Nomi Prins: War Could Implode Financial System Starting with Derivatives
By Greg Hunter’s USAWatchdog.com
Former Goldman Sachs banker Nomi Prins says the financial system is more risky than before the 2008 meltdown. Prins, who wrote the best-seller “It Takes a Pillage,” says, “We have greater concentration of . . . financial risk within fewer institutions. So, we’re in a situation where there is moral hazard, but there is more recklessness beneath the surface because they know they can get away with it.” Prins sees the recent op-ed piece by Russian President Vladimir Putin in the New York Times as a warning. She says, “To use Obama’s term, ‘American exceptionalism,’ as an excuse for that kind of combat, doesn’t negate the risk associated with it.” So, what could a U.S. war in Syria do to the fragile global economy? Prins contends, “It could implode and have serious ramifications on the financial systems starting with derivatives and working on outward.” Prins goes on to say, “It’s a tremendously dangerous time to be moving forward with aggression rather than moving backwards with diplomacy.” As far as the stock market goes, Prins says, “I would not put my money in the stock market right now. . . I would stay away from it because that is flimsy ground.” Join Greg Hunter as he goes One-on-One with best-selling author Nomi Prins.
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About the Author
Greg Hunter
Greg is the producer and creator of USAWatchdog.com. The site’s slogan is “analyzing the news to give you a clear picture of what’s really going on.” The site will keep an eye on the government, your financial interests and cut through the media spin. USAWatchdog.com is neither Democrat nor Republican, Liberal or Conservative. Before creating and producing the site, Greg spent nearly 9 years as a network and investigative correspondent. He worked for ABC News and Good Morning America for nearly 6 years. Most recently, Greg worked for CNN for shows such as Paula Zahn Now, American Morning and various CNN business shows.
Greg. she seems to have a fairly good grasp on things ex. when it comes to gold. she says she is not a buyer here???? She is sucked in by the same involuted logic that she used to represent….i.e. the “game” is run by short term cash flows and derivatives etc. etc. and believes that this can continue for some time. Markets will return to their rightful fundamentals as this dog and pony show is getting long in the tooth now and if you are not buying gold with both hands here you run the risk of being wiped out at any time.. the REAL risk is to not be in gold and in US toilet paper as she suggests. when this sucker goes down and it will in the next 2 years, you either have gold bullion IN YOUR POSSESSION or you don’t. cash is for transactions and gold is for wealth preservation. In a world economy that is shrinking, paper financial markets are a zero sum game at best. Now that the US war machine has been checkmated, the dollar is going to lose the only real backing it had…… COERCION …… Meanwhile the BRICs will slowly but surely move out of the dollar and buy more gold.
I guess the problem I have with this woman is that she is more into the “game” ( a highly leveraged and dangerous one at that) and doesn’t think about fundamentals of real wealth…… that means tangible , usable goods ( farm, water supplies, fuel, guns, ammo etc. ) and then gold for barter. none of these financial people have any idea just how bad things are about to get.
greg
Sweet, but nieve,
The dollar, our econemy is closer to collapse than she portrays. Another thing, u buy gold now at any price, to preserve the value of cash. View the east, buying gold at premiums.
I will stick with the jackass record of 17 to 1 , over her assessment. Sept. Hatrick comes wed.
finger on pulse@usawd
Alols
So refreshing, a beautiful intelligent woman in the midst of all this financial carnage. WOW!
It looks like the Anglo-American, Dual world power’s, day’s, are numbered! The King of the North, is moving in! tHE wEST IS BROKE, BUSTED AND MORALLY, DISGUSTING! But take hart! There will be a great day, see::: (Great Day-Bing Crosby, on youtube), you’ll be glade ya did! Got any better way out of this, do-do, were in? I know John McCain’s, got a bridge, to sell us, in, Dumbas,cus, we can get Iran and I got a dog named war mongrel, who want$ to pa$$ ga$ thru $yria. P.U., mR.Bandar!
p.s. GUESS, IT’LL BE, SNOWDENING SOON! LOL!
Greg
She is right, let me wrap-up what she said:
This economical and financial system is doomed, no matter what.
