tag:blogger.com,1999:blog-35350942382008639472024-03-05T07:46:27.328-08:00News with ChaiThis blog will connect the dots and provide a deeper understanding of current financial and geopolitical events.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.comBlogger72125tag:blogger.com,1999:blog-3535094238200863947.post-72489713759419565432023-11-23T10:12:00.000-08:002024-02-18T22:34:02.398-08:00What Replaces the USD as the World's Reserve Currency? CBDC, Gold or Crypto<p>The USD's removal as the world's reserve currency is inevitable. <br />See the US Debt Clock ---> https://usdebtclock.org/<br />There are three viable alternatives - CBDC, Gold or Crypto.</p><p> </p><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEithmqaKhyphenhyphenKUt2TXQR_i-3bszphNRIIJKhUDW3_s7tguxUV38hrnsra59Nvrt3QXSywPBg1545eiT7tDTA-fR3SzDoeK3NiBherjQ1JDxnrsvwiQ5J4uy1TRczVkGgiPZlkJBf6Q0khbGPtD1dW0F1R9AewBfd7IZBWscHEmJuVkWgqEPeq0ja4asOsjdU1/s1013/Scenarios%20-%20CBDC,%20Gold,%20Bitcoin.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="482" data-original-width="1013" height="304" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEithmqaKhyphenhyphenKUt2TXQR_i-3bszphNRIIJKhUDW3_s7tguxUV38hrnsra59Nvrt3QXSywPBg1545eiT7tDTA-fR3SzDoeK3NiBherjQ1JDxnrsvwiQ5J4uy1TRczVkGgiPZlkJBf6Q0khbGPtD1dW0F1R9AewBfd7IZBWscHEmJuVkWgqEPeq0ja4asOsjdU1/w640-h304/Scenarios%20-%20CBDC,%20Gold,%20Bitcoin.jpg" width="640" /></a></div> <br /><p></p>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-67856736980509692332023-06-19T19:01:00.003-07:002023-06-19T19:03:40.143-07:00Plandemic 3: The Great Awakening<p>Great documentary by Mikki Willis that summarizes the current attempt by Communists to destroy the U.S. (with similarities to Mao's Cultural Revolution)<br /></p><p></p><p>Note: Foul language at 5:04 and 7:48 mark.<br /></p><br /><div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen="" class="rumble" frameborder="0" height="252" src="https://rumble.com/embed/v2pcbru/?pub=on76z" width="448"></iframe></div>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-73698033607051080692022-07-04T18:50:00.020-07:002023-09-14T18:33:11.577-07:00In Memory of Dr. Zev Zelenko, a Great Fighter for Truth and Liberty<p style="text-align: center;">Some amazing tributes to Dr. Zelenko:<br /></p><p style="text-align: left;"><a href="https://westbororabbi.substack.com/p/the-wolf-who-saved-his-flock">The Wolf who Saved his Flock</a> by Rabbi Michoel Green - Substack<br /><br /><a href="https://truth613.substack.com/p/in-memory-of-the-tzaddik-saver-of">In Memory of the Tzaddik, Saver of Lives and Brave Speaker of Truth, Dr. Zev Zelenko Z”TL</a> by Brucha Weisberger - Substack</p><p style="text-align: left;"> </p><p></p><p></p><div class="separator" style="clear: both; text-align: center;"></div><div class="separator" style="clear: both; text-align: center;"></div><div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen='allowfullscreen' webkitallowfullscreen='webkitallowfullscreen' mozallowfullscreen='mozallowfullscreen' width='320' height='266' src='https://www.blogger.com/video.g?token=AD6v5dxl_9AbUkzma1rjd7tTAbNngDy9yH80sqFxseA-_rnRubYJkCP3dCSxKJdxxVhNyPxLsS1dmp7t3DugR-Lk3w' class='b-hbp-video b-uploaded' frameborder='0'></iframe></div><p></p><p> </p><p style="text-align: center;"> <iframe allowfullscreen='allowfullscreen' webkitallowfullscreen='webkitallowfullscreen' mozallowfullscreen='mozallowfullscreen' width='320' height='266' src='https://www.blogger.com/video.g?token=AD6v5dyCcwyVjPNUBQLIqOmC-cJl9a3eK2Yx5bee9BWIMnnFmh_efeLdKMM4sA9FlhqhmHboJ2dUx-Zmr3rc6lK5QA' class='b-hbp-video b-uploaded' frameborder='0'></iframe></p><p style="text-align: center;">Dr. Zelenko speaks to a Rabbinical court in Jerusalem </p>
<div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen="" class="rumble" frameborder="0" height="252" src="https://rumble.com/embed/vi57rw/?pub=on76z" width="448"></iframe></div>
<p></p><p></p><p></p><div><p></p><p style="text-align: center;">Dr. Zelenko's Red Pill:<br /></p><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEif-OkQXR3ARCUJadqPPMy6WEFjH4WeIWU5jxsWP12c8-f2fVZjbE2VYvWrWPI5EN8CYWjoELhOJbPRNv_8yncTsUigQLSQAu_i-3VaJ5wCHMRXTomI637dXw8iQCT8wtAWJe1M9jcEvtuqyBjlHm2OPRp0av55rxI7lWoA3gbS5ulCcDeGpVgvLTEvBA/s911/Zelenko_Conspiracy.jpg" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="911" data-original-width="428" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEif-OkQXR3ARCUJadqPPMy6WEFjH4WeIWU5jxsWP12c8-f2fVZjbE2VYvWrWPI5EN8CYWjoELhOJbPRNv_8yncTsUigQLSQAu_i-3VaJ5wCHMRXTomI637dXw8iQCT8wtAWJe1M9jcEvtuqyBjlHm2OPRp0av55rxI7lWoA3gbS5ulCcDeGpVgvLTEvBA/s16000/Zelenko_Conspiracy.jpg" /></a></div><br /></div>
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</script>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-39596322717450647542020-12-28T22:11:00.001-08:002020-12-28T22:17:46.858-08:00Must Watch Video: The Plot To Steal America<p>I highly recommend this video titled: 'The Plot To Steal America'. Can also be found on <a href="https://rumble.com/vbngzz-election-2020-the-true-invisible-enemy.html">Rumble</a> and <a href="https://www.youtube.com/watch?v=rXtGItm1bvQ">YouTube</a>.<br /></p><p style="text-align: center;">Part I - Election Fraud<br /></p><div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen='allowfullscreen' webkitallowfullscreen='webkitallowfullscreen' mozallowfullscreen='mozallowfullscreen' width='320' height='266' src='https://www.blogger.com/video.g?token=AD6v5dzlVP0U9x4J6TACSuLOevM3Zc7FB7K2nAduxs8K9VfQ5xz9OphuvYdKdEy2Q704NVfkIiVTvIZTvwsnoO5YGw' class='b-hbp-video b-uploaded' frameborder='0'></iframe></div><br /><p></p><p style="text-align: center;">Part II - CCP & Big Media & Big Tech vs. Trump & US Patriots<br /></p><div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen='allowfullscreen' webkitallowfullscreen='webkitallowfullscreen' mozallowfullscreen='mozallowfullscreen' width='320' height='266' src='https://www.blogger.com/video.g?token=AD6v5dwESyYSp5XIfnbAz0GmnNXmBPRhi0XClWOR23d4pP98zFpFjwvI0yf2ogTPplSSYKw54wcNlHMQvLXRAAFkQg' class='b-hbp-video b-uploaded' frameborder='0'></iframe></div>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-32235101529400991012019-12-26T08:03:00.000-08:002019-12-26T08:03:01.306-08:00Cryptocurrencies Provide Path to Freedom Amidst Banking Liquidity Crisis<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhPpv4xYrZn1Br0EMYsXAtWP5xTB-G-QlX8JUWwQHrXtHj-D3lqyE1fw2is48J2sHS_3doZ2_Mr7MxxJ_MgGn8ipNgTUs-9vZu2GajV3ZlgJ6rxBWpMb1fooJ8-x5jC2jBm8wwy_k7v7x0h/s1600/Header-Crytpo+Freedom.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="425" data-original-width="680" height="400" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhPpv4xYrZn1Br0EMYsXAtWP5xTB-G-QlX8JUWwQHrXtHj-D3lqyE1fw2is48J2sHS_3doZ2_Mr7MxxJ_MgGn8ipNgTUs-9vZu2GajV3ZlgJ6rxBWpMb1fooJ8-x5jC2jBm8wwy_k7v7x0h/s640/Header-Crytpo+Freedom.jpg" width="640" /></a></div>
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<br /><b>Banking Liquidity Crisis</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhbgy-s_Pk6qMNuMTPDYN4xGiu-wIuB18mbjD2DntI7Q4mQeOZWqpTisXARXoZO7ZFttlfXQ4C40EpF0iaT22UIgvK9CS3pMt1cv4Z7ijiphEOVoZoh18xKqduMUwC9VcPdjA2-SLLQ9WsZ/s1600/1+-+Repo.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="367" data-original-width="630" height="368" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhbgy-s_Pk6qMNuMTPDYN4xGiu-wIuB18mbjD2DntI7Q4mQeOZWqpTisXARXoZO7ZFttlfXQ4C40EpF0iaT22UIgvK9CS3pMt1cv4Z7ijiphEOVoZoh18xKqduMUwC9VcPdjA2-SLLQ9WsZ/s640/1+-+Repo.jpg" width="640" /></a></div>
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A major sign of <a href="https://www.cnn.com/2019/09/17/business/overnight-lending-rate-spike-ny-fed/index.html">problems in the financial system</a> occurred this September in the repo market as 'the spike in overnight borrowing rates forced the New York Federal Reserve (NY FED) to come to the rescue with a <i>special operation</i> aimed at easing stress in financial markets'. By November 14, the NY FED <a href="https://www.newyorkfed.org/markets/opolicy/operating_policy_191114">announced</a> it would 'continue to offer at least $35 billion in two-week term repo operations twice per week and at least $120 billion in daily overnight repo operations'.<br />
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(Watch <a href="https://www.youtube.com/watch?v=qF11rk1M_Rw"> this brief tutorial</a> on the repo market for further explanation - Update: David Haggith recently posted an <a href="http://thegreatrecession.info/blog/repocalypse-the-second-coming/">in-depth review</a> of the 'repocalypse')<br />
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In retrospect, as liquidity continues to be injected in the system, the initial operation no longer seems so 'special'. In a strike against transparency, the NY FED <a href="http://www.gata.org/node/19583"> rejected </a> a request to disclose the recipient(s) of these loans stating it is not 'subject to the Freedom of Information Act ("FOIA") although it complies with the spirit of FOIA when responding to requests of this type'. The current crisis in the repo market is clear evidence of something broken in the banking industry. While the <a href="https://newswithchai.blogspot.com/2018/12/global-debt-bubble-set-to-burst-as-mass-awakening-will-end-central-bank-control.html">global debt bubble was set to burst</a> at the end of last year, the Federal Reserve (FED) suddenly (and after pressure from the White House) refrained from additional interest rate hikes. Since July, the FED has deftly <a href="https://www.cnbc.com/2019/10/30/when-the-fed-cuts-rate-three-times-and-pauses-history-shows-it-works-out-great-for-stocks.html"> lowered interest rates three times</a>. But, global debt has now <a href="https://www.forbes.com/sites/simonconstable/2019/11/14/borrowing-binge-world-debt-hits-record-of-more-than-250-trillion/"> surpassed $250 trillion</a> by the end of the 2nd quarter and the total amount of cash owed to lenders is worth more than three times the global GDP. This level of debt is clearly unsustainable.<br />
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<b>Trump Administration Policy</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgdjnzdz_71vx9Oij1JsSql0n4cWIb8SYw3mODVioW1Gu4LC55-ejJTaF3mlutwZ1k9Q2n3JmVAyqY6_3dKlwZYRYXNgA1lM3dy_HzH46HM7VrUIcirOH6zr-sdJy3CfEHkKkOELeGTK3jC/s1600/2+-+US+Market+-+China+-+Russia+-+IRan.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="329" data-original-width="630" height="332" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgdjnzdz_71vx9Oij1JsSql0n4cWIb8SYw3mODVioW1Gu4LC55-ejJTaF3mlutwZ1k9Q2n3JmVAyqY6_3dKlwZYRYXNgA1lM3dy_HzH46HM7VrUIcirOH6zr-sdJy3CfEHkKkOELeGTK3jC/s640/2+-+US+Market+-+China+-+Russia+-+IRan.jpg" width="640" /></a></div>
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As a candidate, President Trump <a href="https://www.youtube.com/watch?v=4xn9jLy_TB4">said</a> the U.S. was 'in a big, fat, ugly bubble'. But as President, he has been the biggest cheerleader for a stock market that continues to make all-time highs. So, did the 2016 election make the bubble go away? Does the U.S. national debt (now over $23 trillion) no longer matter? While there has been positive economic progress over the past three years, stock market gains have been completely illusory. Low interest rates have enabled corporations to borrow money to <a href="https://www.marketwatch.com/story/buybacks-are-the-dominant-source-of-stock-market-demand-and-they-are-fading-fast-goldman-sachs-2019-11-06"> fund stock buybacks</a> (estimated to hit $480 billion this year) and contribute to the artificial rise in stock prices. The current administration has taken the bubble they inherited and encouraged it to get blown even bigger. Curiously, President Trump <a href="https://twitter.com/realDonaldTrump/status/1171735691769929728"> tweeted </a> on September 11, 2019 (around the same time as problems began in the repo market) that the FED should 'get our interest rates down to zero, or less, and we should then start to refinance our debt'. For myself, that is the exact problem with our existing system. No one person (not the President, the FED Chairman or anyone else) should have the authority to devalue a nation's currency. It is unlikely that the U.S. can have a sound economy with negative interest rates as even <a href="https://www.reuters.com/article/us-usa-fed-japan/japans-negative-interest-rates-may-have-backfired-fed-paper-idUSKCN1VG1W5">FED policymakers are skeptical</a>.<br />
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So, why has the Trump administration kept this bubble in place? I believe there are two key reasons. First, there is a strong feeling that the onset of mild economic contraction would prove impossible to contain and lead to economic depression. The second answer relates to geopolitical considerations. As <a href="https://newswithchai.blogspot.com/2018/07/tariffs-tax-cuts-and-the-fed-the-us-strategy-to-defeat-china.html"> covered</a> last year, the Trump administration views China (and by extension the <a href="https://www.scmp.com/news/china/diplomacy/article/3029819/china-russia-iran-plan-joint-naval-drill-international-waters"> China - Russia - Iran axis</a>) as a more immediate threat to U.S. interests than the FED. Since the U.S. dollar is the world's reserve currency, the U.S. holds an inherent advantage over any other country. A strategic decision has been made to keep the financial system afloat (and keep the U.S. dollar as the world's reserve currency) while using economic war via sanctions to weaken U.S. enemies.<br />
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Recently, Iran has dealt with an economic crisis as a result of these sanctions. <a href="https://www.cnbc.com/2019/11/22/iran-faces-its-most-critical-moment-since-the-1979-revolution.html"> CNBC reported</a> that Iran's 'oil exports have dropped from 2.5 million barrels a day after the lifting of sanctions in 2016 to 400,000 barrels per day and perhaps as little as 200,000'. <a href="https://www.newsweek.com/donald-trump-sanctions-weaken-iran-protests-tehran-iraq-lebanon-1472760"> Newsweek recently declared</a> that the result of sanctions has 'created unrest that is weakening the Tehran government at home and abroad'. According to <a href="https://www.iranfocus.com/en/iran-general-mainmenu-26/34088-why-iranian-protesters-are-setting-banks-on-fire"> this report</a>, it is the banks that 'pull money out of people's pockets as deposits and invest in profitable business sectors such as tower construction, import projects, and brokerage through the private chain and satellite institutions and companies, rather than lending to factories and institutions. Eventually, profits of these investments turn back to the pockets of the banks' shareholders, who are affiliated with the government'. Perhaps, Iranian protesters were targeting some of these banks that they burned down during the recent uprising. In addition, multiple <a href="https://www.zerohedge.com/markets/second-bank-run-two-weeks-chinas-banks-are-caught-self-destructive-doom-loop"> Chinese banks have been in crisis </a> in recent months. To counter U.S. influence, the BRICS (Brazil, Russia, India, China, South Africa) nations have discussed <a href="https://cointelegraph.com/news/brics-nations-discuss-shared-crypto-to-break-away-from-usd-and-swift"> issuance of a cross-national digital money </a> in order to reduce the dependence of their economies on the U.S.<br />
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<b>Freedom vs Slavery</b><br />
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In a true 'free market', private banks should be allowed to fail. Profits should not be privatized with socialized (protected) losses. The core issue is freedom and central banks will eventually be [cornered]. Supporters of a central banking system believe that since banks are such a vital part of the economy, they should be protected. Unfortunately, if bankers are assured of getting 'bailed out', there can never be any incentive to prevent unnecessary, reckless risk taking. As I've said <a href="https://newswithchai.blogspot.com/2018/12/global-debt-bubble-set-to-burst-as-mass-awakening-will-end-central-bank-control.html"> previously</a>, there is no way the U.S. can consider itself a 'free' country when the ultimate power remains embedded with a cadre of bankers. Money itself does not need to be defined by banker overlords. It can be defined as whatever people want it to be. The U.S. dollar is a Federal Reserve Note and backed by nothing. In spite of <a href="https://beincrypto.com/30-of-americans-believe-the-u-s-dollar-is-backed-by-gold/"> 30% Americans </a> who believe the U.S. dollar is backed by gold, every day, more people are waking up to this reality.<br />
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<b>Alternatives to Existing System</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhSCQ9E1dRhF3QespPxxo-Hyn0VVSoRppcq33uxcx-j_tHLYWxdGfUOVQB15dHItOLyY2t2crKUwqMym0fT0ikFcUOawmlA6ypSxk8iEUUrz4HJxWP88tZzlcob7lEldnK0ac71U3Scbhq-/s1600/3+-+China+Crypto+BTC.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="358" data-original-width="567" height="403" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhSCQ9E1dRhF3QespPxxo-Hyn0VVSoRppcq33uxcx-j_tHLYWxdGfUOVQB15dHItOLyY2t2crKUwqMym0fT0ikFcUOawmlA6ypSxk8iEUUrz4HJxWP88tZzlcob7lEldnK0ac71U3Scbhq-/s640/3+-+China+Crypto+BTC.jpg" width="640" /></a></div>
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So, to obtain our desired 'freedom', an alternative to the U.S. dollar must exist. For any currency to be effective, it must function as a unit of account, a medium of exchange and a store of value. Since an overwhelming majority of business and consumer transactions today are done digitally, any replacement must be in a digital form. In my opinion, there are potentially two viable alternatives to the U.S. dollar - a digital currency backed by precious metals and cryptocurrencies like Bitcoin. I do not view <a href="https://www.investopedia.com/terms/s/stablecoin.asp"> stablecoins </a> backed by fiat currencies as much of an alternative although they can act as a gateway to proof-of-work or proof-of-stake cryptocurrencies.<br />
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Recently, there were rumors of China launching a digital <a href="https://www.thestreet.com/video/crypto-currency-china-secret-weapon-usd-gold-backed-crypto-currency-max-keiser-15154154"> </a> cryptocurrency. Noted economist Daniel Lacalle was highly skeptical of the move. He <a href="https://www.dlacalle.com/en/will-china-disrupt-the-monetary-system-with-a-ceyptocurrency/"> stated </a> that 'China cannot disrupt the global monetary system and dethrone the US dollar when it has one of the world’s tightest capital control systems, a lack of separation of powers and weak transparency in its own financial system'. Any issuer (either a sovereign country or private firm) of such a digital asset must store the underlying asset (i.e. gold, silver) somewhere and perform periodic audits. One can not discount sovereign risk (i.e. war, regime change, etc.) and counterparty risk.<br />
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The most popular cryptocurrency, Bitcoin, has a fixed supply of 21 million (after all coins are mined). No entity can create more coins than its limit and thereby debase Bitcoin's value. The argument that Bitcoin is 'backed by nothing' is <a href="https://hackernoon.com/but-its-not-backed-by-anything-bafdf968a86d"> highly misleading</a>. Cryptocurrencies provide an easy way for any individual around the world to 'opt-out' of the existing system and start a new one. Bitcoin is not only a decentralized cryptocurrency but it is censorship resistant. Examples of censorship like Chase Bank that <a href="https://www.newsbtc.com/2019/02/27/chase-anti-conservative-bitcoin-adoption/"> terminated banking services</a> of conservative media personalities and HSBC Bank that <a href="https://cryptopotato.com/protests-in-hong-kong-iran-and-lebanon-worsen-possible-impact-on-bitcoins-price/"> banned a corporate account </a> allegedly related to the Hong Kong protests will be a remnant of history. Bitcoin does not account for the individual or business' political leanings.<br />
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<b>Government & Banking Industry Roadblocks</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiNKjirq60P8hviBVB4dhfMDVBDK48KBs2L0DZro35RujNxetfgDNoJuD_KWy1El5k6pu3EejnR8GXg5sLB1P2mXmqcGKerCPydEct8CzauYG7tvSTUCXHaqgkhOcL5_Ftv3QzYQ4PWjTJP/s1600/4+-+BTC+-+Silver+Charts.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="383" data-original-width="888" height="275" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiNKjirq60P8hviBVB4dhfMDVBDK48KBs2L0DZro35RujNxetfgDNoJuD_KWy1El5k6pu3EejnR8GXg5sLB1P2mXmqcGKerCPydEct8CzauYG7tvSTUCXHaqgkhOcL5_Ftv3QzYQ4PWjTJP/s640/4+-+BTC+-+Silver+Charts.jpg" width="640" /></a></div>
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According to some economists like <a href="https://www.newsbtc.com/2019/11/25/does-the-price-plunge-prove-bitcoin-is-uninfluenced-by-macroeconomics/"> Alex Krüger</a>, the price of Bitcoin has nothing to do with macroeconomics. Krüger makes a valid point that 'it is such an illiquid/fragmented market that in the absence of mass influx of new buyers, actions of a few determine direction'. Normally, with heightened global tensions, one would expect the price of Bitcoin to explode higher. Instead, the price of Bitcoin has languished the past few months. But, the following two events provide greater transparency to the present situation.<br />
<br />
1. Precious Metals Manipulation - In September, the U.S. Department of Justice <a href="https://www.bloomberg.com/news/articles/2019-09-16/jpmorgan-s-metals-desk-was-a-criminal-enterprise-u-s-says"> filed racketeering charges </a> against three employees of JPMorgan Chase & Co. They described the firm's precious metals trading desk as a criminal enterprise operating inside the bank for nearly a decade.<br />
<br />
2. Popping the Bitcoin Bubble - In October, former chairman of the Commodity Futures Trading Commission (CFTC), Christopher Giancarlo <a href="https://www.coindesk.com/trump-administration-popped-2017-bitcoin-bubble-ex-cftc-chair-says"> admitted </a> to U.S. government interest (and likely involvement) in 'popping the bitcoin bubble'. He even made a bizarre statement in support of derivatives, 'If you don’t have that derivative, then all you’ve got are believers [and] it’s a believers’ market'. I am not aware of any mandates requiring government agencies to 'pop' bubbles.<br />
