Author: Chris

I have uploaded a podcast for October 18,2018. Click here to go to the show archives page to listen and look at the relevant links or you can listen on the link below. You can also right mouse click here to download the podcast.

-I answer a few email questions I received over the past couple days
-The US Fed kept the Fed funds rate near 0% for seven years. If the Fed tightens further and higher from here the downturn would happen faster and would probably be less severe than if policy was more relaxed.
-If the Fed listens to President Trump and the asset bulls then the asset boom could last another couple years, but the down cycle would be much more severe.
-I am concerned about the US government’s fiscal standing when the next bust comes about
-Take your pick; I prefer to raise rates faster and get the bust sooner
-The next bust is already baked into the cake and there is nothing that can be done to unwind the prior policy moves. It was all done by design and intent.
-I continue to stay liquid and pay off debt. I want to be as liquid as possible for the next cycle. My goal is to have as little debt outstanding, so if a bust occurs I can leverage my assets to buy more.
-I prefer holding my liquid position in my home currency
-Should I own gold and/or silver? What about owning mining shares?
-Is holding money in bitcoin or any other cryptocurrency keeping money liquid?

Understanding why asset prices go up more than inflation

I received an email observation from a reader and listener of my blog and wanted to pass it along to you.

Observing here in Toronto how the city has changed where back in the 70s and 80s the majority of the population was middle class. The middle class has totally shrunk here. With the extreme high cost of living the majority of the people are working class poor.

There is a new breed of ultra rich foreign money here too. The divide here is growing every year. I believe a lot has to do with technology and a large chunk with real wages after inflation have declined in the last 40+ years.

The items you need to survive; housing, food, transportation have increased the most.

[I] Was talking to my friend’s 84-year old dad. He bought his bungalow here in 1969 for $ 14,000. They both made $ 7,000 together. [The house cost] 2x income. Now it’s 14x in Toronto and 23x Vancouver. Crazy.

-email from a subscriber in Toronto, CA

That is a grim, but increasingly common assessment. While the residents in Toronto may be experiencing one of the sharpest rises in asset and real estate inflation, a similar story has unfolded in most populated areas around the globe.

If we are to understand why asset prices continue to balloon despite muted general inflation rates we need to understand how the financial and economic systems of the New World Order work. Keep in mind, we are already in the NWO; we don’t have to wait for some future event.

Recall former Vice President, Dick Cheney’s famous quote that “deficits don’t matter.” Most people who heard that were astonished, since it ran counter to conventional wisdom. However, for those who know how to game the system it is somewhat accurate. I will go one step further and say that deficits do matter; they are necessary for the NWO to consolidate its power.

-Chris Pirnak

The large deficit spending of the develop nations and now China and Asia is causing asset prices to balloon. The sovereign debt that’s generated from the fiscal deficits become financial instruments of marketable value that can be used to leverage other assets. I discussed this concept here, here, and here a couple years ago with my explanation on Bushonomics and its legacy of large peacetime deficit spending that has persisted for over 35 years.

Recall former Vice President, Dick Cheney’s famous quote that “deficits don’t matter.” Most people who heard that were astonished, since it ran counter to conventional wisdom. However, for those who know how to game the system it is somewhat accurate. I will go one step further and say that deficits do matter; they are necessary for the NWO to consolidate its power.

In order for the NWO elites to destroy the middle class they needed to expand government fiscal deficits, so that the generated sovereign debt could be used to increase the prices of assets. This would result in the creation of a wealthy class of individuals and a wage-slave working class.

How come assets prices rise faster than general inflation?

While the growing deficit spending continues to generate marketable securities that can be used as collateral to bid up asset prices, the promulgation of open borders policies, the arbitrage of production input costs between rich and poor nations, and the free movement of capital have decimated the wage earner. Open borders are necessary to keep the general inflation rate lower than the rise in the money supply. The trend has been in place since at least the late 1970s when the US began to offshore production to Asia and Mexico. Essentially, the developed nations export inflation and import deflation.

