Weekly News Wrap-Up 10.11.13
By Greg Hunter’s USAWatchdog.com
Deal or no deal. The battle to reopen the government and raise the debt ceiling is progressing. At least the two sides are talking, but I still feel like we are being forced to watch a sadistic game show where everybody ends up losing. In the end, I think everybody will lose because it is not the so-called debt ceiling that is the real problem, it is the enormous debt. $17 trillion and growing, and that doesn’t include the more than $5 trillion in additional commitments we take on every year. Do I think the government is dysfunctional? NO. It is working exactly the way it should. The reason why we have separate bodies of government is that it provides checks and balances. Are both parties to blame for the mess we are in with this enormous debt problem? Yes. Let’s not forget–the debt is the real problem. The U.S. is coming up short $1 trillion a year! That simply cannot go on forever.
Somebody that is going to have to face that problem is Janet Yellen, who was just nominated to take over at the Federal Reserve when Ben Bernanke leaves office. The media has sung her praises, but Ms. Yellen, I do not think, is going to be some sort of savior. In fact, it will be just the opposite. A few years ago, when asked about the gigantic 2008 financial meltdown, Yellen said, “I didn’t see any of that coming until it happened.” Yellen didn’t see anything wrong with the system before it almost totally collapsed? I don’t get it. Peter Schiff will be on Monday. He predicted months ago that she would get the nod when Larry Summers was the odds on favorite to get the job. Schiff will talk about what Janet Yellen faces.
Here’s one big problem. China just arranged a currency swap with the European Union. That means the two biggest markets outside of America will not be settling trade with U.S. dollars. If you think this will not affect you, think again. This means all those dollars will not be needed anymore, and those dollars will be sent back home. When you have a lot of something, the price goes down. I am talking about inflation boomeranging back home to the U.S. One other thing, China imported more than 846 tons of gold in the first 8 months of this year. You must ask yourself, why are they doing that? You think China might want to have a world reserve currency and back it with gold? Many say yes.
One final note, even though you haven’t heard much about it, the Syrian civil war is raging on. There have been 100,000 killed since the conflict started 2 years ago. And in Libya, the Prime Minister was kidnapped for a short while by Al-Qaeda linked militants and later rescued. Nothing is settled in that part of the world; and, in fact, it is getting worse.
Join Greg Hunter as he gives his analysis on these stories and more in the Weekly News Wrap-Up.
With amount of debt we have do they have a choice?
As Mr Celente likes to say: “Currency wars, trade wars, world wars. When all else fails they take you to war”. The US will not go quietly if other nations are looking to dethrone the $USD. Many feel that’s what the threats of war against Syria were all about.
What say you Greg/Rodster ..about the threat of war and the de-throning of the USD (Syria)?
They are pulling his teeth now (dismantling chemical weapons).
Greg thank you for all your hard work. The reports this week were absolutely superb. PCR was zeroed in ( get it ? I had to many zeros in 1 Trillion on my last post) about what the real problem is. Shortage of revenue and over spending. At the end of math equation that is what we are going to get “A ZERO”. A great big “FAT” one. Our nation brought this on itself, because of the socialist policies that we have adopted. Obama is the right choice to rule over a crumbling welfare state. Because that is what we are now. Whether by plan or accident, it makes no difference now, because winter is coming on, and we will be looking for a warm place to stay. Greg you will always have a place at my fire. Thanks for having the courage to report the cold harsh truth. Stay safe my friend. This cartoon kind of typifies where we are now. Enjoy.
I dont agree with BHO being the right choice to preside over the welfare state.
An interesting statistic about Obama will shock a lot of people.
There have been more accounts of Gun violence and Deaths through attacks on home soil during his reign as President than any other President. False flags.. gun control….2nd Amendment go figure !!
I havent even mentioned the numbers of whistleblowers that have exposed the internal mechanics of the Government whilst under his presidency.
He has single handidly increased the nations debt levels by 70% during his presidency.
His legacy to the nation is Obamacare.
He has created a nation that penalises citizens more than the criminals who have commtitted the biggest frauds in history.
He refuses to abolish the FED because he believes it functions to support the masses. He wants to overrule Congress. He supports Martial Law (Boston). He supports Big Brother Style control of the masses. He supports Wars. He is Long “Rhetoric” and Short “Truth”.
Just my few cents worth…….
The story that really shocked me was the one about the “New Constitution”. There seem to be no limits to the destruction of the foundation of our country by the dictator-in-chief. I am wondering if it is really too late-its not politics, its what has happened to politics due to the likes of Goldman Sachs, George Soros and the banksters. The goal now is a huge reduction in the population who won’t see it coming when the lions are let out of the cages and the doorways are barred.
Just a correction,the over draft is 6-700 billion a year last i heard which is still a lot.Great reporting as usual and thanks
It depends on how you account for long term liabilities. There are several correct ways to do so in “real” world GAAP accounting
We are in deep [email protected]#@ and the sooner everyone understands this the better. I truly believe that if things are allowed to just roll along as they are we will all pay a very very heavy price.
