Next Financial Calamity Unavoidable-John Embry

4By Greg Hunter’s USAWatchdog.com 

John Embry, Senior Investment Strategist at Sprott Asset Management, says there is no doubt another financial calamity is coming.  In fact, Embry says, “It’s unavoidable.  It’s inevitable is the word I would use.  There is no getting out of it.  If you thought 2008 was bad, and I thought it was terrible, this time, there is no ammunition left.  You can’t take interest rates any lower.  All you can do is print even more money.  That really didn’t work the last time.  The safety nets are largely gone if we do run into something untoward, and it could be fairly soon.  I don’t think there is really anything left to stave it off.  I don’t think they will refuel the period from 2015 to 2020 like they did after 2008.  I think it will be much uglier than that.”

One thing that could touch off the next meltdown is the Greek debt crisis.  Embry contends, “I think it is extraordinarily serious because there is no palatable solution.  Why I say there is no palatable solution is, theoretically, if you loan people money, I think it is incumbent on you to make sure they can pay you back.  In this instant, the Europeans put more and more debt on the backs of the Greeks to keep them current.  Now, when it has become obvious that they are utterly insolvent, they just can’t sort of dismiss them easily.  This paper is all through the European system.  I believe there are a lot of credit default swaps written on it too.  If the Greeks walked away from this and essentially default on the paper, I think this is a major story.  The fact that they are trying to down play it probably speaks to the fact that it is a major story.  I think there is a possibility of a Greek exit (from the EU) and if that happens, we are going to be facing an awful lot of financial chaos.”

Embry goes on to explain, “To me, I can see just two avenues at this point.  You can have a hard debt deflation where you clean the debt out of the system like we did in the 1930’s, but look what that cost us–years of depression and a great world war.  The other alternative, and they apparently are going down that path as we speak, is to just keep printing enough money to keep everything afloat.  But if you do that long enough, you are headed for a currency debacle and probably some sort of hyperinflation.  Either scenario, the endgame is not good.  We are buying time right now, but we are not correcting anything.”

So, do the powers that be just gun it and run it until it blows up?  Embry says, “That is without question.  These are smart people, they have made some mistakes, but they are basically smart people.  They recognize that we are beyond the pale, and the economies are extraordinarily weak because of the excessive debt loads. . . . You see more and more warnings from people who are part of the system.  They know full well there is no easy solution; so, consequently, they are starting to tell the public the truth a bit.”

How will gold and silver do in the next meltdown?  Embry contends, “I find stocks severely overvalued, and I find bonds more overvalued, and I would lump urban real estate into that category as well.  So, traditional assets are extremely overvalued.  To me, the two really undervalued assets are gold and silver.  They are significantly undervalued and everybody hates them. . . . Embry goes on to charge, “I would say gold and silver are as cheap as they were when gold was $250 an ounce and silver was $5 per ounce.  They are the cheapest assets on the planet.”

Join Greg Hunter as he goes One-on-One with financial expert John Embry of Sprott Asset Management.

(There is much more in the video interview.)

After the Interview:

Embry writes an original article a month, as do many other senior officers at Sprott.   The articles and analysis are free and can be found on Sprott.com.

 

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Comments
  1. Felicia

    Thank you Greg for all your hard work. I have to say that while all your guests have interesting theories, what will finally end up happening will be quite different. And it all won’t be known or played out for years. Just look at all the players and their intentions concerning Jesus. Satan assumed by killing Jesus that he would usurp God’s redemptive plan. The Sanhedrin thought by killing Jesus that they would be getting rid of a radical imposter. The 12 thought all was lost with the death of Jesus. The Roman politicians thought Jesus was just another thorn in keeping the peace of the various groups conquored by Roman empire so by killing Him, peace would be made with the Jews. Look how the best laid plans worked out for all these groups. How God works out His plans won’t involve September, or currencies or any of what the NWO plans or any of your guests think will happen. We all want to be in control and that isn’t how God works. So just trust in Him and learn to hear His voice.

    • Greg Hunter

      Thank you Felicia. I pray for guidance everyday. “Fear Not.”
      Greg

    • Evan J

      Amen Felicia.

    • Al

      So your one of them who believes in “Gods Master Plan”. I want to ask you two questions ?
      Where were you a 100 years ago ?
      Where will you be in a 100 years from now ?
      Can you handle the truth ?
      You will be in a state of nonexistence.

