Wednesday, February 10, 2016

Financial Collapse Coming: Entering The Belly Of The Epocalypse

If you are paying any attention to the news - the financial collapse described below seems inevitable, mainly because so many economists are warning us, and their logic seems to make a lot of sense.  The world's financial situation is most definitely worth watching in the coming weeks:

Only a couple of weeks ago, I said we were entering the jaws of the Epocalypse. Now we are sliding rapidly down the great beast’s throat toward its cavernous belly. The biggest economic collapse the world has ever seen is consuming everything — all commodities, all industries, all national economies, all monetary systems, and eventually all peace and stability. This is the mother of all recessions.
That’s a big statement to swallow, especially when many don’t see the beast because we’re already inside of it. You need to look down from 100,000 feet up in order to observe the scale of this monster that is rising up out of the sea and to see how rapidly it is enveloping the globe and how the world’s collapse into its throat is accelerating. The belly of this leviathan is a swirling black hole, composed of all the word’s debts, that is large enough to swallow every economy on earth

Mexican retail billionaire Hugo Salinas Price has looked long into the stomach of this mammoth, and this is what he has seen:

[Global] debt [as a percentage of GDP] peaked in August of 2014. I’ve been watching this for 20 years, and I have never seen anything like it. It was always growing, and now something has changed. A big change of this sort is an enormous event. I think it portends a new trend, and that trend will be to get out of debt. Deleverage and pay down debt. That is, of course, a contraction. Contraction means depression. The world is going into a depression. It’s going to get very nasty. (USAWatchdog)

So, let’s step back and look at the big picture in order to see how immense this thing is: (One thing that you’ll notice is common in the statements of many sources below is comparisons to 2008, when we first entered the Great Recession. You hear that comparison every day now, which says many people feel that, after piling on trillions of dollars and trillions of euros and trillions of ___ in debt to save ourselves, we are right back where we started … but exhausted from the effort.)

As Hugo Salinas Price warns, toxic debt may have hit a ceiling where it has stopped going up because individuals, industries, and now nations have reached real debt limits they cannot support. According to the New York Times, toxic loans around the world are weighing heavily on global growth:

Beneath the surface of the global financial system lurks a multitrillion-dollar problem that could sap the strength of large economies for years to come. The problem is the giant, stagnant pool of loans that companies and people around the world are struggling to pay back. Bad debts have been a drag on economic activity ever since the financial crisis of 2008, but in recent months, the threat posed by an overhang of bad loans appears to be rising.

Many national debts are more than the entire annual GDP of the nation, including the enormous US national debt, which will reach $20,000,000,000,000 by the time the next president takes office. (You can’t even see wide enough to focus on that many zeroes at the same time. The “2” gets lost in your peripheral vision.) And many places like Greece and Brazil and Puerto Rico are defaulting on their debts.
The United State’s debt alone is only payable so long as interest rates stay near zero; but rates are now rising, and the number of financiers has greatly retreated. The only thing to save the US from its toppling debt problem in the short term may be that people all over the world run to the shelter of US bonds when everything else is caving into the black hole.

It’s no secret that Russia has outlawed trading oil in dollars among its satellite nations and that China and Russia trade in yuan now, not dollars, but Iran is the latest to stick it to the US, announcing that it will no longer trade oil in US dollars either but will sell its oil only for euros. So, we have the gargantyuan and the petroeuro, taking major bites out of the petrodollar now. China and Russia have also been divesting from US treasuries for some time and investing in gold, something I started point out here a few years ago.
All of this means that the US dollar is rapidly ceasing to be the trade currency of the world, and that prized status is the only thing that has made the US national debt manageable over the years, as the high demand for trade dollars guarantees low interest on the most colossal debt in the world because national treasuries and businesses sop up US bonds as a safe way to store trade dollars. The Federal Reserve has become the buyer of last resort for US debt; but it has maxed out.
The move away from the petrodollar is momentous. Losing its status as the reserve currency of the world will take a massive bite out of US superpower status, and that, of course, is exactly what Russia, China and Iran are counting on. With so many countries now trading oil exclusively in non-dollar currencies, one has to wonder how much longer overstretched Saudi Arabia can hold out as an oil supplier that trades oil only in dollars. Most likely they will feel a lot of economic pressure to start trading in other currencies, especially now that US support of Saudi Arabia appears to have weakened.
I’ve been reporting on this site for a few years now on this global campaign to kill the petrodollar, and that campaign is finally nearing maturity. For the US, it will mark a horrible transformation in the world, as it will hugely erode US superpower status because it will become much more difficult to finance a massive military machine.