Greg – It would be great if you asked Peter Schiff this question on Monday: “What would happen if the federal government had an epiphany and decided to eliminate all debt? That is to eliminate the (publicly stated) public debt of $17 Trillion?”
Now, the reason I want an answer to this question is simple, I believe that there would an economic calamity. Why? Because there would be no money. At least not in the way we define money these days. Money in the US is debt based. So, logically speaking, if you eliminate the debt you eliminate money. Every dollar in your pocket would go away.
This is the conundrum that faces the US, indeed every country that has a fiat / debt based monetary system. And it’s why the US government is painted into a corner that there is no way out of. By virtue of the fact that in 1913 a fractional reserve banking system was created with the Federal Reserve Act the US began a process which will ultimately prove fatal. When Nixon did away with the last vestige of dollar legitimacy by eliminating the convertibility of the dollar into gold that was the beginning of the end.
Everyone can sit and stew about the debt ceiling and government shutdown and the implementation of the ACA but none of it matters. Because the damage was done in 1913 and 1971. America has been on life support ever since. It’s not if but when the patient stops breathing.
EXCELLENT POINTS David!
In “War Games” the tic-tac-toe exercise highlights the principle that sometimes the only way to win is not to play. So many people are opting out of the banking system by removing cash from the banking system entirely, it is crippling their ability to leverage up – a Billion times nothing is still nothing, and without deposits to leverage the entire banking system; cash and derivatives, it’s facing default.
The fastest way to create debt for the banks to leverage is to engage in a war.
As always a basic tenet of the law is: “fraud vitiates the solemn promise to pay”, and “no law can be used to enforce an illegal (fraudulent) contract”. Given these two things; the Federal Government IS guilty of fraud to the extent that by the law it should be prosecuted for “Racketeering” back to 1913.
Neither the Fed nor the IRS is a legitimate Government Agency; both are Private Corporations, and the money is created illegally; in violation of the Constitution.
For the Government to institute an honest monetary system they would all have to admit that the current system is the most massive fraud ever perpetrated on society. I don’t think they will ever admit to that.
The American people can force the banks to that end by removing the banks from every possible financial transaction. Deal with locals, pay in cash. Each credit card/ debit card transaction helps the banks screw merchants. Use cash instead. Every check lets the banks use leverage so pay cash. Buy a zippered mattress or invest in several coffee cans! Remove the money from the system as fast as they can print it and it will bring the debt-monsters to their end.
Don’t play into their hands, don’t play at all.
Great idea until you have problems. I pay with plastic I.can dispute if there is a problem. I also don’t have to go to the bank multiple times so bank tellers and customers know that I carry lots of cash. Credit cards do cost the merchant a few percent but debit cards are almost free. Not sure where you got that from. In fact, it’s cheaper in the long run for the business. Less cash skimming.
That being said, I am not for a cashless society. And I think it is wise to have an emergency fund of 5,000 -10,000 in a hidden place for an emergency.
And while you have your cash in the bank to “use plastic” all your funds are subject to confiscation while enabling the Fed to leverage it times ten.
All my merchants prefer my “Cash” to debit or credit cards and many offer a discount too.
The REAL Bank Robbers run the banks!
I hope you don’t get “caught” by a sudden bank holiday when BoBo the clown decides to don his laurels as a Caesar.
You saw the part I wrote about having cash outside the system, right? It’s impractical to be 100% outside the system at least for my wife and I. It doesn’t mean that we have all our assets encumbered by the bank.
Michael, I happen to agree with your ideas about holding cash at home. After all, Eric Sprott has warned us many times about our money in banks. I only posted to add that anyone thinking about hoarding cash take some time to properly prepare themselves for handling cash, and I don’t just mean the obvious protections from theft, fire, water, insects (maybe you were only joking about the mattress and coffee cans). Anyway, I mean read the provisions of the Bank Secrecy Act of 1970 to learn the ways that you can accidentally get into serious trouble conducting cash transactions at a teller window. Even making a bank teller suspicious of your activity can lead to a report to the feds being generated. Then there is the matter of cops “policing for profit” and civil forfeiture horror stories (try searching with those terms and see). If, for example, you are on your way back from the bank or going to a coin shop with thousands of dollars and circumstances occur involving a cop who decides that something about you or your behavior has given him probable cause to search your car, then you can just write off that money at that moment. A large percentage of cash in circulation (including the cash in the cop’s wallet) will test positive for traces of cocaine. In many of those cases, the people are released but the “guilty” money is kept by the cops. The police department then happily buys stuff with it. It’s legal and done to somebody every day. There’s more, but I think you will get the idea.
You hear about 10k transactions being a red flag. Any combinations of cash in 8 days that equal 10k is a problem along with regular even dollar deposits. Not only are the tellers watching you but you have automated systems doing around the clock surveillance. Add to that the new gov’t agency that will get all of your credit card transactions, it would be hard to buy anything without the gov’t knowing.
$3,500 current transactions at a bank also draw unwanted attention (read that as deposits )
Merchants have to report transactions where they receive 10k or more in currency. That’s not the same as a transaction over 10k.