<br />
These two examples show the determination of these entrenched powers to maintain the status quo. These powers continuously work to crush the perceived value of any asset (such as gold, silver or Bitcoin) that is a potential competitor to the U.S. dollar. The history of both the banking industry and government corruption validates the enormous challenges with affecting real change.<br />
<br />
In addition, another immediate problem with Bitcoin is volatility. A legitimate global reserve currency can not depreciate, as Bitcoin did, by approximately 84% from its all time high ($20,000 --->; $3,200). Importantly, there is still a gross stigma associated with such a decline. Today, many people who have heard about cryptocurrencies in passing (or who passionately dislike it) view Bitcoin solely within the context of its price crash. (Although it increased by over 20X in one year prior to the downtrend) The price of Bitcoin will have to exceed its prior all-time high of $20,000 (and probably greater than $50,000) for this stigma to subside. But, since we do not have anything close to a free market, price discovery is especially difficult. Even Ethereum co-founder Vitalik Buterin criticized centralized exchanges, <a href="https://cointelegraph.com/news/ethereum-s-vitalik-buterin-blasts-centralized-crypto-exchanges-i-hope-they-burn-in-hell">hoping they ‘burn in hell’</a>.<br />
<br />
<b>How Do We Achieve Freedom</b><br />
<br />
Conversely, maybe you don't care about your monetary freedom. Right now, life is good. You can go to the store and buy food, take a road trip, or go shopping at the mall. Why would anyone want wholesale changes in their lives? People like Peter Schiff have been ranting about a U.S. dollar collapse for years. Maybe these central bankers aren't so bad after all. Maybe they really care about all of us. These banking liquidity issues could not possibly be tied to any systematic failure. Cryptocurrencies are just too complicated and not needed.<br />
<br />
Well, if you believe all of this, you should stop reading and put your head back in the sand. If you think bankers really care about you, then you are quite naive. Compare your grocery bill from 5 years, 10 years, and 20 years ago. Prices have consistently gone up. This hidden inflation is not officially reported by the government, but it is real and will only get worse.<br />
<br />
Since it is not prudent to rely on the government for much of anything, especially to help fight off central banks like the FED, any change must arise from the will of the people. We are starting to see coordinated efforts as seen with <a href="https://www.ccn.com/nfl-player-demands-paid-bitcoin/"> NFL players </a> asking for payment in Bitcoin. I envision a time where individuals come together, select a coin they like, invest in it and then demand payment in it. Of course, this would take years of coordination and planning.<br />
<br />
<b>The Future World Without Dependence On Banks</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhGZmzQsP1GgjGbniLYMP1EFkaHI_9ld54JiQ25DLbLA-DQmOSN1vIqIO48TuxEEFGJJsRwDBRGXc5d-xMme1y_iMsMUTy6Fe1pWRyri2ilJ5O_2QK-AEN3OubzuusLP7qezRHZHcALJpsz/s1600/5+-+Jefferson+-+Freedom.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="238" data-original-width="631" height="240" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhGZmzQsP1GgjGbniLYMP1EFkaHI_9ld54JiQ25DLbLA-DQmOSN1vIqIO48TuxEEFGJJsRwDBRGXc5d-xMme1y_iMsMUTy6Fe1pWRyri2ilJ5O_2QK-AEN3OubzuusLP7qezRHZHcALJpsz/s640/5+-+Jefferson+-+Freedom.jpg" width="640" /></a></div>
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As we lessen our dependence on banks, many questions remain open. For example, how can we address changes to law enforcement when cryptocurrencies allow anonymous transactions? At a recent conference, the Deputy Secretary of the U.S. Treasury Department <a href="https://home.treasury.gov/news/press-releases/sm835">questioned</a> how 'digital currencies can potentially be used to evade existing legal frameworks'. He also raised the following questions: 'If a cryptocurrency checked all the near term regulatory boxes today and grew to scale, what would be the process for making changes to rules governing the currency in the future? For instance, if a decade from now there were a desire for a stablecoin to go from fully reserved to partially reserved, or to shift its underlying mix of reserve currencies, would that decision be made by a private governing association? Or by a majority of coinholders? What if foreign actors had acquired a majority of the coins? In any case, would important decisions about our economic system have been taken out of the hands of representatives accountable to the people?'<br />
<br />
In the future, I could see a scenario where Bitcoin and other cryptocurrencies compete with sovereign digital currencies backed by assets like gold. I am skeptical of central banks simply issuing digital currencies that are not backed by an asset. For something to be a store of value there must be an element of scarcity. While some would prefer the safety of a a sovereign digital currency, others may prefer Bitcoin. Today's central banks would be stripped of not only controlling the money supply but also of defining it. This change could lead to a separation of nation and currency. What happens if a rogue state like North Korea uses cryptocurrencies to evade sanctions? Geopolitics would be upended as the weaponizing of the U.S. dollar via sanctions would cease. Since U.S. citizens are so heavily dependent on government programs, it will be difficult to avoid societal upheaval. Freedom does not mean free stuff. Are we in the U.S. ready for some (if not all) government programs to go away? Thomas Jefferson once said 'I prefer dangerous freedom over peaceful slavery'. Perhaps, someday, we'll find out how all Americans feel about that.<br />
<br />
This article was originally posted on <a href="https://medium.com/beyondhype/cryptocurrencies-provide-path-to-freedom-amidst-banking-liquidity-crisis-1a6df51ac9d7">hype.partners' Medium page</a>. Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-10644954825465831862019-05-28T19:29:00.000-07:002019-05-28T19:29:40.119-07:00Are Vaccines Safe?<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj3dVWJWqc1rNIc1wYqMUNHzlfLHgVT2rPa0IqAxm9_w1TWo4quA-exW0Cl5NmsVOz_l19B3j1vo0_8EO4pyexgMUdJyVt9y-Cv0gou4Wm13MzYALbOKuLkuwqtmyYcuOeuwSbb-kr7H8d-/s1600/Vax.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="595" data-original-width="907" height="209" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj3dVWJWqc1rNIc1wYqMUNHzlfLHgVT2rPa0IqAxm9_w1TWo4quA-exW0Cl5NmsVOz_l19B3j1vo0_8EO4pyexgMUdJyVt9y-Cv0gou4Wm13MzYALbOKuLkuwqtmyYcuOeuwSbb-kr7H8d-/s320/Vax.jpg" width="320" /></a></div>
<br />
Are vaccines safe?<br />
Do you trust the CDC?<br />
Do you trust the mainstream media? Where does their advertising revenue come from?<br />
Do you trust Big Pharma?<br />
What did Q say about 'most all powerful organizations'?<br />
What did Robert F. Kennedy Jr. discuss with POTUS when they met two years ago?<br />
Who was Dan Olmstead? Who was he supposed to meet before his death?<br />
Who was Daniel Best? What was his role? What happened to him?<br />
>90 Holistic doctors, Nagalase - Coincidence?<br />
CA SB276 - A database set up for what?<br />
Who runs CA? Who really runs CA? i.e. AJR-44, Port of Long Beach, Hollywood, Clinton server, Feinstein driver, fentanyl, etc.<br />
Biden - 'not competition for us'<br />
Follow the money.<br />
What if the trade war is a cover for something much deeper?<br />
Has FLOTUS made any statement regarding vaccines? Why not?<br />
What did Q say about vaccines?<br />
Just asking questions.<br />
Think logically.<br />
Make Vaccines Safe Again.<br />
Make California Great Again.<br />
AYAlan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-38686926400015173312018-12-28T00:46:00.000-08:002018-12-28T08:48:19.010-08:00Troop Pull Out of Syria by President Trump Does Not Sell Out Israel<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgYUfbqA2GMqMZVodWT_6GW3zxntCp6L0RL2Gs5pSEaB-AGcANZuWGKxQByqIRnfBMSQy2tUWp025uQsdncNQ_iWRGDRYGiDvlSfTBwTN1vRqD1rmD24amgC62cGosEqRfXDFHhk7OiO2F0/s1600/Syria_US_Israel.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"> <img border="0" data-original-height="345" data-original-width="383" height="288" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgYUfbqA2GMqMZVodWT_6GW3zxntCp6L0RL2Gs5pSEaB-AGcANZuWGKxQByqIRnfBMSQy2tUWp025uQsdncNQ_iWRGDRYGiDvlSfTBwTN1vRqD1rmD24amgC62cGosEqRfXDFHhk7OiO2F0/s320/Syria_US_Israel.jpg" width="320" /></a></div>
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President Trump has boldly <a href="https://twitter.com/realDonaldTrump/status/1077044397504692227">moved towards</a> Senator Rand Paul's non-interventionist foreign policy with his decision to pull troops out of Syria. As expected, the DC establishment is upended with pundits decrying the move and in <a href="https://www.thedailybeast.com/jim-mattis-was-the-only-thing-keeping-trumps-insane-clown-posse-in-check">this</a> case calling it 'reckless'. I strongly agree with the President's decision to pull troops out of Syria (and Afghanistan). There was no Congressional approval for any military action in Syria and the U.S. presence there is arguably unconstitutional.<br />
<br />
One of the President's critics foolishly declared that he is <a href="https://www.nytimes.com/2018/12/26/opinion/trump-israel-foreign-policy.html">bad for Israel</a>. Prior administrations have had a mixed relationship with Israel (military aid that comes with strings attached does not automatically make the U.S. a great friend of Israel). Conversely, <a href="https://newswithchai.blogspot.com/2017/12/president-trump-aligns-us-with-israel-as-the-great-awakening-arrives.html">President Trump has aligned the U.S. with Israel</a> more so than any prior administration.<br />
<br />
So, does this decision sell out Israel? Not at all.<br />
<br />
According to <a href="https://www.usnews.com/news/best-countries/power-full-list">U.S. News & World Report</a>, Israel currently ranks as the 8th most powerful country in the world. In the past, U.S. officials (specifically the State Department) would constantly ask that Israel use 'restraint' in conflicts. Israel is more than capable of meeting its security needs and does not need a supervisor providing 'guidance'.<br />
<br />
Most importantly, Israel's security is ultimately decided on from the highest power. As <a href="http://www.aish.com/tp/i/moha/48930357.html">written</a> in Devarim (Deuteronomy) 11:26-28:<br />
<blockquote class="tr_bq">
<i>'See! I give you today (a choice of) a blessing and a curse. The blessing, when you listen to the commandments of G-d your Lord, which I command you today. The curse, if you do not listen to the commandments of G-d your Lord, and you deviate from the path which I command you today, in order to follow other gods which you did not know.'</i></blockquote>
So, we learn that if Jews follow the commandments, they will be blessed and if they do not follow the commandments, they will be cursed. Israel's existence has been a testament of countless miracles. If more Jews understood the true source of their power (not the IDF, Mossad, etc.), there wouldn't need to be any concern over U.S. foreign policy.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-70963069003703255022018-12-17T00:44:00.001-08:002018-12-17T00:44:16.907-08:00Global Debt Bubble Set to Burst as Mass Awakening Will End Central Bank Control<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi7Cpcv2tyRaQjOfLWq0qB20agEUJKYcHSkP3g6pr4qpdXzkcrRsI4enq4rGALRyQeMP0-xy0thyphenhyphen4S5eO1KGW6TYaIl9h1QyFvMa_2vhkHBUu6TQrRRc8k11adjsRfXOumv_cOUQyGl9IJ0/s1600/Yellow_Vest_FED_ECB_Gold.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="297" data-original-width="624" height="300" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi7Cpcv2tyRaQjOfLWq0qB20agEUJKYcHSkP3g6pr4qpdXzkcrRsI4enq4rGALRyQeMP0-xy0thyphenhyphen4S5eO1KGW6TYaIl9h1QyFvMa_2vhkHBUu6TQrRRc8k11adjsRfXOumv_cOUQyGl9IJ0/s640/Yellow_Vest_FED_ECB_Gold.jpg" width="640" /></a></div>
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The yellow vest (a.k.a. gilets jaunes) protests in France are a sign of a populace that has grown more discontent with their falling standard of living and who feel completely disconnected from their elected politicians. The protesters have a wide range of concerns (i.e. immigration, taxes, free trade, benefits, etc.) that do not neatly fit into the left-right paradigm. It also appears that display of anger is <a href="https://www.france24.com/en/20181209-belgium-yellow-vest-protest-brussels-tax-living-cost">spreading throughout Europe</a> as in Belgium:<br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">A retired man told RTBF that he receives a pension of €1,350 a month. “I get it on the 23rd of the month. It’s now the 8th and after I’ve paid insurance, rent, energy bills – which cost €150 – I only have €200 left for living expenses,” he said.</i><br />
<i style="mso-bidi-font-style: normal;">...</i><br />
<i style="mso-bidi-font-style: normal;">One protester gestured to the European institutional buildings behind him while talking to a NBC Euronews reporter. “There, in ‘Europe’, they’re having fun, they’re laughing," he said. "The people who make the laws are the ones driving us further into the ground. <b>We have empty pockets</b>. We shouldn’t be called the ‘yellow vests’, but the ‘empty pockets’.”</i></blockquote>
I outlined how the current economic system is not working well for 35% - 40% of Americans in my <a href="https://newswithchai.blogspot.com/2018/10/cryptocurrencies-in-focus-as-trump-plan-to-end-the-fed-activated.html">previous article</a>. I view central banks, especially the Federal Reserve (FED), as a large part of the problem. For a more detailed history and analysis, I highly recommend the book <a href="https://www.amazon.com/Creature-Jekyll-Island-Federal-Reserve/dp/0912986212">'The Creature from Jekyll Island: A Second Look at the Federal Reserve'</a> written by G. Edward Griffin. Former Congressman Dr. Ron Paul called it 'a superb analysis deserving serious attention by all Americans'. I unequivocally <a href="http://newswithchai.blogspot.com/2017/10/from-jfk-to-trump-the-end-of-the-deep-state-and-a-new-path-forward.html">reject</a> critics who smear the book as <a href="https://www.thedailybeast.com/the-story-behind-the-creature-from-jekyll-island-the-anti-fed-conspiracy-theory-bible">'conspiracy theory'</a> and scurrilously attempt to demonize anyone who engages in critical thinking. Just because the <a href="https://www.federalreserve.gov/">FED website</a> ends in .gov does not make it a government institution. The FED is a private corporation and as federal as Federal Express. For anyone who thinks the FED knows exactly what it is doing, recent remarks from Vice Chairman Richard Clarida's about how the FED Chairman is <a href="https://www.cnbc.com/2018/11/16/cnbc-exclusive-cnbc-transcript-us-federal-reserve-vice-chairman-richard-clarida-speaks-with-cnbcs-steve-liesman-today.html">'in a darkroom'</a> would probably not inspire confidence.<br />
While it is unclear what direction the protests will take, the Europeans appear to be going through a mass awakening, similar to the <a href="https://newswithchai.blogspot.com/2018/03/americans-acknowledge-deep-state-as-public-disclosure-of-crimes-looms.html">one in the U.S</a>. It would likely impede any central bank from bailouts in the near future. <br />
<br />
A few points that I want to reiterate:<br />
<ul>
<li>The era of central banking (FED's inception was in 1913) has been marked by war (WWI, WWII, Korea, Vietnam, etc.) and numerous <a href="https://www.newsweek.com/cia-has-been-undermining-governments-years-531609">regime changes</a> (courtesy of the CIA).</li>
<li>There is no way the U.S. can consider itself a 'free' country when the ultimate power remains embedded with a cadre of bankers.</li>
<li>The era of central banking is coming to an end as the FED will either be either dissolved, [restructured] or phased out. </li>
</ul>
<br />
<b style="mso-bidi-font-weight: normal;">Central Banks Face Math Problem</b><br />
<br />
The world is addicted to cheap credit, the FED rate increases are hurting the economy, U.S. corporations are under duress and U.S. debt continues to explode. One may ask how I could be so confident in my assessment that the existing fiat currency system will end. My answer is very simple - basic math. I previously warned about the massive <a href="https://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">risk of derivatives</a> to the financial system and detailed how the <a href="https://newswithchai.blogspot.com/2018/02/markets-in-turmoil-can-cryptocurrencies-save-the-us-from-the-debt-bomb.html">debt</a> (now at <a href="http://usdebtclock.org/">$21.87 trillion</a>) puts the solvency of the U.S. into question. CNBC <a href="https://www.cnbc.com/2018/11/21/theres-a-9-trillion-corporate-debt-bomb-bubbling-in-the-us-economy.html">reported</a> last month how U.S. companies are carrying a $9 trillion debt load (86% higher than 2007). Analysts worry that companies teetering between investment grade and junk status could cause market trouble should their standing deteriorate. Bloomberg just <a href="https://www.bloomberg.com/news/articles/2018-12-13/debt-worldwide-hits-record-184-trillion-or-86-000-per-person">reported</a> how global debt hit a record $184 trillion last year, equivalent to more than $86,000 per person. Central banks tried to solve the 2008 financial crises by lowering interest rates and adding more debt. The original debt was mostly not written off and an inevitable crisis was simply deferred. <br />
Interestingly, Mike Maloney put out a recent <a href="https://www.youtube.com/watch?v=NCwRkC9Hhxc">video</a> on the 'financialization of government' where there exists strong correlation between the stock market and tax revenues. If the stock market does not do well, the FED must print money to lift stock markets to get enough revenues. This dangerous predicament approaches Ponzi scheme conditions.<br />
<br />
There have been a couple of dramatic updates in recent weeks.<br />
<br />
<b style="mso-bidi-font-weight: normal;">Update #1 – Closing Days of the Petrodollar</b><br />
<br />
The <a href="https://en.wikipedia.org/wiki/Petrodollar_recycling">petrodollar system</a> (in effect since the 1970s) is the primary reason the U.S. dollar is still the world's reserve currency. Oil producing countries like Saudi Arabia do not sell their oil in currencies other than U.S. dollars. In recent years, there have been senseless wars in Iraq, Libya and Syria to protect the petrodollar. Without this agreement, the U.S. dollar would likely lose its role as the global reserve currency over time. China has made serious efforts to <a href="http://newswithchai.blogspot.com/2017/09/chinas-latest-strike-against-petrodollar-is-another-shot-to-kill-us-hegemony-in-the-middle-east.html">assert hegemony in the Middle East</a> and in March introduced oil futures contracts priced in Chinese yuan. These contracts have achieved a <a href="https://asia.nikkei.com/Business/Markets/Commodities/Shanghai-shakes-up-global-oil-trading">16% share of the global market</a> and reached a pace of expansion termed as 'explosive'. The repercussions of Saudi Arabia breaking ties with the U.S. and moving closer to China are unknown but potentially volatile. The recent vote by the Senate to <a href="https://www.washingtonexaminer.com/opinion/congress-finally-stands-up-to-a-president-and-says-you-cant-go-to-war-unless-we-say-so">end U.S. support for the Saudi war in Yemen</a> could hasten this break. Stunningly, a new <a href="https://www.bloomberg.com/news/articles/2018-12-06/u-s-becomes-a-net-oil-exporter-for-the-first-time-in-75-years">report</a> claimed the U.S. has become a net oil exporter for the first time in 75 years. While this may have been slightly <a href="https://www.forbes.com/sites/rrapier/2018/12/09/no-the-u-s-is-not-a-net-exporter-of-crude-oil/">misleading</a>, the trend towards energy independence for the U.S. could render the petrodollar system obsolete and irrelevant in a few years.<br />
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<b style="mso-bidi-font-weight: normal;">Update #2 – U.S. Has Gold</b><br />
<br />
In 2015, President Trump (then a private citizen) was asked if he could envision a scenario where the U.S. could go back to a gold standard. He had some interesting <a href="https://www.bullionstar.com/blogs/bullionstar/trump-and-gold/">comments</a>:<br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">“In some ways, I like the gold standard and there is something very nice about it but you have to go back at the right time… We used to have a very solid country because it was based on a gold standard for it. We do not have that anymore. There is something very nice about the concept of that. It would be very hard to do at this point and <b style="mso-bidi-font-weight: normal;">one of the problems is we do not have the gold</b>. Other places have the gold.”</i></blockquote>
According to some sources (which will be covered in a future post), the U.S. now has the gold.<br />
<br />
<b style="mso-bidi-font-weight: normal;">Gold Standard</b><br />
<br />
It is somewhat difficult to envision how a gold standard would work in today’s digital economy. Last year, former FED Chairman Greenspan <a href="https://www.zerohedge.com/news/2017-02-20/alan-greenspan-ron-paul-was-right-about-gold-standard">confirmed its historic value</a>:<br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">"The gold standard was operating at its peak in the late 19th and early 20th centuries, a period of extraordinary global prosperity, characterized by firming productivity growth and very little inflation.</i><br />
<i style="mso-bidi-font-style: normal;">But today, there is a widespread view that the 19th century gold standard didn’t work. I think that’s like wearing the wrong size shoes and saying the shoes are uncomfortable! It wasn’t the gold standard that failed; it was politics."</i></blockquote>
