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The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!

 
Saddletramp
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08/21/2013 04:44 PM
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The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
From my Thread on 5/13/13: Thread: The Grand Finale Pt. I: Here Is What Is About To Happen To You...An Economic Love Story, or Fifty Shades of Green?

After the Market Fluctuations and Continued Bad Financial News of the Last Two Weeks I'm Re-Posting my original Theory on the Coming Economic Collapse. I feel this has renewed relevance, and I will update this original thread with new information as we go...

2nd Post on this thread contains the video version of the original written theory...



The Grand Finale, What Is About To Happen To You: An Economic Love Story, or Fifty Shades of Green...


Here Is What Is About To Happen To You...

Okay, I’m going to save time for those of you who piss and moan about “Wall of Text” OP’s. I’m going to give a synopsis right up front for all of you Fluoridated, ADHD medicated, passer-by trolls that just come to financial posts on GLP to say, “You Can’t Eat Silver!”

The Synopsis of this thread is: You’re fucked!

There, now you can go on and go view the latest post on Jay-Z, or Dennis Rodman, or the Nobody, or what-the-fuck-ever…Goodbye and God-Speed.

For the rest of you that want to know what’s about to happen to your finances, hell to life as you know it, follow me down the rabbit hole for a moment. I will assure you that the time you take reading this post will be time well spent.

First, let me remind you, I don’t post timing predictions willy-nilly on financial matters. I have a Youtube channel and a Blog that some people actually come to for legitimate advice, so I try to stay away from the “timing game” regarding financial matters as much as I can, because it can always change through unforeseen circumstances and financial moves by the Central Banks. They keep their plans fluid people, and they have all the time in the world. That being said, the reason I feel fairly confident in posting this rough sketch timing of the next big financial event is because it is already in motion...

Second, let’s go over the evidence we have already collected of this well planned financial crisis that is coming at us like a freight train in a tunnel.

The Evidence

I could go all the way back to the creation of the Federal Reserve Bank in 1913 and bring you forward to the point we are at now, but you already know about this stuff, and if you have any questions regarding long past financial events that relate to our current situation, then I will try as best I can to address those questions on this thread. For purposes of brevity, I’m going to stick to recent financial news and how it relates to the coming financial reset, but please understand, all of those past moves that I’m not discussing here from 1913 to present are still part of this equation, a big part. So keep them in mind as you read on.

2010 to the Present, Capital Controls: In 2010 The United States began printing a new series of $100 bills (for information on that series just Google: The New $100 Bill, and you will get all the info you need), but they don’t begin circulating the new $100 bill, they just printed them by the pallet load and put them in storage. Meanwhile, they enact Capital Controls in 2011 through a hefty sur-tax on money leaving the country and going to places like Belize, and other favorite spots for Ex-Patriots, those capital controls went into effect at the beginning of 2012. Also during this time they are pulling worn and torn $100 bills out of the system at record rates, pulling down the amount of actual U.S. currency on the world market, all while flooding that same world market with electronically generated computer dollars. The bottom line to all of these moves is; DURING THE LAST THREE YEARS CAPITAL CONTROLS HAVE BEEN STEALTHFULLY PUT INTO PLACE AND MADE FULLY FUNCTIONAL IN THE USA!

Also, an interesting side note on the Capital Controls issue, they have decided to release into circulation the new $100 bill beginning in October of 2013, keep this date in mind as you read on.

2010 to the Present, Financial Regulations: In 2010 the United States passed the Dodd-Frank Financial Reform Act, and similar regulations were passed by England, the European Union, and most other developed countries. Despite all of the “Consumer Protection” hoopla surrounding these financial reforms, they were decidedly not consumer friendly. In point of fact, they were quite the opposite. Essentially what these regulations have done is totally changed the nature of the banking relationship. You are no longer a “depositor” at your financial institution; you are now an “unsecured creditor” of your bank. This doesn’t seem like much of a change until you also put together the way they have changed the method by which they reorganize a “systemically important” bank or financial company when it defaults. In the past, with regards to FDIC insured deposits at banks, if you had more money on deposit than was covered by the FDIC insurance, you might not get all of your money over $250,000 back, but you were first in line to get your money back from the liquidation of the other assets of the bank. Now, you are moved to the very back of the line, and any money over $250,000 dollars will most likely be replaced with stock certificates in a worthless shell company organized by the FDIC to hold all of the banks “bad assets” after post default reorganization. We all saw test runs of this with MF Global, and in Cyprus, and the tests went pretty much according to plan except, with regards to Cyprus, that much of the Russian Mafia money was allowed to flee the country through branches in other countries. These problems were promptly fixed by quiet new banking regulations involving out of country branches of a bank organized in another country.

Also, with regards to financial regulation, the Bank of International Settlements, the shadowy Central Bank of Central Banks, in Basel, Switzerland has passed a new set of Basel Banking Regulations that they began working on in 2010, called Basel III. Now you can read up about Basel III if you like, but in a nutshell what it does is put severe leverage restrictions and increased capital requirements on banks within the BIS structure (which is virtually all of the developed world). Now the European Union and the USA have been tinkering with the wording of these regulations since the last half of 2012, basically not changing them in any real fashion, but more looking for the right time to implement them. It now appears that that timing will be at the end of Q2 or the beginning of Q3, 2013. This will mean that during Q3 or Q4 of 2013, expect to see a massive credit freeze happen. Now, do you remember the date of circulation for the new $100 bill?

If you have any questions about the power of these Basel Banking Regulations you can also see the effects that Basel II and 2.5, mark to market accounting, had on the Housing Markets in the United States of America in 2008. There were many causes for that housing bubble, then housing crisis, but Basel II and 2.5 was most assuredly the pin that popped the housing bubble that led to the financial crisis of 2008-09.

2010 to Present, Financial Events: There have been many financial events that have caused economists and traders to false start, then false start again on predictions of doom, but all of these events have seemingly been blown away by the massive Bull Market in the United States and China. Traders and Economists have complained ad-nauseum that these markets simply don’t seem to have any relationship anymore to the actual economic environment, and they are right. These markets are wholly bought out with massive printing of electronic fiat dollars by monolithic financial institutions associated with the Federal Reserve and fully controlled by high frequency computer trading algorithms. The equity markets, and other fractional reserve markets such as precious metals, bear no relationship to the economy anymore. And despite the Quantitative Easing cheerleaders on the TV and in the financial forums, that is simply a fact.

There are many events in the financial markets that have transpired over the last two years that were signals of impending crisis, in fact so many that I simply don’t have the time, nor do you, to go over all of them. So I will choose three recent events that have been very large signals to me of what is to come for the world economy.

First, Cyprus: As I stated before, Cyprus was a test run of the new financial regulations of the European Union in much the same way that MF Global was in the United States, but it was also a signal to those in the know, that you had better get your money out of the banks! I won’t go over it again, but rest assuredly; this was a major recent signal.

Second, The Orchestrated Take-Down of Precious Metals: This was a move that may have well backfired on the Financial Cartel, in a sense. In seeking to take down the level of Precious Metal to allow for more inflation of these same metals later on (when it is needed to expand a currency that they decide to back with PM’s), they sought to also transfer the remaining private ownership of these metals from what we in the financial world call, “Weak Hands to Strong Arms”. It started with financial talking heads on TV trashing Gold and Silver as an investment for almost two months, and it then culminated with Black Friday in the commodity pits. What they never expected was that stackers would actually try to take that opportunity to load up on metals. They never expected the Physical Market to stabilize, and then push the paper market higher. They never expected the immediate disconnect of spot price in relation to physical price that happened and is still happening almost a month later. However, the move still serves a purpose for the Financial Cartel, it put all of the markets, including the bond markets and derivative markets, on tenuous footing, and it allowed for Banks to load up on physical metals at a cheap price for compliance with Basel III Capital Requirements. Unfortunately for the Cartel boys though, they may well have sacrificed the COMEX, their controlled price discovery system, in this transaction. But I doubt it matters much in the long run to them, as the COMEX was already dead the moment this plan was put into place. This move in PM’s was another huge signal of what’s to come, and if you will bear with me, I will tie it all together as we move through my scenario.

