March

2015

NEWS MARCH'15 (public)

The US-Debt situation is like an outstanding loan of $ 1.8 million with a $30,000 income.

Tuesday March 31, 2015 - Interest is rent paid on a loaned asset and something is astray when it is negative !

Updated sections:

Trade and investments between Russia and Turkey to be settled in Ruble and Turkish Lira. Another country stops using the US-Dollar. The US-Dollar Turkey’s Ministry of Economy is to consider using local currency, either the Russian ruble or Turkish lira, in major investment projects with Moscow. And there is more: the two countries share no land border but both border the Black Sea, where the new Turkish Stream pipeline will be routed, delivering gas to Turkey, and to Europe via Greece. Greece turned to Russia for financial help...

The political system has become totally non-functional and All Bankers are now Petty Government Officers. The invention of paper money as a means of exchange and enforcing that currency on the population created a mechanism that is used to confiscate and then reallocate the wealth of countless countries and billions of people.

There are no success stories with paper money. All end in a complete loss of value and social conflict.

The only way out of Fiat Paper money is Gold, Silver and REAL ASSETS (as long as the Real Assets are NOT real estate - sorry folks). Investors need to take full positions before it is too late. Returns on phony capital will continue to fall and head into negative territory. In the end, gold and silver will become the asset of last resort for the average person.

Savers are paying banks to deposit their funds and borrowers are being paid by the bank to go into debt.

Savers are paying banks to deposit their funds and borrowers are being paid by the bank to go into debt. !? One does not has to be an Einstein to understand that the situation is highly dangerous and indicates something can happen to the system (Fiat Money and Banks) ANY time. To wait until there are more Warning signs is extremely hazardous as the odds are that the catharsis will come with a FLASH is highly probable. Better be 4 years early than one second late...unless of course you still think this is doom saying and Authorities and Bankers will this time SAVE you and CORRECT the situation in time...in other words, perform in a way they were NEVER able to during the past 6 centuries.

Basel I, Basel II, Basel III Stress tests...are noting but worthless PROPAGANDA. The Banks are done...bankrupt by definition.

Important Technicals:

The candle chart for Yamana is typical for what Gold bugs have been enduring over the past 5 months: a trading range. Hard to tell WHEN price will break out of the range and if price will break up or down. See subscriber's section for more

Monday March 30, 2015 - It's all about complex societies, expensive Energy and Peak Oil.

Updated Sections: $-Gold , Silver, Juniors ,

Yemen has become the latest proxy battleground between Saudi Arabia, the center of Sunni Islam, and Shiite Iran. The Saudis face an impossible dilemma. The harder they hit the Houthis, the greater the danger of a power vacuum that can only benefit Al Qaeda and Islamic State groupings that already control central Yemen. They are among the most lethal of the various Al Qaeda franchises. A cell from that area was responsible for the Charlie Hebdo attack in Paris. The Saudis are being squeezed by low oil prices and the “exorbitant” costs of welfare spending and subsidies to stabilize the region after the Arab Spring. The Kingdom cannot afford to get dragged deeper into a Yemeni quagmire it cannot stabilize on its own.

Israel launches airstrikes on Syria following rocket attack, 'red line' warning from Iran. Iran needs an oil price of $130 a barrel to cover its budget, making it acutely vulnerable to the current Saudi tactic of flooding the market and Israel may well be helping the country to get what it wants.

Greece Is Just the Tip Of The Iceberg For The $100 Trillion Bond Bubble...and the DERIVATIVE problem. Greece, as a country, represents 2% of Europe’s GDP. The country lied in its financial to enter the EU. Since that time, it’s been officially bankrupt since 2010. The IMF, ECB and European leaders are doing all within their power to save the EU and the Euro...but we all know it's only a matter of WHEN we will see the Grexit.

We had monetary Hyper-Inflation since 2011. And whatever Authorities, Mainstream Media and Bankers try to sell, we also had a sustained PRICE-INFLATION. Only the price of High Order Capital Goods (ex. real estate) is coming down. Price-Hyperinflation we shall have as soon as the Herd notices the Emperor has no clothes...


click to enlarge

The 1976 – 1980 gold bull market saw both the US-Dollar going up at the same time Gold was going up to a new record high. But at the same time inflation was going up almost on a monthly basis. You also had interest rates going up on a monthly basis, which is totally counterintuitive to what you would expect to see. The mania that we saw in the 1970s is still in front of us. For the time being however everything we have learned about what money should be, is no more and those who tried to save some for later investing, are punished instead of rewarded: pensions, savings,

Important Technicals: see subscriber's section

Friday March 26, 2015 - Why do ordinary citizens behave like idiots once they have been elected ?

Updated Sections: US-Dollar ,

Each economic Depression comes with WAR, Social unrest and/or Revolutions. This time ain't different...and it will get A LOT worse before it gets better. The Middle-East is the epicenter and will be worst off. Yemen and Saudi Arabia have now also become part of this Oil-war. The Gulf of Aden has been blocked. For the time being only the Suez canal and the street of Hormuz stay open...but for how long? There is no doubt the Sunni-Shiite war will spread all over the Middle-East...and also over North-Africa and Western-Europe. Never forget Religion Wars are the Worst Wars. Got a plan B? Got a second permanent residency? got physical Gold? are you savings out of political (war) reach?

One can actually boil society in exactly the same way you boil a frog.