This trend will not reverse in our lifetimes. So don’t get upset about mass immigration. Just know that it is designed to mask the true rate of monetary inflation.

Look at the global asset inflation in the wake of the 2008 economic collapse. The rise in stocks and real estate prices have been phenomenal. This was only possible from the massive generation of sovereign debt that was issued as a result of the the trillion dollar deficits in the US, the former commonwealth nations, and Europe.

Most of the Trump supporters want loose monetary policy. I say, let them have it. I have no opinion one way or the other, but I am sure my assets will continue to go up in price. I will benefit more than most of his voters with their hard-wired biases to support whatever he says. Just keep in mind, it all comes at a cost. Asset prices will continue to rise faster than inflation and wage growth and real estate and other assets will move further out of reach of the average wage slave.

Keep in mind that all of the social spending programs that are designed to make things more affordable result in higher prices and tighter government control. Healthcare, education, and housing are just some examples  of sectors that no longer have stable supply/demand dynamics. Government intervention has only driven up the cost as the “benefits” were arbitraged into the system.

How to survive in the NWO

If we know these basic underpinnings of the NWO financial system then we can carve out a life that will benefit us under the NWO.

I have repeatedly said that if a person goes to college, incurs debt, and works for a wage he or she will continually fall further behind, regardless of how much the salary happens to be.

The only way to get ahead in this system is to procure assets that generate income and will move up in value over time or build a business that can grow income faster than monetary inflation.

Never underestimate the US Fed’s ability to support asset prices

I continually come across these types of articles that illustrate a concept we frequently discuss; Never underestimate the US Fed’s ability or desire from embarking on programs that would support asset prices.

The elites need to consolidate as much of the world’s wealth as they can before the next phase of the new world order is implemented. By hoisting assets onto the balance sheets of the central banks these elites gain effective control of these assets.

The Federal Reserve buying stocks? How about financing the federal deficit? Or buying goods?

These were some of the suggestions for combating the next severe recession given to the central bank by former IMF chief economist Olivier Blanchard at the Boston Fed’s monetary policy conference.

There is a general sense the Fed has to re-think its approach to combating recessions given the low-interest-rate environment that is persisting.

Blanchard said the Fed probably has enough tools to handle a run-of-the-mill recession. But if it is another severe recession like the financial crisis, Blanchard urged the central bank to resort to previously unheard of policies.

MarketWatch – Fed should buy stocks if there is another steep recession, former IMF economist says (October 10th)

The next economic downturn in the US

Imagine this scenario; the US economy begins to turn down and zero-bound interest rates are not helping to enhance economic growth. What would the monetary authorities do at that point? I submit that in a dynamic economic environment we must stand ready for any setup, including the most likely one – the situation where the Fed is “forced” to expand it’s QE program and buy assets of all kinds.  Keep in mind, this is not without precedent. The Bank of Japan has essentially been buying everything not nailed down, including domestic stocks.

In his speech at the Fed conference, Blanchard said the size of the balance sheet is not a constraint.

“Yes they are scary. But that doesn’t mean it cannot be done. If we need it, we could clearly double it and nothing terrible would happen,” he said.

At the moment, the Fed can only buy Treasurys and mortgage-related assets.

The best policy would be for the Fed to buy assets with high premiums like stocks, he said.

“This could do the trick and could work even better than buying long bonds,” he said.

If things got really bad, monetary financing of the deficit is something that could work to increase demand, Blanchard said.

“We have this notion that it is only OK for the central bank to buy assets and not goods. But that’s a restriction we imposed on ourselves,” he said.

MarketWatch – Fed should buy stocks if there is another steep recession, former IMF economist says (October 10th)

Asset buying will be the go-to response

I agree with Blanchard’s analysis. As long as inflationary forces stay low, I believe an expanded QE program will be the go-to action in the future. While some at the  Fed say that this scenario is not currently politically feasible, I see it as a very likely outcome when the economy and asset markets turn down again.

