Monday, January 17, 2022

In Order To Play In The Western Paper System One Must Pay Into The System, Continually…!

from Rogue Money:
Quick Overview: Once the world began a full blown transition into a global economy, the sovereign entities at the top of the heap took center stage. Competitive forces competing in a non-violent manner for business market share on the world stage is now more important than ever. To have major trade deficits with key world players is akin to putting yourself behind the curve. To put it bluntly, you are constantly playing “catch-up!”

If you happen to have the advantage of being the world’s reserve currency, like the USA, then you can “temporarily” stave off the final nail in your economic coffin. For reference, that would be the massive nail that defines a “needs” based product inflation. “ TEMPORARILY” is the operative word in the prior sentences.

The Real Cause of the Opioid Epidemic: Scarcity of Jobs and Positive Social Roles

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by Charles Hugh Smith, Of Two Minds:
The employment rate for males ages 25-54 has been stairstepping down for 30 years, but it literally fell off a cliff in 2009.

We all know there is a scourge of addiction and premature death plaguing the nation, a scourge that is killing thousands and ruining millions of lives: the deaths resulting from the opioid epidemic (largely the result of “legal” synthetic narcotics) are mounting at an alarming rate:

The Coming Carmageddon

by David Stockman, DailyReckoning:
Ben Bernanke’s successors at the Fed and other global central banks still don’t get it.

Falsified debt prices do not promote macroeconomic stability. They lead to reckless credit expansion cycles that eventually collapse due to borrower defaults. We’re now seeing that play out in the auto sector, especially since anyone who can fog a rearview mirror has been eligible for a car loan or lease.

If that reminds you of the sub-prime housing disaster, you’d be right.

That, in turn, will make the looming collapse even worse, due to the sudden drastic shrinkage of credit in response to escalating lender losses.

How did we get here?

Silicon Valley Begins to Crack Visibly

by Wolf Richter, Wolf Street:
Chilling photos of for-lease signs lining the Great America Parkway

There are parts of Silicon Valley where commercial real estate is still hanging on, and there are parts where it has let go.

In Santa Clara, it has let go. Overall availability of office space in Santa Clara was nearly 19{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in the first quarter, according to Savills Studley, up from 14{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} a year ago. Only two other areas in Silicon Valley – Milpitas and North San Jose – show greater availability at respectively 23{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} and a harrowing 30{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}.

Illinois House Approves Historic 32{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} Tax Increase, Governor Vows Veto

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from ZeroHedge:
With Illinois, which on Saturday morning entered its third fiscal year without a budget, facing a catastrophic downgrade, late on Sunday evening the Illinois House approved the most controversial element of a budget package, a tax hike which will increase the income tax rate by 32{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} from 3.75{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} to 4.95{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}, and the corporate income tax rate from 5.25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} to 7{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}, to try and end a historic budget impasse. The bill passed 72-45. The House also approved a $36 billion spending plan minutes later on a 81-34 vote. According to the Sun Times, it cleared an initial hurdle on Friday with 23 Republicans voting “yes.”

“While no one could say this was an easy decision, it was the right decision,” House Speaker Mike Madigan said after the spending bill vote. “There is more work to be done.” Dems said they would work with Republicans on other resolution of other issues on table.

Dave Janda’s Operation Freedom – Sunday, July 2, 2017 – Keith Neumeyer

by Dave Janda, Dave Janda:
Manipulation of financial markets, Benghazi, New World Order Syndicate, Obama Care, Free Market Health Reform, Putin, The Ukraine, ISIS, Syria, The Constitution, Natural resources, Reserve currency, Corruption, gold, silver Global Elite, International Banking Cabal, debt, Federal Reserve, Too Big To Fail Banks, Crony Capitalism, Debt Ceiling, Financial implosion, Recession, Economic Depression, Freedom, Liberty

Click HERE to listen to Keith Neumeyer

Bob Rodriguez: “We Are Witnessing The Development Of A Perfect Storm”

by Robert Huebscher, Silver Bear Cafe:
Robert L. Rodriguez was the former portfolio manager of the small/mid-cap absolute-value strategy (including FPA Capital Fund, Inc.) and the absolute-fixed-income strategy (including FPA New Income, Inc.) and a former managing partner at FPA, a Los Angeles-based asset manager. He retired at the end of 2016, following more than 33 years of service.