A coalition of 10 Sunni Arab states is on a military offensive against Shiite Houthi militants in Yemen, recently proclaimed by America’s president as a brilliant example of war on terror, but now catapulting the Middle East into the inferno of battle. Saudi Arabia has initiated an international military operation in Yemen that many experts are already calling a proxy war against Iran, since Houthi fighters are believed to have strategic backup from Tehran. The internal Yemeni conflict has the potential to transform into a military standoff based on religious background between the Sunni monarchies of the Persian Gulf on one side and Shiites of the region supported by Iran on the other. [RT]

What happened during the Weimar Hyperinflation is a taste of what is yet to come: Rentals were more or less nominal and in the period of hyperinflation, housing was obtained practically free of charge In reality the property of the landlords was confiscated. Imports but also exports were controlled. Argentina taxes the export of foodstuffs, Germany however banned it. During those years interest rates were never raised sufficiently to prevent a negative return. Buyers were eager to purchase anything which would maintain value. Hence the more rapid the rise in price the greater the demand. People purchased not what they needed but whatever they could get. Note: only years later, during World War II, a large chunck of housing was destroyed.

Important Technicals normally don't come with many bells and whistles...most of the time, these are a simple line at the end of a daily update.

if you're not a subscriber, you're missing the opportunity of a lifetime !

Thursday March 26, 2015 - Capitalism is a system of mass production for the satisfaction of the needs of the masses -

Updated sections: Gold & Silver Majors ,

The AIIB (Asia Infrastructure Investment Bank ) is the biggest change to the global monetary system since Bretton Woods. Austria, Switzerland, and Australia that have joined dozens of other countries around the world in the anti-dollar alliance.(Germany, France, the UK,...)

The AIIB is going to be a competitor to the IMF and the World Bank.

The GREAT secret of the AIIB (and few people understand this) is that this action is what is really killing the US-Dollar and that this process cannot be reversed. The US-Dollar is now doomed like the Pound Sterling was doomed after World War II. It is not a question of IF but one of WHEN...more in the subscriber's section: US-Dollar and Euro sections. The Dollar is doomed because a smaller part of the World Trade will be invoiced in US-Dollar. The smaller amount of world trade invoiced in a currency the smaller the relative strenght of this currency .

As today's citizens refuse to pay for the expenditures of the Authorities which were voted into power by these in the past decennial, how much easier is it to simply take the money out of the pockets of the same citizens by debasing the value of the money and pushing interest rates below zero. The end result is the same, if not better, and has the enormous advantage that as a ruling politician, you don't have to increase taxation.

One petty government official takes away two profitable jobs in the private.

Society could also survive by simplifying. But in history few societies actually did so. Except in some cases and when their backs were against a wall. Simplifying stands for less government and for making Government as much as possible PRODUCTIVE in the real sense of the word.

Wednesday March 25, 2015 - Tout vas tres bien madame la marquise?

Updated sections:

debt and gnp

Central banks keep printing money like drunken sailors... mathematically we know that the system needs exponential growing amounts of fresh money to survive and that this by definition ends with Hyperinflation. This can be compared to a Heroin junkie who consumes more and more opium until the patient passes away...

The Herd keeps behaving in a TYPICAL HERD fashion....and nobody will care that the Emperor has no clothes until something inexpected happens and we have a stampede. When this happens it will be too late to act...

What else is the Investor waiting for to allocate an important part of his funds to the Gold & Silver sector?

Central Banks are printing money like there is no tomorrow 9after QE1, QE2, QE3, expect QE4 soon)
We have sub zero interest rates: Nominal Interest rates have been manipulated towards ZERO and have now even been pushed under ZERO.
Real Interest rates have been negative for years now.
Bonds/Treasuries are because of the poor financial state of Governments and Banks WORTHLESS and sit in a gigantic bubble.
2008/09 we had a 1st warning that the banking and financial system is in trouble and ever since Lehman Bros we had new warnings: Cyprus, Austria,....
Gold and Silver are allegedly been manipulated and it is clear that we have a dramatic shortage of physical gold (ratio is 1:100)
Gold and Silver shares are so cheap that many (if bought at actual market prices) are worth more when liquidated. The average price to book value ratio is 0.76
Authorities and Bankers have no clue of what is happening and those who know are lying.
We have a Inflationary Depression...and Governments are manipulating the Inflation figures and selling Deflation propaganda.
We know there is a PENSION problem.
Taxation gets worse each day and Authorities are doing whatever they can to collect as much tax money as possible and reduce outlays.
Every body feels something is ashtrey and know it is only a matter of time before some dramatic accident happens.
Wars and social revolt start to be seen all everywhere.

Important Fundamentals: see subscriber's section

Important Technicals: see subscriber's section

Tuesday March 24, 2015 - The rush for real assets is on, and the words from the Fed were the sound of a starter pistol going off.

Updated sections: Real Estate (public) ,

Hyperinflation sits just around the corner. The rush for real assets is on, and the words from the Fed last week were the sound of a starter pistol going off. And the time to protect yourself is NOW. Stop chasing those PROFITS. It's time to PROTECT your savings, not to take risks. Those who have flocked into Fiat Money, Bonds, COMMON STOCKS and DERIVATIVES will some day wake up with a nasty surprise...About 75% of all savers are holding Derivatives and probably don't know or realize it. We have an exponential acceleration of the creation of debt/fiat money and to add injury to insult low and negative interest rates: the PERFECT environment for a Hyper-inflationary Depression. The main difference with Weimar is that this time the event will be seen in a lot more countries.[click here for a link to Weimar]

The Central Banks are scared to death about pricking the equity and massive bond bubbles.