If war broke up in ME and USA get involved DIRECTLY, the end will be fast and painful, if not get directly involved the default will be slow and painful or something else will happen causing a collapse like:
-Spain bank system default on Portugal bonds;
-another political crisis in Italy, caused by Berlusconi;
-for some reason Deutsche bank will go belly up;
-etc.
BRICS and other countries cant exit form the US dollar system as fast as they want without greatly harming themselves (it is a fact). So the best option is this, building up a parallel financial system while in silence they are getting rid of the dollar related holdings/assets. If something happens like default of big US bank or default of USA, then they will dump the USD and US related assets.
Personally I would buy silver, it is cheaper and maybe better alternative then the gold is in other words I would put my savings in silver coins/small bullions.
What do you think?
Oracle 911,
I think you have a good grasp of the situation. Who knows how long the TBTF banks will be able to play this game of insolvency.
Greg
Thank you Greg.
Let me answer your rhetorical-ish question, with another question:
When will the critical mass of average Joe’s from (every) street, and now please excuse me for the expression, he is clusterf@ced on daily basis and shouldn’t trust government, banks, corporates and US domestic corporate media?
Telling to you because:
-most of governments has 2nd language, which is lie;
-banks are committing frauds on daily basis;
-corporates are the same as the governments, maybe worse;
-US domestic corporate media are telling lies, half truths and nonsenses.
Footnote: Russia today is close to being objective, crazy thing is they are in hands of Russians
So, WHEN it will happen? Because when it happens, the trust will evaporate practically overnight and the system will go down together with TBTF banks.
PS: I don’t trust to my government, because I learned long time ago the politicians lies, commits theft and frauds.
Greg
When you asked her about whether one should be getting into gold (towards the end of the interview), she indicated that she would not be a buyer right now. Up intil this pount in the interview, the points she makes are logical and salient. However, saying she would not be a buyer of gold right now is more in line with a trader mentality and one that Goldman Sachs would certainly approve of. She is also expressing what I feel is misplaced confidence in the ability of the “power rangers” to conduct day to day operations within the financial markets and therefor maintain the status quo. The upheaval that is certainly coming will not provide much if any warning.
If she is not a buyer of gold now, then when would she be ? Would it be when the markets are so unstable that none is available ? Perhaps at $1,900 ? All of these questions still miss the point of what gold ownershop is really about, which should be as Richard Russell (of “Dow Theory Letters” fame) would endorse a core position as insurance against total loss. It is the bedrock of your finacial position whether it composes 5%, 10%, 20% or even 75% of your total holdings. In an environment of low interest rates and low fixed rate investments in particular combined with a casino stock market where low PE ratios are the norm, I find it odd that Nomi Prins would not advocate maintaining at least a nominal core position of gold.
Sanjay Kashkari
I think everyone who can afford it should be “maintaining at least a nominal core position of gold.”
Thank you.
Greg
Good interview Greg. I wasn’t totally blown away by Nomi Prins. I suppose I was expecting more from an ex Goldman Sachs banker. A little more inside scoop.
You’ve mentioned Greg Mannarino a few times. How about getting him on?
Mannarino will be on in about two weeks. Thank you George.
Greg
Greg Mannarino is a convincing orator. But I don’t agree with him on everything. He said that Obama going back on the “Red Line” made the U.S. look weak. That might be true, but I almost got a neocon vibe from that comment. Also, he convinced me to buy PM’s at the worst time when it was near peak! He said PM’s could skyrocket, or gold could go as low as $1,100. But if we all bought, it would skyrocket! So I bought, got screwed (in the short term). Now, a foxy former Goldman Sachs banker tells me not to buy gold when it actually looks like the perfect time, unless FED tapering could cheapen it up… but if there’s no taper, gold is to the sky (for real this time).
