The Japanese Financial System Is Beginning To Spin Wildly Out Of Control

By Michael, on May 27th, 2013

 

The financial system of the third largest economy on the planet is starting to come apart at the seams, and the ripple effects are going to be felt all over the globe.  Nobody knew exactly when the Japanese financial system was going to begin to implode, but pretty much everyone knew that a day of reckoning for Japan was coming eventually.  After all, the Japanese economy has been in a slump for over a decade, Japan has a debt to GDP ratio of well over 200 percent and they are spending about 50 percent of all tax revenue on debt service.  In a desperate attempt to revitalize the economy and reduce the debt burden, the Bank of Japan decided a few months ago to start pumping massive amounts of money into the economy.  At first, it seemed to be working.  Economic activity perked up and the Japanese stock market went on a tremendous run.  Unfortunately, there is also a very significant downside to pumping your economy full of money.  Investors start demanding higher returns on their money and interest rates go up.  But the Japanese government cannot afford higher interest rates.  Without super low interest rates, Japanese government finances would totally collapse.  In addition, higher interest rates in the private sector would make it much more difficult for the Japanese economy to expand.  In essence, pretty much the last thing that Japan needs right now is significantly higher interest rates, but that is exactly what the policies of the Bank of Japan are going to produce.

There is a lot of fear in Japan right now.  On Thursday, the Nikkei plunged 7.3 percent.  That was the largest single day decline in more than two years.  Then on Monday the index fell by another 3.2 percent.

And according to Business Insider, things are not looking good for Tuesday at this point…

In post-close futures trading, the Nikkei has dropped by another couple hundred points, and has dropped below 14,000.

Are we witnessing the beginning of a colossal financial meltdown by the third largest economy on the planet?  The Bank of Japan is starting to lose control, and if Japan goes down hard the crisis could spread to Europe and North America very rapidly.  The following is from a recent article by Graham Summers…

As Japan has indicated, when bonds start to plunge, it’s not good for stocks. Today the Japanese Bond market fell and the Nikkei plunged 7%. The entire market down 7%… despite the Bank of Japan funneling $19 billion into it to hold things together.

This is what it looks like when a Central Bank begins to lose control. And what’s happening in Japan today will be coming to the US in the not so distant future.

If you think the Fed is not terrified of this, think again. The Fed has pumped over $1 trillion into foreign banks, hoping to stop the mess from getting to the US. As Japan is showing us, the Fed will fail.

Investors, take note… the financial system is sending us major warnings…

If you are not already preparing for a potential market collapse, now is the time to be doing so.

And all of this money printing is absolutely crushing the Japanese yen.  Since the start of 2013, the yen has declined 16 percent against the U.S. dollar, even though the U.S. dollar is also being rapidly debased.   Just check out this chart of the yen vs. the U.S. dollar.  It is absolutely stunning…

The term “currency war” is something that you are going to hear a lot more over the next few years, and what you can see in the chart above is only the beginning.

What the Bank of Japan is doing right now is absolutely unprecedented.  It has announced that it plans to inject the equivalent of approximately $1.4 trillion into the Japanese economy in less than two years.

As Kyle Bass recently discussed, that dwarfs the quantitative easing that the Federal Reserve has been doing…

“What they’re doing represents 70% of what the Fed is doing here with an economy 1/3 the size of ours”

The big problem for Japan will come when government bond yields really start to rise.  The yield on 10 year government bonds has been creeping up over the past few months, and if they hit the 1.0% mark that will set off some major red flags.

Because Japan has a debt to GDP ratio of more than 200 percent, the only way that it can avoid a total meltdown of government finances is to have super low interest rates.  The video posted below does a great job of elaborating on this point…

It really is very simple.  If interest rates rise substantially, Japan will be done.

Investor Kyle Bass is one of those that have been warning about this for a long time…

There’s a fatalism, he says, in everyone he talks to in Japan. Their thinking is changing, and the way they talk to him about debt is changing. They already spend 50% of tax revenue on debt service.

“If rates go up, it’s game over.”

The financial problems in Cyprus and Greece are just tiny blips compared to what a major financial crisis in Japan would potentially be like.  The Japanese economy is larger than the economies of Germany and Italy combined.  If the house of cards in Japan comes tumbling down, trillions of dollars of investments all over the globe are going to be affected.

