Dollar Selling Panic Coming-John Williams

Economist John Williams, the man behind shadowstats.com, a web site that expands on the meaning behind government economic reporting, poses for a portrait in front of a painting of his father in his eclectic home office on Friday, May 30, 2008 in Oakland, Calif. Photo by Kat Wade

By Greg Hunter’s USAWatchdog.com 

Economist John Williams has long predicted the $16 trillion in U.S. dollar assets held outside of America will be sold in a panic. The time draws near for that scenario to unfold, and Williams explains, “When people start selling the dollar, or dollar denominated assets, you will see the value of the plunge.  We have had a remarkable rally in the dollar since mid-2014, and it is up over 30%.  It is going to be going down by more than that, and we are going to be headed to new lows.  We have the waffling of the Fed and the beginnings of the perception that the economy is in serious trouble, which generally would be negative for the dollar.  We have started to see selling pressure on the dollar.  It has been inching lower.  It’s down year to year now. . . . The selling is going to intensify, not only with large central banks, but with corporations that will be beginning to dump their Treasury holdings. . . . Nobody wants to be the last one out the door when you have a panic like this.  It’s not a panic yet, but the potential certainly is there.”

Williams also says, “The dollar will blow up, and when I say blow up, it will collapse. There will be panic selling of the dollar, and that will intensify the inflation.  The problem is they don’t have a way of avoiding it.  If they could somehow get the economy back on track, they would have some room to work, I think, but the economy has never recovered.  That’s being seen now in these revisions.  At the end of this week, we are going to see bench mark revisions to retail sales. . . . So, you are going to see some downside revisions to the retail sales.  You already have it with industrial production, and now you are going to have it with retail sales.  We are very close to turning negative with the first quarter GDP . . . We are in a recession now, and they would be inclined to call it that once they get a contracting GDP, and everything else is beginning to show that. . . . You are going to see a formal recession declaration not too far down the road.  It hasn’t happened yet, but it will.”

So, the Fed sold a grand lie since 2009 that there was a so-called recovery, and there was no real recovery? Williams says, “Effectively, yes.  There was a little bit of a bounce up, but the other numbers show we never really had a recovery . . . They don’t want to come out with a negative forecast, but everybody knows it’s not recovering. . . . The economy is turning down rapidly.  We have a new recession.”

Williams says it is not a matter of if, but when, there is panic dollar selling. Williams says the Fed would try to slow it down.  Williams explains, “The Federal Reserve would step in and slow the pace to make it not appear like a panic.  If you start to see a panic selloff (in the dollar), that’s a real bad sign.  It means they are losing control of the system, and I think that is coming.  The initial effect on the system for people living in the United States, as the dollar crashes, you will see inflation beginning to surge, particularly from oil and gasoline prices.  Those effects will begin to spread in the system.  It will change the way people look at things and will start the process that will eventually be a hyperinflation.  The Fed does not have a way out of this circumstance.  They have backed themselves into a corner.  They have been keeping things reasonably stable, but they can’t get things going in the economy. . . . The economy is in terrible shape.”

Join Greg Hunter as he goes One-on-One with economist John Williams, the founder of ShadowStats.com.

(There is much more in the video interview.)

After the Interview: 

There is free information, analysis and reports on the home page of ShadowStats.com. You can also subscribe by the half year and full year to get detailed weekly reports and analysis from economist John Williams.  Click here to subscribe.

 

Comments
  1. Gregory Mannarino

    People, I know how 90+ percent of you are almost totally disconnected from the occurrences in the financial markets (although you work to keep it moving and your very livelihood depends on it) but mark my words, VERY SOON you are going to start to care big time. Wake Up..

    • Paul ...

      Gregory … listen to the Peter Schiff link … https://www.youtube.com/watch?v=gSp6JIaPYsIelsewhere … where he explains that the Fed usually pushes the Dow to about 20 times the gold price ($1250 x 20 = 25,000) … perhaps the Fed will push the Dow up another 700 points before they allow it to crash (as it’s an election year) they can easily print money to buy Dow stocks and thus force the market up “to engender confidence in the economy” before the election …

      • red

        So if the BOJ owns 90% of the Japanese stock market& the only entity buying US stocks is the Fed
        http://www.zerohedge.com/news/2016-04-27/youll-never-guess-whos-been-buying-rally
        begs the question where is all the CASH leaving equities, bond markets going? I suppose every cloud has a silver lining

        • kevin

          i think the one thing u all are forgetting is that too many people are awake and openly fighting them back, they can’t continue and they absolutely cannot let trump in either way they are screwed and are in a corner and you know what they say about animals backed into a corner?

    • Dan

      Dear Gregory, just a yes or no question. Did you prepare by shifting a significant portion of your assets OUTSIDE the USA?

      • 8Ball

        I would pay attention to what Jim Rogers did… He decided to leave America years ago and with all of his millions, where did he go? Singapore.

        Singapore is tied tightly to the Chinese and if they come out with a Gold-backed Yuan you can expect them to follow along and drop the dollar like a hot potato.

        That said, you can see that there are a wide variety of opinions here regarding the US economy. After reading about and studying these things for many years my advice would be… do not get overly concerned about it. There appears to be a concerted effort to plant the idea of an economic collapse in people’s minds and that it will happen “real soon now”. Do your homework and “Fear Not”…

    • Da Yooper

      Greg Mannarino

      many of us have been awake far longer than you realize …….far longer

      problem is we have been reading for a very long time that the sky is falling & after 20+ years of this a person gets numb to it. We are awake & ready & waiting.

      • Guest

        True.

      • 8Ball

        Yoop, you are correct. I was “preparing” before Y2K and something happened… my wife and I got old. I could not see us “bugging out” into the forest in the middle of winter in our 70’s & 80’s. We got smart and cashed out, moving to a tropical climate where the COL is much less than that of the US. Warm, comfortable and still prepared. 8

    • Herby

      Whatever this means, Gregory… however late the hour…

    • Gerson

      I am aware that things are really bad. I can not see a positive horizon. But, please do define “very soon”. Two months, six months, two years? Tks.

      • Greg Hunter

        Gerson,
        It’s coming man and you should get ready now. Every day you get is a gift.
        Greg

        • Gerson

          Thank you for sincerity. Man, this is not going to end well. Keep up with your work. Best regards.

  2. Dwain

    The problem is there is no economy to fail except for government subsidized sectors which are well over half the entire workforce. How many pay out of pocket for health care, pharmacy, social services, education and all their spinoffs. Where does funding come from to pay government employees. The majority of the US economy is a confiscatory ponzi scam dependent on diversion, lies, financial propaganda and manipulation of statistics and numbers. This is perversion in the extreme and root of the problem that nobody talks about. God forbid truth is manifested. The fed knows there cannot be a recovery this time around. The scary part is 10s of ignorant birds feeding upon and honing in on the last morsels of carrion.

    • Terry

      Look for obama to “scuttle the ship” as he leaves office. Regardless of who wins the election. Communists are succeeding beyond their wildest dreams at tearing down our society norms and traditions. They desire as much chaos as they can create. Do not doubt me. Sexual access to your children via “trans questioned 5 year olds” will become the next “class” that requires the sheltering protection of progressive marxists. All day long I listen to news and broadcasters saying “I just don’t get it. What are they thinking. The world is going nuts”. No, it is not. Joe McCarthy was right.

      • Linda L.

        Yes, and now “family” frequented stores like Target are changing their restroom policies to satisfy the transgenders, where public restrooms will become unisex. I’m so concerned, especially for children, because these policies are going create a more accessible atmosphere for sexual predators. As Michael Savage suggested, why don’t they make women’s restrooms for children and male restrooms for unisex. This change would be cost effective and it should satisfy the transgenders, all awhile affording a greater level of protection for children. BUT we know this isn’t what’s going to happen because the apparent goal is to create as much chaos as possible at every level in our society, even at the expense of our little ones (makes me sick).

