Sunday, 14 December 2014

14th December 2014: That Was the Week That Was

Well what a week it has been...
The results of today's Japanese election (an overwhelming victory for Abe the King of Global Quantative Easing). The Associated Press wrote "Despite weakening popularity ratings, a recession and messy campaign finance scandals, the Liberal Democrats were virtually certain to triumph thanks to voter apathy and a weak opposition."
And there you have it: the apathetic Japanese people have spoken, or rather chosen not to. As a result, when the entire Japanese house of Ponzi cards comes crashing down for the final time, they will have nobody but themselves to blame. Which, incidentally, is the case in every other "developed" nation including Jersey.
Because UAE's Energy Minister Suhail Al-Mazrouei said OPEC will stand by its decision not to cut crude output "even if oil prices fall as low as $40 a barrel" and will wait at least three months before considering an emergency meeting.
In doing so, OPEC not only confirms that the once mighty cartel is essentially non-existant and has been replaced by the veto vote of the lowest-cost exporters, but that all those energy hedge funds (and not only) who hoped that by allowing margin calls to go straight to voicemail on Friday afternoon, their troubles would go away because of some magical intervention by OPEC over the weekend, are about to have a very unpleasant Monday - now that the next oil price bogey has been set: $40 per barrel.
But this is seen as a good thing by the average American Idiot according to the latest Index of Consumer Sentiment who cannot make the connection between jobs in shale oil exploration and the price of oil.
U.S. consumers also saw sharp drops in gasoline prices as a shot in the arm, and the survey added heft to strong November retail sales data that has showed Americans getting into the holiday shopping season with gusto. “Surging expectations signal very strong consumption over the next few months,” said Ian Shepherdson, an economist at Pantheon Macroeconomics.
When asked in the survey about recent economic developments, more consumers volunteered good news than bad news than in any month since 1984, said the poll’s director, Richard Curtin. "Their expectations run quite counter to recent price data."
Meanwhile the idiots in the US Senate late last night, (proving that the Senate can work on weekends when a piece of Citigroup-penned legislation is on the table), in a 56-40 vote (21 democrats, 18 republicans, 1 independent voting No), the Senate joined the House in voting itself $1.1 trillion for the next 9 months, with the bill now heading for the final signature: Obama's.
There is some argument whether the executive will join the legislative in confirming the US government is now (and always has been) merely a puppet of Wall Street, although we expect all it will take Jamie Dimon is just one more phone call of "encouragement" to Obama to make sure Wall Street's will is done in the White House.
The US also limited itself - at least on paper - to non-lethal assistance to the Ukraine, now the US is finally preparing to send in weapons, and potentially "military advisors" as well.
"On paper", because in late November hacked US documents revealed the extent of secret US "Lethal Aid" for the Ukraine army. And since America's under-the-table support for Ukraine's insolvent armed forces has been revealed, there is little point in pretending to keep a moral upper hand (especially in light of recent "other" revelations involving the US, most notably its intelligence services).
Russian MPs have demanded that the Kremlin take adequate measures including deploying forces into Ukraine in response.

Tuesday, 9 December 2014

Are the rats ready to leave the sinking ship?

So what a day today was in the world; it started in China -

China Securities Depository and Clearing Corp (CSDC) said in an announcement after the market closed on Monday that with immediate effect, only corporate bonds with the highest rating of AAA and those issued by firms with a high rating of AA and above could be used for bond repurchase. Analysts say the regulators' exclusion of lower grade bonds from being used in bond repurchase contracts, a key source of secondary liquidity in trade, increases the risk of trading such bonds, depressing demand and putting upward pressure on yields. (You may recall that for example, Amazon Inc bonds, are rated BBA and so would be excluded). This immediately removed $80 billion of eligible collateral and lowered the fx rate to 6.2 Yuan per dollar.

The knock on effect was that money that banks had borrowed in Japan (at 0% interest) and placed in Chinese bonds (earning 2% interest was swiftly repaid).

This 2% money for nothing earnt by borrowing at a lower rate and than is collected from the money borrowed (also known as the Carry Trade) has been going on since 1987 when Japan first lowered its interest rate to 0%.

All this money which had been freshly pulled out of China was paid back to Japan raising the value of the Yen from 122 to the dollar to 118 to the dollar collapsing the Japanese Stock Market from 18,200 to 17,500.

But this was not the only country to suffer...

In Greece the stock market also crashed by 13% with banks dropping by 25% and the interest yield on Greek debt (both 3 year and 10 year) soared back over 8%. Thus we are back to the position we were in prior to the bailouts of European Countries with nations struggling to borrow money and then subsequently to make interest repayments.

The reason is that all western banks are heavily leveraged in the carry trade; including those banks that we are dependent on to over pay our civil servants.

This prompted both Moody's and S&P (the ratings agencies) to issue warnings about European banks and highlight the risk that bank bail ins (where depositor's money is taken to pay the debts of the banks) were likely to occur in 2015.

On the bright side gold jumped 2.3% and so we know how this is going to play out and where the sensible money is, well since only gold and silver are money, it is the same place it has always been.

So there we have it the first rumblings of the imminent crash in the western financial system and a warning from the ratings agency (yes the very ones who maintained Jersey's AA+ rating recently) that the end is less than a year away.

The towering morass of financial derivatives built on sand has given its first shudder, the collapse is now just a matter of time.

What plans have our government made for this or have they just got their private gold vaults overseas ready to leave the sinking ship like the rats they are?

Sunday, 7 December 2014

Mises Canada: What is Equality?

Egalitarianism is the favorite religion of the left.

It has gotten to the point that no one even bothers to question whether equality is in fact a desirable goal for society. It is taken as given.

The problem is that “equality” is a very, very broad term, with myriad meanings and interpretations. When conservatives and libertarians talk about equality, they usually mean equality of rights, of treatment under the law, and to a certain extent, of opportunity.

By contrast, when progressives talk about equality, they mean it in a much more sweeping sense. Everyone should be given equal medical care, men and women should be paid the same amounts, and the fact that CEOs make more than factory workers is somehow to be decried.

Both of these approaches have their problems, the most important being that it only makes sense to treat things as equals if they actually are equal, a condition that is rarely met in the real world.

A perfect example is the continual harping on “equal pay for equal work” when it comes to women’s wages. Defenders of the idea claim that women make 70% for doing the same work as men. This is a flat out lie. The statistic being cited is calculated by averaging all wages of women across the entire economy, and then comparing them to all wages of men. Nowhere in this number is anything said about “equal work” and the assumption that the average woman is performing exactly the same job as the average man is pure fantasy,

Imagine if we were to perform the same calculation, comparing 18-year-olds to 45-year olds. Of course, we would find that the average 45-year-old makes far more money than the average 18-year-old. But it would make no sense to complain about this discrepancy and demand equality, because these two groups perform drastically different kinds of work and have drastically different levels of experience.

Similarly, women make different choices than men in the labour market. They opt for different kinds of jobs, they tend to spend less time in the workforce and take more time off for family. These choices are reflected in the pay gap. Circumstances are not equal, so it makes no sense to apply equal outcomes.

Another example can be seen in a new push to achieve equal treatment in  schools. The Department of Education is trying to eliminate racial disparities between suspension and other disciplinary rates in public schools, arguing that it is unfair to punish black students more heavily than white students. There would be some merit to this argument if black and white students engaged in disruptive behavior and other rule violations at the same rates, but they most emphatically do not.

Punishments are meted out in proportion to the offenses committed, regardless of who commits them. Trying to equalize them is a fundamentally unfair approach, require either undue leniency on one group or undue severity to another based purely on the color of their skin. What could be a more inherently racist policy than that?

Imagine if we were to apply the same standard on the basis of gender? Everyone knows that boys misbehave in schools more often than girls do. Should we punish the girls more or let the boys get away with their antics all for the sake of equality? This is obvious nonsense.

The cult of egalitarianism demands equal treatment of unequal circumstances, a model that can lead only to tyranny and oppression. We have to stop thinking of equality as a necessary feature of a healthy society. The only sense in which people are truly equal is in their right to life and the control of their own actions.

Any interference with these must be closely guarded against, but the politically correct imposition of equal outcomes on diverse personalities destroys individualism and abolishes freedom.

Sunday, 23 November 2014

John Ergat Demonstrandum



They say be careful what you wish for. And, as is often the case, "they" are right.

As a kid, I wished the world favored the smart. I was a smart kid, and it seemed like the world - at least my world - was dominated by bullies and airheads. Might made right, just like in the times of old. My high IQ and love of learning were no match for popular dolts, so a portion of my childhood was wasted just trying to disappear into the background.