Third, The Ongoing Bond Implosion in Japan: Now this is a financial story that is still developing, but it is progressing at a rapid rate. Japan is the most leveraged country in the world, and their economy has been constantly controlled by the Financial Cartel, and virtually stagnate for almost twenty years now. Japan has been ripe to fall off of the tree for a long time, so it only makes sense that any bond and/or derivative market collapse would begin here. Japan is leading in the race to the bottom of currency degradation in the world currency wars, and they are the trigger that will cause the debt markets in Europe to implode, and then shortly thereafter, the debt markets in the USA. I’ve been saying for a couple of years now, and I still say, if you want to know the timing of all of this, watch Japan.

So, while there were obviously many more financial events that have transpired over the last three years that are slowly leading us to this cliff of financial oblivion that we now stand at the precipice of, these three alone are enough to help us with our conclusion.

Problem, Reaction, Solution; a Hegelian Love Story: So you say, fine, you’ve shown us a bunch of individual and apparently unrelated pieces of evidence of economic disaster, but yet we are still here. We are still standing despite it all.

Here’s where we tie it all together. You see the economic world moves in cycles, just like everything else in the Universe, and when we were using a more modified Austrian model of economics our economies moved in a 20-30 year cycle, but after WWII that all changed, because when the Austrian cycle came rolling around again for the World Reserve Currency in the 1970’s the financial cartel did something that would forever alter the path of human development, they pulled the worlds reserve currency, the U.S. Dollar, off of the gold standard, replaced it with the petro-dollar, and moved all world currencies to a totally fiat Keynesian economic system. This allowed for exponential expansion of currency and capital that was previously only dreamed of in Austrian circles, but it also allowed for the expansion of debt to never before imagined levels. And this is where we are today.

So Here’s The Problem: Debt; more debt has been created under this ever inflating system of Keynesian Economics and it’s fractional reserve banking than can ever be paid off. More debt exists on this planet than money exists to pay it off. So how do we cure something that can no longer be cured through economic expansion? Because you see, economic expansion, inflation, is the only way things are cured in a Keynesian System. So this leaves one to ask, how does the Financial Cartel take down a monolithic skyscraper of debt that they’ve built all they way up to the heavens, but has become structurally unsound at its foundation without taking themselves out in the process?

Controlled demolition, that’s how.

Of course what I’m talking about there is the real problem, not the problem you will hear about in the news.

Hyperinflation is not ordinary expansive inflation like we are used to in a Keynesian system. It’s not even runaway growth. Hyperinflation is the loss of confidence in a currency. In this case, following an implosion in world bond markets, and a subsequent deflation of the world derivative markets, the world will lose faith in all fiat currencies. Hyperinflation will ensue around the world. Economic premises that we are familiar with, that we are used too, financial relationships, like those of inflation to growth in equity markets, will become useless, and will in fact work in an entirely opposite manner of the way they worked before a loss of confidence. Imagine Market deflation while the value of the currency is dropping like a stone. Market deflation while prices for basic commodities and finished products are going through the roof. While interest is being jacked up on a daily basis to try and stave off the ravaging beast of inflation. If you don’t think this is possible, simply look to the fall of the USSR and Argentina for modern examples of this economic time bomb at work. Hyperinflation will be the one and only thing on the mind of every person of the world, and they will be beating that dead horse back to death nightly on every TV screen around the world.

So how does hyperinflation happen? Many people thought printing money would cause hyperinflation, and if that money had actually been let loose in the street economy, it would have. But that money was tightly controlled by a select few and disseminated into the system through financial instruments rather than loans to business. But now the tipping point has been reached, we cannot grow our way out of this mess with stocks and derivatives, and yet we cannot put that money into the hands of small business, they would only ravage big business and steal their market share. The system is full, the over-arching cycles of energy and food production are all moving into decline, and that will in turn move populations into decline. There are simply no “Consumers” left to exploit, the edges of our economic habitat have been found and fully explored. There is simply no where left to grow.

So without growth in the Keynesian system comes deflation, but they’ve stalled that deflation with artificial money printing that has propped up markets that long ago should have collapsed under the weight of their own hubris. So it, the deflation, transfers itself to the only place it can, the credit markets, sovereign debt, bonds! And so the loss of confidence begins in the bond markets, with the losses piling over into the titanic fantasy world of the derivative markets.

Derivative Markets, the only place on Earth where you could find someone to buy an option on Unicorn futures.

The Reaction of the Sheeples: It begins in the Japanese bond and derivative markets, and after that it cascades across the continent back to Europe, and anywhere else that debt exceeds an ever shrinking manageability level. Once Europe is fully enveloped in this credit crisis, expect America to follow suit soon thereafter, probably within six weeks. Interest rates on Bonds will skyrocket, leading to increases in interest rates for Residential and Commercial Property Mortgages. Soon interest will have to increase on all loans, including inter-bank lending. Once Basel III is thrown into the mix, there will be credit freezes due to decreased leverage and increased capital requirement for banks. Banks are no longer allowed to expand their way out of trouble, that’s too dangerous now, too many rogue elements out there for that.

Physical commodities begin to bring an ever widening premium over the paper markets. Electronic cash is still abundant, but actual paper currency becomes harder and harder to come by in this shadow world of capital controls. Central Banks end printing and begin to pull back on the reins, trying to tighten their money supplies. Prices at the gas station and at the grocery store explode, corporate profits implode and the equity markets tank. People’s savings and investments, their ever precious Pensions, 401k’s, and IRA’s begin to evaporate into the cyclone of a deflating debt bubble. People are losing their entire life savings and their house, the main source of their net worth, is now becoming worthless as well because no one can get a loan to buy a house, and even if they could, they couldn’t afford the ever increasing interest, you see because banks are now refusing to fix rates for more than three months because of the spiraling inflation.

Civil unrest follows as people lose their entire life’s work in a matter of weeks. People are demanding a solution to this economic disaster; they are demanding that the same system that put them into this mess be saved so that they can save something, anything, after the fall. Unemployment skyrockets as companies lose market share and credit markets dry up. It’s murder and mayhem, cities are burning, some are even claiming it’s Armageddon.

The Economic powers of the world schedule a meeting to solve this economic debt crisis and bring the hyperinflating major currencies of the world under control.

The Solution, Brought To You By Your Good Friends At The World Financial Cartel: The problem is now clear, forget the debt, forget the credit freeze, forget all the stuff that brought us here, it’s now obviously a currency crisis we face. But it just so happens, they have a solution ready to roll out. Of course they will have to jawbone it for a while to make it look good for the masses, but here’s what they’re going to do, just as soon as you’re hurting bad enough to accept it of course.

So the following is their solution to the problem they created, or something very equivalent.

First: They will create a world body, or use one of their world bodies they’ve already created, to manage world currencies and the amount of those currencies in circulation.

Second: any country that agrees to enter into, and abide by, an agreement to allow this “world body” to control the amount of that country’s, or Union’s, currency in circulation according to rules prescribed in the agreement will receive a huge discount in the amount of their sovereign debt owed. Probably something in the order of an instant haircut to bond holders of 50%, or in some instances, even more. This is probably also the point where governments begin to nationalize retirement accounts. For the people's safety of course.

Third: all participating currencies of each country will from that point on be backed by a basket of commodities specific to that country or union. For instance, Great Britain and China, who lack many natural resources, will probably back their currency primarily with gold and silver, while other countries that are richer in natural resources, like the United States, will probably back their currency with a basket of commodities such as energy reserves, real estate, mineral reserves, and possibly some percentage of gold and silver. These currencies would all be pegged together with this circulation agreement and the amount of currency in circulation would only fluctuate according to the value of the commodities pledged by the country as determined by the open markets.

Fourth: all excess liquidity over and above the prescribed circulation limits in the agreement will be removed from the system. So they will have to have the people using these “New” backed currencies around the world turn in their old currency, at (for example sake only) say $200 old, for $100 new (now again think of why they are waiting until October to release the new $100 bill which they have been printing for three years now), of course this will be easy with your bank account and investment accounts, they will simply slash the amount of money in your account by the prescribed percentage with the keystroke of a computer (and in case you’ve been wondering why all of the bank systems have had so much trouble lately, it’s because the software capability to do this was being installed and the accounts that need to be flagged and watched have already been identified).

Fifth: all of the resources and commodities used to back the currency of the country will be placed under the defacto control of the Central Bank that issues the currency, and thereby the BIS (Bank of International Settlements), so that countries themselves cannot cheat this agreement by pledging or selling off their resources by any manner other than that prescribed by the agreement.

A Hegelian Love Story: So that’s that, and in the end they will control all of the resources of the world because that’s what they always wanted from the beginning anyway. And the people of the world, well most of them will get down on their knee’s to thank them for saving a system that left them almost broke and penniless after a lifetime of work; all because at least some small pittance of their Pension or their 401k was saved and left in their possession. After all, the problem was worldwide, so obviously we needed some vestige of World Government to solve this, right?!?!?

Nathaniel Rothschild said, “Give me control over a nations currency, and I care not who makes its laws.”

Now they will say, “Give me control over a nations resources, and we will destroy that antiquated notion of national sovereignty.”

So when this is all said and done they will not only have control of the currencies of the world, (essentially meaning a one world currency, with familiar national denominations so as not to alarm the Conspiracy Theorists) they will also have control of the resources of the entire world to mete out as they see fit.

If that doesn’t chill you to the bone, then you my friend have not been paying very close attention to the world outside of your office or home recently. Because they will also use this chaotic opportunity to roll out the worst parts of their tyrannical scientific machine of control, all in the public good of course. Only to protect you – and them – from any reprisals from the fringe elements of society that demand things like “Freedom” and “Self-Determination”. Outlaw concepts of a bygone era. And the complaint media will parrot this line, and the people, sad though it may be, when presented with their futures going up in the fires of national currencies, will go along as well. Because the failure of this system would leave them penniless and without means; freedom be damned after all, I might lose my spot at the country club!

For those of you who think this could never happen, you need only research in depth what they've done as far as Financial Reform and Regulation since 2010. Of course the media isn’t telling you what’s going on, so you have to look these things up, but when you look at the evidence, the laws and regulations they’ve passed since 2010, the financial moves they’ve made, objectively; well I challenge you to find any other reasonable conclusion. In writing this I have also relied on other things as well though, such as information from personal friends still in the mix in banking circles. Not surprisingly though with much of this information in hand, even these people, some very high up people, in banking circles, don’t have a full understanding of what’s coming down the pipe. It’s called compartmentalization, and game theory. It’s knowing what you can do to provoke a certain response in your opponent or even someone working for you; they’ve been doing it for ages.

Regardless of the nay-sayer’s that will undoubtedly make their way to this thread may say, I stand firmly by the conclusions I have reached. So much so, that I am betting my livelihood and life savings on it. This scenario is going to happen, I’ve never been more convinced of anything in my life, but when will it happen?

Conclusions and Solutions, Falling Out Of Love: My best guess as far as timing regarding the scenario I have placed before you is that by the end of Q3 2013 we will be in it like a fully involved fire. By Q4 2013 Chaos in the financial markets and on the street will be the order of the day. Tyranny will reign in the name of protection and security. How fast certain elements of this go, I cannot say, there are simply too many variables at play to make a definitive prediction. Just say this, by the end of 2013, you will know the direction this is headed with absolute clarity, and because you took the time to read this, you will know that I was right, and you will at least know what you should have done, or perhaps you will even have done it.

Stop looking for fast money in this market, yes there will still be a few opportunities for a fast buck available, but don’t tie up and waste your resources with that anymore. Buy and hold is the order of the day now. If you have available funds here is what I would do, you can take it as a recommendation if you like, but I have to say, I’m not a licensed investment adviser, so I don’t offer it as recommendation, merely as an example of my financial strategy for the next two to five years.

With any “available” funds, I would first pay off any debt I had. Interest rates will likely be going up in the very near future, and if you were waiting for a signal of that to pay off some cheap interest debt you have, then consider the recent bond movements in U.S. Treasuries and Japanese Bonds as your signal. Interest will be going up in short order, but I also wouldn’t keep a lot of money in the bank. Trying to capture money through interest on savings is liable to become a dangerous game in the scenario I’ve laid out, as there will very likely be many bank closures forthcoming, and credit disruptions in the banking industry.

Second, I would buy non-perishable food. I don’t think you will have to have years and years’ worth in stock according to this scenario, but six months certainly wouldn’t hurt.

Third, I would keep enough paper currency for one or two month’s expenses, the rest I would put into commodities that you can hold physically. For most, that is gold or silver, but if you have land that you can grow crops or livestock on that might also mean extra fuel, feed, seed, or animals for consumption.

Fourth, if I had more saved than would pay for three years expenses, I would take that excess and buy agricultural land. NOT SECOND/RENTAL HOUSES OR COMMERCIAL REAL ESTATE. If the agricultural land you choose has a house, so much the better, but don’t buy it just because of a house, or buy anything in the way of land with the idea of re-selling it in the next five to ten years, buy it with the idea of living on it for the next five to ten years, then re-assess your position in relation to the economy.

Well that’s it, I’m sorry it was so long, but it’s a big subject. I hope it will help you and perhaps generate some critical thinking out there. More than anything I just hope it helps. If one person gets a head’s up from me, then I consider my mission accomplished.

Nothing about this is going to be easy, time tables will change as circumstances arise, chaos will be the order of the day. Wars may even start over this. So I hope you will all stay safe, brave new world or no, because remember, in the end; The New World Order will be run by the same people that brought you The Old World Order…

Last Edited by Saddletramp on 08/21/2013 05:40 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Saddletramp  (OP)

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08/21/2013 04:46 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
If you're too lazy to read the Original Thread, here is the video version of The Grand Finale in four parts...

Part 1:



Part 2



Part 3



Part 4


"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
No More Lies

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08/21/2013 04:47 PM

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
5aws3

Here we go.....
Billy_Sastard

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08/21/2013 04:48 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Great read as usual Saddletramp!

5 stars and a pin request from me.

smile_kiss
It is, to me, sad how fast people forget the FOUNDATIONS of our fine country! This country was built by an armed population capable of fending for themselves, and will be lost by couches full of potato-sheeple riding their 52" HD-LEDTV's into the orwellian sunset. :(
:abomb::abomb::abomb:
BRING ON THE DOOM!!!
Saddletramp  (OP)

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08/21/2013 05:03 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
So the story on everyone's mind right now is The Fed and the apparent signal that they intend to begin tapering on Ben Bernanke's time line, starting in Sept of 2013...

