2016: Here It Comes: We’re Being Set Up For Higher Interest Rates, A Major Recession And A Giant Stock Market Crash

Since Donald Trump’s victory on election night, we have seen the worst bond crash in 15 years.  Global bond investors have seen trillions of dollars of wealth wiped out since November 8th, and analysts are warning of another tough week ahead.  The general consensus in the investing community is that a Trump administration will mean much higher inflation, and as a result, investors are already starting to demand higher interest rates.  Unfortunately for all of us, history has shown that higher interest rates always cause an economic slowdown.  And this makes perfect sense because economic activity naturally slows down when it becomes more expensive to borrow money.  The Obama administration had already set up the next president for a major recession anyway, but now this bond crash threatens to bring it on sooner rather than later. For those that are not familiar with the bond market, when yields go […] Read More

2016: Clamp Down on Cash Is the Ultimate Surveillance State: “Citizens Shouldn’t Be Under General Suspicion”

The war on cash is more than just a currency war to clamp everyone down on the electric grid. It is also a war on your privacy and the nail in the coffin for the free market of low-level transactions. Soon, restrictions on cash will become so severe that even spending $100 will arouse suspicion, despite the constant inflation on the value of such a denomination. One day, physical currency may become obsolete. When that day comes, they will know everything you do. Conducting transactions in anything but digital creds will be not only increasingly difficult but seen as outright criminal behavior. It might even make you a terrorist. Don Quijones argues on Wolf Street: There are two sides in the global war against cash. On one side are many of the world’s governments, central banks, fintech firms, banks, credit card companies, telecommunication behemoths, financial institutions, large retailers, etc. According […] Read More

2015: Illinois to Postpone Pension Payments “We Are out of Money Now”

This article was written by Joshua Krause and originally published at The Daily Sheeple. Editor’s Comment: This has been a long time coming, but the state is no better prepared for having seen in coming. Like derivatives, the housing bubble and over-priced assets, the pension problems are a serious millstone around the neck of the economic system, and more than weighty enough to send the whole thing into a nosedive. For the past 4 months, Illinois has been embroiled in a budget impasse between the state’s Republican governor, and the Democratic legislature. They’ve gone so long without a budget, that they have to pay their lottery winners in IOUs and may have to shorten the length of their school year. They’re essentially rationing and juggling the finances of their public institutions until the government comes up with a budget. This has resulted in a frightening situation for Illinois’ retirees, […] Read More

2015: Will the Fed Hesitate? “Everything is Too Vulnerable” for Rate Change, Says Ron Paul

The system is teetering on edge, and nearly everyone in the financial sector is waiting for one decision – will the Fed finally raise rates? Ron Paul has made a bold prediction that the Federal Reserve likely will NOT raise interest rates, something which would have enormous consequences in the market, because it is hesitant to do so with so many negative risk factors the market already faces. Fed Chair Janet Yellen – and most in the financial sector – know how much is impinging upon the possible decision to raise rates after years and years of quantitative easing have pushed the limits of stimulating the economy. According to CNBC: By Paul’s reasoning, the Fed is too scared to raise interest rates in the middle of an already weak recovery and risk sending the U.S. economy back into recession, or worse… The Fed chief “does not want to be […] Read More

2015: Coming for Your Funds: Supremes “Justify Seizure of Pension Funds to PROTECT Pensioners”

This article was originally published by Paul Joseph Watson at Infowars.com. Editor’s Note: Incredibly, and in direct defiance of any sane logic, a recent Supreme Court decision has justified “government seizure of private pension funds to protect pensioners,” according to famed economist Martin Armstrong. This unsettling decision puts 401ks and plenty of other funds in the crosshairs. How that can be considered consumer protection, or government shepherding is unclear, if not unfathomable. Nonetheless, the rationale is in place – so beware. It has long since been legalized for Wall Street equity firms to gamble away pensions – including public pensions for states like California – through derivatives, while it has long since been legalized for the Federal Reserve to literally grow paper on trees, hand out free candy to sugar addicts and make money (for those at the top) so cheap its practically free – all driving down the […] Read More

Bailout is Back: Fannie and Freddie Likely Need “Additional Treasury Investment” After Derivatives Losses

There is trouble again for federal mortgage backers and bailout queens Fannie Mae and Freddie Mac, whose failures helped to trigger the housing market collapse and subsequent 2008 economic crisis. The government enterprises are again turning their lowest profits since the recovery, thanks to derivatives losses – where most of the mortgage lender money is invested: Fannie Mae will make its smallest payment to taxpayers in more than four years after large derivatives losses crimped its fourth-quarter profit, the government-controlled mortgage financier said on Friday. Fannie Mae said a drop in long-term interest rates sharply reduced the value of the derivatives contracts it uses as hedges in financial markets, adding that low capital buffers are raising the risk it could need taxpayer money in the future. The derivatives losses helped reduce quarterly profit to $1.3 billion, about 80 percent less than a year earlier, and the $1.9 billion check […] Read More

2014: 85 Super Wealthy People Have More Money Than The Poorest 3.5 Billion Combined

The global economy is structured to systematically funnel wealth to the very top of the pyramid, and this centralization of global wealth is accelerating with each passing year.  According to the United Nations, 85 super-wealthy people have more money than the poorest 3.5 billion people on the planet combined.  And 1.2 billion of those poor people live on less than $1.25 a day.  There is something deeply, deeply broken about a system that produces these kinds of results.  Seven out of every ten people on the planet live in countries where the gap between the wealthy and the poor has increased in the last 30 years.  Despite our technological advances, somewhere around a billion people go to bed hungry every single night.  And when our fundamentally flawed financial system finally does collapse, it will be the poor that will suffer the worst. Now, let me make one thing clear […] Read More

2014: 12 Numbers About The Global Financial Ponzi Scheme That Should Be Burned Into Your Brain

The numbers that you are about to see are likely to shock you.  They prove that the global financial Ponzi scheme is far more extensive than most people would ever dare to imagine.  As you will see below, the total amount of debt in the world is now more than three times greater than the global GDP.  In other words, you could take every single good and service produced on the entire planet this year, next year and the year after that and it still would not be enough to pay off all the debt.  But even that number pales in comparison to the exposure that big global banks have to derivatives contracts.  It is hard to put into words how reckless they have been. At the low end of the estimates, the total exposure that global banks have to derivatives contracts is 710 trillion dollars.  That is the […] Read More

2014: The Size Of The Derivatives Bubble Hanging Over The Global Economy Hits A Record High

The global derivatives bubble is now 20 percent bigger than it was just before the last great financial crisis struck in 2008.  It is a financial bubble far larger than anything the world has ever seen, and when it finally bursts it is going to be a complete and utter nightmare for the financial system of the planet.  According to the Bank for International Settlements, the total notional value of derivatives contracts around the world has ballooned to an astounding 710 trillion dollars ($710,000,000,000,000). Other estimates put the grand total well over a quadrillion dollars.  If that sounds like a lot of money, that is because it is.  For example, U.S. GDP is projected to be in the neighborhood of around 17 trillion dollars for 2014.  So 710 trillion dollars is an amount of money that is almost incomprehensible.  Instead of actually doing something about the insanely reckless behavior […] Read More