        • RTW

          Linda:
          This latest ploy of the PTB is nothing more than an effort to further tear apart the fabric of this nation. The main street media is aiding and abetting this by giving it more than a nanosecond of coverage. First of all, it’s females who need to be concerned the most over this, because I believe there are infinitely more men either wanting to be a woman or pretending to, than women wanting to be a man. Secondly, I don’t think men would care if a women used their bathroom. You have to believe that these pols have envisioned the same problems the average person has, regarding this and yet they pander to what…a possible .0001% of the population. Why? Rather than bend over backwards, for these people and obsessing where they’re going to pee, they should be concerned with getting them psychological help. What do when people decide they want to b be a dog or cat. At this time that’s not so far fetched, is it?

          • Gerson

            Linda, there´s another point that I have not seen mentioned. If a trans uses the mens and or ladies room, even if you do not do anything against them, and they just for their own twisted sake come out in public and say that you behaved badly with them, then you have a big problem at hand.

        • Gil Favor

          The SOB in the White House laughs himself to sleep as he surveys the damage he has inflicted on us via Alinsky, Marx, and Sunstein. Change has come to America and it is…..communism.

  3. Paul ...

    As Williams explains … the dollar will plunge as hyperinflation of the money supply takes place … the Fed has already inflated the money supply to save the “too big to fail” banks … so there is no doubt in my mind that the Fed will print and print to save “the too big to fail” US government … just like Williams … Peter Schiff see’s things in a similar way “that a weaker dollar is coming” because of more Fed money printing to save the system … and explains in detail what it will be like for the common people …
    https://www.youtube.com/watch?v=gSp6JIaPYsI

    • Paul ...

      Here is a unique interview with Jim Rogers (it is just like sitting around the dinner table with family discussing world events) … it’s a good listen …  https://www.youtube.com/watch?v=lsido-UDzFw

  4. Paul Mallinson

    Hi Greg, thanks for another great wrap up. I always think John Williams is a very worthwhile person to listen to.
    After your last weekly news wrap up I asked the question, if the Saudis try to dump hundreds of billions of US$ denominated securities, who is going to buy them? Peter Schiff amongst others point out that there will likely not be any buyers except for the Federal Reserve (and perhaps other large central banks). The Federal Reserve would be forced into another round of QE to buy these securities, but that means that the Saudis would receive US$ in payment? (The Federal Reserve can only print US$ – they can’t print other currencies). But the Saudis don’t want to hold US$ so how do they get rid of them?? In your conversation with John Williams you were talking about people selling trillions of dollars worth of securities… BUT WHO TO?? Obviously in the initial stages before panic sets in, there would be some buyers and the increased selling would lead to a lower of the US$ exchange rate, so perhaps the answer is that as the panic increases with larger amounts put up for sale, the lower the exchange rate goes which means higher inflation for the US, which can eventually lead to John Williams’ hyperinflation and the bottom falling out of the dollar? Just trying to think this one through… Cheers.

  5. stonewall

    Terrific interview. John Williams combined with the other great guests from
    the past few weeks make it obvious for those with eyes to see that bad things
    are coming our way like a freight train out of control. Keep up the great
    work Greg. You are like a beacon of light inn a dark forest.

  6. Paul P.

    Truth serum provided by Mr. Williams will not , unfortunately, cure the propaganda disease the Fed and their accomplices spew to the public. Thank God, you and a growing army of “truthers” like Mr. Williams are sounding the alarm. They say the truth hurts but it will set you free. We have a lot of hurt coming our way and the freedom will be in hard assets and getting our spiritual house in order. Another great interview Greg! Thankyou.

  7. Colin - 'the farmer from NZ'

    Greg, JW, WDers
    What an excellent interview Greg.
    John Williams gives me a lot to reflect on in every single instance and today was no exception.

    This jargon, spin, sugar-coating, call it what you will, of financial terminology used by both politicians and financial spin doctors is without doubt one of the wonders of modern day society.

    It is not at all surprising that so many politicians take advantage of this and enthusiastically use it to pull the wool over the eyes of Main-Street and to completely misrepresent what the real financial situation really is. Of course, the whores and the salesmen of the financial world are only too pleased to use this fraudulent labelling to their advantage also.

    My understanding is that a recession is technically speaking, negative growth in more than one yearly quarter. Of course in the calculation that conjures up the GDP growth figure, inflation does not come into the equation. Obviously, if inflation is 3% then in real terms growth of 1/10th of 1% is not growth at all, but a contraction of minus 2.9% and yet by definition alone this is not termed a recession.

    Likewise, the definition in economics of a depression is commonly defined as a recession that lasts two or more years. Using these ludicrous workings you could effectively have compounding contraction of an economy indefinitely at say 3% or more in real terms yet if you reported your GDP growth at 0% you could claim that you are neither in recession nor depression!

    The really sad part of all of this is that the vast majority of Main Street also buys into this misrepresentation and happily goes along with what is in effect an illusion. Thank goodness for the J Ws of this world as so many of us would rather not hear the message. This absolute denial by society of economic reality is akin to drug taking or alcoholism in aiding to swallow the message of the politician and the financial snake oil peddler.

    The other thing that I often reflect on personally is the massive looming problem of demographics in western society which adds to the problem of continual deficit spending and completely blows out the future unfunded liabilities of these countries.

    The trend where the old have longer life expectancy combined with much smaller average family size is beginning to massively distort the ratio of earners to dependants. Some of the statistics on this are truly frightening and mean that the simple maths of society being able to make good and realistic future pension payments are completely out of the question. This is very poignant to me, as at 61 years of age I am part of baby boom problem myself.

    Cheers
    Col

  8. Deanna Johnston Clark

    I live in a small southern city where a great deal depends on those pensions and dividend checks…for instance, tourism, Hilton Head retirees, and private school fees paid by grandparents. Then there’s Georgia football season tickets! Perhaps it’s blessed to have so much clannishness among all races and creeds.
    I feel really sorry for the big suburbs in “new south” cities…they say suburban poverty is growing. People want to keep their house and are going to food banks. Somehow they need to share…rent that spare room. I hope such people are not whistling in the dark…times will change and creative living demands pluck, not pride.

    In the 29 depression drug use went way down…one hope!

  9. Dan

    WOW! If usually “subdued-spoken” John Williams says that a dollar/system crash is inevitable, that SPEAKS VOLUMES!

    Hang on tight, it’s gonna be a bumpy ride!

    • Jack

      I have buddy with traveling cash business. Be says things are great. Best start to season of his life.

  10. Dan

    Mr. Williams,

    Is that a real SABER-TOOTH TIGER SKULL behind you?

    If so, does it represent the upcoming extinction of the Greenback?

    • Faith

      Dan, I was thinking the same thing! That is one scary-looking skull.

  11. Paul P.

    Greg, as a follow up to my last post I’m linking you to a GREAT video by Mike Maloney of goldsilver.com entitled :THE SHOCKING RAIL DATA THAT SCREAMS RECESSION dated April 26,2016.

    https://goldsilver.com

    This mirrors exactly what Mr. Williams is saying about the economy…

  12. red

    John described what is happening, not whats going to happen. An article on zerohedge the last couple of days’ was talking about how the BOJ may own up to 90% of the Japanese stock market? the Fed is buying every scrap of its’ own debt, scared stupid that someone might pick up on the fear, IMO the $US is toast, if they keep propping up stocks, they seem to be buying even small collapses’ in shares the $ is gone. If they let stocks go they MIGHT save the dollar for another year or 2 JMO

  13. andyb

    Hell will freeze over before Obama admits to a recession, at any time prior to the elections, even if they are held. What is so insidious is that, unlike those of us who know the score, there are millions who will be unprepared when the SHTF, and many will not survive. The hatred of a Government that refused to warn the populace will be immense, and the push back against any draconian martial law scenario will be immediate. The elites will seek to control all food supply to keep the plebes in line. Be prepared folks. The perfect storm is forming with a confluence of the economy and the political conventions this summer.