Unknown to me at the time, much of the adult world operated the same way. It didn't take a lot of intellect to have a respectable, enjoyable middle class existence in the world of the 1980s. The willingness to put in a full day's work (or, if protected by a union, a portion of a day's work) was enough to trump the potential impediment of a double-digit IQ. As I've mentioned before, most Jersey people had a nice house, a second house to rent out, and plenty of leisure time, and they worked as street cleaners and bin men.

The world did change, however, exactly as I hoped. My first indication was a cover story of California magazine titled "Revenge of the Nerds" with Steve Wozniak's smiling face and Apple-logo eyeglasses. It turns out the grey matter languishing in my head started to have value.

The Simple World

This post isn't about my misspent youth, however. I simply use that as a point of reference, because the gap between the fates and fortunes of the "smart" and "not as smart" has become grotesquely large. So much so, I'm starting to yearn for the days when the cavemen among us had some say-so.

It wasn't that long ago that the world was relatively easy to comprehend. Take the world political scene, for example. It was stone-cold simple: the USSR (and its myriad satellite states and sympathizers) on one side and the United States (along with the rest of the "free world") on the other. The ideological differences were clear and comprehensible, even to young people, and nuclear-based Mutually Assured Destruction kept the globe on edge but largely at peace.

But ask someone, even a person who is very well-read such as myself, to explain, say, the conflict in Syria. You'd get a blank stare. To truly comprehend the political problems of the world these days, you practically have to make a career out of it.

Consider the same yesteryear for central banks: for all their illustrious titles and grand offices, the job of the bankers used to be to move interest rates down when the economy needed stimulation (and could risk inflation) and crank them up if inflation needed to be suppressed. Elementary school children could more or less get this, and and on the nightly news, if David Brinkley stated that the Fed has moved interest rates up 1/4% or down 1/4%, Joe Sixpack could grasp what that meant and how it would affect him. The world, as a whole, was a pretty straightforward place to grasp.

History's End

Everything changed, of course, after the financial crisis. In the examples cited above (the world of work, and the role of central banks), something big affected each of them.

In the working world, several closely-related changes have conspired together to hollow out the middle class and create unprecedented deformations in wealth distribution. The majority of middle-class-supporting manufacturing jobs have been shipped overseas. The kinds of jobs available to people with sub-breathtaking intellect are such things as retail sales clerks, fast food deep-fat-fryer button-pushers, and the poor devils at health care facilities that have to collect the bedpans. If you don't have a Mark Zuckerberg brain, you would have been better off in the 1950s than the 2010s.

The central banks, of course, have changed drastically as well. In the throes of the financial crisis, I (very naively, it turns out) figured the Fed was all out of bullets, because interest rates were at 0. After all, for my entire life, I was aware of the Fed's role in turning the dial up or down on interest rates, but I assumed (again, naively) that once rates were at 0, all the Fed could do was sit back and hope for the best.

I couldn't have been more wrong.

As we all know now, our Central Bankers pledge to not monetize the debt was utter hogwash, and the globe is now in about $1 quadrillion debt. The rich among us are ecstatic, because they are richer than ever. Everyone else is, once you strip away the nonsense and get down to reality, isn't one iota better.

I'm not here to regurgitate about wealth inequality and central banks, however. That's been beaten to death for years. What I wanted to address was how the vast majority of the world is awash in willful ignorance about what is going on around them, mainly because, as the Facebook relationship status message says......it's complicated.

Enlightenment Requires Effort

What got me thinking about this was this recent article on ZeroHedge about how Carmen Segarra's whistleblower case is being dismissed out of hand by a federal court under the most corrupt of circumstances. Perhaps you recall Ms. Segarra is the woman who covertly taped the breathtakingly close relationship Goldman Sachs has with the Federal Reserve "regulators". This briefly was national news, but most citizens have the attention span of a gnat, so the story went away.

The ZH article showed quite plainly how the judge (Ronnie Abrams) and her husband are very tight with Goldman Sachs. The conflict of interest is screamingly apparent, but Ms. Segarra and her whistleblower lawsuit are S.O.L. because, well, Federal Judges tend to have a lot of sway when it comes to the law.

But here's the thing: taking the time to even have an awareness of this kind of thing is something 99.9% of the public isn't going to do. Endeavoring to do so isn't simple. It doesn't have a laugh track. And there's no Kardashian in it. They just. Don't. Care.

Ratchet this up several notches, though: consider for a moment what it takes to understand the economic state of the world today. Consider all the elements: quantitative easing; foreign exchange cross-rates; sovereign debt; the spider's web of relationships between the economies of Japan, China, Europe, and the United States.

The fact that you've even made it this far into this obscure post easily puts you in the 99th percentile in terms of people who are interested in, and read about, the topics I'm addressing. This is not mere flattery to butter you up, dear reader. I really do believe that. Never, ever underestimate the ignorance of the general public or its laziness. Today's world is really, really complicated, and it takes a Herculean effort to have a basic understanding as to what's happening all around us.

As foolish as I think Jonathan Gruber was to wreck his reputation (and enormous consulting income) by spouting off about the ignorance of the American voter, ummm, the fact is, he's kind of right. He's very right, actually. I'm reminded of George W. Bush's retort to the notion that people in the military must not be smart; he declared them "plenty smart", which was as patronizing as it was inaccurate. I'm sure the intelligence of soldiers would follow the same kind of bell curve that any body of humans would.

As George Carlin once said on this topic: "Think about how stupid the average person is, and then realize than half of the population is stupider than that."

If you have your doubts, take note:

+ Only half of people could answer which of these three major religions was the oldest: Judaism, Christianity, or Islam;

+ More people can name at least two of the Seven Dwarves than the name of their politicial representative;

+ More people can name each of the Three Stooges than the three branches of our government

In that kind of environment, what percentage of the population do you think could successfully and articulately explain what the central banks of the world have done to the world? Five percent? Two percent? I think even that is too generous an estimate.

It's not that the subject is breathtakingly complex, like learning Arabic or quantum mechanics. It's just that the effort required to understand this stuff at even a superficial level is pretty significant, and very few people are going to bother. Hell, I was absolutely crazy about Great Deformation, and that was a multi-week slog through a 700+ page book with not a single graph or table. Awareness in our modern world is a lot of work.

And that, my friends, is why the elite have it made in the proverbial shade. If the highest reaches of society were holding up banks with machine guns, that crime would simple enough for the common man to grasp, and he might actually agitate for prosecution.

But a complex scheme to saddle future generations of the masses with debt in exchange for the immediate gratification of the rich getting richer? They've already gotten away with it. The masses have enough hamburgers to eat and enough Kardashians to watch on the tube. They're going to stay blissfully ignorant and just keep scraping along.

The 1% have won. Most of the 99% don't know and, thus, don't care. And a tiny subset of the 99% who are clever enough to see what the hell is going on might find themselves envying their less-knowledgeable brethren, since ignorance is, at times like this, a blissful alternate to awareness.

Friday, 21 November 2014

Golden Jackass: Stealth QE3: Operation Tokyo Twist

Simply put, QE can never be halted or even slowed. The USFed is in a corner, with no policy options, facing collapse, with no ability whatsoever to halt the systemic failure in progress. It can only rely on hidden machinery and profound lies, against a background of constant economic propaganda. The central bank franchise system wrapped around the fiat paper currency regime has failed. They cannot stop it, not even with endless bond fraud and endless war, the new twin towers of the fascist state legacy. The entire financial structures have become fully dependent on easy money and debt financed by a printing press, buttressed by derivative machinery. The Uncle Sam bearing the USDollar emblem is like a pathetic heroin addict brandishing a modern howitzer. The USDollar is fast losing its integrity, during a dangerous global rejection episode. Therefore, QE must be exported, the easy candidate Japan. Call it Operation Tokyo Twist.

Heavy pressure, threats, and subterfuge are the American way. It is yet another sordid chapter in the Weimar Amerika story. QE to Infinity is the marquee billboard message, which will be perpetuated until the USGovt debt default and US financial collapse, forcing replacement of the USDollar. A Japanese syringe does not prevent the USD death, only delay it while deeper cancer spreads to the Japanese Economy and its financial structure. The United States is fast running out of nations to plunder. See Libya, Cyprus, Syria, Ukraine, the Philippines. Now Japan. Witness death of the US nation. The national carving ceremony will be very interesting to observe in future years, after the commercial colonization.