84 years of Democrats (Socialism) in Chicago...and the pension debt has become too large to borrow and too large to cover.

Important fundamentals:

Pirelli has been taken over by a Chinese company. Expect to see Chinese girls on the 2016 Pirelli calender!

pirelli

Monday March 23, 2015 - Gold Does It (breaks $ 1175) / Silver Takes Off - Backtest for Euro/US-Dollar

Updated Sections: €-Gold & €/$ ,  Gold & Silver versus common shares , Coal , Oil shares ,

The HERD is following BLIND LEADERS. At least 95% of Politicians and 95% of Bankers don't know the basics about the creation of money and have no clue about its economic role. Even more Bankers and Polticians don't know and don't understand what Inflation and Deflation are. This is really scary....Today - de facto - bankers have become Government Institutions and Bankers are Petty Government Employees.

Putin will soon nationalize the Central Bank of Russia and the ruble according to his confidant Yevgeny Fyodorov. Under the Russian Constitution, the CBR belongs to a foreign State – the City of London – and is taking orders from London and Washington. The CBR bank can only print money corresponding to its cash in foreign currency, which is not sufficient for Putin´s purposes. The CBR even has to buy (worthless) US bonds for the dollars paid for Russian oil – whereby the dollars return to the FED!

Economic depressions always result in Social Unrest, Revolutions and Wars. This time ain't different. When there is a high unemployment rate (especially among Youth) there is no work and no hope. As their position worsens Young unemployed people are radicalizing and do everything to feel useful; even joining IS in Syria and Libya.

WORLD WARS are able to reduce unemployment in a matter of years. The unemployed are recruited 'en masse' by the Army and the work force at home by the War Industry.

US military convoy parades through Eastern Europe. A convoy of US military vehicles, mostly IAV Stryker APCs, is touring through Estonia, Lithuania, Poland, Latvia, the Czech Republic to Germany in a symbolic show of force and solidarity with Eastern European allies “that live closest to the Bear.” Poland to move thousand of troops to border with Ukraine...but NO ATTENTION paid to this by West-European Media...[click on picture below for more]

Going offshore means flexibility and freedom. Saving or evading tax is rarely the primary reason for going offshore. You are operating in a less regulated environment. For business people who are sophisticated enough to manage their own financial risks, and who believe in the free market and an open economy, lack of regulation is one very good thing. You can save a fortune in legal and compliance fees, and most importantly of all, win back time to spend on productive activity like developing your business, rather than on complying with endless bureaucratic requirements.

Brace for lower Real Estate prices in China but also in the USA, Spain, France, Belgium, The Netherlands. Even in Canada real estate prices are coming down. Real Estate is a High Order Capital Good and price of HOCG always comes down during (hyper)inflationary recessions and depressions. Because of an extreme shortage of decent housing, the exception remains Panama .

The crash of Crude Oil prices is killing FRACKING in the US. Since the start of the Bust, the number of Rig counts has fallen from 1,069 rigs to 866 ...and it ain't over yet. Once it has been initiated, a Fracking process cannot be stopped. They have to let it run until the Fracking Well is exhausted.

The crash of Crude Oil prices impacted the price of Natural Gas which also came down by about 50%. This in turn had an impact on the Uranium price: cheap oil and cheap natural gas are delaying the re-activation of nuke power stations (Japan) and less new nuke power stations are built....but how long will we see cheap oil?...see subscriber sections for more.

Important Fundamentals: see subscriber sections for more

Important Technicals: see subscriber sections for more

Friday March 20, 2015 - We have a depression and not a recession!

Updated sections: to ensure the reader does check the Charts in each section the date for the charts will no longer be published - US-Dollar , €-Gold & $/€ , Crude Oil ,

Global carmakers suspend supplying Russia on ruble slide. The biggest US vehicle maker General Motors and the fourth largest South Korean automaker SsangYong are to suspend deliveries to Russia, saying they are “changing the business model” in the country to adjust to the falling ruble. The car makers have their biggest production facilities outside of Russia have reached a point where they can no longer withstand the losses from the falling ruble. The Russian currency has lost nearly half of its value since mid-2014, which has meant a hike in prices for imported cars, and losses for the manufacturers...The danger here is that Putin may come and get the cars with the help of the russian army. Also important is that the Automobile sector is one of the best canaries in the mine shaft indicating we have a DEPRESSION and not a Recession.

No depression? In the USA sales of single-family homes declined to a five-month low and builder optimism about the outlook failed to improve, the report also showed.

Wall street is overnight speculation driven by trading robots and hedge funds and has become absolutely unstable...the traders borrow the money at almost zero percent and gamble it away overnight. NO WAY any private investor can do so … and this is probably the reason behind the highly volatile markets we have from time to time.

Important fundamentals:

Janet Yellen is leading the financial markets by the nose....Mind the commodities, Gold & Silver, the US-Dollar and the Euro once the Traders find out we shall NOT have a hike in Interest but more money printing. Having said this, absolutely not hard to take the market by the nose....as most participants are extremely stupid and obsessed by Immediate Satisfaction. A rather dangerous exercise I must admit.

Important Technicals: see subscriber's section

Thursday March 19, 2015 - Expect to see QE # 4 before end of 2015!

Updated sections: LT-commodity Charts, Commodities expressed in Gold (Real Money) , Inflation-index in $/€ , Copper & Platinum , Agriculturals , Gold & Silver Majors ,

The bubble is deflating and that is the reason why we shall see QE 4 soon. They didn't understand what the problem was and is, and they still don't understand it. The day the FED ignites QE 4 , the Dollar will tank and Gold & Silver (and commodities) will geyser. Today's Oracle talk of Janet is not even a joke!

