All of the sudden the big stock traders are singing my song? It seems as if the true depth of the catastrophe is beginning to surface and NOBODY wants to be the guy that didn’t see it coming so they are changing their tune. Now the term “depression” is starting to be said more often and for good reason. The IMF has already stated that America’s days as a 1st world country have now waned. Inside 50 years we have moved more than half of our manufacturing capacity overseas and transitioned from the world’s largest creditor nation, pathetically downgraded now to the world’s largest debtor nation. If you lost your job your ability to fund your living expenses become questionable, then the banks wont lend to you because your are too much of a risk. Therefor your life’s path shrivels before your eyes, do you really think it’s any different for countries? IT IS THE SAME SYSTEM OF CREDIT WORTHINESS AND WE ARE NOW A SUBPRIME COUNTRY! This means our money and collateral is quickly becoming worthless to the world and the more money we print out of thin air the less likely others are to be willing to accept our money. GET OUT OF THE CAR BEFORE IT GOES OVER THE CLIFF!
Not quite sure I’m qualified to make this observation, read what world famous Richard Russell, the father of “The Dow Letters” says on this topic:
READ RICHARD RUSSELL’S OPINION HERE
Unfortunately, I have been made aware of the fact that common sense in fact is not so common anymore. Yesterday’s brilliance that was displayed by the talking heads on the TV blew me away! They were discussing the fact that equities (stocks) were at their 52 week low and yet gold stocks were miraculously at their 52 week high? Ironically to add creedance to this observation, gold bullion is under $20 from it’s ALL TIME HISTORICAL HIGH. The “Market Specialists” were spewing their genius and bewildered by the idea that stocks are at year lows and gold was at a high. . . . when you turn off the lights does it not get dark? When you jump in water do you not get wet? When you fall on your head does it not hurt? “For every action there is an equal opposite reaction” Is this news to anyone? Unplug from the TV, these are the SAME IDIOTS that missed the crash all together and by the way, they are also the ones parroting the “recovery” and last time I checked, I think they were a little off on that observation as well!
Do whats best for you and yours. Buy metals before you can’t do it with out your purchase being reported to the IRS, that’s right the IRS. (this little gem was buried in the back of the HEALTH CARE BILL! WHAT GOLD HAS TO DO WITH HEALTH CARE I DOUBT I WILL EVER UNDERSTAND!)
I usually link to an explosive article to validate my points by attaching my veiws to a corporate article to borrow from their credibility. Today Im just going to state the facts:
*From 1979-2007 the Top 1% of America saw their income increase from $347,000 to $1,300,000 annually
*During the same period the bottom 80% of Americans saw their income drop by 10%
*Roughly 1 in 8 Americans are depending on food stamps to support and feed their families.
*Roughly 1 in 6 Americans are unemployed (I choose not to overlook those who’s benefits have expired)
*Roughly 1 in 3 Americans currently live below the poverty line.
*Existing home sales plummeted by 27%, a report called it “The biggest drop in 100 years”
*New home sales nose dived 12.5%, why are we building more new homes again?
As a result of reveiwing this very data, the following merits your attention:
*Q/2 SEC filing for Soros Investment Fund shows a 42% reduction (3.7 Billion) in US stock exposure
*Berkshire Hathaway reports moving 2/3 of its portfolio into an “Inflation Fighting Stance”
***CAN WE STOP BUYING THIS GARBAGE ABOUT A RECOVERY YET? CAN WE BE HONEST WITH OURSELVES? CAN WE ACCEPT THE TRUTH?
IF THE BIG BOYS ARE MOVING OUT OF THE US STOCK MARKET AND INTO COMMODITIES, WHY ARENT ALL OF US RUNNING FOR THE EXIT? WHY MUST WE WAIT UNTIL THE SKY IS FALLING & THE TALKING HEADS ON TV TELL US TO MOVE TO MAKE A SENSABLE MOVE WITH OUR HARD EARNED LIFE SAVINGS? WAKE UP AND MAKE THAT CALL NOW!
More than 4.4 million people are on welfare, an 18% increase during the recession. The program has grown slower than others, causing Brookings Institution expert Ron Haskins to question its effectiveness in the recession.
As caseloads for all the programs have soared, so have costs. The federal price tag for Medicaid has jumped 36% in two years, to $273 billion. Jobless benefits have soared from $43 billion to $160 billion. The food stamps program has risen 80%, to $70 billion. Welfare is up 24%, to $22 billion. Taken together, they cost more than Medicare.
