It is now six years since the collapse of Lehman Brothers, and considering that the US economy has officially been in recovery for the past five years, that equity indexes have put in new all-time highs, and that credit markets are once again ebullient to the point of carelessness, it is worth contemplating that monetary policy remains stuck in pedal-to-the-floor stimulus mode. Granted, quantitative easing is (once again) scheduled to end in the US, and the first rate hikes are now expected for next year, but the present policy stance certainly remains highly accommodative. A full “exit” by the Fed is still merely a prospect.
Expectations appear to be for the US economy to finally emerge from its long stay in monetary intensive care healthier and fit for self-sustained, if modest, growth. I think this is unlikely. The lengthy period of monetary stimulus will have saddled the economy with new dislocations. And if central bank intervention did indeed manage to arrest the forces of liquidation that the crisis had unleashed, then some old imbalances will also still hang around.
“Easy money” is – contrary to how it is frequently portrayed – not some tonic that simply lifts the general mood and boosts all economic activity proportionally. Monetary stimulus is always a form of market intervention. It changes relative prices (as distinguished from the “price level” that most economists obsess about); it alters the allocation of scarce resources and the direction of economic activity. Monetary policy always affects the structure of the economy – otherwise no impact on real activity could be generated. It is a drug with considerable side effects.
The latest crisis should provide a warning. As David Stockman has pointed out, it did not arrive on a meteor from space, but had its origin in distortions in the housing market in the US – and the UK, Spain and Ireland – and in related credit markets, and therefore ultimately in the “easy money” policies of the early 2000s. Administratively suppressing short rates down to 1 per cent for a prolonged period was then the “unconventional” policy du jour, and it was a success of sorts. A credit crunch and deleveraging were indeed avoided, which were then feared as a consequence of WorldCom and Enron defaulting and the dot-com bubble bursting, but only at the price of blowing an even bigger bubble elsewhere.
This is the problem with our modern fiat money system. With the supply of money no longer constrained by a nature-given, scarce commodity (gold or silver), but now fully elastic, essentially unlimited, and under the control of a lender of last resort central bank, the parameters of risk-taking are forever altered.
Allegedly, we can now stop bank runs and ignite short-term growth spurts, or keep the overall “price level” advancing on some arbitrarily chosen path of 2 per cent. But we can achieve all of this only through monetary manipulations that must create imbalances in the economy. And as the overwhelming temptation is now to use “easy money” to avoid or shorten any period of liquidation, to go for all growth and no correction, distortions will accumulate over time.
As we move from cycle to cycle, the imbalances get bigger, asset valuations become more stretched, the debt load rises, and central banks take policy to new extremes to arrest the market’s growing desire for a much-needed cleansing. That policy rates around the world have converged on zero is not a cyclical but a structural phenomenon.
Central bank stimulus is not leading to virtuous circles but to vicious ones. How can we get out? Only by changing our attitudes to monetary interventions fundamentally. Only if we accept that interest rates are market prices, not policy levers. Only if we accept that the growth we generate through cheap credit and interest rate suppression is always fleeting, and always comes at the price of new capital misallocations.
The prospect for such a change looks dim at present. Last year’s feverish excitement about Abenomics and this year’s urgent demands for Eurozone QE show that the belief in central bank activism is unbroken, and I remain sceptical as to whether the Fed and the Bank of England can achieve a proper and lasting “exit” from ultra-loose policy in this environment. The near-term outlook is for more heavy-handed interventions everywhere, and the endgame is probably inflation. This will end badly.
The news bulletins are reporting on the beheadings of American journalists, which has caught at least some attention of the public, but only those Americans who choose to be informed about what is going on the world. We have witnessed the apathy of the public as a whole with regards to the Benghazi scandal, the IRS scandal, The VET scandal and about every other so called “phony” scandal, which would have sunk any other President in past history, but not this one. We can blame the left wing media but the American people have choices to get their news and if they choose to be deceived by watching lies and cannot see the truth, shame on them.
So we ask, what will outrage the American people so much that will end this disastrous presidency? The answer is sadly a massive toll of homeland blood from a major terror attack on the same level or worse than 9/11.
The media both left and right try to explain away the President’s behavior as “disengaged,” “clueless” etc. Well do you remember how the fawning media were tripping over themselves to say that President Obama had an enormous IQ and was the most intelligent person to ever become president. If you do not believe me here is an interview conducted by Don Imus with one of those not so smart Obama sycophants just after the election in 2008.
So now Obama is “clueless.” How six years of this embarrassment things can change, even with our whacko liberal media.
The Iraqi Crisis in itself is a major scandal for two reasons, first the president seem to have failed to grasp the understanding that withdrawing all our troops from Iraq would cause a major power vacuum and allowed strife to take over Iraq, which rarely made headlines here in the USA, because it would have been a major embarrassment to the President. Remember every soldiers’ death was reported when George Bush was President but you never hear the causality list today and you won’t but you should, because 1500 soldiers have died in Afghanistan under Obama versus 575 under George W. Bush a statistic that the media also should mention but won’t. Muslim Afghan soldiers that were infiltrators into our ranks caused many of those deaths.
Secondly, Obama had been warned for about a year that ISIS was a clear and present danger that needed to be neutralized but Obama failed to act. There are only too possibilities as to why the President did not act; either his golf game was more important than the issues of National Security or he wished for ISIS to succeed. Obama blamed his own intelligence people but it has been well documented that the warnings were often and detailed and were given to Obama in his daily briefings which the President ignored, obviously the yardage cards for the golf courses he was playing made for more interesting reading. Obama blaming others for failure (or possibly success in the President’s world view) to do the job he was elected to do, is par for the course (the perfect pun) to describe his job performance and the American people if engaged in the future of their country should be sick of it. I personally believe that President Obama is not clueless or that his golf game is to blame, those are optics and bad optics to boot. Based on the past the President was very engaged in Libya and used “an imminent humanitarian disaster” to justify the overthrowing of Gadhafi. This was a barefaced lie. Gadhafi was very popular in Libya as many as 90% plus in polls. Why was Gadhafi so popular? It was because he was very generous to his people despite being a nut case. He was also helping us with providing valuable intelligence to fight the Islamists but Obama went after him, why? The real reason to empower his buddies the Muslim Brotherhood. Obama used the same policy on Egypt but failed as Al Sisi ended the Brotherhoods hold on Egypt to the disappointment of the administration and even John McCain.
The left wing media pronounced an Arab Spring, which gave cover to allow Obama to empower the terrorists known as the Muslim Brotherhood. You can put it down to bad judgment but I thought the president was the smartest man to ever be president and that I believe is true – smart and evil. The fall of the Muslim Brotherhood in Egypt to Asisi also shocked Turkey who banked on this alliance. Turkey’s ambition for Caliphate has taken a setback at least temporarily. Then we have Obama’s eagerness to overthrow yet another secular leader Bashar Assad of Syria, that also failed, but the replacement strategy seems to have been to allow ISIS to take over Syria has now spiraled out of control when ISIS was able to move into Iraq and become very much strengthened with captured US weapons from the Iraqi army and hundreds of millions of dollars in looted currency and oil fields. Now ISIS threathens us which has even the liberals shaking in their boots. I believe the President’s strategy and replacement strategy was deliberate based on the on going policies of this administration to empower the Islamists and help them to recreate the Caliphate.
We have shown on shoebat.com report Turkey and Qatar are behind ISIS both in training and initial financing, but yet again our clueless media fails to dig up what the real issues we are facing. Turkey is the West’s enemy yet is our ally, yet most Americans are clueless of the dangers it poses.
Whether you agree or disagree with my analysis, you must agree that either Obama followed these policies deliberately (i.e.to undermine our security and empower the Islamists),or it was just incompetency then the case for Obama’s removal from office is just as warranted. The final question is what will it take for us to wake up?
What are the “phony” cell phone towers all about? Are they only for the purpose of “stealing” data from the electronic devices of unsuspecting people? The answer to this question may surprise you.
Paul Watson’s recent report, chronicled in the video listed below, accurately portrays 50% of the operational functioning of what is presently being referred to as “phony cell towers”. Watson is correct in that these “phony towers” are indeed stealing data from your electronic devices.