We have already seen calls by analysts in the business media for the Fed to loosen up. Many of these individuals are asset bulls and only want to see asset prices increase. Moreover, many in the growing populist movement are attempting to get the central banks to loosen up even more.

After some half-hearted opposition, I see little resistance to an enhanced central bank buying spree. Most myopic investors who would enjoy their growing personal balance sheets would embrace an expanded asset purchase program.  Whether an expanded QE program helps the economy is up for debate. It certainly would lift asset prices, all other things being equal. This, of course, would conflate with the agenda for the elites to consolidate the world’s wealth.

Whether an expanded QE program helps the economy is up for debate. It certainly would lift asset prices, all other things being equal. This, of course, would conflate with the agenda for the elites to consolidate the world’s wealth.

– Chris Pirnak

Could the Dow reach 40,000 after a Fed induced buying spree?

I came across another article titled, Dow 40,000 is coming, but only after ‘a large panic event’ passes, analyst warns, which illustrates a scenario in which a Fed buying program could lift the Dow to 40,000.

Yves Lamoureux, president of macroeconomic research firm Lamoureux & Co., is predicting that after a nasty market and/or economic contraction the Fed could step up and be the catalyst for a hyperinflationary asset boom.

Lamoureux predicts that the stock market could lose a third of its value in the coming year, prompting a “hyperinflation of financial assets at an impressive rate” that ultimately carries the Dow all the way up to 40,000 in the years that follow.

But how, exactly? Lamoureux says the Federal Reserve, which President Donald Trump just described as “loco,” will look to prop up markets.

“The Fed most likely steps up early in 2020 and starts buying shares,” he said.

MarketWatch –  Dow 40,000 is coming, but only after ‘a large panic event’ passes, analyst warns (October 11th)

While I do not necessarily endorse his actual market predictions, I do endorse the most likely outcome he theorizes.

Is this the reason mainstream business is criticizing the US Fed?

Perhaps the mainstream press is criticizing the US Fed for being too tight, because they are conditioning us to embrace an aggressive asset buying spree on par with the Bank of Japan’s program. Perhaps this program is already on tap and its concepts need to be gradually introduced to the populous.

I propose that the likely outcome of rising interest rates and an economic downturn will be a market correction that would force the central banks to step in and begin buying up all sorts of assets. The list could include stocks, bonds, houses, mortgages, skyscrapers, land, businesses, and infrastructure.

If this is the case then the US dollar will once again be the sought-out currency and dollar-denominated assets would be in high demand by global investors. The dollar bears can chalk up another defeat.

So, think about this; the Trump supporters and alt-financial media who are bashing the Fed and who despise the US dollar would end up on the losing end once again – even if they correctly predict an economic calamity.

Of course, the consolidation of the world’s wealth under such a scenario would be breathtaking. But it would fit the agenda for the global financial dictatorship.

 

 

I have uploaded a podcast for October 13,2018. Click here to go to the show archives page to listen and look at the relevant links or you can listen on the link below. You can also right mouse click here to download the podcast.

