value or purchasing power of the currency to decline. This value is basically lost or “stolen” from the people.

Debt brings consumption from the future into the present, and so it increases short-term economic activity at the expense of long-term financial health.

The only reason why we have even gotten this far is because interest rates have been pushed to historically low levels.  If the average rate of interest on U.S. government debt even returned to the long-term average, we would be paying more than a trillion dollars a year in interest on the national debt and the game would be over.

Even common sense tells you a society completely based on financing there is something seriously wrong. Remember, the markets always surge before the crash. We’ve had the surge, so we know what comes next.

The entire western civilization and their governments are completely broke. What part of this do you not understand?

We can barely afford the debt service now at practically 0%, so just how exactly are people and the governments going to afford two, four or nine times the payments??? 

Our financial system is based on a pyramid of debt, and we have allowed Wall Street to operate like a giant casino.  Our entire economy has essentially become a colossal Ponzi scheme.

A rather minor business cycle slowdown in 1994 was fought with a tidal wave of new credit under Fed chairman Alan Greenspan. That ultimately resulted in the Dot Com Bubble crash of 2000, but the lesson went unlearned.

Instead the Fed concluded that the idea was sound, but was simply not taken far enough. The elite cheerleading squad, captained by Paul Krugman, fully supported a doubling down, and the corporate media unquestioningly went along with the program.

So Greenspan and Bernanke created the Housing Bubble 1.0 by offering the world’s credit markets a price of money so low it couldn’t be refused. Housing was the story, and the Fed supplied the credit.

As predicted by a scant few of us, that all blew up spectacularly in 2008. And no constructive lessons were drawn from that experience, either.

With the political aircover to “save the system” (from the problems that it created!), Bernanke, Yellen, Kuroda and Draghi then led the most aggressive, coordinated central bank bender in all of human history.

Trillions and trillions were printed up, and many times that amount were leveraged and loaned.

Here we all are; stuck together in a world awash with credit. $250 trillion in debt. Four times that amount in unfunded liabilities. And a mind-bogglingly massive amount of tangled financial derivatives roughly the same size as both those debts and liabilities put together.

And the politicians never examine the costs to the public or the benefits to the public of financial reform. That is never part of the discussion.

As the U.S. economy collapses, you will not have access to credit.

Banks will close. Demand will outstrip supply of food, gas and other necessities. When the collapse affects local governments and utilities, then water and electricity will no longer be available. As people panic, they will revert to survival and self-defense modes. 

A U.S. economic collapse will create global panic. Demand for the dollar and U.S. Treasurys will plummet. Interest rates will skyrocket. Investors will rush to other currencies, such as the yuan, euro or even gold. It will create not just inflation, but hyperinflation as the dollar becomes dirt cheap.

Millions of investors, pensioners, insurance customers, and creditors will lose a fortune. (The FDIC currently only holds enough reserve for 40% of the nations current depositors, which is pointless anyway since the dollar will have no value)

You can’t depend on fractional reserve banks to provide access to your funds during a crisis.

As occurred during the last crisis, we are likely to see some traditional financial institutions and even national governments become insolvent. They can print money in an attempt to stop the bleeding, but this inevitably leads to high inflation or hyperinflation.

Very few Americans have any significant savings today. Most live on credit and those with savings have it stored in financial instruments that will be wiped out as the bankers collapse the system to hide the theft they have been involved in for decades. Those who think they will retire with their IRA, pensions or social security will suddenly find them all gone never to return leaving them with no means to care for themselves.

The debt load for the working poor has nearly quadrupled in the past 20 years as a percentage of their income.

It’s this system that dooms every average worker to poverty. And almost guarantees that the rich and the powerful will stay that way.

This was not some “random” event caused by uncontrolled “complexity”.  This was engineered complexity with a devious purpose.  

As the next great depression hits it will be unlike anything we have lived through before. Nothing will be as it seems and only those that have the resources to adapt will come through it whole. Preparation is the key to adapting to future events and those without resources will reap a bitter harvest as they struggle to survive. No announcements will be made, no warnings will be given by the establishment, it will just suddenly happen out of the blue and everyone will say it was unpredictable. But those who prepared will know better. 

Those who trust in government or only live for today will reap what they sow and it will be unpleasant at best if they survive at all. A simple strategy to insure you do not suffer does not have to be expensive or complicated. The best plans are simple and allow you to adapt to the changing times. 

History shows, pundits obsess over what precisely triggers a crash, as if that matters. It doesn’t, because ’cause’ of a bubble’s bursting can be anything

Click for more: How to fight the NWO
Click for more: How to Prepare
Click for more: Survival skills

This is the age old strategy of Centralization; to remove all choices within a system, by force or manipulation, until the masses think they have nothing left but the choices the elites give them. 

For the last twelve months I’ve wrote, warning, what was coming, see articles/links below:

As World Financial Markets Tumble, Brace for the oil, food and financial crash of 2018 (December 5, 2018)

Federal Reserve to raise interest rates quickly (December 5, 2018)

Great Depression of 2018 With 1970s-Style Inflation (December 5, 2018)

US Economy Collapse, What Would Happen and How to Prepare (December 4, 2018)

WARNING: Trump’s hidden agenda PLEASE READ / SHARE (November 29, 2018)

Stock Market Crash: The Dow Has Fallen (November 23, 2018)

2018 Stock market collapse followed by nuclear war (November 12, 2018)

Asian Stocks Lose $5 Trillion This Year With No End in Sight (October 28, 2018)

Asian shares nose dive as Wall St. erases all of 2018 gains (October 24, 2018)

Global Banking Stocks Are Crashing Hard – Just Like They Did In 2008 (October 23, 2018)

Crash that will send Dow down 17,000 points (October 14, 2018)

Prepare for the biggest stock-market selloff in months, Morgan Stanley warns (July 30, 2018)

Debt Bubble(s) and the Digitization Of All Trade (July 14, 2018)

The Stock Market Is Being Torched Again (March 3, 2018)

Guggenheim’s Minerd warns of a possible replay of 1987 stock market crash (February 20, 2018)

How Wall Street’s ‘fear gauge’ is being rigged, according to one whistleblower (February 14, 2018)

EX-CIA GOLDMAN ANALYST: ‘We are in an extraordinarily dangerous time right now’ (February 9, 2018)

How America will collapse (by 2018) (September 27, 2017)

Secret China war plan: trillions in U.S. debt (August 28, 2017)

Wall Street is sending huge warning signs for stocks (July 31, 2018)

The IMF’s Big Currency Reset (July 18, 2017)

The Secret Global Reset Agreement (July 18, 2017)

Economic Collapse and the Digitization Of All Trade (July 17, 2017)

It Is Mathematically Impossible To Pay Off All Of Our Debt (July 7, 2017)

Fake growth, fake money, fake jobs, fake financial stability, fake inflation numbers (July 7, 2018)

Trump will carry Wall Street to the giddy heights of the 1920s before a fantastic crash, economists warn (July 6, 2017)

Bankruptcy guru Edward Altman sees similarities to 2007 in the credit market today (June 25, 2017)

Debt Bubble (June 15, 2017)

JIM ROGERS: The worst crash in our lifetime is coming (June 11, 2017)

WAIT THERE’S MORE:

Beginning of the Greatest Financial Crisis the World Has Ever Seen (December 17, 2018)

Debt Bombs Ticking Across the Globe (December 17, 2018)

Bubble, Meet Pin; It’s Just the Beginning of the Downslide (December 17, 2018)

IMF warns storm clouds are gathering for next financial crisis (December 15, 2018)

Janet Yellen Warns Another Financial Crisis Could Be Brewing (December 12, 2018)

James Rickards says Donald Trump can’t stop the next financial crisis (December 10, 2018)

Bank Stocks And Tech Stocks Crash As The Yield Curve Inverts (December 5, 2018)

Senate passes rollback of banking rules enacted after financial crisis (December 2, 2018)

GE Plunges Again as Analysts Double Down (December 1, 2018)

Apple’s stock tumble makes it unanimous — the FAANG bull market has ended (November 26, 2018)

Can OPEC+ Halt The Oil Price Slide? (November 25, 2018)

Crypto’s Worst Week Since Bubble Burst Puts Loss at $700 Billion (November 24, 2018)

Why The 1929 Stock Market Crash Could Happen In 2018 (November 18, 2018)

Growing Dangers to Stocks From the U.S.-China Trade Conflict (November 14, 2018)

How the China trade war could get very bad, very fast (November 14, 2018)

Crude oil’s collapse sends shock waves across global markets (November 14, 2018)

A ticking time bomb in China has global markets looking really shaky right now (October 27, 2018)

The market is ‘right in the eye of the storm,’ and two charts show dark clouds ahead, says Bank of America analyst (April 2, 2018)

Deleting Facebook’s billions: stock sinks as outrage swells (March 26, 2018)

Retailers are filing for bankruptcy at a staggering rate — and these 19 companies are next to default (March 18, 2018)

Bear Stearns 10 Years Later: Could the Great Financial Crisis Happen Again? (March 14, 2018)

BUT WAIT, THERE’S MORE:

America will fall Into Famine by 2019 (April 2, 2018)

Arrival Of The ‘End Game’ (December 4, 2018)

FAMINE FEAST: Squirrel (November 24, 2018)

Ancient Biblical Prophecies (November 23, 2018)

The Four Horsemen of the Republican Apocalypse (November 23, 2018)

Trump is the Last President! You are the Last Generation! (September 29, 2018)

Feast Of Trumpets 2018 | October Surprise (September 29, 2018)

9/11 Never Forget Never Forgive (September 10, 2018)

Apocalypse Now (March 17, 2018) 

Join the underground railroad. Because if Julian Assange is not safe, no one is safe.