He won many awards during his tenure. He was the only fund manager in the United States to win the Morningstar Manager of the Year award for both an equity and a fixed income fund and is tied with one other portfolio manager as having won the most awards. In 1994 Bob won for both FPA Capital and FPA New Income, and in 2001 and 2008 for FPA New Income.

In a recent quarterly market commentary Jeremy Grantham posited that reversion to the mean may not be working as it has in the past. What are your thoughts on mean reversion?

There will be a reversion to the mean. We are in a very difficult and challenging time for active managers, and in particular, value style managers. Many of these managers are fighting for their economic lives.

Stocks and Precious Metals Charts

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from Jesse’s Café Américain:
“To escape the pain caused by regret for the past or fear about the future, this is the rule to follow: leave the past to the infinite mercy of God, the future to His good Providence, and give the present wholly to His love by being faithful to His grace.”

Jean-Pierre de Caussade, Abandonment to Divine Providence

“Man has places in his heart which do not yet exist, and into them enters suffering, in order that they may have life.”

California Wants all its Citizens to be Disarmed So That No One Can Resist the Tyranny That’s Coming When the State Goes Bankrupt

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by JD Heyes, BugOut News:
In a letter to James Madison dated December 20, 1787, Thomas Jefferson wrote, “What country can preserve its liberties if their rulers are not warned from time to time that their people preserve the spirit of resistance. Let them take arms.” This perfectly summarizes the true intent of the Second Amendment, while simultaneously explaining the real reason why modern day democrats oppose the individual right to bear arms so strongly. The fact of the matter is that the Second Amendment wasn’t included in the Bill of Rights so that future generations could legally go out hunting, nor was it written so that Americans could participate in firearm-related sports; it was intended to empower the people to defend themselves and their country against tyranny.

Market Report: Half-Year Blues

by Alasdair Macleod, GoldMoney:
Gold and silver prices were hit on Monday by a $2bn sale of Comex gold futures at about 0400 hrs EST, when US traders were not around to challenge it. Rumours of a “fat finger” appear wide of the mark. More likely it was a too-big-to-fail bank taking out all the stops to window-dress its books ahead of the half-year accounting deadline.

Derivative markets in gold and silver are generally directionless, so it is a good time for this sort of operation. Consequently, gold is down $13 from last Friday’s close, and silver off about five cents, in early European trade this morning (Friday). Since 31st December, gold is up 8.25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} and silver 4.65{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}. Silver’s underperformance is notable, though it appears to be finding a base.

Janet Yellen Just Said The Most Ridiculous Thing We’ve Heard All Year!

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by Jeff Berwick, The Dollar Vigilante:
Of all people, the last person you should ever ask about what is going to happen in the economy is a central banker or a Keynesian economist.

They are, after all, communists trying to centrally plan the economy. Commies are always clueless about economics.

And, their track record of predicting the economic future is almost perfect in that they almost always say “this time things are different” just moments before another crash happens.

Yellen’s Dewey Moment

by James Corbett, The International Forecaster:
… why listen to the nattering nabobs of negativity out in the blogosphere with their endless litany of facts and details when we have the pronouncements of the Oracle in Washington herself to base our judgement on?

It’s official, folks: You don’t have to worry about a financial crisis ever again! I mean, your children might, but you are in the clear!

How do I know this? Why, the Emperess of the Economy herself, the venerable Janet Yellen, chair of the High and Mighty Federal Reserve Board of Governors has dribbled this gem of wisdom from the heights of Mount Olympus onto our lowly heads: