Sunday, May 25, 2014

World's Highest Denomination Banknote - Hungarian (1946) 100 Quintillion Pengo

The largest denomination banknote ever officially issued for circulation was in 1946 by the Hungarian National Bank for the amount of 100 quintillion pengo.......
Hungary (1946) 100 Quintillion Pengo
....... (100,000,000,000,000,000,000, or 1020). The Post-WWII hyperinflation of Hungary holds the record for the most extreme monthly inflation rate ever — 41,900,000,000,000,000% (4.19 × 1016%) for July, 1946, amounting to prices doubling every fifteen hours!!
The pengo (sometimes written as pengo or pengoe in English) was the currency of Hungary between 1 January 1927, when it replaced the korona, and 31 July 1946, when it was replaced by the forint. The pengo was subdivided into 100 filler. Although the introduction of the pengo was part of a post-World War I stabilisation program, the currency survived only for 20 years and experienced the most serious hyperinflation ever recorded.
Also see Largest Denomination Banknote (With Printed Zeroes).

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia articles "Hyperinflation" and "Hungarian pengo"

Putin: What we see now is full-scale civil war in Ukraine

The Reality of the Greek “Success story”: Greece on Its Way to Become a Third World Country

While prime minister Samaras speaks of a “Greek success story” reality looks quite different: Public debt has increased from 120 per cent of GDP to 180 per cent. The suicide rate is soaring. The public health and education systems have already been largely destroyed, says Chatzistefanou.
According to physicians existential fear and poverty would lead also to a heavy rise in cardiovascular diseases – often with deadly consequences. The alleged primary surplus were fictitious as government debts – including unpaid salaries – were not taken into account. The left – including Syriza – would only be able to counter neoliberal policies if a massive social movement will support a progressive government as in parts of Latin America.

Watch here

World Trade Suddenly Slumps (Just Forget ‘Escape Velocity’)

The US economy, and by extension the world economy, is desperately waiting for the spring escape velocity to finally kick in. This American phenomenon has been forecast to occur for six years in a row now, with the prior five forecasts having turned out to be just a mix of political wishful thinking and unfettered Wall Street hype, followed by a shrug and an “ah shucks, maybe next year.”
So while we were still waiting for the escape velocity, world trade, one of the major indicators of what’s going on in the globalized economy, has descended into a very unpropitious slump.
World trade volume dropped 0.5% in March from February, after it had already dropped 0.7% in February, the CPB Netherlands Bureau for Economic Policy Analysis, a division of the Ministry of Economic Affairs, just reported in its March world trade report. For the first quarter, volume was down 0.8%, after a 1.5% increase in the fourth quarter.
To eliminate the inherent volatility of these kinds of monthly numbers, the CPB offers what it calls trade “momentum” data – which it defines as “the change in the three months average up to the report month relative to the average of the preceding three months.” It eliminates some of the monthly up-and-down noise.
That trade momentum measure slumped 0.8% in March, after having edged down 0.3% in February. This is what it looks like, going back to 2010. Note the steep dive since late last year that entered negative territory in February:
The CPB’s Trade Index looks at it from a slightly different perspective. The chart below shows the steady rise of world trade volume from 2005 up to the global financial crisis, when things came to an abrupt halt and momentum went over the cliff, then the rapid recovery, and since late last year, the slump.
But it’s even worse. While shrinking import volumes were concentrated in the emerging markets, there was “a remarkable increase” in imports by Japan. And there was a reason, a very temporary one.
Japanese households and businesses have been front-loading major expenditures, including building materials, machinery, cars, jewels, electronics, etc. in anticipation of the consumption-tax hike that took effect on April 1. The tax is very broad based, and by front-loading durable-goods purchases, buyers were able to save 3% (a tax free gain!) in a country where 10-year government bonds have been yielding below 1% for years. Front-loading was one heck of a deal. Everyone did it. And imports soared [here is my chart of Japan’s increasingly out-of-whack trade deficit from 2011 through Q1 2014].
That temporary jump in imports by the third-largest economy in the world papered over some of the trade weaknesses elsewhere. Without that buying binge in Japan, trade momentum in the first quarter would have been even worse.
That’s the good news.
“On the export side the picture was more negative,” the CPB report points out. Exports volume fell across the board in advanced economies, but particularly in Japan and the Euro area, though it recovered in Central and Eastern Europe. And in the emerging economies, exports fell for the fourth month in a row. The elephant in that room was China.
Momentum declined in both, advanced and emerging economies. In the US, where the by now infamously illusory escape velocity is once again just about to occur, “import and export momentum remained negative.”
It happened in 2000 and 2007. The consequences were spectacular. Now, it happened a third time in fifteen years. And it’s forming an increasingly terrifying chart. Read….. This Happened Twice Before, And Each Time Stocks Crashed