However, Watson’s depiction of the phony cell phone towers only represents half of the picture. On the other side of the coin, these towers are part of a mind control apparatus. Here is an excerpt of the relevant patent.
United States Patent
4,858,612
Stocklin
August 22, 1989
Hearing device
Abstract
A method and apparatus for simulation of hearing in mammals by introduction of a plurality of microwaves into the region of the auditory cortex is shown and described. A microphone is used to transform sound signals into electrical signals which are in turn analyzed and processed to provide controls for generating a plurality of microwave signals at different frequencies. The multifrequency microwaves are then applied to the brain in the region of the auditory cortex. By this method sounds are perceived by the mammal which are representative of the original sound received by the microphone.
Inventors:
Stocklin; Philip L. (Satellite Beach, FL)
Family ID:
24247585
Appl. No.:
06/562,742
Filed:
December 19, 1983
The patent’s use of the phrase “… introduction of a plurality of microwaves into the region of the auditory cortex is shown…The multifrequency microwaves are then applied to the brain in the region of the auditory cortex. By this method sounds are perceived by the mammal which are representative of the original sound received by the microphone“. In other words, this is a smoking gun patent for what is often referred to as “voice to skull” technology. This means that the thoughts (i.e. words) in your head may not be your own. This patent clearly demonstrates that the technology has existed to control your thoughts and the technology is over 35 years old.
Today, your smart meter, smart appliances and your wi-fi networks in your home all have this capability. In fact, one of my military sources, once associated with the project known as “Owning the Weather 2025″, tells me that any device which can receive or send an electrical signal is vulnerable to the manifestation of mind control through the psychotronic manipulation of the mind. The recently exposed phony cell phone towers are only part of an overall smart grid system designed, in part, to effect mind control. My military sources tell me that this system is part of what is popularly known as “the Smart Grid”. The various Smart Grids are all being connected into a what is called a “Land Area Network”. My sources also tell me that mind control is only one function of this network and that presently there is an effort underway to integrate the various Land Area Networks across various continents (e.g. North American and Europe). The system, once fully integrated will include health care and overall energy usage. Mind control is a byproduct of this technology.
The technology works on two levels. First, external words which can manifest as integrated thoughts, can artificially and electronically be placed within your head. Second, your overall emotional functioning and immediate emotional perception can dramatically be altered through the application of “targeted” frequencies designed to manipulate a desired and overall emotional state of functioning. The genesis for this technology began with a Spanish neurologist over 50 years ago.
The Dawn of Mind Control
In the 1960′s, Spanish neurologist, Jose Delgado was involved in a noteworthy bullfight. Without any real bullfighting training, he bravely stepped into the ring with a very dangerous and deadly bull. However, Delgado had a secret weapon. He had previously implanted a radio-equipped electrode which was implanted into the bull’s limbic system (i.e. emotional center of the brain) which he called “stimoceivers.” Delgado subsequently demonstrated that he could manipulate an organism’s mind and body via remote control technology. Thus, as the bull charged, an invasive electrical signal penetrated the bull’s limbic system and the bull calmlybroke off the attack in mid-charge.
Delgado found that by stimulating different regions of the limbic system, which controls emotion, Delgado could also induce fear, rage and a variety of other emotions, that he was able to manipulate the type and intensity of emotional reactions. Thus, Delgado discovered the fine art of mind control.
Intrigued by his work, Delgado was invited to teach and be a guest lecturer at such prominent universities such as Harvard and Yale. In 1968, Delgado went to work at the Stanford Research Institute (SRI) and this is where much of his research trail grows cold. We now know that SRI was a CIA front and was connected to the MK Ultra experiments. In 1974, Delgado abruptly returned to Spain and later became an outspoken opponent of mind control and its potential for harm and misuse by totalitarian societies. Perhaps, he was not on board with the CIA and what they eventually had planned for the American people.
In cats, monkeys, bulls and even humans he repeatedly demonstrated that he could control emotion and ultimately behavior. . In one experiment, Delgado stimulated the temporal lobe of a 21-year-old epileptic woman while she was calmly playing a guitar; in response, she flew into a rage and smashed her guitar against a wall, narrowly missing a researcher’s head. Perhaps the most medically promising finding was that stimulation of a limbic region called the septum could trigger euphoria, strong enough in some cases to counteract depression and even physical pain.