Bullshit...

The Fed is already tapering, and I believe that will become apparent in their August Financial Statement, but why?

Because they're BROKE ON THEIR ASS!!!

How, you ask, can an entity which prints fiat currency be broke?

Because they have to operate off of a balance sheet, and right now they have over $2 Trillion Dollar worth of Long Term U.S. Debt on that balance sheet, but those bonds are losing value every day, and that is why their capital is being hit...and I mean hard.

You see they can print electronic money to buy bonds, and as long as those bonds appreciate or keep the same value, then their balance sheet isn't effected, in fact for awhile in 2010-11 they actually built capital because the Interest Rates were falling and the Bonds were appreciating in value.

But now, well now the value of these Bonds are dropping like a stone, and while the Fed doesn't have to really account for that until they sell that bond (they don't have to do Mark to Market accounting) they still keep and internal track on how much Capital they really have...and the cupboard is almost bare!

So, ordinarily the Fed would dump negative capital off on the U.S. Taxpayer by making a "Negative Interest" deposit to the Treasury (an asset that is actually a liability), but the Treasury is tapped, they're up against the debt ceiling, so again, the cupboard is bare...

Furthermore the BIS (Bank of International Settlements, The Central Bank of Central Banks) has told the Central Banks of the world to STOP STIMULATING NOW!!!

So the Fed is up against it, now they will have to make it look like they're trying to provide a soft landing for markets that are dropping like a stone with some "well placed" bond purchases here and there to try and keep everything from falling off of a cliff overnight!

In other words...It's on!

Now the impetus returns to Japan, WATCH JAPAN!!! They've been selling U.S. Debt for liquidity since May, but now they're losing money on the Bonds they own, and that is money Japan can't afford to lose...

Also, watch the 10 Yr Treasury, if that Yield goes past 3.5%...it will accelerate like a runaway train. When you see that, you have weeks left...not months, not years!


Last Edited by Saddletramp on 08/21/2013 05:15 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Saddletramp  (OP)

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08/21/2013 05:07 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Also, for those interested in this, please read John Embry's interview...

It's an eye opener...

Thread: ALERT!! WAKE UP PEOPLE!!! We Are Now On The Verge Of A Historic Meltdown & Collapse
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Saddletramp  (OP)

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08/21/2013 05:13 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
There is a crisis brewing behind the scenes, one I don't think has entirely made its way into the markets yet...

[link to kingworldnews.com]

I believe that Crisis is...we're broke and no one wants to buy our debt. Which in turn is going to cause a parabolic rise in interest rates, which in turn is about to cause the Derivative Bubble to Explode like a 50 Megaton Nuke! Which in turn will cause the United States of America to default on its debt...

Why...of course it will be blamed on Partisan Politics, Evil International Currency Speculators, Foreign Interests Attacking Our Dollar...

Could they push the can down the road some more? Of course they could, but they won't...THE TIME IS NOW!

Welcome to the death of Fiat Currency, Graveside Services will be sometime around the end of the year...

Last Edited by Saddletramp on 08/21/2013 05:17 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Anonymous Coward
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08/21/2013 05:19 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
There is a crisis brewing behind the scenes, one I don't think has entirely made its way into the markets yet...

[link to kingworldnews.com]

I believe that Crisis is...we're broke and we're about to default on our debt.

Why...of course it will be blamed on Partisan Politics, Evil International Currency Speculators, Foreign Interests Attacking Our Dollar...

Could they push the can down the road some more? Of course they could, but they won't...THE TIME IS NOW!

Welcome to the death of Fiat Currency, Graveside Services will be sometime around the end of the year...
 Quoting: Saddletramp


Awesome read... but are you sure they won't kick the can further down the road for a couple more years? I mean the DEATH of fiat means a lot of changes to their elite lifestyle, why would they terminate it if they could enjoy it a few more days. this could easily jeopardize their position if chaos follows
K. Buzzkill

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Thank you for simplifying that! Keynesian Economics, it has a name!
hf

5* and pin

Last Edited by K. Buzzkill on 08/21/2013 05:20 PM
Did they get you to trade your heroes for ghosts?
Hot ashes for trees?
Hot air for a cool breeze?
Cold comfort for change?
Did you exchange a walk on part in the war for a lead role in a cage?
Saddletramp  (OP)

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08/21/2013 05:22 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
There is a crisis brewing behind the scenes, one I don't think has entirely made its way into the markets yet...

[link to kingworldnews.com]

I believe that Crisis is...we're broke and we're about to default on our debt.

Why...of course it will be blamed on Partisan Politics, Evil International Currency Speculators, Foreign Interests Attacking Our Dollar...

Could they push the can down the road some more? Of course they could, but they won't...THE TIME IS NOW!

Welcome to the death of Fiat Currency, Graveside Services will be sometime around the end of the year...
 Quoting: Saddletramp


Awesome read... but are you sure they won't kick the can further down the road for a couple more years? I mean the DEATH of fiat means a lot of changes to their elite lifestyle, why would they terminate it if they could enjoy it a few more days. this could easily jeopardize their position if chaos follows
 Quoting: Anonymous Coward 43512216


Why, they had 100 years to buy up all the hard assets and Real Estate of the world for worthless paper?!?!?

And just imagine how much more powerful those people will be who have "Real" Assets, and how much more valuable those "Real" Assets will be when that worthless paper is out of the way...

Last Edited by Saddletramp on 08/21/2013 05:37 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Saddletramp  (OP)

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I've been saying since day one of the parabolic rise in 10 Yr Treasury Yields that the Fed is going broke...

Some other folks are catching on...

[link to gainspainscapital.com]

Last Edited by Saddletramp on 08/21/2013 05:42 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Anonymous Coward
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08/21/2013 05:54 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I've been saying since day one of the parabolic rise in 10 Yr Treasury Yields that the Fed is going broke...

Some other folks are catching on...

[link to gainspainscapital.com]
 Quoting: Saddletramp


Just in time for their (the Fed's) 100th Birthday (and renewal) -- can their remit be withdrawn in December?
Anonymous Coward
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Really well done, saddle, many thanks for your time and effort.
Saddletramp  (OP)

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I've been saying since day one of the parabolic rise in 10 Yr Treasury Yields that the Fed is going broke...

Some other folks are catching on...

[link to gainspainscapital.com]
 Quoting: Saddletramp


Just in time for their (the Fed's) 100th Birthday (and renewal) -- can their remit be withdrawn in December?
 Quoting: Anonymous Coward 45356805


What difference would it make now, they've loaded up the Fed Balance Sheet with Toxic Assets, whoopie, the American people get a bunch of worthless shit and the bankers get away with the money as usual...

I'm all for dissolving the Fed, but when they do, they should lead them all away in handcuffs...
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
Saddletramp  (OP)

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Really well done, saddle, many thanks for your time and effort.
 Quoting: Anonymous Coward 45421190


cheers
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

"We don't rent pigs!"
sadhuman

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Can't happen soon enough for me. Maybe people will care about something other than making money and get off their collective asses and stop the NWO.

I doubt it.
"All people are my people"
m0tivati0n_2.o

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
dude...ur the shyt... great compilation of very useful info that a lot of people need to read and understand... avg joe doesn't know anything except for his daily "schedule". a lot of people are going to be fukin dumbstruck when this shyt goes down.

5* my friend...
ohyeah
The first step is to establish that something is possible; then probability will occur.


It's easy to stand in the crowd but it takes courage to stand alone

Do i look really like a guy with a plan? you know what i am? I'm a dog chasing cars. I wouldn't know what to do with one if i ever caught it. You know, I.. I just do things. The mobs have plans. The cops have plans. They're Schemers. Schemer's trying to control their little worlds.