Gold has played a part in policy even after Nixon closed the gold window and broke up the Bretton Woods system in 1971. According to <a href="https://www.forbes.com/sites/nathanlewis/2018/11/16/the-gold-standard-didnt-disappear-in-1971-it-just-went-underground/">this Forbes article</a>, a panic occurred between 2011-2012 and to prevent a further decline in the dollar’s value there was probably ‘financial market manipulation at an unprecedented level’.<br />
According to <a href="http://www.forbes.com/sites/nathanlewis/2011/09/08/gold-and-the-trade-deficit/print/">another Forbes article</a>, ‘having a gold-linked currency made the selling of bonds, or equities, also known as international capital flows, much more attractive. The great era of the worldwide gold standard, in 1870-1910, was a time of internationalization, free movement of capital, and high levels of investment in emerging markets.’. As the U.S. trade deficit jumped to a <a href="https://www.reuters.com/article/us-usa-economy/us-trade-deficit-hits-10-year-high-job-growth-slowing-idUSKBN1O51LQ">10-year high in October</a>, it is unclear how the U.S. could maintain this imbalance without losing all its gold. It would be prudent U.S. policy to reduce its trade deficit prior to implementing any sort of gold standard.<br />
<br />
<b style="mso-bidi-font-weight: normal;">Cryptocurrency Future</b><br />
<br />
I received a few <a href="https://www.linkedin.com/pulse/cryptocurrencies-focus-trump-plan-end-fed-activated-alan-yerushalmi">humorous personal attacks</a> in my last article where I merely suggested that cryptocurrencies could provide an 'unknown path with the possibility of a better future'. I believe the future is promising for blockchain technology. No one can say with certainty that Bitcoin or another cryptocurrency will replace the U.S. dollar as the world's reserve currency. Several cryptocurrencies have dedicated development teams, miners and advocates that represents a kind of community. But, as evidenced by the <a href="https://cointelegraph.com/news/abc-vs-cv-assessing-the-consequences-of-the-bitcoin-cash-war">Bitcoin Cash war</a>, individuals take actions that do not always represent the community’s best interest. Regardless, an <a href="https://hackernoon.com/blockchain-ecosystem-explained-in-one-chart-68bdc5e18335">infrastructure</a> is being built to attempt to coexist with (if not supplant) the existing monetary system. The upcoming January 3 <a href="https://news.bitcoin.com/support-grows-for-bitcoin-proof-of-keys-on-jan-3/">Bitcoin Proof of Keys day</a> to declare ‘monetary sovereignty’ should be watched.<br />
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<b style="mso-bidi-font-weight: normal;">Summary</b><br />
<ul>
<li>The global debt bubble is on track to burst</li>
<li>The mass awakening in Europe (in addition to the U.S.) will impede any central bank bailouts</li>
<li>Higher U.S. energy production could render the petrodollar system obsolete</li>
<li>A gold standard is the most readily available alternative to the system of central banking but with the risk to the U.S due to excessive trade deficits</li>
<li>Cryptocurrencies hold promise but are not ready at this time to replace the system of central banking</li>
</ul>
<br />
<b style="mso-bidi-font-weight: normal;">Future Developments</b><br />
<br />
I certainly would never pick a date for any sort of financial crisis nor offer financial advice. But Internet entrepreneur and political activist Kim Dotcom does offer somewhat provocative advice via this <a href="https://twitter.com/KimDotcom/status/1028642741343801346">tweet</a>. I guess anyone with capital can’t say they haven’t been warned. I completely understand how many readers may have difficulty coming to terms with such radical changes to our monetary system. People have been literally brainwashed into thinking the FED acts as some benevolent force for the common person’s best interest. Sorry, bankers at Goldman Sachs are not <a href="https://dealbook.nytimes.com/2009/11/09/goldman-chief-says-he-is-just-doing-gods-work/">‘doing G-d’s work’</a>.<br />
<br />
There is unfortunately a large entrenched establishment intent on maintaining the status quo. As Upton Sinclair <a href="https://en.wikiquote.org/wiki/Upton_Sinclair">said</a>, "It is difficult to get a man to understand something, when his salary depends upon his not understanding it!". I do think there will be serious displacements in the workforce. I would guess that the banking, media/entertainment, and defense contractor industries along with the political bureaucracy in Washington DC would be adversely impacted. Many employees will need to transition to other areas of work. Since I do not endorse wealth confiscation (aside from <a href="https://www.whitehouse.gov/presidential-actions/executive-order-blocking-property-persons-involved-serious-human-rights-abuse-corruption/">extreme cases</a>), I do foresee a problem. How do the estimated 35% - 40% of Americans (referenced earlier) who have hardly any savings obtain access to capital? I am sure there is a great plan out there.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-91381366523231112612018-10-17T20:03:00.000-07:002018-10-17T20:03:18.221-07:00Cryptocurrencies in Focus as Trump Plan to End the FED Activated<div class="separator" style="clear: both; text-align: center;">
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President Trump has drawn intense criticism for disparaging comments directed towards the Federal Reserve Bank (FED). Defenders of the FED cite its role as an independent entity that should not be mixed with politics. I could not disagree more with this argument as there are a <a href="http://endoftheamericandream.com/archives/trump-is-right-the-federal-reserve-is-crazy-and-here-are-101-reasons-why-it-should-be-shut-down">multitude of reasons</a> for shutting down the FED. Central banks, like the FED, exert unwarranted control over the money supply (which does not benefit the average American). Here is an <a href="https://www.theepochtimes.com/the-rules-of-the-bond-game_2600435.html">example</a> of fractional reserve banking, facilitated by the existing system, leading to the creation of money out of thin air:<br />
<blockquote class="tr_bq">
'Since 97 percent of fiat currency is loaned into existence by commercial banks creating loans through the fractional reserve banking process, the money supply continues to grow. Not only can CBs [commercial banks] create fiat currency from nothing, but they can <b>buy U.S. government debt with that money and keep the interest to make a risk-free profit</b>, which even adds to the CBs’ capital.'</blockquote>
The middle class in the U.S. has been negatively impacted by faulty monetary policy for decades. From 2008 to 2016, <a href="https://www.federalreserve.gov/monetarypolicy/openmarket.htm">near 0% interest rates</a> hurt savers the most. Meek job growth was coupled with rising asset prices like real estate. Americans that could not keep up with paying for basic needs (groceries, rent, etc.) were forced into debt. Some evidence of the dire circumstances facing a great segment of Americans:<br />
<ul>
<li>According to a <a href="https://www.cnbc.com/2018/05/22/fed-survey-40-percent-of-adults-cant-cover-400-emergency-expense.html">FED report</a>, about 40 percent of adults in the U.S. said that if faced with a $400 unexpected expense, they would either not be able to pay it or would do so by selling something or borrowing money</li>
<li>Almost <a href="https://www.eia.gov/todayinenergy/detail.php?id=37072">1 in 3 U.S. households have challenges paying energy bills</a></li>
<li>About <a href="https://www.cnbc.com/2018/10/12/40percent-of-american-middle-class-face-poverty-in-retirement-study-says.html">40% of the American middle class face poverty in retirement</a></li>
<li><a href="https://www.cnbc.com/2018/08/27/1-in-3-americans-have-less-than-5000-dollars-saved-for-retirement.html">1 in 3 Americans have hardly any retirement savings</a></li>
<li>Those over 65 have been <a href="https://www.zerohedge.com/news/2018-08-06/their-wealth-has-vanished-baby-boomers-filing-bankruptcy-droves">filing for bankruptcy in droves</a></li>
<li>Health spending per capita in the U.S. <a href="https://slate.com/human-interest/2018/04/is-your-work-killing-you.html">increased nearly 29 fold in the past 40 years</a>, outpacing the growth of the economy</li>
</ul>
Whether one supports the FED or not, clearly, the current system is not working well for 35% - 40% of Americans (many of which represent the Trump base). Further education and job training may help mitigate the circumstances for some but would in no way fix the underlying problem. A radical change (not towards socialism) to the current system of central banking in the U.S. is required. President Trump's experience and unpredictable, combative style make him the <a href="https://newswithchai.blogspot.com/2017/02/president-trump-will-drain-the-swamp-or-die-trying.html">ideal person</a> to enact this radical change. The FED (via rate increases) is actually a partner in the <a href="https://newswithchai.blogspot.com/2018/07/tariffs-tax-cuts-and-the-fed-the-us-strategy-to-defeat-china.html">strategy to defeat China economically</a> that has yielded <a href="https://www.cnbc.com/2018/09/24/trumps-trade-war-threatens-chinese-economy-china-already-has-cracks.html">encouraging results</a>. So, the President's recent comments that the FED is 'crazy', raising rates 'too fast' and his 'biggest threat' are somewhat confusing. In reality, these remarks signal the closing stage of an ongoing war against the <a href="https://newswithchai.blogspot.com/2017/02/president-trump-will-drain-the-swamp-or-die-trying.html">financial-media-military industrial complex</a> (which includes the FED). It is a precursor to the President's plan to set up the FED and blame them for any sort of economic decline. I <a href="https://newswithchai.blogspot.com/2017/01/donald-trump-will-end-fed-and-move-us.html">outlined this</a> in January of 2017:<br />
<blockquote class="tr_bq">
I believe Mr. Trump will try to push through all of his economic programs on the assumption that the Federal Reserve will keep interest rates low and continue to print massive amounts of dollars as needed (they did it for Obama, right). If the Federal Reserve obliges then great - infrastructure is restored, the military is strengthened, taxes are cut - all with printed dollars at no cost and limited inflation!! Well, unfortunately, there is virtually <u><b>ZERO</b></u> chance of this happening. China will no longer be allowed to provide short term support at the expense of losing strategic assets (see <a href="http://newswithchai.blogspot.com/2016/11/donald-trump-will-stop-sellout-of.html" target="_blank">here</a>). The massive size of the federal debt (see <a href="http://www.usdebtclock.org/" target="_blank">here</a>) and ongoing deficits will make these policies impossible to implement.<br />
Which brings us to Plan B (which is really the only plan) - <b><u>Blame the Federal Reserve</u></b>. Trump can say he tried to get his plan through but didn't get the support of the Federal Reserve. He can then claim that we need a 'new system' in place. That is where some kind of gold standard will come into play.<br />
So, what happens if there is some kind of major financial crisis (i.e. Deutsche Bank, Chinese banks, etc) during his term. Same thing - Blame the Federal Reserve. Do you really think Donald Trump is going to protect the banks that he ran against??</blockquote>
The President has progressed towards meeting <a href="https://newswithchai.blogspot.com/2017/05/trump-u-turn-defies-the-deep-state-engages-in-epic-battle-to-drain-the-swamp-and-avoid-nixons-fate.html">my criteria</a> to be a successful president. The three conditions include preventing a world war, ending the FED and draining the swamp by rooting out corruption in government. His efforts to expose and defeat the deep state are commendable. But, to dispel any notion of 'hero worship', the President is just a guy from Queens (like myself) who happens to have a lot of money (unlike myself) and who should not receive any sort of special treatment. Suggested policies like the <a href="https://theintercept.com/2017/12/04/trump-white-house-weighing-plans-for-private-spies-to-counter-deep-state-enemies/">privatization of spying</a> require greater scrutiny. The U.S. does not need to trade one deep state for another one.<br />
<br />
So, once the FED is dissolved, restructured or phased out, the main question is what system will replace it (or co-exist with it). At the time of my original post, I assumed that gold would be the most likely replacement. Now, cryptocurrencies have been added as a <a href="https://newswithchai.blogspot.com/2017/04/as-china-and-russia-move-toward-gold_4.html">potential option</a>. We are seeing a new paradigm as evidenced in countries that have a currency in danger of devaluation (an official lowering of the value of a country's currency within a fixed exchange rate system). In the past, people would line up at a currency exchange center to exchange their local currency for a more stable one (i.e. USD, EUR). Now, people can also go online, open an account on a cryptocurrency exchange and buy Bitcoin. Similarly, depositors are no longer vulnerable to 'haircuts' like those in Cyprus who <a href="https://www.usatoday.com/story/money/business/2013/07/29/bank-of-cyprus-depositors-lose-savings/2595837/">lost 47.5% of their savings exceeding 100,000 euros</a> back in 2013. We are seeing instances of greater implementation of cryptocurrencies in economically troubled regions like Venezuela (<a href="https://www.dashforcenews.com/dash-adoption-in-venezuela-exceeds-all-other-cryptocurrencies-combined/">Dash</a>) and Iran (<a href="https://hackernoon.com/how-donald-trump-is-helping-bitcoin-grow-in-iran-331ee7445bd8">Bitcoin</a>). Cryptocurrencies may represent an even greater threat to ruling governments (and their central bank enablers) than gold since they are more difficult to confiscate. Still, we have not yet seen mass adoption to further validate them as a viable means of exchange.<br />
<br />
For those of you who are still hopelessly negative about cryptocurrencies, I would refer you to a <a href="https://cftc.gov/PressRoom/SpeechesTestimony/opagiancarlo37">statement</a> made to the U.S. Senate Banking Committee by J. Christopher Giancarlo, Chairman, Commodity Futures Trading Commission:<br />
<blockquote class="tr_bq">
'We are entering a new digital era in world financial markets. As we saw with the development of the Internet, we cannot put the technology genie back in the bottle. Virtual currencies mark a paradigm shift in how we think about payments, traditional financial processes, and engaging in economic activity. Ignoring these developments will not make them go away, nor is it a responsible regulatory response. The evolution of these assets, their volatility, and the interest they attract from a rising global millennial population demand serious examination.'</blockquote>
For years, the precious metals markets have been subjected to manipulation as exemplified by the <a href="https://www.bloomberg.com/news/articles/2016-04-13/deutsche-bank-settles-silver-price-fixing-claims-lawyers-say">Deutsche Bank settlement</a>. We still often see obvious <a href="https://www.zerohedge.com/news/2018-09-21/gold-flash-crashes-below-1200-over-billion-notional-puked-1-minute">examples</a> of this via futures trading on the COMEX. I previously asserted that Wall Street had limited resources for manipulating cryptocurrencies. Unfortunately, we are seeing hints of market rigging in the exchanges. When the crypto exchange BitMEX performed scheduled maintenance on its trading engine, the <a href="https://www.newsbtc.com/2018/08/22/crypto-market-adds-4-after-bitmex-experiences-temporary-outage/">weight of shorts were alleviated off the shoulders of the crypto market</a> and Bitcoin saw an immediate surge of buying volume, rising from $6,450 to $6,720 within a minute. Also, popular exchange Coinbase, was recently found to have the highest level of own trading. [Own trading is also called proprietary trading and defines a situation where an exchange trades against the sell orders. In other words, the crypto exchange buys instead of connecting sellers and buyers.] Exchanges like these are indirectly suppressing the price of Bitcoin (and other cryptocurrencies) and creating even more market distortions. Industry success vitally depends on overcoming this manipulation.<br />
<br />
Bloomberg highlighted <a href="https://www.bloomberg.com/view/articles/2018-07-11/bitcoin-looks-more-like-gold-than-a-currency">three potential scenarios</a> for Bitcoin:<br />
<ul>
<li>No. 1. Bitcoin Triumph: Bitcoin replaces the dollar (and probably other fiat currencies as well) as the economy’s main unit of exchange. People buy pizzas, finance their mortgages and pay their rent in Bitcoin.</li>
<li>No. 2. Bitcoin as Gold: Fiat currency remains the main unit of exchange everywhere except in a few extremely dysfunctional economies like Venezuela’s. But Bitcoin’s market capitalization remains substantial, and it rises in value over time, occasionally experiencing large bubbles and crashes.</li>
<li>No. 3. Bitcoin Bust: Bitcoin is abandoned, crashing relative to the dollar and never being useful as a payment method for daily necessities.</li>
</ul>
In my opinion, Bitcoin (and cryptocurrencies in general) is currently positioned at scenario #2. Scenario #3 does not appear likely and scenario #1 will require more time for the technology to improve. Remember that in the late 1990s, transfer rates of an Internet connection were nowhere near where they are today. In the near term, another price spike could help <a href="https://newswithchai.blogspot.com/2018/02/markets-in-turmoil-can-cryptocurrencies-save-the-us-from-the-debt-bomb.html">defuse the massive U.S. debt bomb</a> and create a wealth effect to support the economy. Tom Lee, Managing Partner and the Head of Research at Fundstrat Global Advisors, previously estimated a <a href="https://www.bloomberg.com/news/articles/2018-04-05/crypto-rout-driven-by-25-billion-capital-gain-hit-tom-lee-says">$25 billion windfall</a> in capital gains tax revenue for the U.S. government in 2017.<br />
<br />
The U.S. dollar is a terrible currency. But, the one caveat is that most (if not all) other countries have currencies that are worse! According to the World Economic Forum, the U.S. is now ranked as the <a href="https://www.wsj.com/articles/u-s-is-worlds-most-competitive-economy-for-first-time-in-a-decade-1539727213">world's most competitive economy</a> for the first time since 2008. The rise of interest rates by the FED has hurt emerging market economies far more than the U.S. Even European banks have significant <a href="https://www.bloomberg.com/news/articles/2018-08-10/european-banks-double-jeopardy-turkey-trouble-russia-rout">exposure to emerging market debt</a>. There have been rumblings that <a href="http://www.atimes.com/article/has-the-derivatives-volcano-already-begun-to-erupt/">dollar credit will seize up globally</a> and unleash a 'derivatives volcano'. So, it is unclear when (if at all) this <a href="https://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">ongoing global currency reset</a> will impact the U.S.<br />
<br />
One thing is 100% certain, the existing fiat system is doomed and no country will ever be able to effectively devalue its currency (and prevent hyperinflation) with options like Bitcoin available. Even more important - there is <b>no way</b> the U.S. can consider itself a 'free' country when the ultimate power remains embedded with a cadre of bankers. The use of cryptocurrencies reinstates power to the individual in place of the state. Ultimately, there will be a choice for Americans - accept the status quo or take an unknown path with the possibility of a better future.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com2tag:blogger.com,1999:blog-3535094238200863947.post-75423730213476752022018-07-15T14:25:00.000-07:002018-07-15T14:25:08.896-07:00Tariffs, Tax Cuts and the FED – The US Strategy to Defeat China<div class="separator" style="clear: both; text-align: center;">
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The current trade war underscores China’s role as the number one geopolitical competitor to the U.S. The Trump administration, with the support of the Federal Reserve Bank (FED), has embarked on a plan to economically defeat China. Back in April, President Trump <a href="https://www.realclearpolitics.com/video/2018/04/06/trump_cant_say_there_wont_be_pain_in_trade_war_but_well_be_a_much_stronger_country_when_we_are_finished.html">could not deny</a> that in the midst of a trade war that ‘there won't be a little pain’ but predicted the U.S. will ‘have a much stronger country when we are finished’. But, at a rally last week in Montana, President Trump confidently <a href="https://twitter.com/FoxBusiness/status/1015435235612348417">stated </a>‘The war was lost on trade many years ago... but now we're gonna win it and because <b>we have all the cards</b>’. This was somewhat puzzling as China has been slowly devaluing the yuan over the past two months and has withheld implementing its biggest card (the sale of its U.S. treasury holdings).<br />
<br />
<b>Tariffs</b><br />
Last year, the U.S. posted a <a href="https://www.marketwatch.com/story/heres-all-the-stuff-the-us-imports-from-china-thats-causing-a-huge-trade-deficit-2018-03-23">$375.6 billion deficit</a> in goods with China with a large segment due to computer and electronics imports. In addition, an often-overlooked cause of this trade deficit is the manner in which China acquired its technology. A recent <a href="https://money.cnn.com/2018/03/23/technology/china-us-trump-tariffs-ip-theft/index.html">internal investigation</a> found Chinese theft of American intellectual property costing between $225 billion and $600 billion annually. American trade officials cited the Chinese government’s method for acquiring valuable trade secrets as <a href="https://www.nytimes.com/2018/03/22/business/china-trump-trade-intellectual-property.html">motivation </a>for additional tariffs. The NY Times <a href="https://www.nytimes.com/2018/06/22/technology/china-micron-chips-theft.html">outlined </a>how China stole designs from Micron Technology to enable it to build a $5.7 billion microchip factory. President Trump has effectively stopped prior administration’s ‘<a href="http://newswithchai.blogspot.com/2016/11/donald-trump-will-stop-sellout-of.html">sellout</a>’ policy of allowing Chinese purchases of strategic U.S. assets. While the Chinese government currently owns approximately $1.18 trillion of U.S. treasuries, any chance to <a href="http://www.thesleuthjournal.com/chinese-takeover-free-trade-zones/">swap this debt to equity</a> and effectively colonize the U.S. is virtually zero.<br />