Trump’s hidden agenda: Emperor Caracalla

By Christopher R Rice (from around the web), UndergroundRailroad

The US KBW Bank index, which tracks large US banks and serves as a benchmark for the banking sector, is down 2.5% at the moment. It has dropped 17% from its post-Financial Crisis high on January 29.

Of course European banking stocks are doing much worse.  Right now they are down 27 percent from the peak and 23 percent from a year ago.

If they aren’t healthy, nobody is going to be healthy for long, and it is starting to look and feel a whole lot like 2008.

I have previously warned my readers that the damage caused by this trade war would get progressively worse the longer that it lasts.

Many companies have been trying to ride it out, but eventually the money runs out and layoffs start happening

A soft landing for America 40 years from now? Don’t bet on it. The demise of the United States as the global superpower could come far more quickly than anyone imagines.

People need to understand the threat is at their doorstep. It’s not a few years off or a decade away; it’s here now. We are right in the middle of collapse.

Each one of the FAANG stocks is now down by more than 20 percent, and they have combined to lose more than a trillion dollars in value. We haven’t seen anything like this since the financial crisis of 2008, and at this point all of Wall Street’s gains for 2018 have been completely wiped out.

The following numbers come from CNBC

  • Facebook: $253 billion
  • Amazon: $280 billion
  • Apple: $253 billion
  • Netflix: $67 billion
  • Alphabet: $164 billion

When you add those figures together, you get a grand total of 1.02 trillion dollars.

Our economy is more dependent on Wall Street than ever, and it is absolutely imperative that we have a healthy financial system. Now that the financial system is starting to crumble, a lot of people are becoming highly alarmed.

As a result, economic activity will crash at a pace that will make 2008 look like a Sunday picnic.

Our system will not be able to handle a decline of that magnitude. There is more leverage on Wall Street today than ever before, and a huge decline in stock prices would lead to a meltdown unlike anything we have ever witnessed.

The Four Horsemen of the Apocalypse are described in the last book of the New Testament of the Bible, the Book of Revelation by John of Patmos, at 6:1-8. The chapter tells of a book or scroll in God‘s right hand that is sealed with seven seals. The Lamb of God opens the first four of the seven seals, which summons four beings that ride out on white, red, black, and pale horses.

President Trump is actually the man who will bring the Apocalypse.

“According to the Bible, the Antichrist will be a charismatic celebrity, a ‘big talker’ and a ‘smooth talker’.” “He will convince people that he alone has the solution to every problem. He will claim to be a deal-maker and a master negotiator.

“He will claim to know how to defend Israel and to create lasting peace in the Middle East. He will be an intimidator and a militant lover of power.”

He will exalt and magnify himself and claim to be the ‘only Savior’. He will deceive the masses, and even the very elect. The number 666 denotes arrogance, pride, egotism, the love of money and power, and militarism.

The Black Horse of the Apocalypse, has a rider and a set of scales, it is justice. His lethal power is a terrible, divine judgment on mankind for its violent oppression and greed, and it takes the form of famine and wasting through malnutrition. 

The appearance of the Black horse and its rider will bring depression and want, with heavy taxation from the government holding the balances which should have spoken of justice and equity. 

From A.D. 212 to A.D. 217 the Emperor Caracalla and his successor oppressed the people and heaped upon them burdens grievous to be borne. This taxation to maintain the army and the extravagant administration of the Empire proved to be so burdensome that agriculture was ruined and fertile provinces were left uncultivated in desolation, depression and gloom.

In our highly interdependent system in the West in which more than 80 percent of the population has been domesticated and is psychologically incapable of self-reliance, it is very likely that a disruption of normal supply chains and services would result in considerable poverty and death. Such a threat would invariably lead frightened and unprepared people to demand increased government controls so that they can return to the level of comfort they have grown accustomed to.

Their solution will be predictable.

MARTIAL LAW

Much has recently been written about the possibility of impeaching President Trump. We should be looking at the possibility that President Trump will find himself believing that he is in a corner, under siege, and he will resort to what all trapped animals do — fight like crazy to survive.

What could he do? I fear that his temperament is such that he will announce that the press, the Democrats, the deep state, in and out of government, have been building a case to remove him from office via a vast conspiracy of trumped-up charges.

He will say this is a potential coup that cannot be allowed to come to fruition.

For the good of the country he will say that he is declaring martial law and that he will hold free and fair elections within the year. Martial law will allow him to suspend the Constitution, remove all or part of Congress, take over all judicial proceedings and detain whoever he wants via his police powers.

Who, or what, will be asked to enforce his extra legal usurpation of authority? Traditionally, in countries around the world, when martial law is declared the military is tasked to enforce all orders, proclamations and directives. This has lead to civilian demonstrations, often violent, against the new order. Usually the military is given a free hand to maintain law and order by whatever means necessary.

Will the military obey Trump’s dictums? The Universal Code of Military Justice (UCMJ) explicitly states that all military personnel are obligated to refuse to carry out an illegal order. However, if a military person refuses to carry out what is later determined to have been a legal order then the individual can be tried for treason. How many will be willing to take the chance of being tried for treason?

I am strongly suggesting that there is an increasingly real and frightening possibility that Trump will resort to martial law.

For those who believe that there is a near zero probability of President Trump declaring martial law I quote what he said recently at a meeting with conservatives and evangelicals: “We’re under siege and we know how to fight better than anybody and we never ever give up.” 

Dueling accusations of criminality, investigations instead of debates, jail promised to the loser – is what politics would look like in a WWE future where government is a for-profit television program.

TRUMP’S HIDDEN AGENDA: Trump Planning Mass Arrests, Military Tribunals For Deep State Traitors

I found this on the a pro-Trump Tea Party website:  “…seize control of Google, Facebook, CNN, Washington Post and the New York Times to halt the treasonous lies, coordinated election fraud and political coup attempt which is being run by all these traitors of America.”

Order military police to find and arrest thousands of deep state traitors who have been deliberately undermining America from within. This will include hundreds of people inside the FBI and DOJ, plus hundreds more in the State Department and other agencies. Arrests must also include traitorous, corrupt federal judges who have deliberately undermined America by, for example, blocking Trump’s constitutional travel ban to protect America from enemy terrorists. Many traitors will attempt to flee the country, of course, and they will need to be located and brought to justice.”   

UPDATE: Trump retweets image of US deputy attorney general Rod Rosenstein behind bars ‘for treason’

Donald Trump has retweeted a mocked up image of a range of people the president considers enemies behind bars, including the US deputy attorney general Rod Rosenstein.

The tweet, which was posted by an account called The Trump Train, also includes Barack Obama, Bill and Hillary Clinton, and Robert Mueller, with the caption: “Now that Russia collusion is a proven lie, when do the trials for treason begin?”

While the initial scenario we face in America will be one of stagflation, many necessities and the means to produce those necessities will skyrocket in cost. There may not be inflation in every sector of the economy because imploding demand could offset some of the effects of falling currency value, but there will be extreme inflation in the areas that hurt common people most.

Many Americans will starve to death. And the American government won’t do anything to help. Buildings, like the economy will be in collapse. Nationwide shortages of food at runaway inflation prices will become the norm.

With an economy in freefall, and food prices skyrocketing, many Americans will eat less and less every day. Children will suffer the most, and severe malnutrition will rise at an alarming rate.

With triple-digit inflation driving up prices, few will be able to afford to pay for even the most basic goods. We will find that U.S. interest rates simply cannot go up enough to stop inflation.

Hyperinflation will largely destroy the economy’s capacity to produce real goods.