Deutsch Bank‘s derivative bonds (the kind that caused the Great Recession) are pealing away. The top-tier bonds of Germany’s largest bank have lost about 20% since the start of the year. Investors are fleeing as tumbling profits cause them to doubt the issuer’s ability to support the coupon payments on the bonds. InvestmentWatch reports that “Deutsche Bank is shaking to its foundations” and asks “is a new banking crisis around the corner?” DB stock has fallen off its high last July by 50%.
By how much is Deutsch Bank too big to fall? DB’s exposure to derivatives is over 55-trillion euros. That’s five times more than the GDP of the entire Eurozone or three times the amount of debt the United States has accumulated since it was founded. It’s CEO says publicly he’d rather be somewhere else. Looking up at a leaning tower like that, I imagine so.

Banks have rapidly become so troubled that NewsMax ran the following headline “Bank Selloffs Replacing Oil Rout as Stock Market Pressure Point.”  In other words, bank stocks are not just falling; they are falling at a rate that is causing fear contagion to other stocks. It’s not easy these days to beat out oil as a cause of further sell-offs in the stock market.

How quickly we moved from a world of commodity collapse to what now appears to be morphing into a banking collapse like we saw in 2008. Financial stocks overall have lost $350 billion just since 2016 began. Volatility in bank shares has spiked to levels not seen since … well, once again, 2008.

The reason the Epocalypse is going to be a far worse bloodbath than the first plunge into the Great Recession is that all of the central banks of the world have, by their own admission now, “exhausted their ammunition” to fight back against another recession. Back at the start of the Fed’s Goliath recovery plan, I posited that we would be falling back into the abyss right at the time when all central banks had exhausted their strength and when all nations had maxed their debt.
Here we are.
Many central banks are already doing negative interest; yet, their economies are still sinking. It appears that more negative interest could actually sink them faster by eroding their banks with internal ulcers. It will certainly require going cashless in order for those banks to start handing the negative interest down to their customers. They have to absorb the cost of negative interest if they cannot loan out their funds fast enough. That’s why some banks are now pleading with their government’s for a cashless solution … so they can prevent their customers from switching to the cash-under-the-mattress exit plan.
The world faces a tsunami of epochal defaults. William White, former economist for the International Bank of Settlements, says,

A pernicious cycle of collapsing commodities, corporate defaults, and currency wars loom over the global economy. Can anything stop it from unravelling…? Commodity prices have crashed by two thirds since their peaks in 2014…. China, the emerging world, and financial markets – are all brewing to create a perfect storm in a global economy that has barely come to terms with the Great Recession…. “We are in a very unusual situation where market sentiment is of a different nature to anything we’ve seen before.”

Yes, this is the big one. The times we now face are the reason I started writing this blog four+ years ago. The Federal Reserve’s Goliath recovery plan was cloned all over the world for seven years, and for seven years all nations have done nothing to rethink their debt-based economic structures that are now cracking and groaning and falling into … the Epocalypse.

Emeritus Russia Scholar: U.S. 'Testing, Provoking Russia', Pushing Towards Hot War

Emeritus Russia Scholar at Princeton: Obama, US are 'Testing, Provoking Russia', Pushing towards Hot War

Points from interview with Stephen F. Cohen, Emeritus scholar of Russian studies at Princeton University and New York University:
“The US in its history has never put troops so close to Russia, going back to the eighteenth century.”  (Okay, this is factually incorrect; the US invaded Russia with some 13,000 troops in 1918, but give Cohen a break, he got his PhD at Columbia.)  Now the US is “right on Russia’s borders. … Obama cannot hide from this one in the shadows as he sometimes does regarding foreign policy.  This is his decision” and now “NATO is going to quadruple its military power around Russia.”
“The new Cold War has become much hotter because of a decision taken in Washington” and is “more dangerous than the preceding Cold War”.
Saying the new Cold War is “solely due to Putin’s ‘aggression'” is “simply not true.  At a minimum, both sides were responsible”, and in fact, as Cohen details, the US is the aggressor (which makes sense, as it has been expanding militarily since its inception, and is by far the largest military force in the world.)