And what is happening right now in Japan should serve as a sober warning to the United States.  Like Japan, the money printing that the Federal Reserve has been doing has caused economic activity to perk up a bit and it has sent the stock market on an unprecedented run.

Unfortunately, no bubble that the Federal Reserve has ever created has been able to last forever.  At some point, we will pay a very great price for all of the debt that the U.S. government has been accumulating and all of the reckless money printing that the Fed has been engaged in.

So enjoy the calm before the storm while you still can.

It won’t last for long.

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The Top Ten Reasons to Own Silver

from Wealth Wire:

1.  Moving into True Money

Would you convert your labor into depreciating fiat paper or into an appreciating tangible asset with intrinsic value?

Silver offers the opportunity to move into true money, an actual store of value, with the potential for substantial gains in future years as its current cycle continues.  Protect yourself and your family by acquiring silver with intrinsic value and insulate yourself from the wealth destructive policies of central bankers.

In Mike Maloney’s words: “Gold and silver have revalued themselves throughout the centuries and called on fiat paper to account for itself.” (Page 202 of Guide to Investing in Gold and Silver)

If history serves as any reference, we are poised to repeat the accounting of the Depression Era and the 70′s which put precious metal holder’s on top.

2.  The Common Man’s Gold 

The acquisition of silver is much more attainable for global populations compared to gold. As silver prices continue to rise, investor’s will further shift away from real estate, stocks, and bonds.

Read More @ WealthWire.com

Gold Sees Surge as Fed Announces ‘Unlimited QE’

Infowars.com
September 13, 2012

After holding steady at above $1,700 this past week, gold’s price per ounce has surged close to $40 in response to the announcement of QE3, which allows the Federal Reserve to buy up “$85 billion in new assets, including $40 billion mortgage-backed securities every month until the end of the year.”

Swiss 20 Franc Helvetia “Vreneli” Gold Coin

As the Committee announced an “open-ended,” or “unlimited QE,” the fed will decide when enough is enough after the Federal Open Market Committee decides the economy is back on track: “To support continued progress toward maximum employment and price stability, the Committee expects that a highly accommodative stance of monetary policy will remain appropriate for a considerable time after the economic recovery strengthens.”

As Reuters notes, gold has already made a 2 per cent gain this month in addition to the 5 per cent leap it saw in August.

As predicted, the Fed’s decision to buy up large-scale bonds has led to further deflation of the already sinking US dollar, urging both silver and gold prices to rise, with the latter rallying near $1,800.

Ed Meir, formerly of MF Global and now of INTL FCStone, told Reuters the Fed’s decision should be seen as unsettling: “Although previous rounds of QE have helped kick-start some growth in the U.S., the fact that we are once again at the ‘money trough’ is not very reassuring.”

Congressman Ron Paul released a statement earlier today addressing the Fed’s decision:

“No one is surprised by the Fed’s action today to inject even more money into the economy through additional asset purchases. The Fed’s only solution for every problem is to print more money and provide more liquidity. Mr. Bernanke and Fed governors appear not to understand that our current economic malaise resulted directly because of the excessive credit the Fed already pumped into the system.

“For all of its vaunted policy tools, the Fed now finds itself repeating the same basic action over and over in an attempt to prime the economy with more debt and credit. But this latest decision to provide more quantitative easing will only prolong our economic stagnation, corrupt market signals, and encourage even more misallocation and malinvestment of resources. Rather than stimulating a real recovery by focusing on a strong dollar and market interest rates, the Fed’s announcement today shows a disastrous detachment from reality on the part of our central bank. Any further quantitative easing from the Fed, in whatever form, will only make our next economic crash that much more serious.”

10 reasons NOT to store your wealth in fiat currencies

Alexiscom1

 

Your Window to Buy Gold Below $1,700 Is Closing

by Jeff Clark, Casey Research:

 

Even the hardiest investors have been lamenting that gold prices have been stuck in a rut for a long time. Others with less experience have watched the market waiting for something to happen. And as always, many bailed out of the market entirely, licking their wounds.