Greg this was a very interesting interview. The “view” of our current economic system from a Wall Street insider, is quite different from many others that I have read about. I guess it all boils down to whether you believe that the collapse that is coming is caused by inadvertent greed by Banking insiders, or a planned event by Globalist. I happen to believe the later. There are just to many Marxist that have positioned themselves politically throughout the world that have a vision of a one world Banking system. Their vision is to have a level economic playing field for all of the smaller economies throughout the world. And I think the Global Elitist find the various currencies throughout the world to be not costly but cumbersome to deal with. Lets face it, technology has advanced to such a degree, it would be quite easy to pull this off. And in reality we have been in a world economy for quite some time. Unfortunately many people, including myself, did not understand what was meant when Bush41 was talking about a “New World Oder”, or when Obama said “Change has come to America”. Somehow in our mind, we still believed America was exceptional. Now we are waking up to the fact that America is not only part of this New World Order, we are its policeman. That is our payback to the people who hold our economic strings. Greg this is like a page out of a science fiction novel. How did this all happen? Is there anyone left in Washington that still cares about this country? I guess we’ll find out when the money printing stops won’t we? Thank you Greg for expanding our minds with these outstanding interviews.
Jerry
Thank you Jerry!
Greg
….also billionair Ned Goodman just gave speach on thevictoryreport.com ”america will lose its reserve status and we will enter hyperinflation and grizzly times ; I advise watching it as guys like him and jim rodgers are on same page
alols
Smart as well as sexy! I like it Greg. I have always had a little crush on Nomi. She could be lecturing on the ingredients in cheese doodles and I would listen! Nice interview.
I agree. She could teach me how to boil water and I’d still pay attention.
Thank You Greg and Naomi, As always informational and insightful look into the financial world…
Stay in the dollar and out of precious metals because the irrational conditions establishing a crash of the banks and dollar hasn’t happened yet, and may float some time longer? Idiotic, with all due respect. Wealth parked in dollar cash in an admitted house of cards is a fools errand.
Greg after watching you’re interview with Nomi Prins , I’m going to suggest you interview Ann Barnhardt. I think you would find her perspective very interesting. She ran a large Hedge Fund Brokerage Firm through the Chicago Mercantile for many years. She experienced firsthand investor fraud with the likes of MF Global to the tune of 1.6 Billion dollars. Her take. The market is rigged, and there is a takedown coming. Just though I’d throe my 2 cents in. Thanks again.
Jerry,
Go read Anne’s blog. While she may have been relevant at one point she is now looney tune. Unless you support her religious ramblings that seem to come from LSD.
I used to follow her site, but she mixes too much religion with her expertise on financial matters. Not everyone believes in the same god she does. So if one truly wants to help others,then religious views would best be kept silent.
Yep. She’s gone off the deep end. The banksters have scarred her for life. Sad.
Greg,
Am tuned to the CNN following the terrible events there and praying for the safety of all the victims of that crime and am sure your prayers and the prayers of the followers of your blog are helpful.
Hi Greg, I’m just one of your audience members sounding off on your interview here with Nomi, I never read her book and besides the interview here you got with her I only heard her interviewed once before by you, so I guess you could say I’m just talking off the cuff….
It was a great interview, it seemed like Nomi is either really really naive or really really sly, given she was some banking industry hot shot I’ll have to say that she is the latter.
Reading between the lines (which is a dangerous undertaking for rubes like me analogous to letting a cat drive a car) of her more casual, almost banal effluent of the obvious that bordered on a lay readers verbatious, monotonal treatment of scripture we see some humorously delivered nuggets of what this woman has really seen and knows about the true nature of the relationship that exists between our banking industry and our government.
What I found disturbing was how she seemed to get cornered at the end and finally capitulated into professing her undying faith in a system and attendant currency rife with logical contradictions and made a rather unusually paradoxical assertion herself in saying that ultimately, at this point in time, she, given all that has happened and all that has not happened, really thinks that gold is and always shall be just a commodity and not money…spoken like a true disciple of the religion of Central Banking.
Like I say Greg, great interview.
once a member of the squid team, ALWAYS a member of the squid team. once they supposedly leave they become disinformation agents. You will NEVER see a former JP Morgan or GS alumni come out in favor of gold….. you see one way or another they are still on the payroll. I’d say Greg made an honest mistake by having her on here, but I know he is smart enough not to get fooled twice.
