Saxo Bank Warns "This Is The Endgame For Central Banks" checkmate

• Why oh why do we trust central banks?
• Central bankers are politicians' puppets
• This is endgame for the central banks

 

The Swiss National Bank's removal of the franc's peg to the euro last week had far-reaching consequences because we were all taken by surprise. The fact that it would (and should) happen eventually was not lost on the market, but the SNB was as late as last week end talking tough and telling the market that the floor was an integral part of Swiss monetary policy – until it suddenly wasn't any more.

I fully understand the rationale for the move (Jakobsen: SNB move is rationality itself) but like most of the market I'm extremely disappointed in the SNB’s communication and handling of the issue, but that’s the bigger lesson: Why is it most people trust or bother to listen to central banks?

 

Major central banks claim to be independent, but they are totally under the control of politicians. Many developed countries have tried to anchor an independent central bank to offset pressure from politicians and that’s all well and good in principle until the economy spins out of control – at zero-bound growth and rates central banks and politicians becomes one in a survival mode where rules are broken and bent to fit an agenda of buying more time.

 

Just looks to the Eurozone crisis over the past eight years – if not in the letter of law, then in spirit, every single criterion of the EU treaty has been violated by the need to “keep the show on the road”. No, the conclusion has to be that there are no independent central banks anywhere! There are some who pretend to be, but not a single one operates in true independence.

 

 Let's get real — central bankers aren't autonomous. Pic: Jakob Ammentorp Lund

 

 

That’s the reality of the moment. I would not be surprised to find that the Swiss Government overruled the SNB last week and the interesting question for this week is of course if the German government will overrule the Bundesbank on quantitative easing to save face for the Eurozone? Probably….

 

The new dimension of central banking is the “communications policy” which is not only the poorest policy but also only really a front for “talking the market into believing our dream” without any further action.

 

Look at the Federal Reserve forward-looking guidance: They are constantly over-optimistic on growth and inflation. Constantly. The joke doing the rounds is that to get the proper GDP and inflation forecast you merely take the Fed's own forecasts and deduct 100-150 bps from both growth and inflation targets andvoila! You have best track record over time.

 

Studies shows that the business cycle was less volatile before the Federal Reserves was born. The birth of the Fed meant leverage (gearing) which of course has resulted in bigger and bigger collapses of the economy, but with a trend of major crashes increasing in frequency: 1987 stock crash, 1992 ERM crisis, 1993 Mexico “Tequila crisis”, 1998 Asian crisis and the Russian default, 2000 NASDAQ bubble, 2008 stock market crash, and now 2015 SNB, ECB QE, Russia and China and what's the next crisis?

 

I don’t know, but clearly the world of finance and the flow of money is increasing its velocity meaning considerably more “volatility”. By the way, the only guarantee I issued at the end of 2014 looking into 2015 was:

 

 

 Where does this all bring me? The SNB's action was really the culmination of bigger and bigger moves at the end of a low volatility paradigm. I have been trading currencies for more than 30 years, Thursday’s move was single biggest move I have experienced in one market. But let’s look at other remarkable moves this year:

 

Oil has dropped more than 50%

 Source: Bloomberg

 

 

Russian ruble falls off a USD cliff

 

Credit to Zero Hedge

Military cyborg biker presented to Putin

Ukraine Claims Russian Forces At Border, Attack Conflict Zone

After reportedly rejecting Vladimir Putin's peace proposal and continuing heavy shelling in the pro-Russian-held regions of Donetsk, Ukraine's military spokesman Lysenko is reporting the Russian army is directly attacking Ukraine forces in the north conflict zone. The fight over what is now a destroyed Donetsk airport continues with Lysenko claiming to have stalled Russian forces adding that three Russian battallions are approaching the Ukraine border. CNN reports that the Russian Defense Ministry says, "Ukraine's allegations that Russian troops are in Ukraine are complete rubbish."

Reuters and Bloomberg report...

• THREE MORE RUSSIAN BATTALLIONS APPROACH UKRAINE BORDER: LYSENKO
• UKRAINE SAYS FIERCE CLASHES FOR DONETSK AIRPORT: LYSENKO
• RUSSIAN ARMY ATTACKING UKRAINE FORCES: LYSENKO
• UKRAINE FORCES ATTACKED IN NORTH CONFLICT ZONE: LYSENKO
• HEAVY FIGHTING STILL GOING ON BUT UKRAINIANS HAVE HALTED ADVANCE OF RUSSIAN FORCES - MILITARY SPOKESMAN LYSENKO

*  *  *

Reportedly Russian tanks at the Ukraine border..