But some, including me, have been stocking up. We’re convinced prices won’t stay down forever. In fact, I think there’s a good reason to buy gold if you can, and as soon as possible.

Here’s why:

Based on the data I chart below, I believe the window of time to buy gold for less than $1,700 an ounce is very limited.

I examined gold’s three largest corrections since the bull market began in 2001, including how long it took to recover from those corrections and establish new highs.

The conclusion that emerged is that the current lull in gold prices will almost certainly end soon, if it hasn’t already.

Read More @ CaseyResearch.com

More Manipulation, Debt, And Currency Devaluation: QE3. By Gregory Mannarino

[ED NOTE: Surprise Surprise]

Published on Sep 1, 2012 by GregVegas5909

Fed to Fire Up The Printing Press

Published on Sep 1, 2012 by TheAlexJonesChannel

 

Looks like the window for cheap gold and silver is closing

from streetmoney21:

 

US Fed hints strongly at fresh round of stimulus

The Federal Reserve has delivered its strongest hint yet that it will unleash a fresh round of “stimulus” to help the flagging US economy

by Richard Blackden, The Telegraph:

 

In a surprisingly strong signal, many of the rate setters at the Fed have decided that further stimulus is needed “fairly soon”, according to the minutes of their meeting this month.

Many of those on the Federal Open Market Committee (FOMC) – the equivalent of the Bank of England’s Monetary Policy Committee – also judged that more quantitative easing could offer “additional support” for the economy.

Economists said the minutes showed that after a summer watching the recovery lose momentum, top officials at the central bank have decided that the potential benefits of further action outweigh the risk of fueling inflation.

After an encouraging first quarter of the year, the world’s biggest economy expanded at an annual pace of just 1.5pc in the second as employment growth weakened and consumers retrenched. With Europe’s debt crisis far from over, and the US presidential election a matter of weeks away, few private forecasters expect growth to pick up in the second half of the year.

The Congressional Budget Office warned today that the US could plunge back into recession if a series of tax increases and spending cuts are allowed to take effect at the start of the year.

Read More @ Telegraph.co.uk

Important Updates! Markets, Gold, Silver, US Dollar. By Gregory Mannarino

Published on Aug 22, 2012 by GregVegas5909

Please check out my website! Click: http://gregorymannarino.com/

 

Silver Forecast August 22, 2012, Technical Analysis

Posted August 22,
By FX Empire Analyst – Christopher

The silver markets had another bullish session on Tuesday, to continue the breakout for Monday. We still see the $30 level as a significant resistance area, but it should be said that we have finally broken out of the very tight range we had been in for over six weeks. Now that this is happened, we suspect that the $28 level will act as support.

We believe that silver prices will be much higher as we go into the fall and that there are two different distinct ways to play this market. The first way, which of course is a more aggressive one, is to simply buy silver now. However, if you’re going to do this you need to understand that there could be a lot of choppiness over the next dollar or two. Alternately, if you are a bit more conservative, you may want to wait until the $30 level is broken on a daily close. This would be the last vestiges of this consolidation area and should signal much higher prices.

As for selling silver, we are not keen to do so at this moment in time and would need to see a break down below the $25 level in order to feel comfortable doing so. Because of this, and the unlikely event that will happen, we really do not see selling silver in our future right now. Needless to say, there will be bumps along the road but we feel that this market should continue to thrive.

One of the biggest reasons it will continue to gain is that central banks around the world are engaging in monetary easing. This drives demand for hard currencies such as silver and gold, and we think that’s banks will be easing for the foreseeable future. This is the case; precious metals will do quite well.

We do think that gold will outperform silver however, won a nice balance of both in your portfolio should really begin to help you over the next couple months. Silver does have an industrial component to it, so as economic activity picks up; silver could get a boost there as well.

Greg Mannarino Interview: People Are Going to Suffer on A Biblical Scale

Hot Topic.