      • Greg Hunter

        Al,
        Only atheists think this way.
        Greg

        • JMiller

          Not correct Greg. There are those that claim to believe in God that also believe in Annihilationism. Annihilationism is the belief that condemned unbelievers will be annihilated, or destroyed after death, instead of spending an eternity of punishment in hell. They will cease to exist.

          http://christianity.about.com/od/glossary/a/Annihilationism.htm

        • Al

          Greg, I can not say for sure there is or there is not a God, when we are asleep, we are in a state of non-consciousness, if we never awake to consciousness ,we would never know.

          • Greg Hunter

            Right Al, you keep thinking that way.
            Greg

          • sk

            I dunno, Al. Seems to me also that the only really intellectually honest way is that of the agnostic. We…just…don’t…know….but all you certain believers out there, have a lovely day……whatever works for you…..

      • paul

        Al … we are all part of God … as we come from his consciousness … this consciousness is everlasting and independent of time, space and our physical material form (presently about 100 years in length) … we have a consciousness that is immortal and this “soul” exists irrespective of time, space and matter because it is a part of God with us … you are missing the forest for the trees!

        • paul

          Al … was there “nonexistence” before the Big Bang … if so how is it you are here on this site expressing your opinion?

          Consciousness existed before the Big Bang and will continue to exist even after our universe (time , space and matter) ceases to exist.

          The consciousness within you right now is part of God’s consciousness that existed before the Big Bang (when there was nothing “physical”) … it’s your “soul” Al … and that “soul” is a part of God and is immortal!

          • Gunther Medgers

            King James Bible “The One True Bible”
            Behold, all souls are mine; as the soul of the father, so also the soul of the son is mine: the soul that sinneth, it shall die. Ezekiel 18: 4

            • Charles H.

              Correct. Nothing to add.

        • Robert

          To Paul, your comment referring to our consciousness is a most excellent thought relative to our reality and understanding.

      • Don

        Dear Al, May I answer for Felicia. You ask if she could handle the truth, but I wonder if you can. God chose Felicia before she was born, and called her to fulfill his purpose. In Eph. chap. 1 verse 4, it says, just as He chose us in Him, before the foundation of the world. So sometime in time past, before Felicia was born, and from the foundation of the world, God new and chose Felicia to be in his child. And verse 2, says In love he predestined her to adoption as his child by Jesus Christ. And as to her existence in a 100 years, and God’s purpose for her life he says in Rom. 8:28 through 34 It says (And we know that all things work together for good to them who know God, and are called according to his purpose. For whom he foreknew He also predestinated to be conformed to the image of his Son, that He might be the first born among many brethren. Moreover whom he predestined, these He also called, whom He called, these he also justified, and whom he justified, these he also glorified. What then shall we say to these things? If God be for us, who can be against us. He who did not spare his own son, but delivered him up for us all, how shall he not, with him, freely gives us all things. Who shall bring a charge against God’s elect? It is God who justifies. Who is he who condemns? It is Christ, who died and furthermore is also risen, who is even at the right hand of God, who also makes intercession for us. So Al this gives you a biblical answer as to her destiny. Here’s something maybe you should consider. In Rom. 9:22-23 says, What if God, wanting to show his wrath and to make his power known, endured with much long suffering the vessels of wrath prepared for destruction, and that he might make known the riches of His glory on the vessels of mercy, which He had prepared beforehand for glory. ) So in God’s mind, were either a vessel of mercy, to reveal his glory, or a vessel of wrath. As John the Baptist cried out, he that believeth is not condemned, but he that believeth not is condemned already, because he hasn’t believed in the name of the ONLY BEGOTTEN SON OF GOD.

      • Hilde

        Al,
        The body dies, but not the soul.
        Only in the last appr 140 years has the idea been introduced that man is a product of chemistry and genes.
        “While Man is capable of great evil, there is an inherent decency in all of us that makes us want happiness for ourselves, those we hold dear, and even those we hardly know.
        The good is there to be cultivated.
        It cannot be nurtured in a world where psychiatric doctrine and thought permeate our culture with the philosophy that we are mere animals who have no hope of finding happiness outside of a medicine cabinet.”
        (The “Science” without a soul.)
        http://www.google.no/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&ved=0CB4QFjAA&url=http%3A%2F%2Fwww.cchr.no%2Fsites%2Fdefault%2Ffiles%2FThe_Science_Without_A_Soul.pdf&ei=B_KBVbn2OMWasAHqi6SwCQ&usg=AFQjCNGtIJ9W-sZLWnkYNL9Gs2Ri6TyFaA&sig2=WW3BPL