As Reuters reports,

Ukrainian army units came under attack from Russian regular forces in eastern Ukraine on Tuesday and heavy fighting was taking place, a Ukrainian military spokesman said.

"In spite of preliminary agreements, Ukrainian military units were attacked in the north of the anti-terrorist operational zone by regular military formations of the armed forces of Russia," the spokesman, Andriy Lysenko, said.

"Heavy fighting is continuing near the (Ukrainian army) checkpoints 29 and 31," he said, pinpointing an area near the town of Slovyanoserbsk, northwest of Luhansk.

"Ukrainian forces have stopped the advance of Russian troops ... The situation in the conflict zone is serious but under our control," Lysenko said at a news briefing.

Three more battalion tactical groups of Russian motorised infantry had been tracked inside Russia heading towards the Ukrainian border, as well as an artillery division, he said.

Lysenko's announcement at a specially called news briefing was one of the boldest assertions yet by Ukraine of direct Russian military involvement in the nine-month conflict between pro-Russian separatists and government forces.

Despite what the West and Kiev says is incontrovertible proof, Moscow has continued to deny that any of its regular forces are deployed in Ukraine.

As Bloomberg reports,

Ukrainian govt claims of Russian troops, equipment entering Ukraine Jan. 19 “absolute nonsense,”Russian Defense Ministry spokesman Igor Konashenkov says in e-mailed statement.

Allegations from Kiev are “hallucinations”: Konashenkov

Ukraine studying plan put forward by Russian President Vladimir Putin to withdraw heavy weaponry from conflict zone, RIA Novosti reports, citing Russian Ambassador Mikhail Zurabov

Zurabov says Ukrainian comments on plan mostly technical: RIA

Credit to Zero Hedge

IT TOOK A MIRACLE

By Doc Marquis

As the reign of Elizabeth I (1558 – 1603) of England was coming to a close, there was a draft for an act of Parliament for a new version of the Bible: “An act for the reducing of diversities of bibles now extant in the English tongue to one settled vulgar translated from the original.” The Bishop’s Bible of 1568, although it may have eclipsed the great Bible, was still rivaled by the Geneva Bible. Nothing ever became of this draft during the reign of Elizabeth, who died in 1603, and was succeeded by James I, as the throne of England passed from the Tudors to the Stuarts. James was at that time James VI of Scotland, and had been for 37 years. He was born during the period between the Geneva and the Bishop Bible.

In January of 1604, King James called for the “Hampton Court Conference” “…for the hearing, and for the determining, things pretended to be amiss in the church.” One of the “things amiss in the Church” for King James was the Geneva Bible. He thought it was the worst of all the translations of his day and determined to do something about it. “I wish some special pains were taken for an uniform translation, which should be done by the best learned men in both Universities, then reviewed by the Bishops, presented to the Privy Council, lastly ratified by the Royal authority, to be read in the while Church, and none other.” King James wanted a Bible translated into English for the common man.

Forty-seven scholars were known to have taken part in the work of the translation. Fifteen general rules were advanced for the guidance of the translators. Seven years of arduous, painstaking, meticulous attention to the smallest of details had occurred and the greatest selling Bible of history had been completely translated by 1611.

It took a Miracle! To have just 1 actual scholar in any country during the time of James I was considered to be an act of God. To have gathered 47 such scholars under one roof was considered a Miracle.

As Christians we should expect miracles and yet, for some reason, when they happen few ever notice them or don’t recognize them for what they truly were until it’s too late.

Four-hundred and three years later, March of 2014, after the completion of the KJV 1611 translation of the Holy Bible, another miracle had occurred in Orlando, FL. A “Prophecy Summit” held in Orlando, FL under the auspices of “Prophecy in the News” had occurred. Like those scholars who had gathered under the roof, if you would, of King James of England, 25 – 30 such scholars, each considered experts in their various fields, were under one roof for the 3 day Prophecy Summit in Orlando, FL. More than 2,000 folks were in attendance, dozens upon dozens of presentations had been given, and for 3 days people were given first-hand knowledge and teachings from all of those speakers who were flown in from Hawaii to as far away as Australia and dozens of points in-between. “It took a Miracle!” To this very day I am still hearing reports from so many folks across this great nation of ours about how very well received the Prophecy Summit had been and how much everyone had learned from such scholars and experts.