The Essential Role of Volatility, Stress and Dissent

The individual or system that never experiences dissent, volatility or stress is systemically unhealthy and increasingly prone to sudden “gosh, I didn’t see this coming” collapse.
To say that volatility, stress, dissent are not just healthy, but essential for maintaining health sounds counter-intuitive. On an individual level, we try to avoid exertion, stress and crisis, and on a larger systemic level, our institutions devote enormous resources to minimizing systemic volatility and suppressing dissent.
In other words, the notion that stress and dissent are to be avoided is scale-invariant: it works the same for individuals, households, enterprises, economies, governments and empires.
What got me thinking about this was some recent research that suggests short bursts of physical exertion several times a day yields the equivalent positive results as 20+ minutes of strenuous workout in the gym.
Doing some strenuous exercise for 60 seconds a few times of day appears to trigger the same immune response and repair systems that longer duration exercise engenders.
Why does this matter? On a practical level, many of us have a hard time finding time to go to a gym every day. Those of us over 50 find that sustained vigorous exercise increases the odds of injury.
On a natural-selection level, the benefits arising from short bursts of strenuous exercise fits into our basic survival need to be ready to sprint, lift a heavy object, etc., that is, perform some brief exertion to escape danger or obtain the necessities of life.
In the hunter-gatherer world that shaped the human genome, calories are too scarce to squander on 20+ minutes a day of vigorous workout; the payoff simply isn’t worth the costly expenditure of calories.
So the fact that three 60-second bursts of exertion are enough to maintain strength and endurance makes sense in a natural-selection analysis in which the minimum number of calories are consumed to maintain the optimum sustainable fitness for survival.
There is another form of survival fitness, of course, the ability to walk/jog for miles/kilometers a day, day after day. We clearly need both types of fitness to be resilient and healthy.
The key to the benefits of short bursts of exertion (fort example, 50 jumping jacks or 20 burpees, etc.) is that this stress signals the body to rebuild muscle tissue and activate multiple immune responses to the damage caused by the exertion.
In terms of systems, stress, volatility and dissent are essential because only these forces trigger systemic reform, repair and rebuilding.
Anecdotally, I’ve found that a regime of brief exertions maintain strength despite significant gaps in sustained exercise; missing a week or so (due to illness, travel, etc.) doesn’t degrade one’s core strength much, once a certain level of fitness is reached.
Exertion also stresses the heart-lung systems, in effect pushing all the major systems out of low-volatility steady-state default settings.
This aligns with what we’ve learned about how systems respond when feedback and information is limited or suppressed. This is one of the key insights of Nassim Taleb’s work on black swans and risk. In manipulating systems to maintain a steady-state of financial stability, the Federal Reserve and the central state have doomed the entire system to collapse.
The same can be said of a political system that suppresses dissent, punishes whistleblowers and treats its entire citizenry as potential enemies of the state: the greater the suppression of dissent and transparency, the greater the certainty of eventual crisis and collapse.
In effect, the central state/bank insure the economy and society have lost the ability to respond positively to volatility and stress. Suppressing dissent and volatility guarantee systemic failure and collapse.
Taleb explained why in the June 2011 issue of Foreign Affairs“Complex systems that have artificially suppressed volatility become extremely fragile, while at the same time exhibiting no visible risks.”
As Taleb has explained, the very act of suppressing volatility and dissent renders systems extremely prone to large-scale disruptions that are viewed as low-probability events, the infamous “black swans.”
In terms of human health, the systemic fragility that arises from a low-exertion lifestyle is masked by steady-state normalcy that appears superficially low-risk. The fragility is only revealed when the individual does some strenuous work, and the brittle systems are unable to respond to the stress and fail (for instance, a heart attack).
Political economies in which dissent, volatility and the stress of financial panics have been suppressed or eliminated by manipulation (for example, allowing banks to mark their assets to fantasy rather than to the market value of the assets) become increasingly fragile, as the repair/reform responses triggered by stress, dissent and volatility have been systematically eliminated.
In a healthy economy, dissent and the volatility of market-clearing insolvency act just like bursts of exertion, stressing the system enough to trigger repairs/reforms. Stripped of these signals, the systems ossify and become too brittle to absorb the shock of dissent/volatility/stress when these forces break through centralized suppression.
Diseases such as diabetes seem to be fostered by a steady-state lifestyle of a corrosive diet and no strenuous exercise. Since no signals of repair/reform are triggered, the individual/household/enterprise/economy gets more brittle and prone to failure with every passing day, even as risks of collapse appear minimal on the surface.
(It is important to note that anyone who is out of shape cannot just jump into a routine of strenuous exercise. Resilience, flexibility, strength and endurance must be built up slowly over time. Check with a doctor who is familiar with your medical history before starting a fitness program.)
The individual or system that never experiences dissent, volatility or stress is systemically unhealthy and increasingly prone to sudden “gosh, I didn’t see this coming” collapse. The individual who walks daily (i.e. aerobic exercise) is healthier than the couch potato, but the individual who routinely engages in short bouts of strenuous activity has the added benefits of triggering rebuilding/repair responses.
Political economies, government agencies, enterprises and communities are no different, as all systems respond the same way: either growing brittle and vulnerable by suppressing dissent and volatility or maintaining strength, resilience and adaptability by encouraging dissent and volatility.
Our centralized government and bank have spared no expense to ruthlessly suppress these essential forces of healthy systems at every turn. The cost of their gross incompetence has yet to be paid, but it will be paid, and in full, in the years ahead.