Michael what you have described is a oligarchy government controlling a republic. It has been going on before 1913. Oligarchy is the oldest, and most widely used form of government.
1971 was a result of LBJ ‘s escalation of Vietnam. He escalated deficit spending triggering a run on our gold reserves. The real value of gold was $40+ per oz and you could get gold for $35/oz at the Fed. Arbitrage was draining Fort Knox. This phenomenon is how Real economics work. Nixon could have cut back spending or allow the continued drain…he choose to stop redemption of dollars in gold.
One thing you didn’t address is the unprecedented poll results which showed the GOP and the Tea Party both at all-time lows in the history of the poll. The public disgust with the Tea Party is clear and Republicans now need to urgently rebuild bridges with the American people. The only way we can address the problems is for saner heads to prevail. The ‘civil war’ within the GOP is bad for the country and I am afraid the party will suffer greatly if it continues on it’s current suicidal trajectory.
One thing about some of the contributors: I note some people like to vent various wild and even shameful conspiracy theories. For example, the “Protocols of the Elders of Zion,” aired yesterday, is a disgraceful antisemitic hoax. Adolf Hitler used the fraudulent text to garner support for his policies that lead to the Holocaust.
Many people are disillusioned or even embittered by what has happened, but venting conspiracies doesn’t help to move the needle of rational debate which is need to solve problems.
I wouldn’t be so sure Greg.
There is a good chance that the Affordable Heath Care Act will be refined and improved in the light of experience. And also a good chance that a number of the key aspects of the Act will be positively received especially by the time of the next election. By the way, our healthcare system failed our country long before ‘Obamacare’ was introduced. Our system has been one of the worst in the Western world for many years. ‘Obamacare’ may prove to be the first big step towards a better, more effective and more efficient healthcare system.
As far as the polls are concerned: Government Shutdown and threats to the Full Faith and Credit will have electoral consequences should the GOP continue with their current strategy. The GOP will need to remove these threats in their conversations, especially given the state of our economy.
Regarding polls: All have suffered at the polls, but some much more than others. The recent NBC/WSJ poll is very revealing and unprecedented:
Less than a quarter of respondents (24 percent) gave the Republican Party a favorable opinion, while Democrats fared better (39 percent).
The Tea Party fared the worst among the three, dropping down to an all-time low of 21 percent.
Obama’s 47 percent favorability rating is actually up two points from the last poll.
Lastly, given your respect for fact-based, rational analysis, I’m surprised that you didn’t challenge the shameful anti-semitic “Protocols…” conspiracy aired on your site.
Hey, I am just as surprised about people posting about Nazi death rays taking down WTC and now an anti gravity device. Seems to me that the gov’t is attempting to marginalize the site with quacks and haters.
So those Protocols of the Elders of Zion do not exist?
They exist as fictitious propaganda – first published in Russia in 1904 to blame Jews for a variety of economic and social ills. Adolf Hitler also used them and they are often propagated by political and religious extremists, white supremacists and by Holocaust deniers.
The Internet has also spurred the dissemination of many versions of Protocols especially during hard economic times. They are also widely circulated in the Arab and Islamic world where even school textbooks ‘teach’ hatred of the Jews.
The Protocols have been widely discredited and condemned around the world by many organizations and bodies.
“If ever a piece of writing could produce mass hatred, it is this one.” Elie Wiesel (Nobel Peace Prize Laurette and Presidential Medal of Freedom winner)
Do you differentiate between Zionism and Judaism? if not what is your take on rabbi Weiss?
He says zionism highjacked the Jews, like similar to the radical muslims highjacking Islam (in the light of what he says the protocol of Elders of Zion seems reasonably written by zionists for a particular agenda.
Do you share his views or oppose it and why either way if i may ask?
Wow…Mohammad, it’s fiction written by a kook, just like some of the posts I have been reading lately
Seems like we only agree on 12 zeros to a trillion so far, we will keep the quest to find something else we may agree on 🙂
In Bolshevik Russia, the penalty for their mere possession of The Protocols was death. In America, we still have the freedom to read what’s available in the press. Regardless of authorship, and whether forged or not, the Prorocols are still one of the most remarkable documents in the history of literature and are well worth reading. S
Said another way…
“Whosoever was the mind that conceived them possessed a knowledge of human nature, of history, and of statecraft which is dazzling in its brilliant completeness, and terrible in the objects to which it turns its power. It is too terribly real for fiction, too well sustained for speculation, to deep in its knowledge of the secret springs of life for forgery.” – The Dearborn Independent, July 10th, 1920.
And Hitler was a charismatic speaker who threw wonderful dinner parties. He wrote propaganda, too. Hitler and the Nazi’s embraced the protocols. I noticed you quoted a 1920’s article. I imagine you can find some nice scientific quotes in the same paper and time frame proving the inferiority of blacks.
You have posted some well though out pieces. I was utterly floored when you defended the malicious fantasy as fact.
Thank heavens another rational person showed up. When I read the “Elders” BS I thought I was reading Nazi or PLO propaganda.
However, the Republicans need a revival. I support the TEA part and after being a registered Republican for over 30 years, I am now a registered Independent. I will not support RINO Repubs might as well vote Democrat. The Republican ran MITCHELL Romney and if that was a Dem light, I don’t know what is. What is the point of having principles if you are willing to compromise?
Hate this new spell checker ;-(
When d Cohen tries to bully us by the “anti-Semitic” crap i would like to point also to his false statement that muslims are taught hatred to jews.
I was raised as muslim in a muslim country Syria, no one taught me hatred to jews, we believe in Moses,David , Solomon, and we DO NOT HATE, i posted a link to a Rabbi that i love and care for as much as he loves muslims and care for them, heck if a rabbi is saying what am saying doesn’t it make me credible in carefully laying out arguments.
THERE IS A DIFFERENCE between Judaism and Zionism that Cohen is deliberately trying to confuse!
Again nothing personal here, but no one should be bullied for laying out some documents with all its merits.
Zionists are destroying US Greg, who the heck pulled all the capitals and the jobs out side the country?
Who has the control of the banks?
Who is in the driving seat of the federal reserve bank?
I will say LOUD AND CLEAR
and am here making a very distinct differentiation between them and Jews that we respect in SYRIA as people. I am not responsible for governments position on the issue but Rabbi Weiss said it CLEAR AND LOUD ( i wish every one listen to him ) that muslims lived in peace with Jews for long long time until the atheist zionists came with their agenda 100 years ago.
Zionism is NOT a religion. It is a political movement, disguised as a religion to prevent criticism of it.
Bravo!! 3 Cheer’s!! How bout ah beer??
Out of respect to your wish i will refrain from engaging on that issue, not that i lack the ability to, but I DO RESPECT YOUR WISH.
The Jews and Arabs have been fighting for a few thousand years. You take great pride in pointing out that a Rabbi supports your view of “bad Zionist” Jews. The KKK also has preachers saying it’s OK to keep blacks in shackles. Some Moslems preach it is righteous to kill infidels.
Sorry, Mohammad, I don’t buy a Zionist plot and I will tell you that they don’t control the Fed.
I understand that people want to believe that they were some how tricked to get where they are now but the truth is that they were not paying attention; they drove off the proverbial cliff whilst playing Angry birds.
I had no idea how many intelligent people would be trying to defend the indefensible. I am shocked.
And for the record , I am not Jewish . I find it my duty to call out the haters.
Yellen has willful ignorance aka cognitive dissonance.
Gold and China, there is another reason why China is buying that much gold, because the government is encouraging the gold buying in China.
We need to look behind this reason. Until recently Chinese households has had they savings in US dollar, and Chinese prognostic bureau foresaw the coming “printing spree”, because of that the government decided legalizing savings in physical gold, which leaded to liquidation of households US dollar savings. Another reason why the government encouraging the saving in gold is the excess credit creation by Chinese CB, so in some point the Chinese government may solve this problem by monetary reform, which will wipe out Chinese household savings in Yuan and without savings in gold there would be a huge uprising which may overthrown government and lead to a civil war.
Yes I’m saying, the Chinese government didn’t have cognitive dissonance and doing everything to preserve himself.
What do you think Greg?
There are plenty people who have provided practical and reasonable solutions to the problems created government officials, but their voices and opinions are disparaged, mocked and ignored by the MSM and many of the incumbent politicians. The debt ceiling and Obamacare issues can readily be resolved by simply respecting Constitutional limitations on those powers delegated to government and by adjusting its spending priorities to reflect the resolution. But this approach, outlined once by Ron Paul, and other solutions offered by similarly competent people, were disparaged and quickly swept off the table. Why?
Could it be that a sufficient number of those at high levels in government serve a power that seeks to destroy our Republic rather than save it? It seems so. Consider that, with each following administration, the only change that takes place is in an acceleration of political and economic chaos. This expanding chaos has inevitably lead to an ever more demoralized, frustrated and divided citizenry having a greater sense of helplessness and rendered more passive and more willing to surrender their God given freedoms with less and less resistance.
I believe that current issues of Obamacare and the debt ceiling are just the latest examples of contrived chaos and political theater used to further frustrate, weaken and divide the populace into waring factions. Those orchestrating the charade are people salivating for the opportunity to declare martial law and dispense with the burdens of having to pretend they are governing according to the rule of Constitutional law.
Yes, we do have a crisis on our hands, but it has nothing to do with the debt ceiling or with Obamacare.
This conjures the image of a drunk, on a bicycle, with a death wish: all he has to do is keep going. Beyond the veil of men’s schemes and ambition – the real impetus is spiritual. One World Government and One World Religion (tied into Science) – that’s the ticket. All national sovereignty in the world will be subordinated to such unification. Past military endeavors failed; this time enslavement by economic means – derivatives, debts, and bail-ins, all with Government backing, bankruptcy, and Homeland Security/FEMA enforcement???
“Beyond the veil of men’s schemes and ambition – the real impetus is spiritual.”
