Does the word "Federal Reserve" or the name "Ben Bernanke" ever enter into your line of reasoning? Whenever i read an article by someone promoting a deflation theory and low gold price, I always find that they never mention the Fed or Helicopter Ben.
Do the deflationists want to have me believe that the Federal Reserve and Ben Bernanke will have the ability to create as many dollars as they please, and spend them any way they chose, and no matter how much they print, the dollar will go up in value? Surely, if they create enough new money and credit, they can turn deflation into inflation. If the Federal Government mails a check to every American, that must counteract the deflation to some degree. All the money that was spent to bailout all these financial institutions and banks was created out of thin air and out of debt. I would agree that we might have seen deflation if there were no bailouts and stimulus plans... but given the amount of money printing going on (bloomberg just reported the total cost of the bailouts so far is over $7 trillion)... i think we will get inflation.
The government mailed out over $150 billion in stimulus checks, giving most Americans roughly $600 to spend. So would the deflationists have me believe that the government is able to send checks to every American, and then when they go to spend this money, it will actually buy more and more goods and services? What if the Government mailed everyone a check for $10,000?... or $1 million? or $1 billion? Clearly, if the Federal Reserve prints enough money, and the Government spends enough money, they can turn a deflation into an inflation. Obama's budget deficit is shaping up to be over $2 trillion his first year. If other countries stop lending money to finance this deficit, and the federal reserve just prints the money, how big a budget deficit can he run? Could Obama run a $10 trillion budget deficit financed with a printing press and still have the dollar go up in value? How about $50 trillion? How big can the bailouts be before they become inflationary? How large can the balance sheet of the Federal Reserve grow?
Clearly, when looking at the issue from this perspective, any rational person would have to agree that if enough money is printed, it will create inflation. The question is, how much money needs to be printed before deflation turns to inflation? Well, i think we're about to find out. We're up over $7 trillion so far, and that's only been over the last few months. Now, some argue that the deflationary forces are too big, that bailout money is going into a black hole or is being horded by banks... that there were over $1 quadrillion in derivatives, and there is too much to unwind and deleverage. These people would have us believe that there is no cost to the bailouts, and that we can bail out everyone by printing money and this will not have any inflationary consequences. They are saying that the money that is being created out of nothing, in order to bail out everyone, will continue to go up in value no matter how big the bailouts become?
Basically, the people who make the bet on the dollar and on deflation, are betting that Bernanke cannot print enough, and Obama cannot spend enough. Mr. Bernanke is the money printing champion of the world, and Mr. Obama will probably become the money spending champion of the world (who will probably take the title away from George W. Bush, the current spending champ). I would not underestimate these men and their ability to print and spend money. They have basically already told us that they will print and spend as much money as needed. Their philosophical belief is that they can fix this crisis by printing and spending money. Bernanke learned the wrong lessons from studying the great depression and came away with the false belief that the great depression was caused because the Fed could not print enough money. Bernanke is a money printer... that's why they brought him in. They brought him in to fight the deflation monster, and i've placed my bets on Bernanke and Obama winning the fight against the deflation monster. They may not win the fight in the first round, or the second... but eventually, they will deliver a knock out blow and defeat the deflation monster. Unfortunately, this will create an even bigger inflation monster, and the inflation monster will ultimately win the fight in the end. I buy gold.
Sunday, November 30, 2008
Sunday, November 23, 2008
Short Term Market Predictions
I agree with most of what Marc Faber says in this recent clip.
Marc Faber 21/11/08 Strong Rebound Coming: Dr. Doom
http://www.youtube.com/watch?v=ETnVPXudvDs
The Patriot Radio News Hour show on Friday was really good. It was just Joe doing the show (eric took the day off) so he got through a lot of news because there wasn't anyone to joke around and waste time with.
http://patriotarchives.blogspot.com/
direct link to friday's show:
http://allamericangold.com/ptg21nov08.mp3
I would with most of what this guy says in his video with respect to the markets over the next week, but this is directed only to short term traders, not long term investors.
http://www.youtube.com/watch?v=37lsmHRtffs
I think the stock markets are in a short term bottom. It is possible this is the bottom in some foreign markets. I think oil will stop falling and remain around $50. I think there will be rallies in almost all sectors in markets around the world. There are a lot of people who are very bearish right now... lots of people saying that the DOW is going to 6400. But Jim Rogers and Marc Faber think that the markets are over sold and there will be a rally for a few months. But most people think we're still going lower. Of course no one knows for sure, but i was looking for a bottom around $50 oil, and i think we got there. I think US stocks are overvalued but oversold. I think foreign stocks are undervalued and oversold. So i think there will be big rallies in the foreign stocks. The one thing Marc Faber warned against is the possibility that some people who were seeking protection in gold, might sell their gold now to buy cheap stocks. But there's so much bullish news for gold, that i still think gold is in good shape. The Perth Mint stopped selling gold which is a pretty big deal. Also, the date where you have to state whether you want COMEX delivery is Nov. 28th, so there could be a big short covering rally coming up as all the shorts scramble to buy gold to cover physical delivery. Also, gold entered something called backwardation, which is very rare, and means that people are willing to pay more for gold in the present, than in the future. Apparently, backwardation only happens if there is a risk that the exchange will default or there will be a currency crisis. This is obviously just a guess... but I could see the DOW fall maybe 300 points on Monday, followed by a few weeks of rallying. The DOW could easily go back up to 10,000, but certainly will not make any new highs until the currency collapse occurs. Even stocks like Citigroup, could go from $4 up to $8, which would be a 100% gain... followed by a move down to $0. So I expect a lot of things to rally in the next maybe 6 weeks... i think the dollar will fall a bit... foreign stocks will have big gains... oil will remain at around $50, but some oil sector stocks may still rally. If oil goes up to $60, i think it will fall back to $50 again. I expect a huge move in the price of silver. I think gold could make a run up to $1000 before the end of the year, and silver could go up to $15, which would be a 50% increase.