First Portuguese Political Party To Speak About Unsustainability Of Infinite Growth

Finally a Portuguese political party is speaking about the unsustainability of today´s economic  and monetary system based on infinite growth.
Unfortunately it´s a very small party (Party for Animals and Nature) and they probably won´t even  elected a single representative in the next elections for the European Parliament, but it is a step in the right direction. At least they can count with my vote.
Just thought I should share this here because Chris was the first to truly open my eyes to a lot of stuff back when to economy/markets crashed in 2008/2009.
I think the guy must be a reader of PP, because the message is pretty much the same
Here is the link to the website:
Here is the translation it the help of google:
“Last week a group of 70 personalities of the Portuguese public life presented a controversial block of measures aimed at debt restructuring and nicknamed in the Manifesto of 70 .
However , I have no great doubt that it is an illusion that its signatories indulge . Illusion, not because of the need to restructure debt – this is evident and urgent – or by the nature of the proposed measures – these are interesting and relevant – but because they continue to bet on the utopia of indefinite economic growth.
Such phrases as ” No strategy for combating the crisis cannot succeed  without reconciling the answer to the question of debt with the realization of a robust process of economic growth ,” which opens the manifest , repeated nine times over the little more 2,000 words of text. It is clear to me that the debt has to be restructured ( or even not paid – that there is ethical to subject a population to penury to pay a debt to banks that produce money from nothing ? ) ; if you had any more evidence , suffice I would look at the state of the country . However , for what to restructure the debt if we fall back on the fallacy of economic growth and competitiveness , elements of social organization that do not promote the welfare of the people , nor the protection of the ecosystems where they live.
The crisis is not Portuguese , it is systemic and is not financial , it ecosocial . Systemic because it assumes planetary boundaries ; eco collapse because of the announced results of the physical structure of the planet before the excessive consumption of industrialized societies fueled by absurd economic growth ad infinitum – the use of fossil fuels is becoming more expensive and polluting , pollution continues to increase , climate change are already showing their consequences and social inequalities continue to worsen ; and social , because it results from inadequate economic structural organizations that encourage speculation , consumerism and the creation of money from nothing by contracting debt by all economic sectors (public , corporate and private) of modern society.
The alternatives to the continued growth of the economy are not an unattainable chimera. “Degrowth”, resource based economy , economy biomimetics – the proposals are diverse and varied. However, as imply a restructuring that goes far beyond debt and its payment periods and interest rates , are hardly presented as alternatives because they are not even truly understood the essence . How can one speak of “degrowth” , at a time when the purchasing power of the Portuguese has decreased dramatically ? What are these resources in which the economy must be based ? And what means a biomimetics economy?
Carlos P

S&P 500 peaked in 2000 & 2007, when Margin debt did this…

Margin debt reaching all-time highs can be viewed as a sign of excessive confidence in the markets, yet knowing this hasn’t been really that helpful when it comes to portfolio construction.
What has happened in the past that has been helpful when it comes to margin debt is this…when Margin Debt was hitting all-time highs and turned lower (which in did back in 2000 & 2007), the S&P 500 was near a peak in prices.
Doug Short updates us in the chart above, reflecting that Margin debt now for the second month in a row has decreased from the highest levels in all of history at (1). Does this mean that “the top” is in for the S&P 500? Not in my opinion. Does it send a word of caution towards very large portfolio exposure to the stock market? The Patterns would suggest it does.

