$1 Quadrillion Global Derivative Market Means Deflation – Rick Ackerman
By Greg Hunter’s USAWatchdog.com
Financial writer and professional trader Rick Ackerman says get ready for extreme deflation, not inflation. In his mind, the deflation scenario is building. Ackerman says, “Yes, it is. When you talk about $22 trillion in federal debt, that is really a drop in the bucket because the bigger piece of it is in the global financial markets, mainly in the derivative instruments. The notional value of that totals a quadrillion dollars, and all of that is what I call ‘unactualized deflation.’ Each transaction in that quadrillion dollar market has a dollar debtor in it. At some point, people are going to be stretched to pay those dollar debts and short term loans or short term paper is not going to settle up the way it usually does, and you will not be able to roll that short term debt. People will be forced to pay and settle up in cash, and I think that is when you will see a short squeeze on the dollar. That will push the dollar’s value up enormously compared to all other currencies.”
When could this extreme deflation start? Ackerman says, “It could start in three hours, overnight, it could start in a month or a year. I think the key piece of it is really the stock market. . . . The psychological support of a bull market is crucial to the illusion that somehow we are going to muddle through it. I think the collapse of the pension system is really just as close when this market collapses, turns down and turns down with a vengeance and keeps going down. . . . I really feel we are in a bear rally right now.”
Ackerman asks some simple questions about what is going on in the economy. Ackerman says, “If everything is so good, why is the middle class in America dying? Everybody is in hock up to their ears. Nobody can afford to put a kid through college without borrowing. The Baby Boomer retirement is going to be problematic. . . . Do you honestly believe millennials living with their parents . . . do you really think they are going to be able to foot the bills for the Baby Boomers’ Medicare and Social Security? . . . .The question I ask is as simple as I can frame it.”
On the Federal Reserve, Ackerman says, “I think they have gone crazy. Powell says no rate hikes in 2019, and then, this guy Harker (Philadelphia Fed) says maybe one rate hike in 2019 and one in 2020. They are nuts. I talked about the $1 quadrillion bubble in derivatives, and a hike is subjecting that to one more turn of the screw every time you hike another 25 basis points. So, that’s crazy talk.”
If the economy gets into trouble, can rate cuts save the day one more time? Ackerman says, “The question now is do we get some sort of stimulus effect if we lower interest rates with stocks already on the moon, and home prices that have recovered more than before the 2007/2008 crash? We are stimulating, and we are in a completely different place. I think there is good reason for skepticism that the little bit of margin to bring rates down to zero can accomplish what it accomplished in the past.”
Ackerman also says there is a place for gold and silver coins in your portfolio, but he thinks cash will be most useful in the next crash where banks are closed and the electronic payment system goes dark.
Join Greg Hunter as he goes One-on-One with financial writer and professional stock trader Rick Ackerman.
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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.
Great interview. Rick has been one of my favorite guests on your show. It’s been a long time since he’s been on. Very smart man.
I agree JAK. Thank you for weighing in here!
Greg
Yes- a breath of fresh air.
The pre Basel III gold smash. Looks like you called it concamdad.
This has the potential to become systemic:
https://www.zerohedge.com/news/2019-03-27/turkey-verge-collapse-overnight-swaps-hit-700-cds-soar
The bond markets are telling us as much:
https://www.zerohedge.com/news/2019-03-27/scary-hours-bond-market-rocked-crazy-panicky-moves
Please do not forget this prophecy:
http://www.888c.com/yDWEconomicV.htm
Prepare accordingly:
https://sumofthyword.com/2016/10/04/the-rapture-of-the-church-is-after-the-tribulation/
I studied end times prophecy in depth and it’s amazing how alive Gods world becomes once you accept Hesus Christ and your lord and savior and follow his commandments.
I have nothing against preparing for a disaster but the main preparation should be a spiritual preparation. Repent from your evils, the sooner the better.
Amen! Yep I agree with you that “the main preparation should be a spiritual preparation” and thus the reason for focusing on the sum of Father’s Word:
https://sumofthyword.com/
How can a deflationist not be more bullish on gold? If deflation is a reduction in money/credit supply and gold is money (as Basel III seems to imply) how can gold not be worth more in a deflationary environment?
Taking inflation at 10% then when Gold was $900 10 yrs ago, to stay with inflation gold should be over $2300 . According to Economist John Adams in Australia, political insiders told him rather than having “bail ins” they will go to lower rates and QE to reduce the debt. This will send our $ through the floor which has already dropped 40% in the last 7yrs. Housing has again picked up in the USA but in this deflationary climate ,that will fall again. My prediction is that this property money will go into the share market and we will see the biggest share market bubble in history grow this year while the real economy crashes. Perhaps people will then realise that share prices are not based on real productivity. Deflation happens because there is not enough money in the real economy for it to function , due to the debt parasite , importing consumerables and lack of productive jobs for people to earn a living. What they won’t admit is that , the real inflation is in property and shares. They have already floated the idea of helicopter money directly into people’s accounts. They did this to a minor degree in 2008 in Aust. If this happens , say good bye to the value of your currency.
Mr Ackerman is contradicting himself; he says he sees deflation coming, but according to him someone will pick up the tab when a mortgage is not repaid. Not true; deflation means currency is destroyed, the loan will not be paid of, which entails a decreasing the currency supply. How he can square this with no positive consequences for gold in this scenario, one of the very few assets with no “IOU” written on it, is beyond me.
Greg and others, sorry for the OT post, but I live in the deepest southern reach of Texas. The radio stations here are broadcasting about the border crisis daily. Radio figures are calling out local, state, and federal politicians to do something. Agents are being pulled from patrolling the border and manning checkpoints just to process the number of families streaming across, LEAVING THE REST OF THE BORDER WIDE OPEN FOR CRIMINAL GANGS AND DRUGS TO CROSS. The Rio Grande Valley District alone is seeing its numbers DOUBLE this year over last. WE ARE BEING INVADED! It IS a National EMERGENCY!