-Keep focused on what really matters; Stay tuned and stay liquid. Why is the mainstream business media now criticizing the US Fed?
-The US announced three years ago that they would begin unwinding the balance sheet and raising the Fed funds rate. The markets took it in stride and was accepted by most in the MSM and alt-financial press.
-We analyzed that the US Fed was behind the curve, given rising asset inflation, lower unemployment, and domestic economic growth. They were just playing catch-up.
-In fact, the Fed is still too dovish and has fallen behind their intended targets on their balance sheet unwind program.
-Many in the alt-financial media who were excoriating the US Fed when it promulgated QE are now criticizing the Fed for its tightening. We can’t have it both ways, but many in the alt-financial world who are too contaminated with their Trump-loving, hard-wired biases will beg to differ.
–Reuters reports that the “world’s central bankers feel the heat as populists demand easy fix.” Many in the populist movement are warning that the central banks are way too tight. This includes the Trump supporters, with their hard-wired biases.
-If the Fed loosens up commercial real estate values will continue to balloon.
–Jim Cramer is harshly criticizing the US Fed actions. Bloomberg has thrown its hat into the ring, too.
-The US Fed is not causing the problems at this point in the business cycle, I submit it is the reckless and myopic fiscal policies of the US government. The untimely building of the federal deficit is pumping over about $500 billion into the economy. The deficit for 2019 is estimated to be about $1 trillion.
-We may say that Trump is just doing what is politically expedient for his voters, but why are his actions and rhetoric bringing the world closer to war? Perhaps he is just carrying out his part of the agenda as a compromised member of the secret societies.
-This upcoming global conflict will be the force majeure that will usher in the next phase of the new world order. It was difficult to contemplate before Trump took office, but it is looking more certain with each passing day.
-The dog and pony show between Trump and the Fed is highly charged and politicized. This is unprecedented and its results will take time to flesh out. This manufactured drama has engulfed most in the alt-financial media. It will prove costly as the followers of the alt-media will make the wrong financial decisions once again.
-With $1 trillion in new federal deficit spending and legislation passed this fiscal year that will add $445 billion to the deficit next year alone what will the Trump regime do when things fold in on itself?
-Household debt levels in the US are actually very reasonable. 

-Being a dollar basher has been costly. Most of the dollar bashers who are promoted in the alt-financial press are controlled shills and are there to impoverish and disenfranchise potential resistance to the new world order. These sites and outlets include Zerohedge, RT, Daily Reckoning, KWN, Economic Collapse Blog, etc.  Keep in mind that many of the alt-financial sites are only copywriters and get paid for marketing. The shills that impoverish with half-truths and deception include, Nomi Prins, David Stockman, Max Keiser, Peter Schiff, Jim Rickards, Mark Faber, Jim Rogers, Michael Snyder, Paul Craig Roberts, etc. If you followed the calamity talk of these shills you lost a lot of money and it came at a tremendous opportunity cost.

–The amount of wealth added to US balance sheet has been breathtaking. Of course, those listening to the alt-financial press lost out on a once-in-a-generation opportunity.
-Some conspiracy students view Trump as being just a stupid demagogue and not part of the larger conspiracy for world government. They look at the UN Agenda 2030 as part of something else. I submit that Trump will help bring the world to war and the resulting world wreckage will resemble that of a society modeled after Agenda 2030. Agenda 2030 is just Agenda 21 on steroids.
-Gold has some legs here. Buying on the dips proved profitable so far. The bearish bets were too extreme.

Donald Trump’s shadow looms large over the world economy

I came across this Bloomberg article titled, ‘Trumponomics’ Takes a Heavy Toll on the World, and wanted to pass it along to you as much of what the author enumerates is what I have been relaying all along.

My concern has been the massive fiscal stimulus

I realize that the tariffs issue has taken center stage, and indeed, it is a very troubling situation. It is a politically charged matter and popular with the less learned. Despite the imposition of hundreds of billions in new tariffs the US’s trade deficits continue to widen.

But I have to emphasize that the unprecedented fiscal stimulus, which has been dispensed at the height of the current business cycle has the potential to deteriorate the global economy much more quickly and profoundly. The higher rate of domestic growth, inflation, and interest rates has the potential to cause much more damage. I have been driving this point home, because the stimulus program has been embraced by many in the alt-media and pro-Trump partisan camp.

The U.S. president has pursued two flagship economic policies since becoming president. One was a mammoth tax cut, which could push his country’s budget deficit to its highest point since 2012. The second is an outwardly aggressive trade policy, including steep tariffs against China and the reworking of agreements with long-standing partners such as Mexico, Canada and the EU.

The full impact on the U.S. economy from all of this will take time to assess. Washington has embarked on fiscal stimulus at a time when unemployment was already very low. While that gives the economy a sugar hit, it’s more prudent to shrink public debt when things are going well.