The third horse is the black horse of famine, which brings with it a global food shortage. This horse is as black as tar. You can hear his hooves pounding, his flanks heaving. You can see his nostrils flaring, as his great rage focuses on the human race.

He comes to bring global famine. Super markets will be stripped bare. Civil riots will break out over the lack of food! People will begin to know the aching, clawing sensation of true hunger. And it could happen across America and the nations of the world very soon.

The rider on the black horse holds up a balance and scale, declaring how much one simple meal will cost…the sum of one day’s wages. There will not be enough to share with family or friends. Just one meal for one day’s wages. Starving people in the coming global famine of the Great Tribulation will kill each other in order to eat.

Last month more than 100 executives from the world’s largest financial institutions met privately at the Times Square office of Nasdaq Inc. to discuss the future of money; more specifically a software apparatus called “Blockchain.” The goal is to implement Blockchain as a medium to fully digitize monetary transactions around the world and in a way that is traceable and foolproof. In other words, the goal is put an end to all transactions involving physical cash.

Corrupt government is the tool by which globalists can extort goods and labor from a population as well as exert force to subdue rebellion. It is highly unlikely that the global reset will result in a collapse of government. On the contrary, it is usually during economic collapse that governments grow in power to the point of totalitarianism.

The Anti-Christ will have complete control over all of the food on planet earth. The oil and wine discussed in the book of Revelation are food for the wealthy, also controlled by the Anti-Christ.

These rulers and their subordinates will stock their shelves with choice products from the state-owned supermarket; but the masses will starve to death, exactly like what happened in the Holocaust as Hitler and his Nazi regime had the finest of everything…and the Jews literally died of starvation in the concentration camps just a few feet away.

THE WALL

Sometime in the future: A group of friends and I had to bug out of Phoenix do to society breaking down. As we got to the border which is usually open, I was shocked to see that a giant wall was preventing us from leaving America. 

The CIA controls most of the drug trade through America which would benefit from a wall because then the drug mules would be on lock down giving the CIA a monopoly on drug imports. Also, given the current debt that American’s owe to the central bankers it’s likely that they don’t want their tax slaves running away.

Even now we can hear the thunderous hooves of the four horses storming across the stage of human history, bringing deception, wars, hunger and death on a scale so massive it staggers the mind! The Bible makes it perfectly clear that God’s judgment is certain. Acts 17:31 tells us, “…because He has appointed a day on which He will judge the world in righteousness by the Man whom He has ordained. He has given assurance of this to all by raising Him from the dead.”

God judged Noah’s generation that mocked the message of salvation by sending a flood. He drowned every last human on planet earth. He is the ultimate judge and He will have the very last word…no matter what Congress rules or the UN decides. King Jesus will rule and reign with ultimate authority.

The word “Apocalypse” is a Greek word that means to remove the veil, to uncover or make clear. The purpose of the book of Revelation is to remove the veil and make clear what God’s plans are for the future of this world. God is saying to the church, “I am the God that knows the end from the beginning, and I am in total control!”

GET READY! The Anti-Christ is coming to produce a one world government, a one world religion and a one world currency.

And I will make it as clear as I can. Get your house in order. Make practical preparations for famine.

Collect bottled water and canned goods. Pray with and for your family members. Make sure they have received Jesus Christ as their Lord and Savior. While we do not live in fear, we must be prepared. Our time grows shorter with every waking hour.

Our very survival is hanging in the balance.

I would never have dreamed that I would be preaching a sermon series on “The Coming Fourth Reich,” teaching on the similarities between Hitler and our modern day existence…but here I am waving a red flag and saying as boldly as I know how…GET READY! Don’t sit by and wait for someone else to do something! Don’t wait for your rights to be completely stripped. Stand up! Speak up!

Then when the Lamb opened the third seal I heard the third living creature saying, “Come!” So I looked, and here came a black horse! The one who rode it had a balance scale in his hand.

Think that sounds impossible?

The fact of the matter is that all of this has been orchestrated. Our present state of affairs amounts to little more than political theatre. The common metaphor of politicians being puppets is apt. The ones pulling the strings behind the scenes are the same who own and control central banks. The chairman of the Fed, in a sense, is also a puppet, for he does not own the bank he oversees. He’s simply a sort of executive – a face to the world who appears to make important decisions. The POTUS assumes a similar role.

As economies and ecologies continue to collapse, the world will be dragged into war as a result. The pieces for this horrific play have already been set in motion. It is only a matter of time before financial crisis grips the globe, famine spreads like wildfire, and ever-larger conflicts ensue.

The result will be a world war that will, as planned, become a full-scale nuclear assault.

China has officially announced that its new currency, the Petro-Yuan, will be available this year. This will lead to the US dollar losing reserve currency status and ultimately failing as a currency. The resulting chaos will have only one solution – war.

The American economy is paralyzed. With long-fraying alliances at an end and fiscal pressures mounting, U.S. military forces are seen as the only hope and so the populist president will launch world war three.

I have been writing about this over and over because I both want people to take notice and want to have it on the record so that when it all comes down, it can be easily understood what the real causes were. Make no mistake – the mechanisms underlying this imminent financial failure will be obscured. For evidence of this, just look to the lack of press coverage this Petro-Yuan event has received in the Western mainstream media.

Were it not for RT.com, most would never have even known this had happened.

American and European media had us distracted with scandal after scandal. Meanwhile, the entire empire has had its support pillars undermined and the final nail placed in its coffin due to a viable alternative to the US dollar backed by a regional superpower now existing. Most people living in first-world nations haven’t the slightest clue that any of this is happening and don’t perceive that war is on the horizon as a result.

This will allow those in power to pin the failure on any manufactured event they choose.

I have spent two years making a documentary film, The Coming War on China, in which the evidence and witnesses warn that nuclear war is no longer a shadow, but a contingency. The greatest build-up of American-led military forces since the Second World War is well under way, in the northern hemisphere, on the western borders of Russia and in Asia and the Pacific, confronting China.

Almost two-thirds of US naval forces have been transferred to Asia and the Pacific.

The US has also encircled China with 400 military bases armed with bombers, warships and missiles capable of delivering nuclear weapons.

These bases extend all the way from Australia to the Pacific islands, through Asia to Korea and Japan and across Eurasia to Afghanistan.

The island of Okinawa is an “aircraft carrier” of US military bases, their bombers aimed at China less than 500 miles away.

A mini nuclear war is being planned.

A study by think tank the RAND Corporation – which, since Vietnam, has planned America’s wars – is entitled, War with China: Thinking Through the Unthinkable.

Commissioned by the US Army, the authors evoke the Cold War when RAND made notorious the catch cry of its chief strategist, Herman Kahn – “thinking the unthinkable”. Kahn’s book, On Thermonuclear War, elaborated a plan for a “winnable” nuclear war.

According to Amitai Etzioni, professor of international Affairs at George Washington University, “the United States is preparing for a war with China, a momentous decision that so far has failed to receive a thorough review from elected officials, namely the White House and Congress.”

However, “for the first time,” wrote Gregory Kulacki of non-profit organisation the Union of Concerned Scientists, “China is discussing putting its nuclear missiles on high alert so that they can be launched quickly on warning of an attack …

Less than five minutes. This is the approximate time that would elapse from President Trump’s decision to launch a nuclear strike against China to shooting intercontinental ballistic missiles out of their silos, according to Bloomberg estimations. The publication, citing former Minuteman missile-launch officer Bruce G. Blair, also estimates that it would take about 15 minutes to fire submarine missiles from their tubes.

Xi Jinping Says China Has To Prepare For War 

China’s President Xi Jinping has ordered the military region responsible for monitoring the South China Sea and Taiwan to pay a special attention to the current situation in the region and boost its capabilities so it can handle any emergency.

“It’s necessary to strengthen the mission … and concentrate preparations for fighting a war,” Xi said during an inspection tour made on October 25 as part of his visit to Guangdong province, according to state broadcaster CCTV. “We need to take all complex situations into consideration and make emergency plans accordingly.”

Xi emphasized that the Southern Theater Command has had to bear a “heavy military responsibility” in recent years. He stated that the Chinese military has “to step up combat readiness exercises, joint exercises and confrontational exercises to enhance servicemen capabilities and preparation for war”.

The black horse and its rider are doing their job, cultivating and reaping the seeds sown in war and oppression: scarcity and famine. Hard on its heels comes another reaper, who sweeps up and destroys what his fellows leave behind. 

The horrors brought on by the Four Horsemen are only the beginning of the End: after that the Tribulation cranks up to intolerable levels and suffering will take over the entire world. Eventually the full measure of God’s wrath will be poured out on the earth.