SYSTEMIC FAILURE GUARANTEE

The USEconomy will gradually move toward systemic failure for 10 main reasons. The isolation of the United States was foretold two years here. The US has become a pariah nation, ignored at all formal multi-national summit meetings. Obama is ignored on stage, placed with the wives. The US is not part of any new global platform implementation.
1)QE is killing capital from rising costs as banker welfare remains in place
2)USGovt has unmanageable debt as the great bloated welfare state remains in place
3)USMilitary is a cancer as the great predator war machine remains in place
4)Insolvent banks are grand casinos, no longer credit engines for capital formation
5)Rigged higher USDollar value will make exports to foreign nations difficult
6)Rejection of USTBond in trade will lead to amplified USGovt bond dumping
7)QE volume will rise significantly to soak the discarded bonds, in hidden rooms
8)Interest rate derivative reliance out of control, Failures to Deliver the smoking gun
9)All sanctions have backfired, the Russian sanctions being the final event
10) USDollar regime does not participate in trade settlement, on a growing basis.

OVERVIEW

The USFed has exported Quantitative Easing on a gigantic scale to Japan. The plausible deniability cover is that the US offers a higher bond yield, with a rising USDollar chaser. So the USFed announced with balllyhoo an end to QE and its unsterilized bond monetization, used for four years to cover the USGovt deficit and all the rolled over matured USTBills and USTBonds. Next just coincidentally, the Japanese announce unlimited QE in Tokyo. The Tokyo vassals will conduct highly corrosive unsterilized bond monetization, just like the Americans have done for four years. The untold part of the story is that the USGovt has demanded of its Asian vassals that they devote their $1.2 Japanese Govt pension fund to USTreasurys. The US covets the pot, which will buy another year of time. The Germans blocked QE in EuroCB under Prince Draghi's tutelage. The focus of attention went to Japan, which cannot say to their American Victor Lords. The Yakuza sword lies above their heads. Keep in mind there are no $billion coincidences.

JAPAN SACRIFICES PENSION FUND

The Japanese do not wish to see their bonds rise in yield, since it would cause a major problem with delivered pension payments. The lost income stream would be an obvious blight on their financial field. Confirmation is seen not with any great alteration in the JapGovtBond yields, but with the falling Japanese Yen currency. Therefore in summary, the US will commandeer the Japanese Govt pensions, which will purchase USTreasurys. The Bank of Japan will monetize their replacement so that the pension fund will look intact. The blood on the floor is a falling Japanese Yen, which will have deep ramifications. The Wall Street uber-lords probably tried to convince them a cheaper Yen currency would be great for the export industry, with its vast array of exported items large and small. Also, foreign subsidiary translations would be more favorable, another benefit. Without a decline in JYen, the interest rates in Japan would go above 2% to 3% quickly. The flip side is higher energy import costs, noting that Japan imports over 98% of its oil. Call it Operation Tokyo Twist. The USFed exported QE, thus putting QE4 on track in the latest hyper monetary inflation obscenity.
The USFed is again proved liars, as QE continues from a foreign outpost (outhouse). They lied by promising 0% (ZIRP) as lasting only six to nine months. They lied by promising QE bond monetization would be temporary, a one-time event. They lied as to what Operation Twist was, when China dumped all long-term USTreasurys in favor of quickly expiring short-term USTreasurys. They lied on Taper Talk last year, for reduced volume of bond purchases. They lied on usage of QE funds to purchase the major US Stocks using the S&P500 index. They lied on Interest Rate Swap dependence, the London Whale incident having exposed JPMorguen as losers. They lied in the nationalization of AIG, so as to rescue Goldman Sachs after killing rival Lehman Brothers. They have lied every single month on QE bond volumes, far more than double the officially stated volume. They have lied every single month on the black hole under the rug, since QE covers ruptured hidden derivative losses. They might be in the $trillions.
Japanese Yen chart
Proof of Operation Tokyo Twist is seen in the recent price action for the Japanese currency. The Japanese Yen went from 91 at end September, to 94.5 in mid-October, to 87.8 on November 3rd, to 86.35 on November 13th. A falling currency is the confirmation of the US bond grab, a smoking gun, since Tokyo replaces the seized pension funds in monetized manner. This is nothing but a huge shell game with Yellen the Liar in Chief at the Fed. They put a gun to Tokyo's head, and they engineered the twist. Vengeance will come from Germany and Japan, but also from the entire East. Both Russia & China will join in the vengeance against the Anglo-Americans and King Dollar Regime. It has months to live, not years. It no longer sits upright on its throne, its velvet eaten by heroin stains, at least two legs fractured. The upcoming G-20 Meeting in Brisbane Australia will see the writing on the executioner's wall. The US delegates will be listening, not dictating. A death blow might soon come from Shanghai, where in pursuit of an equilibrium based gold market, the Chinese are indicating a doubled Gold price and tripled Silver price. The West will not be able to stop it, to arbitrage it, or to ignore it. The reason is simple: the West has run out of Gold.
The King Dollar is in the final death throes, and the entire world knows it. Well, except for sleepy Americans, who do not comprehend its role as global reserve currency. When the new Scheiss Dollar arrives, the wake up call comes. Its painful devaluations will bring price inflation, supply shortage, social disorder, and shock to the gutted nation. A preview is given. The fast cratering retail sector is another symptom, led by Wal-Mart, Sears, Amazon, and Target. Until then, the Tokyo Twist will be the song on the FOREX dance floor where all the gals (fiat currencies) are ugly, in a desperate contest to be the least ugly. The new BRICS gold & silver backed currency is at an advance stage in the design rooms, soon to see actual implementation. The Gold Standard is to be re-installed, euphemistically called the Currency Reset. History is on the verge of being made.

Thursday, 20 November 2014

The New World Order: Does It All Just Boil Down To A Battle For Your Soul?

From its very inception, the Leninist/Marxist ideology of the Soviet Union made it a central priority to dispel and subjugate religious and spiritual expression. The state was “god.” No other god could be allowed to flourish, for if the people were given license and freedom of belief in something beyond themselves and beyond the establishment, they would retain a sense of rebellion. The collectivist philosophy requires the utter destruction of all competitors; otherwise, it can never truly prevail.

Atheism became the cult of choice among the communists, for in an atheist world there is nothing beyond the veil. There is no greater goal and no inherent self. There is no true individualism, only self interest (not the same thing), the trappings of environmental circumstances, and the constant substantiation of the greater good. By extension, there is no inborn moral compass or conscience, only the social fashions and mores of the moment. In such a world, tyrants reign supreme because atheism allows relativism to flourish; and any crime, no matter how heinous, can be rationalized. Beyond this, if you know and study the real history of the rise of communism, you know through great researchers like Antony Sutton that the very fabric of the system would never have existed without the monetary and military aid of international financiers (i.e. the NWO).

The atheist position uses the same arguments I have just made as a reason to remove religion and spirituality from our cultural influences. And in some respects, atheists are right. Religion is a tool that can be exploited to manipulate the masses. Any system of belief that is faith-based can be misinterpreted and abused in order to lure unwitting dupes and mindless followers into the fray of an engineered disaster. Atheists commonly argue that it is the encumbering nature of faith that causes mankind to destroy itself in the name of zealotry and self-righteous ignorance.

The difference, however, is that religious zealots are still required by the confines of their dogma to at least appear as though they follow a moral code. Therefore, they can be exposed as violators of this code and weakened over time. The atheist/collectivist system, though, thrives on the concept that there is no such thing as a moral code and that one is vindicated and heroic if he takes extreme action to prove that traditional morality is a vice, rather than a virtue. Atheists in positions of power often make no attempt to affirm their actions; rather, they demand that society abandon all conscience and sense of natural law. They do not ask for forgiveness; they order you to apologize for your moral compass. Are some atheists good and honorable people? Surely. The point, however, remains; atheism is the new flavor of the era, the increasingly predominant gravitational center of modern culture, the philosophical soil in which the NWO has chosen to grow its globalist experiment.

What atheists don’t seem to grasp is that atheism is itself based on an act of faith: faith in the idea that there is nothing beyond our perceptions of existence. They have no more factual knowledge of what lay at the center of life than any of the religious acolytes they so fondly attack, yet their own hypocrisy is apparently lost on them.

I would not pretend to deny that religion has the ability to create a volatile atmosphere edging toward genocidal tendency, but so does any belief system that assumes it is the paramount of knowledge denying all others. The intellectual intolerance of the socialist atheism of the 20th century spawned a death machine that claimed the lives of millions of people. So, clearly, atheists should be more concerned with the violent tendencies of their own ilk rather than the religious “fiends” they seem so obsessed with. Of course, this is a history modern atheists would rather ignore or rewrite.