<br />
<b>Tax Cuts</b><br />
The <a href="https://www.congress.gov/bill/115th-congress/house-bill/1">Tax Cuts and Jobs Act of 2017</a> signed into law by President Trump last December has <a href="https://www.investors.com/politics/editorials/income-tax-revenues-trump-tax-cuts-economic-growth/">met optimistic expectations</a> as revenues from federal income taxes were $76 billion higher in the first half of this year, compared with the first half of 2017. It may be why President Trump recently hinted at a <a href="https://www.foxbusiness.com/politics/trump-says-tax-cuts-2-0-will-target-middle-class-even-more">second phase of tax cuts</a> that would involve a further reduction in the U.S. corporate tax rate and more stimulus for the middle class. One of the consequences of this tax cut have been greater budget deficits. While undoubtedly a long-term concern, the short-term results have yielded great benefits.<br />
<br />
<b>The FED</b><br />
Large budget deficits, a trade war with China are being coordinated with the policies of the Federal Reserve. As summarized by a report from <a href="https://palisade-research.com/looming-dollar-shortage-getting-worse-as-emerging-markets-implode/">Palisade Research</a>:<br />
<blockquote class="tr_bq">
<ul>
<li>The always-rapidly-growing U.S. deficit requires constant funding from foreigners. But with the Federal Reserve raising rates and unwinding their balance sheet through Quantitative Tightening (QT) – meaning they’re sucking money out of the banking system.</li>
</ul>
<ul>
<li>These two situations are creating the shortage abroad. The U.S. Treasury’s soaking up more dollars at a time when the Fed is sucking capital out of the economy. </li>
</ul>
<ul>
<li>Not to[o] mention the strengthening dollar and higher short-term yields are making it more difficult for foreigners to borrow in dollars. Especially at a time when Emerging Market’s are imploding.</li>
</ul>
</blockquote>
Clearly, the Trump administration views China as a greater threat to US interests than the Federal Reserve Bank at this time. As a candidate, President Trump had harsh words for Wall Street <a href="http://graphics.wsj.com/elections/2016/where-trump-stands-on-wall-street/">such as</a> ‘I know Wall Street. I know the people on Wall Street.... I’m not going to let Wall Street get away with murder. Wall Street has caused tremendous problems for us.’ and ‘I don’t care about the Wall Street guys... I’m not taking any of their money.’. He even tweeted about the importance of auditing the FED. To date, his administration has not matched his prior rhetoric as they openly sided with banks and <a href="https://www.federalregister.gov/documents/2017/12/29/2017-27977/exemptions-from-certain-prohibited-transaction-restrictions">waived punishment</a> over prior crimes. While some would question any type of coordination with a central bank, the President obviously does not share any such rigid ideology to constrain him. Still, alliances can be transitory and there is nothing to preclude the Trump administration from shifting policy at a later date.<br />
<br />
<b>China’s Options</b><br />
We learned a few weeks ago that in fact Russia <a href="https://www.zerohedge.com/news/2018-06-15/here-real-reason-why-treasury-yields-blew-out-april">sold off half of their U.S. treasury holdings</a> in the month of April. This coincided with a spike of 35 basis points on 10-year treasury bond yields. Perhaps, this was a test in preparation for a larger future sell-off. A treasury sale by the Chinese government could potentially have a devastating impact on the U.S. economy. Note <a href="https://www.marketwatch.com/story/investors-face-devastating-losses-if-this-remarkably-accurate-indicator-flashes-2018-07-10">that </a>seven out of nine previous yield curve inversions have preceded a recession.<br />
<br />
While China has launched the heavily anticipated <a href="https://www.reuters.com/article/us-china-oil-yuan-exclusive/exclusive-china-taking-first-steps-to-pay-for-oil-in-yuan-this-year-sources-idUSKBN1H51FA">yuan oil futures contract</a>, it has not been implemented by Saudi Arabia as of yet, thereby delaying the <a href="http://newswithchai.blogspot.com/2017/09/chinas-latest-strike-against-petrodollar-is-another-shot-to-kill-us-hegemony-in-the-middle-east.html">death of the petrodollar</a>.<br />
<br />
<b>Conclusion</b><br />
So, the immediate goal for the U.S. is to starve China of US dollars until it makes satisfactory concessions. There have been <a href="http://www.abc.net.au/news/2018-07-15/trade-war-masks-a-bigger-problem-with-chinas-slowing-economy/9990334">reports </a>of China’s economy slowing. Historically, the initiation of trade wars is bad economic policy. However, this unconventional strategy may be the only way for the U.S. to economically defeat China. <br />
If this plan does not work as well as the President thinks it will, it could spur more people to question the current system of debt and centralized banking. The answer to what <a href="http://newswithchai.blogspot.com/2017/04/as-china-and-russia-move-toward-gold_4.html">replaces </a>the current system is anyone’s guess.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-81195725132936952402018-06-27T22:54:00.001-07:002021-02-02T15:23:48.191-08:00Must Watch Video: Q - The Plan To Save The WorldI highly recommend watching this amazing video by Joe Masepoes from his <a href="https://www.youtube.com/watch?v=6cYZ8dUgPuU">YouTube</a> channel.<br />
<br />
<div class="separator" style="clear: both; text-align: center;">
<br /></div><div class="separator" style="clear: both; text-align: center;"><iframe allowfullscreen='allowfullscreen' webkitallowfullscreen='webkitallowfullscreen' mozallowfullscreen='mozallowfullscreen' width='320' height='266' src='https://www.blogger.com/video.g?token=AD6v5dwt8bFPGVPAJKCO6PqwtUGtgXKCvnEMzSgl_GykGpaR3Fds1hBR73zo45z8Z3nJXbmvw8w_IdDZpQigG9NUUQ' class='b-hbp-video b-uploaded' frameborder='0'></iframe></div><br />
<br />
The content in the video is verified by a number of my prior posts listed here:<br />
<br />
<a href="http://newswithchai.blogspot.com/2016/08/was-911-inside-job.html">Was 9/11 An Inside Job?</a> - 8/29/16<br />
<a href="http://newswithchai.blogspot.com/2016/09/throwing-flag-on-central-banks-global.html">Throwing a Flag on the Central Banks: Global Loss of Yardage!</a> - 9/19/16<br />
<a href="http://newswithchai.blogspot.com/2016/10/trumps-jfk-moment.html">Trump's JFK Moment</a> - 10/16/16<br />
<a href="http://newswithchai.blogspot.com/2016/10/conspiracy-theorists-are-vindicated.html">Conspiracy Theorists are Vindicated - Shadow Government Proven True</a> - 10/19/16<br />
<a href="http://newswithchai.blogspot.com/2016/10/the-clinton-crime-family-is-on-verge-of.html">The Clinton 'Crime Family' is on the Verge of Collapse</a> - 10/31/16<br />
<a href="http://newswithchai.blogspot.com/2016/11/donald-trump-will-stop-sellout-of.html">Donald Trump Will Stop the Sellout of America to China</a> - 11/11/16<br />
<a href="http://newswithchai.blogspot.com/2017/01/listen-to-big-joe-and-unite-america.html">Listen To Big Joe and Unite America</a> - 1/30/17<br />
<a href="http://newswithchai.blogspot.com/2017/02/msm-acknowledges-existence-of-deep-state.html">MSM Acknowledges Existence of Deep State</a> - 2/3/17<br />
<a href="http://newswithchai.blogspot.com/2017/02/president-trump-is-not-acting-weak-towards-russia-but-is-fighting-the-deep-state.html">President Trump Is Not Acting Weak Towards Russia but Is Fighting the Deep State</a> - 2/7/17<br />
<a href="http://newswithchai.blogspot.com/2017/02/president-trump-will-drain-the-swamp-or-die-trying.html">President Trump Will Drain The Swamp (or die trying)</a> - 2/13/17<br />
<a href="http://newswithchai.blogspot.com/2017/05/trump-u-turn-defies-the-deep-state-engages-in-epic-battle-to-drain-the-swamp-and-avoid-nixons-fate.html">Trump U-turn - Defies the Deep State, Engages in Epic Battle to Drain the Swamp and Avoid Nixon's Fate</a> - 5/14/17<br />
<a href="http://newswithchai.blogspot.com/2017/10/from-jfk-to-trump-the-end-of-the-deep-state-and-a-new-path-forward.html">From JFK to Trump - The End of the Deep State and a New Path Forward</a> - 10/16/17<br />
<a href="http://newswithchai.blogspot.com/2017/12/president-trump-aligns-us-with-israel-as-the-great-awakening-arrives.html">President Trump Aligns US with Israel as the Great Awakening Arrives</a> - 12/27/17<br />
<a href="http://newswithchai.blogspot.com/2018/05/qanon-links-nypd-detective-familia-to-insurance-file.html">QAnon Links NYPD Detective Familia to Insurance File</a> - 5/15/18<br />
<a href="http://newswithchai.blogspot.com/2018/05/parashat-nasso-spiritual-war.html">Parashat Nasso - The Spiritual War</a> - 5/25/18Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-26791304708068114712018-05-25T02:13:00.000-07:002018-05-25T02:13:52.707-07:00Parashat Nasso - The Spiritual WarIn Parashat Nasso, we learn of the importance of teshuva (repentance). The Rambam writes that if a person intentionally or unintentionally transgresses any of the mitzvot of the Torah (either a positive command or a prohibition), they are required to verbally confess before H-shem. As found in the book of Bamidbar (Numbers), Chapter 5, verse 6, the phrase לִמְעֹל מַעַל (Lim-ol Ma-al) Ba’H-shem means to act treacherously against H-Shem. In addition, we can interpret those words as trespassing or stealing from H-shem.<br />
<br />
How is this possible? According to our sages, when each Jewish child is born, an angel makes them swear that they will be a tzadik (righteous person). So, during a person’s life, every time they commit an aveira (sin), they are breaking the vow and therefore in violation of that oath. We can infer that his/her body does not belong to themselves but to H-shem for the purpose of doing mitzvot. If a Jew commits an aveira, they are therefore obligated to perform teshuva.<br />
<br />
One verse discusses how in a similar manner to the thief’s transgression against H-shem, a wife transgresses against her husband. In verse 12, the phrase וּמָעֲלָה בוֹ מָעַל (Uma-ala Vo Ma’al) refers to this. From here, we learn of the sotah, a suspected adulteress who was seen going into seclusion with another man despite a warning. As part of the process to determine if she is guilty of the aveira, the woman (who denies any impropriety) is brought to the Temple and drinks a cup of holy water. If she indeed willingly committed adultery, she explodes. If she is unharmed by the water, she is cleared of any suspicion.<br />
<br />
The next verse discusses the nazir, a person that abstains from wine and grape products, allows their hair to grow, and who may not come in contact with a human corpse. The connection between the sotah and the nazir is apparent. Our sages stated that one who saw the sotah explode should become a nazir, even if they were distraught. This witness would have an understanding that the event may have been triggered by overindulgence. By becoming a nazir and taking on the restrictions for 30 days, he created a protection for himself against that possibility. He also took on certain holiness and enhanced his spiritual character.<br />
<br />
Since we don’t have the ceremony of the sotah today, one may ask how we can apply the lessons from the Torah. Years ago, the primary cause of the indiscretion may have been wine. Today, there are vastly different influences. While ongoing political and economic wars are relevant, perhaps the most important war is one that is spiritual in nature. The media and entertainment industry have been incredibly successful in polluting culture, destroying souls and discouraging any sort of critical thinking. A morally bankrupt society that glorifies those in the entertainment industry isn’t one that can sustain itself. Although I am still hopeful that this glorification will end, our society at large does not clearly comprehend that they are engaged in this war. For if they were to understand, this war could easily be won. Like the nazir, we can be extra vigilant to protect ourselves against these negative forces and look past what are merely distractions. Instead of pointing fingers at others, we should first point them to ourselves.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-15038258744235858822018-05-15T23:56:00.003-07:002021-01-06T12:16:03.526-08:00Q-Anon Links NYPD Detective Familia to Insurance File<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEglADnTFYaM7wC8HZxcoh2-_kSyXXSaT6iZSXWHTehY3wrHWoilOAsMIeBmeXKL10hrxDIza7ONnJo_hhgG12TmjVOFZNxldMWQAIuc0OCN32qAL7OHnwlIQQrNlVK_JBe60bTz4YlwXZd0/s1600/qanon_familia.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="535" data-original-width="677" height="504" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEglADnTFYaM7wC8HZxcoh2-_kSyXXSaT6iZSXWHTehY3wrHWoilOAsMIeBmeXKL10hrxDIza7ONnJo_hhgG12TmjVOFZNxldMWQAIuc0OCN32qAL7OHnwlIQQrNlVK_JBe60bTz4YlwXZd0/s640/qanon_familia.jpg" width="640" /></a></div>
<br />Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-41525362339240161262018-05-01T01:14:00.000-07:002018-05-01T01:14:22.482-07:00In a New Era of Peace, the US and Israel Can Resolve the Iran ProblemThe recent summit between North Korea and South Korea was as much historic as it was surreal. After 65 years in a state of war, both leaders agreed to work together to ‘denuclearize’ the Korean peninsula, potentially heralding a ‘new era of peace’. Fortunately, it looks doubtful that a <a href="http://www.wnd.com/2017/04/mystic-rabbi-predicted-todays-top-threat-22-years-ago/">forecast </a>by Rabbi Nachmani (23 years ago) of an end of days war initiated by North Korea will occur.<br />
<br />
We learn from our sages that Moshe Rabbenu (Moses) was the transmitter of G‑d's word, the Torah, which is known as truth. But, his brother Aaron HaCohen was focused on bringing peace between husband / wife, friends, nations, etc. He would even ‘bend the truth’ if it meant achieving constructive outcomes. We also learn that Avraham Avinu was known for his kindness whereas his son Yitzchak Avinu was known for strength / rigidness in following commandments. These concepts represent the different paths toward conflict resolution. While both paths were tried with the Koreas, we can optimistically assess that peace triumphed over truth and kindness over rigidity for the greater benefit of world civilization.<br />
<br />
Conversely, tensions between Israel and Iran have risen to new heights and appear headed toward resolution via a different path. Israel has taken aggressive measures to thwart the Iranian presence in Syria. Over the weekend, Israel bombed a munitions facility in Syria, killing Iranians. Also, Israeli Prime Minister Netanyahu dramatically asserted earlier today that the Iranian government lied for years about its nuclear program which was not solely intended for peaceful purposes. Interestingly, it is unclear how Israel fared against the much-heralded Russian S-300 air defense system. Either Israel had a side agreement with Russia to hold back its use or Israel has developed a way to neutralize the capabilities of the system.<br />
<br />
<b>Iran Background</b><br />
<br />
The Iranian regime can hardly be described as a flourishing democracy. The political dynamics pit a middle class who want less religious restrictions and more economic opportunity against a poorer class who are more religiously inclined. The leadership in Iran holds what amount to mock elections to give the population the illusion of democracy while the mullahs hold the power. Unfortunately, as of today, the divergent economic and religious interests in Iranian society are too wide to allow both sides to team up and overthrow the regime.<br />
<br />
Although most people are familiar with the theocratic divide between Sunnis and Shiites, an even more relevant one is between Arabs and Persians. Deeply rooted prejudices exist as many Persians view Arabs as having a lower status in society. Iranians widely believe that their government should not spend money on Hamas or Hezbollah as they have absolutely no interest in the Arab Israeli conflict.<br />
<br />
<b>US – Israel Relations</b><br />
<br />
President Trump was elected on a mandate to forge a new foreign policy direction away from building up other nations at the expense of US interests. During his inauguration, he stated the US would ‘seek friendship and goodwill with the nations of the world’ and ‘not seek to impose our way of life on anyone’. While the US will not initiate any kind of Iranian invasion via military force, it has strongly allied itself with Israel. The threat of annihilation to South Korea from North Korea was not acceptable and can be applied similarly. Israel should not be expected to live in fear of an Iran that intrudes towards its borders and funds terrorist groups. Regrettably, a new US administration has not swayed the mullahs attitude toward Israel or the US. Iranian Major General Qassem Soleimani, who is the commander of foreign operations for Iran’s elite Revolutionary Guards, even refused to open a letter from then CIA Director Mike Pompeo <a href="https://www.reuters.com/article/us-iran-pompeo/cia-chief-pompeo-says-he-warned-irans-soleimani-over-iraq-aggression-idUSKBN1DX02P">saying</a>, 'I will not take your letter nor read it and I have nothing to say to these people'.<br />
<br />
As we approach the move of the US embassy to Jerusalem, we can conclude that President Trump has been a strong supporter of Israel. His latest moves elevating Mike Pompeo as Secretary of State and John Bolton as National Security Advisor, both very pro-Israel, reinforce this fact. While a deal maker by trade, President Trump does realize that one cannot negotiate with entities that are sworn to its destruction.<br />
<br />
<b>Conclusion</b><br />
<br />
In summary, we have a US administration that strongly supports Israel lined up against a fanatical Iranian theocracy that does not act in the best interests of its citizens. While close monitoring of the Iranian power structure is required, there appear to be cracks in the regime. There was an unverified report over the weekend that Iran’s Supreme Leader Ali Khamenei may <a href="https://www.algemeiner.com/2018/04/28/iranian-report-supreme-leader-may-remove-arch-terrorist-soleimani/">remove General Soleimani</a> over differences between him and other commanders. Signs of a potential currency crisis have been evident in recent weeks. This would have dire consequences on the Iranian economy as further economic stress would likely cause businesses to <a href="https://www.bloomberg.com/news/articles/2018-04-29/dollars-optimism-in-short-supply-as-iran-awaits-trump-move">‘pack up and leave again’</a>.<br />
<br />
Generally, I do not put much thought in Israel's security. As we know, it is a complete miracle that Israel exists as a nation. Israel has overcome insurmountable odds in numerous wars over thousands of years. There are long standing rumors that Israeli wars (of the past 70 years) are never taught at West Point. The mullahs in Iran will soon come to that realization. If the mullahs had an ounce of intelligence, they would realize what they are up against and change course. If Israel's destruction was their true goal, their best move would be make peace with Israel and pray to Allah that the Jews forsake their G-d. Fortunately, that won’t happen any time soon.Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-34930046508191330632018-03-23T01:58:00.000-07:002018-03-28T00:19:03.317-07:00Americans Acknowledge Deep State as Public Disclosure of Crimes LoomsA stunning <a href="https://www.monmouth.edu/polling-institute/reports/monmouthpoll_us_031918/">poll from Monmouth University</a> revealed how a clear majority of Americans have woken up to the concept of a ‘deep state’.<i style="mso-bidi-font-style: normal;"> </i><br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">‘Few Americans (13%) are very familiar with the term “Deep State;” another 24% are somewhat familiar, while 63% say they are not familiar with this term. <b style="mso-bidi-font-weight: normal;">However, when the term is described as a group of unelected government and military officials who secretly manipulate or direct national policy, nearly 3-in-4 (74%) say they believe this type of apparatus exists in Washington.</b> This includes 27% who say it definitely exists and 47% who say it probably exists. Only 1-in-5 say it does not exist (16% probably not and 5% definitely not).’</i> </blockquote>
This poll validates the genuineness of the ‘<a href="http://newswithchai.blogspot.com/2017/12/president-trump-aligns-us-with-israel-as-the-great-awakening-arrives.html">great awakening</a>’ facilitated by President Trump (and his close associates). Every day, thousands of Americans achieve awareness of the unbelievable level of corruption in the political system. I have <a href="http://newswithchai.blogspot.com/2017/10/from-jfk-to-trump-the-end-of-the-deep-state-and-a-new-path-forward.html">covered</a> how, in the past, a number of politicians alluded to this concept of a deep state. Examples include President Eisenhower’s reference to the <a href="https://en.wikipedia.org/wiki/Military-industrial_complex">military–industrial complex</a> and President Kennedy’s <a href="https://www.jfklibrary.org/Research/Research-Aids/JFK-Speeches/American-Newspaper-Publishers-Association_19610427.aspx">speech</a> warning of 'secret societies' and a 'monolithic and ruthless conspiracy'. Shockingly, just this past Tuesday, Senator Rand Paul <a href="https://www.lifezette.com/polizette/deep-state-is-real-and-dangerous-says-paul/">answered</a> ‘absolutely’ when directly asked if a deep state exists.<br />
<br />
<div class="MsoNormal">