Greg,
Prins has said very unflattering things about big bankers in her books. I am not so sure she is in the good graces of her former employers. She just wrote an article on her web site that talked about how overleveraged big banks are. She highlighted Goldman: $133 billion in capital and $42 trillion in derivatives. This does not make them happy for her to publically point this out. Thank you for your comment.
Greg
Greg (Hunter),
Was she talking about trading in Gold as opposed to having a core holding of gold? Most of what she was discussing was trading. Just curious.
George,
I should have followed up on that point and I didn’t. My bad. I think she was discussing a trade when talking about gold, but I am not sure. I would think she would agree that a core position in gold would be prudent given the shape of the financial system she described. I should have gotten her to clarify that point.
Greg
Greg I see the table is being set now. Obama in his press conference today said that the deficit is now the lowest since WWII, and that if the Republicans don’t raise the debt ceiling in the coming debate, that they will be responsible for all the economic calamity that would ensue. After banging my head on the wall a few times, he then went on further to say that since he was in office, his administration created over 7.5 million new jobs. Greg is there anyone left in the MSM that isn’t a lapdog for this man? Stunning. Absolutely stunning.
if he created 7.5 million jobs, I’m a macaroni
Hi Greg,
I think the media with their overblown egos have failed to realize that Putin’s message wasn’t directed at the U.S. alone. It was meant for the entire world. Much of the non U.S. media have taken it much more to heart than the U.S. media and government, particularly his comments about the dangers of American “exceptionalism”. You noted that the laws of economics can’t be violated forever. It seems that a KGB colonel of the now defunct Soviet Union understands this better than our President or Congress.
Mal,
Powerful comment. Thank you.
Greg
I’ve been aggressively stacking silver & gold since 2007, and hearing Prins say no to gold right now is disappointing, but I tend to agree with her points about how long things take to unravel. Just the point about China and Japan dumping U.S. bonds…how can they do that, they’re stuck, they don’t want to lose money. It will all take time. I also listen to Peter Schiff and he says the collapse will happen before the end of Obama’s term, but I have doubts on that timing. Unless there’s a war, which I hope doesn’t happen. You have really good guests, Greg…I’ve read one of her books and look forward to her next one.
Thanks Greg
Bet she has enough rings and gold chains to anchor a battleship!
You guys forget you don’t wear those things (on your sleeve?) when making a video. Now I’ll listen to the podcast…after the comments!
Hello Greg, not an interview i found helpful as one writer said she is still living in her past job, and all this technical banker talk probably went over the head of many listeners. So lots of talk but nothing was said to help the average listener who has no idea about all these banking products. This was basically all bank talk that led to nothing the listener could grab as useful information, and her position on gold was bad advice.
Greg,
As I listen to the unceasing talk about personalities in high office, I am reminded of what Lenin once said: “The best way to control the opposition is to lead it ourselves”
In my opinion, his contemporary disciples have implemented this course of action by convincing us that, although it is obvious our banking and political establishments are controlled by corrupt, self-serving individuals, these people are so rich, supremely powerful and so untouchable that resistance against them is futile. By implication, the rest of us are left with no alternative but to become helpless victims or willing slaves. The alternative media offers a glimmer of hope. It recommends that the most prudent approach is to remain docile while quietly preparing ourselves to face whatever fate we might contemplate is in store for us.
Thus, it seems that the totalitarian statists, following Lenin’s insightful lead, have finally built up a global stage and strategically prepared it for us to participate in a contemporary presentation of Dante’s “Divine Comedy”. On this stage, we are to play the passive role of Dante, the pupil, as he learns of the soul’s journey toward God.
Come one, come all! Nevermore let either divine principles or the wisdom of the ages influence or control your behaviors. Acknowledge that your very lives, your salvation itself, now rests firmly in the hands of a few glorious media Personalities who have been assigned to play the role of Virgil, your journey’s guide.
Lowly mankind, your duty is a simple one: Enter into the Inferno and, as you pass through the gates of Hell, gaze up and contemplate the instruction given there… “Abandon all hope, ye who enter here.”