Fed up, families demand Hishammuddin step down over MH370 military blunder

Fed up, families demand Hishammuddin step down over MH370 military blunder

The families of flight MH370 passengers and crew have derided Datuk Seri Hishammuddin Hussein’s weak defence of military inaction during the early hours of the plane's disappearance, and in a show of anger some have even demanded that he step down as the acting Transport Minister.
Hishammuddin told the Australian Broadcasting Corp in an interview aired on Monday that the Malaysian military had been told to keep an eye on the plane but allowed it to disappear off their radar after considering it to be non-hostile.
His statements have drawn much flak from the families of those on board the ill-fated jetliner, who said he has only fuelled more questions instead of providing answers to the incident.
They also said the statements by Hishammuddin, who is also Defence Minister, smacked of incompetence and that more honest people should be allowed to lead the investigation into the aircraft’s disappearance, instead of covering up the military’s and the government’s flaws.
Indian national Pralhad Shirsath whose wife was a passenger on the plane, questioned how the plane was allowed to pass through Malaysian airspace without any action taken, when the military knew that M370 was missing or in trouble.
“If they have reason to hide information, they should tell us and probably we will try to understand them". – Pralhad Shirsath, husband of passenger on flight MH370.
He said the minister’s statement only showed that it was part of “a plan” to make the plane disappear with some purpose.
“Mr Transport Minister said, ‘If you're not going to shoot it down, what's the point of sending it up?’
"Well, he should understand that sending up military planes does not always mean shooting it down, but rather investigating risk and taking action (when it was already identified as a commercial jet and non-hostile but travelling through Malaysian territory without authorisation) in terms of giving feedback to those to whom the plane belongs (I assume military did not know it was Malaysian flag carrier at that time),” Shirsath told The Malaysian Insider when contacted.
“Or is it OK to fly over Malaysian territory without prior permission or clearance?” he asked.
Shirsath believed that the latest revelation only proved that the Malaysian government was hiding more information from the families and the public.
“If they have reason to hide information, they should tell us and probably we will try to understand them," he said.
Shirsath also said Malaysia’s image has been dented by the way the government has dealt with the tragedy. He was puzzled as how the people who ruled the country and those in charge of the search and rescue operation managed to remain in power.
“How can Malaysian people tolerate these blunders? These leaders must step down and more honest people should lead the investigation,” he said.
“It is not too late, they should tell us all truth, stop misguiding the media and families and make sure passengers and crew return to their homes safely and we will forgive them,” he added.
A Twitter posting by relative of an MH370 passenger, criticising Hishammuddin over his interview with Australia's Fourcorners programme. Sarah Bajc, the partner of passenger Philip Wood, echoed Shirsath’s sentiment, saying it is both absurd and perilous for any civilian or military flight observer to disregard an unidentified airplane.
“I believe the Malaysian people and the investigation into MH370 would be well served by Hishammuddin’s resignation. My guess is that most feel that way but I would not presume to speak for others,” she said.
Meanwhile, Syafinaz Hasnan, the sister of M370 crew Mohd Hazrin, described Hishammuddin’s statements as insensitive.
“I am saddened by the way the government has dealt with the military issue. They are also very confused with their own twisted information. Now everyone knows how incompetent they are and how vulnerable our country can be,” she said.
K.S. Narendran, husband of Chandrika Sharma, one of the five Indian nationals on board MH370, found the minister's stance and the defence "outrageous".
He said what occured showed total neglect and incompetence on the part of the various  authorities in handling the incident, and urged Hishammuddin to stop defending the indefensible by covering up military flaws.
He also said the public was not easily taken in, regardless of whether Hishammuddin had appeared sombre or savvy, contrite or confident,
collaborative or combative on television.
"The families and the world deserve to hear the truth and the only way the government can hope to redeem themselves is by refusing to be the agents of those who want to protect their interests, seeking forgiveness for specific lapses and making amends," said Narendran.
Lokman Mustafa, whose sister was on board the plane, said the lack of action from the military only revealed the mentality which resulted in the Lahad Datu intrusion.
“Either our military men were not inquisitive enough, or just plain lazy, which of course means a dereliction of duty. Or worse, could this be a conspiracy to hide something?” he asked.
“Let’s put it this way, if we hear strange sounds on our roof, do we get out to check what’s causing it?
“We may, or may not... but because our military men are paid to ensure our safety, they have to determine whether its hostile or otherwise. Just because ‘we're not at war with anybody’ does not mean we should allow any aircraft to trespass into our airspace and quietly glide out to sea, because it might be Lahad Datu intruders again, or MH370. But I guess some people never learn,” he said.
In the interview with ABC, Hishammuddin said the military did not send a plane up to investigate as "it was not deemed a hostile object and pointless if you are not going to shoot it down".
He said this in defence of the military’s failure to scramble a fighter jet after flight MH370 had disappeared from civilian radar on March 8 when its transponder stopped transmitting around 1.21am during a flight from Kuala Lumpur to Beijing.
The military radar tracked it after it made a turn-back and turned in a westerly direction across the peninsula.
"If you're not going to shoot it down, what's the point of sending it (a fighter) up?" Hishammuddin told ABC.
Delays in pinpointing the Boeing 777-200ER’s location led to days of searching in the South China Sea before analysis from British satellite firm, Inmarsat, pointed to the Indian Ocean as its likely course.
Hishammuddin had also said that had the jet been shot down with 239 passengers and crew on board, "I'd be in a worse position, probably".
He said he was informed of the military radar detection two hours later and relayed it to Prime Minister Datuk Seri Najib Razak, who then ordered a search in the Malacca Strait.
This was the first time that Malaysia has said that civil aviation authorities told the military to keep an eye on the aircraft – a fact which was not mentioned in the five-page preliminary report on the plane's disappearance released by the Ministry of Transport on May 1.
The much-criticised preliminary report made no mention of the instructions from the civil aviation authorities to the military to monitor the plane.
Instead, the brief report, which was sent to the International Civil Aviation Organisation (ICAO), revealed a chaotic four hours after communications between Malaysia air traffic controllers, Malaysia Airlines and other regional air traffic controllers, before a hunt was initiated.
The Malaysian authorities have been severely criticised over their handling of the investigations into the missing jetliner with the international media, family members of passengers and crew, with the public accusing them of hiding and delaying information.
A survey commissioned by The Malaysian Insider last month showed that more than half of Malaysians polled believed that the Barisan Nasional (BN) government had been hiding information about flight MH370's disappearance. – May 23, 2014.

QE1,2,3 Hits Hard at the Grocery Store – USDA warns of sticker shock on U.S. beef as grilling season starts

Just face it guys… you can not continue to print funny money for 5 years with QE1 2 3 4 …. infinity and not expect the Grocery store prices for all goods and services to go up up up.

notice this article hit on a FRIDAY with a BIG WEEKEND… when no one is looking at the news.

Notice the article makes NO MENTION of the over $75 Billion monthly out of thin air the Feds are INFLATING. NO MENTION… so they are JUSTIFYING the prices to other things. MASTERS of Mind Manipulation they are….
Egg prices are also climbing – up 15 percent in April alone

The primary reason for high beef and pork prices is because of the fact that corn ethanol is consuming 45% of the nations corn crop

WASHINGTON (Reuters) – The Department of Agriculture has warned of sticker shock facing home chefs on the eve of the Memorial Day holiday weekend, the unofficial start of the U.S. summer grilling season.
Federal Reserve Admits Truth In Internal Memo: “Prices Continue To Rise Between 3% And 33%”
We are confused: on one hand the Fed is injecting hundreds of billions of liquidity into the market, boosting the S&P to all time highs and making the rich richer (Piketty taking Excel lessons from Rogoff notwithstanding) while the economy remains stagnant because, according to the BLS, inflation is too low, and as everyone knows the biggest lament of the impoverished middle class is that “the value of my dollar isn’t being destroyed fast enough for me to feel confident about the future.” On the other hand, the very same Federal Reserve Bank (of Chicago), just announced that as a result of “prices continuing to increase between 3% and 33%” (!), beginning May 27 it is hiking the prices in its cafeteria. So, clearly prices are rising at a 33% clip due to, how does the IMF put it, lowflation, right? Oh, and harsh weather.
Even the Feds are warning – U.S. is facing HIGHER FOOD PRICES in 2014
Hyperinflations are usually caused by large persistent government deficits financed primarily by money creation.  
Everything is going up, not just beef. Sea Food, Pork, Chicken, and beef…

Next vegetables will be sky high because of the California Drought, banana’s because of a fungus. All fruit.