    • RTW

      andyb:
      Not only will hell freeze over, but look for the Chicago Cubs to win the World Series if OB admits to anything he has done. While over in Europe, on his havoc wreaking tour, he told the Germans that, “We are fortunate to be living in the most peaceful, most prosperous, most progressive era in human history”. This prior to sending 250 additional troops to Syria. OB must have thought he was addressing a crowd of preschoolers and not individuals who have been viewing and living through the carnage of the last 7-1/2 years.

  14. Robert Lykens

    Greg,
    John Williams said, “If you start to see a panic selloff (in the dollar), that’s a real bad sign.”

    Could you please ask future guests what they think important signs of a collapse could be?

    Thank you.

    • Paul ...

      Robert … the dollar has already collapsed from one dollar in 1913 to three cents today … so the collapse to come will only take the dollar down from three cents to perhaps a fraction of a cent … I bet the boiling frogs don’t even notice!

  15. Dan Fruth

    Thanks for this sobering report…I would like to ask if you would consider addressing some of the questions that are being generated based on all we have been hearing on your reports..Namely…How to protect finances when this all comes down. Most folks in middle America have savings, and no stock market exposure. What to do with those savings….Will the precious metals be at risk from gov. confiscation?…Obviously food storage and a means of personal protection…I am only touching on some basic items here, but a well thought out plan is important, and realizing most of us have never faced anything like this before, I think all your followers would appreciate a program addressing these concerns….Most of all, Thanks Greg for being a real journalist and reporting the truth-as hard as it may be…I appreciate what you are doing…Dan

    • Paul ...

      Dan … to protect your finances you should act without fear now … look at how paper gold at the Crime-X is totally disconnected from reality and the fundamentals … imagine the complete lunacy of say a real estate agent selling your house to 300 different people to collect 300 commissions … but at the closing having only one set of keys to pass to the owner … take advantage of the powerful reversal taking place in the prices of both gold and silver … sadly too many will wait in fear until they begin to see “quantum jumps” in the price of gold of $100 dollars per day … and begin see the silver price rising by $2 to $5 dollars per day … at that point a few (who get over their fear) may begin to “smell the promised land” and slowly (but grudgingly) begin to take their worthless paper fiat out of negative to zero percent interest rate bank accounts to try catching the last bus to the stars … the lucky few who get aboard will become part of a new “break away generation” as they see their one ounce gold coins rise above $10,000 dollars … and their one ounce silver coins unbelievably shoot beyond $2000 dollars each!

  16. wondrouscat

    I would appreciate any of the guests to surmise how long we will be wandering in the desert – i.e. how long will it take to re-set the system and have a new currency if/when the dollar burns to the ground? It’s hard to imagine that it would really take years, that rather some kind of money/exchange unit (digital so every exchange can be tracked no doubt) would be issued as expeditiously as possible and that “they” must already be planning for this. After all, the writing is on the wall at this point.

  17. David Clumpner

    “Running out of bullets, running out of bullets, the Fed is running out of bullets…”
    They no doubt are but how long will this continue…??
    Evidently a LOT longer than most everyone ever dreamed!!!
    OK, so we are approaching the close of this paradigm but don’t think for a second the Uber Elites haven’t/aren’t preparing for the next one, before or after the implosion.
    My guess, it’ll be global ‘digital funny money’ in the form of the SDRs or ?

    Don’t be surprised if guys like Ray Kurzweil, Bezos, E Musk, Soros, Buffett, etc, aren’t part of the planning stage.

  18. Jerry

    Greg,
    Judging by the skull on John Williams desk, evidentally John got somebody’s goat. In the coming weeks should the COMEX default on physcial delivery, the Chinese will get our goat.

    Even the ESF can’t stop what’s coming. The first central bank that smells fear in market will start the panic dumping dollars. My best guess is that Chase Bank, HSBC, and CITI Bank have already cut deals with the Chinese to covert dollars into SDR or Gold Yuan should they even suspect that the dollar might crash. These people will do anything to preserve their position of power, even if it means selling us out.

    • JC Davis

      Goat skull not a tiger skull. I had to look it up.

      • JC Davis

        I still am not sure. It has a bottom lift jaw bone like a tiger.

  19. Mark

    Greg,

    Another sobering, but important update to the covered-up mess that is our economy. Since GDP data/revisions are lagging indicators it may be until the fall before we get official confirmation of a recession (even though most here know it’s already in motion). My guess is the truth may not appear until after the election – if we actually have one! I came across a good article that serves as a reminder of the last depression and how it may differ from the one in our future.

    http://www.alt-market.com/articles/2873-all-depressions-are-not-created-equal

  20. Donna

    Great interview.Love the saber tooth fossil in his presentation.

  21. wondrouscat

    Maybe that’s part of what the emergency meetings were about – what to do when the 16 trillion dollars are returned to sender. Also, will Harriet on the twenty dollar bill ever see the light of day? Too bad, I was looking forward to that.

    • Matt

      That new 20.00$ bill will known as “Tubemans Revenge”.

  22. Jerry

    The world is moving away from crony western banking cabals to something that resembles a free market.
    http://thediplomat.com/2016/04/the-aiib-and-the-ndb-the-end-of-multilateralism-or-a-new-beginning/
    America has squandered its opportunity to lead the world in free market principles by embracing socialism. By transporting manufacturing and purchasing to foriegn shores through NAFTA, America has become a glorified bananna republic with an upside down pyramid for a government. The opportunity to turn the ship around, passed us by when we decided to turn our financial responsibilities over to the Federal Reserve Bank. Now we’re just like a financial pin ball bouncing from one negative GDP report to another, until we finally fall in the hole that’s been waiting for us since 2008.

  23. Bob

    This is not a criticism against John Williams. I respect him as a very brilliant individual, but if you listen to his interview on May 18, 2014, just before the US Dollar began to rise, you won’t hear much of a difference. http://usawatchdog.com/dollar-on-the-brink-of-disaster-john-williams/

    • Greg Hunter

      Bob,
      That’s right because it’s the same problem criminal bankers and governments have been putting off with massive global fraud.
      Greg

    • Brent

      I have been listening to John Williams for a long time. He had always said the dollar collapse was going to happen in 2018. That also coincides with the Economist magazine 1988 issue “Get ready for a world currency” in 2018. The Rollerball movie in 1975 was also based in 2018. John Williams was right all along, then he changed his forecast to 2014. I knew right away he would be wrong when he did that. He should have kept it at 2018 and then he would have had a much better reputation than he does now.

  24. woody188

    I used to think like John Williams, but the truth is, you only have to do better than the rest of the world. Once the rest of the world is in free fall, then there may be a reckoning for the dollar. There are only a handful of countries not directly tied to the US, and none not tied to NATO in some manner of trade. Look for the smaller economies to collapse and possibly a break up of the EU before ever thinking the United States will collapse.

    • diane s.

      The dollar may still be the” prettiest girl at the dance”
      So far since the 2007/2008 it has been.

    • Bobby

      Woody, I agree 100%

  25. Mark

    The question isn’t how weak the fundamentals are underlying the dollar, but rather what is better? To predict a panic selling of dollars with no mention of what they will be sold for, is only half the equation. If there is a panic to get out of dollars what wil be the stronger alternative that attract investors?

  26. art barnes

    Greg, oil up again this morning (Wed), trending up, up & up, this sure outlines what Mr. Williams said about the dollar & the oil connection. To state the obvious, there is still a glut of oil and no actual real reason for oil to be trending up except as Mr. William said the dollar index is trending down. Higher oil prices will, I submit, put the more braking on the already pathetic GDP. Greg, always nice to hear from the learned Mr. Williams, thanks for having him on again.

  27. eddiemd

    War is the last option. It provides the distraction and the excuse for the collapse.

    The Saudis, Chinese, and Russians all know the system is collapsing.

    Let’s get the show started.