Please all watch doggers, contact the President, your Senators, and your congressman and urge them to CLOSE THE BORDER, BUILD THE WALL, CHANGE THE STUPID CHAIN MIGRATION AND ASYLUM LAWS NOW!
Thank you… Chip
Greg your interviewing skills and production is improving by the week. Well done.
I really can’t begin to imagine the figures of debt that have been mentioned. All I can say is that Greg Mannarino is precise with his forecast that things need to correct to fair value.
Boy; you better be at least be mentally prepared, with that you’ll be ahead of the majority.
Good stuff. Perhaps that’s why….
“Somebody is anxious to get The Apocalypse rolling.”
“Unfortunately, the 1% think that they can sit out Armageddon in some plush bomb shelter. That is not going to happen; it will be their tomb because they did not understand the physics behind plate tectonics.”
https://theageofdesolation.com/NOSTRADAMUS/index.php/2019/03/24/trump-and-the-third-temple/
JC, that’s an interesting Nostradamus site.
How serious is the guy in your opinion?
I am very serious. I use the original printed editions and translate them as is without any additions. I just supply the commentary. Just ask… Thanks for checking out the site!
When molten lava welds shut their underground bunker doors how do they plan on ever getting out??
Let’s hope all the socialist pensioners are ready!
A mountain too big to climb.
So when Trump spends a Trillion dollars we don’t have for the military, etc., etc., (and our budget is now spiraling well over a Trillion dollars per year) … and when the AOC commies start printing money out of thin air to pay for all their social programs … this is all going to be deflationary?? … the Fed (like Rick Acherman) tells us we are now in a deflationary environment (to keep the dollar strong??) … yet they have to manipulate the CPI to make it look like we only have a 2% inflation rate when John Williams says it is well over 10% … if Rick knows the Fed is crazy … why does he tell us what the Fed wants us to believe?? … past experience tells us the government will never allow the banksters to take a hit … they will always bail out the banksters with printed money (for National Security Reasons) … the same way they just declared the missing $21 Trillion to be a National Security Issue … a few students not paying back their college loans or a few consumers not paying their auto loans or credit cards pales in comparison to the Trillions and Trillions and Trillions the Government will print (for National Security Reasons) to keep their Ponzi Scheme in operation!!
This is not to say we won’t be moving into a recession where businesses and individuals will be declaring bankruptcy … https://static.seekingalpha.com/uploads/2019/3/23/saupload_2.png … what I’m saying is that whatever “deflation” these bankruptcies cause … all of it will be papered over with printed money “out of thin air”!!!
Modern Monetary Theory is not going to make the US dollar stronger!! … what we should be preparing for is massive inflation to come … https://www.zerohedge.com/news/2019-03-27/doug-casey-why-modern-monetary-theory-will-destroy-money
It shouldn’t surprise you Paul.
After all those that control the Money Making Machinery are attached to it with every limb.
There is no morality, integrity or justice in any part of the Monetary system that works solely for the Banksters. We should not expect anything different because that is exactly what they purposely and so diligently constructed.
What also shouldn’t surprise is that they have enacted Bail-In legislation for the exact purpose of LAWFULLY STEALING everyone’s money/savings when the time comes.
Booms and Busts we are told …..are part of the Economic Cycle. What is not divulged is that cycles are designed for Banks to take advantage of and PROFIT from. Previously (under Glass Steagall Act) they were restrained. Post repeal it has been a case of freedom to act without restraint…..whilst having the FED backstop the Banking fraternity. Gamble and Win….its a WIN, Gamble and Lose….its a WIN.
Monetary Policy (Bankers) is a tool to tweak their Profit making capacity. Enriching themselves under the guise of maintaining full employment, stability in prices and moderating LT interest rates….all of which the Industrialists use to their advantage.
Understand this concept and everything else falls into place like a giant jigsaw puzzle.
The current dilemma is slowing demand for credit and unrepayable debt combined with sub-par interest rates. Before any Bank failures they will recapitalise (via depositors accounts). If there then exists an imminent Bankruptcy, only then will the FED step in. FDIC is a con in the order of magnitude of Bernie Madoff.
Right K … and you know how they are going to fix Social Security … they will look at all your assets (house, bank account, stocks, car, etc.) and if your net worth is over $250,000 they will tell you you don’t qualify for SS benefits!! … but first they must get rid of cash (that you can hide from them like gold and silver)!!
Truth on CNBC
https://youtu.be/h37hMronhas
yeah, this guy has been calling for deflation for 10 years , he ALWATS predicts lower gold prices , he does not understand that gold does better in debt deflation than inflation, just more blabber , nobody knows the play ex the banksters
Like Harry Dent, these extreme deflationists don’t seem to factor in central bank intervention.
Lots of uncommon sense in your statement!!
Greg,
I think it’s becoming more clear by the day that the central banks and the deep state will not relinquish their control of our banking system without some type of major event.
https://www.whitehouse.gov/presidential-actions/executive-order-coordinating-national-resilience-electromagnetic-pulses/
I have been tracking preparations by our government for such an event for months. Namely positioning of portable repeater towers, and communication structures, drills by the Northern Command, emergency broadcast cell phone linking, and a warning by homeland security in the fall. If this threat should become reality, the global banking collapse will become an afterthought as millions are thrown into the aftermath and darkness of an EMP attack. For all intents and purposes, life as we know it, would change in the blink of an eye. Make no mistake. The psychopaths that are capable of taking down the twin towers would not hesitate to use such power to preserve their power structure.