The currency crisis is setting up to occur sometime in 2009. China may use its US dollar reserves to fund its stimulus plan, meaning they would become a net seller of treasuries. The OPEC countries will be struggling with the low oil price, and they may need to sell their dollar reserves to keep their economies running since they built their economies on the assumption of higher oil prices. So the Middle East could also turn into a net seller of US treasuries. And with all the spending that the US government is doing, they will be trying to sell more Treasury Bonds than ever before at a time when all their biggest customers are also trying to unload. This could bankrupt the United States, completely destroy the value of the dollar, and lead to a situation very similar to what Iceland experienced. I think the speculative trade going forward to profit from this dollar devaluation is to short the long term Treasury Bonds. I think there is a lot of smart money speculating with stocks such as TBT, which looks like it is very close to making a bottom and is a simple way for individual investors to profit from the rise in long term US bond yields. This looks like one of the last bubbles to burst. Many people made a lot of money by speculating first with the collapse of the sub prime market, then with the collapse of the financial institutions, and i think shorting the long term bonds is the next big trade, which always winds up looking obvious in hindsight.
Marc Faber 21/11/08 Strong Rebound Coming: Dr. Doom
http://www.youtube.com/watch?v=ETnVPXudvDs
The Patriot Radio News Hour show on Friday was really good. It was just Joe doing the show (eric took the day off) so he got through a lot of news because there wasn't anyone to joke around and waste time with.
http://patriotarchives.blogspot.com/
direct link to friday's show:
http://allamericangold.com/ptg21nov08.mp3
I would with most of what this guy says in his video with respect to the markets over the next week, but this is directed only to short term traders, not long term investors.
http://www.youtube.com/watch?v=37lsmHRtffs
I think the stock markets are in a short term bottom. It is possible this is the bottom in some foreign markets. I think oil will stop falling and remain around $50. I think there will be rallies in almost all sectors in markets around the world. There are a lot of people who are very bearish right now... lots of people saying that the DOW is going to 6400. But Jim Rogers and Marc Faber think that the markets are over sold and there will be a rally for a few months. But most people think we're still going lower. Of course no one knows for sure, but i was looking for a bottom around $50 oil, and i think we got there. I think US stocks are overvalued but oversold. I think foreign stocks are undervalued and oversold. So i think there will be big rallies in the foreign stocks. The one thing Marc Faber warned against is the possibility that some people who were seeking protection in gold, might sell their gold now to buy cheap stocks. But there's so much bullish news for gold, that i still think gold is in good shape. The Perth Mint stopped selling gold which is a pretty big deal. Also, the date where you have to state whether you want COMEX delivery is Nov. 28th, so there could be a big short covering rally coming up as all the shorts scramble to buy gold to cover physical delivery. Also, gold entered something called backwardation, which is very rare, and means that people are willing to pay more for gold in the present, than in the future. Apparently, backwardation only happens if there is a risk that the exchange will default or there will be a currency crisis. This is obviously just a guess... but I could see the DOW fall maybe 300 points on Monday, followed by a few weeks of rallying. The DOW could easily go back up to 10,000, but certainly will not make any new highs until the currency collapse occurs. Even stocks like Citigroup, could go from $4 up to $8, which would be a 100% gain... followed by a move down to $0. So I expect a lot of things to rally in the next maybe 6 weeks... i think the dollar will fall a bit... foreign stocks will have big gains... oil will remain at around $50, but some oil sector stocks may still rally. If oil goes up to $60, i think it will fall back to $50 again. I expect a huge move in the price of silver. I think gold could make a run up to $1000 before the end of the year, and silver could go up to $15, which would be a 50% increase.
The currency crisis is setting up to occur sometime in 2009. China may use its US dollar reserves to fund its stimulus plan, meaning they would become a net seller of treasuries. The OPEC countries will be struggling with the low oil price, and they may need to sell their dollar reserves to keep their economies running since they built their economies on the assumption of higher oil prices. So the Middle East could also turn into a net seller of US treasuries. And with all the spending that the US government is doing, they will be trying to sell more Treasury Bonds than ever before at a time when all their biggest customers are also trying to unload. This could bankrupt the United States, completely destroy the value of the dollar, and lead to a situation very similar to what Iceland experienced. I think the speculative trade going forward to profit from this dollar devaluation is to short the long term Treasury Bonds. I think there is a lot of smart money speculating with stocks such as TBT, which looks like it is very close to making a bottom and is a simple way for individual investors to profit from the rise in long term US bond yields. This looks like one of the last bubbles to burst. Many people made a lot of money by speculating first with the collapse of the sub prime market, then with the collapse of the financial institutions, and i think shorting the long term bonds is the next big trade, which always winds up looking obvious in hindsight.