Asian Stocks Lose $5 Trillion This Year With No End in Sight

By and

After a slump in U.S. stocks, Asia’s main equity gauge has finally succumbed, entering a bear market overnight. The region’s equities have already lost more than $4.9 trillion in value this year, and Thursday isn’t looking pretty.

The MSCI Asia Pacific Index fell 2 percent as of 4:30p.m. in Hong Kong, taking its slide from a January peak to 22 percent. Japan’s Topix index plunged 3.1 percent to its lowest level since September 2017, while the Nikkei 225 Stock Average lost 3.7 percent. The Kospi index’s 1.6 percent slide pushed the South Korean gauge into bear-market territory after data showed the economy grew less than projected in the third quarter. Hong Kong stocks also tanked.

Following big plunges in the U.S. Wednesday, American stock-index futures hinted that the rout could take a small breather. December contracts on the S&P 500 Index rose 0.6 percent. Futures on the Nasdaq 100 Index and Dow Jones Industrial Average climbed 1.1 percent and 0.6 percent, respectively.

Still, the Wednesday rout was a big hit to sentiment: tech-heavy Nasdaq Composite Index plunged 4.4 percent for its biggest single-day slide since August 2011, entering a correction. Both the Dow Jones Industrial Average and S&P 500 erased their annual gains, even as the S&P 500 operating income is surging more than twice the historical average.

Volatility is back, and investors in Asia are bracing for more. The MSCI Asia Pacific Index has moved an average 0.9 percent daily in October through Wednesday, the biggest swings since June 2016, data compiled by Bloomberg show. On Thursday, China’s Shanghai Composite Index was little changed after it fell as much as 2.8 percent, and Hong Kong’s Hang Seng Index lost 1 percent. Australia’s S&P/ASX 200 Index fell 2.8 percent, entering a correction.

The reasons for the slump in Asia are well known: there’s the U.S.-China trade war, worries about slowing economic and earnings growth, tech shares plunging and rising rates amid Federal Reserve tightening. But this week, the biggest point of concern for investors including UOB Kay Hian (Hong Kong) Ltd.’s Steven Leung has been the U.S. dollar, which hit a new high Wednesday.

“The U.S. dollar has been strengthening this year and the pace has accelerated,” said Leung, executive director at UOB in Hong Kong. “Money may continue to go back to the U.S. and make the emerging-markets outflow worse for the rest of this year.”

The strengthening greenback has led to massive foreign outflows from Asian equity funds and has forced local central banks to raise interest rates in order to protect their plunging currencies. That, in turn, has created more pressure on local stock markets, Leung said. He expects equity swings to continue in the region.

The Federal Reserve’s hawkish remarks earlier this month and Chinese stocks falling to a sensitive level — the Shanghai Composite Index is trading near its lowest level since November 2014 — are only adding to the pressure, said Armand Yeung, the managing director of Central Asset Investments in Hong Kong.

“Could Asian markets really withstand four rate hikes in U.S. next year? People should really think about that,” said Yeung. “Most people — like us — are very cautious nowadays and have been reducing their equity exposure, or just focusing on defensive stocks or buying some bonds.”

With an 11 percent plunge in October, the MSCI Asia Pacific Index is heading for its biggest monthly decline since the height of the financial crisis a decade ago. It’s fallen more than the S&P 500 and the Stoxx Europe 600 Index, and most of the world’s worst-performing equity markets are from Asia this year. If the weakness continues in tech shares — they account for a fifth of the regional benchmark index and are the biggest declining group in 2018 — investors may just have to brace for more turbulence ahead.

“We still do not know the full outcome of this trade war as the U.S. and China act and react with rhetoric,” said Jim McCafferty, the head of equity research for Asia ex-Japan at Nomura Holdings Inc. “U.S. tech names are also highly volatile, so it is inevitable that this volatility will spread to the supply chain in Asia.”

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Stocks are crashing hard

Crash that will send Dow down 17,000 points

Saudi Arabia’s stock market plunges on fear of sanctions over Khashoggi

Debt Bubble(s) and the Digitization Of All Trade

Stocks Are Crashing Hard

By Michael Snyder

Global stocks are falling precipitously once again, and banking stocks are leading the way.  If this reminds you of 2008, it should, because that is precisely what we witnessed back then.  Banking stocks collapsed as fear gripped the marketplace, and ultimately many large global banks had to be bailed out either directly or indirectly by their national governments as they failed one after another.  The health of the banking system is absolutely paramount, because the flow of money is our economic lifeblood.  When the flow of money tightens up during a credit crunch, the consequences can be rapid and dramatic just like we witnessed in 2008.

So let’s keep a very close eye on banking stocks.  Global systemically important bank stocks surged in the aftermath of Trump’s victory in 2016, but now they are absolutely plunging.  They are now down a whopping 27 percent from the peak, and that puts them solidly in bear market territory.

U.S. banking stocks are not officially in bear market territory yet, but they are getting close.  At this point, they are now down 17 percent from the peak…

Monday early afternoon, the US KBW Bank index, which tracks large US banks and serves as a benchmark for the banking sector, is down 2.5% at the moment. It has dropped 17% from its post-Financial Crisis high on January 29.

Of course European banking stocks are doing much worse.  Right now they are down 27 percent from the peak and 23 percent from a year ago.  The following comes from Wolf Richter

But unlike their American brethren, the European banks have remained stuck in the miserable Financial Crisis mire – a financial crisis that in Europe was followed by the Euro Debt Crisis. The Stoxx 600 bank index, which covers major European banks, including our hero Deutsche Bank, has plunged 27% since February 29, 2018, and is down 23% from a year ago

I wish that we didn’t have a global economic system that was so dependent on the “too big to fail” banks, but we do.

If they aren’t healthy, nobody is going to be healthy for long, and it is starting to look and feel a whole lot like 2008.

But unlike 2008, we also have a global trade war to contend with.  The CEO of one yacht company recently told USA Today that tariffs have had a “catastrophic” effect on his company…

Tariffs imposed on goods by the European Union, and the Chinese and American governments on boats, cribs, bourbon, and more have put Wisconsin businesses between a rock and a hard place. The tariffs imposed are already damaging a bloated bubble economy and the hardships are just beginning.

“It’s been catastrophic,” said Rob Parmentier, who is the president and CEO of Marquis-Larson Boat Group, which builds Carver yachts in Pulaski, Wisconsin. According to USA Today, the first “hand grenade,” as Parmentier described it, tossed during the trade wars at him specifically, was a 25 percent tariff the European Union placed this year on boats built in the United States, along with scores of other products including Harley-Davidson motorcycles.

I have previously warned my readers that the damage caused by this trade war would get progressively worse the longer that it lasts.

Many companies have been trying to ride it out, but eventually the money runs out and layoffs start happening

“We’ve had a lot of order cancellations. Canada and Europe have essentially stopped buying boats,” Parmentier said according to USA Today. “We’ve been absorbing some of the additional costs … hoping the tariffs will go away. But we can only do that for so long,” he said. The next step is layoffs.

Anyone who thought that this trade war would not have very serious consequences was just fooling themselves.  According to one source, tariffs paid by U.S. businesses are up 45 percent compared to a year ago…

“For the most recent months available, August 2018, the amount of tariffs paid increased by $1.4 billion — or 45% — as compared to tariffs paid in August 2017. Tariff costs in Michigan tripled to $178 million and more than doubled in multiple states — to $424 million in Texas, $193 million in Illinois, $50 million in Alabama, $29 million in Oklahoma, $23 million in Louisana, and $7.3 million in West Virginia.

These costs strain businesses of all sizes but are particularly painful for small business, manufacturers, and consumers who bear the burden of tariff increases in the form of higher prices,” via the data compiled by The Trade Partnership and released by Tariffs Hurt the Heartland.

And it doesn’t look like this trade war is going to end any time soon.  In fact, one key Chinese official recently made it very clear that China is not afraid of a long trade war…

On Monday in Beijing, Zhang Qingli, a leading member of a Chinese committee tasked with forging alliances with other nations, told a small group of U.S. business leaders, lobbyists and public relations executives that China refuses to be intimidated by an ongoing trade war with the Trump administration.

“China never wants a trade war with anybody, not to mention the U.S., who has been a long term strategic partner, but we also do not fear such a war,” Zhang said through a translator, according to a meeting attendee who declined to be named.

We are entering a time when the economy was likely to slow down anyway, but if stocks continue to crash and global banking woes escalate, that is going to spread fear and panic like wildfire.

And when there is fear and panic in the air, lending tends to really tighten up, and a major credit crunch is just about the last thing that we need right now.