On the US/NATO using Turkey to ignite the hot war: “We do know, I think, one thing: that for whatever reason, possibly because of its lucrative bootleg relations with the Islamic State, mainly involving oil, Turkey is trying to provoke a military conflict with Russia on the assumption that that would bring NATO directly in against Russia. … on the surface, there is no other explanation … NATO can tell Turkey to knock this off, but it goes on”; Washington doesn’t stop it, just as it does not, as Dr. Prashad points out, invoke the NATO charter to force Turkey to close its border to stop relations with ISIS.
“What’s going on at the moment” in terms of Turkey, Syria, and NATO’s expansion, is the US “testing Russia… provoking Russia… awaiting Russia’s reaction.”
Russia’s reaction so far is talk of “fortify[ing] its Western border.”
In the West, “all this is blamed on Russian aggression. But who’s the aggressor here?  Russia didn’t move its military equipment toward NATO.  NATO moved its toward Russia.  So I would say what you have here is a proactive NATO/American policy against Russia and a highly predictable reactive policy on the part of Russia.

In Ukraine, “the provocations and the initial punch came from the West, and Putin reacted in a way that Yelstin could not have or would not have, but Putin is Putin.”
Cohen says we are now at the most dangerous nuclear moment since the nuclear crisis of the early 1960s, and “Obama cannot hide from this now.  All his silences and his ellipses and his vanishing moment… this is his decision.  The buck stops there.  He signed off on this, and it is an enormous escalation of the Cold War in the direction of hot war.”
Perhaps the most notable statement of the interview comes at the end, when Cohen points out:
“Not one question about it has been raised in all this multitude of presidential debates.  … You and I tonight have talked about something that is unknown to the American public.”
How’s that for a propaganda system?

There is something mysterious about the unanimity demonstrated by the Western media and think tanks in the past few days regarding the prospects of a Russian invasion of the Baltics.

Nothing hinted at any trouble in July 2015, when Financial Times finally admitted that the Kremlin is obviously not planning to rebuild the Russian or Soviet Empire in "a literal sense" anytime soon.  

"A piece published by the Financial Times last July admitted that the 'consensus' among diplomats and analysts was that Putin had 'not embarked on a rampage' to recreate an empire 'as some feared last year'," Danielle Ryan, an Irish freelance journalist and media analyst, narrates in her article for RT.

"Given that new-found consensus, one might have suspected that the lull in stories about a forthcoming invasion could be chalked up to journalists deciding to put the subject to rest — but one would have been wrong. For they were back last week with a vengeance," she continues.

Indeed, on February 3, the UK's BBC broadcasted a controversial show that simulated a Russian invasion of Latvia, accompanied by a nuclear attack on Britain. On the same day, the RAND Corporation, an influential American think tank released a report saying that Russia is able to overrun the Baltic NATO member-states in 60 hours.

Ryan calls attention to the fact that a month ago, the Atlantic Council — "whose primary founding aim is to defend NATO interests" — began to bang the drums over Russia's imaginary imperial designs for the Baltic states.
"Most anxieties focus on the Baltic states as Russia's next potential military target," Stephen Blank, a Senior Fellow at the American Foreign Policy Council, warned.
"The piece was then re-published by Newsweek with the headline: 'Counting down to a Russian invasion of the Baltics'," Ryan points out.
So, what was the root cause of the propaganda campaign?
According to the journalist the answer is obvious: on February 2, US Defense Secretary Ashton Carter announced that the Pentagon would seek to quadruple its budget for Europe in 2017. The pretext for the increase is a "military threat" posed by Russia to Central and Eastern Europe.
In light of this, the question arises why, for God's sake, would Russia attack the Baltics?
"So what would Russia gain from attacking the Baltics?" Doug Bandow, a former special assistant to President Ronald Reagan, asked in his op-ed for The National Interest, commenting on the RAND report.
"[Russia would gain] a recalcitrant, majority non-ethnic Russian population. A possible temporary nationalist surge at home. A likely short-lived victory over the West. The costs would be far greater. Grabbing the Baltics likely would spur population exodus and trigger economic collapse," Bandow stressed, highlighting the absurdity of the assumption.
Unfortunately, the voice of reason is being silenced.