Bloomberg – ‘Trumponomics’ Takes a Heavy Toll on the World (October 9th)

The dollar will benefit

The Fed has been called to action in the wake of the artificially-juiced domestic economic growth. The rising inflationary trend and the large counter-cyclical deficit spending is becoming a concern to those financing the ballooning fiscal deficit, which may touch $1 trillion this fiscal year. This is too high at this point in the business cycle. The US government should be narrowing its budget shortfalls as the economy can generate more tax revenue and organic growth.

Take, first of all, that fiscal stimulus. It has encouraged the U.S. Federal Reserve to raise interest rates at a steady clip. The risk is that investors will try to guess at future hikes in a disorderly manner. Last Wednesday, the yield on 10-year U.S. Treasuries rose by 12 basis points in a single day, ramping up bets that they will rise further.

Emerging markets are already bearing the brunt. Higher U.S. rates will persuade investors to move their funds into assets denominated in dollars, which will push up the value of the greenback. The Bloomberg dollar index has risen nearly 7 percent in six months and could increase further.

Bloomberg – ‘Trumponomics’ Takes a Heavy Toll on the World (October 9th)

I mentioned previously that this also provides the potential for a global USD liquidity crunch. If USD-based borrowing rates continue to rise, the rush to cover USD-loans will grow. Moreover, if the USD continues to appreciate vis-a-vis the other major currencies borrowers could suffer massive losses. The amount of foreign-based USD funding has grown to unprecedented levels.

Many view the stimulus program as a good thing through a partisan lens

It is difficult or nearly impossible to convince those with hard-wired biases that these actions have the potential to be catastrophic to the global debt markets. In addition, the agenda underpinnings of  the America First policy is exactly the worst course of action for global economic stability. Moreover, this policy only helps to denigrate the global standing of the US. This, of course, plays into the agenda for a global government, which makes me wonder why such a reckless economic policy has been implemented.

This is going to turn out differently than most are anticipating.

I have uploaded a podcast for October 8,2018. Click here to go to the show archives page to listen and look at the relevant links or you can listen on the link below. You can also right mouse click here to download the podcast.

-Donald Trump has plenty of experience in bankruptcy cases and it seems he was hired to work on another bankruptcy; the bankruptcy of the world outside the United States.
-The top traders can separate their biases when it comes to party affiliation. For instance, successful traders and investors who are Republican can be objective about government economic policies and how they can affect the markets. The average person cannot, which is why the average person always ends up on the losing end of every bust.
-Trump’s America First policy is seriously impacting most of the countries outside the US. The US asset markets may continue to do OK, as dollar-denominated assets will be sought out over others.
-The tariff talk is small potatoes compared to the impending calamity of rising UST yields.
-The top economists of the world (not the shills on CNBC and Bloomberg) know what is coming.
-When Alan Greenspan talked about the bond bubble unwind in late January and early March he had already taken a look at the Trump fiscal stimulus package and knew we were done. The same goes for Janet Yellen and Ben Bernanke. But they can’t come out and say it as that would make Powell’s job more difficult.
-We may not agree with the fiscal and monetary package promulgated during the market nadir earlier this decade, but at least the timing made sense. Never push fiscal stimulus at the cycle highs.
-The only way to avoid what is coming is for either US economic growth and inflationary pressures to fall quickly or to rescind Trump’s fiscal package.
-Keep in mind that this was completely avoidable. At some level I have to say it was done by design as the people running the government cannot be that stupid. When people join a secret society they are given over to another master.
-There is a substitution effect with sovereign debt. How will the European nations finance their deficits at low rates if the 10- year UST yield is approaching 4%? How will Japan be able to keep their debt machine working with no grease?
-So many nations could topple over and go insolvent.
-A president who provides unprecedented fiscal stimulus at the height of the market cycle is either very foolish or doing it on purpose. I submit that Trump doesn’t have the introspection and understanding, so what he was told comes from a higher level.