Northern command press release last fall.
https://www.northcom.mil/Newsroom/Article/1716518/dcrf-action-officers-train-for-joint-operations-center-success/
Notice the ring on the map? Thats simulating an EMP attack over zone three. Washington D.C. According to my sources our military has been repositioning it’s command center to the mountains of Colorado. FYI it is well known in my location that a massive underground facility is located just outside of highlandville mo. A few years ago someone smuggled cameras inside the facility and filmed a massive complex complete with a twenty mile underground highway. So yes. It’s been in the planning for quite some time.
Addendum to last post.
https://www.dhs.gov/sites/default/files/publications/Wireless%2BEmergency%2BAlerts%2B%28WEA%29%2BGeneral_0.pdf
When the elite’s come out from their underground bunkers … they will need to take back control from any survivors that somehow survived on the surface (to make them their slaves once again) … the elite definitely don’t want any of these survivors to be armed … so they must take away our guns now and if we resist they will continue to sent shooters into our schools to kill our kids (until we relent and turn in our guns)!!
Now we’re talking Jerry. Mad Max is where we are all headed.
Subconsciously Hollywood has been preparing us for such an event with movies and TV shows that people seem to can’t get enough of like Games of Throne, The Hunger Games, Vikings and alike.
This is our future this is how the Globalists would like us to live as they have absolute control over existence itself.
We can’t even convict a 3rd grade actor of a self inflicted hate crime and we expect to see politician’s indicted.
I’m afraid Hollywood has the script already written.
God the Father personally needs to steps in to end this madness once and for all.
Exactly!
FC
I think you might be right. This is either going to be a controlled reset, or mad max scenario. Meanwhile while congress is bogged down with the Mueller report, the Chinese are making deals.
http://www.xinhuanet.com/english/2019-03/25/c_137920727.htm
FC
While it’s open for debate, who is responsible, evidence is coming out that an EMP weapon was used to take down the grid in Venezuela .
https://youtu.be/mdMpgQnyBkE
I think behind the scenes, President Trump is still trying to get a handle on the deep state. But when I see things like this, and then he post an executive order addressing it, it sends up a red flag that something may be up.
Finally, a president who pays attention to these threats and does things to counteract. I wonder if Newt Gingrich is involved in this. This is something he specializes in.
Perfect interview! Thank you.
I like this man.
Great advice. Definitely will check out his site.
Going to listen to this twice!
“This Is Not Going to End Well” for the U.S.
I have long criticized the excessive use of American economic sanctions. U.S. sanctions basically weaponize the dollar and create incentives for other nations to find an alternative currency for trade. Apparently, my thinking mirrors that of top policymakers in Russia.
“We’ve explained many times to our American colleagues,” said Russia’s foreign minister Sergei Lavrov during a recent press conference, “that in the short term — one, two, three years — they may receive a profit. But in the strategic long term… they are undermining the very international system they are perched on, the U.S. dollar. This is not going to end well for them.”
Here’s how some nations are even going back to the Stone Age to counter U.S. sanctions.
Politics & Power
To Avoid Trump’s Sanctions, Countries Turn to Stone Age Bartering
By Nick Fouriezos and why you should care
The sanctions are forcing American friends and foes alike to bend their trade policies to ancient practices — while also uniting them against Washington.
⇒ Read More Here.
https://www.ozy.com/politics-and-power/to-avoid-trumps-sanctions-countries-turn-to-stone-age-bartering/91467
In a deflationary scenario, where the banks close, cash would multiply in value. However, precious metals remain the currency of royals. The Royal Mint, commissioned by her majesty, produces the most wonderful collections of sterling silver bullion coins.
Thanks Greg. I think it was Egon von Greyerz who talks about a deflationary collapse followed by a hyper-inflationary explosion. It sounds like Rick Ackerman is seeing something very similar coming our way. EvG recommends gold for the hyper-inflation, while Ackerman is saying cash will be king to get you through the deflation. Cash, not a bank account with USD in it that you can’t access while the banks are closed and credit is frozen. I have no idea who is right on how this financial mess will unfold and show itself, so I’m taking a shotgun approach — a little of everything… except stocks.
For those folks with millenials at home… There’s an article from Barron’s that’s a worthwhile read to ponder.
“How Your Kids Can Ruin Your Retirement”
https://www.barrons.com/articles/how-to-protect-your-retirement-from-your-kids-51553285595
I believe Greyerz predicts the opposite: a hyperinflation followed by deflationary collapse, so appears to be at odds with this guest.
I stand corrected… hyperinflation followed by deflation
https://kingworldnews.com/egon-von-greyerz-on-the-cusp-of-the-biggest-financial-and-economic-collapse-in-history/
… “6. Deflation – Contrary to what many people believe, gold has historically performed very well in deflationary periods. In my opinion we will first have hyperinflation as governments try to save the world with money printing. When that fails and asset as well as credit markets implode we will have a severe deflationary implosion.”…
Either way we get a whipsaw.
The difference could determine whether cash is going to be valuable or toilet paper though.
Uncommon sense,
I don’t think so, Greyerz is too smart to screw up the sequence.
Russ,
Both of them are correct. Severe deflation is the prelude of hyperinflation. Cash will be king in deflation and then gold will carry you thru the inflation to the next fiat system. It has always been like that; wash, rinse and repeat.
Tin foil hat.
Precisely! In 1929 a loaf of bread went to $20. Following the crash. Three years later my mother’s aunt ( who had her money parked in a Chinese bank) bought Coca Cola stock for pennies on the dollar. There is a whip saw effect as the markets try to reset themselves and find a base.
Uncommon sense,
Ordinary inflation (lower rates or easy credits) precedes ordinary deflation (higher rates or dry up liquidity). QE is not ordinary easing of credits just as NIRP is not normal economic policy, QT is the opposite of QE which is equally extreme in an unordinary environment.
