It Wasn’t a Crash – But it Could Become One

Submitted by Pater Tenebrarum  –  The Acting Man Blog

A Reminder by John Hussman

In light of the Nikkei Index soaring by more than 1,300 points (!) overnight – a single day gain of 7.7% – it is time to briefly review the current market situation. As to the Nikkei, we would note two things: 1. it was “catching up” to what other markets have been doing, after having been the only stock market index that was significantly down the previous day (whereas all other markets soared after the close of trading in Japan) and 2. such enormous volatility – regardless of its direction – is usually not a bullish sign. Quite the contrary, in fact.


Nikkei, dailyThe Nikkei jumps by 1,343 points overnight – click to enlarge. Continue reading


Submitted by Jim Quinn  –  The Burning Platform

“Imagine some national (and probably global) volcanic eruption, initially flowing along channels of distress that were created during the Unraveling era and further widened by the catalyst. Trying to foresee where the eruption will go once it bursts free of the channels is like trying to predict the exact fault line of an earthquake. All you know in advance is something about the molten ingredients of the climax, which could include the following:

  • Economic distress, with public debt in default, entitlement trust funds in bankruptcy, mounting poverty and unemployment, trade wars, collapsing financial markets, and hyperinflation (or deflation)
  • Social distress, with violence fueled by class, race, nativism, or religion and abetted by armed gangs, underground militias, and mercenaries hired by walled communities
  • Cultural distress, with the media plunging into a dizzying decay, and a decency backlash in favor of state censorship
  • Technological distress, with cryptoanarchy, high-tech oligarchy, and biogenetic chaos
  • Ecological distress, with atmospheric damage, energy or water shortages, and new diseases
  • Political distress, with institutional collapse, open tax revolts, one-party hegemony, major constitutional change, secessionism, authoritarianism, and altered national borders
  • Military distress, with war against terrorists or foreign regimes equipped with weapons of mass destruction” 

 The Fourth Turning – Strauss & Howe – 1997

September 2015 marks the seventh anniversary of this Fourth Turning Crisis. The economic, social, cultural, ecological, political, and military distress propagates by the minute as the globe is besieged by economic turmoil, increased human suffering, and endemic corruption of the political and ruling classes. The Federal Reserve/Wall Street created global economic implosion was the spark which catalyzed this fourth Crisis period in U.S. history in September 2008. Neil Howe in a 2012 essay assessed the beginning of this Fourth Turning and why 9/11 was not the catalyst:

“Pending stunning new developments, I believe the catalyst occurred in 2008.  It’s a date that is looking better and better as time goes by.  The year 2008 marked the onset of the most serious U.S. economic crisis since the Great Depression.  It also marked the election of Barack Obama, which could yet turn out to be a pivotal realignment date in U.S. political history. In fact, if I had to give the catalyst a month, I would say September of 2008.  The global Dow was in free fall.  Banks were failing.  Money markets froze shut.  Business owners held their breath. Continue reading

Inside of QE Is Apparently No Better

Submitted by Jeffrey Snider  –  Alhambra Investment Partners

nature of the British recovery as it fit within the more nebulous global hoard. There were emerging threats from an “unexpected” setback over a tiny little country on the Aegean, perhaps depressing Europe so soon out of the depths of the global Great Recession.

Mervyn King, the governor of the Bank of England, warned today that the weakness of the eurozone is jeopardising the UK’s recovery, and the emergency £200bn quantitative easing programme might have to be re-started if the economy deteriorates in the coming months.
“My particular concern at the moment derives from the health of the global economy, and in particular our major trading partner, the eurozone,” the governor said.

These economic “health” concerns appear timeless, as that statement is at home in 2015 as 2010 (a very relevant clue). Japan holds no monopoly on multiples of QE, as everywhere it is tried it is tried over and over. That wouldn’t come at the BoE until October 2011 in a series of three more QE’s to accomplish £175 billion on top of the £200 billion orginally done. While Britain after re-recession has fared better than the rest of Europe since, that still doesn’t equate to what the people of the jurisdiction think about what is supposed to happen and take shape. After all, the current political environment there is focused, as here, somehow on a “living wage” during all thisstatistical robustness. Continue reading

Gold Outlook by Global Gold

Submitted by Pater Tenebrarum  –  The Acting Man Blog

Why Central Banks Are Forcing Investors To Hold Gold – By 

It has been nearly three years since we published our first Outlook Report in December 2012. Since the beginning of our publication, we have focused on different aspects of the gold market and have analyzed what moves the gold market. In this article, we would like to re-examine some of the topics that we had previously discussed and analyze whether any of our assumptions have changed.

Financial Repression

Financial repression has been a frequently discussed topic since our first publication. During that period, many of the measures we have warned about are now in place. A good example are capital controls. In 2012, a discussion about the possibility of capital controls in a Western country seemed like a conspiracy theory. In the meantime, they have become a reality in both Cyprus and Greece. Could a major Western country be next?

We also warned about negative interest rates. At that time, they were only observable in some short dated government bonds. The ECB and the Swiss National Bank have now both lowered deposit rates into negative territory. The results: Swiss government yields are negative for terms up to 10 years. Imagine! As an investor you have to actually pay the Swiss government so that you can lend it money for 10 years. It is absurd, if you think about it. The same is true for several other European government bonds.