Lindsey Williams Update
Lindsey Williams was wrong about McCain being elected as President. But he was dead right with his prediction of $50 oil. In July 2008, he was the only person I heard who thought oil was going down to $50. For those who do not believe that Lindsey Williams was telling the truth, I would ask, do you therefore believe that his $50 oil call was just a lucky guess? For decades, Lindsey Williams was warning the country about the rising cost of oil and the dependence on foreign oil. Based on what he was saying in the past, a $50 oil prediction did not make much logical sense, and Lindsey Williams agreed that this was scenario was almost unimaginable. He admitted that he would have never thought that oil could have gone down to $50 had it not been told to him from his old big-oil friend. So looking at this situation from a probability perspective, it seems very unlikely that this $50 oil prediction was just a wild guess. Based on everything that Lindsey has said in the past about a rising oil price, and given the fact that $50 oil seemed almost impossible in July 2008, I would have to conclude that this could not have been just a lucky guess. If someone had asked a variety of oil market analysts in July 2008 what they thought the probability was of oil hitting $50 over the next twelve months, many would have said it would be impossible and would likely put the odds at around 20:1. Before I heard Lindsey Williams make this prediction in July 2008, I myself would have said $50 oil would be virtually impossible. Even after I heard Lindsey Williams in early July, I still thought it was pretty unlikely. But I had thought to myself that if Lindsey Williams said it was going to happen… it could happen. If I was making odds for Las Vegas about the oil markets in July 2008, I would have put $50 oil at around 20:1 (maybe a 5% chance). But after I heard Lindsey Williams make this prediction, I would have shifted the odds up to 5:1. I still thought it was pretty unlikely, (maybe a 20% chance), but certainly a lot more likely now that Lindsey Williams said what he said. Therefore, given how accurate Lindsey Williams was in the past about the oil markets, I would assign a pretty high percentage chance that he is right about his future predictions.
Lindsey Williams – November 21st, 2008
Part 1
http://www.youtube.com/watch?v=keQsan0RhFU
Part 2
http://www.youtube.com/watch?v=IjveOl7qICQ
Part 3
http://www.youtube.com/watch?v=uWJw_oSx-9U
Lindsey Williams was on Alex Jones earlier this week and he told the world what will happen over the next few months. Lindsey Williams said that oil will remain around the $50 level over the next roughly six months. The plan of the elites is to hold oil at around the $50 level for many months in order to bankrupt the Middle East. This will also continue to hurt Russia and Venezuela and other oil producing countries. Therefore, for anyone considering making investments in the oil sector, there are certain things that need to be kept in mind. The first is that the price of oil is not going to go up for a little while. Therefore, there is no point in buying future contracts. I believe that we have hit the bottom in oil, but we’re not really going much higher or lower from here. I would admit that it is possible for oil to fall to $40, but I think if it does that, it will go back up to $50 again. And if oil goes up to $70, I think it will fall back down to $50 again. I think long term investors should wait a few months before buying oil futures contracts. But in terms of investing in the oil sector, there are certainly some good opportunities. The most important aspect to oil investing over the next few months is that investments should only be made into oil companies that can make a profit off of $50 oil. Stay away from the Canadian tar sands or deep water drilling projects that take $80+ oil to be profitable. But there should still be plenty of profitable oil companies with oil at $50, and I think since many of these stocks have been driven down to such low levels, there are still plenty of oil stocks that could have some nice short term gains even if the price of oil does not rise above $50 for quite some time. Many of these oil stocks pay great dividends, and since it is expected that the oil price bottoms around $50, the share prices should not continue to go down and investors can enjoy collecting huge dividends without watching the share price tumble. Anyone investing in oil should stay totally clear of the Middle East. I think that over the next few years, Russia and Indonesia will become major oil players who will challenge the Middle East for their place as the world’s major oil producers. I believe that Indonesia will provide a lot of the oil that will fuel China’s growth over the next few decades, making this the ideal area to invest in the oil sector. I am also skeptical of Canadian oil investments because I do not think that the United States will be consuming very much oil after the currency collapse. The United States will become such a wasteland, that there will be no one for the Canadian oil producers to sell to. Australia and the Scandinavian countries would be the best Western countries to make oil investments in, but the Asian countries are where the real growth will happen.
I expect the oil price to stay around $50 up until the time when the currency starts to collapse. Therefore, investing in oil is really only useful as an inflation hedge, and I think that gold and soybeans would be much more profitable inflation hedges than oil. I think that even if the US dollar index falls back towards the low 70’s, oil will probably still remain around $50. If oil does get pushed upwards by a fall in the US dollar, I expect oil prices to remain the same or even fall lower relative to other currencies. With the dollar index around 87, it is possible that the dollar can fall a lot, before it crashes. The dollar might drift lower, back down to 70 or make new lows down to 60 over the next few months. But at some point, a gradual decline could turn into a crash, and an Iceland style bankruptcy will occur.
