Monday, June 17, 2019

DOLLAR COLLAPSE ALERT: U.S. DEFICIT BALLOONS IN MAY TO $208 BILLION

by Mac Slavo, SHTF Plan:

In just the month of May, the United States government spent $208 billion that they didn’t have. By stealing from future generations and kicking the ever-heavier can down the road, the government is all but ensuring a dollar collapse.

Washington posted a $208 billion budget deficit in May as a modest increase in revenues failed to make up for higher spending on the military and social welfare programs like Medicare, according to data released on Wednesday by the Treasury Department. The deficit was the highest ever for the month of May and wider than the average forecast of $185.5 billion in a Reuters poll of analysts. Government spending rose to $440 billion, up 21% from May of 2018. Receipts increased to $232 billion, up 7% from the same month last year.

Doug Casey Debunks Four Myths About Trump, Taxes, and the Economy

by Doug Casey, International Man:

International Man: For many years, President Trump has made no apologies for trying to pay the least amount of taxes possible. He’s clearly stated this in many interviews.

His desire to minimize his taxes has brought scorn from many in the mainstream media, and politicians from both sides of the aisle. These people are of the opinion that paying taxes is an honorable and necessary responsibility. It brings to mind the wrongheaded saying “taxes are the price we pay for a civilized society”, which came from US Supreme Court Justice Oliver Wendell Holmes. Many people believe this.

Misplaced Pride: Most of the “Middle Class” Is Actually Working Class

by Charles Hugh Smith, Of Two Minds:

If we look at these charts, it looks like only the top 10%, or perhaps the top 20% at best, might qualify as “middle class” by the metrics described below.

The conventional definition of working class is based on income and education:the working class household earns between $30,000 and $69,000 annually, and the highest education credential in the household is a two-year community college degree or trade certification.

The definition of the middle class is also based on on income and education, but adds financial security as a metric: the middle class household earns $80,000 or more, holds 4-year college diplomas or graduate degrees, owns a home, has a 401K retirement account and so on.

Facebook’s cryptocurrency to debut next week backed by Visa, Mastercard, Uber, and others: WSJ

by Jon Porter, The Verge:

An unveiling is expected next week, with a launch to follow in 2020

Facebook has secured the backing of over a dozen companies for its upcoming Libra cryptocurrency set to be announced next week, The Wall Street Journal reports. These companies include major financial organizations like Visa and Mastercard, and internet darlings like PayPal, Uber, Stripe, and Booking.com. Each will invest around $10 million to fund development of the currency, and will become part of the Libra Association, an independent consortium that will govern the digital coin independently of Facebook.

The State of the Canadian Debt Slaves, and How They Compare to the American Debt Slaves

by Wolf Richter, Wolf Street:

This, despite still ultra-low interest rates and the highest disposable income ever.

Canadian households are known around the world for their uncanny ability to pile on debt. And American debt slaves, who’d gotten trampled during the Great Recession, turn out to be lackadaisical these days in comparison.

The share of disposable income (total incomes from all sources minus taxes) that Canadian households spent on making principal and interest payments on their ballooning mortgage debts and non-mortgage debts reached a new record of 14.9% in the first quarter, despite still ultra-low interest rates and despite the highest disposable income ever, according to data released today by Statistics Canada:

CHINA’S HUAWEI GOES ON THE OFFENSIVE AND SUES VERIZON FOR HUGE NO OF PATENT INFRINGEMENTS

by Harvey Organ, Harvey Organ Blog:

GOLD CONTINUES ITS ADVANCE UP $6.60 TO $1340.10 AS THE ASSAULT ON 1350 GOLD CONTINUES//SILVER UP 11 CENTS TO $14.91 AS THE ASSAULT ON 15.00-1506 ALSO ADVANCES..AS INVESTORS ARE NOW WILLING TO TAKE ON OUR BANKER CARTEL /TWO TANKERS ATTACKED BY TORPEDOES NEAR THE STRAIT OF HORMUZ: NOT SURE IF FALSE FLAG//MORE SWAMP STORIES FOR YOU TONIGHT

India Reacts to Depressed Silver Prices – Ted Butler

by Ted Butler, Silver Seek:

Several recent articles have highlighted a surge of silver imports to India, prompting me to take a closer look. India has always been a big buyer of silver and gold, befitting the traditions and culture of the country with the world’s second largest population. The population of India, more than 1.3 billion citizens, is now only about 50 million less than that of China. Combined, both countries make up 35% of the total world population (7.7 billion) and have always been large buyers and holders of gold and silver. Together, India and China absorb close to 50% of total world gold and silver mine production.

Gold Price Breakout in Multiple Currencies

by Ronan Manly, BullionStar:

The most commonly watched gold price these days is of course the gold price per troy ounce measured in the fiat currency US dollars. This is so for a number of interconnected reasons such as the US dollar’s international reserve status, and the fact that international gold trading takes place in US dollars.

Furthermore, the gold price is established / discovered mainly in US dollars, a symptom of the fact that the majority of trading of ‘gold’ volume occurs in venues such as COMEX and the London OTC gold market where the synthetic gold products that these venues quote (gold futures and unallocated gold, respectively) are traded in US dollars.

US Government Runs Biggest May Budget Deficit in History

by Peter Schiff, Schiff Gold:

If you were thinking federal government spending might slow down a bit after the national debt crossed the $22 trillion mark – well, it didn’t.

Last month, the federal budget deficit came in at $208 billion, according to Treasury Department data. It was the largest May deficit in history.

Uncle Sam spent $440 billion last month, up 21% year-on-year. Receipts increased to $232 billion, up 7% from May 2018.

There were some calendar effects that shifted about $50 billion in payments from June into May. Even so, the May deficit reflects a broader trend. The deficit for the fiscal year to date stands at $739 billion. That compares with $532 billion through the same period in fiscal 2018 — a 38.8% increase.