For mankind, spiritual authority is inescapable. So the question becomes, which authority will govern him, the authority of God or that of man? One guides man to seek righteousness,truth and liberty while the other, being more proximate and always in competition against him, inevitably gives rise to his enslavement. If he resists, then his destruction and death quickly follow.
These are the two tickets now available for man to choose from as he continues his earthly journey and, thankfully, not all men are suicidal drunks.
I heard you say in one of your recent videos (was it the interview with Paul Craig Roberts yesterday?) that John Williams is next? But now it’s Peter Schiff on Monday. Don’t get me wrong – I like Peter Schiff – but I haven’t had a fix of John Williams for way too long. Until John Williams gets his own youtube channel, you’re my best source. Come on, Greg!
Ha. I was expecting J Williams as well
Why China, Russia, Germany …. all and every country and every central bank is hoarding gold?
the obvious answer is hedging against inflation, preparing for the new monetary system….etc!
What if there is another reason that not many are talking about?
What if it is some thing has to do with technology?
and what if it is something has to do with Anti-Gravity!!!!!!?
This video is very short.
It is called quantum levitation technology…..the gold part of this tech is not stressed much in this vid. and the concentration was more on the sapphire part…. well … i tend to think otherwise knowing how much china’s appetite to gold is, and by the way this is from TEL AVIV.
I will dig more and if i find something else besides what David Hudson has patent already n certain countries I will display it here and link to it, so there will be an updated addendum to this post.
Mohammad, at least it’s not a Nazi death Ray. If someone an anti gravity device, would they spread the info around? Would they even patent it for Chinese and Russians to steal? Too many comic books.
I will give it another chance before i call off any communication with you on this site.
If you do not know something do not ridicule who knows.
Here is your chance of knowing:
Dr Paul Laviolette is a PHD in physics from Johns Hopkins….OK?
he has a book: secrets of Antigravity propulsion.
You may not have time to read it (I DID)! but i quote it here as a reference.
He says in one of the interviews that what brought the buildings down was unconventional technology disrupts the consistency of matter ( on the same page as Dr Wood).
One of his statements also that B2 Bomber uses the anti gravity propulsion system, it goes into the stratosphere and then dives down where it attacks without being noticed.
You can google more on his interviews on youtube and read his book if you wish i will refer to here:
The best link i found to this book:
You had me curious enough to look for the book. However, the B2 uses jet fuel. I have seen them refuel. If we had antigrav tech why would we be using rockets? Quantum mechanics is a new field. You mentioned super conductors in a recent post. One of the test is their reaction to magnetic fields.
In the shape our country’s in, I would think we could be out of trouble if we had this technology. I don’t see who they could keep it secret. Besides, if we did have it, then the Chinese would be claiming they discovered it.
This is very significant.
Just imagine if there is an industrial demand for gold for its superconductivity and its monoatomic status that is used in the EM DRIVE units similar to the video i posted above where in TEL AVIV they already used gold in that technology i can then make the case for at least 100000$ an ounce of gold if you can find it. when that technology is put into every car, plane, missile….etc YOU WILL NOT FIND GOLD AROUND TO BUY!!!!
here is a link to few more articles indicating that China is heavily involved in this technology:
“Meanwhile, the EmDrive was picked up by Yang at Xi’an, who has a background in space propulsion systems.”
“Chinese scientists have taken on a heavily criticized space drive idea that could one day launch satellites, deep space probes and even flying cars.”
Just think about is folks, there is more to gold than just monetary, am not down playing the latter but when every one is saying that gold is non industrial metal and that it is ONLY for storage of value THEY ARE DEAD WRONG.
Once that technology is put into commercial production YOU WILL NOT FIND ONE OUNCE OF GOLD TO BUY!!!!!!!!!!!!
Gold and silver are superb conductors of electricity but are not close to being super conductors. A room temperature super conductor is one of the current holy grail. They are using some low temperature super conductors in NYC ‘s electric grid.
I know a jeweler in GSO that recovered gold from obsolete IBM circuit boards that were trashed. Due to the value of gold, IBM found substitutes.
it is not superconductivity am referring to with the videos, it is the MONOATOMIC status gold can have!
Yes, I read that it casts off evil spirits, increases brain activity, is used in both white and black magic. It’s a scam. You can’t make a molecular crystal the way they say it’s made. It’s a hoax.
I fear we are going to have to agree to disagree on this one two.
My last post on this site after being called names (hater, quack,comic….) and insulted by other participants (including galaxy).
Did john williams say 100000 dollars an ounce of gold? if you read my post here did i say 100000 dollars an ounce!!!!
What do i know!
You can remove this post Greg do not put there but i wish you good luck on your quest.
No offense d cohen,
But it sounds like you’ve been listening to MSNBC’s propaganda spin. The discussion here isn’t about the next election, its about the financial end of a Republic. The math doesn’t lie. We are at the end of our financial rope, and it doesn’t matter what party you are in. They all had a hand in it. The only thing that has held us together to this point is the willingness of other countries to carry our debt, and now that is coming to an abrupt end.