Will the US Fed and the federal government both cause a global crisis?

I found this Bloomberg article particularly revealing.  I think it puts my concerns into perspective that there are increased chances of an asset market bust coming in the not-so-distant future. This doesn’t necessarily mean that all assets will fall, but there will be plenty of collateral damage spread around the world. To those who are prepared this will provide opportunity. To those who are not it will be very ugly indeed.

A key feature of the global financial crisis a decade ago was a chronic shortage of dollars that eventually spurred the Federal Reserve to set up swap lines with more than a dozen central banks to ease funding pressures. Yet the world has doubled down since then: dollar credit to borrowers outside the U.S. — excluding banks — climbed to 14 percent of global gross domestic product by March, from 9.5 percent at the end of 2007, according to estimates cited in a Bank for International Settlements paper.

Bloomberg – Increased Dollar Dependence Sets World Up for `Liquidity Crunch’ (October 6th)

Trump tax cuts cause a global liquidity crisis?

The incoming economic data on the real side of the economy have come in stronger than I had been expecting earlier this year. So much stronger, in fact, that the central question in my mind is whether the apparent strength in GDP and job growth is a signal that I have materially underestimated the underlying momentum of aggregate demand. If that’s the case, the potential for overheating would require a higher path for rates than what I had been thinking.

Raphael Bostic – Atlanta Fed President (October 5th)

Contemplate this scenario;

• The US Fed clearly needs to raise rates in the US as its dovish policy has continued to fuel asset inflation. Moreover, the Fed desperately needs to normalize rates, which will provide fuel to help ameliorate the next downturn. It has worked within a predictable, yet myopic frame of reference.
• Subsequent to the pre-planned flight path of the Fed, President Trump’s tax cuts have provided domestic economic stimulus at the height of the business cycle. He was cheered on by supply-side economists, greedy asset market bulls, and shills like Larry Kudlow.  Moreover, his brand of demagoguery appeals to middle America who believe the tax cuts will benefit them. Obviously, these people do not understand the ramifications of economic and public spending policy. But this does not matter. They never can make these connections.
• With the US economy artificially juiced and climbing higher than the Fed members previously predicted the US Fed is being forced to raise rates across the entire yield curve at a level much higher and faster than initially anticipated.
• Higher rates and an expanding domestic economy in the US, vis a vis other nations, support the US dollar and anyone around the globe borrowing in US dollars is effectively shorting the US dollar.
• Concepts enumerated in this bloomberg article move closer to reality and an unprecedented global liquidity crunch is the likely outcome. The amount of US dollar funding by foreigners outside the US is at unprecedented levels

Trump was cheered on by supply-side economists, greedy asset market bulls, and shills like Larry Kudlow.

Chris Pirnak

Will Trump’s America First policy of never before seen fiscal stimulus at this stage of the business cycle be the cause of a global dollar liquidity crunch? Will it be at the root of an upcoming global economic calamity? I am betting on it and preparing accordingly.

As always, economic downturns in developed nations are deflationary, and the upcoming one will be as well. My advice to the dollar bashers will be to reconfigure your confirmation bias and deep hatred of the dollar… and fast.

 

I have uploaded a podcast for October 6,2018. Click here to go to the show archives page to listen and look at the relevant links or you can listen on the link below. You can also right mouse click here to download the podcast.