Great Depression happened under the Gold Standard. FDR tried to inflate out of that hole by increasing the money supply via gold confiscation inorder to facilitate raising the gold price from $20 to $35 an ounce. However, 75% increase in money supply wasn’t enough and it took a war, instead of hyperinflation, to get us out of the hole.
In short, the aftermath of WW I led to the depression (war debts) which hardly anybody knows about. That led to the Roaring 20s (easing of debts or inflation) which preceded the Great Depression – gold standard was stripped from the domestic dollar via confiscation. The natural cycle (depression) following WW II was averted via The Marshall Plan which was financed by easing or funny bonds – https://www.nationalreview.com/2009/06/curious-case-1345-billion-briefcase-deroy-murdock/
The deflation which ensued The Marshall Plan bubble (the tightening effect was nulled by manipulation of the price of gold via the London Gold Pool) manifested in the eventual closing of the Gold Window 20 years later in 1971.
I assume you know what happened in the 70s. Reagan, who I adore, is the beggining of the current mess (assets inflation) which we are facing now. The next phase should be depression which we all know has been suppressed with modern monetary magic.
But if the hyperinflation precedes the deflation you will get screwed holding cash.
Rick says that everyone is in hock up to their ears. Housing prices are in a bubble. Millennial’s won’t be able to shoulder the debt for the baby boomers. Cash will be more important than PMs, in the beginning of a serious downturn. From what I have read, about half the country cannot afford to cover an unexpected expense of 500 dollars. So when things go south financially in a big way, it is always the common man that will be out on the street, after his home is foreclosed on. I always wonder about why no one talks about the culpability of the bankers? It is always the poor who get crushed. In my mind something is missing here. We are supposed to believe that the criminal bankers will be free to foreclose on private homes after raping and pillaging the middle class. To me, this seems like a perfect recipe for revolution. I know it has always worked out in the past where the bankers foreclose and the homeless population grows. But if the bankers foreclose on a grand enough scale, then I would hope that everyone will fight their eviction notice with lethal force. Which would be revolutionary.
Overall, I enjoyed this interview very much. Thanks to both Greg and Rick. Education is never cheap. USAW is one of the best deals around.
I can still afford to pay attention.
Me too…iwitness02.
I am reminded of the revolutionary war with the British. But different.
The colonies had to fight for their freedom when their voices were not heard by a greedy King. Now the British have to fight for their freedom from a European Union/ central banking system that doesn’t hear their voices. Given enough time, what goes around, comes around. The question now becomes, who will help who? And who will help us break free of our central banking system? So far, it looks like President Trump is our man to get us free. The Insanity of a debt based economy has to end if the common man is ever going to enjoy prosperity.
You speak of a man who doesn’t know what DEBT is …or how to use it….or how important it is to get to the pinnacle of WEALTH. Cast your eyes elsewhere.
K. Wayne,
There isn’t anyone else on my radar. Do you have anyone in mind?
If you are referring to the Spiritual side of the equation, then yes I know where to cast my eyes. If purely political, I see no one, other than Trump. I love to learn, so I am always willing to listen.
“what goes around comes around”. Let’s hope that doesn’t apply to America!
I wasn’t thinking about the deep state when I wrote what comes around goes around. Factor in the deep state and I’m with you, hope it dosen’t apply to America. I have this wild fantasy that President Trump is trying to take America down a new and more honest and just path. All will be revealed in due time, but I wish things would move along more quickly.
oops got it backwards. But you know what I mean.
In Chicago after the 2008 crises there were tons of fore-closers. Sheriff Tom Dart of Cook county stopped enforcing them and kicking people out of their homes because he said it was using up too much of his force to do his normal duties and worst off… the people being kicked out of their homes had paper work that was not in line with his paper work in the process of trying to save their homes. So he just stopped.
On a mass USA wide take possession of for-closers I wonder and have to weigh … do they really have the man power? With the man power not be worried about their own families?
Think of this … in Chicago people were so upset about losing their homes they were tearing apart their homes and stealing the furnace, toilets, copper and anything else of any value in anger and desperation before being forced to leave…. and bank’s were paying 3000 to keep the place nice before they leave if they played nice rather than tear it apart. aka… cash for keys…. which I actually befitted from when trying to work out something with my bank
I don’t know … just stuff to think about though.
Paul Anthony,
Thank you for bringing that up. I remember reading about it now. A quick review of some forgotten history. You are right, there would be some serious man power issues. I get angry sometimes about the bankers being protected and viewed as all powerful and all wise. I know how untrue that is. Appreciate the perspective that you suggest.
” In my mind something is missing here. We are supposed to believe that the criminal bankers will be free to foreclose on private homes after raping and pillaging the middle class. ”
What is missing is that is why the lunatic liberal left want to do away with the 2nd amendment & take our ability to defend ourselves against the corrupt racist bankers. If they take away the guns it makes doing what you say easy. Just look hard at who wants to take our guns away & you have your answer.
Da Yooper,
Totally agree!
and the impoverished masses are one reason why food/crops will not be a great investment beyond personal consumption.
Sadly, a lot of children and even teens, don’t realize that food comes from outside. From plants and animals. They have only seen food in the grocery store and at home or restaurants. There is a real disconnect. Speaking of the which,
FRNs are mis-labeled. They should be labeled FYNs. That would be impolite to translate. Talking about the USD.
iwitness, if everyone tried to live within their means, they would not be in trouble. Many of us have not so fancy houses, cars, etc, but have everything paid for and cash in hand, a little.
All the focus on Fed policy misses the point made that the Fed is a small player in the sea of debt drowning the globe. When the Fed moves money in a shell game, the policy creates an illusion that they are in control. The global central bank system is trapped in an out of control death spiral and a dramatic financial reset is the only possible result. We are fortunate to have a patriot like Trump there to manage the financial reset and put the blame on the cabal of criminals where it deserves to be.