At the end of the day you can’t paper your way out of a mess like this with QE printing. Especially when there is no one to buy your Bonds.
Every single President elected to the post has acquired even more power than his predecessors. Progressively more power to the President and less to the citizens. Rings more alarm bells and flashing red lights.
Its really quite straight forward Jerry.
You play with fire…your gonna get burnt.
The USA has abused its privilege with the world’s reserve currency. It doesnt want to hand over the baton..so it will make the world pay for the privilege. The end is not pretty for the US …nor is it for other Western economies.
I don’t believe the primary reason that China is acquiring so much gold is so that they can have their Chinese money backed by gold and become the new world reserve currency of the world. No, they want gold because you have to be an imbecile to not have it and have complete confidence in the dollar, regardless if you are a sovereign or an individual. The country that survives this economic bloodbath with the least amount of blood spilt will end up being the victor. China will still be producing during and after an economic or dollar collapse(although producing presumably less) while America will still be full of consumers but with no real purchasing power. China can obtain the scarce resources they will always need by trading with their suppliers which bypasses the need for a reserve currency, purchasing with valuable gold, or conquering in outright warfare like Japan did in WWII.
When you interview Peter Schiff, it might be helpful for your listeners to ask him if China will really be the big loser since they have bought so much of our US Treasury/MBS debt, a trillion dollars or more. Schiff gives an excellent analogy on this subject, by using the story of a lazy American on a deserted island with some other dudes who are doing all the work of fishing and gathering. For several years now, Schiff is one of the only persons who can confidently contradict much of the mainstream conventional wisdom and blather, for instance this faulty notion that China has too much to lose by dumping the dollar. I think he is absolutely right, they must dump it sooner or later for their own good. His capacity to reason is amazing, but then again we live in a nation of IDIOCRACY (almost like the comedic movie).
Hi Greg: As far as I’m concerned both parties are equally to blame for the absolutely BS situation the country is in and blame belongs to all the fools of the general populace (fanatics of all kinds but especially rabid Obama cultists) whose idiocy upholds this wretched delusional state of affairs. One critical thing must be understood however in light of what is now transpiring. It should be entirely evident to any truly critically thinking person Obama is now out to blatantly establish himself as a de facto dictator. It is clear he despises all opposition, whatever its form, and effectively seeks to rule unchecked by anyone, in government or out. His latest conduct, regarding the debt ceiling and govt. shutdown debacles he is as much liable for as the Republicans is proof beyond doubt his objective is to completely eliminate any objection to himself, and his failed and failing policies so he can impose himself and whatever he wills upon the country over the next 3 years and possibly beyond.
One does not have to be the greatest admirer of the GOP to recognize they are currently the sole political alternative/barrier to Obama’s being able to do whatever he pleases and effectively force compliance and consequences of the most dire nature upon the entire country with the gleeful mind-blind assistance of his political minions and masses of Obama-bots. I hope John Boehner and the House don’t bend over for Obama because frankly if they do and Obama gets his way completely in an utterly emboldening fashion then I do truly believe the last means anyone who rejects and resists Obama, and all his works will be armed revolt of some kind, unless they plan to exist at his whim as virtual subjects to his unconditional reign for at least 3 years, if not much longer to their most awful regret, and the country’s. I really don’t see what other choice we will have.
Somebody has to protest Obama, in the most vociferous manner, and not just one or a few people but tens of thousands and millions. You can dub it the Second Civil War or any name you like, but every day Obama remains President brings this terrible prospect closer, and closer to crimson necessity and reality, in my estimate. He has to GO, and all his minions and bots with him, or God help us all (or not as the case may very well prove). If Obama gets his way, his only legacy shall be the ultimate destruction of everything and everyone, mark my words.
William M. Head
Deeply Concerned And Alas Not Very Optimistic American Citizen
You are amoung the best journalist’s in the world; right up there with Alex Jones, Glen Beck and others.
Keep up the excellent work!
Greg. You are very emotional about what is going on which is understandable but you knew the outcome of this budget drama way before it started. What you need to do is accept what is going on. Acceptance is important. It will let you sleep at night better. The American people do not want a budget. The Repubs nor the Dems want a budget. The president does not want a budget. And, none of these groups want to reduce spending nor do they want to pay down any of the debt. It isn’t possible anyway. The strategy is to keep on going until the whole thing implodes. This is what the people want. When you look at it this way it is a lot easier to swallow. Once this implodes we will have chaos. We will then have to learn to live like they live in Third world country’s. Low standard of living, low wages, little to no medical care, no food stamps, no welfare. Small military. Poverty like Americans can not imagine. This is what we want. Spend you time preparing for this eventual outcome. It isn’t hard to accept. When Obama leaves office its easy to do the math. We will be over 20 trillion in debt. The economy will be no better since we have shipped all our jobs overseas. Young people should be planning for this future. Don’t waste your time going to college. Its not going to pay off. I am just being a realist. Why get upset over it at this point? Nothing is going to change until it all collapses.
