“In politics, nothing happens by accident. If it happens at all, you can bet it was planned that way.” F.D.R.

The stock market pundits last week reported that the stock market was experiencing a slight pause in reaction to China’s report of their falling G.D.P.  Our Wall Street’s “super bull” market or “bull crap” market they report is just contracting slightly on the world news reports.

Then gold dropped some 28% and silver followed as markets dropped on the news that Cyprus was selling part of their “miniscule” gold holdings to conform to austerity measures imposed by Germany.  They dumped some 400 M $ of their total 14 Tons.  The media warned that, “Investors are experiencing capitulation and are selling their holdings before gold and silver prices collapse!”  Did they forget that typically gold prices fall, seasonally, between March and June?  Creditor nations are now buying gold cheap from bankrupt nations forced to sell at distressed prices.  Next we will see the value of competing nations swell their gold reserves to gain independence and break free of their reliance on the U.S. dollar as the principal reserve currency of the world.   When the dollar comes to an end we Americans had better pray that the 8100 Tons of gold we purportedly still own is actually stored in Fort Knox. We will need every ounce of it to survive!  Many Americans doubt that we have even half that amount.  There is simply no proof as every audit requested has been denied.

This reminds me of 1971 and the dollar devaluation that created a stock market high in 1973 only to crumble by the end of 1974. The market dropped 50% and do you remember what gold prices did?  They escalated to new highs first doubling then rising from $38 in 1970 to $150 up some 60% a year in just 5 years.  The gold experts have suggested for a few years now that gold will surge to $5000 an ounce and a 395% rise would actually send gold to $5,500 over the next 5 years.  Now I won’t ignore that gold prices crashed from 1975 to 1976 but the metal then surged upwards to the last years of the decade some 600%. Now I am not saying gold could reach $33,000 an oz but an average of 500% would put gold at $7000.  The governments of the world are the responsible parties in the impending disaster but precious metals will be the safe harbor!  Don’t believe for a moment what the media reports or anything from the governments around the world. Hold on and keep stacking because they lie!

Everybody’s printing money and now Japan is getting into the act as well and has promised to print even more yen worth some $77 Billion slightly less that Mr. Bernanke pumps out. I would bet the farm that Mr. Bernanke will never stop printing either.  Money printing is the new “fad” and we all know how fads end.  Then, all will look back with 20/20 vision, and wonder how could we have ever done that?  This pumped up and inflated economy is all artificial and it cannot go on forever.  The world and U.S. economies will experience a major economic collapse.  The populace of average American investors must protect them-selves immediately or suffer immensely under the resulting crushing chaos as the COMEX collapses.  Today, the U.S. debt level, as compared to our Gross Domestic Product, is at an all time un-sustainable high level.

This is in effect a 1930’s currency war that will devastate an entire class of average investors who put their faith in a government that has supported endless bailouts and money printing.  As I have said before it is always the same cycle, depression followed by currency wars, followed by trade wars, followed by world war.  The trade war sanctions the U.S. and other neighboring countries have implemented rather indiscriminately against North Korea over the past 60 years have harmed the North Koreans and this crisis is coming to a rolling boil.  This new young leader, Kim Jong-un, is anxious to show his prowess to his new young bride and most fear he will act in a nonsensical manner.  His recent choice of an international visitor, “the worm”   should prove that he is as crazy as a June bug.  What will happen is unclear but a war is imminent as history proves?  Some individuals, I’ve discovered, are preparing for an Electro Magnetic Pulse here in the U.S. and the devastation it will cause setting our culture back 100 plus years. Others state that North Korea is but a pawn for the New World Order and they have been supplied war heads and satellites by China.  North Korea simply lacks the technology or infrastructure necessary to build it themselves.

Recognize this, the U.S. credit market grew moderately from the 1940’s to the 1970’s but since that time it has growing exponentially as it doubled from 1970 to 1977.  During the seven years from 1977 to 1984 it doubled again, from 1984 to 1991 it doubled again and again it doubled from 1991 to 1997. This growth is just like a common pyramid scheme that ultimately leaves the last entrants holding the bag when the growth stops. It is almost impossible to perceive at the beginning. Everything looks fine, just like in every pyramid scheme. Yet the insidious growth of the virus keeps doubling in size, over and over again and in shorter and shorter periods of time until it hits unsustainable levels and the system collapses.

Simply put, their one world credit market model has failed and with it their one global economy collapses!  The identical pattern of our debt, total credit market, and money supply guarantees failure.  The pattern is nearly the same as in any pyramid scheme, one that escalates exponentially fast before it collapses.  Today these patterns are not just limited to our economy but the same catastrophic pattern in also visible and inevitable in our energy, food, and water supplies as well.  Our international governments realize this and they are preparing but they are not reporting their worst fears.  The world is on an unsustainable road to collapse and it is visible today in our energy, water and food production as well.  All are connected and will contribute to the economic disaster that lies directly ahead.

Today, we find, most people make their money off government entitlements or government jobs, some make their money gambling (wall street traders) and a few actually work in productive meaningful work.  This system requires a constant creation of money, shuffling of money paper, electronic funds or silver and gold to keep the system afloat.  It reminds me of the way you and I have been surviving the past decade, paying one bill this month and floating others till next.  Can’t the world see that this model cannot last?  We simply are not producing or creating anything and are not self sufficient to survive the end games!

If the Euro is to have a chance Germany is the key to its survival.  I suspect that Germany’s populace will instead vote for a change of chancellors during their fall elections especially as they make plans to tax property owners to pay for yet another bailout. They simply cannot continue to rely on Angela Merkel’s decision of continuous money dumping into a bottomless pit in an effort to prop up the failed Euro.  The new party will finally pull the plug on an already dead European Euro unless Merkel does it before September in a too late attempt to save her re-election campaign.  The bailout infusions have failed miserably worldwide after attempting to pump life into dead fiat currencies even one so young as the Euro’s but 15 years life.  German’s have had their own financial problems in the past and have recovered through discipline and hard work.  I’d bet they are simply tired of being the daddy and bailing out their spoiled children. Germans may well choose to distance themselves as the failed Euro nations neglect to take responsibility.  When they don’t Germany may decide not to risk their own economic future.  The countdown has started and will more than likely be decided when the Euro fails, the Yen follows, the British Pound flattens and the U.S. dollar collapses!

Our current political leader’s plans for a “One World (governing) Order” will force the masses into submission.  But can it succeed in a world, like the tower of Babel which was unable to be built on the backs of a world of divergent people in culture, language, customs and beliefs?  What are they thinking?  They are thinking only about themselves!  Protect your family before it’s too late and stack what is left!  It is disappearing rapidly!