Later Delgado was able to impact the hypothalamus of a cat and induce uncontrollable rage in the animal. Keep in mind that this technology is over 60 years old. One can only imagine how far this technology has come during that time.
Delgado’s famous bull fight and the angry cat are depicted in the following video.
The lesson is clear, embedded chips can turn normal people into crazed killers and it can take crazed killers and turn them into passive beings. Interestingly, the most famous graduate of the MK Ultra program was the Unabomber, Ted Kaczynski.
The Mind Control Delivery System: Project HAARP
The main threat to humanity lies in the fact that the technology exists to control all of human behavior at one time. A reasonable person would certainly ask “how is that possible?” To answer that question, I refer the readers to Nick Begich’s website in which he details how mass electrical signals can beamed up from an array of antenna and bounced off the ionosphere in either a narrow beam covering a specific and defined geographic area, or it can be reflected back to earth in a broad beam application in which millions could be impacted by one electrical signal designed to change human behavior. We know this technology as Project HAARP.
United States Patent 5,159,703, Lowery, October 27, 1992, Silent Subliminal Presentation System, Inventors: Lowery, Oliver M. Appl. No.458339Filed December 28, 1989, discusses the microwave technology necessary for mind control. In this patent, we witness the move from the mind control of certain individuals who might have been programmed, which is frightening enough, to witnessing entire populations being controlled. The patent discusses the possibility of impacting millions at a time. The net effect of the technology is enhanced when there is a transducer in the body such as a embedded microchip.
The technology has publicly advanced to the point of where memories can be implanted through the use of specialized “USB” devices inserted directly into the regions of the brain responsible for certain memories. The implication is stunning. Not only can thoughts, not of your own choosing, be externally planted in your brain, now the technology exists to implant false memories.
Mind control has been prevalent in our society for several decades. Here is a list of 23 mind control technologies issued by the U.S. Patent Office since the 1950′s.
The DARPA research center is now developing an “implantable, closed-loop system” that may help restore memory. In simplified terms, the agency is creating a USB memory stick for the brain. The big unanswered question is who gets to control what memories are on the implantable USB memory stick?
Conclusion
When it comes to the potential subjugation of the United States, an invasion by a standing army, occupation by foreign troops and the full implementation of martial law, may never be necessary to control the people. If the currently available mind control technology is allowed to be fully integrated into the emerging Smart Grid and communications systems, complete control over the populace will have been accomplished. Not even George Orwell could have imagined such a nightmarish scenario.
People have such short memories. Even though we are repeating so many of the same patterns that we witnessed in 2000-2001 and 2007-2008, most people do not think that another financial crash is coming. In fact, with the stock market setting record high after record high lately, I have been taking quite a bit of criticism for my relentless warnings about the coming financial storm. Many of the comments go something like this: "Snyder you are a moron! Nothing you say ever comes true. The stock market is going to keep on rocking and Obama is going to lead this country back to greatness. I hope that you choke on all of your doom and gloom." Of course these critics never offer any hard evidence that I have been wrong about anything. They just assume that since the stock market has soared to unprecedented heights that all of us "bears" must have been wrong.
But the truth is that what we are observing right now is classic bubble behavior. The stock market crashes of 1929, 1987 and 2008 were all preceded by irrational market rallies in the spring or summer. The financial markets have become completely divorced from economic reality, and such a state of affairs never lasts forever. It is just a matter of time before a correction comes.
But every time there is a bubble, most people end up getting caught up in all of the euphoria. And it is happening again. In fact, CNBC has just reported that bearishness among market newsletter writers is the lowest that it has been since 1987. But of course we all remember what happened back in 1987...
Professional investors haven't had this little fear about stocks since Ronald Reagan was president.
It was the same year Michael Jackson told us in a song he was "Bad." The New York Giants won the Super Bowl.
And oh yeah ... by the way ... the stock market crashed.