Follow and trust in media Personalities; those temporary actors currently known as the Obamas, Putins, Bernankes, Netanyahus, Merkles, Assads …and the institutions of NSA, CIA, FBI, MI5, Fed, NATO, EU, UN…. for these will guide and save you from the terrorists, rebels, extremist, religious zealots, economic collapses, riots, famines, chaos and coming world wars that besiege you now!
As we seemingly begin to enact Part One of the Divine Comedy, I hold on to my hat wondering to what circle within the depths of Hell we will be obliged to journey. Yet, if God sees fit, I still look forward to participating in the remaining two Parts of this epic play. According to Dante, and in agreement with Biblical prophesy, these reveal a sublime, if not comic, truth that declares the ultimate deceiver, depraved in his own vain glory,is, in reality, the most self deceived creature that ever existed.
Bring it on. Disparage the timeless and holy principles and preach of Personalities instead. Let the Comedy begin.
Not sure Putin fits your list
Greg,
All I can say is you are the tops when it comes to journalism. Once the true order comes in to being I believe there will be a high spot for you in the new main stream media, a trustworthy CNN with all those clowns thrown out or worse. I speak of the future of course because what we have today is akin to a clown act both in Washington and the media. Clowns. All clowns.
Speaking of buffoons, where’s Joe Biden? I miss that comedy relief. Joe is laying low now a days isn’t he?
Al,
You are very kind. I was doing the same thing I am now at CNN and they did NOT want it. I am very happy here and we are slowly but surely growing. CNN and the rest of the MSM is losing people everyday. Thank you for your kind words and support.
Greg
Insightful, informative interview Greg… Nomi is always a great read / listen.
Thought she might unload on you for the “they’re just men” comment though… obviously the lady is far too classy for anything like that!
as always, greg, great guest and interview.i know you dont appreciate hearing readers call out mannarino, sprott, or sinclair on their predictions, but lets review a few calls before a question id like to suggest
mannarino called for all his listeners to go “all in” when silver hit 34 and QE of 85 billion a month was announced.
this past january when gold was at about 1600 sinclair stated by his birthday in march gold would be at 2500. he then went a step further and told all his readers to sell everything they could and buy gold.
the best was sprott and his partners rule an embry. back in 2010 rule told all that would listen to buy silver mining stocks over an over on king world news. today he says the same thing after most of these have collapsed 70 percent or more.
then we have his partner sprott that sold millions of his silver etf at the 34 dollar right before the big drop to below 20 this past 8 months or so, all the while he was telling all that would listen to buy
today you bring a very good guest by the name of nomi prins that tells us that gold is not a buy for her at this time. this is a woman with completed phd statistics courses from new york university with insider knowledge of bear stearns in london and then goldman saks in new york. both positions in upper management with all the continued connections to people and resources those positions brought to her. i dont pretend to know who is right as just a lowly silver sheeple but to listen to your readers, youd think all her inside connections mean less than listening to silver bullions dealers. she got to witness first hand the manipulation and the strength of that manipulation. who might be better qualified to answer how much longer this control might go on?
shes not a buyer is telling and should be telling to all that thought three years ago silver was going to close above 30 dollars per all at kwn and then same in 2011 and same in 2012. every year the predictions of all the guests at kwn was silver over 30 dollars by year end. we see where it is today and no one wants to believe it could be another year or so?
now to the question as no person like her or andrew macquire or a jim willie is going to answer a silver sheeple. you greg have a chance to pose a question to these people that bix weir tried to answer but was so stupid really in the response that it didnt get any other silver bullion pushers to repeat and was so silly that disney may be calling for a screen play. look it up if you want a good chuckle.
if you have an opening to ask greg, please consider the following. if silver is so manipulated and undervalued why is it that some country like russia or brazil, or some company like google or amazon, or just billionaires in general across the world stage arent buying and hording a commodity that all silver bullion dealers are saying is worth triple or more than what it its today at 22 dollars?
where is the supply coming from to answer the huge buying all these dealers are saying is going on worldwide? its a simple economics for dummies question with all other things like money printing secondary. where are all these silver dealers getting the silver available to keep the silver at these levels and why arent there buyers enough to see that supply is drained if silver is so undervalued? simple. but no one has an answer and no one even asks the question. are you told not to? makes no sense….none.