It’s going to get very ugly, very soon… 


Gold And Silver – Central Bank Manipulation Or Chinese Accomodation? Both.

It certainly started out as central bank manipulation, doing everything possible to cover
their theft and resulting deficiency of replaceable physical gold. Almost all of their
unauthorized reselling or hypothecating went unnoticed or without any ability to stop
the activity.   China had a lot of its gold stored in the United States that was stolen in the
1990s.  She has since become the world-leading economic powerhouse and is now in a
position to force the Rothschild elites to make good  on the theft, which they are doing.
China wants to see the price of gold at the current low levels as she continues to buy up as
much of the [not so readily] available supply. The central bank manipulation continues as
a means of protecting the last vestiges of the soon-to-fail petro-dollar, and soon-to-fail as
the world’s reserve currency upon which almost global trade is based. The Chinese are
willing to see gold stagnate at current levels as a better bargain during the final stages of
their accumulation. It works for both sides for totally different reasons.
For how long can these low prices continue…the ever pressing question on the minds of
the gold and silver community and topic of so many articles written by the experts? While
many have striven to provide an answer, and 2013 failed to match the “predictions” as to
the “When?” issue, the best answer is: 
For as long as it takes.
Back in January and February, it become more apparent that the highly anticipated huge
rally for PMs was going to take longer than most expected. In April, we wrote an article
2014 Could Be Yawner. There is no reason not to carry that notion further into 2015
before gold and silver begin to challenge their 1900 and 50 respective high price levels.
The one thing certain is that no one, absolutely no one can provide an accurate time-table
for when PMs will trade at much higher levels. 2013 should be a reminder of the many
who endeavored to fix a date and all of whom failed. It is utter nonsense to think anyone
can accurately divine the future. The good news is that we do not need to actually know
the “When?” 
All that matters is to be prepared for the eventuality.
If you are prepared, then you will have accomplished one of the most important
responsibilities for wealth protection/preservation/growth as a means for survival.
Instead of watching the Precious Metals Rally clock, an exercise in exasperation, so far,
better to be secure in the knowledge that you have done what you need to do, and instead,
start to relax and learn to enjoy more out of life.
If events are triggered that propel PMs higher, or even substantially higher next month,
next Quarter, or next year, if you are prepared, 
you will be a winning participant! Once
and as it happens, you will feel a sense of relief for having waited so long, and a sense of
accomplishment for having prepared. If you have not fully prepared, you have a tenuous
gift in both time and price in which to act as quickly as possible.  The time to act and be
better prepared is now, and at prices you and your children, and your children’s children
will not likely ever see again.
Those who are disheartened because events have not occurred in the time sequence that
was hoped for are missing the point. This is not a get-rich-quick scenario confronting
almost all of us. This is a matter of survival. All anyone can do is prepare. One does not
eat well and exercise to live longer, one does both to be in the best possible health to live
each new day. As it happens, those who watch their intake and take care of their physical
health to enjoy daily living also tend to live longer, 
as an added reward.
Consider: Physical PM shortages, depleted physical for delivery on exchanges, record
buying by the public, world-wide, record buying by China, corrupt central banker price
manipulation, government theft or confiscation, unlimited derivative exposure, existing
demand for the physical that far outstrips available known supply, unlimited printing of
fiat that can only result in currency destruction, civil unrest in many countries, any one
of which could lead to a wider war, plus a litany of unknowns that can be important.
They have already been factored into the current prices for gold and silver, and any one of
these events, or a more potent combination of them acting in unison can drive up the price
of PMs but have not, to date. 
This is what you need to know. Whatever it is that will launch
gold and silver higher has not yet occurred. Many of the “Whatever it is” are already
known factors, but their influence/effect has not yet been unleashed.
Yes, if the manipulation stopped, PMs would rally immediately, but the event that puts a
halt to the manipulation has not happened, so that part of the suppression of gold and
silver remains in play. For how long can it continue? Again, 
for as long as it takes. Does
anyone have a better answer? [Not that better answers cannot be had.] For those who do
not know the answer, the solution, or at least one good solution, is being prepared
There is another issue not talked about and that is the seeming failure of the elites who
“appear” to be forced to sell their gold. The very foundation of the Rothschild formula
is the acquisition of [mostly] gold, and also silver, in exchange for debt-based currency.
There has not been a smarter collection of individuals, [or more devious and destructive],
that comprise the Rothschild-founded central banking system.
It would seem odd that such an astute and all-powerful-behind-the-scenes-force as the
elites would find themselves in such a compromised situation to no longer have any, or
very little gold and silver left. It seems equally unimaginable that the elites could be so
stupid if they have put themselves in such a weakened state. It is a possibility, and one
of such incredible and fitting irony, if true.
What keeps them in power is the built-in structure they have accumulated in every major
Western government under their control, which also includes the potent military, and the
media to keep the masses dumbed down. The perverted transition of the United States
from a sovereign Republic, with an organic Constitution that 
limits government, to an
elite central banker-controlled, bankrupt corporation, known as the federal UNITED
STATES, with its substituted federal statutory constitution that replaced the original,
is the premier example of how the elites work through stealth, and over decades as their
time frame, to accomplish their vile ends.
Whatever one chooses to believe, one still has to deal with the known facts, and what
is factually known to date is that gold is at 1,300, [not 1,500, not 2,000, and certainly
not 5,000 or 10,000 the ounce], and silver at 19, [not 26, not 50, and for sure, not
100 or 300 the ounce]. However corrupt or not reflective of the “real price” for PMs,
the charts continue to be the most commonly accepted measure, at least for now.
Regardless of what one chooses to be the most accurate or reliable measure, there can
be no dispute that preparation for what is to come is the best way to deal with “When?”
Weekly gold has been in a broad TR since last June ’13, and a TR within a TR since Dec ’13.
There is no sense of urgency to leave the range-bound structure, so one can only exercise
patience until something clearer develops, which will eventually happen.
GC W 24 May 14
The 1280 area is an axis line, acting as resistance from November ’13 through February ’14,
and it now acts as a support area for the past 2 months. The farther price moves along the
RHS, [Right Hand Side] of the TR, the closer is gets to a resolve. Sentiment favors a move
higher, but reality is that one need not know the breakout direction beforehand. All one
needs do is to be prepared for a move in either direction, and follow the market’s lead.
GC D 24 May 14
Little can be said of the silver market, from the expectation of a move higher. Buyers have
been AWOL, [a military term: Absent With Out Leave], and nothing will change until there
is evidence of strong upside moves accompanied by increased volume.
SI W 24 May 14
The problem with pointing out a small possibility of what could be positive activity is that
it preconditions the mind to look for more supportive evidence at the expense of missing
what could be a subtle negative development. Just wait for confirmation that buyers are
starting to create wide range rallies with strong closes on increased volume.
If silver is to move higher, what we just described will make its presence obvious. Until
it does, caution is advised. There could be another new recent low, and the odds for that
event are greater than 50%. It may be a buying opportunity. How a new low develops,
if at all, will make that assessment worth acting on, or not.
SI D 24 May 14