I'm Not a Schemer.
Bittercritter
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I think you're absolutely right but wait, there's more:. Naturally, this will be a prime opportunity to implement laws that would never have passed before the crisis - like gun control. Rest assured, part of the deal will be that private gun ownership must end in member countries. If we don't we won't be in on the great bailout.

They have us coming and going. Everyone responsible for the mess in the US will out of the country shortly after the SHTF because they know they will be hunted like rabid animals. Once the domestic turbulence subsides they can safely return and rule with the iron fist they've always wanted to show off so badly. Hillary will be orgasmic over it all.

If we fight we end up slaughtering our own countrymen, few of whom were involved in any of the lead up to this. Criminals will run rampant until people beg the UN to restore order.

Great thread OP. You've dissected the current economic problem with surgical precision.
Keneh

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!

Keneh
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
didn't i hear someone the other day saying that japan knows we're toast and the only way to survive this upcoming apocalypse was to dump the dollar completely and buy into gold-backed yuan?

dweebheartbreakflag waver
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Thanks OP i always watch your threads
hfhf
*Evan

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Way to put it all together!

Great thread man!

I completely agree, and you laid it out nicely.

5*
*Evan

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I have a youtube channel and a blog! WOW.

In other words, you are just a punk, who thinks online writing means shit. Fuck off moron.
 Quoting: Anonymous Coward 45510469


umad5
Nine's

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Well worth the long read!
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
So the story on everyone's mind right now is The Fed and the apparent signal that they intend to begin tapering on Ben Bernanke's time line, starting in Sept of 2013...

Bullshit...

The Fed is already tapering, and I believe that will become apparent in their August Financial Statement, but why?

Because they're BROKE ON THEIR ASS!!!

How, you ask, can an entity which prints fiat currency be broke?

Because they have to operate off of a balance sheet, and right now they have over $2 Trillion Dollar worth of Long Term U.S. Debt on that balance sheet, but those bonds are losing value every day, and that is why their capital is being hit...and I mean hard.

You see they can print electronic money to buy bonds, and as long as those bonds appreciate or keep the same value, then their balance sheet isn't effected, in fact for awhile in 2010-11 they actually built capital because the Interest Rates were falling and the Bonds were appreciating in value.

But now, well now the value of these Bonds are dropping like a stone, and while the Fed doesn't have to really account for that until they sell that bond (they don't have to do Mark to Market accounting) they still keep and internal track on how much Capital they really have...and the cupboard is almost bare!

So, ordinarily the Fed would dump negative capital off on the U.S. Taxpayer by making a "Negative Interest" deposit to the Treasury (an asset that is actually a liability), but the Treasury is tapped, they're up against the debt ceiling, so again, the cupboard is bare...

Furthermore the BIS (Bank of International Settlements, The Central Bank of Central Banks) has told the Central Banks of the world to STOP STIMULATING NOW!!!

So the Fed is up against it, now they will have to make it look like they're trying to provide a soft landing for markets that are dropping like a stone with some "well placed" bond purchases here and there to try and keep everything from falling off of a cliff overnight!

In other words...It's on!

Now the impetus returns to Japan, WATCH JAPAN!!! They've been selling U.S. Debt for liquidity since May, but now they're losing money on the Bonds they own, and that is money Japan can't afford to lose...

Also, watch the 10 Yr Treasury, if that Yield goes past 3.5%...it will accelerate like a runaway train. When you see that, you have weeks left...not months, not years!

 Quoting: Saddletramp


Thanks OP but i am confused. If the yield goes up doesn't that mean the Fed makes more money on their bonds.

Can you explain how the bond market works it is something i do not understand, but everything else i do.
m0tivati0n_2.o

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
I have a youtube channel and a blog! WOW.

In other words, you are just a punk, who thinks online writing means shit. Fuck off moron.
 Quoting: Anonymous Coward 45510469


umad5
 Quoting: *Evan


laugh
LOVE IT!!

by the way AC0469...fuckoff2
The first step is to establish that something is possible; then probability will occur.


It's easy to stand in the crowd but it takes courage to stand alone

Do i look really like a guy with a plan? you know what i am? I'm a dog chasing cars. I wouldn't know what to do with one if i ever caught it. You know, I.. I just do things. The mobs have plans. The cops have plans. They're Schemers. Schemer's trying to control their little worlds.

I'm Not a Schemer.
Buck Zander

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08/21/2013 06:25 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Good read and those videos were fantastic, Saddletramp! Would send a bucket of glow in the dark karma if I could.

Vidoes will be shared, of course.

hf

Last Edited by Buck Zander on 08/21/2013 06:25 PM
There must be a law that people can't lie.
Vic-chick13

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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Really well done, saddle, many thanks for your time and effort.
 Quoting: Anonymous Coward 45421190


Wholeheartedly agree! Thanks Saddletramp.
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!

From my Thread on 5/13/13: Thread: The Grand Finale Pt. I: Here Is What Is About To Happen To You...An Economic Love Story, or Fifty Shades of Green?

After the Market Fluctuations and Continued Bad Financial News of the Last Two Weeks I'm Re-Posting my original Theory on the Coming Economic Collapse. I feel this has renewed relevance, and I will update this original thread with new information as we go...

2nd Post on this thread contains the video version of the original written theory...



The Grand Finale, What Is About To Happen To You: An Economic Love Story, or Fifty Shades of Green...


Here Is What Is About To Happen To You...

Okay, I’m going to save time for those of you who piss and moan about “Wall of Text” OP’s. I’m going to give a synopsis right up front for all of you Fluoridated, ADHD medicated, passer-by trolls that just come to financial posts on GLP to say, “You Can’t Eat Silver!”

The Synopsis of this thread is: You’re fucked!

There, now you can go on and go view the latest post on Jay-Z, or Dennis Rodman, or the Nobody, or what-the-fuck-ever…Goodbye and God-Speed.

For the rest of you that want to know what’s about to happen to your finances, hell to life as you know it, follow me down the rabbit hole for a moment. I will assure you that the time you take reading this post will be time well spent.

First, let me remind you, I don’t post timing predictions willy-nilly on financial matters. I have a Youtube channel and a Blog that some people actually come to for legitimate advice, so I try to stay away from the “timing game” regarding financial matters as much as I can, because it can always change through unforeseen circumstances and financial moves by the Central Banks. They keep their plans fluid people, and they have all the time in the world. That being said, the reason I feel fairly confident in posting this rough sketch timing of the next big financial event is because it is already in motion...

Second, let’s go over the evidence we have already collected of this well planned financial crisis that is coming at us like a freight train in a tunnel.

The Evidence

I could go all the way back to the creation of the Federal Reserve Bank in 1913 and bring you forward to the point we are at now, but you already know about this stuff, and if you have any questions regarding long past financial events that relate to our current situation, then I will try as best I can to address those questions on this thread. For purposes of brevity, I’m going to stick to recent financial news and how it relates to the coming financial reset, but please understand, all of those past moves that I’m not discussing here from 1913 to present are still part of this equation, a big part. So keep them in mind as you read on.

2010 to the Present, Capital Controls: In 2010 The United States began printing a new series of $100 bills (for information on that series just Google: The New $100 Bill, and you will get all the info you need), but they don’t begin circulating the new $100 bill, they just printed them by the pallet load and put them in storage. Meanwhile, they enact Capital Controls in 2011 through a hefty sur-tax on money leaving the country and going to places like Belize, and other favorite spots for Ex-Patriots, those capital controls went into effect at the beginning of 2012. Also during this time they are pulling worn and torn $100 bills out of the system at record rates, pulling down the amount of actual U.S. currency on the world market, all while flooding that same world market with electronically generated computer dollars. The bottom line to all of these moves is; DURING THE LAST THREE YEARS CAPITAL CONTROLS HAVE BEEN STEALTHFULLY PUT INTO PLACE AND MADE FULLY FUNCTIONAL IN THE USA!

Also, an interesting side note on the Capital Controls issue, they have decided to release into circulation the new $100 bill beginning in October of 2013, keep this date in mind as you read on.

2010 to the Present, Financial Regulations: In 2010 the United States passed the Dodd-Frank Financial Reform Act, and similar regulations were passed by England, the European Union, and most other developed countries. Despite all of the “Consumer Protection” hoopla surrounding these financial reforms, they were decidedly not consumer friendly. In point of fact, they were quite the opposite. Essentially what these regulations have done is totally changed the nature of the banking relationship. You are no longer a “depositor” at your financial institution; you are now an “unsecured creditor” of your bank. This doesn’t seem like much of a change until you also put together the way they have changed the method by which they reorganize a “systemically important” bank or financial company when it defaults. In the past, with regards to FDIC insured deposits at banks, if you had more money on deposit than was covered by the FDIC insurance, you might not get all of your money over $250,000 back, but you were first in line to get your money back from the liquidation of the other assets of the bank. Now, you are moved to the very back of the line, and any money over $250,000 dollars will most likely be replaced with stock certificates in a worthless shell company organized by the FDIC to hold all of the banks “bad assets” after post default reorganization. We all saw test runs of this with MF Global, and in Cyprus, and the tests went pretty much according to plan except, with regards to Cyprus, that much of the Russian Mafia money was allowed to flee the country through branches in other countries. These problems were promptly fixed by quiet new banking regulations involving out of country branches of a bank organized in another country.

Also, with regards to financial regulation, the Bank of International Settlements, the shadowy Central Bank of Central Banks, in Basel, Switzerland has passed a new set of Basel Banking Regulations that they began working on in 2010, called Basel III. Now you can read up about Basel III if you like, but in a nutshell what it does is put severe leverage restrictions and increased capital requirements on banks within the BIS structure (which is virtually all of the developed world). Now the European Union and the USA have been tinkering with the wording of these regulations since the last half of 2012, basically not changing them in any real fashion, but more looking for the right time to implement them. It now appears that that timing will be at the end of Q2 or the beginning of Q3, 2013. This will mean that during Q3 or Q4 of 2013, expect to see a massive credit freeze happen. Now, do you remember the date of circulation for the new $100 bill?

If you have any questions about the power of these Basel Banking Regulations you can also see the effects that Basel II and 2.5, mark to market accounting, had on the Housing Markets in the United States of America in 2008. There were many causes for that housing bubble, then housing crisis, but Basel II and 2.5 was most assuredly the pin that popped the housing bubble that led to the financial crisis of 2008-09.

2010 to Present, Financial Events: There have been many financial events that have caused economists and traders to false start, then false start again on predictions of doom, but all of these events have seemingly been blown away by the massive Bull Market in the United States and China. Traders and Economists have complained ad-nauseum that these markets simply don’t seem to have any relationship anymore to the actual economic environment, and they are right. These markets are wholly bought out with massive printing of electronic fiat dollars by monolithic financial institutions associated with the Federal Reserve and fully controlled by high frequency computer trading algorithms. The equity markets, and other fractional reserve markets such as precious metals, bear no relationship to the economy anymore. And despite the Quantitative Easing cheerleaders on the TV and in the financial forums, that is simply a fact.

There are many events in the financial markets that have transpired over the last two years that were signals of impending crisis, in fact so many that I simply don’t have the time, nor do you, to go over all of them. So I will choose three recent events that have been very large signals to me of what is to come for the world economy.

First, Cyprus: As I stated before, Cyprus was a test run of the new financial regulations of the European Union in much the same way that MF Global was in the United States, but it was also a signal to those in the know, that you had better get your money out of the banks! I won’t go over it again, but rest assuredly; this was a major recent signal.

Second, The Orchestrated Take-Down of Precious Metals: This was a move that may have well backfired on the Financial Cartel, in a sense. In seeking to take down the level of Precious Metal to allow for more inflation of these same metals later on (when it is needed to expand a currency that they decide to back with PM’s), they sought to also transfer the remaining private ownership of these metals from what we in the financial world call, “Weak Hands to Strong Arms”. It started with financial talking heads on TV trashing Gold and Silver as an investment for almost two months, and it then culminated with Black Friday in the commodity pits. What they never expected was that stackers would actually try to take that opportunity to load up on metals. They never expected the Physical Market to stabilize, and then push the paper market higher. They never expected the immediate disconnect of spot price in relation to physical price that happened and is still happening almost a month later. However, the move still serves a purpose for the Financial Cartel, it put all of the markets, including the bond markets and derivative markets, on tenuous footing, and it allowed for Banks to load up on physical metals at a cheap price for compliance with Basel III Capital Requirements. Unfortunately for the Cartel boys though, they may well have sacrificed the COMEX, their controlled price discovery system, in this transaction. But I doubt it matters much in the long run to them, as the COMEX was already dead the moment this plan was put into place. This move in PM’s was another huge signal of what’s to come, and if you will bear with me, I will tie it all together as we move through my scenario.

Third, The Ongoing Bond Implosion in Japan: Now this is a financial story that is still developing, but it is progressing at a rapid rate. Japan is the most leveraged country in the world, and their economy has been constantly controlled by the Financial Cartel, and virtually stagnate for almost twenty years now. Japan has been ripe to fall off of the tree for a long time, so it only makes sense that any bond and/or derivative market collapse would begin here. Japan is leading in the race to the bottom of currency degradation in the world currency wars, and they are the trigger that will cause the debt markets in Europe to implode, and then shortly thereafter, the debt markets in the USA. I’ve been saying for a couple of years now, and I still say, if you want to know the timing of all of this, watch Japan.

So, while there were obviously many more financial events that have transpired over the last three years that are slowly leading us to this cliff of financial oblivion that we now stand at the precipice of, these three alone are enough to help us with our conclusion.

Problem, Reaction, Solution; a Hegelian Love Story: So you say, fine, you’ve shown us a bunch of individual and apparently unrelated pieces of evidence of economic disaster, but yet we are still here. We are still standing despite it all.

Here’s where we tie it all together. You see the economic world moves in cycles, just like everything else in the Universe, and when we were using a more modified Austrian model of economics our economies moved in a 20-30 year cycle, but after WWII that all changed, because when the Austrian cycle came rolling around again for the World Reserve Currency in the 1970’s the financial cartel did something that would forever alter the path of human development, they pulled the worlds reserve currency, the U.S. Dollar, off of the gold standard, replaced it with the petro-dollar, and moved all world currencies to a totally fiat Keynesian economic system. This allowed for exponential expansion of currency and capital that was previously only dreamed of in Austrian circles, but it also allowed for the expansion of debt to never before imagined levels. And this is where we are today.

So Here’s The Problem: Debt; more debt has been created under this ever inflating system of Keynesian Economics and it’s fractional reserve banking than can ever be paid off. More debt exists on this planet than money exists to pay it off. So how do we cure something that can no longer be cured through economic expansion? Because you see, economic expansion, inflation, is the only way things are cured in a Keynesian System. So this leaves one to ask, how does the Financial Cartel take down a monolithic skyscraper of debt that they’ve built all they way up to the heavens, but has become structurally unsound at its foundation without taking themselves out in the process?