Mike, you are so correct.
Greg:
On Mises.org, an Austrian Economics site, today there is an article by Frank Shostak called “Central Banks Shouldn’t Fight Deflation” https://mises.org/wire/central-banks-shouldnt-fight-deflation
I believe you should feature some Austrians on you site.
Sean,
Appararently, Shostakovich doesn’t understand Central Banks are running a Ponzi scheme. Deflation will kill the Ponzi, it’s do (inflate) or die.
I should write an article “Central Banks Should Commit Suicide to Save the World”.
GREG: I have a question.
The pension funds in New York, Illinois, California and others are deeply in debt. So how are they allowed to turn on the check printer every month, and pay the retirees. Are they not just going further in debt each month?
Bill,
Here’s my take: The pension funds still have sufficient funds to make payments to current retirees. However, they don’t have enough funds (nor do they have sufficient inflows of funding) to keep on paying out all of the amounts they have promised to pay out each month to the present retirees and all those who will become retired. So the pension funds are said to be “underfunded.” After awhile the outflows will exhaust all of the available sources of payments to retirees. That hasn’t yet happened, but it will.
Anyone who is a pensioner is a socialist by default.
To Utter Nonsense,
With your convoluted line of reasoning, anyone writing on a subway or outhouse wall should immediately be imprisoned either as an anarchist or an agent provocateur. SOD
Is the irony of referring to me as ‘Utter nonsense’ then writing a comment that is utter nonsense lost on you? If you wish to disagree then use arguments and not name calling. Please explain what graffiti has to do with my comment on pensions.
Uncommon,
You certainly have the right to entertain whatever opinion you care to have. I was simply pointing out that the assertion you had drawn from your “default logic” to be neither honest or factual. If you wish to play fast and loose with the truth, don’t be surprised when someone calls your grand sweeping generational smear– gibberish.
I suspect the baby boomer generation will live to rue the day that they ever bought into either social security or a pension. Most of their twilight years, will undoubtedly never be as golden, as the con they were sold to convince them to invest 20 plus years of their hard earned money in a thinly disguised, poorly managed ponzi scheme. SOD
P.S. What does my graffiti analogy and your assertion that all pensioners are socialists have in common? They both operate on the Joseph Goebbels maxim, “If you tell a (big) lie long enough, hopefully the masses will eventually believe it to be true”.
My dear SoD, I am sure most of the baby boomers were misled into investing in a ponzi scheme, but should every person that is ripped off be covered be bailed out by succeeding generations? Who will bail the next generation out? No one. Socialism is socialism whether you are aware of it or not.
UC,
Bail out, absolutely not! Let the buyer beware. I hope the high ideals of your generation are such that the rest of us won’t be required to rescue those with huge out-of -this -world college loans. Perhaps the real culprit here, isn’t a specific generation, business or group — it just might have to do with fact our ruling elite are unethical, parasitic and predatory. Best always, SOD
Greg, why did you not correct him when he said we have low unemployment? Over 21% is what John Williams shows. And where did this mindset come from that the people after the baby boomers that lost access to high paying manufacturing jobs while they were in high school pay for their baby boomer retirement? Really?
Steven,
Because he was talking about the “official” numbers. He doesn’t trust the official numbers which is why he said he “was doesn’t trust this market” and he was a “skeptic.”
Greg
Rick Ackerman is one of the best traders in the world, i have followed him for 10 years, however he Trades what he sees not what he thinks.
He knows the markets are rigged, and plays it accordingly.
Armstrong: you will see a dow 30000 before 15000 and a massive short squeeze on the dollar soon.
Great Interview Greg, glad you had Rick on
Thank you Gary. Ackerman is a very smart guy!
Greg
All these people seem to think we don’t have rigged markets. That’s why he uses chart analyses. Follows that he would believe all other government statistics.
Chart Analysis/ TA …..call it what you will…… is totally useless.
In a corrupted financial system where markets are 100% False. there are no signals or patterns to draw conclusions from.
It’s momentum combined with Algos and Quantum Computing. That in essence is what constitutes our markets today.
Not totally useless … remember the charts are painted (manipulated) to show the public certain patterns …and to thus make people move in certain directions … this can be utilized to a certain degree to get on board and ride the wave … but like in surf boarding you must realize the thrill of riding the wave does eventually end and you must search out a new wave that is setting up … sort of like those who got on the Bitcoin wave early rode it for awhile at great profit, then moved on to the next wave (the next coin) … now there are “so many” waves (crypto coins) the magnitude of these waves have been diminished and not worth trying to ride … look the silver chart (where the wave is now rising) it can be used to advantage as it a wave that you only find after a great hurricane … a monstrous wave is now forming (and for a good chart surfer can be ridden a great distance)!! … https://sdbullion.com/silver-price-history
Waves = Energy + Momentum.
Waves do eventually break or crash (order of magnitude).
Waves seemingly come out of nowhere and have no fundamentals….other than an energy force.
Steven Poloncak. “Baby Boomers” paid for a lifetime into Social Security (and their private retirement systems). The Feds designed the game and established the rules, we played their game by their rules and now we want our investment back. How you ever considered what the SS system collected from 75 million baby boomers over a 45 year working history, plus interest? But, it’s almost all been stolen by the government. Now, their ponzi scheme is to steal from the younger generations while telling the younger generations it’s the baby boomers stealing it. Really?
Good points to bring up. I have been paying into SS since 1966. I don’t feel guilty for collecting a return on my investment. Although I see the return on my investment as advanced training in poverty. But I am set up for poverty. I could see it coming, so rather than fight it, I embraced it. I have learned a lot. Changed our entire life style. Oddly, we have never been more happy. We are poor, but we have more freedom than any other time in life, except for childhood. We now produce more, and buy less. This is very satisfying. But I can appreciate that this would not be everyone’s ideal. It is advanced training. We are living in the 1940s, in 2019.