The steady climb in safety-net program caseloads and costs has come as a result of two factors: The recession has boosted the number who qualify under existing rules. And the White House, Congress and states have expanded eligibility and benefits
READ THE FULL EYE OPENING ARTICLE HERE
It seems that if you intend to get out of the “Rigged Casino Goulag” (as Max Keiser defines it) known as the Stock Market and move into metals, now is the time. Hidden in the “Obama Care” bill is a provision that requires ALL GOLD PURCHASES over $600 to be reported to the IRS & now the SEC is given FULL SECRECY thank’s to Democrat’s pride and joy known as “FINREG”, RUN!
FOXBusiness reports: “Under a little-noticed provision of the recently passed financial-reform legislation, the Securities and Exchange Commission no longer has to comply with virtually all requests for information releases from the public, including those filed under the Freedom of Information Act. The law, signed last week by President Obama, exempts the SEC from disclosing records or information derived from “surveillance, risk assessments, or other regulatory and oversight activities.” Given that the SEC is a regulatory body, the provision covers almost every action by the agency, lawyers say. Congress and federal agencies can request information, but the public cannot.”
READ FULL FOXBUSINESS ARTICLE HERE
The principal function of a financial services industry is to link savers with investors and creditors with borrowers, so facilitating broader commercial activity. Such intermediary functions are crucial to economic progress and can be the basis of a profitable and socially useful business.
What we’ve created, instead, is a group of institutions that between them comprise nothing less than a financial oligarchy. These guys have Western taxpayers over a barrel. And what’s alarming is that there is almost nothing in this bill that will stop yet more too-big-to-fail calamities. Mr President, you have missed a historic opportunity and, for that, history’s judgment will be severe.
READ THE FULL AMAZING ARTICLE HERE
As the tone in Washington seems to be changing, albeit by force of admission and not so much choice, Bernanke had this to say:
Bernanke told US lawmakers the world’s largest economy would see only “moderate growth, a gradual decline in the unemployment rate, and subdued inflation over the next several years.”
Underlining the severity of the crisis, Bernanke warned private-sector hiring was still growing at “a pace insufficient to reduce the employment rate materially.”
Responding to those demands, Bernanke said the Fed was “prepared to take further policy actions as needed.”
“If the recovery seems to be faltering, then we will at least need to review our options,” he added.
READ FULL ARTICLE HERE
OAKLAND — Call 911 when someone is breaking into your home and an officer will come. Call 911 because you came home after the burglar was gone, and you’d better hope the thief didn’t steal your computer.
Oakland residents are waking up to the reality of the new, post-layoff Oakland Police Department, and it’s not pleasant. Eighty police officers lost their jobs Tuesday after the city and the police union failed to agree on how to save them within the confines of the city’s ongoing budget crisis.
Under revised policies, officers will no longer be dispatched to the scene of most nonviolent crimes. Instead, the public will have to use the Internet to make a report online for dozens of crimes ranging from identity theft to vandalism, although the system is not yet equipped to handle them all.
READ FULL ARTICLE HERE
Indeed, every scrap of economic data we’re seeing confirms that dip #2 of this historic double-dip recession is beginning now:
*Retail sales dropped another 0.5% in June after plunging 1.1% in May — the first back-to-back decline since early 2009 …
*The Empire Manufacturing index of New York-area activity plunged 74% in July from a month earlier — three fourths of orders, shipping and employment GONE in just 30 days …
*The Philadelphia Fed manufacturing index just plummeted 37.5% — from to 5.1 in July from 8.0 in June — the lowest reading since August 2009.
*Consumer credit tanked another $9.1 billion in May after dropping $14.9 billion in April …
*Home purchase loan applications just dropped to their lowest level since December 1996 …
*The University of Michigan reports that consumer confidence just plunged to the its lowest levels since August 2009, and …
*The Baltic Dry Index, a key indicator of global trade and shipping activity, just dropped for the 36th day in a row — the longest losing streak going all the way back to 1995!
***And consider this: Back in October, the Economic Cycle Research Institute’s leading index was soaring 27.8%. Today, it has registered a decline of nearly 10%. Every single time this index has EVER shown a drop of this magnitude, a recession followed!
Moody’s move to reduce Ireland’s rating brings it in line with Standard & Poor’s, which cut Ireland to double-A in June 2009. The action follows last week’s report from the International Monetary Fund that offered a cautious outlook on Ireland’s economy while also applauding the government’s deficit-cutting efforts.
While Europe’s fiscal crisis has abated in recent weeks, the Moody’s downgrade is one of several recent reminders that the situation remains far from settled.
READ FULL WSJ ARTICLE HERE
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