Published on Aug 19, 2012 by usawatchdog

http://usawatchdog.com/ – Greg Mannarino (here is his channel: http://www.youtube.com/user/GregVegas5909), a former Bear Stearns floor trader in the mid 1990’s, says, “The global debt bubble is the biggest in all of mankind, and every single one has burst in the past.” Greg Mannarino is a rising star on the internet for his YouTube commentaries regarding the ongoing financial crisis. He predicts, “I am certain we are going to see violent crime erupt on a global level.” Mannarino shucked it all to go to medical school. He is currently a practicing physician’s assistant, but has written several books on the financial crisis. His latest is titled “The Politics of Money.” He is back on the internet to warn people of what he sees coming in the not-so-distant future. Join Greg Hunter from USAWatchdog.com as he goes One-on-One with Greg Mannarino.

 

 

The Absurd, Awful Nancy Grace Points the Way to Gold Confiscation

“A lonely rich white guy. That’s who orders silver bullion.” – Nancy Grace

by Anthony Wile, The Daily Bell:

We received a YouTube video address from a friend of the Daily Bell, and the power elite meme popped right out.

See for yourself how Nancy Grace positions this particular analysis of “justice.”

We’ve written in the past about how gold and silver confiscation might take place if the price becomes intolerably high from the point of view of the power elites that want to remain in control of central banking and fiat money.

The process might begin with the demonization of gold and silver purchases and an attempt to link them to criminality of some sort.

Nancy Grace has done us a favor in showing exactly how that might be done.

Nancy Grace is generally worth commenting on once in a while because she is a prime purveyor of the system as it is. Like CNN itself (where she is based), Nancy Grace perceives a system that supports her commentary rather than one needing a corrective.

In this video, she lambasts gold buyers in the US as if it is a loony thing to buy gold and take delivery. In doing so, she ignores gold’s rising price; the value of the yellow metal has expanded tenfold in about a decade.

Read More @ TheDailyBell.com

Harold Seigel Market Forcast Aug 17, 2012

Published on Aug 18, 2012 by TruthAlwaysTold

The most accurate market forecaster I know of. The things he said in 2006 I thought he was a quack. He proved everything he said was right. To visit his page:

http://www.hesradio.com/

 

 

30 Minute EXCLUSIVE INTERVIEW with David Morgan (Sprott Money News)

Published on Aug 17, 2012 by silverguru

‪http://Silver-Investor.com

 

Startling Evidence That Central Banks And Wall Street Insiders Are Rapidly Preparing For Something BIG

Michael Snyder
The Economic Collapse
Aug 17, 2012

If you want to figure out what is going to happen next in the financial markets, carefully watch what the insiders are doing.

Those that are “connected” have access to far better sources of information than the rest of us have, and if they hear that something big is coming up they will often make very significant moves with their money in anticipation of what is about to happen.  Right now, Wall Street insiders and central banks all around the globe are making some very unusual moves.  In fact, they appear to be rapidly preparing for something really big.  So exactly what are they up to?  In a previous article entitled “Are The Government And The Big Banks Quietly Preparing For An Imminent Financial Collapse?“, I speculated that they may be preparing for a financial meltdown of some sort.  As I noted in that article, more than 600 banking executives have resigned from their positions over the past 12 months, and I have been personally told that a substantial number of Wall Street bankers have been shopping for “prepper properties” this summer.  But now even more evidence has emerged that quiet preparations are being made for an imminent financial collapse.  That doesn’t guarantee that something will happen or won’t happen.  Like any good detective, we are gathering clues and trying to figure out what the evidence is telling us.

Why Is George Soros Selling So Much Stock And Buying So Much Gold?

I am certainly not a fan of George Soros.  He has funneled millions upon millions of dollars into organizations that are trying to take America in the exact wrong direction.

However, I do recognize that he is extremely well connected in the financial world.  Soros is almost always ahead of the curve on financial matters, and if something big is going to go down George Soros is probably going to know about it ahead of time.

That is why it is very alarming that he has dumped all of his banking stocks and that he is massively hoarding gold.  The following is from shtfplan.com….

In a harbinger of what may be coming our way in the Fall of 2012, billionaire financier George Soros has sold all of his equity positions in major financial stocks according to a 13-F report filedwith the SEC for the quarter ending June 30, 2012.

Soros, who manages funds through various accounts in the US and the Cayman Islands, has reportedly unloaded over one million shares of stock in financial companies and banks that include Citigroup (420,000 shares), JP Morgan (701,400 shares) and Goldman Sachs (120,000 shares). The total value of the stock sales amounts to nearly $50 million.

