The trading day just ended, on what may be the penultimate week of “normalcy” for generations to come. Frankly, I have never been more scared, as the certainty of my views has never been more powerful. Which are, that nothing – not Central banks, governments, nor any “supreme manipulative power” – will be able to stop the unstoppable tsunami of political, economic, and monetary reality that has already engulfed large swaths of the “emerging” world; and currently, is heading for the “developed” world full bore, like a runaway train down an icy mountain, loaded with nuclear explosives.
To that end, today’s topic is as “philosophical” as anything I’ve penned, which I believe is appropriate given the circumstances – as it’s one thing to speak of what will be, and another to experience it firsthand. Which is exactly what I think everyone reading this blog is about to live through – as a new, terrifying “normality” replaces what we have known throughout the entire post-War era.
Economically, we are unquestionably – on a worldwide basis – living amidst the weakest conditions since the Great Depression. Which sadly, is not only plunging steeply downhill, at a rapidly accelerating rate, but features the triple-barreled terminal dangers of historic oversupply; unprecedented, parabolically-rising debt; and relentlessly hyper-inflating currencies. And oh yeah, 7.4 billion people fighting to survive in a world of rapidly declining employment opportunities; rising inflation; and non-existent savings. Frankly, I’m exhausted with documenting the countless economic “horrible headlines” each day – like the Cass Freight Index plunging to nearly its 2009 financial crisis low – so I’m going to take a pass for a day. Other than to say, that today’s reality-exposing crude oil plunge – based on news that my vehement prediction of NO DEAL at next Tuesday’s Algiers producer meeting will in fact be the case – may well be the straw that breaks the financial markets’ backs.
As when oil inevitably – and perhaps, imminently – crashes below $40/bbl; and potentially, $30/bbl; the wave of defaults will be at least as devastating as the 2008 subprime mortgage crisis. As this time, not only corporations, but sovereign governments themselves will collapse – in the case of the already unstable Middle East, potentially catalyzing World War III. Let alone, “other” modern-day lending catastrophes like “subprime” student and auto-loans, high-end real estate, and countless corporations that borrowed cheap Central bank “money” to buy back shares at historically overvalued prices. And oh yeah, I’d be remiss if I neglected to note that the New York Fed, today, dramatically reduced it’s (soon-to-be-further-slashed) 4Q GDP “growth” estimate to…wait for it…1.2%!
Politically, the hell that is about to rain down on the world will be no less devastating than the worst instances of 20th century authoritarianism – and in some cases, 19th century and earlier. Former “first world” nations will no longer enjoy such privilege, yielding massive declines in the standard of living – that frankly, could never be imagined a few years back, even at the bottom of the 2008 financial crisis; or, for that matter, the immediate aftermath of 9/11. Japan will literally plunge from the first world to the third; “commodity currency” nations will experience hyperinflation; and Europe will become a neo-feudal hell – potentially, far sooner than most can imagine, given that Deutsche Bank of Germany and Bank Monte Paschi of Italy are literally on the verge of collapse. Which, if one or both go, will be the equivalent of a nuclear financial explosion.
And yet, the U.S.’s decline will be the most spectacular. Not because its standard of living will be the world’s lowest – as likely, it will remain amongst the highest. However, the scope of its decline will be the largest, given that the U.S. standard of living – like its PPT-supported financial markets – is more “overvalued” than any other, relative to its true equilibrium level. In other words, as the dollar’s “reserve status” dissipates, Americans will be forced to accept the reality that not only are they broke, but their “money” is worth far less than they thought. And oh yeah, the world will no longer “subsidize” its undeserved largesse, so we will be forced to dramatically downsize our lives. Which, given that the average American already has no savings, will result in a dramatic expansion of the Nanny State; and in turn, exploding authoritarianism, and equally virulent monetary inflation.
In other words, beware of what you wish for – as even if you have been wise enough to protect your financial well-being with Precious Metals, or any other asset deemed to have “safe haven” status,” the positives associates with financial salvation may well be offset, or even overwhelmed by, the negatives associated with a world of 7.4 billion people gone mad. To wit, there is no precedent for a “debt jubilee” this massive – which frankly, makes the October 2nd expiration of the 2016 “jubilee year” that much more interesting, and terrifying. Or, for that matter, a global fiat currency collapse, in which all 7.4 billion people will be negatively affected – politically, economically, and/or socially. And I do mean all.
That said, my principal role in the alternative media – aside from my job as Marketing Director of one of America’s oldest, most trusted bullion dealers – is to warn you of the financial ramifications of what’s coming. Which, after 27 years in the business world, I can only be confident in physical Precious Metals to provide. Yes, I own a small amount of Bitcoin, as long-time readers know well – but given its limited track record, it is still just a speculation; as opposed to gold, silver, and to a lesser extent, platinum, which I know will protect me. And trust me, now that even MSM propaganda rags like the Wall Street Journal and New York Times are actively lambasting Central banks – shortly, to be followed by CNBC – it’s only a matter of time before everyone realizes the system is not only rigged, but collapsing. And thus, that physical Precious Metals provide the best chance of financial survival.