I have always been concerned with the dilemma of the collectivist ideology, but even more so in recent months, as our world creeps closer toward global crisis. Crisis always provides circumstance and cover for dangerous philosophical totalitarianism.

Not long ago I came across the column “Some Atheists And Transhumanists Are Asking: Should It Be Illegal To Indoctrinate Kids With Religion?” on Huffington Post. It was written by Zoltan Istvan, a transhumanist and self-proclaimed “visionary and philosopher.”

Firstly, I have a hard time taking anything published by the Huffington Post seriously. Secondly, I have a hard time taking anyone using the name “Zoltan” seriously. Thirdly, I have a hard time taking anyone who labels himself a “visionary” seriously. That said, it is important to study the propaganda of the other side carefully. You never know what kinds of truths you might come across amid all the lies.

The article does not really define what it considers “indoctrination", but I would assume transhumanists and atheists would argue that anything not scientifically proven could become indoctrination. Interestingly, Istvan starts his tirade against the handing down of religious beliefs by admitting that science has added very little to our overall knowledge of the universe. After all, human beings experience only a narrow spectrum of the world around us, and there is indeed much we do not know. For some reason, it does not dawn on atheists that perhaps our limited scientific observations of the universe do not necessarily outweigh or deny the existence of an intelligent design.

In order to distract from their fundamental lack of knowledge, modern collectivist governments and movements have always made the promise of technological utopia and endless abundance in order to sway the populace into supporting establishment power. We will all work far less, or we will never have to work at all. Shelter, food, health and wealth will be provided for us. Our free time will be spent studying the nature of the cosmos and perpetuating the cult of academia, protected by a benevolent technocratic governing body straight out of an episode of “Star Trek.”

Not surprisingly, John Maynard Keynes himself predicted in 1930 that technological advancement and economic abundance would result in a three-hour workday and infinite time to amuse oneself by the year 2030 in his essay “The Economic Possibilities For Our Grandchildren.”

This was the same essay in which Keynes referred to the financial concerns of many at the onset of the Great Depression as “misinterpretations” and “pessimism.”

Transhumanism, a mainstay of global elitism and the New World Order, also uses fantastical images of scientifically created contentment to sell itself to starry-eyed rubes packed into the circus tent of the technocratic carnival. The very essence of the movement is the argument that one day ALLknowledge of the universe will be obtained by mankind and that through this knowledge, we (a select few anyway) will obtain godhood.

Again, as in the Huffington Post column, the claim is that science knows all or will eventually know all and that whatever has not been dissected and observed by science like the conceptions of religion must, therefore, be dubious myth.

Ironically, there is far more scientific evidence of God and spiritual life than there is evidence against. So by the very standards many atheists hold dear, it is they who are peddling indoctrination rather than truth.

In the world of mathematics, the good friend of Albert Einstein, Kurt Godel, is famous (but not as famous as he should be) for writing what would be called the “incompleteness proof.” In mathematics, a proof is a statement that is ALWAYS true and can always be proven true. Godel’s proof shook the very foundations of the mathematical world, because it outlined the fact that all mathematical knowledge is limited by numerical paradox, and that humanity will never be able to define all things through mathematical means.

Global elites such as Bertrand Russell had spent years of effort attempting to prove that mathematics was the unbridled code of the universe and that the universe could be understood in its entirety through the use of numbers. Godel shattered this delusion with his incompleteness proof, establishing once and for all that math is limited, not infinite. The existence of mathematical paradox along with an undefinable “infinity” lends credence to the religious view that there are indeed some things man will never know, but at least he has the ability to prove that he can never know them.

In the world of quantum physics, the work of Werner Heisenberg, along with that of many other scientists, has shown that the very mechanics of the world around us are not at all what they seem and that traditional physics is only a hollow shell of knowledge limited by our ability to observe.

The Heisenberg Uncertainty Principle dictates that the observer of a particular physical state always affects the object being observed, making it impossible to know all the data necessary at one time to predict the future of that object. If a person hoped to become a god, he would certainly need to be able to tell the future; and to tell the future, one would need the ability to observe and record every aspect of every particle interacting in the environment around him. Any unknown quantity could change the outcome of any particular event. Heisenberg found that particles act very differently depending on how they are observed. In some experiments, he even discovered that individual particles appeared to be in two places at the same time, thus making them wholly unpredictable.

This behavior in the building blocks of matter is confounding to many in the realm of physics. Add to it the fact that scientists remain fixed on an endless and apparently futile quest to find the base particle that makes up the universe, and once again we find that the dreams of the transhumanist atheists to attain godhood fall terribly short. In addition, the apparently "intelligent" behavior of inanimate particles under observation leads one to question whether the universe is really just a chaotic mess of matter, or a dynamic living machine.

In the realm of psychology, Carl Gustav Jung discovered through decades of research the existence of inborn psychological contents.That is to say, from the moment of our birth, human beings contain complex elements of knowledge and identity, meaning we are NOT merely products of our particular environments. Jung called these pieces of inherent information “archetypes.”

The most important aspect of archetypes for our discussion is the existence of opposing views, or “dualities.” The concepts of good and evil, the concepts of conscience as well as guilt and regret, are not necessarily taught to us. Rather, we are born with such elements already within us. The fact that we are born with an at least unconscious understanding of good versus evil means we have the potential power of choice, a power beyond the realm of environment and beyond the reach of would-be tyrants and collectivists. If this does not constitute scientific evidence of a human “soul,” then I do not know what does. The fact of archetypes is undeniable. The question is: Since they do not come from environment, where do they come from?

Istvan’s column doesn’t mention or regard any of the scientific evidence for the existence of an intelligent design. He merely argues that science is the only definable known quantity, and only the known quantity is an acceptable form of belief. But what if the known quantity is so limited as to make a society dangerously ignorant?

The article goes on to promote (somewhat shamelessly) the author’s book, in which the hero, a transhumanist atheist, is given the power to reshape society into any form he wishes. The hero questions whether he should remove religion from the picture entirely, for if religion were erased, wouldn’t the world finally be at peace? Istvan himself questions whether religious expression should be banned in the case of children, so that they are given the chance to “choose” what they wish to believe later in life. This, of course, disregards the fact that children are already born with the prospect of choice, which is why many children who grow up Christian do not practice it later in life, and why many children from atheist homes end up joining religious movements. The idea that all children are permanently molded or damaged by their parent’s unchecked beliefs is complete nonsense.

What the author reveals in his work of fiction is the greater threat of the atheist and transhumanist ideology — namely, the arrogant assumption that they know what is best for the world and the public based on their scientific observations, which are limited and often misinterpreted. This problem extends into the oligarchy of globalists, who adore the theories expressed in Plato’s “The Republic,” in which an elite cadre of “philosopher kings,” men who have achieved a heightened level of academic knowledge, are exalted as the most qualified leaders. However, leadership requires more than knowledge, even if that knowledge is profound. Leadership also requires compassion and informed consent, two things for which the elites have no regard.

The New World Order, an ideal often touted by globalists and defined by their own rhetoric as a scientific dictatorship in which collectivism is valued and individualism is criminalized, seems to me to be — in its ultimate form and intention — a battle for the human soul. They try to convince us that there is no such thing, that there is no inborn conscience, that there is a rationale for every action, that spiritualism is a frivolous and terroristic pursuit, and that cold logic and science, as defined by them, are the paths to prosperity and peace. They also seek to tempt the masses with imaginary stories of attainable godhood and artificial Eden, promises on which they can never deliver. Anyone can point a gun at you and demand your fealty, but this is not what the elites want. Rather, they want you to voluntarily resign yourself over to the hive mind and sacrifice your conscience in the process. While one might argue over what it is they "truly" believe at the core of their cult, it is undeniable that collectivism, moral relativism, and atheism are their favorite promotional weapons.

The reactionary responses to my criticisms of the elitist philosophy will likely involve endless renunciations of crimes committed in the name of religious fervor. I agree; religion has always been exploited, usually by the elites themselves, to enslave as well as to murder. Even today, I hear some so-called Christians argue in favor of genocide using half-baked interpretations of biblical reference. But at bottom, I much prefer a world in which religious expression is free, rather than abolished in the name of an overarching zealotry in the form of a stunted mathematical morality. I prefer a world where the spiritual side of existence is allowed to add to observational awareness. Logic alone is not wisdom, after all. Wisdom is the combination of reason, intuition and experience.

I refuse to live under any form of theocracy, whether religious or scientific. The idea that we must choose between one or the other is a farce — a controlled debate. The individual soul (or whatever you want to call it) is the only thing that matters. It is important that we never forget that when we fight against the NWO, we are not just fighting for liberty; we are also fighting for something profoundly and inherently spiritual. Though we might not be able to define it, we can feel it. And that is enough.

Monday, 20 October 2014

Global Economics - Are we in the End Game?

Anyone who studies what is happening in macro-global economics can clearly see that there are just three steps to go to the return of a gold standard.
  • Saudi Arabia accepts payment for oil in currencies other than USD
  • Germany leaves the Euro
  • The gold price in the Shanghai gold market is set at double the price on the UK & US markets
What this means for Jersey

Jersey is totally dependent on the banking system of the United States for its living. The City of London is the offshore centre for the US banks and Jersey, the offshore centre for the City of London.

With the stuttering stock market and announcements recently that interest rates will not rise, rendering our recent emergency budget incorrect just two days after the election. Poor stock market performance will affect not only the government's income but the fees collected by Jersey's finance industry meaning that we can expect further job cuts and lower than budgeted corporation tax receipts.

As the value of the pound falls, expect the prices of everything to rise, everything that is, except housing where most people have the majority of their wealth invested.

Before they tell you this is all unexpected, I just thought you would like to know... it is not unexpected it is the inevitable consequence of decisions made before I was born. Of decisions made by the government you have elected and continue to elect.

Thursday, 16 October 2014

They know not what they have done?

Politics is not a matter of right and left, liibertarian and authoritarian, it is a matter of right and wrong.
All these things will I give you, 
if you will fall down and worship me.

Quite unbelievably the island has voted to hasten moves to place all power in one man's hands, If all men are created equal then how can it be right that one person alone makes decisions for everyone? How can those decisions benefit everyone equally?

The corrupting influence of this absolute power, free from external UK control when we get full indpendence. Our organised religions teach that there is one all powerful god (although this is a corruption of the words ascribed to Jesus who said "we are all gods"),

I wonder if somewhere in our collective cosciousness you (because it sure was not me!)  are seriously trying to recreate that on this island. But our orgaised religions also teach us that the god of this world is satan. So who shall we set as our Prince of Darkness? Philip Bailhache and his puppet Gorst or Geoff Southern? Is that really what our elections should be about? Is either of those choices right? Are they not both wrong?

So why has our politicial narrative been forced in that direction for the past ten years? Why have all genuinely independent members now been forced out in a single day? The politics of concensus has now been replaced with the politics of diviseness. The very thing that Sir Pip said he was against, but the prince of darkness is also the prince of lies, the deceiver, the betrayer, a consummate politician.

Looking back to 1998 when the government began the destruction of the finance industry with the increase in regulation and oversight was this all part of some plan? Looking back to 1990 when taxes began to be ramped up on alcohol, petrol and cigarettes and greater regulation was implemented on hoteliers to begin the destruction of the tourism industry and house prices ratcheted up to the point where both parents had to work to pay a mortgage and leave their children in other people's care.

Was this done by design or just by (un)happy coincidence? Is it just the inevitable consequence of bureaucracy left unchecked?

As the tax rises hit you remember, this was your choice. As services are cut remember, this was your choice. When you lose your job, unable to pay your mortgage and in negative equity, whether you voted or not remember, this was your choice.

Why are you voting for it? Did you really think enough about what you were doing before you voted?

Who are the Establishment?

Following the election in which Jersey appeared to moved towards an "Establishment" line I thought it was appropriate to examine what exactly the establishment is.

The short answer is - that we are nearly all the Establishment. With the exception of those few of us who are truly Libertarian.

However to explain the short answer requires some degree of explanation.

That many Libertarians are very well read in theology may surprise you, but the whole notion of an establishment is a fundamental religious concept, which we have recreated in our human societies.

First let's note that whether or not you believe in "God" for the moment, whether or not you are religious that these beliefs have been the foundation of our society and laws for so many generations that they are inescapable. They are imprinted upon our conciousness, individual and collective.

John 10
33 The Jews answered Him, "For a good work we do not stone You, but for blasphemy; and because You, being a man, make Yourself out to be God."

34 Jesus answered them, "Has it not been written in your Law, 'I SAID, YOU ARE GODS '? (Which it does in Psalm 82:6)

The bible tells us we are all Gods and yet all organised religion teaches that there is but one God. How is that possible? Is the bible wrong or organised religion?

That power is centralised in a single being is the religion of the god of this world, Satan. This structure is replicated by the "dark side" of humanity in the centralisation of authority in government.

Acts 26:18
to open their eyes and turn them from darkness to light, and from the power of Satan to God, so that they may receive forgiveness of sins and a place among those who are sanctified by faith in me.'

Lucifer, translates as "Bringer of Light". It is not possible that Satan and Lucifer can be one and the same being.

Study of the Luciferian teachings reveals the means by which we can recognise our own godhood, by expanding our individual consciousness.

2 Corinthians 4:4 in whose case the god of this world [Satan] has blinded the minds of the unbelieving.

Light naturally expands in all directions bringing with it greater awareness of the world around us, darkness sucks everything into itself until ultimately everything is destroyed, such as in a black hole.

If we bow to the Establishment and the Centralisation of a power which will truck no dissent, then we lose sight of the light which shows us (as Jesus said) - we are all gods.

If we are all gods we are all equal. If we are all equal then there can be no centralised single power which we must all obey.

Any who do not consider themselves equals are part of the power structure of the dark side. At once inferior to the one, but maybe superior to others.