John,
It is hard to predict and time what has never happened in recorded history. A traders mentality is very dangerous in this environment. Might I remind you, the Fed is printing $1 trillion a year. Gold and silver should be a core holding. We are facing a paradigm change of Biblical proportions.
Greg
greg…..im not a trader.not in over 4 years. same reason anyone recommending trades in this manipulated environment really only has a 50% chance of being right. the point i was trying to get you to ask was until the physical supply of silver isnt available to silver dealers at 20 dollars, there will be no stopping any manipulation. an if you where a rich company sitting on millions of usa dollars why couldnt you invest or warehouse silver if its so scarce? why wouldnt chinese billionaires do the same? how much silver is available is the answer since it cant be printed. all the talk will stop when you call your local silver coin shop an are told there is no silver. i know you understand this question. would rather you say you dont want to go there than turn it into a religious answer 🙂 you are talking down the road. i am talking the roads length, that so many bullion people you know have been talking for years. im not sure why you are avoiding the question, as your answers seemed canned. maybe it is a secretary answering? i didnt think that but im starting to. i know your brain is certainly up to the answer, as you are very well informed. much more so than me, an i get it!! only physical shortage will correct the manipulation. not how much printing, not war, not whos the next fed chairman. when you are in london , asia, or tampa and you call for another so many ounces of eagles and youre told they have none an actually have no silver of any size…….then the game is over. period. end of story…..to quote greg mannarino. why is there silver available at 20 today. why? doesnt make sense
Hi,
It’s not available for spot around here. The premium for silver eagles is $12.50…that’s more 50% over spot. I have never seen the market like this. Very tight supply and big premium.
Galaxy 500,
Good real world info regarding Ag!! Thank you.
Greg
if i may throw a thought or two on silver please:
Please name to me ONE single thing that is now cheaper than what it was in the 80’s.
among every thing you know and every thing you can name there is ONLY SILVER that is now cheaper than what is was in the 80’s, not even gold by the way.
Does that make any sense at all? Definitely not.
Silver scares the hell out of central planners more than gold, they can THROW GOLD ON SILVER to keep the latter suppressed, they can afford dump gold down the drain but not let silver has its value, it is the real temperature gauge that is getting the gold as Tylenol to keep the temp down and say the patient is doing well.
Silver cannot be produced by itself at its current price, it is a by product of iron, copper…..mines.
as long as there is physical gold around thrown down the drain Silver will remain suppressed, but once the gates are open when central planners want them to it will get to its real value. And that seems to be near.
Please forgive me if i speak from Islamic history that has been around at the peak of Islamic empire that stretched from Europe to China….Silver / gold ratio….and Eric Sprott mentioned once a reference to history but he did not say Islamic per se…..is 6/1
This ratio is the cut off limit of wealth that mandates in Islam ZAKAT.
I has been around for 1400 years plus and this ratio set by god in our belief will be back again.
Please forgive me again to talk about Islam in this context, I do respect fully all beliefs but since historically it was a ratio that has been working for so many years i thought of referring to it here.
Mohammad,
I recently reviewed several silver and gold miners financials and as you suggest, both the current price of gold and silver are less than the average cost to mine them. I do not know anyone that works for free or produces something to sell at a loss. If I remember correctly, silver had an average cost of production between $25 and $28.
Silver is a PM that is being consumed at an unprecedented rate while Gold is seldom used in consumables and if so, they have recycling set up to capture it (think ink jet printer cartridges. minute amount of gold while an IPhone has about a 20th of an ounce)
While I am unsure about the 6 to one ratio you speak of due to the changes in technology, I can assure you that the current rate of 60 to 1 is ludicrous.
george,
To be cost efficient in recycling silver it has to be 1200 dollars an ounce.
What ever consumed is gone for good at those silly prices.
https://www.youtube.com/watch?v=EzE0MgOLdqU
John,
If you try to buy silver at the Comex spot, you will find that you can’t. Silver and Gold are insurance for wealth preservation, not a trade. While I check my insurance policies at renewal, not on a daily basis. PM’s should only be bought with money that is not needed short term. Just my two cents.