One thing that we have predicted hasn’t become reality yet: consumer price inflation. Although asset price inflation is very prevalent and real estate and equity prices have increased rapidly, we did expect consumer prices to pick up more quickly. However, this can always change … very quickly. Continue reading

9/11 Fourteen Years Later

Submitted by Dr. Paul Craig Roberts – Institute for Public Economy

Millions of refugees from Washington’s wars are currently over-running Europe. Washington’s 14-year and ongoing slaughter of Muslims and destruction of their countries are war crimes for which the US government’s official 9/11 conspiracy theory was the catalyst. Factual evidence and science do not support Washington’s conspiracy theory. The 9/11 Commission did not conduct an investigation. It was not permitted to investigate. The Commission sat and listened to the government’s story and wrote it down. Afterwards, the chairman and cochairman of the Commission said that the Commission “was set up to fail.” For a factual explanation of 9/11, watch this film:

Here is a presentation by Pilots For 9/11 Truth:

Here is an extensive examination of many of the aspects of 9/11:

Phil Restino of the Central Florida chapter of Veterans For Peace wants to know why national antiwar organizations buy into the official 9/11 story when the official story is the basis for the wars that antiwar organizations oppose. Some are beginning to wonder if ineffectual peace groups are really Homeland Security or CIA fronts?

The account below of the government’s 9/11 conspiracy theory reads like a parody, but in fact is an accurate summary of the official 9/11 conspiracy theory. It was posted as a comment in the online UK Telegraph on September 12, 2009, in response to Charlie Sheen’s request to President Obama to conduct a real investigation into what happened on September 11, 2001. Continue reading

Cash Withdrawal Limits and “Bank Holidays” Coming?

Submitted by Mark O’Byrne  –  GoldCore

Cash Withdrawal Limits and “Bank Holidays” Coming

  • Concerns that next crisis may be imminent
  • Bail-ins, withdrawal limits and negative interest rates may be imposed
  • FT proposes a ban on “barbarous relic” cash
  • Central banks would have people “completely under their control” – Bonner
  • Gold in safe jurisdictions will again protect wealth

Collapsing commodities prices, erratic market turmoil and the bursting of Chinese bubbles are leading to a crisis in confidence in the economic system across the globe. The long-expected crisis to which the global financial and systemic crisis in 2008 may have been a mere prelude may be upon us.


Governments have no appetite for further bailouts. The EU states have passed legislation which will make the banks or rather unfortunate and unsuspecting depositors liable for the bank’s lending and speculative profligacy.

It is claimed that this is to “protect” the taxpayer. In reality it will likely lead to bail-ins– the confiscation of deposits. It is likely that that in a crisis within the banking system this bail-in mechanism would be imposed on an impromptu “bank holiday”  followed by limits on cash withdrawals as were applied in Cyprus and more recently to depositors in Greece. Continue reading

The Daily Debt Rattle

Submitted by Raúl Ilargi Meijer  –  The Automatic Earth

It Is In Warsaw Not Athens That The March Of The Euro Will Be Halted (Telegraph)
The German Counter-Attack On Juncker’s Euro Plans (FT)
Brussels Plans Radical New Eurozone Treasury And Euro Parliament (Telegraph)
Oil Could Drop as Low as $20, Goldman Says (Bloomberg)
Shale Drillers Turn to Asset Sales as Early Swagger Wanes (Bloomberg)
Emerging-Market Currencies: Things Look to Get Worse (WSJ)
Brazil Reduced To Junk As BRICS Facade Crumbles (AEP)
China’s ‘New Normal’ Growth Model Is Starting to Get Expensive (Bloomberg)
Is Today’s Volatility an Echo of 1987? (A. Gary Shilling)
UN Votes For New Debt Rules But UK, US Try To Block (Jubilee Debt Campaign)
The ECB Could Kick-Start The Economy With A Limited Basic Income (
Rajoy’s Trump-Like Candidate Poses Trump-Like Risks in Catalonia (Bloomberg)
Bribes, Debt, $100 Billion Lost: Nigeria Can’t Keep the Power On (Bloomberg)
Auckland House Prices Rising $345 A Day (NZ Herald)
Sue Your Bank, Keep Your Home, Repeat (Bloomberg)
The Civil War In Syria – Part 2 (Beppe Grillo)

Read much more here: Debt Rattle September 11 2015 –

A Wolf in Sheep’s Clothing

Submitted by Thad Beversdorf  –  The First Rebuttal Blog

This is a piece I wrote last year for Ron Paul’s Voices of Liberty.  Now although mainstream media has all but put a gag order on 9/11 memorial coverage, I believe this article’s message has never been more relevant and so I’m posting again at what is obviously poignant time.  I find it odd that we have 10 Hollywood blockbusters made each year about the holocaust 75 years on, but only 14 years after the event American media will no longer discuss 9/11, even upon the anniversary.  It is perhaps the most telling phenomenon about the secretiveness and mystery surrounding the horrific tragedy.

It was the sixth week of my first job fresh out of college. I was still eagerly excited for each new day. Having moved stateside from a small town in Canada to finish up university and then on to the big city of Chicago, I was still in awe of America. I was working in the north building of the Chicago Mercantile Exchange on the corner of Madison and Wacker. It was early morning and I was on the phone with Paul Salvio from our New York office when


the phone went dead.

The day was September 11, 2001. Our New York office was on the 92nd floor of the World Trade Center Tower 1. None of the employees who had arrived to work that day survived. It is a moment that elicits strong emotions within me to this day and I know I’m not alone.

In the days and weeks that followed, while the world came together to mourn those lost and to condemn those responsible, our policymakers in Washington were working feverishly to find opportunity in this tragedy. Forty-five days after 9/11, President Bush signed into law the U.S. Patriot Act. Continue reading