Friday, January 29, 2016

NIRP leads to market euphoria

As financial panic spreads around the globe, so does the central banking tyrants' attempts at keeping the house of cards on stable ground.

On January 21st, Bank of Japan Governor Haruhiko Kuroda stated that NIRP (Negative Interest-Rate Policy) was not in the cards for Japan. 

Then on January 28th, after having met with the world's most preeminent parasites in Davos, Switzerland, Mr. Kuroda had a schizophrenic moment and announced that NIRP shall indeed descend upon Japan, reigning down fiery death and destruction on savers all over the island nation.

If all this stuff didn't affect ordinary people in an adverse way, it might almost be humorous.  Who do these people think they're fooling?

When one examines the language of central bankers such as Kuroda today, one finds striking parallels to the bankerspeak of Fed Chairmen Ben Bernanke in the lead up to the 2008 subprime mortgage crisis.  Another parallel involves associated actions and statements of said banksters being framed by media as "blunders", or "mistaken errors of judgement", or "policy errors" rather than what they really are: rhetorical tactics, i.e. lies.  Many others have noted these similarities as well.

Keeping that in mind, just look at what Kuroda said to Bloomberg while he was in Davos, Switzerland meeting with the world's foremost economists and central bankers:

" With China dominating the focus of global financial markets, Kuroda offered what he said was a "relatively optimistic" view about Japan’s larger neighbor.

China View

China doesn’t face the risk of a hard landing and there is no sort of global crisis like the post-Lehman Brothers meltdown, according to Kuroda. "

Phew. I feel safer now.  This guy says everything is awesome.  He wears a suit, so he must know a thing or two.  I'm sure he won't do something crazy like enact NIRP in a last-ditch effort to keep markets from falling further....oh wait, global stocks soared today, just as they did during the 2008 crisis.  Imagine that.  And just in time for the final trading day of January, making the worst starting month to a year in history appear....somewhat less historic.  

Monday, January 18, 2016

The deliberate destruction of global financial markets

This week, CNBC's Art Cashin, who has been a trader on the NYSE for some sixty years, has declared that this is "what you get before a crisis".  Such was his response when asked what the mood was on Wall Street.  He also noted that investors seem to feel "concerning and frustrated", and added that this seldom leads to anything other than a sell-off.
He goes on to say that the Fed made a "policy error" in raising interest rates last December.  This idea will be floated more and more until it becomes accepted as fact.  That way, more people will believe in the Fed's unbelievable perceived "incompetence", while less will perceive their real intentions of plundering the population.
Policy error, or prime objective?  If Fed Chairman Janet Yellen intended to prick the financial bubble that the Fed has blown, she could have done no better than this 25 basis-point rate hike in December 2015.  This has been evidenced by the substantial financial turmoil around the globe we have witnessed over the past thirty days or so.  Even mainstream banker mouthpieces such as CNBC have finally begun to admit what sites such as or have been saying for years upon years.  Namely, that economic fundamentals have been deteriorating for some time, and the recent turmoil did not come out of nowhere.  The central banks created a tinder box of debt that encapsulates the entire globe, and now they have decided to light the fuse.  All we have seen thus far can be analogized to a fireworks show: these first few weeks of 2016 have only been the warm up, the pre-show before the main event.  What follows will be far worse than anything this world has ever seen.  Even CNBC admits "A recession worse than 2008 is coming".   Of course, they blame it all on China's "megalomaniac communist government", ignoring the fact that Western governments and central banks do all the same things.
There you have an example of framing - leaving something out of the picture in order to create a skewed view of reality.  Expect to see a lot of more this type of rhetoric in the coming months, as media struggles to maintain their narratives in order to sway public opinion and consumer sentiment.
This time will be different, in that the masses more and more refuse to drink the kool-aid.  And when everything they have ever known begins to fall apart around long last, there will be no more kool-aid left to consume.  Only the bitter cold pill of reality to swallow.