Greg,
Did you get the gem where she said that the gov’t inflation was for the gov’t and different from our inflation
If Obama had a son, he would look like Aaron Alexis.
I don’t get it…why are all these “professionals” all so set out on the fact that war =/= prosperity? Maybe perhaps they don’t want to gain the reputation of being pro war?
Why has humanity engaged in blood shed since the beginning of our existence? For fun? For game? No, its for GAIN, to acquire something. Sometimes the rewards of war are tangible such as oil, gold, arms. And sometimes the rewards of war are something you can’t touch, such as respect and global prestige/dominance.
Look at her pupils and eyes suddenly shift when Greg mentioned bail ends, as if she knew something, yet decided to retain her true thoughts and say something more “light”.
I’ve read multiple books on interrogation techniques sudden shifts of pupils indicate some type of filtering of true thoughts.
Her pupils also shifted quite a bit when when you brought up the question of “whats going on with the gold price” its obvious whats going on, gold is being suppressed by the powers that be, its that simple. Instead she gave a very dodgy answer.
Greg, great job on your part, i loved the onslaught of questions, but I don’t feel this guest speak from the heart, her thoughts seem to be very filtered.
Greg, trust must be earned these days, so many jumping the bankers ship & writing books, what the heck do we believe any more? C.A. Fitts seems so very creditable but also a insider whos life style has not change! I posted a link to a web site & it gets deleted every time on you tube, why? It he is right then we know why!www.jimstonefreelance.com, he goes into the finance, nuclear & more with damning proof but has his site attacked like yours was but much more! He may be wack case or not, but the gun is still smoking!
Greg, we must be ready for every thing & worse, I am not putting down this person, we have to be ready for all bad & good things that come our way, correct?
Under water but still swimming as most around here!
TY again for a surprise!
Greg,
Nice to see a fresh face and opinion.
So the Stock market is not the right place to be bcos its on “flimsy ground”. Although I would agree with fact that Stocks do not represent reality….it has been the winning strategy for this calendar year. RE/Bonds notwithstanding. Not all stocks mind you.
Why ? The interesting point is where is the smart money going to find refuge in these times where The Fed (all western CB’s) are hell bent on creating enough extra $$$ to fund a few more covert bailouts whilst keeping the government functioning ? Being in cash is senseless and coming from someone like Nomi, who should have the wherewithal of markets, is just plain obsessively risk averse on face value and acutely astute in times like these where “uncertainty” is your best friend. However in saying that, to stay in cash is summarily forecasting better returns as opposed to stocks. Risk for cash includes “Bail In” & “Inflation” = loss of capital + Earning negative real returns. Risks for Stocks are “Corrections” & “Interest rates” = loss of capital ..BUT earnings are closer to positive. The added benefit of stocks is the ownership aspect. Removing any third party from the ownership equation allows for greater protection than cash in a BANK…IMHO.
Nomi contends that being in cash in a BANK, that is part of the financial system that is susceptible to a crash (think OTC derivatives/War)…is not the sharpest decision one would make if one had interest in protecting oneself and ones capital.
I’m not suggesting for one minute to try to pick the bones out of the stock market vs keeping cash in the banking system. Nope. That’s a fools errand. No one who understands what these markets represent could/would be recommending stocks at this point. BUT it is what it is. Refuge is not in the dollar, bonds nor Real Estate. Stocks be what they may in pricing, could very well be the near term place to reside. Nomi’s point about this fiasco (CB’s manipulation of markets)could go on longer than we all accept/believe, should not be shunned or cast aside.
Then there’s the matter of Gold/Silver. Hmmmmmmmmmmmmm!!!!!!
Nomi in this regard merely portrays the view of her ex-GS esteemed colleagues (Bullion Bank working in conjunction with the FED). She conveys the subtle message that perhaps she has inside knowledge of further suppression about to be unleashed. Whatever the case and the view it should be considered that GOLD/SILVER are not investments. Its not a matter of whether she likes it here or not. If what she says is true about the “potential” implosion of markets…..I cannot think of a safer place to be …….run through the logic with me…
– Astronomical debt across all western countries (China is no exception). Those with Debt/GDP in excess of 100% are insolvent.