The Financial Markets will go nuts once they smell QE4 instead of higher Interest rates as expected.

fed monetary base

Wednesday March 18, 2015 - Hitler, Napoleon, Mao, Stalin, Castro, Kirchner, Chavez & Maduro, Erdogan were put in power by the Democratic majority!

Updated Sections:

Venezuelan president Nicolás Maduro given power to rule by decree. The Venezuelan parliament on Sunday approved a law giving the president, Nicolás Maduro, the power to legislate by decree for nine months in the face of what he described as threats by the US government. The so-called “anti-imperialist” law will be in effect from the time it is published in Venezuela’s Official Gazette until 31 December. Maduro requested the expanded powers in response to new US sanctions on Venezuelan officials accused of human rights violations. Critics of Venezuela’s government have called the move a power grab. The US is targeting officials in the top echelon of Venezuela’s security apparatus it says are responsible for cracking down on last year’s anti-government protests and for pursuing charges against opponents. The officials will be denied US visas and have their US assets frozen.

The Venezuelan Majority actually LIKES Nicolas Maduro...as much as the Turkish majority likes Erdogan and Israeli people like Bibi...they will until things get out of hand.

People don't want to hear the reality and the truth that we're facing: The FED, BoJ, ECB, BoE are out of control. Their balance sheet have exploded. They are printing money like never before. Today the IMF is already preparing for the worst by adjusting the mechanisms of the SDR (Special Drawing Rights). Expect that when the next financial catarsis occurs, the IMF will start using Special Drawing Rights to save the world. For the SDR to gain legitimacy as a global unit of account, the composition of the basket has to be expanded to include a more balanced representation from the largest economies. In all categories the following seven currencies dominate the top positions:

1. 1. USD – United States dollar
  2. EUR – European Union euro
  3. YEN – Japanese yen
  4. GBP – Great Britain pound
  5. CHF – Swiss franc
  6. CAD – Canadian dollar
  7. RMB – Chinese yuan

You cannot buy yourself out of the economic crisis by keeping interest rates at zero levels and printing money for ever. No central bank has printed so much money and kept interest rates so low for so long....

Welcome back to the American debt ceiling drama! The nation's borrowing limit is getting reinstated Monday, and the clock will start ticking toward possible default sometime in October or November when the Treasury runs out of "extraordinary measures" to keep paying the bills. The irony is that this has become a "Fait Divers".

The Fed is WRONG and is always wrong...hiking interest rates is very, very, very dangerous,...

Important Fundamentals & Technicals: see subscriber's section

Tuesday March 17, 2015 - Juniors may actually be a better investment than Majors -

Updated sections:

Electricity consumption and car sales are an excellent indicator for the economy....and both are coming down! Countries like China (High Order Production Countries) will suffer more from the depression. The situation can be compared to the United Kingdom versus the USA during the Great Depression of the 1930's.

What does matter is that right now, the best of the best gold stocks are so undervalued that all you need to do is load up and hold on—for a shot at "vertical" profits once the gold market recovers.Junior miners, which are companies that specialize in exploration or small-scale mining, are in a position to sit out a slump because they often have little debt, few big costs and the ability to hire out their machinery, such as drills. That is unlike the industry giants, from Barrick, Newmont, Freeport-McMoRan Inc. to Rio Tinto PLC, which have big debt piles and large, high-cost operations to maintain. Those qualities have allowed the junior mining sector to defy predictions of widespread bankruptcies. See the subscriber's section for our Juniors and their objectives.

Important Fundamentals:

Monday March 16, 2015 - China's High Order Capital Economy Slowing Down `Sharply,'

Updated sections: Investment Pyramid , $-Gold , US-Dollar , €-Gold , Silver , World Stock Market Indexes , Bonds in the EU , Corp. Bonds , Bonds USA ,

French are following the same path Russia, China, Brazil, South-Africa,...and many other countries are following.

Less and less trade is invoiced in US-Dollar. Rigging and manipulating of a currency becomes extremely hard, if possible at all if the volume of traded goods and services dries up...

Made in China and fed by Central and South America. The USA has a growing trade deficit of bn $500 per year and the stronger dollar exacerbates the situation as it is destroying the little manufacturing the USA has left. Add to this that an expensive Dollar is exporting Inflation overseas and as it affects the living standards, it will create even massive unrest across the World. [this kind of happening warns us the Dollar game is almost over...] As soon as September 2015, China is launching CIPS (Chinese International Payment System) and Russia has already launched its own SWIFT alternative, linking 91 financial institutions initially. This the Americans have to thank to the efforts of the NSA in spying on the activity of SWIFT. [remember this is and was done for our own safety and to stop money laundering and terrorism...or how stupid and naive the herd can be!]

The second half of 2015 will be CRITICAL for the US-Dollar...

The Americans enjoy shooting themselves in the foot. I wonder if this is arrogance or just being plain stupid. Recently the French Finance Minister explained how completely unnecessary it was for a European aircraft manufacturer to sell jets to European airlines in US dollars (instead of euros). He also slammed the US government for arrogantly fining French bank BNP a whopping $9 billion for doing business with countries that the US doesn't like...apparently the Americans still fail to understand that. [BNP was fined because it acted as intermediary in selling billions of US treasuries] - click to enlarge chart

If the EU keeps behaving like a spoiled brad, some day Putin will - just like Hitler did in 1939 - come and get it all with the help of the Russian Army, .