Controlled demolition, that’s how.

Of course what I’m talking about there is the real problem, not the problem you will hear about in the news.

Hyperinflation is not ordinary expansive inflation like we are used to in a Keynesian system. It’s not even runaway growth. Hyperinflation is the loss of confidence in a currency. In this case, following an implosion in world bond markets, and a subsequent deflation of the world derivative markets, the world will lose faith in all fiat currencies. Hyperinflation will ensue around the world. Economic premises that we are familiar with, that we are used too, financial relationships, like those of inflation to growth in equity markets, will become useless, and will in fact work in an entirely opposite manner of the way they worked before a loss of confidence. Imagine Market deflation while the value of the currency is dropping like a stone. Market deflation while prices for basic commodities and finished products are going through the roof. While interest is being jacked up on a daily basis to try and stave off the ravaging beast of inflation. If you don’t think this is possible, simply look to the fall of the USSR and Argentina for modern examples of this economic time bomb at work. Hyperinflation will be the one and only thing on the mind of every person of the world, and they will be beating that dead horse back to death nightly on every TV screen around the world.

So how does hyperinflation happen? Many people thought printing money would cause hyperinflation, and if that money had actually been let loose in the street economy, it would have. But that money was tightly controlled by a select few and disseminated into the system through financial instruments rather than loans to business. But now the tipping point has been reached, we cannot grow our way out of this mess with stocks and derivatives, and yet we cannot put that money into the hands of small business, they would only ravage big business and steal their market share. The system is full, the over-arching cycles of energy and food production are all moving into decline, and that will in turn move populations into decline. There are simply no “Consumers” left to exploit, the edges of our economic habitat have been found and fully explored. There is simply no where left to grow.

So without growth in the Keynesian system comes deflation, but they’ve stalled that deflation with artificial money printing that has propped up markets that long ago should have collapsed under the weight of their own hubris. So it, the deflation, transfers itself to the only place it can, the credit markets, sovereign debt, bonds! And so the loss of confidence begins in the bond markets, with the losses piling over into the titanic fantasy world of the derivative markets.

Derivative Markets, the only place on Earth where you could find someone to buy an option on Unicorn futures.

The Reaction of the Sheeples: It begins in the Japanese bond and derivative markets, and after that it cascades across the continent back to Europe, and anywhere else that debt exceeds an ever shrinking manageability level. Once Europe is fully enveloped in this credit crisis, expect America to follow suit soon thereafter, probably within six weeks. Interest rates on Bonds will skyrocket, leading to increases in interest rates for Residential and Commercial Property Mortgages. Soon interest will have to increase on all loans, including inter-bank lending. Once Basel III is thrown into the mix, there will be credit freezes due to decreased leverage and increased capital requirement for banks. Banks are no longer allowed to expand their way out of trouble, that’s too dangerous now, too many rogue elements out there for that.

Physical commodities begin to bring an ever widening premium over the paper markets. Electronic cash is still abundant, but actual paper currency becomes harder and harder to come by in this shadow world of capital controls. Central Banks end printing and begin to pull back on the reins, trying to tighten their money supplies. Prices at the gas station and at the grocery store explode, corporate profits implode and the equity markets tank. People’s savings and investments, their ever precious Pensions, 401k’s, and IRA’s begin to evaporate into the cyclone of a deflating debt bubble. People are losing their entire life savings and their house, the main source of their net worth, is now becoming worthless as well because no one can get a loan to buy a house, and even if they could, they couldn’t afford the ever increasing interest, you see because banks are now refusing to fix rates for more than three months because of the spiraling inflation.

Civil unrest follows as people lose their entire life’s work in a matter of weeks. People are demanding a solution to this economic disaster; they are demanding that the same system that put them into this mess be saved so that they can save something, anything, after the fall. Unemployment skyrockets as companies lose market share and credit markets dry up. It’s murder and mayhem, cities are burning, some are even claiming it’s Armageddon.

The Economic powers of the world schedule a meeting to solve this economic debt crisis and bring the hyperinflating major currencies of the world under control.

The Solution, Brought To You By Your Good Friends At The World Financial Cartel: The problem is now clear, forget the debt, forget the credit freeze, forget all the stuff that brought us here, it’s now obviously a currency crisis we face. But it just so happens, they have a solution ready to roll out. Of course they will have to jawbone it for a while to make it look good for the masses, but here’s what they’re going to do, just as soon as you’re hurting bad enough to accept it of course.

So the following is their solution to the problem they created, or something very equivalent.

First: They will create a world body, or use one of their world bodies they’ve already created, to manage world currencies and the amount of those currencies in circulation.

Second: any country that agrees to enter into, and abide by, an agreement to allow this “world body” to control the amount of that country’s, or Union’s, currency in circulation according to rules prescribed in the agreement will receive a huge discount in the amount of their sovereign debt owed. Probably something in the order of an instant haircut to bond holders of 50%, or in some instances, even more. This is probably also the point where governments begin to nationalize retirement accounts. For the people's safety of course.

Third: all participating currencies of each country will from that point on be backed by a basket of commodities specific to that country or union. For instance, Great Britain and China, who lack many natural resources, will probably back their currency primarily with gold and silver, while other countries that are richer in natural resources, like the United States, will probably back their currency with a basket of commodities such as energy reserves, real estate, mineral reserves, and possibly some percentage of gold and silver. These currencies would all be pegged together with this circulation agreement and the amount of currency in circulation would only fluctuate according to the value of the commodities pledged by the country as determined by the open markets.

Fourth: all excess liquidity over and above the prescribed circulation limits in the agreement will be removed from the system. So they will have to have the people using these “New” backed currencies around the world turn in their old currency, at (for example sake only) say $200 old, for $100 new (now again think of why they are waiting until October to release the new $100 bill which they have been printing for three years now), of course this will be easy with your bank account and investment accounts, they will simply slash the amount of money in your account by the prescribed percentage with the keystroke of a computer (and in case you’ve been wondering why all of the bank systems have had so much trouble lately, it’s because the software capability to do this was being installed and the accounts that need to be flagged and watched have already been identified).

Fifth: all of the resources and commodities used to back the currency of the country will be placed under the defacto control of the Central Bank that issues the currency, and thereby the BIS (Bank of International Settlements), so that countries themselves cannot cheat this agreement by pledging or selling off their resources by any manner other than that prescribed by the agreement.

A Hegelian Love Story: So that’s that, and in the end they will control all of the resources of the world because that’s what they always wanted from the beginning anyway. And the people of the world, well most of them will get down on their knee’s to thank them for saving a system that left them almost broke and penniless after a lifetime of work; all because at least some small pittance of their Pension or their 401k was saved and left in their possession. After all, the problem was worldwide, so obviously we needed some vestige of World Government to solve this, right?!?!?

Nathaniel Rothschild said, “Give me control over a nations currency, and I care not who makes its laws.”

Now they will say, “Give me control over a nations resources, and we will destroy that antiquated notion of national sovereignty.”

So when this is all said and done they will not only have control of the currencies of the world, (essentially meaning a one world currency, with familiar national denominations so as not to alarm the Conspiracy Theorists) they will also have control of the resources of the entire world to mete out as they see fit.

If that doesn’t chill you to the bone, then you my friend have not been paying very close attention to the world outside of your office or home recently. Because they will also use this chaotic opportunity to roll out the worst parts of their tyrannical scientific machine of control, all in the public good of course. Only to protect you – and them – from any reprisals from the fringe elements of society that demand things like “Freedom” and “Self-Determination”. Outlaw concepts of a bygone era. And the complaint media will parrot this line, and the people, sad though it may be, when presented with their futures going up in the fires of national currencies, will go along as well. Because the failure of this system would leave them penniless and without means; freedom be damned after all, I might lose my spot at the country club!