What’s equally as interesting as his sale of major financials is where Soros has shifted his money. At the same time he was selling bank stocks, he was acquiring some 884,000 shares (approx. $130 million) of Gold via the SPDR Gold Trust.

Why would you dump over a million shares of stock in major banks and purchase more than 100 million dollars worth of gold?

Well, it would make perfect sense if you believed that a collapse of the financial system was about to happen.

Earlier this year, George Soros told the following to Newsweek….

“I am not here to cheer you up. The situation is about as serious and difficult as I’ve experienced in my career,” Soros tells Newsweek. “We are facing an extremely difficult time, comparable in many ways to the 1930s, the Great Depression. We are facing now a general retrenchment in the developed world, which threatens to put us in a decade of more stagnation, or worse. The best-case scenario is a deflationary environment. The worst-case scenario is a collapse of the financial system.”

It looks like he is putting his money where his mouth is.

Perhaps even more disturbing is what he believes is coming after the financial collapse….

As anger rises, riots on the streets of American cities are inevitable. “Yes, yes, yes,” he says, almost gleefully. The response to the unrest could be more damaging than the violence itself. “It will be an excuse for cracking down and using strong-arm tactics to maintain law and order, which, carried to an extreme, could bring about a repressive political system, a society where individual liberty is much more constrained, which would be a break with the tradition of the United States.”

That doesn’t sound good.

George Soros has told us what he believes is going to happen, and now he is making moves with his money that indicate that he is convinced that it is actually about to start happening.

But he is not the only one that has been busy accumulating gold.

Billionaire John Paulson (the one that made 20 billion dollars on the subprime mortgage meltdown) has been buying gold like crazy and his company now “has 44 percent of its $24 billion fund exposed to bullion.”

So why are Soros and Paulson buying up so much gold?

Central Banks Are Also Hoarding Gold

According to the World Gold Council, the amount of gold bought by the central banks of the world absolutely soared during the second quarter of 2012.  The 157.5 metric tons of gold bought by the central banks of the world last quarter was an increase of 62.9 percent from the first quarter of 2012 and a 137.9 percent increase from the second quarter of 2011.

Prior to 2009, the central banks of the world had been net sellers of gold for about two decades.  But now that has totally changed, and last quarter central banks stocked up on gold in quantities that we have not seen before….

At 157.5 metric tons, gold buying among central banks came in at its highest quarterly level since the sector became a net buyer of the precious metal in the second quarter of 2009, data in the organization’s quarterly Gold Demand Trends report show.

So why have the central banks of the world become such gold bugs?

Is there something they aren’t telling us?

Rampant Insider Selling

Wall Street insiders have been dumping a whole lot of stock this year.

In my previous article, I linked to a CNN article from back in April….

First quarter earnings have been decent, if not spectacular. And many corporate executives are issuing cautiously optimistic guidance for the rest of the year.

But while insiders’ lips are saying one thing, their wallets are saying another. The level of insider selling among S&P 500 (SPX) companies is the highest in nearly 10 years. That is not good.

A lot of insiders appear to be getting out at the top of the market while the getting is still good.

Other insiders appear to be bailing out before the bottom falls out from beneath them.

Just check out what has been happening to Facebook stock.  It hit another new record low on Thursday as insiders dumped stock.  The following is from a CNN article….

Facebook’s life as a public company has been a nightmare from day one, and the pain continued on Thursday as some company insiders got their first chance to dump shares.

Facebook stock hit a new intra-day low of $19.69 Thursday morning, and ended the day 6.3% lower at $19.87.

Sadly, Facebook has now lost close to half of its value since the IPO.

Will Facebook end up being the poster child for the irrational stock market bubble that we have seen over the past couple of years?

Overall, retail investors have been very busy pulling money out of stocks in recent weeks.

The following are the net inflows to equity funds over the past five weeks (in millions of dollars) according to ICI….

7/11/2012: -537

7/18/2012: 637

7/25/2012: -2,999

8/1/2012: -6,866

8/8/2012: -3,684

According to the figures above, more than 10 billion dollars has been pulled out of equity funds over the past two weeks alone.

So does this mean anything?

Maybe.

Maybe not.