Fighting Poverty Wages

We’re at a critical moment in our economic recovery that requires real leadership and people power to ensure true economic democracy in our country. There is incredible work being done to build a strong antipoverty movement, and spaces like these are fundamental to encourage an open dialogue about our strategies and tactics as well as our successes and failures.
As corporate profits keep soaring, workers’ wages continue to stagnate, creating the widest income inequality gap our nation has seen in modern times. At Jobs With Justice we still believe that in Americapeople who work hard should be paid enough to live with dignity and raise a family. Today, millions of people go to work every day and still don’t earn enough money to feed their families. If people can work full-time and still can’t afford groceries, rent and medication, then the entire model is flawed and unfair. We can’t continue down this path of creating bottom-of-the-barrel, low-wage jobs that condemn our friends and neighbors to poverty.
A critical first step toward regaining our country’s shared prosperity is to insist that lawmakers adopt a meaningful increase in the minimum wage. The Fair Minimum Wage Act would update the federal minimum wage from $7.25 to $10.10 an hour and give the law teeth by indexing it to inflation.

Bank ownership of foreclosed Iowa homes soars


Many need substantial investment to restore
By George C. Ford, The Gazette
The number of Iowa homes in foreclosure owned by banks soared 237 percent in April from the same month in 2013, as the markets continue to work through the aftermath of the economic recession and catastrophic events such as the 2008 flood in Cedar Rapids.
RealtyTrac, an Irvine, Calif., company that collects and tracks housing data, said 347 Cedar Rapids properties were in some stage of foreclosure last month — default, auction or bank owned.
The number of properties placed in foreclosure rose 3 percent in April from the previous month and was 30 percent higher than the same time last year.
Many — but not all — of the Cedar Rapids homes in foreclosure are located in northwest and southwest areas of Cedar Rapids, according to a RealtyTrac database, where the 2008 flood left many homeowners owing more than their damaged property was worth.
Houses owned by banks accounted for 39.3 percent of all Cedar Rapids properties in foreclosure in April. RealtyTrac data showed 147 properties were valued at less than $200,000, and 134 were built before 1950.
Similar foreclosure trends were found in other Iowa communities, including Davenport, Des Moines and Waterloo. Bank-owned real estate as a percentage of all homes in foreclosure topped 50 percent in Waterloo.
Banks typically end up owning real estate after an unsuccessful foreclosure auction. In many cases, the property either fails to attract what the lender will accept as a minimum bid based on the amount of the mortgage in default.
Daren Blomquist, vice president of RealtyTrac, said many of the properties held by banks — primarily large regional or national lenders — are what is left after more desirable homes have been sold.
“Many of these bank-owned homes are bottom-of-the-barrel properties in terms of location or condition,” Blomquist said, “They will provide some much-wanted inventory of homes for sale in some markets in the coming months.
“Investors and other buyers willing to do more extensive rehab will likely be best-suited for these properties.”
While large banks and the federally controlled Fannie Mae and Freddie Mac are carrying more repossessed homes on their books, Iowa’s 320 community banks are seeing just the opposite.
As a percent of assets, other real estate owned (OREO) by Iowa community banks is down from 0.23 percent on March 31, 2013, to 0.16 percent on March 31 of this year, according data from the Federal Deposit Insurance Corp.
“The average assets for Iowa banks is $68 million,” said Chris Lindell, president and chief executive officer of Guaranty Bank and Trust in Cedar Rapids. “That means on average, every bank in Iowa has $108,800 of OREO, compared with $156,400 a year ago.”
Lindell said regulators prefer that banks sell repossessed homes and properties as quickly as possible.
“They don’t want to see OREOs on a bank’s books for any length of time,” Lindell said. “They would have a pretty jaundiced eye if you held onto anything for more than a couple of years.”
Blomquist and Lindell said there are investors who seek out repossessed houses. Lindell said Guaranty Bank works through local real estate agents to sell repossessed homes and property,
l Comments: (319) 398-8366;