EU blocks Hungary nuclear deal with Russia. Europeans enjoy shooting themselves in the foot...or are they put under pressure by the USA (NATO)? The EU has blocked Hungary's €12bn nuclear deal with Russia, a decision that is likely to inflame tensions between the Kremlin and Brussels. The ruling from the European Commission is a setback for Viktor Orban, Hungary's prime minister, who has courted the Kremlin despite the conflict in Ukraine. [remember that the USA succeeded in stopping the delivery of french manufactured ships to Russia]

Guns talk when negotiations fail...and EU-politicians are way too stupid and naive to understand Europe will once more end up being the battle field....

Expect Gold & Silver to come back with a revenge as soon as the Dollar start it's death rattle and follows the Euro into the Abyss. The rush out of the Euro and into the dollar is turning the greenback chart parabolic. This is too much, too high and too fast. That hints a change is imminent since nothing goes vertical for very long.

China's Economy Slowing Down 'Sharply,' There is a slowdown in Chinese growth and demand for raw materials and such is falling. China is a HOCG-country and the canary in the mine shaft and the bad figures indicate that we're going to see another massive shake to the global economy.

For subscribers only: see subscriber's section for more...

Friday March 14, 2015 - Federal Reserve will not raise rates as soon as June - we shall see more QE instead

Updated sections:

Moscow trading in ruble-yuan futures will begin on March 17 with the pair of currencies expected to become the third most popular by volume, says Moscow Exchange (MOEX) Deputy Chairman Andrei Shemetov.The number of tools that allow bidders to hedge their currency risks is currently not enough, that’s why Moscow Exchange offered to introduce a new hedging instrument as quickly as possible - futures on the yuan-ruble currency pair, Shemetov said Thursday as quoted by TASS.

Hardballs it is. "The ECB in my opinion is pursuing a policy that can be considered asphyxiating toward our government," Varoufakis was quoted by Reuters as saying in an interview with Greece's Mega TV. Greek Finance Minister Yanis Varoufakis said the European Central Bank is holding cash-strapped Athens in a choke-hold in order to push through negotiations on the country’s bailout program. The European Central Bank has essentially cut Greece off from short-term lending, which makes borrowing more expensive for the already heavily-indebted nation. If Athens doesn’t strike a deal with Brussels, they will lose emergency assistance funding from the ECB.

If this is true, the Dow Jones will rise to 30,000 (and higher)...and the Gold & Silver sector has bottomed out.

Bull markets climb a wall of worry.
Bull markets end when no one is worried.
During bear markets more and more people throw in the towel.
Bear markets end when everybody who was going to sell, have sold!

Important Technicals: see subscriber's section

Thursday March 12, 2015 - Investors face a geopolitical situation as dangerous as any since WW2

Updated sections: Gold & Silver Juniors (new share added) ,

We are now in Wonderland, where anything is possible. Real money disappeared a long time ago and we have only fiat money that can be created out of nothing. And whatever needs governments have, they can just print more money to achieve it. But the problem now is that the needs of most countries are growing exponentially because printed money requires more printed money to keep the wheels moving….To add injury to insult, the system has become so addicted to fiat money that it – for the time being - still operates with a NEGATIVE return on worthless fiat money . Unseen in 3000 years of history. Who would even have imagined that citizens and bankers would have accepted to pay for something which is not, for a Mirage....and HOW LONG will it take before this absurdity destroys the world?!

Should one invest in EU-stocks because Mario has activated his bazooka! Really a stupid idea as the investor will loose it in Japanese Style...a potential 10% profit on a stock will be whiped out by 10% loss on the currency

An EU Army to face Russia? Who do you think you're kidding, Mr Juncker? - Nigel Farage. It was Europe, the EU, Belgium and Guy Verhofstadt who started the trouble in Ukraine. We had peace in Libya, Iraq, Syria,...until the Intelligent Psychopaths in the West decided they had to terminate Saddam Houssien, Gadaffi, Assan,...

Pound breaks through €1.40 to hit seven year high. The pound climbed to its highest level against the euro in more than seven years on Tuesday, hitting €1.40 and giving a boost to British holidaymakers looking to head to the continent. Sterling broke through the psychologically important €1.40 barrier on Tuesday to €1.4113 - its strongest since November 2007. This means £100 buys an extra €22 compared with this time last year.

Johannesburg - The rand extended losses against the dollar on Tuesday, falling to a new 13-year low. The rand hit a session trough of R12.3100/$, the weakest it has been since January 2002 according to Thomson Reuters data, and was at R12.2330 by 16:28, down 1.2% on the day. It was among the five weakest performers in a basket of 25 emerging market (EM) currencies monitored by Reuters; the others being the Russian rouble, Turkish lira, Polish zloty and Hungarian forint.

top march 12

Wednesday March 11, 2015 - It is impossible to forecast and control Gold Manipulation

Updated sections: The Gold Pool , we have new PF charts for Gold expressed in major currencies...

Americans are committing financial & economic suicide and we still may see the US-Dollar tank before the end of the year!. China's mega international payment system is ready, will launch this year. The China International Payment System (CIPS) is due to kick off this year, bringing the yuan a step closer to becoming a global trading currency, as the new system will make payment transfers just as easy as in dollars and euro. The launch is expected in September or October, depending on how tests go, a source told Reuters. Another person with direct knowledge of the matter said the goal is to start the first phase before December. Russia intends to have its own international inter-bank system up and running by May 2015. The Central Bank of Russia says it needs to speed up preparations for its version of SWIFT in case of possible ”challenges” from the West.