    • Larry Jelen

      well, we got our “advisors” in Syria now and a hospital just got blown up by aircraft of “unknown origin”- you may just get your wish!

  28. Country Codger

    Hi Greg,
    I have said it before, because it is true, Mr. Williams does not go outside of his data. He is very conservative. I agree with Greg Man. comment at the top of this comment string. We are preparing to move to the high country while it is still possible to get (relatively) cheap fuel and make multiple trips.
    I believe when it happens, it will not be the collapse you have to worry about, but rather the government’s response to the collapse. The fact that this is an election year will determine when it happens (before election day) and what happens (currency controls and bank holidays). If it goes beyond election day then Obama will hand the keys to a burning car to the next guy and run for Secretary General of the UN against Angela Merkel.

    CC

    • allen ols

      cc
      WE have been dividing ALL our preps by 1/3 and moving it to 2 other alternate so as to not have everything in one location. I have had these locations ready, for awhile, cool, dry, includes all three metals, g s lead and related units. I have been waiting for the economic wind down to pick the right timing. I have my 3 Coleman camp fire bread ovens on order, and am swapping empty propane tanks for full ones. I am freezing 1/2 gal jugs of milk and will rotate them every week. the time is short.

  29. Paul from Indiana

    Dr. Numbers returns at a critical juncture. Longtime Watchdoggers know I love JW and his thesis that ruinous inflation leads to ruination of the dollar. Nevertheless, despite my enthusiasm for JW’s “just the facts, ma’am” approach, I don’t think anything happens until AFTER the election. No crash, no indictment, no Chinese reserve currency ascendancy (sorry, Jerry), no big terrorist incident, no war, and no debt-bubble pop– NOTHING to derail the foreordained HILLARY EXPRESS. After she’s inaugurated, and duly, legally installed in the office, all bets are off. In the meantime, you have eight months of golden prep time. Watch warily the climb of commodities, even in the face of low demand, as cited by Dr. Numbers. That’s what tipped the scales in 2008, and it looks like it’s coming around again. Best always. PM

    • Tracy Welborn

      Dem voting is way down. No one is excited about Hillary. Trump has been able to fend off the GOP establishment, he’ll do well in the general election. My guess is that either Trump or Obama will be our next president. I’ll be amazed if COMEX makes it till November. I think eight months is a stretch, we’ll see.

      • JC Davis

        WOW Tracy I said the same words to a friend in my garage today.

    • art barnes

      Hey Paul from Indiana, always like to read your post(s), have to agree with you once again, the elite will not allow anything to negatively happen until the Hillary Express is in office. After that, as you said, who knows. But I am still watching the dollar index slowly creep downward in line with J. Williams, as both can arrive for the final destruction of America just about the same time.

    • Pinocchio

      How do you know that Hillary will be the next president? Did your source also tell you that USA will be over 666 days after her inauguration? Have you ever did a project for MI 6?

  30. Diane D.

    Question: If foreign countries for example start dumping their US Treasuries, what will they convert their assets to?

    • stonewall

      Hard assets Diane. Certainly not colored paper.

    • Diana Dee Jarvis

      Diane, they are buying land and precious metals as well as other currencies.

    • JC Davis

      Good question Diane D. From my study there can be no end of a fiat WORLD currency because it can take down the world first. However this world currency has run down the world to a place of survival of the fittest . The SDR or the YUAN backed by a mix of oil, gold , and silver would be the short answer.

    • JC Davis

      I must add no fiat currency can function without world confidence or material backing. The dollar has lost most confidence, and all material backing. The dollar is surviving on past confidence, and the fact that a better solution currency has not fully stepped into its place. There is the sign that the dollar is gone. When a better currency is used in its place. Gold, silver and oil will rule in the end, even if the world currency becomes Bitcoin, SDR, Yuan, or electronic transaction. Greg sorry for the long post, but this is a really good question.

      • Diane D.

        Ah, I can understand that. Thank you WatchDogs.

    • diane s.

      So far a lot of money is pouring into equities and metals.

    • art barnes

      Other countries bonds such as the Yuan.

  31. CrazyCanuck

    Greg, the take away I get from John’s interview is that the US dollars days as the least dirty shirt in the currencies hamper are numbered. For the average MC Joe that has a 403k ( or RRSP up here in Canada ) what is the best option aside from taking the money out and paying huge fines/taxes? Stocks are said to be vastly overpriced, the bond market is vulnerable to an implosion when the reduced dollar causes inflation to jump, Treasuries as John has said are vulnerable now — so what does that leave one ( assuming the investor already has his insurance in allocated PMs outside his 403/RRSP? Surely one doesn’t just grit and bear it as his family’s savings erode right ?

  32. Tom Combs

    John Williams has nailed it with forecasting the decline and ultimate collapse of the dollar. This pyramid scheme is on its last leg and the end is not far off. The stock market will go higher from here continuing to be led by energy and commodity related stocks. This rise in commodity related stocks is purely a function of the declining dollar as commodities are primarily priced in dollars. TPTB will not let gold rise much further on this go around though as that would start to make their paper fiat currencies look weaker and start to wake more people up. Once the dollar falls past its all-time low of about 70 on the dollar index then look out. We are at 94.4 now so we still have some more time but time is getting short. Markets fall faster than they rise and it will be not be any different for the dollar index.

  33. Diana Dee Jarvis

    Williams makes an excellent point that a favorable forecast does help boost the economy a bit. I’ve thought for some time now that *part* of officials’ reluctance to tell the truth is the fear that admitting the true state of affairs would make it all crash faster. People underestimate how much of the economy rests on a sort of mob psychology. (The other part of the reluctance, of course, is the need to hide scams as well as falling for their own propaganda.)

  34. michael

    Hi Greg ,
    Thank you for this great interview . Let me share one thought : L
    I see one reason why this dollar crash may not happen : the rest of the world is also in a trouble : the Eurozone is still in danger (Problems in Greece Spain and Portugal are far from being solved ) , Japan’s government debt is 230 % of GDP , a debt crisis is expected in China , all oil producing countries suffer from the low oil prices , and the few countries doing well like Switzerland apply negative interest rate to prevent their currency to raise … Based on this , I do not see an obvious alternative to the dollar in he short term.

  35. don

    I expect the Fed will lie about the current economy until right after the election and then announce the you know what has hit the fan. Another QE program would be too late to effect the economy before the election…it would more likely have a boomerang effect and hurt the economy. Lies, lies and more lies will be the order of the day.

    • art barnes

      The FED certainly wants Wall Street Hillary in that;s for sure as they are as crooked as she is. The FED is no friend of the American working people, with the elite however they are joined at the hip.

  36. Robbie41

    http://www.stevequayle.com/index.php?s=33&d=1756

    EMP-HEADS UP RECEIVED LESS THAN AN HOUR AGO-EVERYTHING IS IN PLACE FOR A CYBER SHUT DOWN OF THE US POWER GRID AT THE WILL OF THE PERPETRATORS CHOOSING, LIFE AS WE KNOW IT WILL TURN TO BARBARISM QUICKLY, AS THE BARBARIANS ARE ALREADY IN OUR COUNTRY

    ACCORDING TO INFO RECEIVED AN HOUR AGO ON 4/27/16 -THE ENTIRE POWER GRID IS POISED FOR AN INTERNAL CYBER ATTACK AT THE MOMENT OF CHOOSING.INTEL SOURCE STATED THAT AFTER INTENSE 2 WEEK INVESTIGATION AND HIGH LEVEL MEETINGS THAT LASTED THAT LONG, IT’S QUOTE “1,000 TIMES WORSE” THAN EVEN “THEY HAD THOUGHT”-THERE ARE SO MANY COMPROMISED OPERATING PROGRAMS AND SPIES THAT “THE AGENCIES CANT KEEP UP”! FORGET THE NUKE EMP-HE SAID “ITS WHO EVER FLIPS THE SWITCH” FIRST!THEY EVEN DISCUSSED THE EFFECTS OF THE POWER GOING DOWN AND HOW IT WOULD AFFECT THOSE WHO’S LIVES ARE ADDICTED TO THE INTERNET AND WHO ARE ON SSRI’S AS WELL AS EBT CARDS BEING UNUSABLE,NOT TO MENTION ALL COMMUNICATIONS ,BANKING, AND TRUCKING, COMING TO A COMPLETE STOP!

    • Jerry

      Thank you Robbie41.
      I take this warning very seriously. Most anyone with a military background knows communications is the primary target in a first strike. I have been told for months from my sources that our defenses are being probbed constantly for weakness. One of my sources inspects nuclear reactors. He has told me, that the grid is living on borrowed time and it is so antiquatted that it would only take one reactor going off line to take the whole system down. Pretty scarey stuff.

    • art barnes

      Hey blogger, maybe that is why the U.S. Governments has done nothing to protect the grid during the last 40 years of high tech hacking, they can have a false flag event anytime they need one; perfect program to declare martial law and put out police forces against its own citizens.

  37. Paul ...

    Diane … what will they covert their “assets” to?? … US dollars are “not assets” … they are IOU “liabilities” from a private bank that is totally bankrupt … foreigners will be converting “their liabilities” (fiat paper) into real physical things like silver, etc. … and the conversion is taking place right now … just look at the silver chart below …  http://stockcharts.com/h-sc/ui?s=%24SILVER&p=W&b=5&g=0&id=p10470424227

    • art barnes

      They can buy other countries currency like the Yuan which will be backed by gold shortly in September when they commence having drawing right.

      • WD

        China wont let you convert dollars into Yuan, when this happens

    • JC Davis

      Paul.
      It is my belief that when the dollar is dumped overseas those stuck with it will channel it into the USA buying anything they can at any price. Causing hyper inflation. Gold and silver will be at the top of their list.

  38. Bradford

    Sorry guys but John and all the rest have missed the timing(their calls mind you) for the last 5 years this summer. Whether criminal bankers have held it together with string,blah blah blah is irrelevant to these guys no longer understanding what our government(FED) was able to do then or is capable of doing in the future. My prediction is the FED continues to do their thing long after most of the readers here are wetting their Depends diapers. The US will be perceived worldwide as one of the few safe havens if something bad happens and money will come pouring in. Collapse is off the table. In my area, building is exploding and homes under 225K are selling for more than list price, not staying on the market for more than a week. Restaurants are packed.That’s reality. This other talk by Williams and the rest is reality also but has also been futile academic bantering that has cost those who listened and acted dearly,me being one of them. Anyone betting against the FED at this point is crazy in my book. But you hard core believers, have at it. It’s a free country.

    • Linda L.

      Bradford
      You’re probably right about the money pouring in, but the money won’t be leaving (in exchange for goods) when the SHTF because no one will accept it. Then we’ll see what happens to all the exploding “building” you’re referring to. Believe me, I wish this weren’t the case.

    • Mark p

      Hey Bradford, I’m going to invest in Depends, since it’s obvious that their sales are going to go ballistic on your analysis. Thanks for the tip.

    • Paul ...

      Bradford … you know of course that your 1913 dollar is worth only three cents now thanks to the Fed … so those $225,000 dollar houses you say are exploding in price are really going for about $6,750 dollars … and you say a collapse is off the table??? … what do you call a collapse from one dollar to three cents?? … it took only twenty dollars in 1913 to buy an ounce of gold … so that house for $225,000 dollars is really selling for 180 ounces of gold which in 1913 paper would have amounted to $3600 dollars … wow … $3600 dollars to $6750 dollars is a double for your real estate … but holding gold from $20 dollars an ounce to $1250 dollars an ounce today is 62 times your money! … yet you blah blah blah and consider our talk about gold bantering while you “Depend” on the government and Feds wet fiat diapers???

    • ScottL

      Rome didn’t fall because the barbarians’ prowess and skill got them to the gates. Rome fell because Rome’s growing internal societal rot allowed the barbarians to breach the walls. A US collapse will not be triggered by faltering economics. That is a byproduct. The collapse will occur because now more than 50% of the great American population are parasites. There is incredible debate on who should use which bathroom. There are enemies who want to see the US in rubble and who will never surrender that effort. And, if you think meth and heroin and cocaine etc. are addicting, wait till you see what will hit the US before 2020. Not chemical drug, but virtual reality. Imagine plugging yourself into your desktop while wearing a suit no more bulky than a wetsuit and a helmet no more bulky than a bike helmet and it “transports” you into your own Matrix. Your own world that you created with all the smells, feelings, tastes. There was a special on the Science channel that showed the affordable virtual reality system that will be available to all. Plug in and leave the real world behind. That is the threat. Not the Fed keeping the Ponzi scheme going for another decade. The dead weight of a growing useless population will drag down the producers. Then you will see the economy implode. Guys like John Williams have it backwards though their stats are correct. In all of this economic forecasting the one thing they don’t talk about is the cultural internal rot that is the catalyst for economic collapse.

    • art barnes

      That is exactly what they thought in 1929, chicken in every pot, real estate booming, stocks making paper money, believe what you will, as you said, its a free country.

  39. Jerry

    You know what they say about thieves? Look at these cockroaches run for cover. I just hope they’re still around when the SHTF. There won’t be a bunker deep enough to hide in as far as I’m concerned.
    http://www.minyanville.com/business-news/markets/articles/banks-investing-cftc-finance-deutsche-bank/4/26/2016/id/56649

  40. Paul ...

    You know … we all worry about the economy, a stock market crash, a devalued dollar, Iran, etc., etc. and we buy gold and silver, etc. to protect our families … but “our kids” are even more precious then gold … and this is why we have to keep our eye on Yellowstone … something  with a huge magnetic field (Nibiru???) is tugging on our planet and fracturing the earths crust … thirty-eight (38) volcanoes are “now active” around the Pacific “ring of fire” … and warning signs are beginning to show Yellowstone is getting more active … the Shoshone river just outside Yellowstone park has begun to boil (talk about a canary in a coal mine) … in the event of a full-scale eruption at Yellowstone the entire northwest United States will be completely destroyed (no wonder big corporations have left our country taking our jobs with them) … everything within a 100 mile radius of Yellowstone would be a total “kill zone” … Salt Lake City would be toast and almost everyone and everything in and around Denver would be dead in short order … so much for the elites hiding in their underground bunkers at Denver airport that will quickly fill with hot liquid magma … it seems God has his “own plans” for a New World Order that includes the extinction of the immoral, child murdering, thieving, corrupt Neocons and their military/industrial complex … and so much for the “deep storage gold” the Fed supposedly has out West backing the US currency … God’s warning signs are meant for “his people” who take his warning signs seriously… the way recent earthquake activity has been increasing around the world the chance of something “big” happening looks a lot greater then 10% to me (it may more realistically be something like 50/50)… so “now” may be time to at least pack up “our precious kids” and move them out of harms way the way we send our gold out of the States to protect it … thinks seriously about sending the kids off to live with relatives on the East coast (but not along the coastline) … the reason you don’t want the kids along the coastline is because the asteroids in tow behind Nibiru will be creating tsunamis as they fall into the Atlantic Ocean … best place for the kids is with relatives in the Adirondack mountain region or maybe move them to Russia (the way Snowden did) … https://www.youtube.com/watch?v=lwtX9ffJaco

    • R B

      Dear Greg ,It seems the whole world sences something drastic is coming. Those of us who read God’s Holy Bible,The written word,are aware, the Great Creator of all life will not tolerate this spiral down in morality forever. The US once proclaimed in God we trust ,but in its actions it has proved we trust in ourselves,look at everything we do ,its a profession . The blood of over 60,000,000 babies since Ro.v.Wade has been shed in the US, what will it take for us to come to our sanity? God help us ,God help us.

  41. JC Davis

    Greg and site has there ever been a candidate pick a VP before they have been nominated by a party ? Craz has picked That lady carl verelia.