The point is retirees should draw a pension in line with the assets backing their pension. The situation we currently have is that new pension contributions from those working is being used to pay pensions of current retirees instead of going into their own pension pot. So yes, it is theft (or socialism). Baby boomers have paid taxes over their working life, but have reaped the benefits of a massive debt/money bubble and exploited our natural resources with much avarice. So the young person, in addition to paying for the baby boomers’ pensions and higher education has to contend with this impoverished environment.
Derived From the Underlying.
Derivatives.
What distinguishes CLO’s (collateralized loan obligations) from their CDO cousins (collateralized debt obligations) is that instead of repackaging mortgages, subprime or otherwise, CLO’s now repackage corporate loans, and consumer debt, such as car loans.
The non-financial corporate debt of $6.2 trillion, is now approaching 50% of the US GDP, which is a record high. Taken along with private and public debt, the world has never been here before. The global monetary authorities have had over 10 years of experimentation with the financial system. All in an effort to basically, attempt to cure a debt problem by issuing more debt.
There are those who have taken solace and hide behind, the so-called “Modern Monetary Theory” (MMT) which is nothing more than an insult, to one’s intelligence and an affront to common sense. As financial realists and those who prefer honest money, describe it as the ‘Magic Money Tree’!
The world has never been here before. Look for something unprecedented to occur, that will solve the present global financial conundrum. What that will be and when it will happen has yet to be revealed. ALL predictions of what “Might” be coming, are to be taken with a large grain of salt!
Water source that is clean, several citrus trees, Foods that keep (Not Wise Company) but Mountain house Saratoga etc. Heirloom seed stored at 50 f
Smaller denomination bills, guns, ammo, a king James bible, gold and silver. Lastly but very very IMPORTANT, A HANDFUL OF USEFUL SKILLS.
R. Patrick, I am totally with you. I have all the above except a Hebrew old testament and Greek new testament instead of king james.
Your friendly, honest Network providing sound investment advice.
https://money.cnn.com/data/premarket/
This link sorry;
https://edition.cnn.com/2019/03/27/investing/markets-now-financial-stocks/index.html
If Illinois if pension go bad would not the federal pension benefit guarantee corporation pay out the pension at 50% of what the state workers that retired are getting now? Maybe they would get less? If I were Illinois I would be the first in line!
Excellent interview, Greg. Very professional! Thank you!
Thanks George!
Greg
https://www.abc.net.au/news/2019-03-28/why-workers-are-getting-the-smallest-pay-rises-since-wwii/10942530
I wonder why.
Question for one and all. Reading his last paragraph, I read cash will be king along with metals. I have a bit of the 3 important metals. If one has worked hard, lived within ones means, saved some income, how does one stack cash? If one has a couple hundred thousand in your retirement funds and bank, conversion to green cash? Stack green cash in volume? Just asking.
GLOOM & DOOM II
Its been said many times since 2009 that “this is the most unloved bull market in history”. Yes and with each new prediction of a market crash or collapse this mime keeps going-on. I say: Nobody knows what the market will do tomorrow, next month, next year or in five more years. These are all just various personal opinions, not real forecasts which give us some pause perhaps. Personally, I do not believe we are in a true Bull Market but what do I actually know? Really very little about the future. Ditto with everyone else.
I don’t know – what does the oracle Martin Armstrong think?
FWIW
I wonder how useful a shoebox full of notes would be in a World where the Banks have shut their doors and access to your savings is removed.
In my mind Good Order and Civility are quickly replaced with Riots, Grand Scale Larceny and Assaults. Potentially then we are exposed to the imposition of Martial Law.
All things being equal it won’t be “business as usual”. In fact it would resemble something quite the opposite. Keep in mind that with cash and credit frozen, supplies will dissipate with great speed(and WONT BE REPLENISHED). With that comes the zombified masses looking to take whatever they can….no payment necessary….other than the threat of a piece of lead entering your body without solicitation.
I believe we ae being fed a false hope. No shoeboxes of coins or notes will be the magic wand here.
The essence of what Jim Rickards has said ….if you are paying attention and read between the lines (Road to Ruin / Aftermath)….is that we won’t have a functioning society.
The premise of PM’s being a store of value should be seen for what it is… A STORE OF VALUE. At some future date it may be converted into something tangible ….but I suspect that it will not serve it’s immediate purpose of being used for trading as money/currency.
I plead to everyone to keep an open mind about this. Your life and that of your beloved may very well depend on it.
Greg,
Thanks for bringing Ackerman on….I always felt he was spot on….not that I am so knowledgeable but I read that book and it rings so true. I really think he gets it!
I like Rick and the info in this video. Great Interview! Thanks Greg!
Paul Anthony
Farming land is perfect if you have the weaponry and forces to hold it against attacking pillaging forces
Apple appears to be part of the extremist political party that has infiltrated left wing parties and their information espionage is for their use against political rivals and individuals
Not for handing over to non affiliated political apparatuses
greg no disrespect to mr ackerman but i have been reading hs stuff for years.l his philosophy has been deflationist for well over a decade if not more. meanwhile my food bill is up my taxes are up my fuel is up feed for my cows and horses is up. shrinkflation in the size of packaging is rampant and he says that the doubling of college tuition will double but that is not inflation. he can have his box of 5,s 10, and 20,s i am buying gold and silver and if the shtf. i guarantee it will preserve my wealth
RF.J.
You point is well made and well taken!
Greg
I love your political cartoons, I use them every now and then especially on Facebook pages where your not able to upload images unless it’s done using a URL.
Deflation is a reduction in the supply of money & credit.
Inflation is an increase in the supply of money & credit.
Perhaps a better way to phrase the issue is:
The ‘Effects Of’ — Inflation or Deflation.