As gauged by the weekly Investors Intelligence report, bearishness among market newsletter writers has fallen to 13.3 percent, a level it has not seen since 1987 as the market continues to set new highs despite a seemingly endless call for a long-overdue correction.
People need to understand that just because something has not happened yet does not mean that it is not going to happen.
In this day and age, we have extremely short attention spans and we do not have the patience to wait for much of anything. But the financial world is not a game of checkers. It is a game of chess where things can take an extended period of time to play out.
Those that are mocking those of us that are bearish should consider where we stand financially in comparison to previous crash cycles. For example, the derivatives bubble is 20 percent larger than it was back in 2008, the "too big to fail banks" are 37 percent larger than they were back in 2008 and global debt levels are 40 percent larger than they were back in 2008.
In other words, many of our long-term economic problems are a lot worse than they were just prior to the last major financial meltdown.
But most people pay such little attention to the fundamentals these days. All they can see is that little stock market ticker going up and up and up.
Other analysts with much stronger credentials than I are issuing similar ominous warnings about what is ahead for the financial markets.
Shiller, a Yale University professor who is often cited as one of the most influential people in economics and finance in the world, created a metric that compares stock prices with corporate profits. The metric recently climbed above 25. That level has only been surpassed three times since 1881: 1929, 1999 and 2007.
Steep market tumbles followed each instance, including the bursting of the dotcom bubble in the early 2000s.
But it doesn't take a genius to see this.
Just look at the chart of the NASDAQ that I have posted below. The "dotcom bubble" in 2000 is really easy to see. So why can't more people recognize the bubble that is happening now?...
In so many ways this bubble is reminiscent of the "dotcom bubble" of 14 years ago. Consider the following numbers from a recent article by Brett Arends...
When you look at medians, or in other words the typical stock, valuations are higher today than they were at the peak in 1999-2000.
For example, the median stock today is 20 times earnings. In January 2000, it was 16 times.
The median stock today trades at 2.5 times “book” or net asset value. At the start of 2000 it was just 2.2 times.
The median stock today trades for 1.8 times annual per-share revenues. In 2000: just 1.4 times.
What we are experiencing is not normal.
And this is especially true considering the fact that our overall economic performance is tepid at best.
A stock market correction is coming.
But you don't have to take my word for it. Some of the most prominent names in the financial world are warning about the coming correction. Two of them were recently interviewed by CNBC...
A jolt to international confidence in central banks will lead to a 30 to 60 percent market decline, David Tice, president of Tice Capital and founder of the Prudent Bear Fund, told CNBC's "Power Lunch." When this happens, he said, markets will face a "period of extreme turmoil."
This crash will be precipitated, he said, by a disillusionment with the Federal Reserve's "confidence game," which will then see inflation rise, and the Fed scramble to raise rates. At that point, Tice added, "the Fed starts to lose control."
Another market watcher also called for an impending fall.
The Fed's low interest rates could bring a "scary" 50-60 percent market correction, said technical analyst Abigail Doolittle.
"Unfortunately, I think it could come on a crash similar to what happened in 2007," Doolittle, the founder of Peak Theories Research, said on "Squawk Box" a day after the S&P 500 closed above the 2,000 level for the first time ever. "It's tough to know what the exact catalyst will be. But that's the very nature of that kind of selloff. They start slowly and then happen very suddenly."
And as Zero Hedge has pointed out, billionaires such as Sam Zell, George Soros, Stan Druckenmiller and Carl Icahn all seem to be "quietly preparing" for the next crash.
Yes, the next financial crash has taken longer to come to fruition than many had anticipated. But as I have discussed so many times before, this is a very good thing. We should want this period of relative stability to last for as long as possible. The longer that things remain relatively stable, the longer that all of us have to prepare and to position ourselves for the financial chaos that is coming.
At this point, the fact that we are in the midst of a massive financial bubble has become so obvious that even the Bank for International Settlements is publicly talking about it...
Financial markets have been exuberant over the past year, [...] dancing mainly to the tune of central bank decisions. Volatility in equity, fixed income and foreign exchange markets has sagged to historical lows.Obviously, market participants are pricing in hardly any risks.
Many have expected me to "change my tune" about the coming collapse because of how well the stock market has been performing.