-The US Fed has been way behind the curve for at least three years. This was intentional, just like with the last few times the Fed kept rates too low for too long. This was not a mistake.
-For those with cash and low leverage this provides upcoming opportunities.
-This does not mean there will be catastrophe. It only means another planned downturn is in the works. As always it will be deflationary, so the dollar bashers need to realign their confirmation bias.
-My recommendations will ensure us that if catastrophe ensues we will be properly prepared.
-We may be surprised how far the Fed may be forced to raise rates to reign in inflation, GDP growth, and asset markets (real estate) inflation. The 10- and 30-year UST may rise higher than we think.
-This was totally intentional. We discussed the uber-dovish policy as far back as 2015 and that the Fed should have begun to raise rates as early as late 2012. The Fed needed to begin normalizing interest rates  as far back as six years ago. They didn’t have to unwind the balance sheet until later.
-The giant monolithic force that was long 10-year UST futures and that was sponsored by the Fed and Treasury is gradually retreating. Will 3.5% be sooner rather than later?
-It is too late to fix this cycle and the next bust is baked into the cake. Done by design.
-Yesterday, the Atlanta Fed President said he totally underestimated the US economy’s strength.
–Banks Brace for the Downside of Higher Rates
-The US federal budget deficit is much larger for this time in the business cycle. The increases in government spending and tax cut stimulus are to blame right now more than the low interest rates. It is like an out of control bus now and there is nothing that can be done except to raise rates across the board until it folds.
-The best suggested investment strategy is to increase cash and short-term investments and pair down debt. We are now running into the late stages of this current cycle strength.
-My concern is that the US government will be out of bullets come the next downturn. That is unless it intends to go over $2 trillion in annual deficits (I think Ben Bernanke’s Wiley Coyote comment is accurate).
-If the US government didn’t provide all this front-loaded stimulus, economic growth, inflationary pressures, and the Fed’s urgency in raising rates would be lower.
-An analysis in how the Trump supporters and patriots supported a Bush and Ken Starr retread for Supreme Court justice. Before the confirmation hearings many in the truther movement were very disappointed in Kavanaugh. However, the over-the-top “liberals” channeled the patriots into the corner to come together for a judge well-known to support federal government heavy-handedness and 4th amendment evisceration.
-I predict Trump will consolidate power after the mid-terms. THIS IS NOT BY ACCIDENT. If this is true then the over-the-top “liberal” grandstanding was just for show.
-I see pastors who should know better on YouTube praying for the Kavanaugh confirmation. We are done and the church in the US is completely rudderless.

I have uploaded a podcast for October 4, 2018. Click here to go to the show archives page to listen and look at the relevant links or you can listen on the link below. You can also right mouse click here to download the podcast.

-We were warned by Greenspan, Yellen, and Bernanke in carefully scripted interviews early in the year that bonds were going to suffer losses and to prepare accordingly. I pay attention to the broadcast interviews for clues.
-The Fed is not losing control. The Fed needs to raise the entire yield curve in preparation for the next bust. It could easily lower bond yields if it wanted, but it has clearly mapped out its strategy and seems to be sticking to it for now.
-The biases in the alt-financial media are too ingrained to overcome. Peter Schiff, USA Watchdog, and ZeroHedge are all telling their followers that things are spinning out of control.
-The collapse talk provides tasty click bait and added revenue for the alt-financial media. Schiff has been barking the same trash since at least 2003.
-The dollar collapse talk is in high gear again. These prophets are recommending gold over dollars. I say otherwise. Owing dollar-denominated debt is the last thing we want as that is an effective dollar short.
-The US Fed is at the top of the financial hierarchy and all other monetary authorities play off the Fed.
-I don’t get distracted with the anti-dollar rhetoric coming out of the IMF and ECB. They are controlled opposition and just trash-talking players on different teams. They all play for the same group of owners. It reminds me of the Giants/Cowboys rivalry.
-Martin Armstrong; controlled opposition and collapse talker. Why would I listen to a person who rejects conspiracy out of hand? He says it’s just the greedy politicians trying to keep their jobs. He also thinks the Romans crucified Jesus. He praises the private central bank concept.
-If you want to know about climate change just look up in the sky. It’s all a big lie, so don’t confront the adversary with opposite findings. We just play into their hand. Proverbs 26:4.
-The Trump tax cuts are just making things easier for the elites to carry out their agenda. If all spins out of control, much of the blame can be leveled on Trump. He juiced the economy at the worst time.
-Bernanke talked of the US economy’s Wiley Coyote moment and bond unwind.
-Don’t look to the media, TV, patriot media heads, newspapers to provide the answers. Once someone mentions that the left/right paradigm is a fraud and that there is no real difference between the two sides, he or she is banished.
-We need to be prepared for the next bust. We need to think for ourselves.
-I LOVE MARKET BUSTS! YOU SHOULD, TOO.