A nation can easily have deflating asset prices (housing, durable goods, transportation, etc.), while experiencing skyrocketing costs in ~necessities~ like food, fuel, insurance, etc.
One key point that cannot be debated however (and is rarely spoken of in the financial press or alt.media), is ~Purchasing Power~ (or the decline thereof). And there can be no denial that the purchasing power of the dollar – all throughout it’s ups & downs over just the past 10 years even, from .72 to 105 on the DX, has been in a steady downward decline. In the end, it is the purchasing power of the home currency in your wallet or bank account that calls the tune for the things you ~need~, not the over inflated or deflating assets you don’t.
The Fed can simply not allow asset prices (and the key programs tied to the value of said assets), to ‘deflate’ much past a certain point, else your in the realm of societal upheaval. Assets will remain inflated and everyone will be paid, in an amount of dollars commensurate with their profligacy. It is only a matter of when the rejection comes – or the foreign policy/trade blunder that triggers that rejection, that these turds which don’t pay anything on earned income (read: a fair rate of $return), come floating back to our shore.
Be interesting to get Dave Landry’s take on the unwinding of the derivatives market…..seems to me its in the reset plan he’s spoken of so often.. As far as the member banks, their solvency will be backed by massive dollar printing…..trillions……keeping them whole through the process. Thats what I heard Catherine Austin Fitts saying when asked about the US$. Forget about the demise of the $US. HOWEVER, during her most recent interview, regarding FASAB56, I heard her say the criminal accounting will take its toll. Ran it by a friend of mine, author of an investment news letter and professor at a local college……when I shared the FASAB56 info, he said that is the end of the US Treasury.
You know … I bet there are people in upper management at Bayer who are counting ungodly profits “by first massively shorting their stock” … and then making a management decision to buy Monsanto? … https://www.google.com/search?q=10+year+Bayer+stock+chart&ie=utf-8&oe=utf-8 … now could this “profit model” be used by other Corporate insiders? … like say for instance … Boeing management selling their shares short (and then putting software in their planes that crash them) … or perhaps like the management at electric power companies … selling their shares short … and then putting meters on peoples homes that catch them on fire???
So we now have Modern Monetary Theory (MMT) “for upper level government politicians” … and Modern Corporate Annihilation Theory (MCAT) “for upper level corporate insiders” … and for the common people … a Strong “Zimbabwe” Dollar (SZD) … where a Trillion of them will by us a one quart container of milk!!
What Role Did Michelle Obama’s Former Chief of Staff Play in Jussie Smollett’s Case?
Two political heavy hitters in Chicago are pitted against each other
By Andrew O’Reilly | March 27, 2019
https://www.lifezette.com/2019/03/what-role-did-michelle-obamas-former-chief-of-staff-play-in-jussie-smolletts-case/
Colluding With the Soviet’s?
Jussie Smollett learned how to lie from his communist mother
By M. Catharine Evans Read more: https://www.americanthinker.com/blog/2019/03/jussie_smollett_learned_how_to_lie_from_his_communist_mother.html#ixzz5jRiES7kB
Follow us: @AmericanThinker on Twitter | AmericanThinker on Facebook
TheSpecial Relationship Isn’t Just The UK &US!
https://heavy.com/news/2019/03/jussie-smollett-michelle-obama-barack/
Time To Investigate The Washington Post’s Qatari Collusion?
Daniel Greenfield 1 min ago
The Washington Post is a paper that is uniquely willing to not only advocate on behalf of Islamists and their causes, as it frequently does, but to provide a forum for some of the most toxic Islamists around. And those Islamists are invariably aligned with the Qatari-Turkish-Iranian axis and the Brotherhood.s
https://freedomoutpost.com/time-to-investigate-the-washington-posts-qatari-collusion/
CRIMINAL: Obama Admin Pressured Ukraine Not to Investigate “Mega-Donor” George Soros
Pamela Geller 1 min ago
The Hill: U.S. Embassy Pressured Ukraine Not To Investigate Liberal “Mega-Donor”
https://freedomoutpost.com/criminal-obama-admin-pressured-ukraine-not-to-investigate-mega-donor-george-soros/
Bombshell Lawsuit: FBI Knowingly Hid Evidence from Congress of Explosives Used on 9/11
Matt Agorist 1 min ago
According to the petition, dozens of exhibits were presented as evidence that explosives were used to destroy all three world trade centers.
https://freedomoutpost.com/bombshell-lawsuit-fbi-knowingly-hid-evidence-from-congress-of-explosives-used-on-9-11/
Ummm. So when prices go up and wages are stagnant, that is deflation? No. Deflation is when wages are stagnant and prices fall. Deflation = more purchasing power. Inflation= less purchasing power. Maybe this guy misspoke or I am looking at this wrong. Either way, this party is about to end and it’s going to result in hundreds of millions if not billions dead, and I’m not talking about currency.
True deflation is debt destruction. On a small scale think Puerto Rican bond debt of $74 trillion that they stopped paying on. That’s debt is basically destroyed. Now, expand that thinking to the Quadrillion $’s in derivatives which are basically debt bets. This is basically Ackerman’s thinking. He may be on to something here as our global debt is never going to b e repaid but defaulted on.