For those of you who think this could never happen, you need only research in depth what they've done as far as Financial Reform and Regulation since 2010. Of course the media isn’t telling you what’s going on, so you have to look these things up, but when you look at the evidence, the laws and regulations they’ve passed since 2010, the financial moves they’ve made, objectively; well I challenge you to find any other reasonable conclusion. In writing this I have also relied on other things as well though, such as information from personal friends still in the mix in banking circles. Not surprisingly though with much of this information in hand, even these people, some very high up people, in banking circles, don’t have a full understanding of what’s coming down the pipe. It’s called compartmentalization, and game theory. It’s knowing what you can do to provoke a certain response in your opponent or even someone working for you; they’ve been doing it for ages.

Regardless of the nay-sayer’s that will undoubtedly make their way to this thread may say, I stand firmly by the conclusions I have reached. So much so, that I am betting my livelihood and life savings on it. This scenario is going to happen, I’ve never been more convinced of anything in my life, but when will it happen?

Conclusions and Solutions, Falling Out Of Love: My best guess as far as timing regarding the scenario I have placed before you is that by the end of Q3 2013 we will be in it like a fully involved fire. By Q4 2013 Chaos in the financial markets and on the street will be the order of the day. Tyranny will reign in the name of protection and security. How fast certain elements of this go, I cannot say, there are simply too many variables at play to make a definitive prediction. Just say this, by the end of 2013, you will know the direction this is headed with absolute clarity, and because you took the time to read this, you will know that I was right, and you will at least know what you should have done, or perhaps you will even have done it.

Stop looking for fast money in this market, yes there will still be a few opportunities for a fast buck available, but don’t tie up and waste your resources with that anymore. Buy and hold is the order of the day now. If you have available funds here is what I would do, you can take it as a recommendation if you like, but I have to say, I’m not a licensed investment adviser, so I don’t offer it as recommendation, merely as an example of my financial strategy for the next two to five years.

With any “available” funds, I would first pay off any debt I had. Interest rates will likely be going up in the very near future, and if you were waiting for a signal of that to pay off some cheap interest debt you have, then consider the recent bond movements in U.S. Treasuries and Japanese Bonds as your signal. Interest will be going up in short order, but I also wouldn’t keep a lot of money in the bank. Trying to capture money through interest on savings is liable to become a dangerous game in the scenario I’ve laid out, as there will very likely be many bank closures forthcoming, and credit disruptions in the banking industry.

Second, I would buy non-perishable food. I don’t think you will have to have years and years’ worth in stock according to this scenario, but six months certainly wouldn’t hurt.

Third, I would keep enough paper currency for one or two month’s expenses, the rest I would put into commodities that you can hold physically. For most, that is gold or silver, but if you have land that you can grow crops or livestock on that might also mean extra fuel, feed, seed, or animals for consumption.

Fourth, if I had more saved than would pay for three years expenses, I would take that excess and buy agricultural land. NOT SECOND/RENTAL HOUSES OR COMMERCIAL REAL ESTATE. If the agricultural land you choose has a house, so much the better, but don’t buy it just because of a house, or buy anything in the way of land with the idea of re-selling it in the next five to ten years, buy it with the idea of living on it for the next five to ten years, then re-assess your position in relation to the economy.

Well that’s it, I’m sorry it was so long, but it’s a big subject. I hope it will help you and perhaps generate some critical thinking out there. More than anything I just hope it helps. If one person gets a head’s up from me, then I consider my mission accomplished.

Nothing about this is going to be easy, time tables will change as circumstances arise, chaos will be the order of the day. Wars may even start over this. So I hope you will all stay safe, brave new world or no, because remember, in the end; The New World Order will be run by the same people that brought you The Old World Order…
[/quote


because remember, in the end; The New World Order will be run by the same people that brought you The Old World Order…

bump..bump...hf
Saddletramp  (OP)

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08/21/2013 06:34 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
So the story on everyone's mind right now is The Fed and the apparent signal that they intend to begin tapering on Ben Bernanke's time line, starting in Sept of 2013...

Bullshit...

The Fed is already tapering, and I believe that will become apparent in their August Financial Statement, but why?

Because they're BROKE ON THEIR ASS!!!

How, you ask, can an entity which prints fiat currency be broke?

Because they have to operate off of a balance sheet, and right now they have over $2 Trillion Dollar worth of Long Term U.S. Debt on that balance sheet, but those bonds are losing value every day, and that is why their capital is being hit...and I mean hard.

You see they can print electronic money to buy bonds, and as long as those bonds appreciate or keep the same value, then their balance sheet isn't effected, in fact for awhile in 2010-11 they actually built capital because the Interest Rates were falling and the Bonds were appreciating in value.

But now, well now the value of these Bonds are dropping like a stone, and while the Fed doesn't have to really account for that until they sell that bond (they don't have to do Mark to Market accounting) they still keep and internal track on how much Capital they really have...and the cupboard is almost bare!

So, ordinarily the Fed would dump negative capital off on the U.S. Taxpayer by making a "Negative Interest" deposit to the Treasury (an asset that is actually a liability), but the Treasury is tapped, they're up against the debt ceiling, so again, the cupboard is bare...

Furthermore the BIS (Bank of International Settlements, The Central Bank of Central Banks) has told the Central Banks of the world to STOP STIMULATING NOW!!!

So the Fed is up against it, now they will have to make it look like they're trying to provide a soft landing for markets that are dropping like a stone with some "well placed" bond purchases here and there to try and keep everything from falling off of a cliff overnight!

In other words...It's on!

Now the impetus returns to Japan, WATCH JAPAN!!! They've been selling U.S. Debt for liquidity since May, but now they're losing money on the Bonds they own, and that is money Japan can't afford to lose...

Also, watch the 10 Yr Treasury, if that Yield goes past 3.5%...it will accelerate like a runaway train. When you see that, you have weeks left...not months, not years!

 Quoting: Saddletramp


Thanks OP but i am confused. If the yield goes up doesn't that mean the Fed makes more money on their bonds.

Can you explain how the bond market works it is something i do not understand, but everything else i do.
 Quoting: Anonymous Coward 42056496


No, the Yield is translated in the sale, the Coupon of the Bond represents the Interest Payment...

Okay, so I issue a $100,000 Bond with a coupon of 2.0%...

So say I sell the Bond for $100,000 with the coupon still attached at a Yield of 2.0%, I can sell the bond at face value, but say the Yield jumps up to 3% suddenly...now I can only sell that Bond and Coupon for $99,000.00, I just ate another 1% Interest in the Bond right at the sale...

Increase Yield directly corresponds to a decreased price for the bond...

AND Yield translates even worse than that on Bond's that have say half their maturity gone, or have had the Coupon sold off (Zero Coupon Bonds)...

Last Edited by Saddletramp on 08/21/2013 06:42 PM
"And how can a man die better than facing fearful odds, for the ashes of his fathers, and the temples of his Gods..." ~ Horatius

"Because he told the truth, and once you've heard the truth, everything else is just cheap whiskey..."

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08/21/2013 06:34 PM
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Re: The Grand Finale: We Are Now Witness To The Death Throes of Fiat! Renewed Relevance Because It's On Like Donkey Kong!!!
Very well put together .. You are waking people up with this piece I guarantee it! .. Easy read well written . A ++ And thank you
"It would take gods to give men laws" - Jean-Jacques Rousseau





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