Lindsey Williams told everyone to enjoy gasoline at the pumps under $2 per gallon, but he also warned everyone to use these next few months to prepare for the currency collapse. He explained that we will experience an Iceland style collapse in the United States. As a Canadian, I unfortunately believe that this collapse will also crush Canada and its economy. And with Mexico already essentially a third world nation, the bankruptcy of the United States and Canada will allow for a North American Union. This is all planned out by the elites, and I believe that the bankruptcy of Canada is necessary to form a North American Union. The CBC even did a made for TV movie about the North American Union called “The Trojan Horse”. It took place in the near future, after the Canadian government came to the rescue of the United States by providing drinking water and formed one country out of the crisis. Hopefully Canada will get to play the role of rescuing the United States from the crisis, rather than being in the same position, but it is likely that Canada will feel the pain of collapse in the US economy. Canada is more dependent on the United States than any other country in the world, and therefore, Canada is fixing to go down hard when the United States falls.
I think everyone in the United States should start making plans to get out of the country in the next few months. For those who decide to stay, a large supply of food, water, guns and ammo will be needed to survive the collapse. To survive the collapse from a financial perspective, investors need to own physical gold and silver, foreign stocks and foreign currencies. Gold held overseas, such as in goldmoney.com, and foreign bank accounts and stock brokers may be necessary to preserve wealth.
I was still debating with myself as to whether the dollar collapse would occur gradually over an extended period of time, with very high inflation... or if the currency would collapse virtually overnight. I believe now that the United States will experience a financial collapse similar to that of Iceland. Even though the economic collapse has already begun, I think the dumping of the dollar could destroy its value completely within a few days or weeks. I expect the dollar to stop rising, and resume its downtrend very soon, but at some point, a falling dollar will turn into a crashing dollar. We could wake up one day with the headlines reading “US Government is Bankrupt… Dollar in Free Fall, Banks and Stock Markets are Closed until Further Notice”. From this point on, panic grips the United States, there is rioting and looting in major cities around the country. Martial Law is declared and the US military (possibly alongside foreign troops) will patrol the streets, ration out food and water, confiscate guns and possibly gold. No one will be allowed to enter or leave the country though conventional modes of transportation. The United States will be fully controlled though a military dictatorship. And the worst case scenario is if the United States does not go peacefully into the night, and starts WWIII in order to maintain its status as super power. WWIII will likely involve the United States and Europe fighting against Russia and China, with the Middle East as an important battle ground because of the oil reserves. In lead up to this war, I expect the Untied States to invade Syria under humanitarian pretenses to save the poor people of Darfur. The real reason for the invasion of Darfur will be to cut off the oil supply to China. I expect the United States to invade or institute regime change in Pakistan, and possibly Iran and Myanmar.
I think the dollar collapse will happen in 2009. I think it could occur as early as January 2009. The motive for this to occur in January is so that the crisis would be totally blamed on Bush and the republicans. This way, the public would get behind Obama even more than they are now, and they will accept whatever “change” he institutes. The changes that he will make will require a certain percentage of the public to go along with his plans, which is why he is required to be loved and worshiped.
While the country was preoccupied with the election and the euphoria of a new President, the Federal Reserve and the Treasury seized power and looted the country of its wealth. They are literally creating trillions of dollars, robbing the American people, buying up assets, and consolidating power. This power will be passed onto Obama who will use it to enslave the population and lead them down the road to serfdom.
With the dollar collapse likely to occur sometime in 2009, there are a few things that will trigger this collapse. The collapse in the dollar will occur when the Federal Reserve has to monetize the debt. When other countries will not longer buy up enough Treasury bonds, they are just bought by the Federal Reserve instead, which is highly inflationary. Even though the dollar has been rising lately, a perfect storm for the collapse of the dollar is brewing. The first important factor is that the United States will be trying to sell more Treasury bonds than ever before. Obama has already stated that he will basically spend money without limit or concern of deficits. This means that there will be more debt than ever before for foreign nations to buy. With the economic crisis hurting all countries around the world right now, there is a lot less money available to buy up all the debt. China has recently announced a massive stimulus package and there is speculation that China might use its US dollar reserves to fund the expenditures. This would turn China, the biggest buyers of US Treasuries, into a net seller. On top of that, OPEC nations used to spend their excess oil revenues on buying up US debt. But with oil at $50, Middle Eastern countries will also turn into net sellers of US debt because they will need the extra revenue to fund their social programs since they built their economies on the assumption of high oil prices. And if Japan follows in the lead of China, it is possible that there will be a flood of US government debt onto the world markets, and no one will want to buy it. The Federal Reserve, as buyer of last resort, will monetize the debt and the value of the dollar will collapse. If all OPEC countries, as well as China, decide to dump dollars at a time when the US Government is trying to sell more dollars than ever before, the dollar will collapse virtually over night.