For specific names of deep state activists, you can point to a former employee of both the CIA and FBI Philip Mudd who, in referring to the President, <a href="https://www.zerohedge.com/news/2017-08-11/trump-thanks-putin-expelling-750-diplomats-former-cia-official-says-deep-state-will-">said</a> they [the deep state] will ‘kill this guy’. Interestingly, Mr. Mudd is alleged to be a direct descendant of <a href="https://en.wikipedia.org/wiki/Samuel_Mudd">Samuel Mudd</a>, an American physician who was imprisoned for conspiring with John Wilkes Booth in the assassination of President Abraham Lincoln. I suppose there is some genetic disposition within the Mudd family to overthrowing governments.<br />
</div>
<div class="MsoNormal">
In January, President Trump referenced the ‘deep state’ in a <a href="https://twitter.com/realDonaldTrump/status/948174033882927104">tweet</a>. But, in a speech last month at CPAC, he vaguely <a href="https://www.whitehouse.gov/briefings-statements/remarks-president-trump-conservative-political-action-conference-2/">referred</a> to ‘forces’ that don't have the people's best interest:<i style="mso-bidi-font-style: normal;"> </i><br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">‘We’re fighting a lot of forces.<span style="mso-spacerun: yes;"> </span>They’re forces that are doing the wrong thing.<span style="mso-spacerun: yes;"> </span>They’re just doing the wrong thing.<span style="mso-spacerun: yes;"> </span>I don’t want to talk about what they have in mind.<span style="mso-spacerun: yes;"> </span>But they do the wrong thing.<span style="mso-spacerun: yes;"> </span>But we’re doing what’s good for our country for the long-term viability and survival.’</i></blockquote>
</div>
<div class="MsoNormal">
The President is most likely hinting at a much darker reality where his enemies are not simply part of rogue intelligence agencies. Perhaps, he is channeling the qanon posts, described by <a href="http://nymag.com/selectall/2017/12/qanon-4chan-the-storm-conspiracy-explained.html">New York Magazine</a> as:<i style="mso-bidi-font-style: normal;"> </i><br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">‘…someone calling themselves Q began posting a series of cryptic messages in a /pol/ thread titled “Calm Before the Storm” (assumedly in reference to that creepy Trump quote from early October). Q claimed to be a high-level government insider with Q clearance (hence the name) tasked with posting intel drops — which he, for some reason, called “crumbs” — straight to 4chan in order to covertly inform the public about POTUS’s master plan to stage a countercoup against members of the deep state.’</i></blockquote>
</div>
<div class="MsoNormal">
These posts have been widely mocked by mainstream media publications like <a href="http://www.newsweek.com/how-storm-biggest-fake-news-story-796725">Newsweek</a> as ‘fake news’. Curiously, Newsweek <b style="mso-bidi-font-weight: normal;">did not</b> receive a comment from the White House on a claim made by Alex Jones that he was told by them to start covering the qanon posts. As of today, there has been no public statement from the Trump administration on the authenticity of these qanon posts. The silence speaks for itself.</div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-24214059950729783932018-02-05T23:00:00.000-08:002018-02-05T23:00:12.936-08:00Markets in Turmoil – Can Cryptocurrencies Save the US from the Debt Bomb?<div class="MsoNormal">
It is always amusing to hear people dismissively claim that
Bitcoin is a ‘bubble’ or that it isn’t backed by anything. What most tend to
overlook is that the ‘real bubble’ exists with <b style="mso-bidi-font-weight: normal;">all fiat currencies</b>, which are all backed by<b style="mso-bidi-font-weight: normal;"> nothing</b>. As of this writing, the total cryptocurrency market cap
is approximately $300 billion (down from last month’s high of around $800
billion). When compared to the <a href="https://www.marketwatch.com/story/this-is-how-much-money-exists-in-the-entire-world-in-one-chart-2015-12-18">global
money supply and global debt markets</a>, the cryptocurrency space is
miniscule. As <a href="http://newswithchai.blogspot.com/2017/10/from-jfk-to-trump-the-end-of-the-deep-state-and-a-new-path-forward.html">I’ve
said</a> a few months ago, the current system of central banking will end and
the only remaining question is what will replace it. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
There is no better example of a fiat currency bubble than
the US dollar. While the tax cut just signed into law has provided immediate
benefits to the US economy, few have attempted to address the enormous national
debt burden.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
Here are some basic facts on the US fiscal condition:</div>
<ul>
<li><span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>Over <a href="http://usdebtclock.org/">$20.6
trillion</a> (and rising) debt balance (in addition to the $46.7 trillion of
unfunded liabilities which some say is <a href="https://www.forbes.com/sites/johnmauldin/2017/10/10/your-pension-is-a-lie-theres-210-trillion-of-liabilities-our-government-cant-fulfill/#414f215565b1">closer
to $210 trillion</a>)</li>
<li><span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>Interest payments of <a href="https://www.treasurydirect.gov/govt/reports/ir/ir_expense.htm">over $400
billion per year</a> even with interest rates on these payments at historical
lows (<a href="https://www.treasurydirect.gov/govt/rates/pd/avg/2017/2017.htm">approximately
2.3% in 2017</a>)</li>
<li><span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span><a href="https://www.marketwatch.com/story/us-ends-fiscal-2017-with-666-billion-budget-deficit-2017-10-20">$666
billion deficit for fiscal year 2017</a>, an increase of $80 billion over the
previous year</li>
<li>Revenues of approximately $3.3 trillion for
fiscal year 2017</li>
<li>Increased projected budget deficit of <a href="https://www.reuters.com/article/us-usa-fiscal/u-s-budget-deficit-to-top-1-trillion-in-2019-budget-experts-idUSKBN1FI2P2">over
$1 trillion</a> in fiscal year 2019</li>
<li>US <a href="https://en.wikipedia.org/wiki/National_debt_of_the_United_States">Debt to
GDP</a> ratio (includes public and intra-governmental held debt) of over 100%</li>
</ul>
<div class="MsoNormal">
Historically, the Federal Reserve has raised interest rates to
prevent inflation. For example, during the prior ‘tightening cycle’
(2004-2006), the <a href="http://www.macrotrends.net/2015/fed-funds-rate-historical-chart">fed
funds rate</a> was increased by 400 basis points (~1% - ~5%). Today, the
current fed funds rate is 1.5%. A recent <a href="https://www.cnbc.com/2018/01/30/fed-will-be-forced-to-raise-rates-more-rapidly-than-expected-cnbc-fed-survey.html">CNBC
report</a> forecast a 2.24% fed funds rate at the end of 2018, up about a
quarter point from the prior survey. The Federal Reserve can in <b style="mso-bidi-font-weight: normal;">no way</b> deviate from these projected
increases. If it did, interest payments on newly issued debt and on <a href="https://www.treasurydirect.gov/govt/reports/pd/mspd/2017/opds122017.pdf">maturing
debt</a> would skyrocket which would further exacerbate the national debt
problem. Massive reductions in government expenditures to reduce the deficit
would lead to societal chaos. Discounting some windfall capital recovery (not likely
even from this <a href="https://www.whitehouse.gov/presidential-actions/executive-order-blocking-property-persons-involved-serious-human-rights-abuse-corruption/">executive
order</a>), the <b style="mso-bidi-font-weight: normal;">only</b> way the US
Treasury can realistically continue to pay interest on this massive debt is by
keeping rates near historic lows with small yearly increases. Optimistically,
low interest rates would enable the US to grow its way out of its debt.
Perhaps, that is why the President has maintained such a close relationship
with major banks (reversing his <a href="https://www.washingtonpost.com/news/wonk/wp/2016/11/30/trump-said-hedge-funders-were-getting-away-with-murder-now-he-wants-one-to-help-run-the-economy/">campaign
promise</a>). In December, the Trump administration <a href="https://www.federalregister.gov/documents/2017/12/29/2017-27977/exemptions-from-certain-prohibited-transaction-restrictions">waived
punishment</a> for these banks over prior crimes.</div>
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<div class="MsoNormal">
Last Friday, the <a href="https://www.reuters.com/article/us-usa-stocks/dow-sees-worst-day-in-two-years-as-bond-yields-jump-idUSKBN1FM1KC">10-year
Treasury yield surged to 2.845 percent</a>, the highest since January 2014. Yields
closed lower on Monday as the historic selloff in stocks <a href="https://www.reuters.com/article/us-global-markets/u-s-stocks-fall-most-in-six-years-treasury-yields-fall-from-last-weeks-four-year-high-idUSKBN1FO0VB">sparked
demand for low risk debt</a>. Conversely, some have attributed the major drop
in the stock market to long term concerns over bond yields. Since 2009, the
Federal Reserve has engaged in massive money printing (i.e. QE1, QE2, etc.) to
‘stimulate the economy’. If this were sound monetary policy, Venezuela and
Zimbabwe would be beacons of economic success (which they are not). The US is
the beneficiary of the US dollar’s role as the world’s reserve currency.
Multiple iterations of QE (money printing) have enabled the Federal Reserve to
purchase treasuries and effectively keep interest rates low while capital has flowed
into assets such as real estate. A future ‘black swan’ event (like the Chinese
selling off their US treasury holdings or a bank run) may occur when bond yields
rise suddenly. In that case there must be yet another iteration of QE.</div>
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So, we have established two points:</div>
<ol>
<li><span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>The US can only gradually raise the fed funds
rate over the next three years.</li>
<li><span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>The US <b style="mso-bidi-font-weight: normal;">must</b> print money to remain solvent in case of rising bond yields. </li>
</ol>
Fundamentally, printing money to pay your expenses should be
considered a credit event (default). There are times where a devaluation of a nation’s currency is necessary. One of the most egregious examples of this
was in 1933 when President Roosevelt signed <a href="https://en.wikipedia.org/wiki/Executive_Order_6102">Executive Order 6102</a>
which required all in the US to exchange their gold for $20.67 per ounce. Over
the next year, the president then raised the official gold price to $35 per
ounce, <a href="https://www.forbes.com/sites/greatspeculations/2013/04/05/governments-still-heavy-handed-80-years-after-fdrs-gold-confiscation/">effectively
cutting 40% off the US dollar</a>. There has been global discussion (primarily from
China) of the US dollar’s demise as the world’s reserve currency. In the past, precious
metals were the sole alternative to fiat currencies. Now, cryptocurrencies have
emerged as a possible alternative. Israeli Prime Minister Netanyahu even stated
in December that <a href="https://cointelegraph.com/news/israeli-pm-bitcoin-could-replace-banks">banks
will eventually disappear</a> due to blockchain technology.
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Cryptocurrencies have exhibited massive volatility losing <b style="mso-bidi-font-weight: normal;">30%</b> of its combined value over the past
24 hours and <b style="mso-bidi-font-weight: normal;">60%</b> over the past month.
Lately, there has been a slew of negative news in the cryptocurrency space. This
past weekend, most major US credit card issuers including Bank of America, JP Morgan
and Citigroup <a href="http://fortune.com/2018/02/04/banks-ban-buying-bitcoin-credit-card/">banned
the use of their cards</a> to buy Bitcoin or other digital currencies. Prepared
testimony for Securities and Exchange Commission (SEC) and Commodity Futures
Trading Commission (CFTC) chairmen was <a href="https://www.express.co.uk/finance/city/914952/Bitcoin-price-crash-cryptocurrency-dollars-market-investors-value-latest-update-news">released</a>
yesterday and suggest that the US government could slap further regulations on cryptocurrencies
in the near future.</div>
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<br /></div>
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Still, the unprecedented rise in cryptocurrency prices (part
of the ongoing <a href="http://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">global
currency reset</a>) has enabled an effective stealth devaluation of the US
dollar. There has also been evidence of positive benefits to Japan’s economy
from cryptocurrencies. Nomura analysts <a href="https://www.cnbc.com/2018/01/02/bitcoin-could-boost-japans-gdp-nomura-analysts-say.html">estimate</a>
a wealth effect from unrealized gains on Bitcoin trading by Japanese investors and
a potential boost to real GDP growth to Japan’s economy of about .3%.</div>
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<div class="MsoNormal">
One of the characteristics required for a cryptocurrency to
be defined as money is to act as a medium of exchange. There have been all
sorts of rumors that major Internet and traditional retailers will start
accepting cryptocurrencies as payment in the US (they already do in Japan). Recently,
Starbucks chairman Howard Schultz <a href="https://www.bloomberg.com/news/articles/2018-01-26/starbucks-chairman-big-on-cryptocurrency-just-maybe-not-bitcoin">said</a>
he believes digital currency will catch on with consumers, though not
necessarily Bitcoin. While there is plenty of <a href="https://www.zerohedge.com/news/2017-12-19/we-got-ourselves-full-blown-mania">speculative
and unsupported euphoria</a>, any chief executive of a public retail firm has a
fiduciary duty to their shareholders to investigate the acceptance of other
types of payment methods. As of a week ago, interest remained strong as <a href="https://www.cnbc.com/2018/01/29/more-than-1-million-people-sign-up-for-early-access-to-robinhoods-new-crypto-trading-service.html">over
1 million people joined a waitlist</a> to register for cryptocurrency trading
with Robinhood.</div>
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For a great perspective on the practical use of cryptocurrencies,
I highly recommend watching Mike Maloney’s <a href="https://www.youtube.com/watch?v=SF362xxcfdk">video</a> on the crypto
revolution. Note that there are other amazing technologies like holochain and
hashgraph that may compliment or even compete with blockchain platforms. For
those concerned about a future ban on cryptocurrencies, please watch <a href="https://www.youtube.com/watch?v=9PrJQeKl9w4">this video</a> from Andreas Antonopoulos
(well-known speaker on bitcoin). An outright ban on cryptocurrencies in the US is
highly unlikely. It would be a mistake to think the US government will accept some
kind of market crash just to prevent a rise in cryptocurrency prices. <span style="mso-spacerun: yes;"> </span>In addition to any economic ‘wealth effect’, the
US economy can benefit from the efficiencies in industries that use blockchain
technologies. One of those areas is social media where <a href="https://www.facebook.com/photo.php?fbid=146749639341328">censorship
issues</a> with Facebook can be avoided. <a href="https://steemit.com/">Steemit</a>,
a social media platform with virtual currency rewards that runs over the Steem
blockchain, is an alternative that has garnered attention recently.</div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com3tag:blogger.com,1999:blog-3535094238200863947.post-41411164971164526662017-12-27T03:55:00.000-08:002018-04-11T01:29:02.248-07:00President Trump Aligns US with Israel as the Great Awakening ArrivesThe Trump administration decision to recognize Jerusalem as the capital of Israel solidifies the US-Israeli partnership. Furthermore, US plans to cut $285 million in the United Nations' 2018 budget not only makes a huge anti-globalist statement but classifies the US as a protector of Israel. <br />
<br />
Many US pundits were fearful of a strong anti-Israel response from Arab nations. But, according to <a href="http://www.israelhayom.com/2017/12/25/displeased-with-palestinians-arab-states-chart-new-jerusalem-policy/">one report</a>, the Arab League nations of Saudi Arabia, Egypt and Jordan are not objecting to the Jerusalem decision as strongly as some would have thought:<br />
<blockquote class="tr_bq"><i style="mso-bidi-font-style: normal;">‘The Palestinians' efforts to sway public opinion have been a complete failure, and as a result, Palestinian Authority President Mahmoud Abbas has created a rift between us [the Arab world] and Trump. We are once again left with the demagogic, hollow and inflammatory rhetoric of Turkish President Recep Tayyip Erdogan.’</i></blockquote>Aside from Turkey, most Sunni Arab governments have more reason to worry about the expanding Iranian presence than the Israeli-Arab conflict. That has benefited the US as Saudi Arabia has not faced internal pressure to side with China and Russia to dump the US dollar and <a href="http://newswithchai.blogspot.com/2017/09/chinas-latest-strike-against-petrodollar-is-another-shot-to-kill-us-hegemony-in-the-middle-east.html">kill the petrodollar system</a>.<br />
<br />
<b style="mso-bidi-font-weight: normal;">Political Outcome </b><br />
<br />
From a purely political perspective, the President has strengthened his support from his base. An interesting political alliance pairing Infowars followers with evangelicals and Orthodox Jews has emerged. Those such as Wayne Madsen (investigative reporter who appears on Infowars), who are part of the ‘blame Israel’ crowd and <a href="https://www.strategic-culture.org/pview/2017/08/05/republican-push-for-multi-front-war-20-million-initial-american-deaths.html"> who erroneously accused my friends at Israel Rising of trying to start a world war</a>, are politically isolated. Sadly, there are also many fringe elements who engage in outrageous anti-Semitic conspiracy theories. These misguided individuals have some delusional belief that Jews are so smart that they have an incredible ability to control all world events. While no one is immune from criticism and there are bad people from all religions, there is no justification to infer alleged collaboration with any sort of conspiracy. There is no biblical text that commands Jews to control the world. On the contrary, the role of Jews is to be a ‘light among nations’. Of course, this does not preclude the nation of Israel from defending itself – especially against a crazed Iranian regime that <a href="https://apnews.com/2bcd4dfa53544e20b3fe2649f68ecb6a/irans-leader-calls-israel-fake-nation-dirty-chapter">directly threaten its citizens</a>.<br />
<br />
In the future, the potential exists for a coalition between Conservative and Libertarian voters that will require each faction to compromise. Conservatives would need to move toward a more non-interventionist foreign policy and Libertarians would need to acquiesce to some sort of socially conservative platform. This coalition could be led by Senator Rand Paul and be a politically effective force.<br />
<br />
<b style="mso-bidi-font-weight: normal;">Biblical Perspective</b><br />
<br />
Perhaps, there was another reason the President felt that it would benefit the US the most (and himself in his battle against his deep state enemies) to side with Israel. As quoted from the book of Bereishit (Genesis), Chapter 12, verse 3, in regards to Israel:<br />
<blockquote class="tr_bq"><i style="mso-bidi-font-style: normal;">‘And I will bless those that bless you, and him who curses you I will curse; and all the families of the earth shall bless themselves by you’</i></blockquote>It would appear that President Trump has put his faith in G-d over practical considerations. In fact, a vast majority of rabbis in Israel enthusiastically embraced his Jerusalem decision with a <a href="http://www.israelnationalnews.com/News/News.aspx/239054">letter</a> stating that he ‘realized the vision of the prophets that the honor of Jerusalem rises among the nations’. According to <a href="https://www.youtube.com/watch?v=2NV9il-BoHo">Rabbi Mendel Kessin</a>, President Trump is a transformative figure who will radically change and ‘purify America’ in a positive way.<br />
<br />
<b style="mso-bidi-font-weight: normal;">The Trump Strategy</b><br />
<br />
In interviews from the past thirty years, President Trump consistently remarked how America was getting ripped off – i.e. sold out to foreign interests. For me, there was never much doubt that President Trump would <a href="http://newswithchai.blogspot.com/2017/02/president-trump-will-drain-the-swamp-or-die-trying.html">drain the swamp</a> – the only question was timing. He plainly put his reputation on the line with his campaign promise. If, in the future, it was proved that he protected known criminals, he would be considered a con-man and the biggest fraud in the history of the United States. Clearly, that was not his desired legacy<br />
<br />
For those who have been disgusted with the level of corruption in US politics, it was a potentially exciting idea for a Trump administration to make immediate arrests. This would have been the wrong strategy and extremely counterproductive. For example, to have a flourishing garden, one must take out the weeds by their roots and not simply cut them from the surface. Similarly, removal of the few top players would have left the whole deep state apparatus in place. With his strategy of keeping your friends close and your enemies closer (Mueller special council investigation), President Trump has exposed the individual members of the deep state that can now be fired or prosecuted. Also, the more time in office has allowed the President to collect and prioritize valuable data on prior administration activities. Even this past week, we learned about the bombshell story that <a href="https://www.politico.com/interactives/2017/obama-hezbollah-drug-trafficking-investigation/">the Obama administration let Hezbollah ‘off the hook’</a> to facilitate the Iran nuclear agreement.<br />
<br />
This strategy has been enhanced by the left’s blind hatred of President Trump that has skewed their judgement. In fact, <a href="http://newswithchai.blogspot.com/2017/02/understanding-trump-phenomenon.html">every time</a> the left and its compliant media attempt to fact check each of President Trump's statements, they enable him to set the narrative and push more of the populace toward his side.<br />
