Profiting Despite Pandoras Econo-financial Box-clazziquai

Investing "Believe me, the next step is a currency crisis because there will be a rejection of the dollar. The rejection of the dollar is a big, big event, and then your personal liberties are going to be severely threatened." Rep. & Presidential Candidate Ron Paul, R-TX Rep. Paul rightly identifies Important and Impending Negative Consequences of The Fed’s Devaluation of the U.S. Dollar. And Stanley Druckenmiller makes it clear why the Fed-facilitated Debt Crisis is not likely to be resolved favorably anytime soon, if at all, because Politicians and Treasury Officials are not seriously addressing, much less close to solving, one fundamental Problem: Excessive Spending. "We hadn’t heard much from legendary investor Stanley Druckenmiller since last August when he decided to shut down his Duquesne Capital hedge fund. Until today. In a must read interview, the man who took on the Bank of England in 1992 and won, says that he joins the camp of Bill Gross et al, making it all too clear that all the recent fearmongering about the lack of a debt ceiling hike by the likes of Tim Geithner, Ben Bernanke and, of course, all of Wall Street, is misplaced… The real MAD, Druckenmiller says, is letting the debt spiral out of control. As anyone with half a working brain will realize. Mr. Druckenmiller is puzzled that so many financial commentators see the possible failure to raise the debt ceiling as more serious than the possibility that the government will accumulate too much debt. "I’m just flabbergasted that we’re getting all this commentary about catastrophic consequences, including from the chairman of the Federal Reserve, about this situation but none of these guys bothered to write letters or whatever about the real situation which is we’re piling up trillions of dollars of debt." He’s particularly puzzled that Mr. Geithner and others keep arguing that spending shouldn’t be cut, and yet the White House has ruled out reform of future entitlement liabilities–the one spending category Mr. Druckenmiller says you can cut without any near-term impact on the economy. Next we move to the topic of the US ponzi and why the Fed is at its core. Some have argued that since investors are still willing to lend to the Treasury at very low rates, the government’s financial future can’t really be that bad. "Complete nonsense," Mr. Druckenmiller responds. "It’s not a free market. It’s not a clean market." The Federal Reserve is doing much of the buying of Treasury bonds lately through its "quantitative easing" (QE) program, he points out. "The market isn’t saying anything about the future. It’s saying there’s a phony buyer of $19 billion of Treasurys a week." Warming to the topic, he asks, "When do you generally get action from governments? When their bond market blows up." But that isn’t happening now, he says, because the Fed is "aiding and abetting" the politicians’ "reckless behavior." And blow up they will if nothing changes. Druckenmiller’s conclusion: "I think technical default would be horrible," he says from the 24th floor of his midtown Manhattan office, "but I don’t think it’s going to be the end of the world. It’s not going to be catastrophic. What’s going to be catastrophic is if we don’t solve the real problem," meaning Washington’s spending addiction." Druckenmiller Calls Out The Treasury Ponzi Scheme: "It’s Not A Free Market, It’s Not A Clean Market", Identifies The Real Bond Threat Tyler Durden,, 5/14/11 And John Williams pinpoints why the U.S. Economy is not in recovery (contrary to Mainstream Media Spin) and provides the Real Numbers (see note below**). "The U.S. economy is not in recovery, and what ever upside bouncing there was in retail sales and industrial production increasingly appears to have been transient in nature. In this morning’s (May 17th) reporting, April 2011 housing starts continued their broad downtrend, bouncing downhill in renewed deterioration. More important than the statistically-insignificant monthly decline of 10.6%, the annual decline of 23.9% was significant, and the six-month moving-average has declined for the last three months, pushing the historic low level seen in April 2009… In tandem with last week’s reporting of retail sales activity gaining less than 0.1%, net of higher prices (see Commentary No. 368), production activity appears to have stalled, with housing and consumer liquidity issues leading general economic activity into what eventually should be recognized as a double-dip recession… April Housing Starts Were Consistent with a Deteriorating Economy." "Commentary No. 369: April Housing Starts, Industrial Production" John Williams,, 5/17/11 Faced with the Debt Crisis in Europe, Both The True Finn Party and Jim Willie identify a main cause of the Crisis – the Mega-Bankers, and offer a Solution – a Mega-Banker Haircut. "The insolvent European big banks must be purged and liquidated in an orderly manner, according to Timo Soini writing in the Wall Street Journal Europe. The True Finn party leader was aggressive and almost hostile in his words, describing the banks as suffering from gangrene, both public and private. He urged amputations to save the body. He called the repairable potential of the sovereign debt condition in Greece, Ireland, and Portugal a grand lie, whose official version takes the people of Europe for idiots. In a remarkable display, the Wall Street Journal [US] edited, censored, and republished the article, scrubbing all negative comments by Soini. He must have ruffled some important bankers who do not favor liquidation and prefer to mold the citizenry into placid idiots." Jim Willie, Global Money War Report, May 2011 And a Correspondent Comments: "The True Finn Party is one to watch. Leaders advocate an end to mass immigration into Finland as well as responsible fiscal policy that does not entail sacrifice of the people’s well-being in order to shore up international banking interests. Although the comments apply to European countries/banks primarily, the points apply generally." First one must understand the Hyperstagflation which increasingly threatens to leap out of the Econo-Financial ‘Pandora’s’ Box we face, to understand how to Profit and Protect from it. Consider the following Thumbnail Sketch of the Challenges, which we and others have described in detail elsewhere. A Fed-led Cartel* still actively intervenes to Suppress Precious Metal Prices as recent weeks have shown. Although (due in part to revelations that Major Metal Repositories do not have all the Metal they claim), The Cartel has been weakened recently, They are still Potent. *We encourage those who doubt the scope and power of Overt and Covert Interventions by a Fed-led Cartel of Key Central Bankers and Favored Financial Institutions to read Deepcaster’s December, 2009, Special Alert containing a summary overview of Intervention entitled "Forecasts and December, 2009 Special Alert: Profiting From The Cartel’s Dark Interventions – III" and Deepcaster’s July, 2010 Letter entitled "Profit from a Weakening Cartel; Buy Reco; Forecasts: Gold, Silver, Equities, Crude Oil, U.S. Dollar & U.S. T-Notes & T-Bonds" in the ‘Alerts Cache’ and ‘Latest Letter’ Cache at Also consider the substantial evidence collected by the Gold AntiTrust Action Committee at, including testimony before the CFTC, for information on precious metals price manipulation. Virtually all of the evidence for Intervention has been gleaned from publicly available records. Deepcaster’s profitable recommendations displayed at .deepcaster.. have been facilitated by attention to these "Interventionals." Attention to The Interventionals facilitated Deepcaster’s re.mending five short positions prior to the Fall, 2008 Market Crash all of which were subsequently liquidated profitably. Thus, Timing the purchase of Precious Metal is crucial. For example, around the time of our forecast Equities Takedown launch, we expect The Cartel to launch another Greatly Intensified Attack on these Precious Metals. 相关的主题文章: