A Crash This Way Cometh
'America lives in a fascist state' - Gerald Celente: http://www.youtube.com/watch?v=vFlKJmE4gVE
At Joe Martin's Vancouver Gold show in January of 2008 I predicted a major stock market crash in October. My speech was titled "Derivatives and the Crash of 2008." It came true. In October/November I was predicting a market rise into March/April of 2009. We got it. I'm going to crawl way out on a limb. A major crash this way cometh. The stock markets have gone up for six straight weeks. That's a pretty strong sign of a top. Our financial system continues to come unglued as Goldman Sachs leads the looting of the treasury after a financial coup d'état that has stolen $46,000 from each taxpayer to hand it over to the banks now running the country. After over $13.6 trillion has been poured into the banking system, I cannot see that a person I know has been enriched by even a single cent but each American is now indebted to the tune of an additional $46,000. It's going to end badly. We are not at the bottom; we aren't even near the bottom. In terms of the Great Depression, we are in 1931 or so; the bottom is ahead of us. I expect the dollar to default in the next few months after a General Motors and Chrysler bankruptcy convinces everyone that we are truly in a depression.
US Bonds are on the brink of a collapse. When they do, the dollar will tank and interest rates soar. As measured by John Williams at ShadowStats.com, the real pre-Clinton unemployment rate is above 20%. I've called for riots by summer but even I have been startled by the number of mass murders in the United States in the last month or so. It's the economy, stupid. It's going to get worse, much worse as the insane financial policies of both political parties over the past fifty years come to their inevitable conclusion. The United States is bankrupt and soon the rest of the world will realize it. The days of writing checks in the firm belief the rest of the world will not cash them are over. The United States has had 89 years of being able to live beyond our means as a result of being the world's reserve currency. It's over and the deconstruction of the United States has begun. The risk of World War III being ignited by a US/Israeli attack on Iran has diminished considerably under Obama. However daily pronouncements out of Israel serve to remind us that a Zionist nuclear attack on Iran is still the #1 goal of Israel notwithstanding the 16 US intelligence agencies that all conclude Iran does not have a nuclear weapons program. Israel made it clear under the Clean Break from the Peace Process that they intend to attack anyone who might be a threat to them at some point in the future, no matter how distant.
Derivatives as measured by the BIS showed as $684 trillion [pdf] as of last June. A more current report will come out in a month. I expect it to show an increase in OTC derivatives. That's insane. I saw the danger in the mere size of derivatives in January of 2002. They were out of control then. Now they are seven times larger and growing. And not a single "expert" in the Obama administration understands the danger of a $700 trillion dollar casino with no regulation and everyone playing with monopoly money. It allows companies such as Goldman Sachs to destroy companies, indeed countries with no risk to themselves. After all, the taxpayers of the United States have assumed all the risk of failure. Gold is a safe haven and will remain a safe haven. Paper gold may well disappear along with all the other monopoly money assets. We are in for another massive deleveraging that may well drag precious metals shares with it. The safest shares to be in will be those of producing gold and silver companies. Hunker down. This summer is going to get really fugly.
In related news, was Kellermann's death a suicide or murder?