    • Greg Hunter

      JC,
      This is bazar and desperate. I guess Cruz it trying to take female voted from trump in the rest of the primary states??
      Greg

      • JC Davis

        Cruz only has 562 delegates. He is no longer trying to win he is just trying to damage the republican nominee to be. That is what I call a oligarchy controlled man.

    • art barnes

      JC, didn’t President Ford do that in 1976 prior to the convention. If I am wrong I apologize, don’t have time to look it up, its just from memory. But whatever, I agree its desperation and frankly stupid. Not sure I want a President that makes so many stupid moves as Cruz’s team does.

  42. Paul ...

    Wow … with Cruz picking Carly Fiorina as his VP he must have made Kasich mad as hell … I bet Kasich now tries to make a deal with Trump for the VP spot … if so all those Kasich delegates will go to Trump and we are in position to take out the child killing Neocons! … http://www.cnn.com/2016/04/27/politics/ted-cruz-carly-fiorina-vice-president/

    • Paul ...

      Trump says when he gets in he promises to go after Obama Care … and hopefully the manufacturers of vaccines … look at what is happening … up until the year 2000 Asian countries had their own vaccine manufacturing … but after 2000 they began purchasing vaccines from American and European firms … when they switched to the American/European vaccines autism rates exploded by hundreds of times over … I am talking increases of over 20,000 percent … and sadly those children not fully destroyed by autism after vaccination are relegated to becoming “still functioning mental cripples” that will more easily blindly follow the Neocons to war … and be more easily brainwashed by the Neocons MSM propaganda machine … lets elect Trump to stop this immoral war slaughtering the world’s children (via the needle) … No Women … No Children!!

      • Paul ...

        As we know the Baltic Dry index in the full year 2015 was at extreme lows … over half a million containers from US shores like Los Angeles, San Francisco, New York, and New Jersey left “completely empty” and with the new “Silk Road” China is building there will be less need on the part of the Chinese to use ships to transport their goods … the only exports the US now makes is the stale air locked inside shipping containers, electronic export of fraudulent US bonds, military weaponry with “back doors” and laced vaccines … we need Trump to fix all this as the system right now is truly broken.

    • art barnes

      Hope Kasick isn’t pick, the man is really is a turd that won’t flush, same old stuff & policies we have had for 100 years, not much between his ears.

  43. Craig Bradley

    HENNY PENNY: ” THE SKY IS FALLING-IN ”

    The reason we still have relatively low, single digit inflation is because, despite Trillions in QE by the FED, the public is hoarding money (cash) and does not want to spend. In fact, consumers have been saving more money for a change. Negative interest rates cause people to hoard, not spend. Nothing the FED has done can or will cause either inflation or widespread panic. Only a restored confidence in our government and our collective future could possibly do that. This is the one and only thing that could cause inflation and its not happening. Its all one big confidence game. So, I am afraid for now, panic selling ( By Whom?) is really not in the cards. Lets watch the Dollar Index and see if it goes way down or sideways for the rest of this year.

  44. FreeOregon

    If you sell the Dollar or Dollar denominated assets, what do you accept in return? RMB? CLP? Euros? They all may be junk, but what’s better than the Dollar?

    • Paul ...

      You still don’t know the answer??? … have you been reading and listening???

  45. Stan the Man with the SHTF Plan

    A bit of an aside here. Bob Moriarty’s recent article here is deeply critical of Bill Holter’s relentless predictions of a COMEX default. Moriarty is no slouch when it comes to the financial world. I’m not taking sides, but am posting this as food for thought.

    http://www.321gold.com/editorials/moriarty/moriarty042716.html

    (Stan, This is Greg Hunter and as a curtsey I am posting a link to Holter’s latest response to Bob Moriarty’s article: http://news.goldseek.com/GoldSeek/1461865832.php )

  46. Todd

    I also listened to an interview with Jim Willie and he had an interesting take on the Saudi thing. He claims that they are essentially broke; low oil prices, the worlds biggest graft and welfare state and trillions tied up in Treasuries. As the saying goes if I owe you $100 I have a problem, if I owe you $100,000 you have a problem. They are peeing their pants because they know treasuries are soon to be of the same value as toilet paper.

  47. anony-mouse

    If the comparison between nominal GDP and true inflation has any meaning at all, we have never left recession, and are now progressing toward depression….

  48. Don

    Greg, strike one, was Mr. Holder, reminding us of the switch like default on the comex, setting off the treasury sell off, now, strike two, Mr. Williams confirming the signs with dollar sell off, and a acceleration to follow. I feel I’m prepared for strike three, which would be a conformation of comex default. The stage is set, and all player are in position. Mr. Obama, will avoid media coverage, since he’s been telling America nobody knows what there talking about if they say the economy is not healthy. He no more than opens his mouth and tells a lie, that he gets another black eye. America is tired of being lied to, and has begun the revolution with Trump. If Cruz and Kasich doesn’t gracefully bow out now, they will be seen as unfavored as a candidate from now on. If they were to bow out and support the nominee as they promised they could possibly save face for another day. But Cruz is so full of lust for power, he’s willing to try any underhanded advance, thinking the party will award him the nominee. He doesn’t care, that he does not have the peoples support and would throw democracy to the side for selfish ambition. We’ve got a good house rep. in my district call Bridenstine, and I’ve written him to ask him to support Trumps national agenda, to restore our sovereignty from the international trade deals. The NWO did the same thing when they formed the Euro-Zone. They used the trade agreements to steal national sovereignty, from those nations opposed to it. If Trump gets nominee, look for a very aggressive display of adds, proclaiming Crooked Hilary and questioning the publics trust for such a candidate. He will not avoid a public display of finger pointing, relating to the Clinton foundation, the emails, and Benghazi. Nor will he avoid bringing up her role with Russia and the Saudi oil cartel. She will be tied to the Muslim Brotherhood also along with the connection with Isis. Trying to be polite, but her supporters are overlooking a lot, and live somewhere in the twilight zone. But that’s just me. I look for Trump to garner a lot of Sanders votes in the generals, if she’s not indicted before. She and Bill used the Clinton foundation in so many crooked deals, if it were revealed, they both and probably Chelsey would even be in danger of criminal offense. Well, lots to talk about and as always your one favorite source for me to watch. Your da man farewell, and God bless.

    • Greg Hunter

      Don,
      Strike three can come from anywhere from anytime. Soon come my friend.
      Greg

  49. Mark

    Here’s a great video by the late Aaron Russo on the Fed and banking system.

    https://www.youtube.com/watch?v=YGAaPjqdbgQ

  50. KH

    Interview request.
    How about Bob Moriarty (president of 321gold) as a alternative or opposing opinion on gold and silver and COMEX etc…?
    Just trying to understand it all…

  51. Robert Lykens

    It’s the typical Good News/Bad News scenario –

    When the dollar crashes, the Good News is that precious metals will skyrocket (in terms of dollars) (Good News if you have precious metals).
    The Bad News is that other commodities, including oil/fuel and food, will skyrocket also.

    The window for buying gold/silver is closing. Greg’s absolutely right – it’s all going to come down to one thing – do you have gold/silver or not?
    Those “with” will still be somewhat able to function.
    Those “without” will be burning their paper dollars to stay warm.

  52. Larry White

    There is a big battle going on right now on the US dollar index to see if it can hold the 94 level. I wrote about this a week or so ago here:

    http://lonestarwhitehouse.blogspot.com/2016/04/the-us-dollar-chart-watch.html

    This morning the dollar has fallen back down to the 94 support level for the third time this month. Will it hold again? If not, there is not much support on the chart until the 80-82 level as you see here:

    http://stockcharts.com/h-sc/ui?s=%24USD&p=D&yr=2&mn=0&dy=0&id=p68519421594

    Watching to see how this goes especially with a end of week and end of month coming tomorrow. Gold and silver likely to continue strong move up if the dollar does not hold this key support level.

    • Paul ...

      Larry … you are right … if the US dollar index goes down to 92 … the low 80’s is a good bet … and both gold and silver will be on a tear upward!

  53. Mark Lytle

    The thing I keep puzzling over is how the hyperinflation scenario squares with the current condition of collapsed demand and gluts of all commodities, including oil. Granted the U.S. has insanely printed for many years, but other nations have done similar things to keep their currency somewhere close to ours in range.

    No doubt the Ponzi schemes all fail at some point, but I’m not sure hyperinflation is the result when demand is already collapsing. I DO see a lot of wealth effects going away as the collapsing bond and equity and real estate markets make trillions in wealth ‘disappear’. This is extremely deflationary, and will result in MORE money printing from central banks, not less. That money printing will not have any effect in reviving anything given the magnitude of the collapse. When you think about it, this is already the process in play.

    More likely, the Governments that issue the currencies and credit will fail, and the former currencies become valueless by virtue of the extinction of their issuers. Most currencies become like Confederate currency, fun to look at and collect, but not spendable.

    The reset will entail new Governments who can issue new currencies, with a clean slate, I would think. But coming into a very impoverished world, with many supply chains being destroyed through lack of demand, first, and lack of social/political stability through the collapse period, which we are already in.

    The most worrisome question is how much will have been lost, in terms of global industrial base, due to the thinning of that base due to Globalization, and the ravages of the period we have entered into. Will there be enough intact systems to rebuild, or will it be like Rome, collapsed to a set back for something like 500 years?

  54. Ron

    problem with a dollar collapse is that all of the money around the world is coming to the uSA. Eventually we will have a collapse in government and then gold will go up, but Williams is to early to the game. Right now Cash is King.

    • Greg Hunter

      Ron,
      Cash will not be king inside a bank if we have another Cyprus or Greek banking calamity, and one is coming.
      Greg

      • Craig Bradley

        GREG:

        When is it coming ??? At least give me a year or time range. Otherwise, you are another broken clock that is correct twice a day. Yada, Yada, Yada.

        • Greg Hunter

          Craig,
          It’s coming, now go back to sleep “Yada,yada yada.”
          Greg

    • Paul ...

      Ron … The Government “won’t collapse” as long as they are smart enough “not to save” the Federal Reserve Bank when it declares bankruptcy … remember all those dollars coming back are obligations of the Federal Reserve Bank not the Federal Government … all those fiat dollar IOU’s are notes issued by the Fed (a private bank) … and if this “private bank” can’t make good on their promises … they will simply declare bankruptcy … and all those Federal Reserve Notes will become worthless in a Fed bankruptcy … all the Federal Government has to do is issue “new” Constitutional Money (backed by gold and silver) … therefore only the people smart enough to exchange their Federal Reserve Note IOU’s into gold and silver “now” before the Fed declares bankruptcy will have the ability to be able to exchange those precious metals for the “new”Constitutional money issued by the Government when we all come out the other side of the Federal Reserve Bank’s declaration of bankruptcy … sadly those who don’t buy gold and silver now with their Federal Reserve IOU Notes (while they still have some value) will become destitute on the other side of a Fed bankruptcy (even if they are currently US fiat dollar billionaires) selling apples and pencils on the street or simply resorting to begging for a handout!

      • Paul ...

        To all those who are listening to Harry Dent to keep CASH under your bed because CASH IS KING are making a very very big mistake in my opinion … don’t be so sure that Trump will save the FED by putting “their obligations” on the backs of the American people … he will be acting in the interest of the American people … and assuming the debts of the FED (a private bank) is definitely not in the interest of the American people … the result will be the FED will have to declare bankruptcy … and all their Federal Reserve Notes (US dollars) they issued will “become worthless” as they are simply IOU obligations of a bankrupt private corporation! … don’t put all your faith in the “King” as history is replete with fiat currencies becoming worthless … gold and silver under the bed is a better store of value as it retains its intrinsic value when private corporations fail and even when governments fail … as farmer will tell you “don’t put all your eggs in one basket”!!!

  55. Angel

    Posted by sierra2one
    By: Tom Chatham

    When a national currency collapses, the government goes into survival mode and does what is necessary to insure its continued existence. The state power becomes all important and citizens become expendable. The state exists for its own fulfillment.
    When the monetary system collapses along with the banks, the government will still need a way to pay government employees to insure they continue enforcing the governments will. If all government employees suddenly decided to stay home the few officials that remained at their desk would be ordering 300 million people around with no way to enforce their orders. To maintain control of the population it is necessary for government minions to continue doing their job of enforcement.
    This means the government would need the means to continue fulfilling the needs of government employees to insure their compliance and obedience. As long as people get the things they need to survive day to day they will continue to do as ordered to continue that supply.
    The government would need to insure that a payment system and banking system would remain functioning after a collapse. The banking system may not look like the current one but something would have to take its place. Once the currency has failed it would be necessary for the government to issue a new currency. It may not be accepted by the majority but it is only necessary for it to be accepted by the government minions. This would allow the government to remain in control.
    If the government employees know they will still be able to get food, clothing, gas and other items they need when normal citizens cannot, they will be inclined to stay on the job and do the governments bidding in order to maintain their standard of living. This would be a necessary control mechanism in the event of a collapse.
    Once the bank’s collapse along with the currency, the FED could take over any bank branches necessary under the control of the Fed and issue the new currency through them. There may be some form of physical currency or it could be digital. Either way the government would have control over who gets any in the beginning.
    The government would likely confiscate any resources it needed to fill “government stores” for the purpose of supplying government employees. The rest of the population would be left to get by on their own. In this event EO 13603 becomes more clear as the mechanism to take whatever the government needs to fill these stores and keep their people supplied. In a collapse physical goods become the only thing that matters.
    Those that have the things government needs will likely be sent to camps and their property taken for government use. Those with special skills that are needed to continue the supply functions would fall under the control of government agencies and be subject to internment if they fail to do their jobs. Once government has control of critical infrastructure they can let the remainder of the country fight among themselves and do the governments job for them. The few who remain after a few weeks will be easy prey for the government.
    I do not claim this will happen, only that it is one possibility in the event of a total banking collapse. Those in power will do whatever they must to stay in power. That much is born out in history. This is not meant to scare you but to make you think about the possibility of this event and plan accordingly should the worst happen. Should the government confiscate resources following a collapse, you will need to be two steps ahead of them and the general population in order to get through the events in one piece.
    Many feel a collapse of any kind is impossible in the mighty USA but times change and anyone that fails to heed the warnings will pay dearly when events unfold and they find it is too late to get the supplies they need. People buy many types of insurance just in case. They save for retirement just to make sure. Then they ignore economic warnings that make all those things useless. The government helps people when it is convenient for them. The government has also shown its willingness and ability to take from people when it suits them. Any government big enough to give you anything you want is also big enough to take everything you have. And, they will eventually.

    N

    • Greg Hunter

      Angel,
      Nice info but please cut it way down next time and link to the rest.
      Greg

  56. Eric From Raleigh

    Greg!
    Great interview, but I just don’t get it.
    Japan is looking bad, Europe is falling apart, DB got busted for rigging markets..
    Yet – the stocks are up?!
    My broker called me and was wondering why I am not long on stocks – I told them that there is no more honest price discovery. Everything is speculation and futures.

    Pension funds are starting to default now as well – where will that lead?? Watch for the GUBMENT taking over these funds, and paying for them with increased taxation. Again, the middle class will be penalized for the mismanagement of our appointed leaders and their banking flunkies.

    Color me… Confused.

    • Greg Hunter

      Eric,
      Fire you broker today–he’s a liar an idiot or both.
      Greg

      • Paul ...

        Greg … if the Fed keeps printing and buying the Dow they “can” keep the market going up … during the Zimbabwe hyperinflation their stock market went straight to the moon (of course in more worthless and worthless fiat) … so that broker above may not be a complete idiot … however … the problem with buying the Dow is that “eventually” you will sell and become the proud owner of a boat load of “almost worthless paper” that if you are lucky will buy you a few ounces of gold … so you are right … just ignore the broker and buy gold and silver now!