The recession is coming — Economist warns it’s beyond control: “I don’t see what will save it at this point”

We are on the verge of another recession. So says Shadow Stats economist John Williams, who warns that by the end of July it will become apparent to all Americans

By Mac Slavo | SHTFPlan
That’s when the government will release its latest GDP economic figures and according to Williams those numbers, combined with revisions for the first quarter of 2014, will show negative economic growth for a second quarter in a row, the official definition for recession.
In an interview with Greg Hunter’s USA Watchdog, Williams explains that it all boils down to one critical factor. Credit lending has tightened up since the crash of 2008 and without it U.S. consumers don’t have enough money to continue fueling the economy through consumption, the single most important element of economic growth.
We’re turning down anew. The first quarter should revise into negative territory… and I believe the second quarter will report negative as well.
That will all happen by July 30 when you have the annual revisions to the GDP. In reality the economy is much weaker than that. Economic growth is overstated with the GDP because they understate inflation, which is used in deflating the number…
What we’re seeing now is just… we’ve been barely stagnant and bottomed out… but we’re turning down again.
The reason for this is that the consumer is strapped… doesn’t have the liquidity to fuel the growth in consumption.
Income… the median household income, net of inflation, is as low as it was in 1967. The average guy is not staying ahead of inflation…
This has been a problem now for decades… You were able to buy consumption from the future by borrowing more money, expanding your debt. Greenspan saw the problem was income, so he encouraged debt expansion.
That all blew apart in 2007/2008… the income problems have continued, but now you don’t have the ability to borrow money the way you used to. Without that and the income problems remaining, there’s no way that consumption can grow faster than inflation if income isn’t.
As a result – personal consumption is more than two-thirds of the economy – there’s no way you can have positive sustainable growth in the U.S. economy without the consumer being healthy.
It’s just not going to happen.

With nearly 50 million Americans on food stamps, a record of over 10 million receiving disability benefits, and millions more depending on unemployment insurance to pay their bills it was only a matter of time before reality caught up with the fuzzy math being used to justify a so-called recovery.
The bottom line is that we, as consumers, have no more money left to throw into the economy. We’re using most of it on food, rent, utilities, and now mandated health insurance taxes. And as Williams noted, incomes aren’t rising, so without additional credit being pumped directly into the hands of the consumer there is no possible way to keep spending money.
Where is all this headed? Williams warns that the government’s failure to address the economy and our national deficits will lead to disastrous consequences.
You are not seeing an annual deficit of $400 or $500 billion dollars.  You are really seeing something close to $6 trillion.
That is beyond control, and it raises the question of long-term solvency of the U.S.  It is a big concern for the global markets.  It’s really the reason why nobody outside the United States wants to hold the dollar.  Now, look at the U.S. economy, it is turning down.  Economic strength is a big factor in the value of a currency.
As the renewed downturn gains wider acceptance or wider recognition, that will intensify the selling pressure.  When someone starts selling, it’s going to be a race for the door, and I am looking for a dollar selling panic to be the trigger for the onset of hyperinflation.
What we are seeing in inflation now is a pickup in inflation, but it’s not a hyperinflation.  Massive dollar selling–that will be the trigger for the hyperinflation.
I don’t see what will save it at this point. . . . Now we are to the point that the dollar has been ignored for years.  The federal deficit has been ignored for years. . . . That’s what we are on the brink of disaster with, and that is what has to be addressed now, and that’s not happening.
The way I see it, the dollar could go to zero in terms of its purchasing power.  You don’t want to have your assets in U.S. dollars.
John Williams previously forecast that A Domestic Hyperinflationary Environment Should Evolve by 2014. Food prices, gas prices, electricity prices and the cost of most other essential commodities are rising unabated. Currently, we are seeing an annual rate of inflation for food of over 7%, a level that will lead to serious problems coming into Fall.
Now, as Williams predicted earlier this year, a recession will be apparent once the government is forced to revise their economic growth figures later this summer.
He’s two-for-two so far and he says that what we’ll begin to see next is a loss of confidence in not just the U.S. economy, but the status of the U.S. dollar as well.
Given the rampant manipulation from government and global central banks, the timing of the end game is elusive. But what we know is that nature always wins out, despite our efforts to control it.
This time around, when nature finally shows its economic fury, it could well go down as the largest collapse in the history of the world.
The time to prepare for it is now.
(Photo: Wikimedia Commons)
This article originally appeared on SHTFPlan.