The German Mark showed EXACTLY the same Death Cat bounce as the Dollar shows today before the Weimar Hyperinflation started and the Mark became worthless.!

It is impossible to control the Gold & Silver Manipulation. What is 100% sure however is that Manipulation never was able and never will be able to alter a fundamental trend. It can only postpone the inevitable for so long. The best modern example we had in the 1960's with the Gold pool (see academics). Investors better be careful and ADD to their positions....and be patient. Patience is bitter but the fruit is sweet.

The financial situation in Europe and the EU is simply catastrophic and unsustainable....not even God can save the EU nor the Euro! Note the date on the chart below : 2003/04 - today the situation is even worse...

Important Fundamentals:

Allied Nevada Gold (ANV) filed for bankruptcy in Delaware. The company blamed its deteriorating financial condition on the drop in gold and silver prices in recent years, an overleveraged capital structure, delays in a key expansion project, and currency swap exposure. (ANV is not part of our selection)

Tuesday March 10, 2015 - The bubble is getting bigger and bigger and bigger...until nobody can stop it from busting.

 Updated sections: Banks ,

Everything you ever wanted to know about Peak Oil, Energy, fiat money, Central Banks ,...and learn what the bumpy plateau of the oil price is forecasting NOW.

No, we have NO price-deflation.! Inflation is a more than proportional growth of the money supply. Deflation is a more than proportional contraction of the money supply. It is impossible to measure the degree of inflation/deflation by measuring the price fluctuations. Deflation is Public (Central Banks, Authorities) Enemy #1 . Because Journalists and Media are run by a bunch of either Idiots or Liars it has become extremely easy to mislead the Herd (which has no clue about economics at all).

We are about to find out that the Central banks are NOT the driving force behind the economy.

Important Technicals: see subscriber's section

Monday March 9, 2015 - We ain't having an economic recovery !

Updated sections:

The standard of living is coming down..and Central Banks keep printing money...and the Hyperinflationary depression sits right around the corner. When the Dollar and the Euro really start to slide, there is NO WAY to increase interest rates to stop the slide. [our apologies for the advertising...]

Forget the happy talk about the so-called “recovery”—it ain’t happening. The GDP in the last three quarters, if you believe what they put out, is the strongest economic growth seen in more than a decade. Not so, this is a damn LIE! Also, that’s not the common experience. . . . The consumer is in terrible liquidity straights. . . . The reality is the economy has not recovered.”

Soon or later the Financial Markets will find out the Authorities and Mainstream Media have been selling nothing but a HUGE LIE and Forex Markets (US-Dollar), Bond and Stock markets will collapse: Stock Markets and US-Dollar have gone up because of false expectations.

Few people know the correct definitions of Capitalism and Socialism and fewer the definition of Inflation and Deflation.

Something is brewing behind the scenes: HSBC Announced Closure Of All London Gold Vaults. The bank is giving only 2 months’ notice to clients (GLD - gold ETF is one) that they are closing down all 7 of their London gold vaults. This is an unprecedented move which comes because transparency is coming. No doubt the majority of clients will be unable to make other vaulting arrangements in time. HSBC will make it easy for these clients to sell the bullion back to HSBC, who will then use this bullion inflow to repay some underwater positions.

Important Technicals: see subscriber's section

Friday March 6, 2015 - there is something fishy about the euro !

Updated sections : $-Gold , Silver , €-Gold & €/$ , US-Dollar , 
Aussie-Gold & Aussie/$/€ , Juniors Information , Swiss-Gold & 
Swiss/$/€ , Can-Gold & Can$/$/€ , ¥-Gold & ¥/$/€ , £-Gold 
& £/$/€ , ZAR-Gold & R/$/€ , Krona-Gold & Krona/$/€

History rhythms...Today applies to Russia and Putin what we had in Germany prior to WW II. The U.S. government’s investigation of all the factors leading to the Second World War in 1946 came to the conclusion that without IG Farben the Second World War would simply not have been possible.

The modern IG-farben could be Gazprom, or any other major Russian co.

After the First World War, all the major chemical concerns were merged into a single gigantic trust in 1926 – the I.G. Farbenindustrie A.G. – under the leadership of Carl Duisberg and Carl Bosch. Dyestuffs, pharmaceuticals, photographic supplies, explosives, and a myriad of other products poured forth in ever-growing volume and variety.

It was IG-Farben together with Audi, BMW, Daimler-Benz, Siemens, Leica Camera, Volkswagen, IG- Farben (BASF), Krupp, Hoescht, Messersmith, Bayer,...who were actually supporting Hitler in opening the forbidden the European markets for their products.

The most powerful German economic corporate emporium in the first half of this century was the Interessengemeinschaft Farben or IG Farben, for short. Interessengemeinschaft stands for “Association of Common Interests” and was nothing more than a powerful cartel of BASF, Bayer, Hoechst, and other German chemical and pharmaceutical companies. IG Farben was the single largest donor to the election campaign of Adolph Hitler. One year before Hitler seized power, IG Farben donated 400,000 marks to Hitler and his Nazi party. Accordingly, after Hitler’s seizure of power, IG Farben was the single largest profiteer of the German conquest of the world, the Second World War.

Allegedly, prior and during WW II the finances of A. Hitler were taken care off by a Jewish bank.