Lindsey Williams – The Next 12 Months – Recorded June, 2008
Part 1
http://www.youtube.com/watch?v=CApz4VGc31g
Part 2
http://www.youtube.com/watch?v=kNrFV82zg3I
Part 3
http://www.youtube.com/watch?v=Fyw0AVJrFKU
Part 4
http://www.youtube.com/watch?v=AMUcVfz3C1w
Part 5
http://www.youtube.com/watch?v=KFFZd9ntph8
Part 6
http://www.youtube.com/watch?v=oQBz0Fl1LtM
Part 7
http://www.youtube.com/watch?v=ociO8TtEXnQ
Lindsey Williams – November 21st, 2008
Part 1
http://www.youtube.com/watch?v=keQsan0RhFU
Part 2
http://www.youtube.com/watch?v=IjveOl7qICQ
Part 3
http://www.youtube.com/watch?v=uWJw_oSx-9U
Lindsey Williams was on Alex Jones earlier this week and he told the world what will happen over the next few months. Lindsey Williams said that oil will remain around the $50 level over the next roughly six months. The plan of the elites is to hold oil at around the $50 level for many months in order to bankrupt the Middle East. This will also continue to hurt Russia and Venezuela and other oil producing countries. Therefore, for anyone considering making investments in the oil sector, there are certain things that need to be kept in mind. The first is that the price of oil is not going to go up for a little while. Therefore, there is no point in buying future contracts. I believe that we have hit the bottom in oil, but we’re not really going much higher or lower from here. I would admit that it is possible for oil to fall to $40, but I think if it does that, it will go back up to $50 again. And if oil goes up to $70, I think it will fall back down to $50 again. I think long term investors should wait a few months before buying oil futures contracts. But in terms of investing in the oil sector, there are certainly some good opportunities. The most important aspect to oil investing over the next few months is that investments should only be made into oil companies that can make a profit off of $50 oil. Stay away from the Canadian tar sands or deep water drilling projects that take $80+ oil to be profitable. But there should still be plenty of profitable oil companies with oil at $50, and I think since many of these stocks have been driven down to such low levels, there are still plenty of oil stocks that could have some nice short term gains even if the price of oil does not rise above $50 for quite some time. Many of these oil stocks pay great dividends, and since it is expected that the oil price bottoms around $50, the share prices should not continue to go down and investors can enjoy collecting huge dividends without watching the share price tumble. Anyone investing in oil should stay totally clear of the Middle East. I think that over the next few years, Russia and Indonesia will become major oil players who will challenge the Middle East for their place as the world’s major oil producers. I believe that Indonesia will provide a lot of the oil that will fuel China’s growth over the next few decades, making this the ideal area to invest in the oil sector. I am also skeptical of Canadian oil investments because I do not think that the United States will be consuming very much oil after the currency collapse. The United States will become such a wasteland, that there will be no one for the Canadian oil producers to sell to. Australia and the Scandinavian countries would be the best Western countries to make oil investments in, but the Asian countries are where the real growth will happen.
I expect the oil price to stay around $50 up until the time when the currency starts to collapse. Therefore, investing in oil is really only useful as an inflation hedge, and I think that gold and soybeans would be much more profitable inflation hedges than oil. I think that even if the US dollar index falls back towards the low 70’s, oil will probably still remain around $50. If oil does get pushed upwards by a fall in the US dollar, I expect oil prices to remain the same or even fall lower relative to other currencies. With the dollar index around 87, it is possible that the dollar can fall a lot, before it crashes. The dollar might drift lower, back down to 70 or make new lows down to 60 over the next few months. But at some point, a gradual decline could turn into a crash, and an Iceland style bankruptcy will occur.
Lindsey Williams told everyone to enjoy gasoline at the pumps under $2 per gallon, but he also warned everyone to use these next few months to prepare for the currency collapse. He explained that we will experience an Iceland style collapse in the United States. As a Canadian, I unfortunately believe that this collapse will also crush Canada and its economy. And with Mexico already essentially a third world nation, the bankruptcy of the United States and Canada will allow for a North American Union. This is all planned out by the elites, and I believe that the bankruptcy of Canada is necessary to form a North American Union. The CBC even did a made for TV movie about the North American Union called “The Trojan Horse”. It took place in the near future, after the Canadian government came to the rescue of the United States by providing drinking water and formed one country out of the crisis. Hopefully Canada will get to play the role of rescuing the United States from the crisis, rather than being in the same position, but it is likely that Canada will feel the pain of collapse in the US economy. Canada is more dependent on the United States than any other country in the world, and therefore, Canada is fixing to go down hard when the United States falls.
I think everyone in the United States should start making plans to get out of the country in the next few months. For those who decide to stay, a large supply of food, water, guns and ammo will be needed to survive the collapse. To survive the collapse from a financial perspective, investors need to own physical gold and silver, foreign stocks and foreign currencies. Gold held overseas, such as in goldmoney.com, and foreign bank accounts and stock brokers may be necessary to preserve wealth.
I was still debating with myself as to whether the dollar collapse would occur gradually over an extended period of time, with very high inflation... or if the currency would collapse virtually overnight. I believe now that the United States will experience a financial collapse similar to that of Iceland. Even though the economic collapse has already begun, I think the dumping of the dollar could destroy its value completely within a few days or weeks. I expect the dollar to stop rising, and resume its downtrend very soon, but at some point, a falling dollar will turn into a crashing dollar. We could wake up one day with the headlines reading “US Government is Bankrupt… Dollar in Free Fall, Banks and Stock Markets are Closed until Further Notice”. From this point on, panic grips the United States, there is rioting and looting in major cities around the country. Martial Law is declared and the US military (possibly alongside foreign troops) will patrol the streets, ration out food and water, confiscate guns and possibly gold. No one will be allowed to enter or leave the country though conventional modes of transportation. The United States will be fully controlled though a military dictatorship. And the worst case scenario is if the United States does not go peacefully into the night, and starts WWIII in order to maintain its status as super power. WWIII will likely involve the United States and Europe fighting against Russia and China, with the Middle East as an important battle ground because of the oil reserves. In lead up to this war, I expect the Untied States to invade Syria under humanitarian pretenses to save the poor people of Darfur. The real reason for the invasion of Darfur will be to cut off the oil supply to China. I expect the United States to invade or institute regime change in Pakistan, and possibly Iran and Myanmar.