‘Canners’ live off debris of New York

New York (AFP) Saturday, May 24, 2014 12:00:13 PM
Don Emmert/AFP
Paula Nunez sorts empty water bottles at "Sure We Can" redemption center on April 25, 2014 in New York
Loaded down with huge plastic bags in decrepit shopping carts, they criss-cross New York night and day, scavenging trash bins for cans and bottles.
This invisible army is made up of young and old, men and women, jobless people, the homeless, immigrants who speak little English -- all with the same goal: recycle their finds to make a few bucks.
In this city of millionaires, there must be about 7,000 people living at the other end of the spectrum, says Ana Martinez de Luco, co-founder of Sure We Can, a center in Brooklyn where these so-called "canners" come to sort through their stuff and sell it.
For each can or plastic or glass bottle, they get five US cents.
If they sort really carefully and separate the stuff by brand, they can get 6 or 6.5 cents under a New York state law called the Bottle Bill, first passed in 1982 and then amended in 2009.
From Times Square to Wall Street, from Central Park to the subsidised housing blocs of Queens, there are more and more of these scavengers.
They get up early before the garbage trucks make their rounds and they often go to bed late.
The ingenuity is stunning and sad: elderly Chinese women hang huge bags of cans or bottles from either end of a long stick that they carry on their shoulders; a 45-year-old homeless man from Nigeria pushing his stuff around in a shopping cart that holds his life's possessions; a young Latino mother using a baby stroller as her can and bottle transport.
They trade it all in at machines at supermarkets or at one of about 20 recycling centers, but there is a limit of 250 units ($12.50) a day.
A few years ago, it would be mainly homeless or poor people doing this. But in recent years, the ranks of the invisible army have changed as the economic crisis of 2008 has left its mark.
At Sure We Can, some 60 percent of the people bringing in recyclable material are elderly. Most are immigrants.
Dario Gutierrez, a worker at
Don Emmert/AFP
Dario Gutierrez, a worker at "Sure We Can" redemption center, stacks bags of empty bottles and cans on April 25, 2014 in New York
"They have been professors, in the military -- they had have good businesses, some people have Master's degrees," said Martinez de Luco.
But one day their lives derailed.
Carlos, 27, a former chef in a Jamaican restaurant, tells how he started canning after the place closed down. But he insists he is not homeless.
Some use the money to send a bit to their families back home. Others supplement a meager retirement pension. Older immigrants who came to be with their children just try to get by.
- A matter of survival -
Anita Tirado, a frail 74-year-old Puerto Rican woman, explains that she has no right to Medicaid, the US health care program for the poor.
So every morning, sometimes as early as 4:00 am, she rummages through trash bags, even on the sidewalk of her own street. Then she goes to take care of her three-year-old granddaughter.
Tirado says she makes between 20 to 30 dollars a week, sometimes as much as 40 bucks.
It is exhausting and dangerous work. A few years ago, Tirado was beaten up while making her rounds.
After that, her children pleaded with her to stop, but she kept it up.
She says the beating took place early in the morning, and now she has learned to stay close to home.
"Now I just cross the street," she said.
Many people have no choice but to sift through garbage.
Sylvernus is from Nigeria. He was a security guard but got laid off after the September 11 attacks. He says canning has been a way to survive for the past five years but still dreams of getting a real job.
"This is hell," he said. "I really want to get out of this situation."
Roman Catholic nun Ana Martinez de Luco, one of the founders of
Don Emmert/AFP
Roman Catholic nun Ana Martinez de Luco, one of the founders of "Sure We Can" redemption center, answers questions on April 25, 2014 in New York
"People think it is easy to do this work," he said. "I have to push this heavy wagon and walk around to get cans just to stay alive."
Canners may recycle as much as 70 percent of the bottles and cans of New York, according to a recent study.
But it is no way to make a living, even doing it full-time.
A couple in their 40s who work seven days a week say they make between 300 and 350 dollars a week, a pittance in the Big Apple.
The math gets challenging. The take from 70 cans buys a small cappuccino. A sandwich is worth 100 cans. A pair of modest shoes? 800.
And for the record, rent on a two bedroom apartment -- or $6,000 a month -- would be 120,000 cans and bottles.
"It could be a real job, if the expenses of the rent or the food were not so big in New York," said Martinez de Luco.
But canning does have its virtues.
Carlos, Jose, Paula, Anita, Victoria, Maria and an elderly Chinese lady who speaks not a word of English run into each regularly at Sure We Can.
For some of them, it is therapeutic; this way, they are not cooped up in the house all day, said Martinez de Luco.
But the growing numbers of these desperate souls brings problems, too.
Some fight over turf. Others complain they can no longer find enough cans and bottles.
Martinez de Luco would like to train them to sift through the refuse thrown out by restaurants. This could be turned into compost for gardens, she said.

Austerity-stricken Greece still struggling

With a recent credit upgrade there seems to be light at the end of the tunnel for the struggling Greek economy. But so far there's little change for the austerity-stricken Greek people. Unemployment remains the highest in Europe, with more than half the country's youth out of work. Some are now fleeing the cities in search of a better life - only to discover things aren't any brighter in the countryside

WoW! Nearly half of US unemployed have given up looking for a job

Strategic Relocation: Going west is probably a BAD idea

Former NSA Chief: More Terrorist Attacks On The Way, Be Prepared For A False Flag

Gold manipulation actually exists, Barclay’s has now been fined for manipulated the gold market. HP lays off 16,000 for a total of 50,000 employees. Retail sales and profits completely decline and imploding. China will replace the EU businesses if more sanctions are placed on Russia. FBI chief says be suspicious of government, I am. DHS fusion centers revealed, they are used to spy on Americans. The vote is in the NDAA detention of Americans stands. Syria is trying to move the remaining chemical weapons out of the country. The paid mercenaries bombed a Syria election tent to try to stop elections. Former NSA chief says more terrorist attacks are on the way. Be prepared for a false flag event.