March 5 – 7, 2015 in Orlando, FL at the “Hyatt Regency Orlando Hotel, another, “It took a Miracle” shall occur. Once again “Prophecy in the News” had listened to the people and have risen to the challenge of putting another “Prophecy Summit” together. This time around, 26 experts in their fields will be giving dozens of presentations. Some of the expert speakers are:

Doug and Joe Hagmann: Father and son team, the dynamic duo of the airwaves, Doug and Joe hosts the ever popular and informative nightly radio show known as “The Hagmann and Hagmann Report.” Their unique and expert perspective on current events, world news, the New World Order, etc. is on a level others strive to attain.

Joseph Farah: American author, journalist and editor-in-chief of the website, WorldNetDaily (WND).

Paul McGuire: World News and End Times Events expert, syndicated radio talk show host and author of 23 books including “The Prophecy of the Future of America, The Day the Dollar Died, and Are You Ready?”

Rabbi Jonathan Cahn: Author of such incredible books: “The Harbinger,” “The Shemitah” and lecturer on “the Blood Moons.”

Bill Salus: Director of “Prophecy Depot Ministries” Bill is also an author, radio host and always a well-received speaker who has just released a new book entitled: “Nuclear Showdown in Iran.”

These are but a small sampling of those speakers that will be speaking at the Hyatt Regency, Orlando from March 5 – 7, 2015 but, space is limited. Tickets are constantly being sold but, like last year, there is a limit. Call and reserve your tickets while they are still available @: “Prophecy in the News”, 800-475-1111. Lines may be busy but someone will get to you shortly. And, just as important, rooms at the Hyatt Regency, Orlando is very limited. The discounted price for each room, per night, is $129.00 however, this special discounted price is available only until February 16, 2015. After that date the special discounted price will no longer apply. So, I strongly encourage everyone to reserve your rooms before the deadline and purchase your tickets for this incredible events before they are sold out.

As a side note, to reserve your rooms please call: 888-421-1442 and when you’re asked for which hotel you’re calling for, please make sure to say “You’re calling for the Prophecy Summit at the Hyatt-Regency Orlando.” There is another hotel with a very similar name, so please be specific and say you’re asking for the “Hyatt-Regency Orlando,” located on 9801 International Dr., Orlando, FL.

“It Took a Miracle” to bring together, under one roof, these 26 speakers of incredible reputation, skill and expertise but, such events are a gift from God which, if you can help it, don’t pass up. They are so very few and far in-between and so desperately needed nowadays more so than in anytime in history. We live during a prophetical period of time that is quickly beginning to spiral out of control and these 26 speakers will help you understand what the world will shortly be crying out to understand.

As always, God bless and keep all of you!


Credit to It'sagodthingproductions.com

50 U.S. law enforcement agencies deployed radars that let them see inside homes

At least 50 U.S. law enforcement agencies quietly deployed radars that let them effectively see inside homes, with little notice to the courts or the public.



(Photo: L3 Communications)


WASHINGTON — At least 50 U.S. law enforcement agencies have secretly equipped their officers with radar devices that allow them to effectively peer through the walls of houses to see whether anyone is inside, a practice raising new concerns about the extent of government surveillance.

Those agencies, including the FBI and the U.S. Marshals Service, began deploying the radar systems more than two years ago with little notice to the courts and no public disclosure of when or how they would be used. The technology raises legal and privacy issues because the U.S. Supreme Court has said officers generally cannot use high-tech sensors to tell them about the inside of a person's house without first obtaining a search warrant.

The radars work like finely tuned motion detectors, using radio waves to zero in on movements as slight as human breathing from a distance of more than 50 feet. They can detect whether anyone is inside of a house, where they are and whether they are moving.

Current and former federal officials say the information is critical for keeping officers safe if they need to storm buildings or rescue hostages. But privacy advocates and judges have nonetheless expressed concern about the circumstances in which law enforcement agencies may be using the radars — and the fact that they have so far done so without public scrutiny.

"The idea that the government can send signals through the wall of your house to figure out what's inside is problematic," said Christopher Soghoian, the American Civil Liberties Union's principal technologist. "Technologies that allow the police to look inside of a home are among the intrusive tools that police have."