It’s been a really bad October for global markets so far, and more trouble is brewing.  Hold on to your hats, because it looks like it is going to be a bumpy ride ahead.

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.

How America will collapse

A soft landing for America 40 years from now? Don’t bet on it. The demise of the United States as the global superpower could come far more quickly than anyone imagines. If Washington is dreaming of 2040 or 2050 as the end of the American Century, a more realistic assessment of domestic and global trends suggests that in 2018, it could all be over except for the shouting.

Despite the aura of omnipotence most empires project, a look at their history should remind us that they are fragile organisms. So delicate is their ecology of power that, when things start to go truly bad, empires regularly unravel with unholy speed: just a year for Portugal, two years for the Soviet Union, eight years for France, 11 years for the Ottomans, 17 years for Great Britain, and, in all likelihood, 22 years for the United States, counting from the crucial year 2003.

Future historians are likely to identify the Bush administration’s rash invasion of Iraq as the start of America’s downfall. The bloodshed that marked the end of so many past empires, with cities burning and civilians slaughtered, this twenty-first century imperial collapse has come relatively quietly through the invisible tendrils of economic collapse and cyberwarfare.

As a half-dozen European nations have discovered, imperial decline tends to have a remarkably demoralizing impact on a society, regularly bringing at least a generation of economic privation. As the economy cools, political temperatures rise, often sparking serious domestic unrest.

Available economic, educational, and military data indicate that, when it comes to U.S. global power, negative trends will aggregate rapidly by 2020 and are likely to reach a critical mass no later than 2030. The American Century, proclaimed so triumphantly at the start of World War II, will be tattered and fading by 2025, its eighth decade, and could be history by 2030.

Significantly, in 2008, the U.S. National Intelligence Council admitted for the first time that America’s global power was indeed on a declining trajectory. In one of its periodic futuristic reports, Global Trends 2025, the Council cited “the transfer of global wealth and economic power now under way, roughly from West to East” and “without precedent in modern history,” as the primary factor in the decline of the “United States’ relative strength — even in the military realm.” Like many in Washington, however, the Council’s analysts anticipated a very long, very soft landing for American global preeminence, and harbored the hope that somehow the U.S. would long “retain unique military capabilities… to project military power globally” for decades to come.

2017, according to current plans, the Pentagon will throw a military Hail Mary pass for a dying empire. It will launch a lethal triple canopy of advanced aerospace robotics that represents Washington’s last best hope of retaining global power despite its waning economic influence.

However, China’s global network of communications satellites, backed by the world’s most powerful supercomputers, are also fully operational, providing Beijing with an independent platform for the weaponization of space and a powerful communications system for missile- or cyber-strikes into every quadrant of the globe.

“We are destined to fulfill [historian Paul] Kennedy’s prophecy that we are going to be a great nation that has failed because we lost control of our economy and overextended.”

Ordinary Americans, watching their jobs head overseas, have a more realistic view than President Trump. An opinion poll found that 85 percent of Americans believe the country is now “in a state of decline.” Already, Australia and Turkey, traditional U.S. military allies, are using their American-manufactured weapons for joint air and naval maneuvers with China. Already, America’s closest economic partners are backing away from Washington’s opposition to China’s rigged currency rates.

Viewed historically, the question is not whether the United States will lose its unchallenged global power, but just how precipitous and wrenching the decline will be.

U.S. global power will reach its end in 2018.

Today, three main threats exist to America’s dominant position in the global economy: loss of economic clout thanks to a shrinking share of world trade, the decline of American technological innovation, and the end of the dollar’s privileged status as the global reserve currency.

By 2008, the United States had already fallen to number three in global merchandise exports, with just 11 percent of them compared to 12 percent for China and 16 percent for the European Union. This trend has not reversed itself.

Similarly, American leadership in technological innovation is on the wane. In 2008, the U.S. was still number two behind Japan in worldwide patent applications with 232,000, but China was closing fast at 195,000, thanks to a blistering 400 percent increase since 2000. A harbinger of further decline: in 2009 the U.S. hit rock bottom in ranking among the 40 nations surveyed by the Information Technology & Innovation Foundation when it came to “change” in “global innovation-based competitiveness” during the previous decade. Adding substance to these statistics, China’s Defense Ministry unveiled the world’s fastest supercomputer, the Tianhe-1A, so powerful, said one U.S. expert, that it “blows away the existing No. 1 machine” in America.

Add to this clear evidence that the U.S. education system, that source of future scientists and innovators, has been falling behind its competitors. After leading the world for decades in 25- to 34-year-olds with university degrees, the country sank to 12th place in 2010. The World Economic Forum ranked the United States at a mediocre 52nd among 139 nations in the quality of its university math and science instruction in 2010. Nearly half of all graduate students in the sciences in the U.S. are now foreigners, most of whom will be heading home, not staying here as once would have happened. By 2025, in other words, the United States is likely to face a critical shortage of talented scientists.

Such negative trends are encouraging increasingly sharp criticism of the dollar’s role as the world’s reserve currency. “Other countries are no longer willing to buy into the idea that the U.S. knows best on economic policy,” observed Kenneth S. Rogoff, a former chief economist at the International Monetary Fund. In mid-2009, with the world’s central banks holding an astronomical $4 trillion in U.S. Treasury notes, Russia has insisted that it is time to end “the artificially maintained unipolar system” based on “one formerly strong reserve currency.”

Simultaneously, China’s central bank governor suggested that the future might lie with a global reserve currency “disconnected from individual nations” (that is, the U.S. dollar). Take these as signposts of a world to come, and of a possible attempt, as economist Michael Hudson has argued, “to hasten the bankruptcy of the U.S. financial-military world order.”

Faced with a fading superpower incapable of paying the bills, China, India, Iran, Russia, and other powers, great and regional, provocatively challenge U.S. dominion over the oceans, space, and cyberspace. Meanwhile, amid soaring prices, ever-rising unemployment, and a continuing decline in real wages, domestic divisions widen into violent clashes and divisive debates, often over remarkably irrelevant issues. Riding a political tide of disillusionment and despair, a far-right patriot captures the presidency with thundering rhetoric, demanding respect for American authority and threatening military retaliation or economic reprisal. The world pays next to no attention as the American Century ends in silence.

One casualty of America’s waning economic power has been its lock on global oil supplies. Speeding by America’s gas-guzzling economy in the passing lane, China became the world’s number one energy consumer, a position the U.S. had held for over a century. Energy specialist Michael Klare has argued that this change means China will “set the pace in shaping our global future.”

By 2018, Iran and Russia will control almost half of the world’s natural gas supply, which will potentially give them enormous leverage over energy-starved Europe. Add petroleum reserves to the mix and, as the National Intelligence Council has warned, two countries, Russia and Iran, could “emerge as energy kingpins.”

China has poured countless billions into building a massive trans-Asia pipeline and funding Iran’s exploitation of the worlds largest percent natural gas field at South Pars in the Persian Gulf.

The American economy is paralyzed. With long-fraying alliances at an end and fiscal pressures mounting, U.S. military forces are seen as the only hope and so the populist president will launch world war three or watch a total collapse on Wall Street.

Economic Collapse and the Digitization Of All Trade By Brandon Smith Alt-Market

People need to understand the threat is at their doorstep. It’s not a few years off or a decade away; it’s here now. We are right in the middle of collapse.

The appearance of prosperity means nothing if the fundamentals do not support the optimism. That is to say, a bullish stock market, a high dollar index and a low unemployment percentage mean nothing if such stats are generated by false methods and fiat.

I relate these points because the future I am about to suggest here might sound outlandish to some, because it is so contrary to the “official” accounting of our current financial world.

The stock market, the greatest false indicator of all time, is on the verge of implosion; and the banking elites are positioning themselves to avoid blame for this implosion while the rest of us are being sold on the most elaborate recovery con-game ever conceived.

The globalists have stretched the whole of the world thin.  They have removed almost every pillar of support from the edifice around us, and like a giant game of Jenga, are waiting for the final piece to be removed, causing the teetering structure to crumble.  Once this calamity occurs, they will call it a random act of fate, or a mathematical inevitability of an overly complex system.  They will say that they are not to blame.  That we were in the midst of “recovery”.  That they could not have seen it coming.

Their solution will be predictable.

In our highly interdependent system in the West in which more than 80 percent of the population has been domesticated and is psychologically incapable of self-reliance, it is very likely that a disruption of normal supply chains and services would result in considerable poverty and death. Such a threat would invariably lead frightened and unprepared people to demand increased government controls so that they can return to the level of comfort they have grown accustomed to.