Greg
To improve the economy, we need massive tax cuts for the lower and middle class too, not just the affluent. We need to abolish the sales tax and income tax and other bogus taxes like the death and property taxation. The way I see the sales tax is that the sales tax is punishing people for their transactions, the income tax is punishing people for attaining more money, it’s basically punishing people for getting ahead economically. The income tax is nothing less of socialism. True republicans are the party of smaller government and less taxes and I myself hold those values. We need to change our legal infrastructure to make it more cost effective. We need a flat tax, a flat tax is a tax that everyone pays the same sum of money into regardless of the amount of income they earn. A percentage tax is not a flat tax, it’s a rate tax, you pay more if you make more, what we need is a small flat tax that everyone can afford to pay. Whenever we talk about numbers, you will be surprised how much money the government will acquire just by everyone paying 20$ a month of taxes or something similar to that, we pay way more in taxes right now. We must cut social security, social security was created to elevate us out of the great depression, it was a necessary evil, however, now that we are out of the Great Depression, people got comfortable and compromised in it and we never demanded its abolishment. Socialism is about social re-engineering through economic enslavement, you can’t have economic privacy or freedom with socialism. It is rattling important to fight socialism. Capitalism under the jurisprudence is all we need, capitalism above the law is what socialists complain about. I agree that capitalism needs to be regulated to a fair extent, it shouldn’t be left alone unchecked. Laws are required to protect our freedom and liberty and best interests above the interests of a wealthy few, which is exactly what socialism creates, it creates a wealthy few at the top, true socialism is a fantasy, socialism is rigged capitalism, that’s what socialism is.
I like your analysis, SC
By the grace of God, he opens my eyes and feeds me knowledge hidden in plane view.
Thanks for the feedback, I appreciate it.
When people lose their fiat money due to debt the government will have to immediately make money good as gold. Would you accept fiat paper money after crash ?
Doesn t anyone cash out on derivatives? If they did ,I would think the leveraging would cause dominoes to fall
My prediction in alignment with Bible prophecy states that there is coming a one world currency, I believe it’s going to be a cashless society through a virtual currency, economic enslavement is foretold in the Bible.
Live: Trump holds ‘MAGA’ rally in Grand Rapids, Michigan
Watch LIVE at from 7pm ET: Trump heads back to Michigan for his first rally since the Mueller investigation ended.
https://www.youtube.com/watch?v=Y9EgZYGL_Ec
President Trump Rally LIVE in Grand Rapids, MI 3/28/19
Diamond and Silk – The Viewers View
https://www.youtube.com/watch?v=r4n5bjMRXaA
WATCH OUT MUM & POP!
They are busing in protesters from Chicago and Detroit!
AS OF 7:20pm STILL NOT HERE…
RE Chch shooting
This astounding report>
There will tight security and a big police presence at today’s National Remembrance Service at North Hagley Park in Christchurch.
AUSTRALIAN POLICE have been brought in to help with the huge security needed for the service for the victims of the mosque terror attacks.
I am absolutely taken aback. By what means do Australian Police operate in NZ??
more>
snipers and elite police staff from the Australian Federal Police arrived in Christchurch this week and will be amongst those safeguarding the service.
The New Zealand Defence Force is also involved, but its role is unclear.
Further to the letter to the Governor General asking for the Commissioner of Police to be removed for offences although I have established this has been delivered it appears it will be conveniently ignored or side-lined. There are dark forces at work to the highest level. All in all I feel there is now no recourse except for a rebellion against the subversive elements that have clearly infiltrated the country and taken control. Interesting times ahead. All Watchdog readers should take note of the decay of state taking place here and prepare accordingly. Americans are in a better position to defend their country from tyranny than most. Do not give that away.
Let’s see Neil, first they disarm you all and then they take over. Are you getting the picture?
Greg
Believe me I see the big picture even if we have mostly snoozing sheep here. Interesting and also frankly alarming that when I went to consult lawyers in my area none could identify to me the aspect of law that was being applied in regard of deploying Australian Police specialising as snipers, neither could the office of my Member of Parliament, nor the Central Police Station. That is the local Police themselves couldn’t tell me under what law or pretext that has occurring except that it had probably come down from the Commissioner. The constable seemed like a decent fellow and perhaps was somewhat sympathetic to my enquiry and embarrassed. Ask yourselves….
I concur something really foul is going on over there. Good luck.
Proof positive that evil pervades every element of society…even those who are given the right to carry out justice and protect, have fallen under Lucifer’s spell.
I have no issue with Immigration. However those in Power have created a tool and used it against the citizenry, for their own nefarious plans.
Neil, the most alarming issue there as you stated, was the presence of Non-NZ Police Forces. This in my mind sets a clear example of what may transpire in other Western countries and especially here in America. They will go to extraordinary lengths to quell any public dissention whilst giving the (false) reassurance that they have control. The Trap has been set in motion.
AND…..That is why we are not giving up our guns.
The NZ Mosque Attack Doesn’t Add Up – Here’s Why
https://www.youtube.com/watch?v=gzdhefR6rTs
Explosive New Revelations Surface About Brennan. The Dan Bongino Show 3/28/2019.
Dan Bongino
https://www.youtube.com/watch?v=RkyWkaYiP5I
90 years old is not common… about 9-10% mostly women. Average lifespan is running about 78-80 with males dying off quickly.
All millennials are not living with their parents and beside, the X gens are hard workers and will mostly be funding their boomer parents pension. Millennials will affect the late boomers.
Government Pensions are a problem. Private pensions are for the most part gone. The PBOC will have to be beefed up.
The HUGE problem is the wars, the military and military associated spending. This is very seldom discussed on any site. This type of wasteful spending has usually been the cause of economic crashes.
Yes deflation first then inflation. That is the way it usually goes. No surprise there.
When the crash occurs the fiat will still work for a period of time,,, 3-6 months? After that barter, then gold, then back to fiat, Most farmers in the depression were wiped out by the banks. The same will happen today. Taxes will be another hit on land ownership,,, at least in the beginning.
Gold will eventually come in but well after the initial collapse.
In a full economic meltdown there is no hiding place except for the very wealthy. Everyone, including the wealthy will suffer. Gold will make it easier as it is be easier to work with than barter. Also the so called Sin items,,, Whiskey, Cigarettes, plus Toilet paper, Fuel, Guns, Ammo, etc.