Greg, lets say we closed the gap. We actually reduced spending by 1 trillion per year. We still haven’t paid back a single dime of the 17 trillion that we already owe. We would immediately sink into an undeniable economic depression that would be equal by all accounts to the Great Depression. The people would rise up. It would be an excersise in futility. You mentioned that it would be easier to deal with this problem now. No it wouldn’t. It would be unacceptable to the American people. Why are Americans angry now? Because Congress has not agreed to increase the debt limit. The people do not want to deal with it. Its unthinkable. When I started looking at it this way it was easier to accept what is going on. I assume that our economy and nation will collapse at some point in the future. It is what it is.
Ok, stand by your comments. I used to feel the same way and it made me sick. I believe it is better to embrace what is going on. The only way we are going to have real change in our great nation is for us to go thru this disaster. Once the disaster occurs than the ideas that you present will be listened to and the people will demand change. All the bums will be kicked out. New leaders will take over. A new system will take the place of the current failed system. If it makes you feel better, I actually agree with everything you say. I have just accepted that the American people will never agree with the medicine until it is forced down their thoat, kicking and screaming. I believe that you should do more interviews with survivalists that can let us know what things will be like when the system finally implodes and what we must do not if we would like to have any chance at all of actually living thru the grim future in front of our nation.
You couldn’t wish the type of disaster you are both referring on anyone or any nation.
Sadly its not USA centric. Its Global in its reaches and more devasting than the Great Depression.
The reasons for being more widespread are or should be well known. Debt (Fiat Currency) is used across the globe. The linch pin in the currency/debt game is the USD. The USD is part of all Western Central Bank reserves ( and even the two biggies in Asia – Japan and China). USD settlement in trade and pricing of all commodities (Oil, Gas, Wheat, Gold, Copper, Nickel , Silver, Corn, Beef etc) gives one an aprreciation of how endemic the USD really is. I say endemic because its a disease that has spread globally.
When one speaks about the systemic risks and failing systems, risks are not focussed in the USA. Bank failures are global financial system risks. Lehman is a classic example.
Althought the FED acts to continue supporting the Banks (MBS buying) and Government (deficits) it has acted to ensure continuity. Continuity implies civility and order. Without such we have chaos.
This was very much avoided by literally hours the moment the depth of the Lehman escapade was realised. The Government/FED (IMHO) do realise the gravity of the current set of circumstances and have without doubt obtained the understanding and support of world leaders. It has no choice other than to let the situation play itself out. Nothing is forced whilst everything that needs to be done will be done until the day when they are not prepared occurs. Frequency and speed of events are the warning signs.
Lets get this clear.
This is a Global issue.
Every significant country on the Globe has debt/deficits/growing unemployment/ reduced GDP/ Aging populations/ Reduced tax bases and are totally reliant on the US in terms of ensuring that the global system holds together.
Like it not….increased debt/ deficits and QE will be the order of the day. Chaos is a certainty …in the end.
Great week of news from you as always. I like going through the older interviews.
One thing I’d like to point out… from my varied reading I gather that the real US debt is at least $70 trillion and possibly more than $200 trillion. The Fed is tacking on another $trillion about every 3 months with all its QE, treasury swaps, backdoor loans to foreign banks, plus what it’s giving to the government.
During this week while the government has allegedly been on shut-down, it has racked up well over $100 million in fresh debt.
The GOOD thing… people are waking up. I just talked a friend through her first ever silver purchase at the local coin/bullion shop.
Just to put things in to perspective. $1 trillion takes nearly 32,000 years to count!
So $17 trillion will take 544,000 years yes 544,000 years to count.
I trend to agree with Glen to a certain degree. The last election was an eye opener for me. Not because of who was elected, but because the American people have been dumbed down to such a degree that they were bought off with cheap trinkets and cleaver lies, instead of facing up to the reality we are now forced to deal with. My question still stands:
1. How do we get out of a 120 Trillion Dollar debt bubble without a collapse?
2. How long can the dollar continue to stand when no one will buy our Bonds?
So far still waiting.
My advice. Continue to warn people and prepare.
I recommend: ” The ultimate Suburban Survival Guide” You can get on Amazon for $12.95 There you go.
Thanks Greg again for having the courage to state the truth, when so many chose to live in fantasy land. Have a good weekend.
Greg, The Department of Homeland Security doesn’t need but a few bullets for terrorists, I got a hunch they will be aimed at out of work Americans, people protesting in public places, etc., what say you?.
And don’t forget about the new military fighting machine. The military industrial complex have created a new weapon which I strongly believe will be turned against us when the SHTF. It’s a four legged drone with high powered weapons attached to it’s frame.
You know at one time when we as a nation trusted our Gov’t we thought that something like that was made for the movies like Robocop or the Terminator. Now that stuff is becoming reality.