One hundred percent of all explosives and of all synthetic gasoline came from the factories of IG Farben. Whenever the German Wehrmacht conquered another country, IG Farben followed, systematically taking over the industries of those countries. Through this close collaboration with Hitler’s Wehrmacht, IG Farben participated in the plunder of Austria, Czechoslovakia, Poland, Norway, Holland, Belgium, France and all other countries conquered by the Nazis.

Important Fundamentals & Technicals: see subscriber's sections

Thursday March 5, 2015 - Bankers move into the financial markets like elephants !

Updated sections: Long Term Indexes, US-Dollar ,

The Draghi Derangement: $2 Trillion Euro Government Bonds Trading At Negative Yield. The fact that nearly $2 trillion of debt issued by European governments is currently trading at negative yields is a flat-out derangement. After all, the aging, sclerotic economies of the EU have been making a bee line toward fiscal insolvency for most of the last decade. The impending ECB purchase of $70 billion of government debt and other securities per month for the next two years has transformed the financial casinos of Europe and elsewhere into a front runner’s paradise.

The Euro continues to slide. This indicates there is more trouble in the Euro-waters than Greece, Ukraine and Austria.

Despite Russian Warnings, US Will Deploy A Battalion To Ukraine By The End Of The Week. This comes a week after PM David Cameron confirmed Britain will be sending 75 military personnel to help combat Russian military aggression. Other EU-countries are increasing (or planning to) their military budgets and vessels are heading for the Black Sea: Six NATO warships arrived in the Black Sea on Wednesday to take part in exercises with the Bulgarian, Romanian and Turkish navies, the Alliance’s Maritime Command (MARCOM) said in a statement. Russia’s envoy to NATO, Aleksandr Grushko, said Moscow will take “necessary countermeasures” in response to the Alliance’s increased presence in the Black Sea, which washes the shores of Russia, Ukraine, Turkey and several other countries.

Greece, Syriza Will Tap Pension Funds To Pay IMF

Eurozone faces first regional bankruptcy as debt debacle stalks Austria's Carinthia. Fitch has stripped Austria of its AAA rating, adding that 'within a short space of time the debt dynamics of Austria have deteriorated significantly'

Important Fundamentals:

Apart form the terrible financial situation of the European banks, the EU-zone and the dangerous political game played versus Putin, the fact that we have a cheaper Oil price does in fact allow for a lower and more competitive Euro.

Important Technicals: see subscriber's section

Wednesday March 4, 2015 - The foxes (Goldman Sachs) are looking over the henhouse....

Updated sections:

You cannot buy yourself out of the economic crisis by keeping interest rates at zero levels and printing money for ever. No central bank has printed so much money and kept interest rates so low for so long ever....Zero interest rates have basically destroyed the pricing function in the financial markets. As a result of this, Wall Street has become a huge casino which basically rewards gamblers, but it is not functioning as a capital raising, capital allocating instrument, which really is what the financial markets should do in a free market system.

it simply is impossible to print yourself into prosperity, impossible !!!

Wall street and Stock Markets have become overnight speculation driven by trading robots and Hedge Funds and has become absolutely unstable...The traders borrow the money at almost zero percent and gamble it away overnight. NO WAY any private investor can do so. There is not a split second doubt that this Huge Masquerade will at a certain time implode and that because of Derivatives, the financial system will be completely destroyed or at least lethally damaged. Those who are not prepared will just like with Operation GUTT loose all of their savings. Therefore one must go for SECURITY, QUALITY and keep savings OUT OF POLITICAL REACH.

People don't want to hear the reality and the truth that we're facing.

Central bank bubbles last for about 6 year before they bust. Today the NASDAQ broke a 15 year old record after what we can call a 5/6 year bull ride. Equities are extremely expensive. Price-Earnings levels dramatically high. Technically many stock market indexes are crawling upward against the top of their trading channels. See section for Long Term Stock Market Charts for more Megaphone and resistance levels...and remember we MUST have a positive breakout followed by a positive backtest before we can talk of higher. Note that although we have breakouts of the Indexes for specific countries, these breakouts have still NOT BEEN CONFIRMED by a positive BACKTEST .

dow megaphone

Extremely hard to forecast WHEN the next bubble will burst and WHICH one will go first: the Bond market or the Dow Jones. If and when it happens, the Real Estate markets will take another serious hit and push more borrowers under water.

Tuesday March 3, 2015 - Gold's bull run has not yet begun - Hyperinflation is a currency event -

Updated sections: Investment Pyramid , Natural Gas shares , Uranium ,

Hyperinflation has started with the weakest economies and is working its way up to Europe and the USA. Looking at the gold price in various currencies, we can see clear signs of hyperinflation. Since 2008, when the great financial disaster started, gold is up between 800% – 900% in Belarus and Ukraine, and 400% – 600% in Argentina and Syria. These countries have inflation rates of 500% – 800% since 2008. These economies are totally collapsing. There is, of course, no way for a heavily-indebted West to assist any of these countries. One country, Ukraine, is getting major funding from the West, but in spite of that Ukraine is totally disintegrating. Ukraine is rapidly running out of both food and money...

Collapsing currencies will not only destroy wealth, it will also lead to capital and exchange controls and the disappearance of paper money as a medium of exchange.

The system has become so INSANE that in several countries, we have to pay insolvent banks to hold our money?! Switzerland, Denmark, ... are you also playing the game or are you buying Gold and storing it out of political reach!? Do you REALLY for one split second believe this story can have a happy ending!? Do you know what happened in Austria over the weekend after a bank (Heta Asset) went bankrupt !? The Austrian Government decided that the Government Guarantee would not be applied..." The finance ministry noted that creditors can be forced to contribute to the costs of winding down Heta - or "bailed in" - under new European legislation that Austria adopted this year so that taxpayers do not have to shoulder the entire burden."

