http://www.stevequayle.com/index.php?s=33&d=336
As I sat in my living room watching global events unfold I felt like a movie goer watching a film that he has seen over and over again and knows the line, the plot and exactly how this ends. Better yet I felt like a passenger on the proverbial Titanic already in the life boat waiting for the Iceberg while the rest of my fellow passengers look at me with sheer curiosity and some with outright disdain. As I and a few of my cohorts scream with alarm warning to prepare for the eminent demise of that which is deemed 'unsinkable". The passengers begin to rearrange the deck chairs. Some frantically still trying to upgrade to first class. Others clamoring for a room with a view on a liner doomed for destruction. Still others lined up for the meal service waiting to eat unbeknownst to them their last meal. This my friends is how and many like me feel.
I warn them about the demise and collapse heading into our very lives and path. Yet many of you ask me if I should buy a home? Some ask me what I should do with precious metals since it does not produce "cashflow" . Some ask me about 401K, Roth IRAs, stocks, bonds, commodities, etc....All for "cashflow" What CASH!? If you are in a paper position my friend you will not have "Cashflow" You will have "CRASH-FLOW" the direction and movement of a collapsing currency as it hyper- inflates to oblivion leaving you beggared and destitute. That is the term I coined ( Now watch some head at Forbes steal my line)'Crash Flow'.
Enough of the jests. Here is what I am seriously and I mean seriously concerned about.
1) The 38th Parallel Igniting on Fire.
For the last 60 years the Idiotic Dynasty of Morons called the Kims who have ruled North Korea have always blustered and bluffed to get their way. In exchange for rhetoric and showmanship, we give him aid. In the likes of much needed food for his brain washed starving masses who see these Ass-Clowns as gods.
This time though it is different. This time there is something crazy about this generation of Kim. I can not shake the feeling that this is playing out to be a nightmare scenario. Here is what I mean and I hope you can see the patterns. Now follow along:
a) Back in 2009 N.Korea detonated a "Super EMP device" one capable of blacking out the entire contiguous 48 states. The main stream media under-reported this and the "experts" written it off as no big deal.
b) North Korean long range missile capability is currently in reality "unknown" Even if they do not have this capability it is still a moot point as I will show later. Thanks in part to exhibit "a"
c) Many real "experts" the ones that you wont find on the MSM channels firmly believe that these lunatics have in fact miniaturized their warheads though they are far from MIRV capability.
d) Their increasing nuclear testing
e) The severing of the 1953 Armistice that ended the Korean War
f) The severing of the one "phone line" from Seoul to Pyongyang
g) Recommissioning of the Yongbyong Nuclear facility
h) Constant threats and state of readiness for war.
i) Chinese mobilizing aircraft, ships and troops on the border
j) America sending in B52, B1, B2 , F22, and Agis Missle Destroyers and Cruisers
k) Satanic Hollywood making not 1 but 2 movies that showcase North Koreans as the enemies (Red Dawn and Olympus Fallen)
What I fear is a scenario playing out like this. America is a super power hanging by a string. You are only as strong as your economy and our economy my friends is very weak. Fragile to the point that the slightest trauma, or the slightest "Black Swan" event could trigger the end of Pax-Americana not in decade or two but overnight. We all know that the kings of the east along side with their allies have formed a counter balance to the tyrant that America has become. They are called the BRICS. It was announced last week and I warned about this. The BRICS nations(BRAZIL,RUSSIA ,INDIA,CHINA AND SOUTH AFRICA) have agreed to create a BRICS bank to counter weight the IMF and World Bank. This effectively kills the dollar. They are setting up an exchange that would allow the issuance of credit and loans with solid Gold being the reserve collateral. They are doing this and building the framework and purchasing all the thousands of metric tons of 'GOLD' using American T-Bills. This accomplishes two things. One it dumps their position on the toxic US dollar and two, it allows them to buy as much precious metals as possible. The end game of this is that the BRICS understand that the dollar is about to die as the world reserve currency. That is why today over 50% of the biggest economies in the world have stopped using it, moved away from it or limited severely their reliance on it. If you do not hear the death knell ringing then you are deaf as well as dumb.
Many have said that the Chinese and Russians are going to attack us at our weakest. Many envision and invasion force. I believe that they do not have to do that at all. All they have to do is fight us by proxy via the loose cannons of North Korea. All it would take is the right setting up or firing of a large scale EMP device smuggled in or fired close to shore from a cargo ship. It was not that long ago that a Chinese sub fired a ICBM off the coast of Los Angeles catching the Pacific Fleet with their pants down. Heck they can fire it from a fishing boat. The point is "ANY" attack can bring the markets to a halt and the economy to a complete crash. Again ANY attack or disruption.
The situation in the 38th Parallel also benefits the Chinese as dealing with the problem of the Japanese / Senkaku island problem. An engaged or EMP struck America will not be able to come to the rescue of their lackys Japan, or Taiwan for that matter. Japan is set to go belly up any way economically. The Abe reforms have failed and the Yen to Dollar index is still way too high thanks to the currency wars and a devalued dollar. It is sitting at 93 when it should be 83. Japan will try to start or get involved with any regional war in order to distract it's populace. Except this excursion will cost them everything.
2) The Middle East.
Need I say more? With the Asad regime change and the failed European colonization program called modern Israel (nothing to do historic/biblical Israel) crescendo into abject failures the West has to try more extreme methods. Look for the biggest welfare state in the region (Israel) to get desperate and initiate a greater regional war. This will back fire on them as their American ally will most probably have their hands full from licking their wounds from a Sino-Russo beating as well as civil unrest due to a maniacal government and a collapsed economy.
3) World:
Eurozone will be officially collapsed as the big money was out by end of June 2012.
The Major Bank hacks will occur
Bank Failures and glitches will become common place.
Civil unrest among any and all that have it's dealings with Western Banking systems or Models.
Total loss of all paper backed assets and wealth.
These are but a few scenarios that are headed our way. One is a very real potential (North Korea) The other is a definite: Dollar death and total collapse of the US and western economies.
May God help you all and please stop asking me about "buying a home".
"V"
The Guerrilla Economist ; COPYRIGHT STEVE QUAYLE--MAY BE REPRODUCED IN IT's ENTIRETY WITH LINK BACK TO www.stevequayle.com
Apr 3, 2013
Comments