<br />
What President Trump has done over the past eleven months in office is to expose the unbelievable level of corruption in the political system. They have been excruciating for his political adversaries (including the mainstream media) simply because President Trump did not play by their rules. While misdirecting his enemies (i.e. via Twitter), he was able to accomplish much of his agenda including the elevation of a Supreme Court justice and a historic tax cut.<br />
<br />
<b style="mso-bidi-font-weight: normal;">The Great Awakening</b><br />
<br />
While some view the Jerusalem decision as some sort of precursor to an ‘end of days’ scenario where a great war occurs, most reasonable people do not wish for that. In my opinion, a cataclysmic war can certainly be avoided with a greater awakening of those really responsible for the crimes committed over the years. Fortunately, President Trump has facilitated this awakening. Often, I am asked where I get my information. My answer is very simple – President Trump. For example, last month, President Trump sent a <a href="https://twitter.com/realdonaldtrump/status/934563828834164739">tweet</a> that pointed to a website called MAGA PILL that listed his accomplishments as President.<br />
<br />
The Weekly Standard had a very harsh critique of the site as <a href="http://www.weeklystandard.com/trump-tweets-link-to-conspiracy-theory-website/article/2010606">follows</a>:<br />
<blockquote class="tr_bq"><i style="mso-bidi-font-style: normal;">‘The website’s name, MAGAPILL, references Trump’s campaign slogan “Make America Great Again” along with the “red pill” concept popular among the online alt-right and white nationalist movements. Taking a red pill in these circles refers to being awakened to the “reality” of the alt-right worldview, an allusion to a plot device in the 1999 science fiction film The Matrix</i></blockquote><blockquote class="tr_bq"><i style="mso-bidi-font-style: normal;">.</i><i style="mso-bidi-font-style: normal;">…the website’s Twitter page remains active, tweeting out a mix of conspiracy theories, Fox News videos, news articles from mainstream outlets, and retweets of President Trump. In one recent tweet, MAGAPILL put out an unsourced image rife with outlandish conspiracies about the people and entities who control our institutions’</i></blockquote><br />
Supposedly, at the time of this tweet, the following <a href="http://magapill.com/o/q-clearance-patriot-qanon.htm">post</a>, detailing more outlandish conspiracy theories, was linked at the top of the site. Just to be clear, there is no way the President would have sent out this tweet without prior validation of this MAGA PILL site. So, which is it, are these conspiracies true or is the President a delusional narcissist?<br />
<br />
Let’s take a moment to reflect on the Trump presidency. In a February <a href="https://twitter.com/realdonaldtrump/status/835173525522624512">tweet</a>, President Trump vowed to fight the epidemic of human trafficking. Since then, scores of human trafficking rings have been broken up (in the US and abroad) resulting in thousands of arrests. Conversely, prior investigations into the <a href="http://www.nytimes.com/1988/12/18/us/a-lurid-mysterious-scandal-begins-taking-shape-in-omaha.html">Franklin scandal</a> and affairs within the <a href="https://www.cbsnews.com/news/state-department-memo-reveals-possible-cover-ups-halted-investigations/">Clinton State Department</a> were covered up in previous administrations. Then, in a photo op with military personnel on October 5, President Trump <a href="https://www.reuters.com/article/us-usa-trump-military/in-meeting-with-military-trump-talks-of-calm-before-the-storm-idUSKBN1CB03C">stated</a> that it was the ‘calm before the storm’. When asked what that meant, he said ‘you’ll find out’. That same day, the NY Times published the <a href="https://www.nytimes.com/2017/10/05/us/harvey-weinstein-harassment-allegations.html">allegations</a> against Harvey Weinstein. Since then, numerous allegations have surfaced against Hollywood figures and DC politicians. Several industry executives (including Google CEO Eric Schmidt) have resigned. There is a willful ignorance, pervasive in our society, for those who cannot see that the swamp is being drained each and every day. <br />
<br />
<b style="mso-bidi-font-weight: normal;">National Emergency</b><br />
<br />
For weeks there have been rumors that thousands of sealed indictments exist across the country. What is even more shocking (in case you didn’t know) is that the US is currently operating under a ‘national emergency’. The following <a href="https://www.whitehouse.gov/presidential-actions/executive-order-blocking-property-persons-involved-serious-human-rights-abuse-corruption/">executive order</a> was signed on December 21 and states:<br />
<blockquote class="tr_bq"><i style="mso-bidi-font-style: normal;">‘I therefore determine that serious human rights abuse and corruption around the world constitute an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States, and I hereby declare a <b style="mso-bidi-font-weight: normal;">national emergency</b> to deal with that threat.’</i></blockquote>You can draw your own conclusions as to where this is headed. So, back to my initial question – are these conspiracies true or is the President a delusional narcissist? If the conspiracies are true, then we have a President that is taking on dark forces at great personal risk and could arguably be considered a modern-day George Washington. Personally, I wouldn’t bet against the President. <br />
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-63387744975537304902017-11-29T01:21:00.000-08:002018-03-28T00:27:08.517-07:00Bitcoin price crosses $10,000, Central Banker Warns that Banks Could Be 'Eviscerated'<br />
<div class="MsoNormal">
The price of Bitcoin continues its ascent (as of this writing, the price is $10,800) as the ongoing <a href="http://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">global currency reset</a> comes into greater focus. Japan has led the way in recent weeks, as approximately <a href="https://www.cryptocompare.com/coins/btc/analysis/JPY?type=Currencies&period=ALL">60% of Bitcoin transactions</a> have been conducted in Japanese yen. Other cryptocurrencies such as Ethereum and Litecoin have also increased in value, led by US dollar and South Korean won trades.</div>
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<br /></div>
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Incredibly, in a recent interview, St. Louis Fed President James Bullard <a href="https://www.reuters.com/article/us-bitcoin-cenbank-banks/bubble-or-breakthrough-bitcoin-keeps-central-bankers-on-edge-idUSKBN1DR0MQ">said</a>:</div>
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">“(We could) wake up one day and most of the big banks have been eviscerated and most of that activity has moved elsewhere,”</i></blockquote>
<div class="MsoNormal">
This marks a realization that banks will inevitably become irrelevant as our world transitions to a decentralized system of currencies that central banks are powerless to stop. At this time, the FED has no practical options to manage the massive influx of capital into cryptocurrencies. Any attempt to rapidly raise interest rates to strengthen the US dollar would devastate equity and bond markets and thereby plunge the global economy into depression. While US politicians may increase threats of regulations and taxation, there is no feasible way to confiscate cryptocurrencies.</div>
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<br /></div>
<div class="MsoNormal">
As painful as it will be for bankers to lose their livelihood (may need to sell their second homes in the Hamptons), the greater US population stands to benefit. China is planning to <a href="http://newswithchai.blogspot.com/2017/09/chinas-latest-strike-against-petrodollar-is-another-shot-to-kill-us-hegemony-in-the-middle-east.html">destroy the petrodollar system</a> and remove the US dollar as the world’s reserve currency. The sooner the US (along with Japan and South Korea) can transition to an alternative system, the better prepared its citizens will be for future economic turmoil.</div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-54242866615023308562017-10-26T00:54:00.000-07:002018-03-28T00:27:32.515-07:00From JFK to Trump - The End of the Deep State and a New Path Forward<br />
The days of invasion and occupation by the US for the preservation of a flawed, fiat currency based economic system are slowly coming to an end. Things are so out of hand that this week one <a href="http://www.washingtonexaminer.com/rand-paul-us-in-so-many-wars-warmonger-lindsey-graham-cant-keep-track-anymore/article/2638372">US Senator couldn’t even keep track</a> of all the wars the US is engaged in. Moving forward, sweeping changes are taking place as <a href="http://newswithchai.blogspot.com/2017/09/chinas-latest-strike-against-petrodollar-is-another-shot-to-kill-us-hegemony-in-the-middle-east.html">the petrodollar system is under attack by China</a> and the <a href="http://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">global currency reset led by Bitcoin</a> continues. US foreign policy has been thrown into shambles as evident by the recent <a href="https://www.reuters.com/article/us-russia-saudi-terror/russia-saudi-arabia-cement-new-friendship-with-kings-visit-idUSKBN1CA1QU">state visit by the Saudi king to Russia</a>. The Saudis likely purchase of S-400 air defense systems seriously weakens attempts to isolate Russia via sanctions. <span style="mso-spacerun: yes;"> </span>These events all contribute to the undermining of the US dollar’s role as the world’s reserve currency.<br />
<div class="MsoNormal"><br />
</div><div class="MsoNormal">As the current system of central banking ends (whether it is in 2 weeks, 2 months or 2 years is immaterial), the only thing in question is what will replace it. I have <a href="http://newswithchai.blogspot.com/2017/04/as-china-and-russia-move-toward-gold_4.html">advocated</a> for the use of cryptocurrencies as an effective way to counter the Chinese / Russian push toward a gold standard. Greater use of cryptocurrencies will eventually make central banks (like the FED, ECB, etc.) irrelevant. I generally ignore so-called experts who have claimed the imminent death of Bitcoin. For example, Jamie Dimon’s opinion on Bitcoin is like <a href="https://www.bloomberg.com/view/articles/2017-09-18/what-jamie-dimon-got-wrong-about-bitcoin-and-tulips">asking the head of the post office what he thinks of e-mail</a>. <a href="https://99bitcoins.com/obituary-stats/">99bitcoins.com</a> even has a running log of over 170 pronouncements. Importantly, the potential for blockchain technology is enormous. Entire industries including (and not limited to) finance, insurance, advertising and health care can experience greater efficiencies as more transparency is introduced for all transactions.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><u><span style="color: #0563c1; mso-themecolor: hyperlink;"></span></u></div><div class="MsoNormal">Generally, for a currency to be effective, it should have three qualities - functioning as a unit of account, a medium of exchange and a store of value. For a more technical understanding of the valuation of Bitcoin, I recommend reading NYU Professor Damodaran’s <a href="https://aswathdamodaran.blogspot.hr/2017/10/the-bitcoin-boom-asset-currency.html">blog post</a>. What I think most people miss is that for any currency to be successful it needs one thing - confidence. For the past 70 years, the US dollar has had the world’s confidence. In the future, whatever replaces it (either gold, silver, Bitcoin, some other cryptocurrency or something totally different) will need that confidence to succeed.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><b style="mso-bidi-font-weight: normal;">President Kennedy vs The Deep State</b></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">With the US is in the throes of seemingly unbridgeable partisan division, the news that President Trump will not block the release of the <a href="http://abcnews.go.com/Politics/president-trump-release-classified-jfk-assassination-documents/story?id=50629858">long-classified CIA and FBI documents</a> regarding the assassination of President John F. Kennedy should come as good news. Unfortunately, any time the JFK assassination is brought up by the talking heads in the media, they simply label those who disagree with the official narrative as ‘conspiracy theorists’. This scurrilous attempt to demonize anyone who engages in critical thinking often trivializes conflicting government information and disturbing facts like the <a href="https://www.amazon.com/Hit-List-Depth-Investigation-Assassination/dp/1634508521">death of numerous key witnesses</a>. Perhaps, those in the media would consider members of the <a href="https://www.archives.gov/research/jfk/select-committee-report/summary.html">House Select Committee on Assassinations</a> (in 1970s) as conspiracy theorists too for some of their findings. </div><div class="MsoNormal"><br />
</div><div class="MsoNormal">For those who are skeptical of the official Warren Commission report, it is crucial to understand the motivation for groups who had an interest in President Kennedy’s death. In one of his more controversial speeches before the <a href="https://www.jfklibrary.org/Research/Research-Aids/JFK-Speeches/American-Newspaper-Publishers-Association_19610427.aspx" target="_blank">American Newspaper Publishers Association on April 27, 1961</a>, President Kennedy referenced 'secret societies' and a 'monolithic and ruthless conspiracy'. In my opinion, the context of the speech clearly shows that he was not referring to the Soviet Union but to an internal, subversive force within the US government. This is what some would call the deep state or shadow government. In light of the Bay of Pigs fiasco, President Kennedy <a href="http://query.nytimes.com/mem/archive/pdf?res=9400E4DB1639E63BBC4D51DFB266838D679EDE">stated</a> his desire to ‘splinter the CIA into a thousand pieces and scatter it to the winds’. </div><div class="MsoNormal"><br />
</div><div class="MsoNormal">We have also gotten hints of the existence of the deep state / shadow government from politicians over the years. President Eisenhower referenced the <a href="https://en.wikipedia.org/wiki/Military-industrial_complex" target="_blank">military–industrial complex</a> right before the end of his 2nd term. <a href="https://en.wikipedia.org/wiki/Daniel_Inouye" target="_blank">Senator Daniel Inouye</a> (United States Senator from Hawaii from 1963 to 2012) spoke about a 'shadowy Government' during the Iran-Contra hearings. <a href="https://en.wikipedia.org/wiki/Larry_McDonald" target="_blank">Congressman Larry McDonald</a>, called 'the most principled man in Congress' by Congressman Ron Paul, spoke of a conspiracy to create a one-world government.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal">I would encourage anyone to do their own research and draw their own conclusions on questionable CIA activities like <a href="https://en.wikipedia.org/wiki/Operation_Gladio" target="_blank">Operation Gladio</a>, <a href="https://en.wikipedia.org/wiki/Operation_Mockingbird" target="_blank">Operation Mockingbird</a>, <a href="https://en.wikipedia.org/wiki/Operation_Paperclip" target="_blank">Operation Paperclip</a> and <a href="https://en.wikipedia.org/wiki/Project_MKUltra" target="_blank">Project MKUltra</a> in addition to an extensive history of executing <a href="https://en.wikipedia.org/wiki/United_States_involvement_in_regime_change">regime change</a>. Interestingly, it was confirmed that CIA Director John McCone, brought in by President Kennedy to replace Allen Dulles, was part of the <a href="http://www.politico.com/magazine/story/2015/10/jfk-assassination-john-mccone-warren-commission-cia-213197">JFK assassination cover-up</a>. Even in recent years, the CIA’s practice has been to <a href="https://www.washingtonpost.com/world/national-security/eyewash-how-the-cia-deceives-its-own-workforce-about-operations/2016/01/31/c00f5a78-c53d-11e5-9693-933a4d31bcc8_story.html">lie to its own employees</a> as ‘a means of protecting vital secrets’. Some contend that the release of the JFK assassination files could lead to more revelations of prior incidents (i.e. 9/11/01 attacks, Oklahoma City bombing, etc.). </div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><b style="mso-bidi-font-weight: normal;">Mainstream Media Failure</b></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">The mainstream media has been a willing accomplice of the deep state for decades by manipulating public opinion. For example, in <a href="https://www.youtube.com/watch?v=sPtJOLExXlY">this video</a>, a young Dan Rather completely misrepresents the details of the Kennedy shooting. I liken actions such as these to <a href="https://en.wikipedia.org/wiki/The_Truman_Show">The Truman Show</a>, a film about a man who is living in a constructed reality tv show that is televised globally around the clock. Once the character, Truman Burbank (played by actor Jim Carrey), realizes that nothing in his life is real, he starts to rebel and attempts to escape his existence. When the creator of the show is asked in an interview why Truman hadn’t discovered<span style="mso-bidi-font-family: "Times New Roman"; mso-fareast-font-family: "Times New Roman";"> the true nature of his world, he replies ‘We accept the reality of the world with which we're presented, it’s as simple as that’. This arrogance is apparent in many mainstream media talking heads.</span> </div><div class="MsoNormal"><br />
</div><div class="MsoNormal">Fortunately, this control of the American people by the mainstream media is crumbling. A recent poll shows that <a href="http://www.politico.com/story/2017/10/18/trump-media-fake-news-poll-243884">46% of American voters</a> (including 20% of Democrats) believe that the media make up stories about President Trump. In a panel hosted by CNN two months ago, a group of Trump supporters dispute assertions made by the moderator, <a href="https://www.youtube.com/watch?v=oUTXNigXBYA">telling</a> her that they trust their Facebook feed more than CNN.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><b style="mso-bidi-font-weight: normal;">President Trump vs The Deep State</b></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">With the deterioration of the mainstream media and inflamed partisan divisions, a vacuum in the US exists. While Congressman Ron Paul (especially now since he is out of office) has no problem speaking out on <a href="http://freebeacon.com/politics/ron-paul-government-had-foreknowledge-of-911-terror-attacks/">controversial topics</a>, he does not yet have a large enough audience to drive public opinion. President Trump has dropped hints by: </div><ul><li><span style="mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-fareast-font-family: Calibri; mso-hansi-font-family: Calibri;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span><a href="https://twitter.com/realdonaldtrump/status/819164172781060096">Tweeting</a> that 'Intelligence agencies should never have allowed this fake news to "leak" into the public. One last shot at me. Are we living in Nazi Germany?' [January 11]<span style="mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-fareast-font-family: Calibri; mso-hansi-font-family: Calibri;"><span style="mso-list: Ignore;"> </span></span></li>
<li><span style="mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-fareast-font-family: Calibri; mso-hansi-font-family: Calibri;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>Cryptically <a href="http://www.zerohedge.com/news/2017-01-21/speech-cia-trump-offers-build-them-room-without-columns-%E2%80%98do-you-understand-that%E2%80%99">referring</a> to the CIA as a fifth column in a speech to the CIA, the day after his inauguration [January 21]<span style="mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-fareast-font-family: Calibri; mso-hansi-font-family: Calibri;"><span style="mso-list: Ignore;"></span></span></li>
<li><span style="mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-fareast-font-family: Calibri; mso-hansi-font-family: Calibri;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span>In an interview with Bill O'Reilly and in response to a question about Russian President Vladimir Putin <a href="http://thehill.com/blogs/ballot-box/317945-trump-defends-putin-you-think-our-country-is-so-innocent">saying</a> "There are a lot of killers. We've got a lot of killers. What do you think? Our country's so innocent?" [February 4]</li>
</ul><div class="MsoNormal">These veiled messages are President Trump’s way of providing clues to the American people of a much darker reality. They suggest the existence of a deep state comprised of rogue, nefarious individuals in US intelligence services that do not have the people’s (and certainly not the President’s) best interests in mind.</div><div class="MsoNormal"><br />
</div><div class="MsoNormal"><b style="mso-bidi-font-weight: normal;">New Spiritual Awakening</b></div><div class="MsoNormal"><br />
</div><div class="MsoNormal">While everyone within this financial-media-military industrial complex is not a bad person, they are part of a corrupt system that needs to be torn down and rebuilt. Many are simply trapped while others feign ignorance. </div><div class="MsoNormal"><br />