Social Unrest, revolutions and wars are given life by Economic Recessions and Depressions. This is a secret any Historian knows but not a single modern politician seems to understand.

The talking Heads pretending we have Deflation, don't understand the very definition of Inflation and Hyper-inflation. Even worse, they try to measure Inflation and Deflation by measuring the PRICE LEVELS. Such is INSANE...and yet one sees and reads it every day in the mainstream media. To add injury to insult this nonsense often comes out of the mouth of Prof. Economics. Any human being measuring the degree of Inflation and/or Deflation by measuring the fluctuation in prices, simply doesn't know what he/she is doing!

A report by the EU to be published today reviewing the economies of European countries has identified various problems in most European economies.

High "structural" unemployment, high levels of public and private debt and a still vulnerable banking sector are weighing on the Irish economy
Report further casts doubt on the "recovery" narrative being touted by governments, banks and vested interests across the world
Levels of spin and denial not seen since before the crash of 2008

Important Technicals:

Monday March 2, 2015 - The political centre across Europe is disintegrating -

 Updated sections:

Expect to see more pressure on the Euro in 2015 and major political shifts over the coming years. The political centre across southern Europe is disintegrating. Establishment parties of centre-left and centre-right - La Casta, as they say in Spain - have successively immolated themselves enforcing EMU debt-deflation.

The political centre across southern Europe is disintegrating.

Spain's neo-Bolivarian Podemos party refuses to fade. It has endured crippling internal rifts. It has shrugged off hostile press coverage over financial ties to Venezuela. Nothing sticks.

The insurrectionists who came from nowhere last year - with Trotskyist roots and more radical views than those of Syriza in Greece - are pulling further ahead in the polls. The latest Metroscopia survey gave Podemos 28 percent. The ruling conservatives have dropped to 21pc.

The once-great PSOE - Spanish Workers Socialist Party - has fallen to 18pc and risks fading away like the Dutch Labour Party, or the French Socialists, or Greece's Pasok. You can defend EMU policies, or you can defend your political base, but you cannot do both.

As matters stand, Podemos is on track to win the Spanish elections in November2015 on a platform calling for the cancellation of "unjust debt", a reversal of labour reforms, public control over energy, the banks, and the commanding heights of the economy, and withdrawal from Nato.

Economic Depressions, Energy problems and Wars come hand in hand. (click on the picture below for the lastest international Global Debt to GDP figures)

No recession, no depression!? Only when you listen to the Propaganda of Authorities.

Halliburton To Cut Up To 6,500 Jobs
Norway oil sector braces for 40,000 job cuts amid downturn ...
Siemens to Cut 7,800 Jobs Worldwide
IBM To Cut More Than 110,000 Jobs
Schlumberger Cuts 9,000 Jobs
Baker Hughes to cut 7,000 jobs
EBay Plans 2,400 Job Cuts, Icahn
Oil services job cuts reach 25,000

Categories: News

International Wealth Management

NEWS MARCH'15 (public)

The US-Debt situation is like an outstanding loan of $ 1.8 million with a $30,000 income.

Tuesday March 31, 2015 - Interest is rent paid on a loaned asset and something is astray when it is negative !

Monday March 30, 2015 - It's all about complex societies, expensive Energy and Peak Oil.

Friday March 26, 2015 - Why do ordinary citizens behave like idiots once they have been elected ?

Thursday March 26, 2015 - Capitalism is a system of mass production for the satisfaction of the needs of the masses -

Wednesday March 25, 2015 - Tout vas tres bien madame la marquise?

Tuesday March 24, 2015 - The rush for real assets is on, and the words from the Fed were the sound of a starter pistol going off.

Monday March 23, 2015 - Gold Does It (breaks $ 1175) / Silver Takes Off - Backtest for Euro/US-Dollar

Friday March 20, 2015 - We have a depression and not a recession!

Thursday March 19, 2015 - Expect to see QE # 4 before end of 2015!

Wednesday March 18, 2015 - Hitler, Napoleon, Mao, Stalin, Castro, Kirchner, Chavez & Maduro, Erdogan were put in power by the Democratic majority!

The Fed is WRONG and is always wrong...hiking interest rates is very, very, very dangerous,...

Tuesday March 17, 2015 - Juniors may actually be a better investment than Majors -

Monday March 16, 2015 - China's High Order Capital Economy Slowing Down `Sharply,'

Friday March 14, 2015 - Federal Reserve will not raise rates as soon as June - we shall see more QE instead

Thursday March 12, 2015 - Investors face a geopolitical situation as dangerous as any since WW2

Wednesday March 11, 2015 - It is impossible to forecast and control Gold Manipulation

Tuesday March 10, 2015 - The bubble is getting bigger and bigger and bigger...until nobody can stop it from busting.

Monday March 9, 2015 - We ain't having an economic recovery !

Friday March 6, 2015 - there is something fishy about the euro !

Thursday March 5, 2015 - Bankers move into the financial markets like elephants !

Wednesday March 4, 2015 - The foxes (Goldman Sachs) are looking over the henhouse....

Tuesday March 3, 2015 - Gold's bull run has not yet begun - Hyperinflation is a currency event -

Monday March 2, 2015 - The political centre across Europe is disintegrating -

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