– Its not just governments….countries are bankrupt.
– Unregulated and unreported OTC legacy derivatives 10 times the “WORLD” GDP causing massive headaches for all central bankers
– Insufficient Capital in the MAJOR world banks
– Leverage in balance sheets of Central Banks, Major Banks, Major Corporates, Clearing Houses near absurd levels
– Lack of Collateral
– Paper claims far exceeding physical
– Stocks/Real Estate/ Bonds priced to perfection. Implying more good times are a sure bet.
For heavens sake…how many more data points need to be printed before everyone wakes up.
Pound for pound…I will take precious metals at any price, for my peace of mind. If you don’t get the fact that CB’s are net buyers…then you are gravely out of touch and gifting your capital to the thieves that want it more than you do.
A battle worth winning is worth fighting for.
Greg – Ms. Hudes and Ms. Prins = twin sisters/siamese twins. Joined at the hip. Birds of a feather. Both “former” bankers. LMAO. Oh, there is ONE difference between them. This lady (Ms. Prins) is about as exciting as eating a bowl of dry corn flakes, no milk, no sugar. Boring.
Collateral fallout of military adverturism is wild card.
Andrew Bacevich, I think is on to something. Though he never reached the punch line, I will help him out. If you define American foreign policy correctly, it tends to confine war efforts along those lines. Nation building and Regime Changes are generally not US vital interests, whereas, self defense, WMD development and possession, open air/sea trade lanes, international terrorism, crimes against humanity (which includes international drug trafficking), and totalitarian expansion, should be.
http://jessescrossroadscafe.blogspot.com/2013/09/andrew-bacevich-new-american-militarism.html
Lets the locals have at it, stand back and only strike hard, when VITAL US interests are in play.
http://totalcontrol.blogtownhall.com/2009/03/14/walking_liberty_is_real_money.thtml
wow, all that eye candy and brains too, along with the gumption to use those brains.
now that is genuinely sexy!
she must be a stone cold nightmare for patriarchal types.
thanks greg for the great interview and the introduction.
kudos ms. prins for maintaining a strong sense human factors while elevating yourself in the world of high finance. a rare knack seldom seen in today’s world.
Inflation may have been capped when it comes to the gold and silver market. But it sure as hell hasn’t been capped when it comes to the cost of food, energy, medical care, building supplies or anything else for that matter. Instead of manipulation of metals downward. How about if the government works at keeping the cost of living down.
Hi Greg,
I’ve been following you for a while now (I can’t remember how I got the initial link!), you’re doing some great stuff and I look forward to each of your updates. This one with Nomi Prins is one of your best. Super stuff.
Best regards,
DavidC
DavidC,
Thank you for your support and comment.
Greg
Greg,
Great guest. But doesn’t she realize how the Jesuit priests will bankrupt the economy?
–Paul
Greg,
For all the atrocities that we have bared witness to in Syria ,we now find that the USA and moreover the President and his administration have double standards.
What would have previously been conceived to be an act of treason (supplying and aiding the enemy/terrorists with weapons) in Syria, has now been found to be permissible under the sanction of the President (allowing the supply of “Chemical weapons related assistance”).
Weak, Pathetic and unworthy of his position.
For all the finger pointing and damning about the “illegitimate” regime in Syria, it may soon become knowledge that the Gas attacks were aided with US supplies. The Russians and China know this as does UK.
Increasingly poor judgement and execution is no way to lead a country. The world is growing impatient with the deceit and fabrication. Faith and confidence will soon depart the elected leader of the USA. Every day brings another nail to tightly secure his redundancy. Nonetheless he may yet have his war. But he will never obtain purity.
Liquid Motion,
If the reports are true, (and I think they are) the President is clearly supplying al-Qaeda weapons in Syria. http://www.infowars.com/obama-the-second-amendment-only-applies-to-al-qaeda/ Outrageous!!!!
Greg
Obama at his finest. Giving weapons to terrorists that are our sworn enemies while trying to disarm law abiding citizens. How long before these weapons are used to kill Americans?
Liquid,
From where I am sitting, I.am not sure Obama is a legitimate gov’t 😉