The elites will argue that the banks and bankers are not necessarily to blame. Rather, they will accuse the “system” of being too complex and chaotic, leaving itself open to greed, stupidity and overall unconscious sabotage. The fact that the crisis was engineered from the very beginning will never be mentioned.

The more independent elements within any system, the more chance there is for unpredictable events that lead to supposed disaster. Ostensibly, the solution would be to streamline all systems and remove the free-radicals. That is to say, complete centralization is the answer. What a surprise.

What this means on a micro-level is the activation of bail-ins; that is to say, the legalized confiscation of bank accounts, pension funds, stock holdings, etc. as a method for prolonging a collapse event. We have seen this already to some extent in Europe, and it will happen in the U.S..

While the initial scenario we face in America will be one of stagflation, many necessities and the means to produce those necessities will skyrocket in cost.  There may not be inflation in every sector of the economy because imploding demand could offset some of the effects of falling currency value, but there will be extreme inflation in the areas that hurt common people most.

Digitization Of All Trade 

Despite all the failings and control mechanisms involved in fiat money, there are still worse systems to be had. Last month more than 100 executives from the world’s largest financial institutions met privately at the Times Square office of Nasdaq Inc. to discuss the future of money; more specifically a software apparatus called “Blockchain.” The goal is to implement Blockchain as a medium to fully digitize monetary transactions around the world and in a way that is traceable and foolproof. In other words, the goal is put an end to all transactions involving physical cash.

The establishment of a cashless society would mark the end of all privacy in trade. Even supposedly anti-centralization digital currencies like Bitcoin are hindered by the blockchain feature, which requires the tracking of ALL transactions in order for the currency to function. While methods for anonymity could be argued, the fact of the matter is, digital currency by its very nature is a destroyer of the truly private trade offered by cash and barter. When all trade is tracked, and all savings digitized, whoever owns the keys to the core of the blockchain will have the power to wreak havoc on the life of any participant at will.

To be sure, the “blockchain” that the elites have in mind will never allow for anonymous transactions, because digital currency is not about anonymity or “convenience,” it is about control.

Corrupt government is the tool by which globalists can extort goods and labor from a population as well as exert force to subdue rebellion.  It is highly unlikely that the global reset will result in a collapse of government.  On the contrary, it is usually during economic collapse that governments grow in power to the point of totalitarianism.  There will always be a new currency mechanism or financial structure to replace the old, and the globalists will always have a way to pay off armies and useful idiots to do their bidding.  No one should be counting on the idea that the elites face collapse as we face collapse.  This is naive.  The elites created the collapse; they plan to be ready to use it to their advantage.

Eventually, they will also have to limit or outlaw barter and alternative currencies in order for the digitized economy to work.

This is the age old strategy of Centralization; to remove all choices within a system, by force or manipulation, until the masses think they have nothing left but the choices the elites give them.  It is the bread and butter of elitist institutions like Rand Corporation, and is at the core of the push for globalization.

With almost every major economy on the globe on the verge of collapse and most now desperately inflating, taxing, or outright stealing in order to hide their situation, with multiple tinderbox environments being facilitated in the Pacific with China, North Korea, and Japan, and in the Middle East and Africa with Egypt, Syria, Iran, Pakistan, Yemen, Mali, etc., there is no doubt that we are living in a linchpin-rich era.  It is inevitable that one or more of these explosive tension points will erupt and cause a chain reaction around the planet.  The linchpin and the chain reaction will become the focus of our epoch, rather than the men who made them possible in the first place.

Each major global hot-spot today can easily be linked back to the designs of international corporate and banking interests and the puppet governments they use as messengers.

Governments of America, Russia and China are actually complicit in the formation of a global currency and global government controlled by the IMF.

China in particular has loudly pronounced a need for a global currency system to replace the dollar, and they have suggested that this system be controlled by the IMF:

The world economic crisis shows the “inherent vulnerabilities and systemic risks in the existing international monetary system,” Gov. Zhou Xiaochuan said in an essay released Monday by the bank. He recommended creating a currency made up of a basket of global currencies and controlled by the International Monetary Fund and said it would help “to achieve the objective of safeguarding global economic and financial stability.”

China is NOT anti-establishment or anti-new world order, nor is Russia. American opposition to the NWO is a lie. Period. In fact, the BRICS have argued only for greater inclusion in the IMF system and have no intention of developing a legitimate alternative to “Western” globalization. If you do not understand that the BRICS are part of the NWO, not opposed to it, then you do not understand a thing.

Runaway Hyperinflation

When there is lots of unemployment and lots of unused industrial capacity, central banks keep interest rates low to encourage businesses to borrow and invest. But in the growth stage of an economy, that excess capacity gets used up.

One bank will be allowed to go under and its depositors allowed to be wiped out, then there will be a run on every bank. The entire banking system will be ruined in a couple of hours, with utter chaos, pandemonium, and violence being the rule rather than the exception.

The Federal Reserve bank and its manipulation of the currency supply will directly cause the depression.

Suddenly you reach a point where there is too much money chasing limited resources. According to economic theory, that is when inflation happens.

One group caused another group to lose their property’s value. In most places, this activity by another name is called “destruction of property” or “theft.” However, currency devaluation is such an esoteric and ingenious form of theft or destruction that it goes unnoticed and unexamined by the majority of the population.

Whenever central authorities inflate the currency supply it causes the value or purchasing power of the currency to decline. This value is basically lost or “stolen” from the people.

Many Americans will starve to death. And the American government won’t do anything to help. Buildings, like the economy will be in collapse. Nationwide shortages of food at runaway inflation prices will become the norm.

With an economy in freefall, and food prices skyrocketing, many Americans will eat less and less every day. Children will suffer the most, and severe malnutrition will rise at an alarming rate.

With triple-digit inflation driving up prices, few will be able to afford to pay for even the most basic goods. We will find that U.S. interest rates simply cannot go up enough to stop inflation.

The final stage of this intergenerational theft will be the debasement of our currency. Government will cheat us of our just rewards. Our finances will collapse. The economy will stall. The safety net will unravel. And the most vulnerable will suffer.

It will become simply impossible to finance Social Security and Medicare at current real levels. There is, sorry to say, no legal entitlement to social-insurance transfers, so the government would violate no law by backing out of its promises. That’s how the safety net unravels. There’s no way to continue to pay for it, so it stops being paid for, and so it goes away.

Hyperinflation will largely destroy the economy’s capacity to produce real goods.

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Crash that will send Dow down 17,000 points

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Crash that will send Dow down 17,000 points

By Stephanie Landsman

He’s a market watcher known for making bold calls spanning decades. Now, Harry Dent is arguing that the Trump rally is setting investors up for an inevitable stock market crash.

Investors have embraced President Donald Trump’s victory by sending stocks on a tear to new record highs. Dent, however, thinks there’s trouble brewing.

“I think this is going to be a stock market peak of a lifetime followed by a crash very similar to the early 1930s. This happens once in a lifetime,” Dent Research Founder Harry Dent recently told NBC’s “ Futures Now .”

He added: “I think this is the last rally in this bull market.”

Dent may be calling for the rally’s last hurrah, but he’s also forecasting another jump for the Dow over the next few days.

“The markets are assuming that he is going to create three to four percent growth on a sustainable basis,” said Dent. “It is demographically impossible…. When the markets figure this out, they are going to crash.”

Dent makes the case that the U.S. workforce will see negative growth, estimating that the population will grow just over a quarter percent over the next 50 years. He also points to rock bottom productivity that not even tax cuts can solve in the immediate term.

“You can’t have stocks keep going up at this rate when earnings are going nowhere,” said Dent. “”I think it [Dow] is going to end up between 3000 and 5000 by next year.”

Dent, who is also the editor of the “Survive & Prosper” newsletter, says there are other major factors which will spark an ‘epic’ pullback.

“I think the trigger is people seeing that Donald [Trump] will not be able to do everything that he said, and the economy will be slowing by then,” he said. “The biggest trigger, kind of like the subprime crisis in 2008, is going to be Italy. Italy is bankrupt. Its bonds are trading at lower rates than ours which is ridiculous.”

Not only could Italy send the European markets into a tailspin, Dent is also particularly worried about China.

The world’s second largest economy “has the greatest real estate bubble, an overbuilding bubble, in all of modern history. That’s going to blow, ” warned Dent.

Yet, he says that this could also be the best time in decades to re-position for huge gains. “In the next few months, investors will have the best opportunity to switch their investment strategies and profit dramatically,” he said.

“I make bold forecasts, and especially with things like [quantitative easing] and massive government intervention — yes, I’m going to miss some things. But, I have the guts to make these bold calls,” argued Dent.

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Several noted economists and distinguished investors are warning of a stock market crash.