Before I go – to get some well-deserved rest, before what may well be a turning point in financial history – I figured I’d list, chronologically, the events most likely to catalyze the “Big One,” in the next two weeks alone. Which sadly, represents a mere fraction of the potentially negative catalysts out there, many of which haven’t yet surfaced.
- September 24th – Obama’s decision to sign or veto JASTA, the Justice for Sponsors of Terrorism Act
- September 26th – First Trump/Clinton debate
- September 27th – Algiers Oil producer meeting
- September 30th – End of U.S. fiscal year – will there be a fiscal 2017 budget?
- October 1st – Chinese Yuan inclusion in SDR currency basket – will they announce increased gold reserves?
- October 2nd – End of the biblical “jubilee year”
- October 7th – September NFP Report
- October 8th – Deadline for Italian Parliament setting the date for this Fall’s Constitutional Reform Referendum
- ???? – Deutsche Bank, Monte Paschi, Greek “bailout” discussions
Reading this “list of terror,” you can see why I’m so scared of what coming – potentially, as imminently as it is inevitable. And thus, why I more vehemently than ever, advise you to PROTECT YOURSELF, and DO IT NOW!
I HOPE your RIGHT Andy, cause I have lost
a Lot of DOLLARS since following your advice
since May. am starting to get pissed off.
Your like the BOY WHO CRIED “WOLF” ONCE
to many times. but still HOPE you are
right. BUT THE BOTTOM line, you may be
right, BUT THE MARKET IS ALWAYS CORRECT.
And the last month or so, the MINERS
HAVE BEEN TAKEN OUT and whipped.
And I see NO CHANGE in DIRECTION.
THEY ARE GOING DOWN.
And all your worse calls, AIN’T
going to change their direction
of going SOUTH.
Terry,
I believe Andy’s advice will, in the long run, save you so much trouble. You might have lost some earlier in the year, but if you have already followed his advice and gotten some precious metals, you will be SO thankful you did. I feel like we have to start basing our lives on principles, not the almighty dollar. What is the stock market really? It is a house of cards, played by many dishonest people and some good people. If we play the games that support dishonest people, we are helping to hold it all up. It’s GOT to come down sometime because the banker’s/satan’s games will not hold out forever. With that in mind, life has to be lived differently. We have to start asking ourselves “how?” How are we going to live differently, in order to meet our own needs and help those around us meet their needs? We will have to work together as communities in order to survive. So, we need to rethink our ways and ask—what is the best, smartest way to live? God has already given us the answers to these questions. We just need to search them out. When the terrible times come, there will be those in panic, but there will also be those who have prepared. If we start preparing now and start preparing ourselves to live our lives based on good economic principles and Christ’s teachings, we can make it through. Pioneers lived with very little money, but they were willing to work…And, work HARD. When food shortages are here, necessities will become the new dollar. Individually, we’ve got to take ahold of every opportunity we can, to start producing our basic needs. Gold and silver are good backups, but food, water, transportation, etc, will eventually be where it’s at. And, relying on other countries to supply it for us, is going to end. We Americans can do this. It just takes accepting the facts and moving on from there.
Interesting tidbit to add to your list
Per investing.com holiday calendar, China’s stock market is closed the entire week of October 3rd to 7th.
http://www.investing.com/holiday-calendar/
Interestingly , Jim Rickards is also forcasting a financial disaster and he has put an actual date on it – 30th September . 2016 Another point of interest is that there has been a record amount of gold being moved from Switzerland to the USA . Why ? Could it be that people are getting worried about taxation of gold in Switzerland ? I had gold stored in a well known bullion deposit in Switzerland ( who will remain nameless) and they began to ask very unusual questions which gave me the impression that they were intending to tax it and I removed my gold because of their attitude . We certainly live in perilous times .
Thank you for being one of only a few voices of reason in our world of “make believe.” May you and all who have listened to the voices of reason be protected and be the stabilizing force in our future world. God’s richest blessing on you.
I enjoy Andrew’s missives very much, regardless of their specific predictive value. Two thumbs up.
I disagree with the characterization of Japan as imminently turning into a 3rd world country. We have heard for years now how Japan is a bug in search of a windshield etc. but no one seems to realize that Japan is a 4 dimensional country that has endured at least 10 currency collapses over its hundreds of years of recorded history. Going through nuclear incineration of two major cities, complete fire bombing of its major city, and defeat in WWII in recent history kinds of puts things in perspective over here (I emigrated to a small island in Japan to get outta Dodge (Washington DC). We have a strong resilience mind set here and are best positioned to pursue the next paradigm shift after the collapse. Even if we lose all imports we will not become a 3rd world country….. such takes a particular mind set and lack of civility. That is more likely to occur in the U.S.
What moronic idiots who writes ” hope you are right” , “have LOST a lot of Dollars” – and Andy is so great to take it without a response.
Of course Andy is right, for quite along time so.
But dont you DARE to HOPE he is rigth!!!!
as i am sure Andy hopes he is wrong.
Thank you for your work!