I think the dollar collapse will happen in 2009. I think it could occur as early as January 2009. The motive for this to occur in January is so that the crisis would be totally blamed on Bush and the republicans. This way, the public would get behind Obama even more than they are now, and they will accept whatever “change” he institutes. The changes that he will make will require a certain percentage of the public to go along with his plans, which is why he is required to be loved and worshiped.
While the country was preoccupied with the election and the euphoria of a new President, the Federal Reserve and the Treasury seized power and looted the country of its wealth. They are literally creating trillions of dollars, robbing the American people, buying up assets, and consolidating power. This power will be passed onto Obama who will use it to enslave the population and lead them down the road to serfdom.
With the dollar collapse likely to occur sometime in 2009, there are a few things that will trigger this collapse. The collapse in the dollar will occur when the Federal Reserve has to monetize the debt. When other countries will not longer buy up enough Treasury bonds, they are just bought by the Federal Reserve instead, which is highly inflationary. Even though the dollar has been rising lately, a perfect storm for the collapse of the dollar is brewing. The first important factor is that the United States will be trying to sell more Treasury bonds than ever before. Obama has already stated that he will basically spend money without limit or concern of deficits. This means that there will be more debt than ever before for foreign nations to buy. With the economic crisis hurting all countries around the world right now, there is a lot less money available to buy up all the debt. China has recently announced a massive stimulus package and there is speculation that China might use its US dollar reserves to fund the expenditures. This would turn China, the biggest buyers of US Treasuries, into a net seller. On top of that, OPEC nations used to spend their excess oil revenues on buying up US debt. But with oil at $50, Middle Eastern countries will also turn into net sellers of US debt because they will need the extra revenue to fund their social programs since they built their economies on the assumption of high oil prices. And if Japan follows in the lead of China, it is possible that there will be a flood of US government debt onto the world markets, and no one will want to buy it. The Federal Reserve, as buyer of last resort, will monetize the debt and the value of the dollar will collapse. If all OPEC countries, as well as China, decide to dump dollars at a time when the US Government is trying to sell more dollars than ever before, the dollar will collapse virtually over night.
Lindsey Williams – The Next 12 Months – Recorded June, 2008
Part 1
http://www.youtube.com/watch?v=CApz4VGc31g
Part 2
http://www.youtube.com/watch?v=kNrFV82zg3I
Part 3
http://www.youtube.com/watch?v=Fyw0AVJrFKU
Part 4
http://www.youtube.com/watch?v=AMUcVfz3C1w
Part 5
http://www.youtube.com/watch?v=KFFZd9ntph8
Part 6
http://www.youtube.com/watch?v=oQBz0Fl1LtM
Part 7
http://www.youtube.com/watch?v=ociO8TtEXnQ
Tuesday, November 4, 2008
The Reason “They” Will Choose McCain
Barack Hussein Obama and John McCain have very little fundamental difference in their core platforms. McCain wants to continue big government. Obama wants an even bigger role for government. McCain wants to say in Iraq for 100 years. Obama has backed away from his earlier anti-war position and has pledged to strengthen the occupation in Afghanistan and supports intervention in Georgia while talking tough to others in the region. Both candidates support the same foreign and monetary policy, and the only candidate who offered real change was Ron Paul. So no matter which candidate is elected, the policies that the United States will take over the next four years will be the same for all intents and purposes.
The elections in the United States are rigged. The American people are given the choice between two identical political philosophies. Both candidates are chosen by an elite group of globalists and proceed to entertain the public with their political puppet show in a scheme to divide the country and pit Left vs. Right (Democrat vs. Republican). Despite the fact that both candidates are chosen by this small group of elites, the winner between the two is also decided by this same group. They follow an agenda in order to continue the false left vs. right paradigm and maintain control of the political system by giving the public the illusion of choice and democracy.
We can look no further than the 2000 and 2004 election to find blatant evidence of voter fraud. In the Bush vs. Gore election, it was only necessary to rig the results in one state in order to influence the entire election. The powers that be have succeeded in effectively dividing the population almost down the middle so that the split between democrats and republicans is almost 50/50. Therefore, to influence the results of an election, voter fraud is only necessary in one important state because the outcome in certain states will decide the election for the whole country. In 2000, Bush only won the election because of clear voter fraud in Florida. There was blatant discrimination against African Americans, countless issues with the ballets, and just an unbelievable series of events that lead to Bush winning the state’s electoral votes. Of course, with his brother as Governor of that state, that should have made the fraud a lot easier to commit. In Ohio in 2004, the evidence of fraud is less blatant, but the discrepancies were even greater. The results from the electronic voting machines clearly did not match up with the exit polls, when usually exit polling data can be quite reliable and does not deviate much from the true results. Even though Bush and Kerry were both members of the exclusive Yale secrete society Skull and Bones, the election was rigged anyways. But it is important to realize that this is not a republican conspiracy against the democrats… it is an agenda by the elites against the American people.