Agents' use of the radars was largely unknown until December, when a federal appeals court in Denver said officers had used one before they entered a house to arrest a man wanted for violating his parole. The judges expressed alarm that agents had used the new technology without a search warrant, warning that "the government's warrantless use of such a powerful tool to search inside homes poses grave Fourth Amendment questions."

By then, however, the technology was hardly new. Federal contract records show the Marshals Service began buying the radars in 2012, and has so far spent at least $180,000 on them.

Justice Department spokesman Patrick Rodenbush said officials are reviewing the court's decision. He said the Marshals Service "routinely pursues and arrests violent offenders based on pre-established probable cause in arrest warrants" for serious crimes.

The device the Marshals Service and others are using, known as the Range-R, looks like a sophisticated stud-finder. Its display shows whether it has detected movement on the other side of a wall and, if so, how far away it is — but it does not show a picture of what's happening inside. The Range-R's maker, L-3 Communications, estimates it has sold about 200 devices to 50 law enforcement agencies at a cost of about $6,000 each.




Credit to USAToday.com

Europe 'faces political earthquakes'

Political earthquakes could be in store for Europe in 2015, according to research by the Economist Intelligence Unit for the BBC's Democracy Day.

It says the rising appeal of populist parties could see some winning elections and mainstream parties forced into previously unthinkable alliances.

Europe's "crisis of democracy" is a gap between elites and voters, EIU says.

There is "a gaping hole at the heart of European politics where big ideas should be", it adds.

Low turnouts at the polls and sharp falls in the membership of traditional parties are key factors in the phenomenon.

'Highly destabilising'

The United Kingdom - going to the polls in May - is "on the cusp of a potentially prolonged period of political instability", according to the Economist researchers.


They say there is a much higher than usual chance that the election will produce an unstable government - predicting that the populist UK Independence Party (UKIP) will take votes from both the Conservatives and Labour.

The fragmentation of voters' preferences combined with Britain's first-past-the-post electoral system will, the EIU says, make it increasingly difficult to form the kind of single-party governments with a parliamentary majority that have been the norm.

But the most immediate political challenge - and test of how far the growing populism translates into success at the polls - is in Greece. A snap general election takes place there on 25 January, triggered by parliament's failure to choose a new president in December.

Opinion polls suggest that the far left, populist Syriza could emerge as the strongest party. If it did and was able to form a government, the EIU says this would send shock waves through the European Union and act as a catalyst for political upheaval elsewhere.

"The election of a Syriza government would be highly destabilising, both domestically and regionally. It would almost certainly trigger a crisis in the relationship between Greece and its international creditors, as debt write-offs form one of the core planks of its policy platform," the EIU says.

"With similar anti-establishment parties gaining ground rapidly in a number of other countries scheduled to hold elections in 2015, the spill-over effects from a further period of Greek turmoil could be significant."
Credit to BBC

Russian Armed Forces to Adopt Hypersonic Missiles on Mass Scale

The development of hypersonic missiles in Russia and the United States currently stands at the same level, the CEO of Russia's Tactical Missiles Corporation believes.


MOSCOW, January 19 (Sputnik) — The Russian Armed Forces will receive hypersonic missiles on mass scale in about 15 to 25 years, with the first prototypes to be created by 2020, CEO of Russia's Tactical Missiles Corporation Boris Obnosov said in an interview with the "Defense of Russia" magazine.

"I think that the program will unfold as early as in the next decade, and the transition to the hypersonic [missiles] is a matter of the 2030s-2040s," Obnosov said.

He explained that the main difficulty in developing missiles able to fly significantly faster than the speed of sound was needed for new construction materials, capable of enduring the temperatures caused by flying at extremely high speed.

"Flying at Mach 6 [4,567 mph] is one task, but [doing it] at Mach 8-10 is an entirely another one. We could even speak of Mach 10-12. The tasks grows more difficult exponentially," Obnosov said.

The Tactical Missiles Corporation's CEO added the task of producing hypersonic missiles was also a challenge in terms of the construction of missile engines and on-board equipment.

The development of hypersonic missiles in Russia and the United States currently stands at the same level, the CEO of Russia's Tactical Missiles Corporation believes.

Joint Stock Company Tactical Missiles Corporation was established in 2002 and includes 26 companies, producing missiles and guided bombs, as well as air-, sea- and land-based missile systems.

Credit to Sputniknews.com