Sunday, 10 August 2014

[Conditioned] Human Nature within the Insane Asylum

Exhausted from Life's Treadmill
Exhausted from Life's Treadmill

I wish I had a silver ounce for every time I’ve heard the phrase “It is human nature……” or some such derivative or derivation. Alan Greenspan recently popped to the surface of his personal cesspool to proclaim it is human nature to create financial bubbles, thus absolving himself of any blame for a runaway fiat candy machine. His exact words were “Bubbles are functions of unchangeable human nature.
I will stifle the urge to flush Greenspan back down the commode where he belongs and instead focus upon the mistaken belief we can actually determine exactly what is ‘human nature’ after hundreds if not thousands of years of social conditioning and manipulation.
Our fragile egos, both personally and as a collective, have a difficult enough time accepting “We the People” are effectively influenced by ‘popular culture’, let alone that we would seriously entertain the idea we are thoroughly conditioned humans from birth. But considering we are born the purest of individual humans and spend the rest of our lives attempting to be just like everyone else speaks volumes to the idea we are the sum total not only of our lifelong conditioning, but of multi generational conditioning as well.
Where exactly is the demarcation line between ‘human nature’ and the passively conditioned consumer we have all become to some degree or another? If generation after generation of “We the Consumer” suffer under the influence of cultural, social, institutional, religious and governmental manipulative programming and outright propaganda, how exactly could we ever be fully aware of the sum total of these influences nor what humans would be like if the manipulation were removed or never there in the first place?
Humans are highly adaptive creatures and incredibly ingenious when it comes to modifying our behavior in the face of externally or internally applied pressure and circumstance. ‘Normal’ is a relative term, not some static measurement, and both the body and mind quickly becomes accustomed to the ‘new’ normal when choices appear to be limited and the herd moves to a new grazing field. But this doesn’t mean the results of social pressures and generational conditioning are dictated by human nature or that human nature guides human behavior under these extraordinarily distorted circumstances.
I remember visiting an indoor zoo. At one exhibit there was a young man seated in a chair intently watching the caged animals, in this case squirrels if I remember correctly. A sign posted behind him informed the curious he was conducting a behavioral study and to please do not disturb. At regular intervals he would look down at his clipboard and make a notation, then return his gaze to the animals in front of him. I was fascinated not in animals he was watching, but in what he was doing and why.
Stealing a look at the clipboard there were several vertical columns for various behaviors such as grooming, feeding, mating etc and horizontal markings indicating 30 second intervals. It appeared he was following one particular squirrel and noting what it was doing at specific points of time. It was then I realized there was a very large clock with a sweeping second hand hanging on the cage in the person’s line of sight. I supposed this data would all be crunched down later into thesis graphs and tables.
Outside the exhibit I found an employee and asked him a few questions about the young man inside. He explained that the local university regularly sent over students to conduct behavioral studies of various animals in the zoo. This data would then be compared to results of studies done in the wild in order to measure the effects of captivity and domestication. I remember saying to him, “Too bad we can’t do this with humans.” He was startled by my comment and clearly at a loss for words. I left him to stew on my thought and moved on to the next exhibit.
If the only substantial population of squirrels left in the world are all safely caged and on exhibit, with only a smattering of squirrels remaining in the wild, would this ‘condition’ eventually become the basis for a new ‘normal’? Would the caged animals be considered the norm and the few remaining left in the wild considered outliers and abnormal?
Now move this thought experiment forward a thousand years or more and imagine there are only caged squirrels left in the world, and even the institutional memory of their wild origins is lost or severely obscured. How exactly would these animals be perceived when there remained no basis for comparison? I propose that at this point any observed repetitive or predictable ‘behavior’ would be considered ‘squirrel nature’ and just the way it is.  
In recent years the publicly promoted illusion of happy, well adjusted zoo animals has slowly dissolved into dust as report after report indicates many animals in captivity exhibit clear and disturbing signs of depression, neurosis and self destructive behavior. Assuming after a thousand years the captive squirrels have not committed ritual collective suicide I suspect their observed behavior would border on the bizarre and nonsensical. Yet with no basis for comparison their aberrant manner would continue to be explained away as simply squirrel nature.
While I suspect I shall assault the sensibilities and egos of many of my readers by immediately switching the squirrel analogy to that of the present day human, the similarities are too striking to ignore. How exactly are we to successfully and correctly examine ourselves when the only ‘normal’ we know is found in the boiling pot of water we presently occupy?
With no basis for comparison and any cultural or institutional memory long since lost to time or never established in the first place, combined with the deliberate and malicious distortion or outright falsification of the history of the human race in order to muddy the waters and control “We the Conditioned”, how is a person or any “author-ity” able to say with any degree of confidence that a particular observed human behavior is solely and exclusively ‘human nature’? The single minded arrogance displayed by such certainty of knowledge of the ‘self’ approaches pathological self deception.
That caged gorilla obsessively pacing inside his cage is seen as abnormal simply because we can view other gorillas in the wild and not witness comparable behavior. Similarly the obese obsessive compulsive eater shopping at Sam’s Club for a bigger bang for their food buck is seen as abnormal solely because there are other non obese humans available for comparison. As well, this specific abnormal self destructive human behavior is so relatively new that institutional memory of what is ‘normal’ has not been lost or deliberately obscured. Yet we hurry to blame the individual person for their apparent suicidal behavior and rarely look beyond the trees to see the cultural forest.
For thousands of years psychopaths have ruled the human race utilizing various psychologically damaging methods and techniques, all with the ultimate purpose of control and exploitation. The very institutions and governments we allow to exist are there solely to herd and control the masses for the benefit of the few at the expense of the many. In so many ways caged from birth, is it any wonder we exhibit clear and disturbing signs of depression, neurosis and self destructive behavior?
I suspect if it weren’t for our flexible intellect and protective ego, combined with a monumental arrogance, long ago we would have participated in ritual collective suicide. It could be argued our near constant state of war is designed to ‘play’ at or ‘practice’ mass suicide in order to act as a safety valve and relieve some of the socially self destructive pressures.
While there are certainly many ‘benefits’ of war enjoyed by the minority psychopath controllers, such as economic enrichment, power enhancement and more social control, a seriously dysfunctional and neurotic population must be managed in the same way unstable chemical compounds are. Occasionally dangerous pressures must be carefully vented away or burned off lest the volatile concoction self destruct and take the psychopaths with it.
For those among us who claim that humans who are removed from these pressures still exhibit the same behavior, thus confirming the presence of human nature, I simply respond that deep conditioning can last a lifetime even after it is recognized as conditioning. It takes generational change to effectively begin the removal and rebalancing process and many generations for it to be removed completely. Ironically the psychopaths claim this very fact justifies their continued intervention and control since a domesticated animal let loose in the wild cannot fend for itself, a self serving point of view if ever I heard one.
Induced insanity is the perfect mental/spiritual illness from a social control point of view because it is self perpetuating, self affirming and can exist in isolation since it is its own energy source. The social/cultural control systems used by the psychopaths encourages mass mental illness in order to divide and conquer. It is the most effective method by which the few may dominate the many.
If this is the case, and I suspect this to be so, how exactly are “We the Insane” able to perceive anything about ourselves with any semblance of balance and objectivity. How are we able to determine what is ‘human nature’ and not just run-of-the-mill insanity? The insane nearly always believe themselves to be sane and healthy, and all others to be off their rockers. How apropos then that nearly every one of us believes we can clearly see the insanity and it is they, those, and them over there who are the problem, not me, myself or I.
Welcome to the Insane Asylum…..or as we like to say these days the ‘new’ normal.

Saturday, 19 July 2014

Do share prices matter to you? Only if you want a States Pension.

You may not think that the price of shares matters to you, especially if you do not invest in the stock market, however this is not necessarily true.

Your government does invest in the stock market, if you have a pension then the money you pay in is likely invested at least in part in the stock market.

The £1.6 billion social security fund is entrusted to an investment manager and they decide which investments to make or not to make.

Share prices are doing pretty well at the moment, with anew highs almost daily, but all is not as rosy as it might be.

Stocks do go down as well as up, and what if they go down?

First, three weeks ago, it was the BIS. Then, last week, it was Janet Yellen, who during last week did what no Fed Chairman had done before: commented on stock prices, and what's worse she had her "irrational exuberance" moment when the Chairmanwoman of the Fed explicitly stated that biotech and social-network stocks are in a bubble.

That she finally admitted that the market is approaching its upper limit should have been enough to launch a major market correction. Instead the market barely budged and subsequently recovered virtually all its losses, even as the war in Ukraine and Gaza reached new highs, in the process confirming that other recurring Fed concern: that the market has hit record complacency.

It appears that the Fed has created a terrifying "central-planning" Frankenstein monster with its monetary policy, one which will keep going higher and higher until it crashes so epically, it will complete the finacial system wipe out that was started with the collapse of Lehman and merely delayed with the $4 trillion Fed balance sheet expansion. And the Fed is finally realizing just this, with a 5+ year delay.

Then, yesterday, it was none other that the IMF's Christine Lagarde, who joined the chorus of warnings that the market is overvalued and due for a correction. From Reuters and BBC:
"The head of the International Monetary Fund warned on Friday that financial markets were "perhaps too upbeat" because high unemployment and high debt in Europe could drag down investment and hurt future growth prospects... She also warned that continuing low inflation could undermine growth prospects in the region. 
"There is the danger of a vicious cycle: persistently high unemployment and high debt-to-GDP ratios jeopardize investment and lower future growth," Lagarde said on Friday, according to the prepared text of her speech
So to summarize: first the BIS, then the Fed and now the IMF are not only warning there is either a broad market bubble or a localized one.

And how do the High Frequency Trading algorythms (computer programs which respond to internet news stories to push the market up or down) react? They promptly ramp the S&P 500 to essentially its all time high. Why? Because at this point it is far too late for even the Fed to pretend it has any control over the "centrally-planned" market. Or rather, centrally-unplanned. And because it is now also too late for the Fed to even conduct a controlled crash.

When the epic crash that all international agencies are expecting comes, someone is going to have to take the loss. Some of that loss will be taken by your pension and by the Social Security Fund.

The Jersey Social Security Fund and Health Fund are already in financial difficulty, the States Pension fund is already short of the funds it requires to pay future pensions and those projections rely on certain levels of growth of around 8%.

So what happens if the 'epic crash' comes? Well everyone loses out. The rich may lose the same percentage of their wealth as you, but when you have £100 million you can lose £63 million and barely even notice, especially when those around you who have just £100 thousand lose £63 thousand. That £37 million suddenly buys a whole lot more than the £100 million would buy you before the crash when everyone had plenty of money to spare.

Thursday, 17 July 2014

Golden Jackass: Germany Pivoting East

It is finally happening in full view, in unmistakable manner, in a way that the awake, the aware, and the conscious can perceive in alarming stunning terms. 

The central force of Europe, the industrial juggernaut, the stable core, has begun to pivot East. The Germans have had enough, fed up with destructive US activities of all kinds. For the last few months, they have been laying out their indictment, their justification, their reasons to abandon the corrupt US-UK crowd. 

The bank wreckage, the market rigging, the endless wars, the sanctions which backfire, the sham monetary policy, the economic sabotage, the spying, the gold gimmicks, it has finally reached a critical level. Germany has begun to move East in full view. Only the deaf dumb and blind cannot notice, and they will probably never notice. They are fodder. The awaited signals seen by the Jackass have finally arrived. 

The grand stage leans East for the European players, with steps taken to the right, the weight having shifted, the messages suddenly more angry, more filled with disgust, more loaded with open confrontation. The commercial forces aligned with Russia are coming to the fore. The departure after a recent re-election by Chancellor Merkel should serve as the final slam of the hammer. She stood in the wrong camp, the banker and politician camp. They do not run Germany.

The marriage is over, the glow gone, the lawyers in the room, the bitterness in the open. Those exciting Saturday nights with the Germans and French enjoying a good ride with Mustang Sally are over. The once vivacious peppery exhilarating relationship with steamy back room sessions has turned ugly, old, nasty. She has lost her appeal, and worse, has turned vicious and destructive. 

Sally has stolen the jewelry, wrecked the credit lines, undermined the day job, and backstabbed the neighbors. As time passes, more joint accounts are seen as drained. Sally must go. The once thrilling tosses replete with the excitement of a bucking mare have turned into a kick to the head, a broken bed, as the acidic Buck has fallen from grace and burns holes everywhere. The lascivious flow has turned blood red, hardly a monthly matter. The only thing holding the relationship and tight liaison together is the heavy narcotics flow through NATO bases and major European banks. Regardless, Sally must go. 

Her devious devices, tools, ploys, nasty friends, and antics threaten to wreck the European industry supply lines and heated homes. The nation's accounts are depleted. Sally must go. Her ride is more like a kicking old hag with warts where a sexy smile once resided. Her trust is nowhere. She is wrecking the European house. Sally must go. When Germany turns away from Sally, and shows her the door, it will be clear in the global country club that Sally is gone. Then eastern winds will blow some fresh air on the putrid parlors.

BERLIN INDICTMENT CHARGES

Berlin is outraged by clear USGovt spying, and in process of conducting a Gold audit among their population. Germany is building motives to split from the Euro Monetary Union (common Euro currency) by forging stronger open ties with Russia & China. The justification is becoming plainly laid out, in four perceived indictment charges. The Jackass believes Germany will break from US/UK and its USDollar fiat currency regime over four primary thorny issues. 

The four are major indictments, all extremely serious, all indicative of a decayed system and morally bankrupt leadership. The charges are coming into view, highlighting fundamental commercial, philosophical, and ethical conflicts that distinguish the two nations (considering US/UK a single entity). The issues center on the following key differences:

1) Good relations with Russia and continued energy supply from Gazprom

2) Displeasure over planned Draghi Euro Central Bank bond monetization

3) Disgust over NSA espionage by USGovt, with benefit for US corporations

4) Damage to German population from gold price suppression.

The damage began with the refusal to repatriation German official gold by the New York Fed. The damage ends with the USGovt NSA espionage. Germany is very angry, sufficiently motivated to part ways with the US/Anglo camp. The plan to make distance from the British & Americans appears to be well along in execution. The critical stake in the ground was the prosecution, investigation, and forced actions during the Deutsche Bank actions. The trained eye and informed view notices the intense activity for the last two years, as closing all the back doors from the gold halls. Some major eruptions can no longer be brushed aside as simple anomalies. The boils, open sores, and deep rashes are visible everywhere. 

The London Fix is being abandoned, Deutsche Bank forfeiting its seat, regulatory bodies in the deeply corrupted London Centre concluding nothing askew and all is well. The LIBOR scandal has some German ignition points, with no prosecutions anywhere in sight. The FOREX and Gold derivatives are under intense scrutiny, again with a German hand to unwind the corrupted arenas, with massive naked short raids continuing in the last two weeks.

EXIT USDOLLAR, ENTER GOLD STANDARD

The plan seem obvious for Germany, to exit the USDollar, but first to embrace the Euro as a caretaker currency platform before the Eurasian Trade Zone comes together and offers a gold-backed continental currency with broad shoulders. All of Europe will rally around the Euro flagpole, hunker down during the other financial HAARP-like storm (bearing Weimar nameplate), and ride the storm until the Russian-Chinese hard asset currency arrives. 

The BRICS have invaded the mainstream Western stage and hold a banner for all to see. The stage has been altered, its weight shifted, leaning to the East. Tremendously important historical events are occurring. The King Dollar is wounded mortally, having fallen off the throne, looking weakened, haggard, and ashen. Sympathy for the US-UK corrupt violent vindictive crew has vanished. Next comes the assaults on the European Commission, that corrupt den.

The path to the Gold Trade Standard is becoming visible, the key break being the divorce between Germany and the US/UK fascists. It complements the divorce between the US and Saudis which has occurred since March. That break has been detailed in public Jackass essays. The German break is the new event, with current episodes absolutely mesmerizing for their importance and shock. Some US press sources are awakening. 

The United States Govt has treated France and Germany like adversaries, even enemy camps. The BNP Paribas case was atrocious for its devious ploys, giving old line Europeans a kick to the head. The US rats have infiltrated with organized networks of espionage agents. The press prefers to describe them as merely eavesdropping. In reality they are gathering information on Germany strategic planning, on Germany corporate contracts in development, and on German political functions. The consequence is a coordinated indictment taking shape which will result in the final steps coming to pass in the Global Paradigm Shift. 

The USDollar will be chucked into the dustbin of history, but first, it will be kicked to the used car scrap heap where it awaits finally processing. That processing consists of the conversion of USTreasury Bonds into Gold bullion on a massive scale at numerous offices. The BRICS Banks are ready to do business. They are two, the Development Bank and the Contingency Reserve Arrangement (CRA). In time the CRA will be known as the New IMF for its function, while the Development Bank will be known as the Central Bank housing gold.

ESPIONAGE AGAINST ALLY

The attention has gone from Sally to Ally, the relation turned quietly hostile. Not the queer conversion of GMAC into an empty bag lending institution, but rather the key Central European Ally in NATO. In the past Hat Trick Letter essays, items #1 and #2 have been addressed, focus having been on the deteriorated Ukraine situation and the antagonistic Bundesbank position. 

The US fictional output from destructive fracking and deceptive shale projects has been pledged to Europe, in a massive ruse that is vacant on its face. Huge 95% writedowns of shale oil reserves like by Monterey in California, combined with departures of fracking firms like Medallion in Western Pennsylvania, testify to the fact that the USGovt strategy is a ruse with empty tube. The German central bank has challenged the Draghi EuroCB not to embark on destructive unsterilized bond monetization. 

In the past, the EuroCB policy disagreements on phony bond patches and bond monetization have been the source of great conflict, even with German high court rulings against the EuroCB. The LTRO (Long Term Refinancing Operation) is but another device from the same Weimar laboratory, a mere banker con game with super seniority rights to favor the elite investors.

In extreme focus in the past month is item #3, the nefarious NSA espionage. Those who call it eavesdropping miss the point. It is not about catching juicy information on politician affairs. It is not to grab a lead on Merkel's next luncheon for tabloid display. It is to seize information on Russian and Chinese developments and plans, on the commercial front and financial sector respectively. 

It is to infiltrate the German computer systems and communication systems, probably to plant Trojan Horses for later leverage in blackmail at the state level. The Berlin officials are well aware. The entire NSA espionage chapter appears to be exploding on the scene. In fact, word has come that Russian Intelligence offices tipped off the Berlin officials about the USGovt NSA activity before arrests were made last week. The Snowden files are being used in important ways. The Central European source stated briefly, "The comical part in all this is that Russian intelligence FSB and GRU tipped the German authorities off by providing the leads." The Germans followed up quickly, so quickly that a divorce is the conclusion. 

In the meantime, the German-Russian cooperation with trust develops while the German-Anglo trust withers away. The break between the Germans and the Fascists from US-UK-EU may be closer than ever, as history is turned on its head since World War II. The entrenched Fascists on the global financial war front are the Americans and British accomplices, the big corrupt banks being the pillboxes. They will be abandoned, or toppled. At risk is the NATO Alliance. If and when Germany pivots fully eastward, the NATO membership will be rendered empty chair with a speaker phone attached.

GOLD ROOM CRIME

On item #4, a national audit seems underway inside Germany, as part of a criminal investigation. The purpose is not made clear, but the agenda seems obvious to the Jackass. The Federal Financial Supervisory Authority (BaFin) has asked German banks and investment intermediaries to formally hand over data about clients investment in precious metals until mid-July. All the depots will respond. The state wants to determine the extent of private sector German investment in Gold & Silver. The BaFin has requested copious information about client investments in precious metals from German banks and asset managers. But the requested information is only about derivatives.

A national audit seems the path, to determine damages to institutions and citizens alike. They seek certain precious metals or groups of precious metals as reference value, as well as shares in precious metals. They cite the Securities Trading Act and the Capital Investment Act, much like an attorney would before the court. Explicitly mentioned are Exchange Traded Funds, Exchange Traded Commodities & Certificates, which involve gold, silver, platinum, and palladium. BaFin has requested information from 2013, such as details on volumes and order size, in addition to methods recommended. The national audit is underway, even if not stated in public in clear terms. 