Tuesday, February 9, 2016

Putin Scrambles Thousands Of Troops And Hundreds Of Warplanes Across SW Russia

Vladimir Putin scrambles hundreds of troops and warplanes across south-west Russia

Vladimir Putin has put thousands of troops, warplanes and battleships on high alert in a series of military drills designed to test his military's mobility amid growing tensions with the West.
The war games in south-west Russia will include bombing runs and troop deployments, which the Kremlin says will test its military's ability to respond to external threats.
It comes as Western tensions with Russia remain at a low following its annexation of Crimea in 2014, its clandestine support for rebel forces in eastern Ukraine, and its bombing of Syria.

Defense Minister Sergei Shoigu said that military units were put on combat alert early Monday, marking the launch of the exercise that involves troops of the Southern Military District.
The district includes troops stationed in Crimea, the Black Sea peninsula that Russia annexed from Ukraine in 2014, as well as forces in the North Caucasus and southwestern regions near the border with Ukraine.
Shoigu said the maneuvers will also engage airborne troops and military transport aviation, as well as the navy.
He noted that the drills are intended to check the troops' ability to respond to extremist threats and other challenges.
According to Shoigu, who spoke at a meeting with the top military brass, the war games would include redeployment of air force units to advance air bases and bombing runs at shooting ranges. 
The maneuvers will test the troops' mobility, with some being deployed to areas up to 1,800 miles away, the military said.
Deputy Defense Minister Anatoly Antonov said in a statement that up to 8,500 troops, 900 ground weapons, 200 warplanes and about 50 warships will be involved in the drills.

The air blitz in Syria has badly strained Russia's relations with Turkey, which shot down a Russian warplane at the border with Syria in November.
The latest drills could be part of muscle flexing amid the tensions with Ankara.
They also come at a time when a peace deal intended to end fighting between Ukrainian government troops and Russia-backed rebels in eastern Ukraine appears to be in jeopardy amid increasingly frequent clashes in recent weeks.

See, Damascus will no longer be a city but will become a heap of ruins. Isaiah 17

With US Secretary of State John Kerry now reportedly 'happy' that Saudi Arabia will be deploying its 'elite' soldiers to Syria as it would allegedly give the US 'a good opportunity to curb Russian influence in the area', Russia has put its military on high alert as shared in the 1st video below from Gary Franchi and the Next News Network

Such a move by Saudi Arabia would be seen by Syria as a move of aggression against Syria and Syrian foreign minister Walid al-Moallem recently stated that the same 'elite' Saudi soldiers would return to Saudi Arabia only in coffins.

As the Saudis are now showing their support for several different terrorist groups in Syria with the US and particularly president Barack Obama seemingly giving full support to ISIS, are we nearing the point where Hillary Clinton's and Mr. Obama's support of terrorists may end up costing the lives of millions of innocent Americans? Do Obama and Clinton even WANT TO defeat the ISIS terrorists who are threatening to kill us? Why is this administration supporting the same terrorists in Syria and the Middle East who want to kill us added on to the fact that it could lead to war with Russia? 

With 'ultimate neocon' Hillary Clinton now completely falling apart at the seams in New Hampshire and nationally and the neocons having lost complete control of the Republican party, we have to ask again, will we even have a general election in November 2016 or will the globalists who have every reason to want to see America fail pull off a World war or massive false flag or real attack upon America that drives the final stake through our Republic's heart? 

Gary Franchi takes a look at the news of Russia putting their troops on high alert in the 1st video while the 2nd video below from Prophetic signs gives us a compilation of recent mainstream news media reports that help to show that Syria is becoming the likely battleground for World War 3. Is war what happens when all else fails? Why is it that so few Christian refugees are being admitted to America from Syria and the war-torn Middle East as asked in the final video below from TRUNEWS? Are Americans being set up for a huge fall?