Thursday, January 14, 2016

2016: The Year Stability Vanished

The economic situation continues to deteriorate around the globe.  The indications of this include so many numbers, statistics, charts and graphs that rather than document them all here (which would take way more writing than most people will ever even read in a single sitting), allow me to provide you links to bloggers who have already done so. 
Take a look at this graph provided by ZeroHedge a few days ago, for example.  It demonstrates the reaction of several key financial markets to the Fed's rate hike decision.  ZeroHedge does that well: they put a few key data points together to show what really happened.  By looking at bonds, stocks, gold and oil in relation to the timing of the Fed's hike, the picture becomes much more clear than attempting to sift through the endless pollyanna propaganda of a network such as CNBC.  
Michael Snyder of also posts good collections of data.  As one might imagine, with a domain name like that, this guy has had a lot of work to do lately.  Everyday of 2016 so far, it seems as if another big institution comes out and says "the end is nigh", echoing the sentiments of writers like those at ZeroHedge and    
Nothing has changed, other than the fact that it can now be seen out in the open.  All the problems stemming from the 2008-2009 financial crises were only swept under the rug and allowed to fester.  Now we will begin to see the true extent to which those economic eyesores were allowed to mildew and decay.  


While it may seem like information overload for some, what’s happening can be explained in several sentences.  The central banks, who control the world’s money supply and monetary policy through a global system of interconnected corporations masquerading as quasi-governmental entities, have inflated the largest asset bubble in all of human history. 
They accomplished this through money printing (quantitative easing) and record low interest rates, inciting mal-investment based on the resulting unnatural market disruptions.  Now that the bubble has reached its peak, also known as the “topping process”, the only thing left is for the bubble to implode.
The bubble implodes as a result of higher interest rates, bringing normalization back to asset and equity valuations.  In the process, trillions in wealth gets wiped out, and millions lose everything.   
There you have it folks: in two short paragraphs and five long sentences, a somewhat oversimplified yet substantially correct explanation of the past fifteen years of criminal boom/bust cycles used to plunder and pillage entire populations. 
Yes, central bankers and their associates can be seen as nothing less than modern day Vikings, plundering and looting all who stand in their way. 

Yet history often reveres such people as heroes of civilization, rather than the greatest malefactors it has ever known.   
Soon the value destroyers will be exposed.  Millions will see through their illusions, as it all continues to crumble.  New leaders will be elected, who don't follow political agenda-laws.
In a Twelve Visions World, each individual will be their own sovereign, their own central bank, in control of their own financial and monetary destiny.  

Wednesday, January 6, 2016

2016 Begins With Financial Chaos

The first week of 2016 has not even seen its final day, and yet history has already been made.  On Monday, January 4th, Chinese stock market indices plummeted as much as 7% before so-called "circuit-breakers" kicked in and halted all trading for the first time in history.
Other stock market indices followed suit, and of course China itself took the blame for it all in much of mainstream media.

What many outlets leave out, however, involves why China had such a terrible day to begin with.
Remember, this is nothing new - China has been in the midst of financial turmoil for at least six months now.  The country was making headlines back in July and August when stock markets tanked.

None of the problems causing that volatility were solved - rather, massive amounts of liquidity (newly created currency) were pumped into the market in order to prop it up and prevent panic.  This, it turns out, never works.

Now back to what caused China to have a historically bad day.  What was it?  In a word: The Fed.  Just look at what WND news reported on back in August:

On Aug. 25, China’s Xinhua news agency reported from Shanghai that a researcher with China’s central bank denied China’s devaluation of the yuan was responsible for the global stock market rout in August. He claimed instead that the global downturn was caused by wide expectation of a Federal Reserve decision to raise rates in September.

Keep in mind, that was just the potential decision to raise rates.  Now that the real thing has happened, it ought to come as no surprise whatsoever that in terms of financial markets, China had its worst day in all of history on January 4th.

The above cited article also floats the idea of the interest-rate rise being a "controlled demolition" of the financial markets.  There can be little doubt as to this being the case.  Just as in 1929, when then Fed-Chairman Roy Young raised interest rates and pricked the bubble of "the roaring twenties", creating the catalyst for the Great Depression and World War II, Janet Yellen has, in December 2015, pricked the most massive financial bubble of epic debt creation that the world has ever been engulfed by.  

After all the thousands of hours I have spent researching our global financial and economic system, I can say only one thing for certain: the ship must go down.  Anyone looking at the same information must come to the same conclusion.  I have held this firm conviction for years now, yet learned to keep quiet due to the hysterical criticism it tends to invite.  Yet now, events have begun to transpire that many people, including myself and far more prominent bloggers, saw coming from light years away.

The times ahead will not be easy.  Yet those who have the emotional capacity to integrate the honest reality of what's happening around them will profit tremendously.  More on that next time...