    • Scot

      You are confused because you listen to people that either talk their book or live in a US-centric world. Stocks are up because were else is global capital supposed to park – bonds yielding zero to negative yields? Small investors think that the big money parked in sovereign wealth funds can just pull it out and stick it under the mattress. Wait until the govt bond bubble pops. I don’t know if your broker is dumb or lucky, buy keep your powder dry going into 2017 as confidence and the euro collapses, sending big flows into the dollar-based assets, especially blue chip stocks that have never defaulted, unlike unbacked govt debt.

  57. benevolent dictator

    If there were a panic to abandon the dollar and its assets, where would that fraction of the $16 trillion go? Is this why the Chinese and Saudis are buying USA real estate? What other currency or market class of assets has any more fidelity than that of the dollar? As if to bail from the frying pan into the fire.

    • Paul ...

      The Chinese and Saudis would be better served buying real estate in Brazil … because when Yellowstone Blows all the farmland in the west will be useless for many many decades! … as for what asset class has more fidelity then King Dollar … I would suggest precious metals … especially silver now selling at the bargain of a millennium!!

  58. art barnes

    Greg, .07 GDP first quarter is now being reported today as fact. Hope you mention it tomorrow, been a slow slog down since the high of about 2.3 a while back. Williams is on to something, what if the .07 percent is bogus as with much other stuff the Government & the FED claims. This is getting all to real, dollar down, GDP way down, Japan refusing to do another round of quantitative easing (reported today) even though their products & economy are in deflation. Things are getting ready to explode. Kind Regards, art barnes

    • art barnes

      Greg, second revision in 12 hours, now its .05 percent, in another month it will be .02 percent or lower. a

  59. Scot

    “it’s not a matter of if, but when, there is panic dollar selling” … but “when” is the most important variable that can bankrupt you before the panic, due to the rush into the dollar, as the periphery sovereign defaults always occur before the core.

    I am writing with the assumption that you and Williams have the best interest of your readers and country at heart. Therefore, I will assume that you and Mr. Williams suffer from the same US-centric thought process that plagued me until I started to do my homework when I couldn’t understand why gold continued to decline in the face of QE, and stocks kept rising no matter how badly the real economy kept spiraling down.

    Since I am sure many of your readers have wondered the same thing sometime over the last 3+ years as gold relentlessly declined 30%, while so many kept saying to buy, buy, buy for all the same reasons that Williams discusses, again. Yes, I know about the manipulation, which only seems to occur when gold declines, and has been occurring ever since market makers could clip and front run an order. I hope we can cut through the crap so your readers can learn to think outside the gold bug box.

    First, there is no disagreement that the economy is on life support, but you MUST look at everything within the global context of an interconnected world. The economies and banks in Europe are in much worse shape than in the US, which is why capital from Europe and other troubled spots has been fleeing into dollar-based assets. QE, buybacks, and gold bugs selling their own self-interest are a drop in the bucket compared to global flows, so it really matter what the Fed or anyone does, except at the margin. The invisible hand will always dictate the trend, no matter how many men think they can manipulate it. Yes, they will front run and manipulate for short-term profits, but they cannot change the trend.

    The bad sign everyone should be looking for is NOT when the dollar declines (unless you don’t want to find a seat when the music has stopped), but when it rises. IT IS A RISING DOLLAR THAT WILL BLOW UP THE BALANCE SHEETS OF EVERYONE HOLDING TOO MUCH DOLLAR-BASED DEBTS, which is all over the globe due to ZIRP. The replacement of the dollar as the reserve currency by a SDR-like replacement will be a footnote after another Bretton Woods-like meeting cause by the rising dollar. The Fed will raise rates even more after they do it to save pensions, because they don’t want to be accused of being a serial bubble blowers as stocks go to the moon due to capital flows.

    Take off the US-centric blinders. We will need as many freedom-loving Americans as we can get when the house of cards collapses, and the govt tries to save itself.

  60. Paul ...

    Hmm … we are dropping bombs on ISIS quicker then we can make them … http://readersupportednews.org/news-section2/318-66/36292-the-us-is-dropping-bombs-quicker-than-it-can-make-them
    Is this because we shut down our factories and farmed out our bomb production and American jobs overseas? … so we are running out of ammo fighting ISIS yet the Neocons think we can fight a war against both Russia and China??? … the Neocons probably want the US to lose a major war against Russia and China so all the documents incriminating them for their crimes and treason against America will be destroyed … and they will go free!!

  61. Paul ...

    How about this to shake up the system … Trump choosing Bernie Sanders for his Vice -President … why not … both Parties are in bed together … so lets make it official … besides it will protect Trump from a bullet as the elites don’t want Bernie as President … just imagine Trumps victory numbers with such a team! … http://www.theguardian.com/us-news/2016/mar/13/bernie-sanders-supporters-consider-donald-trump-no-hillary-clinton

  62. Raja

    Greg: I have been reading Williams’ comments about how the dollar is going to collapse for years. Frankly I have heard many other people make the same comment, and with all due respect I feel these comments come from a place of ignorance. I will stress again I do not want to sound disrespectful. Here is what I believe John Willams does not understand: the US dollar is not like a stock which is measured in…well, dollars. The USD index is valued in comparison to other currencies, primarily the Euro, the Yen, and the British Pound. John can just google this. So, my question to John and anyone else who says the USD is going to collapse is: tell me, which of the Euro, Yen, Pound or combination of them is going to soar? Because that is exactly what he is saying is going to happen.

  63. tulip

    Home Links Editorials
    Bill Holter Wants your $119

    Bob Moriarty
    Archives
    Apr 27, 2016

    Bill Holter wants your $119. To earn it he’s going to feed all your fantasies and lie to you. But he will tell you everything you want to hear. That ought to be worth a measly $119 for a full year. Imagine that, all your fantasies fed for chump change.

    Bill Holter is a GURU who works with Jim Sinclair. I mention how much attention you need to pay to GURUs in my new book, Nobody Knows Anything. Actually on the page after the dedication page I include a pertinent quote from Matthew 15:13-14 that fits perfectly.

    Mr. Holter starts his rant titled “The chances of a Comex default. . .” and goes on to say, “Bob Moriarty of 321 Gold wrote a story with the exact same title …” That’s his first but hardly the last Porky.

    My piece was titled “The Chance of a Comex Default. . . is zero” It may sound picky but the verb “is” is singular so the correct word would be “Chance” not “Chances”. Chance is singular and the verb is singular but a good copy editor would have caught that and made Mr. Holter at least use correct English. When you start an article with poor English, you give readers an impression you don’t know how to write. (More: http://www.321gold.com/editorials/moriarty/moriarty042716.html)

    Bill Holter and Jim Sinclair answer: http://news.goldseek.com/GoldSeek/1461865832.php

    • Pete

      Raja… I think that the answer is gold and a gold backed Yuan.

  64. DEE GARMON

    John Williams, Jim Willie and PCR. The three men I trust the most.

  65. Mike

    Greg, I enjoy your show.
    The question no one seems to ask is who would buy the dollars if the world dumped them? The Fed can only do something if the world dumped their dollar-denominated debt. They are powerless if dollars are dumped, because they have no foreign currencies or precious metals to trade for those dollars. Also, I think the Fed and government will keep manipulating the statistics to show a tiny gain in GDP. I don’t think they will admit a recession until the DOW crashes.

    • JC Davis

      Mike. There are more 100 dollar bills outside the USA the inside the USA. There millions of people from other countries living here. They own many gas stations, and stores. They will channel the 100 dollar bills into our economy buying anything at any price causing hyperinflation.

  66. ScottL

    Dropping more bombs on ISIS than we can make. That’s good since silver is used in the guidance systems. When it’s blown to hell it isn’t recoverable.

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