But it is very interesting and it bears watching.

Why Does The U.S. Government Need So Much Ammunition?

In my previous article, I also noted that the U.S. government appears to be very rapidly making preparations for something really big.

This week, it was revealed that the Social Security Administration plans to buy 174,000 hollow point bullets which will be delivered to 41 different locations all over America.

Now why in the world does the Social Security Administration need 174,000 bullets?

And why do they need hollow point bullets?  Those bullets are designed to cause as much damage to internal organs as possible.

But of course this is only the latest in a series of very large purchases of ammunition by U.S. government agencies.  The following is from a recent article by Paul Joseph Watson….

Back in March, Homeland Security purchased 450 million rounds of .40-caliber hollow point bullets that are designed to expand upon entry and cause maximum organ damage, prompting questions as to why the DHS needed such a large amount of powerful bullets merely for training purposes.

This was followed by another DHS solicitation asking for a further 750 million rounds of assorted bullets, including 357 mag rounds that are able to penetrate walls.

Now why in the world would the government need over a billion rounds of ammunition?

If it was the U.S. military I could understand this.  You can burn through a whole lot of ammunition fighting wars.

But this makes no sense – unless they believe that big trouble is coming.

Personally, I wouldn’t blame them for getting prepared.  Our economy continues to fall apart and there are signs of social decay everywhere around us.

The American people are more frustrated and more angry than at any other time in modern history.  This upcoming election is only going to cause Americans to become even more angry and even more divided.

All it would take is just the right “spark” to cause this country to erupt.

It could be the upcoming election.

It could be the collapse of the financial system.

Or it might be something else.

But the conditions are definitely there for it to happen.

Unfortunately, the American public is never told to prepare because authorities never want “to panic” the general population.

We are always the last to know, and that stinks.

So don’t wait for someone to come on the television and announce that a crisis is happening.

If you wait that long, it will be too late.

Instead, open up your eyes and think for yourself.

We all need to work hard to get prepared for the coming crisis while we still can.

As you can see, Wall Street insiders, the U.S. government and the central banks of the world are busy getting prepared.

Don’t put your head in the sand.

The warning signs are there and time is running out.

GERALD CELENTE: VP Paul Ryan? A Political Suicide Mission! PLUS: The World’s Biggest BANK ROBBERY Continues Unabated

by SGT:

The one and only Gerald Celente from the Trends Journal joins me for an in-depth discussion about the GOP suicide mission. A Paul Ryan VP nomination is an insult to anyone paying attention, Ryan is no conservative much less a Libertarian. To be specific he’s an establishment shill who has voted for bigger military budgets and bigger domestic tyranny. Does the GOP want to hand Obama a second term? Sure looks like it. Also, we discuss the fact that the world’s biggest bank robbery continues unabated. Criminals, criminal everywhere – and plenty of jail cells, for you.

 

China Launching Gold Backed Global Currency!

Sunday, August 12, 2012

There can be no doubt that the US dollar will soon be history. China is recasting all of their gold reserves into small one kilo bars in order to issue a new ‘gold backed’ global currency. This is surely a strategic part of their recent push to sign new trade agreements with Russia, Japan, Chile, Brazil, India, and Iran. The cat is now out of the bag, the US will be given the ‘bums rush’ by the largest trading nations in the world and the dollar will go down in flames. GATA now estimates that 80% of the gold that investors believe they have in allocated accounts is long gone, the majority of it probably wound up in China.

 

Here is an excerpt from Jim Willie’s ‘Hat Trick Letter’

 

Jims recent article starts out with…

Many are the events, signals, and telltale clues of a real live actual systemic failure in progress. Until the last several months, such banter was dismissed by the soldiers in the financial arena. But lately, they cannot dismiss the onslaught of evidence, a veritable plethora of ugly symptoms of conditions gone terribly wrong and solutions at best gone awry and at worst never intended in the first place.