</div><div class="MsoNormal">Optimistically, I think we can achieve some sort of a spiritual awakening in the US that can transcend the partisan divide. We are currently living in an upside-down world of lies. As we witness more revelations of sordid, criminal activity among those in the entertainment industry, more people will question the media and even look at some of the President’s <a href="https://twitter.com/realdonaldtrump/status/835173525522624512">tweets</a> in a more positive way. Perhaps, the glorification of those in film, music, tv, and sports can be replaced with something more meaningful. Who knows, maybe one of President Trump’s <a href="http://www.politico.com/story/2016/08/donald-trump-african-american-vote-227218">most curious predictions</a> that the ‘era of division will be replaced with a future of unity, total unity’ will come true. As the upcoming economic disorder approaches, the alternative scenario is too dire to discuss.<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt; line-height: 107%;"></span></div>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-82630472671185456542017-09-05T01:23:00.000-07:002018-03-28T00:27:53.863-07:00China’s Latest Strike Against Petrodollar is Another Shot to Kill US Hegemony in the Middle East<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">China took another major step towards the inevitable <a href="https://newswithchai.blogspot.com/2017/06/middle-east-realignment-driven-by-Chinas-drive-to-end-petrodollar-dominance.html">end of petrodollar dominance</a> and the further internationalization of the yuan. Via <a href="https://asia.nikkei.com/Markets/Commodities/China-sees-new-world-order-with-oil-benchmark-backed-by-gold">this</a> report:</span><br />
<blockquote class="tr_bq">
<i><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">‘China is expected shortly to launch a <b style="mso-bidi-font-weight: normal;">crude oil futures contract priced in yuan and convertible into gold</b> in what analysts say could be a game-changer for the industry.</span></i><br />
<i><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">The contract could become the most important Asia-based crude oil benchmark, given that China is the world's biggest oil importer. Crude oil is usually priced in relation to Brent or West Texas Intermediate futures, both denominated in U.S. dollars.</span></i><br />
<i><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">China's move will allow exporters such as Russia and Iran to circumvent U.S. sanctions by trading in yuan. To further entice trade, China says the yuan will be fully convertible into gold on exchanges in Shanghai and Hong Kong.’</span></i></blockquote>
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Critical to this move is the decision by Saudi Arabia:</span><br />
<blockquote class="tr_bq">
<i><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">‘If Saudi Arabia accepts yuan settlement for oil, Gave said, "this would go down like a lead balloon in Washington, where the U.S. Treasury would see this as a threat to the dollar's hegemony... and it is unlikely the U.S. would continue to approve modern weapon sales to Saudi and the embedded protection of the House of Saud [the kingdom's ruling family] that comes with them."</span></i><br />
<i><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">The alternative for Saudi Arabia is equally unappetizing. "Getting boxed out of the Chinese market will increasingly mean having to dump excess oil inventories on the global stage, thereby ensuring a sustained low price for oil," said Gave.’</span></i></blockquote>
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">If Saudi Arabia feels that China can act as an effective shield against its Iranian adversary, it most likely will forgo this ‘embedded protection’ from the US and acquiesce to Chinese demands. It may feel greater pressure as <a href="https://www.reuters.com/article/us-gulf-qatar-iran/qatar-says-its-ambassador-to-return-to-iran-foreign-ministry-idUSKCN1B32J6">Qatar recently restored diplomatic relations with Iran</a> thereby strengthening the Iran-Turkey-Qatar alliance.</span><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"><b style="mso-bidi-font-weight: normal;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Chinese Relations with Pakistan / Afghanistan</span></b><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">China has made inroads with non-oil producing nations in the region. Primarily, it has a growing economic relationship with Pakistan. While challenges of </span><a href="http://indianexpress.com/article/research/cpec-the-bumpy-new-trade-route-between-china-and-pakistan-4373203/"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">political and economic isolation</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"> exist, the </span><a href="http://cpec.gov.pk/"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">China-Pakistan Economic Corridor</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"> commonly known as CPEC has grown larger than its initially planned $46 billion investment plan </span><a href="http://www.bbc.com/news/world-asia-32400091"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">announced in 2015</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">. The investment is potentially crucial to China's Belt and Road Initiative as it could provide a link from China through Europe and Africa. In addition, China has aggressively pushed </span><a href="https://www.bloomberg.com/news/articles/2016-09-11/china-lays-new-brick-in-silk-road-with-first-afghan-rail-freight"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">development of a railway</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"> linking China and Afghanistan that is aimed to cut travel time between the two nations from six months to two weeks. Although the project has run into <a href="https://www.cnbc.com/2016/10/13/chinas-silk-road-railway-disrupted-by-uzbekistan-security.html">problems</a>, the importance of this railway cannot be understated. Back in September, Chinese Ambassador to Afghanistan Yao Jing went so far to say, "Without Afghan connectivity, there is no way to connect China with the rest of the world."</span><br />
<br />
<b style="mso-bidi-font-weight: normal;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Gold Moves</span></b><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Curiously, on August 21, US Treasury secretary Steve Mnuchin became the first government official to <a href="https://www.bloomberg.com/news/articles/2017-08-21/mnuchin-to-visit-fort-knox-assumes-america-s-gold-still-there">visit Fort Knox</a> in 43 years. Just prior to his visit, he said to an audience (hopefully in humor) ‘I assume the gold is still there…It would really be quite a movie if we walked in and there was no gold.” After his visit, he tweeted ‘Glad gold is safe!’. Unfortunately, it would have been more reassuring to <a href="https://www.soundmoneydefense.org/audit-americas-gold-reserves">some</a> if there had been a full audit (i.e. serial numbers per each gold bar).</span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">In addition, Germany recently announced that its central bank completed the transfer of $27.9 billion worth of gold bars back to Frankfurt <a href="https://www.cnbc.com/2017/08/23/germanys-central-bank-just-shifted-50000-gold-bars-held-overseas-due-to-cold-war-fears.html">three years ahead of expectations</a>. The gold was held by the Federal Reserve in New York and France's central bank to hedge against political and currency risks.</span><br />
<br />
<b style="mso-bidi-font-weight: normal;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">China’s Strike Against Cryptocurrency Threat</span></b><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Yesterday, China effectively banned <a href="https://www.cnbc.com/2017/09/04/chinese-icos-china-bans-fundraising-through-initial-coin-offerings-report-says.html">all organizations and individuals from raising funds through ICO activities</a>. Also, all banks and financial institutions in China will not be able do any business related to ICO trading. Cryptocurrency prices dropped sharply as a result. While intended to protect investors from fraud, the decision may have been timed to strike back at the <a href="http://newswithchai.blogspot.com/2017/07/us-japan-alliance-to-slow-rising-china-as-petrodollar-dies.html">US – Japan alliance</a> to transition to a world reserve currency led by Bitcoin. It would not be in China’s interest to allow this transition to occur smoothly (if at all). It is unclear how committed China is to blockchain technology as its primary goal is to prevent any financial instability in its markets as it attempts to undermine US hegemony. </span></span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"><br />
</span></span> <b style="mso-bidi-font-weight: normal;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">US – China Comparison</span></b><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">In spite of the numerous deficiencies of Chinese government behavior (especially towards its own people), its acumen in establishing relationships throughout the Middle East without using military force can be characterized as highly impressive. Contrast that with the US and its consistent failed policy of invasion in the name of ‘fighting terrorists’. Sixteen years of US occupation has left Afghanistan as a failed state where the Taliban control roughly <a href="http://foreignpolicy.com/2017/08/30/mapped-taliban-strongholds-in-afghanistan-trump-troops-islamic-state-al-qaeda/">40% of the country</a> and opium production has risen from <a href="http://www.breitbart.com/national-security/2016/09/11/post-911-afghanistan-opium-cultivation-production-increases-nearly-20-fold/">185 tons in 2001 to 3,300 tons in 2015</a> despite the US spending <a href="https://www.nbcnews.com/news/world/heroin-use-grows-u-s-poppy-crops-thrive-afghanistan-n388081">$8.4 billion in counter narcotics programs</a>. Equally troubling is President Trump’s recent decision to break his campaign promise and raise troop levels in Afghanistan. His deference to the military industrial complex has garnered meaningless <a href="http://www.zerohedge.com/news/2017-08-22/neocons-love-trumps-new-afghanistan-plan-blackwater-calls-it-obama-lite">praise</a> from many of the same people who have supported these failed policies.</span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">As Democrats and their compliant media hyped the <a href="https://www.bloomberg.com/view/articles/2017-08-10/why-some-u-s-ex-spies-don-t-buy-the-russia-story">fake Russian hacking</a> narrative (updated to Russian collusion), Russia has only become more unified with China to counter US power. While China has economic issues of debt and ghost cities, the US is gripped in a state of chaos as it has:</span><br />
<ul>
<li><span style="font-family: "symbol"; font-size: 11.0pt;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">An illusion of a healthy economy (due to central bank manipulation) and in contrast to the reality of a failing economy with fake economic data published by a corrupt government (Even David Stockman, former Reagan administration budget director, <a href="https://dailyreckoning.com/donald-trump-financial-bubble/">asks</a> ‘How can there be “full-employment” at 4.4% unemployment claimed by the BLS and the Fed’s monetary central planners, when there are 103 million adults without jobs?’)</span></li>
<li><span style="font-family: "symbol"; font-size: 11.0pt;"><span style="mso-list: Ignore;"><span style="font: 7.0pt "Times New Roman";"></span></span></span><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Dire circumstances for many as anywhere from </span><a href="https://www.cnbc.com/2017/06/29/heres-how-many-americans-are-living-paycheck-to-paycheck.html"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">49% of Americans</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"> to </span><a href="https://www.cnbc.com/2017/08/24/most-americans-live-paycheck-to-paycheck.html"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">78% of all American full-time workers</span></a><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"> live paycheck to paycheck</span></li>
<li><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">A likely cost of <a href="http://fortune.com/2017/09/03/hurricane-harvey-damages-cost/">$150 to $180 billion</a> from Hurricane Harvey that will be added to a national debt of approximately <a href="http://usdebtclock.org/">$20 trillion</a></span></li>
<li><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"><a href="http://www.zerohedge.com/news/2017-08-11/trump-thanks-putin-expelling-750-diplomats-former-cia-official-says-deep-state-will-">Death threats</a> made by ‘deep state’ members against its president on a regular basis</span></li>
<li><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">An Attorney General that is too scared or compromised to follow the rule of law and <a href="https://newswithchai.blogspot.com/2017/08/us-on-the-brink-will-attorney-general-sessions-drain-the-sewer-or-fall-in-it.html">proceed with justice</a> and who has no problem instituting a widely criticized policy that <a href="https://www.cbsnews.com/news/sessions-welcomes-expansion-of-asset-forfeiture-i-love-that-program/">abuses its citizens</a> </span></li>
</ul>
<br />
<b style="mso-bidi-font-weight: normal;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">Conclusion</span></b><br />
<br />
<span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;">The repercussions of a Saudi move to side with China should not come as any surprise but will affect everyone in the world. For years, Dr. Ron Paul has warned about the end of the petrodollar system causing the US dollar to lose its world’s reserve currency status and to subsequently collapse. As a result, Russia would immediately demand the end of a US presence in Syria. This could be followed by the withdrawal of US troops from Iraq, Turkey and other countries. In the midst of great uncertainty, some may use the event to their advantage. The Kurdish population could feel emboldened and seize the opportunity to declare an independent state. In this case, Israel would be the beneficiary as a new Kurdish state would counter the looming threat from Iran.</span><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"><span style="font-family: "calibri" , sans-serif; font-size: 11.0pt;"></span></span>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-34249951937492770922017-08-02T23:44:00.001-07:002017-08-02T23:44:29.021-07:00US on the Brink: Will Attorney General Sessions Drain the Sewer or Fall In It?<div class="MsoNormal">
A moment of truth will hopefully be told at the Friday press
conference held by Attorney General Sessions. We will know whether the US will
turn towards a constitutional republic or will remain an oligarchy empowered by
the deep state. While the mainstream media focuses on the circus like atmosphere
at the White House, more historic events are taking shape.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<o:p></o:p></div>
<div class="MsoNormal">
Republicans in the US House Judiciary committee sent a <a href="https://judiciary.house.gov/wp-content/uploads/2017/07/072717_HJC-Letter-to-AG-DAG.pdf">letter</a>
to Attorney General Jeff Sessions last week to recommend an investigation into
the crimes of Hillary Clinton. Among the potential charges are ‘unlawful
international dealings’ of the Clinton Foundation. This comes days after
President Trump <a href="https://twitter.com/realDonaldTrump/status/889790429398528000">tweeted</a>
that Attorney General Sessions has taken a ‘very weak position on Hillary
Clinton crimes’. While some conservative pundits expressed outrage over the
President’s critique of a loyal campaign supporter, this criticism has merit.
Outgoing Congressman Jason Chaffetz last month <a href="http://theweek.com/speedreads/706873/jason-chaffetz-slams-attorney-general-jeff-sessions-worse-than-what-saw-loretta-lynch">said</a>
he didn’t see much difference between the Trump and Obama administrations and
that AG Sessions was ‘worse than what I saw with Loretta Lynch in terms of
releasing documents and making things available’. <o:p></o:p></div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b>History<o:p></o:p></b></div>
<div class="MsoNormal">
<b><br /></b></div>
<div class="MsoNormal">
President Trump has done everything within his legal right
to abide by his promise to <a href="https://twitter.com/realDonaldTrump/status/788402585816276992">‘drain the
swamp’</a> (now upgraded to <a href="https://twitter.com/realdonaldtrump/status/889435104841523201">‘drain the
sewer’</a>). While it is the AG’s job to open an investigation, AG Sessions is
aware of the oft-mentioned ‘Clinton body count’ and the recent <a href="http://www.wnd.com/2017/06/2-potential-witnesses-in-dnc-rigging-lawsuit-both-died/">suspicious
murders involving the DNC lawsuit</a>. He is also mindful of the assassination attempt
on Congressman Steve Scalise after announcing his efforts <a href="https://www.youtube.com/watch?v=hLZG5o73MS4">to stop human trafficking</a>.
It is unclear if prior to his nomination he engaged in some sort of backroom
deal with his fellow Senators where he agreed not to prosecute any former
colleague(s) including Secretary Clinton. <o:p></o:p></div>
<div class="MsoNormal">
A growing segment of the US has become completely
disillusioned with the two-party system. They are beyond frustrated with
politicians who personally enrich themselves, promise one thing when they
campaign and do the exact opposite after they get elected. They are outraged at
a system that allows <a href="https://www.nytimes.com/2017/07/18/us/dennis-hastert-released.html">Speaker
Dennis Hastert</a> to get by with a 15-month sentence after committing horrific
criminal acts. For all of President Trump’s indiscretions, his supporters hate the
DC political establishment even more.<o:p></o:p></div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b>Opposing View<o:p></o:p></b></div>
<div class="MsoNormal">
<b><br /></b></div>
<div class="MsoNormal">
Opponents of President Trump say that any prosecution of a
political opponent is petty, divisive and politically motivated. Richard
Painter, a former Bush ethics lawyer, suspiciously <a href="http://www.washingtonexaminer.com/ex-bush-ethics-lawyer-trump-calling-for-clinton-to-be-prosecuted-is-an-impeachable-offense/article/2629600">claims</a>
that the President has committed an ‘impeachable offense’ and that ‘Congress must
act now’. Perhaps, those in the prior Bush administrations know that they are
next.<o:p></o:p></div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b>Bombshell Interview<o:p></o:p></b></div>
<div class="MsoNormal">
<b><br /></b></div>
<div class="MsoNormal">
In the past, sordid rumors of crimes by the Clintons were relegated
to ‘right-wing media’. Now, former critics to the President are demanding
justice. During a CNN interview two years ago, lawyer Elizabeth Beck said that
President Trump had an <a href="https://www.youtube.com/watch?v=TB8ht6pAd9U">‘absolute
meltdown’</a>. Now, ignored by the mainstream media, she appeared on pro-Trump
site Infowars to <a href="https://www.youtube.com/watch?v=1bmMl2OGVQ0">make shocking
statements</a> linking the Clinton Foundation to the Mayo Clinic. Ms. Beck
unquestionably looks petrified at the information she has come across. She even
says, ‘sometimes evil is so powerful there is nothing we can do’. I would like
to remind her of Edmund Burke’s quote that ‘the only thing necessary for the
triumph of evil is for good men to do nothing’.<o:p></o:p></div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b>Decision<o:p></o:p></b></div>
<div class="MsoNormal">
<b><br /></b></div>
<div class="MsoNormal">
Perhaps, since Attorney General Sessions is a religious
individual, he will take note of a biblical verse that is applicable. As quoted
from the book of Devarim (Deuteronomy), Chapter 1, verse 16-17, <o:p></o:p></div>
<blockquote class="tr_bq">
<i>I instructed your judges at that time, saying, “Listen among your brethren and judge righteously between a man and his brother or his litigant. You shall not show favoritism in judgement, small and great alike shall you hear; you shall not tremble before any man, for the judgement is G-d’s’’</i></blockquote>
<div class="MsoNormal">
<b>Conclusion<o:p></o:p></b></div>
<div class="MsoNormal">
<b><br /></b></div>
<div class="MsoNormal">
If AG Sessions refuses to open an investigation against the
Clinton Foundation, he will be forced to resign. There is no possibility of a future
Attorney General to be confirmed by the Senate that is unfriendly to the deep
state. The US would continue to be gripped by chaos and confusion. It would be
clear that there are effectively two sets of laws – one for the privileged few
and one for everyone else. The US will be equivalent to an oligarchy instead of
a functional constitutional republic where rule of law exists. Frankly, there
is no domestic issue of greater importance.<o:p></o:p></div>
<br />
<div class="MsoNormal">
Some would say that the US has become a laughingstock of the
world. I would argue that a country run with a moral compass, led by the rule
of law with liberty and justice for all does not need to feel shame. Instead,
its citizens can feel proud and thereby lead other nations by example.<o:p></o:p></div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com1tag:blogger.com,1999:blog-3535094238200863947.post-49132377210943971512017-07-20T01:13:00.001-07:002017-07-20T01:13:39.502-07:00US - Japan Alliance to Slow Rising China as Petrodollar Dies<!--[if gte mso 9]><xml>
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Massive changes in world alliances are occurring now, with the
rapid decline of the <a href="https://en.wikipedia.org/wiki/Petrodollar_recycling">petrodollar</a>. This
decline is led by <a href="http://newswithchai.blogspot.com/2017/06/middle-east-realignment-driven-by-Chinas-drive-to-end-petrodollar-dominance.html">China’s
drive to move the Middle East into their sphere of influence</a>. This past week,
Reuters hinted at the petrodollar’s inevitable demise with an <a href="http://in.reuters.com/article/usa-bonds-petrodollars-idINL8N1K14NT">article</a>
titled ‘The waning power of the petrodollar’.<br />
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">Russia – Saudi Arabia
Relations</b></div>
<div class="MsoNormal">
Saudi Arabia is the cornerstone of the petrodollar system. The
<a href="http://www.cnbc.com/2017/06/02/long-term-us-ally-saudi-arabia-fast-becoming-firm-friends-with-russia.html">‘blossoming
friendship’</a> between Russia and Saudi Arabia is another direct threat to
this arrangement. Saudi Arabia agreed to <a href="https://www.reuters.com/article/us-saudi-oil-idUSKBN19X0RQ">cut crude oil
shipments to its customers in August by more than 600,000 barrels per day</a> and
will meet with Russia, among other nations, on July 24 to discuss compliance.