Jim Rogers, who founded the Quantum Fund with George Soros, went apocalyptic when he said, “A $68 trillion ‘Biblical’ collapse is poised to wipe out millions of Americans.”

And the prophetic economist Andrew Smithers warns, “U.S. stocks are now about 80% overvalued.”

Smithers backs up his prediction using a ratio which proves that the only time in history stocks were this risky was 1929 and 1999. And we all know what happened next. Stocks fell by 89% and 50%, respectively.

Even the Royal Bank of Scotland says the markets are flashing stress alerts akin to the 2008 crisis.

They told their clients to “Sell Everything” because “in a crowded hall, the exit doors are small.”

Blue chip stocks like Apple, Microsoft, and IBM will plunge.

But there is one distinct warning that should send chills down your spine … that of James Dale Davidson. Davidson is the famed economist who correctly predicted the collapse of 1999 and 2007.

Davidson now warns, “There are three key economic indicators screaming SELL. They don’t imply that a 50% collapse is looming – it’s already at our doorstep.”

And if Davidson calls for a 50% market correction, one should pay heed.

Indeed, his predictions have been so accurate, he’s been invited to shake hands and counsel the likes of former presidents Ronald Reagan and Bill Clinton — and he’s had the good fortune to befriend and convene with George Bush Sr., Steve Forbes, Donald Trump, Margaret Thatcher, Sir Roger Douglas and even Boris Yeltsin.

They know that when Davidson makes a prediction, he backs it up. True to form, in a new controversial video, Davidson uses 20 unquestionable charts to prove his point that a 50% stock market crash is here.

Most alarming of all, is what Davidson says will cause the collapse. It has nothing to do with the China meltdown, Wall Street speculation or even the presidential election. Instead, it is linked back to a little-known economic “curse” that our Founding Fathers warned our elected officials about … a curse that was recently triggered.

Bankruptcy guru Edward Altman sees similarities to 2007 in the credit market today By Julia LaRoche

Legendary bankruptcy expert Dr. Edward Altman cautioned that this benign credit cycle — characterized by low default rates, low yields, low spreads, and lots of liquidity — could come to an abrupt end.

“It’s been a terrific market for investors for quite a long time and if anything is concerning it’s that we now are more than ten years into a benign credit cycle,” Altman, a professor at NYU Stern School of Business, told Yahoo Finance. “We’ve never had such a long benign cycle. And just that one little fact is something that we should be concerned about because if it comes to one and it could come to an end very dramatically.”

Altman, the creator of the financial-distress sniffing Altman Z-Score, warned in mid-2007 of a “Great Credit Bubble” and that there was going to be trouble in the market. He predicted that a meltdown would stem from corporate defaults. While the primary culprit of the financial crisis turned out to be mortgage-backed securities, investors who heeded Altman’s warning nevertheless avoided a lot of grief.

So, how does today’s market compare to the market in 2007.

“There are some similarities, yes, although the situation back in the great financial crisis was pre-meditated by the mortgage-backed securities and we don’t have that problem now,” he said.

Troublingly, Altman sees the reckless behavior of 2007 surfacing again.

“Back in 2007 prior to the crisis in ’08 and ’09, the fundamentals of credit risk of the companies issuing bonds and taking out loans were quite low,” he said. “And the similarity that I see now between 2007 and 2016 is very similar fundamentals, quite a bit high risk and it doesn’t seem to bother the market because it’s the only game in town in terms of getting yield greater than what you can get for low-risk securities like governments and high-grade corporates.”

In other words, investors aren’t buying junk bonds just because the risk-reward balance is favorable. They’re buying because the rewards of investing in lower risk bonds just aren’t cutting it anymore.

Altman is perhaps best known for the Z-Score, a formula he created 50 years ago that’s used to predict bankruptcies. Since that time, he noticed that bankruptcies have gotten increasingly bigger.

“[What] I’ve seen over the years is larger and larger companies filing for bankruptcy on a regular basis. On average, in the United States, something like 15 more than $1 billion companies, in terms of liabilities, go bankrupt every year, on average,” Altman said. “This year already it’s 13. Last year, it was almost 40.”

He noted that inflation has something to do with it, but what’s actually happening is companies have been taking advantage of debt and low interest rates like never before, and the corporate debt ratios are way up.

“Speaking about the Z-score, if you compare the average Z-score of companies in 2007 with the average in 2016, which is the last time we looked at it, guess what. The average is actually lower today than it was in 2007, and 2007 was right before the great financial crisis, and of course, in ’08 and ’09 we saw a tremendous increase in corporate bond defaults and loans.”

Low Z-scores are associated with financial distress.

He added: “So the good news is that it’s no worse, but the bad news is, fundamentally, the companies are no better than they were back in 2007 at least by our model.”

At the moment what’s keeping companies from going bankrupt as they did during the financial crisis is the incredible amount of liquidity and low interest rates.

Fake growth, fake money, fake jobs, fake financial stability, fake inflation numbers

Nobody knows when reality will overtake the rhetoric, lies, phony statistics, wishful thinking, fake prices and tiresome poseurs pretending to be world leaders. The situation is universal, a consequence of incompetent leaders and careless (or ignorant) citizenry. Global problems are continuing to mount, along with the risk that the consequences of years of bad policies and inept leadership compound (as sometimes happens) in a short window of time.

Unemployment figures are also a source of faulty or misleading data.  A 35-year low in the workforce participation rate, a policy-driven transition from full-time to part-time jobs, and the transition from high-paying jobs to relatively low-paying service jobs, all combine to make the headline rate a poor measure of employment health. Support for our statement is provided by the data on real wages, which have been stagnant during the entire post-crisis period.

Guggenheim’s Minerd warns of a possible replay of 1987 stock market crash By Jennifer Ablan, Reuters

Investors should brace for a possible replay of the 1987 stock market crash later this year, given this month’s slump came against the backdrop of Federal Reserve interest rate hikes and rising inflation, Scott Minerd, Global Chief Investment Officer at Guggenheim Partners, said on Tuesday.

On Monday Oct. 19, 1987, following large declines on Asian and European markets the previous week, the Dow Jones Industrial (.DJI) Average plunged 508 points, or 22.6 percent, for the biggest-ever single day decline in percentage terms by the blue-chip benchmark.

“Today, investors have the same sorts of concerns they had in 1987,” Minerd said. By August 1987, equities were at record highs, the Fed was raising rates, the U.S. dollar was under pressure and there were increasing concerns over inflation, Minerd noted.

“The concern was the Fed was behind the curve as it accelerated rate increases,” he said. “By October, things were becoming unhinged. Bond yields had risen in the face of an extended bull market in stocks. The market reached a tipping point and began its infamous slide.”

As the Fed continues to raise rates this year, valuations of risk assets based upon faith in ultra-low rates and central bank liquidity will come into question, Minerd said.

JIM ROGERS: The worst crash in our lifetime is coming

“We’ve had financial problems in America — let’s use America — every four to seven years, since the beginning of the republic. Well, it’s been over eight since the last one.

This is the longest or second-longest in recorded history, so it’s coming. And the next time it comes — you know, in 2008, we had a problem because of debt. Henry, the debt now, that debt is nothing compared to what’s happening now.

In 2008, the Chinese had a lot of money saved for a rainy day. It started raining. They started spending the money. Now even the Chinese have debt, and the debt is much higher. The federal reserves, the central bank in America, the balance sheet is up over five times since 2008.

It’s going to be the worst in your lifetime — my lifetime too. Be worried.”

The End of Social Security
By Christopher R Rice

The U.S. was the largest creditor in the world. Now the debt is in the trillions of dollars. Trillions of dollars transferred from the worlds richest and most powerful country. This is a form of destructive economic management at a level of graft and corruption that has NO parallel. There’s nothing comparable to that in history.

The national debt is in the trillions of dollars, even our kids will never see it paid off. As the administration and Congress argue over cuts in social programs, inequality in America grows more extreme each day. Even the great financial crash didn’t derail this trend. The richest 400 Americans, for example, increased their wealth by 54 percent between 2005 and 2010, while the median middle-class family saw its wealth decline by 35 percent.

It’s not the result of mysterious global forces, or technology, or China, or structural problems concerning the skills and education of our workforce. Rather, it is the direct result of policy choices made by Democrats and Republicans alike.

The U.S. policy (includes tax policy, financial deregulation, trade policy, anti-labor policy, and much more.) for the past 30 years has been aggressively dedicated to shifting income share away from the poor and middle class and into the pockets of the already rich.

The top 1 percent of the U.S. population now owns about a third of the wealth in the country. Since the late 1970s wealth inequality, while stabilizing or increasing slightly in other industrialized nations, has increased sharply and dramatically in the United States.