I am confident that John McCain will be elected tonight because I believe what Lindsey Williams said to be true, and given that information, I can understand why “John McCain is their man.” Even though there is no real difference between the candidates, the public perceives them to have very different platforms and ideologies. The perceived difference has totally divided the country, even though everyone is just essentially supporting the same system. The danger that the elite want to avoid is having the American people turn away from the both parties and rejecting the whole political system entirely. As long as they can keep the left wing supporting the democrats and the right wing supporting the republicans, they can have full control of the country. The left will fight the right in order to get the democrats in power, and the right will fight the left in order to get the republicans in power. The left and right need to stop fighting each other, and instead start fighting together against the phony two party system. It is only when the left wing rejects the democrats and the right wing reject the republicans can we move back towards limited government and personal freedom and have this political machine dismantled.
I think most Republican supporters are already aware that their party has failed them. Most recognize that Bush was a horrible President who put the country in a horrible economic situation and screwed up the Iraq War. However, I feel that many traditional republicans will still vote for McCain because they are justifiably afraid of the socialism that Obama represents. Also, there is still plenty of racism present in the United States and certainly a decent percentage of white Americans will vote for the white guy so that the black guy does not get into power.
The Democrats blame the economic problems and the failed Iraq war on the Bush Administration and believe that the Democratic Party will make things better again. Unfortunately, since most Obama supporters do not truly understand the nature of the problem, they do not realize that the solutions that Obama provides will make the economic situation worse. The left wing blames free market capitalism for the economic crisis and believes that government intervention is the solution. The left tends to blame Wall St. rather than the Federal Reserve. The government and the private sector work together in a fascist relationship to take advantage of the American people, but the people need to realize that it is the government part of that equation that needs to be eliminated, not the other way around. The economic crisis was caused by government intervention, and it is the free market that is trying to fix the imbalances. Businesses that only succeeded because of government handouts and favors need to fail, insolvent companies need to go bankrupt, and incompetent management needs to be fired and have the assets bought up by the competent. The recent government intervention is simply making the underlying problem worse and further intervention by the future administration will just dig us into a deeper hole.
The next four years are going to be horrible in the United States. The economic collapse that started in late 2007, and accelerated in the Spring of 2008, will unfold between 2009 – 2012 plunging the country into the worst economic depression in the country’s history. The economic collapse has only just begun and the dollar crisis is still to come. When the dollar starts to fall and eventually hyperinflates, that is when the real disaster begins and when truly tough times will be upon us.
If Obama is elected now, the left wing will realize that the socialist solutions did not work, and actually made the problem worse. By 2012, the American people would be so outraged with both political parties that they might get behind a Ron Paul type candidate and bring about the necessary reform to get the country back on sound footing. The elites are afraid of this and need the public to support either republicans or democrats.
Since both McCain and Bush are both perceived to be free market oriented (even though they are not) capitalism will take the blame for the collapse and the public will demand big government socialism to protect them. Therefore, I think that McCain will win this election in a very close race and the left wing support of the democrats will be emboldened as the crisis unfolds. It will appear as if the economic problems started with Bush in 2000 and got worse under McCain, before hitting rock bottom in 2012. Then, in 2012, the democrats will win in a landslide and install a massive socialist government that will seize whatever power is left for the taking and eliminate any glimmer of freedom from this once bright beacon.
Since the majority of the economic collapse has not yet unfolded, I believe it is better from the perspective of the elites to have McCain in power so that the free market can take the blame and strengthen control for the democrats in 2012. If Obama wins, the elite run the danger of a revolution where both parties are rejected since both would be to blame for the economic collapse. No matter who wins tonight, they will eventually be hated by both the left and the right by 2012. So if Obama wins, everyone in America will hate Obama and the democrats, and it is unlikely that they will find much comfort in the republicans since everyone realizes that it was republicans who got us into this mess. But if McCain wins, the left and right will both hate the republicans and will flock to the democrats in 2012. The elites want the public to run to socialism, not freedom, and with McCain in the white house, they can keep the left vs. right paradigm alive and well.
When McCain wins, Obama supporters will be furious. I would expect some form of civil unrest to occur. Over the next four years, there will undoubtedly be plenty of civil unrest which will justify a police state to strengthen the stranglehold that the government has over its people. The plans for martial law are already in the books. The elites may actually welcome or incite civil unrest in order to justify martial law and grab more power.
The elites do not care if the public protests against one political party, as long as they are in favor of the other one. It is acceptable for the public to hate the republicans provided that they support the democrats. So if the elites put the democrats in now, the whole country will end up hating both parties, whereas if they keep a republican president in office, the public will hate the republicans, but believe that the democrats will be their saviors.
The elections in the United States are rigged. The American people are given the choice between two identical political philosophies. Both candidates are chosen by an elite group of globalists and proceed to entertain the public with their political puppet show in a scheme to divide the country and pit Left vs. Right (Democrat vs. Republican). Despite the fact that both candidates are chosen by this small group of elites, the winner between the two is also decided by this same group. They follow an agenda in order to continue the false left vs. right paradigm and maintain control of the political system by giving the public the illusion of choice and democracy.