In Stalinist Russia, the family was sent a bill, for the bullitt, they used, to kill you. If the family didn’t pay up, they continued, killing off family, till the bill was paid up and the subsequent bullitts, used by collections, to kill family members for non-payment, were paid for, as well. Maybe in Barry’s America, we wont have to pay fer the bullitts, because the Red Chinese, lent the US., the money, in the first place, that we bought the bullitts with! That would take a lot of burden off, surviving family and save bullitts, in the long run and all the while, Red China keeps following the Golden Rule, “Those who buy all the gold rule” To our elite and brave, dear leaders, “those who buy all the bullitts, end up with lead bottom”. Just ask Joe Stalin, when you see him, on that, google, (Great Day, Bing Crosby youtube)! You’ll be glad you did, dude!
Speculation should be outlawed.
WADR – What difference does it make knowing why DHS has made the acquisitions. If you know now vs when they ultimately use their cache, how does that change your everyday life. Ultimately you are trapped…physically or psychologically. In that scenario Insanity and Imprisonment are one in the same.
Turn about is fair play.
Sit down before you read this article out of Beijing AFP (An article from Yahoo . This is pretty scary news .
So looking forward to hearing from your next guest.
Kindly ask Peter Schiff …what is the solution to the debt/deficits (realistically).
Is a new monetary system the solution ?
Should it be a system supported by hard assets (PM’s)?
How do we unwind the existing debt and what are the ramifications?
Is it likely the foreign holders of USD / UST will dump their holdings….and the consequences for them and the US.
What are the structural issues in the current financial system that need to be rectified.
I suspect you will have a very robust discussion if you press Peter on these issues. No doubt will it engender more banter about the critical issues but perhaps also getting the think tanks more on track. Peter is very astute and more than qualified to respond on each one of these topics.
Would appreciate hearing Peter’s “straight shooter” and uncomplicated responses.
Greg, you are performing a great service to those who pursue knowledge and freedom. They are not mutually exclusive.
OFF TOPIC: I have a question / concern – has anybody else seen or experienced anything. My paycheck was transferred via EFT on Friday Oct 11 (standard procedure) and it normally appears in my personal bank account the same day – until this week. The EFT still has not appeared in my personal bank account. This is just weird.
Here are the answers to your questions. If you really want to know click the link.
No offence Jerry,
But I want some credible solutions not more of the same rhetoric.
I already mentioned in earlier posts about the Black Swan Dumping…as have many others now stated. Default is not an option as stated above. If PS concurs and only comes up with the “no choice but to continue printing”…then we are all damned. Elected and Non Elected Loonies running the Circus that is the about to see the Big Top come tumbling down with all of the animals escaping and wreaking havoc.
Was EBT / Walmart a precursor ?
Greg, brilliant. Thank you for all that you do. Each week gets better and better with your interviews and information. Thank God for USA watchdog.com. Folks, hit that donation button.
Looks like China is gonna hedge it’s bets
the only thing that scares me this for one is my country and two this is my retirement fund with that being said. I cant blame any country that would want to back out having D.C. as your Financial stewards of the world should scare the piss out of you. but what to do to protect myself from this course of insanity that is the question?
I get it. You want solutions. No offense but I’ve been asking the same questions myself for months with no answer.
1. How do we get out of a 120 Trillion dollar debt bubble without a collapse?
2. How long can the economy last without QE printing?
If you can answer those two questions, you’ve solved the riddle.
But if you think you can put your faith in those clowns in Washington. you and the rest of America are in for a rude awakening from a 30 year long debt spending hangover. Lets be honest America’s fate was sealed when they stopped teaching the basic principals of capitalism on university campuses.
More Q’s with no solutions.
OK I agree…lets be honest.
To some degree we already know the answers.
I just find it irritating that some commentators just regurgitate the same data points. Most do not want to be seen as extremist in their views about USA (the World), so they remain on the “divulge the symptoms and potential problems” bandwagon….rather than getting to the root cause.
It is a systemic issue. The system is fractured. Its been abused and along with it, the population of the planet. As individuals, our motives are to thrive and prosper as best we can in a lawful manner. The individuals who control the corporates and make up government, have different agendas. They exert enormous power by controlling debt/credit. Debt of individuals, corporates, municipal, state, federal and even sovereign implies that nations and the collective populace are slaves.
What has changed in 20,000 years.
Always a ruling class. Always servants to serve.
Get close enough to the ruling classes, and you have immense power.
Sure empires are born and over time they do eventually fail.
Patterns repeat and reset.
Welcome to mankind. Are you prepared for the next phase ?
Oh….to get out of Debt 101:
Pay it back….hmmmmm
DEFAULT….are you ready for Bail-Ins ?
Currency default = hyperinflationary = devalued currency scenario.
Otherwise its the printing presses to the metal.
Someone has to own the debt( 1%) and someone has to repay it (99%).
Basic principles of Economics and Money and POWER. The NEW ruling class don’t want to teach too much ….do they !!!
Is the world moving towards an asset-based (gold) wealth system of trade?
Why is the Fed/US Trade insisting on remaining a debt-based (fiat) system that enslaves others through debt?
When officials claim the “Economy” is expanding they are really saying that Debt is being increased. Under our current system, if the debt even could be paid off, doing so would destroy the economy.
How does the State bank off North Dakota do banking so well? I would love to hear an honest appraisal of that bank from you Greg, and from your panel of experts.