I received a question from a reader:

Question:
This question doesn’t pertain to economics, but your opinion on the internet. Do you think the internet was a bad invention by mankind or was it a mostly great one, and if you had the power to abolish it, would you do it?

Answer:
I know I spend much time discussing the development of the internet and how it is being used against us, but if it wasn’t for the internet our understanding of the world would be more opaque.

Indeed, the globalists ultimately developed the internet as a vehicle to analyze the world and human condition in real time. We must never lose sight of this. Moreover, it is a vehicle that naturally speeds up the concentration of the world’s wealth and power. As the images on this page remind us, the vast majority of a web surfer’s time is spent on the large corporate websites. For most people, the internet provides them with entertainment, easy communication, financial stuff, and convenience and that’s the extent of it. For the globalists the evolution and build out of the internet is a necessary achievement to get their final objectives of the new world order in place. It is a system that builds its knowledge base by what the users provide it, so imagine what the world wide web will look like in another 20 years. The globalists are pushing 5G for a reason. They have grand plans.

With the web time seems to be speeding up

On some level I have to conclude that the internet has helped to make this world a much more complex place to exist. I have to believe that without the internet time would be dragging much more slowly than it is. With the web time and things are speeding up quickly.

Imagine a world without the internet. You and I would find it so much more difficult to connect with other like-minded people and to learn and develop the required knowledge we must have in these last days. During the early 1990s, in order to perform the research to write papers for school I used to spend countless hours at the main branch of the NY Public Library. It was always such an arduous endeavor and the results were less than inspiring. Trying to get timely international economic data was challenging. But with the internet, everything I need is at my fingertips.

The internet is one of the greatest ever inventions

In my opinion, I think the internet is probably one of the greatest inventions ever created. It has the power to vastly expand our horizons and knowledge base. It truly is a marvelous concept, but whether I think it is a good or bad thing for mankind is another question. The toothpaste is out of the tube, so we must live our lives with the web.

I look at how the world has evolved since the advent of the internet and I have to consider that the vast majority of humanity has not benefited as much as many believe, but the negative externalities are impossible to objectively measure. How we measure is purely subjective, and whether we can make a causation statement about the world and the internet is another question.

We must never mistake the access to data and information with increasing intelligence. Our level of intelligence is our ability to analyze and process information and the internet does not do that for us – unless, of course, we use it to help us learn this skill set. Sadly, too many rely on the internet for affirmation of preexisting biases and our adversary is always willing to help out.

We see that our sudden loss of personal liberties, freedoms, and right to privacy have a high positive correlation to the progression of the internet’s evolution. I fear there will come a time when just about everything we think, say, and do will be logged somewhere forever. Thus, it is incumbent on each of us to keep this in mind whenever we create a social media account or comment on message boards. Providing the internet with all our personal data just speeds up the process of the new world order.

It depends how we use it

So, while our knowledge of the world and our adversary expands at a geometric rate, so does the globalists’ understanding of us. The internet is here to stay, so we must make the best of it.

The problem with the internet lies in how people use it. For instance, if we are aware of our inherent biases then we will be more objective when looking for the truth. If we are not careful, the internet can be nothing more than an electronic echo chamber.

For those of you who are of the remnant, it is easy to see how the internet is a prerequisite for the bringing about the final days. The knowledge and understanding required to save ourselves is at our fingertips. We can use the internet to grow our understanding of the world and why we are here. We can use the internet to help us figure our of worldly adversary. We can also use the internet to surf porn, reaffirm our preexisting biases, and entertain ourselves. It’s up to us to choose.

So, is the internet a good or bad thing? I think we have to look at the person using it and how it is used.