The entire gold issue began as a major sore spot when the New York Fed refused to repatriate 330 tons of gold from the German official account. Since that event, it has been like pulling a thread in a sweater.

The full purpose has not been revealed, but a multi-sector national audit for precious metals market losses due to corruption seems the ultimate motive. To be sure, BaFin has been making formal inquisitions on alleged gold price manipulation for more than a year now, especially at Deutsche Bank. The bank has many vice presidents actively squirming, as they reveal key data on London frauds, cutting immunity deals for themselves. Thus the London mid-level banker murders with ties to Germany. 

Many believe the investigation of German gold investments could possibly be related to extensions of the FOREX and Gold market investigation underway at D-Bank. The suspicion from the German front is to identify the extent of potential damage caused to investors by gold price manipulation.BaFin told Gold Reporter in a written statement that the inquiry was routine and that the probe does not relate to investigations on alleged gold price manipulation by Deutsche Bank. 

Conclude therefore that a bigger purpose is at work, to take account of national damages to German financial firms and German citizens. Furthermore, and not incidentally, many German citizens have large accounts in the major Swiss bullion banks, where corruption is rife, the secured gold illicitly sold. Ongoing class action lawsuits are in progress, kept well under wraps.

MISCELLANEOUS HINTS & WINDS

Many are the other scattered indications. They are growing fast like open windows, all facing the Easterly winds. The July Money War Report for the Hat Trick Letter offers details, but here are some in synopsis form to mull over. The mosaic is filling in, the collage telling the story. The Germans are going to give Russian partner a bear hug and the US bitch the cold shoulder. As a German official recently said, enough is enough.

The Germany Govt has instructed its companies to limit cooperation and procurement orders with the US corporations. New strict guidelines on security are to be enforced, as the fallout grows. They are installing No-Spy clauses in German contracts to guarantee that untrustworthy US firms do not relinquish confidential data. The effect will be felt by IBM, Cisco, and Microsoft. 

The effect has already seen an impact with a canceled Verizon account, where suspicion runs thick of planted blackmail Trojan horses and virus seeds. Severing ties with Russia, crushing relations with China, alienating France, and angering Germany has managed to sour relations with old friends to a point where one wonders just who is a remaining US ally in Europe these days. Germany will sever banking and business ties with the United States, as a matter of survival, all in time. NATO is a major clue.

Stephen Leeb has noticed Germany and China making a stronger alliance, along with Russia. While the USGovt spies on Germany (corporate trade secrets too), Berlin is turning Eastward. The Jackass has been adamant, how Germany is the linch pin in the Eurasian Trade Zone coming to form. India is important, but Germany is the game changer. 

Leeb notices how the Germany is being called strategic partners by Chinese leaders. He notes the growing relations with Russia. He concluded, "Perhaps the United States is spying on her [Merkel] because of her closeness to not only Russia, but also to China, and her distancing herself from the United States. It appears that the German-Russian-Chinese connection is getting stronger and stronger, and the [connection with the] US is becoming more distant. It feels like the world is changing in front of us. 

Do not be surprised to see Gold & Silver being the ultimate safe havens, but also Gold being sure to play a part in the new reserve currency in the East. This means the price of Gold will soar as that [scenario] begins to unfold. We are very close to that point of inflection, and every news story of any importance that I see proves that is the case." Leading analysts are noticing the German linch pin. Leeb detects a new Gold-backed currency launched from the East like a ballistic missile. It will contain Russian & Chinese markings, a BRICS guidance system, and elite private consultant designers. Sally must go, the Greenback to yield to the Redback.

Massive demonstrations in German cities have taken place, aimed to end the Federal Reserve. Consider Lars Maehrholz, main organizer of the massive Monday peace vigils in Berlin. The recurring vigils are part of an autonomous fully independent movement that gained massive popularity in the capital city. Like with the Occupy Wall Street movement, their advocates are under attack, in this case violent. 

Maehrholz is the object of severe criticism by the German mainstream media and political system. Worse, a car he was riding in was the object of a fire bomb incident by an anonymous perp. Lars had received online threats of exactly such actions. The coverup went into action quickly. The local police decided that the car caught on fire by itself, and are not investigating the case. Luckily neither the organizer Maehrholz nor his companion were in the car when it was set on fire. The common finger of suspicion points once more to Langley, where the professionals ply their trade. Memories of Operation Gladio remain fresh during three decades of sponsored Langley violence.

Germany has suspended shale-gas drilling for the next seven years during a political standoff with Russia, the nation's main gas supplier.Not only are shale projects a source of contamination, but they rub Russia the wrong way. They will be halted. Besides, they have deep concerns that exploration techniques could pollute groundwater, even sap electricity capacity. The dangerous fracking in Germany will stop for the foreseeable future, which wins praise from the environmental groups in the country. The Halliburton chemicals (monopoly in fracking business) are reputed to include toxic additives far beyond those necessary to release the natural gas, like heavy metals and even radioactive waste. Notice in Germany, how common sense prevails over corporate greed, corruption, and corrosive global agenda.

Germany and China are developing a special relationship, forging some new deals in the automobile and aviation sectors. The nations are embarking on deals to build helicopter and car plants. The deal precedes high level meeting between the German Chancellor and Chinese Premier. China is the magnet and Germany is being drawn into its vast sphere. Hundreds of German firms do active business in China, led by construction firms and equipment suppliers, as well as car makers and machine tool firms. The main contracts featured the purchase of helicopters from Germany, worth over $400 million. Germany's enthusiasm has come with gusto toward the construction of the Silk Road Economic Belt. It will serve all Europe. Over 3000 (three thousand) German companies do active business in Russia. Those who expect a German boycott of Russia as part of USGovt sanctions are true morons. The more pressure the US leaders apply, the more they will break apart the NATO Alliance with a crowbar.

Expect new block buster contracts with Volkswagen, Siemens, Airbus, Deutsche Bank, and Lufthansa, all very popular brands among the rising middle class in China. BMW sold half a million cars in China last year, which they would prefer not to cut off. Honoring lunatic US-led sanctions means hundreds of thousands of German job losses. As an added spice, an Eco-Park will be built in Qingdao which will showcase energy efficient buildings, using German engineering. The link is clear. Germany is going East for trade reinforced by secure energy, which is certain to cause a rift and split for US relations. The US cannot stop evolution, where the Western European nations forge stronger ties with Russia, which on the return lane provide reliable cheap energy supply. At risk is the entire system of NATO bases across Europe, which have been abused with narcotics distribution, and recently overrun by professional mercenaries. Neither narcotics trafficking nor accommodation of private mercenaries are not part of the original NATO Treaty.

COMING SOON THE BRICS CURRENCY

The climax event is the launch of the BRICS currency. Informed sources, whom the Jackass believes are directly involved in the planning, execution, and implementation, inform that the new currency will be gold-backed with further backbone in silver, crude oil, and in some manner natural gas. The Gazprom gas pipelines are far more important than the financial press mention. They are the skeleton and distribution system by which to capture Europe and to install the New Gold Trade Standard. The hints of its arrival are seen in the details for the BRICS Development Bank and the BRICS Emergency Fund. Without any hesitation in my mind, it is clear that these funds will serve as fronts for massive conversion of USTreasury Bonds into Gold bullion, which will reside in the BRICS Central Bank. The decision for location of the funds might be haggled in the open, but expect the central bank to be dispersed, using various key locations. The BRICS nations are all too familiar with US & Langley tactics, to destabilize, to raise internal dissension, to launch a war, and to steal the gold in banks amidst the chaos and confusion offered by the maze and din of war. The war in Ukraine, just like the war in Syria, and the attacks on Cyprus, all had Gazprom as common element.

The wars are to defend the USDollar, in the last stages of its reign of terror. The harder the US gangsters pull on the reins, the more they apply the fracture from the lever. However, Ukraine is the Waterloo. Yet comes the dreaded HOLOMODOR (famine) since no planting season took place in the fertile rich lands. Thus no growing season during the outbreak of war. Thus no harvest season. Starvation during a collapsed economy will surely turn the tide against the US-led Fascists in Kiev, all in time. Mass defection among their ranks has already begun, the fascist forces running low on supplies like ammunition, food, water, surrounded and until a hail of grenade fire at numerous locations. Thefts of their central bank gold and raiding official bank accounts by the US-led regime assured the outcome. Do not expect Germany to continue its reckless NATO support in this failed mercenary action. The ultimate victim of this desperate adventure will be the USDollar and NATO.