 

CHINA RECASTS GOLD BARS
China is well along an ambitious plan to recast large gold bars into smaller 1-kg bars on a massive scale. A major event is brewing that will disrupt global trade and assuredly the global banking system. The big gold recast project points to the Chinese preparing for a new system of trade settlement. In the process they must be constructing a foundation for a possible new monetary system based in gold that supports the trade payments. Initally used for trade, it will later be used in banking. The USTBond will be shucked aside. Regard the Chinese project as preliminary to a collapse in the debt-based USDollar system. The Chinese are removing thousands of metric tons of gold bars from London, New York, and Switzerland. They are recasting the bars, no longer to bear weights in ounces, but rather kilograms. The larger Good Delivery bars are being reduced into 1-kg bars and stored in China. It is not clear whether the recast project is being done entirely in China, as some indication has come that Swiss foundries might be involved, since they have so much experience and capacity.

The story of recasting in London is confirmed by my best source. It seems patently clear that the Chinese are preparing for a new system for trade settlement system, to coincide with a new banking reserve system. They might make a sizeable portion of the new 1-kg bars available for retail investors and wealthy individuals in China. They will discard the toxic USTreasury Bond basis for banking. Two messages are unmistakable. A grand flipped bird (aka FU) is being given to the Western and British system of pounds and ounces and other queer ton measures. But perhaps something bigger is involved. Maybe a formal investigation of tungsten laced bars is being conducted in hidden manner. In early 2010, the issue of tungsten salted bars became a big story, obviously kept hush hush. The trails emanated from Fort Knox, as in pilferage of its inventory. The pathways extended through Panama in other routes known to the contraband crowd, that perverse trade of white powder known on the street as Horse & Blow, or Boy & Girl.

read entire article here..

 

Our Saviour’s words of warning about China on June 30th!,  (the ‘king of the south’ being the leader of China)

Now comes the time, and it is at your door, when many nations shall terrorize you, oh nation of America! For, as you have sown, so shall you reap!

The wind is coming! Yes, a very great wind from the South is coming!  A very great Southerly wind will come upon this nation and this wind from the South will greatly trouble you!

Yes, the King of the South will rise up and he will collect his own nations; and they shall rise up to defeat and to overthrow this nation, not through war, not yet through war, but soon through war! However, at this time, they shall rise up; and soon, en masse, they will rise up to overthrow the dollar!  And, this wind will blow hot!  This wind will blow upon you with a great force and this great wind will cause you to suffer an irreparable crack in the economy of this nation. And, the rumbles of this great wind shall crash and crack and beat and dissolve, beat and dissolve, pound and pummel the very economic structure of this nation!

read entire prophecy here

Source Found Here

The Dumb Money Hates Silver, It’s Time to Go Long

By Peter Krauth, Resource Investor:

Speculators hate silver…

For the past year, the positive silver headlines have been few and far between.

Ever since the poor man’s gold peaked near $50 in April of last year, it’s become a despised metal.

Admittedly, it’s been languishing near $27 since early May not far from where it was for the first time – in this bull market – back in late 2010.

 

But as I’ll show you, right now a number of technical, seasonal, and sentiment indicators are pointing upwards for this volatile metal.

This could well be the critical turning point silver investors have been waiting for. One of these indicators is the resilient price of gold.

Let me explain.

The Silver/Gold Ratio

Silver has always pretty much been gold’s lapdog and on a relatively short leash at that.

As a rule, silver prices usually follow the direction of gold. But as long time silver investors recognize, the moves are amplified both on the downside and the upside.

Read More @ ResourceInvestor.com

Nigel Farage – They Will Collapse The System & Enslave People

from KingWorldNews:

Today MEP (Member European Parliament) Nigel Farage spoke with King World News about what he described as the possibility of, “a really dramatic banking collapse.” Farage also warned that central planners want to enslave and imprison people inside of a ‘New Order’” and he described the situation as “horrifying.”

 

 

Farage also discussed gold, but first, here is what he had to say about the ongoing financial crisis: “Governments don’t have the courage to tell the people that we cannot afford to go on living the way that we are. We’ve really failed very badly in having honest politics, so we have this gross and very grave debt problem.

Now everyone has decided, the Bank of England, the Fed and the European Central Bank, who are utterly brilliant people that have led us to the mess we are in, they’ve all decided that the solution is quantitative easing. The solution is to go on printing and creating false money in an attempt to buy our way out of the (ongoing) crisis.

My take on that, my historical perspective is that all we are really doing is actually compounding the problem….”

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