Instead of taxing the Super Rich our politicians want to slash social programs, after school programs, instead of making corporations pay their fair share, our politicians want to take a knife to social security and Medicaid.

TRUMP and SOCIAL SECURITY

Back in 2000, Trump wrote a book in which he referred to Social Security as a “Ponzi scheme”, proposed increasing the retirement age to 70, and claimed, “Privatization would be good for all of us.” As recently as 2011, he said he was on board with plans to cut Social Security, Medicare, and Medicaid — but that Republicans should be very careful “not to fall into the Democratic trap” by doing it without bipartisan support, or they would pay the price politically.

I think most people remember what happened to all of the mentally ill in this country when Ronald Reagan switched to block grants for the states? Which is what they plan to do to Medicaid and Medicare. People with mental disabilities were thrown out into the streets, where they remain today. The same thing is about to happen to Americas senior citizens. The wall that Trump keeps talking about building along our southern border is not to keep the refugees out, but to keep us in.

According to economic journalist, David Cay Johnston, author of “Perfectly Legal,” this trend is not the result of some naturally occurring, social Darwinist “survival of the fittest.” It is the product of legislative policies carefully crafted and lobbied for by corporations and the super-rich over the past 25 years. New tax shelters in the 1980s shifted the tax burden off capital and onto labor. As tax shelters rose, the amount of federal revenue coming from corporations fell (from 35 percent during the Eisenhower years to 10 percent in 2002). During the deregulation wave of the ’80s and the ’90s, members of Congress passed legislation (often without reading it) that deregulated much of the financial industry.

If corporations paid taxes, our government could have a surplus – roads, dams, hospitals and schools would not be in disrepair or overcrowded because the government would have plenty of money for all these things as they once did and would not be looking for ways to cut social security or other social programs.

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Debt Bubble(s) and the Digitization Of All Trade

Business tax payments plunge, while workers pay more

Homeless U.S. Veterans

Socialism for the super rich and Capitalism for the poor

War on Poverty FAILURE

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Prepare for the biggest stock-market selloff in months, Morgan Stanley warns

By Ryan Vlastelica, MarketWatch

The U.S. stock market has been partying all throughout July, and a hangover is coming.

That is according to analysts at Morgan Stanley, who said that Wall Street’s rally is showing signs of “exhaustion,” and that with major positive catalysts for trading now in the rearview mirror, there’s little that could continue to propel equities higher.

“With Amazon’s strong quarter out of the way, and a very strong 2Q GDP number on the tape, investors were finally faced with the proverbial question of ’what do I have to look forward to now?’ The selling started slowly, built steadily, and left the biggest winners of the year down the most. The bottom line for us is that we think the selling has just begun and this correction will be biggest since the one we experienced in February,” the investment bank wrote to clients.

The decline “could very well have a greater negative impact on the average portfolio if it’s centered on tech, consumer discretionary and small-caps, as we expect.”

A correction is technically defined as a decline of at least 10% from a recent peak. Both the Dow Jones Industrial Average DJIA, -0.57%  and the S&P 500 SPX, -0.58%  corrected in early February, on concerns that inflation was returning to markets. While the Dow remains in correction territory—meaning it hasn’t yet risen 10% from its low of the pullback—the S&P exited just last week, following its longest stint in correction territory since 1984. The Nasdaq Composite Index COMP, -1.39%  never fell into correction.

Equities have done well of late, with the Dow up 4.3% in July. The S&P 500 has gained 3.1% in the month while the Nasdaq has advanced 1.6%, hitting multiple records along the way, though it has stumbled badly in the past three sessions.

Much of the rally has come on the second-quarter earnings season, which has both shown strong growth and featured a high number of companies topping analyst expectations. While there were some high-profile disappointments, including from Netflix Inc. NFLX, -5.70%  and Facebook Inc. FB, -2.19% —which suffered its biggest one-day drop ever after its results—market participants have generally looked past them.

“We must admit, the market sent some misleading signals over the last few weeks by limiting the damage to the broad indices when Netflix and Facebook missed. We believe this simply led to an even greater false sense of security in the market,” wrote the team of Morgan Stanley analysts, led by Michael Wilson, the firm’s chief U.S. equity strategist. Both Facebook and Netflix’s shares fell into bear-market territory on Monday, defined as a drop of at least 20% from a recent peak.

The firm forecast “a rolling bear market,” during which “every sector in the S&P 500 has gone through a significant derating” with the exception of tech and consumer discretionary. Those two sectors have contributed the bulk of the market’s advance in 2018; tech has risen 12.5% while the discretionary sector—boosted by Amazon and Netflix, both of which are up more than 50% year-to-date—is up 12.8%.

That these two industry groups haven’t fallen much doesn’t mean they won’t, Morgan Stanley warned.

“While it is possible tech and consumer discretionary stocks won’t experience the derating witnessed in other cyclical sectors, we think it is unlikely and are only emboldened by the misses from Facebook and Netflix and the price action last week,” they said.

“We recognize that money can also move from these sectors to others thereby leaving the S&P 500

around current levels rather than falling 10% as we expect,” they said.

Wall Street is sending huge warning signs for stocks

Count Marko Kolanovic, JPMorgan’s global head of quantitative and derivatives strategy, as one of those stressing caution. In a client note, he said that record-low volatility should “give pause to equity managers.” Kolanovic even went as far as to compare the strategies that are suppressing price swings to the conditions leading up to the 1987 stock market crash.

“The fact that we had many volatility cycles since 1983, and are now at all-time lows in volatility, indicates that we may be very close to the turning point,” he said.

Baupost Group, a $30 billion fund, recently highlighted the lack of price swings as a harbinger of pain to come, calling it a possible “accelerant for the next financial crisis.” Meanwhile, Highfields Capital Management, which oversees $13 billion, said that low volatility is giving people the false impression that the market is risk-free

Going beyond the much-maligned low-volatility environment, Bank of America Merrill Lynch has its own reasons for expecting an upcoming rough patch in stocks — one it sees coming sometime soon.

Michael Hartnett, the chief investment strategist of BAML Global Research, points to how the S&P 500 has continued climbing to new highs, even as the size of the Federal Reserve’s balance sheet has stayed relatively unchanged. He says this divergence is a “classic euphoria signal.” Such overexuberance has historically been a sign that investment sentiment is overextended.

Crash that may send Dow down…17,000 points
By Stephanie Landsman

Harry Dent is arguing that the Trump rally is setting investors up for an inevitable stock market crash.

Investors have embraced Donald Trump’s victory by sending stocks on a tear to new record highs. Dent, however, thinks there’s trouble brewing.

“I think this is going to be a stock market peak of a lifetime followed by a crash very similar to the early 1930s. This happens once in a lifetime,” Dent Research Founder Harry Dent recently told CNBC’s “ Futures Now .”

He added: “I think this is the last rally in this bull market.”

Dent may be calling for the rally’s last hurrah, but he’s also forecasting another ten to 20-percent jump for the Dow over the next few months.

“The markets are assuming that he is going to create three to four percent growth on a sustainable basis,” said Dent. “It is demographically impossible…. When the markets figure this out, they are going to crash.”

Dent makes the case that the U.S. workforce will see negative growth, estimating that the population will grow just over a quarter percent over the next 50 years. He also points to rock bottom productivity that not even tax cuts can solve in the immediate term.

“You can’t have stocks keep going up at this rate when earnings are going nowhere,” said Dent. “”I think it [Dow] is going to end up between 3000 and 5000 a couple years from now.”

Debt Bubble

What we have is a debt bubble. The rising debt is the stimulus funding the rally on Wall Street. QE1, QE2, QE3, Operation Twist, bailouts, handouts, and now $85 billion injected into the system every month. Hmm, I wonder if there is a coincidence between enormous debt creation and 43 new highs in the Dow this year?

No, the stock market is not in a bubble. It is reacting normally to new injections of cash and buyers. The debt bubble, however, is a different matter. These things end badly, historically. Eventually, somebody has to pay the Piper.

The stock market is up, while the economy isn’t. Since the stock market is supposed to reflect the economy, it looks a bit overvalued.

There is also a good reason for over-valuation: the cheap money policy by the Fed means that there is no money in bonds, so many investors have loaded up on stocks, which drives their price up.

The NASDAQ and Russell 2000 are in bubbles right now. Once the fed starts increasing its interest rate, the stock market will drop like a rock. Continue reading: Debt Bubble

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Business tax payments plunge, while workers pay more

Drug money is an inherent part of the American economy

Donald Trump has appointed unqualified donors to policy-making cabinet positions

People’s Party (United States)