We can look no further than the 2000 and 2004 election to find blatant evidence of voter fraud. In the Bush vs. Gore election, it was only necessary to rig the results in one state in order to influence the entire election. The powers that be have succeeded in effectively dividing the population almost down the middle so that the split between democrats and republicans is almost 50/50. Therefore, to influence the results of an election, voter fraud is only necessary in one important state because the outcome in certain states will decide the election for the whole country. In 2000, Bush only won the election because of clear voter fraud in Florida. There was blatant discrimination against African Americans, countless issues with the ballets, and just an unbelievable series of events that lead to Bush winning the state’s electoral votes. Of course, with his brother as Governor of that state, that should have made the fraud a lot easier to commit. In Ohio in 2004, the evidence of fraud is less blatant, but the discrepancies were even greater. The results from the electronic voting machines clearly did not match up with the exit polls, when usually exit polling data can be quite reliable and does not deviate much from the true results. Even though Bush and Kerry were both members of the exclusive Yale secrete society Skull and Bones, the election was rigged anyways. But it is important to realize that this is not a republican conspiracy against the democrats… it is an agenda by the elites against the American people.
I am confident that John McCain will be elected tonight because I believe what Lindsey Williams said to be true, and given that information, I can understand why “John McCain is their man.” Even though there is no real difference between the candidates, the public perceives them to have very different platforms and ideologies. The perceived difference has totally divided the country, even though everyone is just essentially supporting the same system. The danger that the elite want to avoid is having the American people turn away from the both parties and rejecting the whole political system entirely. As long as they can keep the left wing supporting the democrats and the right wing supporting the republicans, they can have full control of the country. The left will fight the right in order to get the democrats in power, and the right will fight the left in order to get the republicans in power. The left and right need to stop fighting each other, and instead start fighting together against the phony two party system. It is only when the left wing rejects the democrats and the right wing reject the republicans can we move back towards limited government and personal freedom and have this political machine dismantled.
I think most Republican supporters are already aware that their party has failed them. Most recognize that Bush was a horrible President who put the country in a horrible economic situation and screwed up the Iraq War. However, I feel that many traditional republicans will still vote for McCain because they are justifiably afraid of the socialism that Obama represents. Also, there is still plenty of racism present in the United States and certainly a decent percentage of white Americans will vote for the white guy so that the black guy does not get into power.
The Democrats blame the economic problems and the failed Iraq war on the Bush Administration and believe that the Democratic Party will make things better again. Unfortunately, since most Obama supporters do not truly understand the nature of the problem, they do not realize that the solutions that Obama provides will make the economic situation worse. The left wing blames free market capitalism for the economic crisis and believes that government intervention is the solution. The left tends to blame Wall St. rather than the Federal Reserve. The government and the private sector work together in a fascist relationship to take advantage of the American people, but the people need to realize that it is the government part of that equation that needs to be eliminated, not the other way around. The economic crisis was caused by government intervention, and it is the free market that is trying to fix the imbalances. Businesses that only succeeded because of government handouts and favors need to fail, insolvent companies need to go bankrupt, and incompetent management needs to be fired and have the assets bought up by the competent. The recent government intervention is simply making the underlying problem worse and further intervention by the future administration will just dig us into a deeper hole.
The next four years are going to be horrible in the United States. The economic collapse that started in late 2007, and accelerated in the Spring of 2008, will unfold between 2009 – 2012 plunging the country into the worst economic depression in the country’s history. The economic collapse has only just begun and the dollar crisis is still to come. When the dollar starts to fall and eventually hyperinflates, that is when the real disaster begins and when truly tough times will be upon us.
If Obama is elected now, the left wing will realize that the socialist solutions did not work, and actually made the problem worse. By 2012, the American people would be so outraged with both political parties that they might get behind a Ron Paul type candidate and bring about the necessary reform to get the country back on sound footing. The elites are afraid of this and need the public to support either republicans or democrats.
Since both McCain and Bush are both perceived to be free market oriented (even though they are not) capitalism will take the blame for the collapse and the public will demand big government socialism to protect them. Therefore, I think that McCain will win this election in a very close race and the left wing support of the democrats will be emboldened as the crisis unfolds. It will appear as if the economic problems started with Bush in 2000 and got worse under McCain, before hitting rock bottom in 2012. Then, in 2012, the democrats will win in a landslide and install a massive socialist government that will seize whatever power is left for the taking and eliminate any glimmer of freedom from this once bright beacon.
Since the majority of the economic collapse has not yet unfolded, I believe it is better from the perspective of the elites to have McCain in power so that the free market can take the blame and strengthen control for the democrats in 2012. If Obama wins, the elite run the danger of a revolution where both parties are rejected since both would be to blame for the economic collapse. No matter who wins tonight, they will eventually be hated by both the left and the right by 2012. So if Obama wins, everyone in America will hate Obama and the democrats, and it is unlikely that they will find much comfort in the republicans since everyone realizes that it was republicans who got us into this mess. But if McCain wins, the left and right will both hate the republicans and will flock to the democrats in 2012. The elites want the public to run to socialism, not freedom, and with McCain in the white house, they can keep the left vs. right paradigm alive and well.
When McCain wins, Obama supporters will be furious. I would expect some form of civil unrest to occur. Over the next four years, there will undoubtedly be plenty of civil unrest which will justify a police state to strengthen the stranglehold that the government has over its people. The plans for martial law are already in the books. The elites may actually welcome or incite civil unrest in order to justify martial law and grab more power.
The elites do not care if the public protests against one political party, as long as they are in favor of the other one. It is acceptable for the public to hate the republicans provided that they support the democrats. So if the elites put the democrats in now, the whole country will end up hating both parties, whereas if they keep a republican president in office, the public will hate the republicans, but believe that the democrats will be their saviors.
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