According to a Moscow Times report, Saudi Arabia agreed to an <a href="https://themoscowtimes.com/news/saudi-arabia-russia-arms-deal-58360">arms
deal valued at $3.5 billion</a> with Russia.<span style="mso-spacerun: yes;">
</span>They will also consider investing in a <a href="http://russia-insider.com/en/politics/russia-offers-saudis-part-arctic-lng-project/ri20332">LNG
plant currently being built by Russia</a>.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
But, to replace a global reserve currency, currently the US
dollar, an alternative system must be implemented to replace the existing one. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">New US Stance on
China</b></div>
<div class="MsoNormal">
By fixating on the theme of ‘Russia – Trump collusion’ charges,
commentators in the US miss the reality that China is clearly the bigger (if
not biggest) threat to US hegemony. While both Russia and China are two of the
top three military powers in the world, the size of the Chinese economy (approximately
ten times the size of Russia’s) gives China a substantially greater ability to
inflict severe harm to the US economy than Russia. As <a href="http://newswithchai.blogspot.com/2016/11/donald-trump-will-stop-sellout-of.html">forecast
last November</a>, instead of selling out US strategic assets to China, the
Trump administration, to its credit, has implemented a more nationalistic
approach to benefit its own citizens and not its personal interests. A <a href="https://www.bloomberg.com/news/articles/2017-05-10/china-s-246-billion-takeover-spree-is-crumbling-as-sellers-balk">Bloomberg
report</a> partly confirms this, as Chinese ‘cross-border purchases plunged 67
percent during the first four months of this year’ due to ‘tighter capital
controls and increasingly wary counterparties’. This reflects a clear contrast
to a prior administration that <a href="http://dailycaller.com/2016/09/02/flashback-bill-clinton-collected-donations-then-us-missile-tech-shipped-to-china/">approved
the sale of sensitive US missile technology to China</a>. Interestingly, related
entities, like a foundation, haven’t been (as of today) criminally prosecuted
since witnesses strangely <a href="http://www.wnd.com/2017/07/clinton-foundation-witness-found-dead/">commit
suicide before they were scheduled to testify</a>. Also, the Trump
administration is focused on potential Chinese spying. Guo Wengui, a Chinese
dissident residing in the US, has <a href="http://dailycaller.com/2017/07/11/china-has-tens-of-thousands-of-spies-operating-in-the-us/">claimed</a>
that China has ‘at least 25,000 Chinese intelligence officers and more than
15,000 recruited agents conducting espionage operations in the US’.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">China’s Solution</b></div>
<div class="MsoNormal">
China is moving towards implementing some type of <a href="http://newswithchai.blogspot.com/2017/04/as-china-and-russia-move-toward-gold_4.html">gold
backed currency or trade note</a> to minimize the role of the US dollar as the world’s
reserve currency. Russia’s largest bank has just this week <a href="http://www.reuters.com/article/sberbank-gold-china-idUSL8N1K41VS">begun
trading physical gold on the Shanghai Gold Exchange</a>. Since virtually all
business and consumer transactions today are done digitally, the viability of a
gold standard remains in question. The days of going to your local store and
buying an item for a gram of gold are long gone. China’s central bank (PBOC) has
<a href="https://www.bloomberg.com/news/articles/2017-02-23/pboc-is-going-digital-as-mobile-payments-boom-transforms-economy">developed
its own digital currency</a> and there have been rumors that China will roll
out a cryptocurrency backed by gold. Several firms have already introduced a
gold-backed cryptocurrency. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">Japan’s Plan</b></div>
<div class="MsoNormal">
With the world’s third largest economy, Japan maintains its
place as a key participant to stunt Chinese ascendance. The Japanese central
bank has <a href="https://www.bloomberg.com/news/articles/2017-07-18/boj-s-etf-buying-is-said-to-raise-concern-among-some-officials">bought
stocks</a> at unfathomable proportions as they now own at least ‘71 percent of
all shares in Japan-listed ETFs’. Japan has officially moved to a policy of ‘unlimited
money printing’ according to <a href="https://www.forbes.com/sites/jareddillian/2017/07/10/japan-has-entered-the-next-phase-unlimited-money-printing/">Forbes</a>.
While central bank manipulation can prolong unsound economic policy, there is
no dispute that Japan’s massive debt load (approximately 234% debt-to-GDP
ratio) can never be paid back.<span style="mso-spacerun: yes;"> </span>So,
before the Japanese Yen begins its inevitable decline on the path towards
hyperinflation (like Venezuela or Zimbabwe), Japan must transition to an
alternative system. Since they have negligible natural resources and a military
force incapable of invading countries for profit, Japan appears to have settled
on Bitcoin as their solution. On July 1, the consumption tax on the sale of
Bitcoin was officially eliminated and over <a href="https://news.bitcoin.com/rollout-of-260000-bitcoin-accepting-stores-in-japan-begins/">260,000
retail stores</a> are now poised to accept Bitcoin via a specialized
application.</div>
<div class="MsoNormal">
A fundamental appeal of cryptocurrencies (and blockchain
technology) is its decentralized nature and its empowerment of individuals to
bypass the central banking system of control. Japan has moved to the forefront
of the break with central bank authority. The nature of China’s government, which
censors the Internet and restricts free speech, cannot be expected to yield
control to the individual in lieu of the state. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">China’s Overreach</b></div>
<div class="MsoNormal">
There may be some signs that more nations are wary of
China’s ambitions. Last month, China attacked India and <a href="https://sputniknews.com/asia/201706261054985626-china-india-troops-territory/">destroyed
two Indian bunkers</a>. After it flew six warplanes over the Miyako Strait
between two southern Japanese islands in a military exercise, China dryly told
Japan to <a href="http://timesofindia.indiatimes.com/world/china/get-used-to-it-china-says-as-it-flies-bombers-near-japan/articleshow/59597922.cms">‘get
used to it’</a>. The US, India and Japan have aligned against this Chinese
threat with recent <a href="http://www.defensenews.com/articles/us-india-and-japan-launch-naval-exercises">naval
exercises</a>. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<b style="mso-bidi-font-weight: normal;">Conclusion</b></div>
<div class="MsoNormal">
Perhaps, more nations will align with a renewed US led by
President Trump who has worked to <a href="http://newswithchai.blogspot.com/2017/05/trump-u-turn-defies-the-deep-state-engages-in-epic-battle-to-drain-the-swamp-and-avoid-nixons-fate.html">destroy
the US deep state</a> and who vowed at his inauguration to ‘seek friendship and
goodwill with the nations of the world’ and ‘not seek to impose our way of life
on anyone’ versus an increasingly imperialist China. Unfortunately, according
to <a href="http://www.washingtontimes.com/news/2017/jul/12/inside-the-ring-russia-china-undermining-us/">US
military intelligence</a>, defense cooperation and economic ties between Russia
and China is slowly expanding. However unlikely, it would be most beneficial for
US interests to drive a wedge between the Chinese-Russian alliance to forestall
this progress.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
The potential transition from the US as the world’s only
superpower to something else will be a historic moment. It will inevitably arouse
concern from countries historically allied with the US. These counties could take
the advice of Philippines President Duterte who speaking on behalf of his own
country <a href="http://www.reuters.com/article/us-usa-philippines-idUSKCN11L2EE">said</a>
‘We cannot forever be the little brown brothers of America. ... We have to
develop, we have to grow and become the big brother of our own people’. </div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com1tag:blogger.com,1999:blog-3535094238200863947.post-29894993018240691692017-06-29T23:20:00.001-07:002017-06-29T23:25:23.538-07:00Middle East Realignment Driven by China's Drive to End Petrodollar Dominance<span style="font-family: inherit;"><span style="font-size: 11pt;">China's goal is to become the leading economic superpower and to move the world away from the US dollar. They have been forming alliances with Middle Eastern countries including Iran, Qatar and Turkey. The <a href="https://en.wikipedia.org/wiki/Petrodollar_recycling">petrodollar</a> system is the primary</span></span><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"> reason the US dollar is still the world's reserve currency as oil producing countries like Saudi Arabia <b>do not</b> sell their oil in currencies other than US dollars. </span></span></span></span><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;">Without this agreement, the US dollar would eventually lose its role as
the global reserve currency. </span></span>China has been working with countries in the Middle East to sell their oil in yuan and thereby weaken the US.</span></span> </span></span><br />
<br />
<span style="font-family: inherit;"><span style="font-size: 11pt;">The Chinese strategy has been to <a href="https://en.wikipedia.org/wiki/Internationalization_of_the_renminbi">internationalize their currency</a> via a number of different projects (see list below). A Zerohedge report in April articulates how <a href="http://www.zerohedge.com/news/2017-04-01/moscow-and-beijing-join-forces-bypass-us-dollar-global-markets-shift-gold-standard">China and Russia are joining forces to bypass the US dollar in global trade</a>. The <a href="https://en.wikipedia.org/wiki/Shanghai_Cooperation_Organisation">Shanghai Cooperation Organization</a> (SCO)
described as a ‘Eurasian political, economic, and security
organization’ is one of the means of executing that vision. Its members
include China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, and
Uzbekistan. Earlier this month, India and Pakistan were admitted as
members. These countries are expected to further enhance their economic
relations via trade. </span><span style="font-size: 14.6667px;">For China to successfully meet its goals, a larger base of countries must join this block.</span><span style="font-size: 14.6667px;"> </span></span><br />
<br />
<b style="mso-bidi-font-weight: normal;">Iran</b><br />
<span style="font-family: inherit; font-size: 11pt;">According to this <a href="http://www.tehrantimes.com/news/410775/China-Iran-trade-at-31-2b-in-2016">report</a>,
bilateral trade between China and Iran grew to $31.2 billion in 2016.
Iran is currently listed as having ‘Observer status’ in SCO. As Russia
has long wanted Iran to attain full membership status, <a href="http://www.atimes.com/article/china-signals-iran-membership-shanghai-security-bloc-expands/">China recently signaled its support</a>. Incidentally, Iran announced earlier this year that it would <a href="https://www.forbes.com/sites/dominicdudley/2017/01/30/iran-to-ditch-dollar">stop using the US dollar in its official statements</a>. Iran and China <a href="https://www.blogger.com/Global%20Currency%20Reset%20Happening%20Now%20as%20Bitcoin%20Price%20Explodes.docx">conducted a naval drill in the Gulf</a> a few weeks back.</span><br />
<span style="font-family: inherit;"><br /></span>
<b style="mso-bidi-font-weight: normal;">Turkey</b><br />
<span style="font-family: inherit; font-size: 11pt;">President Tayyip Erdogan implied last December that Turkey is <a href="http://www.reuters.com/article/turkey-currency-trade-erdogan-idUSL5N1DZ0GI">taking steps to allow commerce with China, Russia and Iran to be conducted in local currencies</a>. A <a href="https://news.cgtn.com/news/3d63544d30637a4d/share_p.html">Chinese report</a>
confirmed that to 'increase the trade volume and foreign investments
between Turkey and China, and decrease their dependency on the US dollar
during financial transactions, China and Turkey have started direct
trading with their local currencies'. Current trade volume of $28 billion is expected
to increase.</span><br />
<span style="font-family: inherit; font-size: 11pt;">Turkey even dropped hints at <a href="http://www.military.com/daily-news/2017/01/04/turkey-hints-shuttering-incirlik-us-air-operations.html">shuttering the Incirlik air base to US air operations</a>.
With the US support of the Kurds in their fight against ISIS, there may
be a stronger motivation to act. In fact, Turkey refused German
lawmakers access to the base leading Germany to announce plans to <a href="https://www.voanews.com/a/germany-oks-plan-to-pull-troops-from-turkey-air-base/3910519.html">withdraw 280 troops, as well as surveillance planes and refueling jets, from the Incirlik air base</a>. If you are interested in understanding the historical importance of thie Incirlik air base read <a href="https://history.state.gov/milestones/1961-1968/cuban-missile-crisis">this</a> and <a href="http://foreignpolicynews.org/2017/01/07/importance-of-natos-incirlik-airbase-for-turkish-american-relations/">this</a>. Turkey is listed as a ‘Dialogue partner’ in SCO.</span><br />
<span style="font-family: inherit;"><br /></span>
<b style="mso-bidi-font-weight: normal;">Qatar</b><span style="font-family: inherit; font-size: 11pt;"> </span><br />
<span style="font-family: inherit; font-size: 11pt;">Over two years ago, <a href="http://www.reuters.com/article/qatar-china-yuan-idUSL5N0XB2D220150414">Qatar launched the first Chinese yuan clearing hub in the Middle East</a>.
According to Qatar's central bank governor, Sheikh Abdullah bin Saud
al-Thani, it would create ‘the necessary platform to realize the full
potential of Qatar and the region's trade relationship with China’.
Since it opened, <a href="http://www.reuters.com/article/icbc-qatar-idUSL8N1HY49U">Industrial and Commercial Bank of China has cleared more than 590 billion yuan ($86 billion) in transactions in Qatar</a>.
Zheng Chunyi, General Manager of ICBC Doha, confirmed that ‘Qatar, the
United Arab Emirates and Kuwait are the most active Middle East
countries using the RMB clearing center for direct payments with Chinese
mainland and Hong Kong’.</span><span style="font-family: inherit; font-size: 14.6667px;"> </span><br />
<br />
<b>Iran-Turkey-Qatar Axis</b><br />
<br />
<span style="font-family: inherit; font-size: 14.6667px;">The
newly formed Iran-Turkey-Qatar axis (as evidenced by events such as <a href="http://www.haaretz.com/middle-east-news/1.793798">this</a>, <a href="https://www.reuters.com/article/us-gulf-qatar-demands-idUSKBN19E0BB">this</a> and <a href="http://www.newsweek.com/iran-turkey-syria-war-gulf-crisis-food-military-627610">this</a>) is tied together by each countries' burgeoning
relationship with China. While Russia has a
greater military presence in the Middle East (via Syria) and draws the most attention from Russia-phoebes in the US, China is the
key financial player. Together, both Russia and China have
emerged as a direct threat to US supremacy in the region. Although Iran has
always had better relations with China, Turkey and Qatar have been
solidly aligned with the West as each country still maintain US military
personal at their bases. Perhaps, both countries are hedging their
bets based on a calculation that will see a rising China and declining
US.</span><br />
<br />
<span style="font-family: inherit;"><b>The Petrodollar</b></span><br />
<span style="font-family: inherit;"><br /></span>
<span style="font-family: inherit;"><span style="font-size: 11pt;">S<span style="font-size: 14.6667px;">ince the inauguration</span>, President Trump has not mentioned the <a href="https://28pages.org/">28 page document</a> </span><span style="font-size: 14.6667px;">(known simply as ‘The 28 pages’ and discussed during the campaign) which </span><span style="font-size: 14.6667px;">implicated members of the Saudi Arabian government</span><span style="font-size: 14.6667px;"> </span><span style="font-size: 14.6667px;">for their involvement in the 9/11 attacks on the World Trade Center</span><span style="font-size: 14.6667px;">.</span><span style="font-size: 11pt;"> He
in fact visited Saudi Arabia last month, participated in a sword dance
and signed off on a $110 billion weapons deal. Why? The answer is the </span><a href="https://en.wikipedia.org/wiki/Petrodollar_recycling" style="font-size: 11pt;">petrodollar</a><span style="font-size: 11pt;">. </span></span><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;">The key part of this agreement is that the </span></span></span></span><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"> US must defend Saudi Arabia as long as they sell their oil in US dollars.</span></span></span></span></span></span><br />
<br />
<span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 11pt;"><span style="font-family: inherit;"><span style="font-size: 14.6667px;">It
would appear that China is taking no chances and is working on pushing
Saudi Arabia into its sphere of influence. Byron King from the Daily Reckoning
speculates that China is looking to modify its terms of its oil trade
with Saudi Arabia as <a href="https://dailyreckoning.com/china-destroy-dollar/">follows</a>: </span></span></span></span></span></span></span></span><br />
<blockquote class="tr_bq">
<span style="font-family: inherit; font-size: 14.6667px;">'China
is currently modifying the terms of its oil trade with Saudi Arabia.
Specifically, China is working on a deal to pay for Saudi oil using
Chinese yuan. This effort poses a direct threat to the security of the
dollar. If this China-Saudi deal happens — yuan for oil — it’s another
step closer to the grave for the petrodollar, which has dominated global
finance since 1974.'</span></blockquote>
<br />
<span style="font-family: inherit;"><span style="font-size: 11pt;">Whether the speculation is true or not, the threat to the US dollar as the reserve currency is real. </span><span style="font-size: 14.6667px;">The petrodollar system is under an attack directed by China. </span></span><br />
<br />
<span style="font-size: 14.6667px;"><span style="font-size: 14.6667px;">From a US perspective, </span><span style="font-size: 11pt;">options are limited and further actions like a US invasion of Syria could make the situation worse. Since the US military has
decided to back the Kurds to fight ISIS, there is less of a chance to
win back Turkey. In my opinion, the best option would be for the US to maintain the
current petrodollar system as long as possible until a new one backed by
cryptocurrencies is ready. I outlined this in my prior post titled <a href="http://newswithchai.blogspot.com/2017/05/global-currency-reset-happening-now-as-bitcoin-price-explodes.html">Global Currency Reset Happening Now as Bitcoin Price Explodes</a>. Unfortunately, the US Senate <a href="https://cointelegraph.com/news/new-senate-bill-could-be-a-threat-to-bitcoin-innovation">doesn't have a clue</a>.</span><b> </b></span><br />
<br />
<span style="font-size: 14.6667px;"><b>Projects that will Further Internationalize the Chinese Yuan</b></span><br />
<br />
<span style="color: #666666; font-size: 14.6667px;">- China's yuan inclusion in the International Monetary Fund's currency basket</span><br />
<span style="color: #666666; font-size: 14.6667px;">- China International Payment System (CIPS) is an alternative payments system to SWIFT</span><br />
<span style="color: #666666; font-size: 14.6667px;">- Asian Infrastructure Investment Bank (AIIB) is an international financial institution that will finance infrastructure projects in the Asia region</span><br />
<span style="color: #666666; font-size: 14.6667px;">- Bilateral Currency Swap Lines completed between China and over thirty counterparties to enable greater overseas trade of the yuan</span><br />
<span style="color: #666666; font-size: 14.6667px;">- Silk Road Gold Fund to facilitate gold purchase for the central banks of member states</span><br />
<span style="color: #666666; font-size: 14.6667px;">- Shanghai Gold Exchange launched to set a new benchmark price for gold bullion</span>Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-80095689284825049432017-06-18T21:31:00.000-07:002017-06-18T21:31:28.874-07:00The Secret Reason Why Many Conservative Media Figures Won’t Denounce Alex Jones<!--[if gte mso 9]><xml>
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Currently <a href="http://www.foxnews.com/us/2017/06/17/megyn-kelly-and-alex-jones-nbc-news-under-fire-for-botched-rollout-kelly-on-eve-interview.html">under
fire</a> for her controversial interview with <a href="https://en.wikipedia.org/wiki/Alex_Jones_(radio_host)">Alex Jones</a>, Megyn Kelly <a href="https://twitter.com/megynkelly/status/874649711965343744">tweeted</a> the
following a few days back: <br />
<blockquote class="tr_bq">
<i style="mso-bidi-font-style: normal;">“…How
does Jones, who traffics in these outrageous conspiracy theories, have the
respect of the president of the United States and a growing audience of
millions?</i><i style="mso-bidi-font-style: normal;"> </i></blockquote>
<blockquote>
<i style="mso-bidi-font-style: normal;">President
Trump, by praising him, appearing on his show, and giving him White House press
credentials, has helped elevate Jones, to the alarm of many. Our goal in
sitting down with him was to shine a light – as journalists are supposed to do
– on this influential figure, and yes – to discuss the considerable falsehoods
he has promoted with near impunity.”</i>
</blockquote>
<div class="MsoNormal">
Legitimate question - why does Alex Jones have the respect of President Trump?
As a presidential candidate, President Trump in fact said that Alex Jones has an
‘amazing reputation’. To date, he has not revoked his statement about Mr.
Jones thereby making him conspirator-in-chief. So, in light of this, how can anyone take President
Trump seriously? But curiously, as the NY Times states, many <a href="https://www.nytimes.com/2017/06/17/opinion/sunday/the-danger-of-ignoring-alex-jones.html">conservatives have never publicly denounced Alex Jones</a>.</div>
<div class="MsoNormal">
<br /></div>
I have constructed a hypothetical conversation between Rush
Limbaugh and President Trump which will provide the answer to why conservatives won't denounce Alex Jones:
<br />
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, great to see you.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Mr. President, great to see you. You know, I’ve been
meaning to ask you, and I say this with all due respect, but why are you so
fond of this Alex Jones guy? I remember calling him a
<a href="https://www.prisonplanet.com/articles/october2006/131006limbaughattacks.htm">Democrat
kook</a> years ago. He is just nuts. </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Uh, huh. Well, Rush..</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: No really, Mr. President. I don’t think you are helping
yourself by associating with him.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, you and I know all about fake news.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Sure, drive-by media, but..</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Let's start with the Kennedy assassination, you don’t actually
believe the official Warren Commission report, do you?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: No, of course not. Wait, you’re not going go all
National Enquirer and <a href="http://www.cbsnews.com/news/donald-trump-defends-linking-ted-cruzs-father-to-lee-harvey-oswald/">implicate
Ted Cruz’s dad</a> for this?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Well..</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Sir, this is crazy. My theory is it had
to be <a href="https://www.rushlimbaugh.com/daily/2011/05/19/frank_jfk_rfk_assassins_were_political_opponents_of_kennedys5/">the
mob or Castro</a> but..</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, you know the <a href="http://www.politico.com/magazine/story/2015/10/jfk-assassination-john-mccone-warren-commission-cia-213197">CIA
admitted that it covered up the assassination</a> and there are still <a href="http://www.politico.com/magazine/story/2017/04/27/will-trump-release-the-missing-jfk-files-215079">missing
documents</a>.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Ok, fine, but that was over 50 years ago and we all know
about that.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Well, you know what my buddy, Bruce Willis, said <a href="http://www.thedailybeast.com/celebrity-conspiracy-theorists-courtney-love-finds-malaysian-flight-370">to
Vanity Fair in 2007</a> - he was afraid of getting killed:</div>
<br />
<blockquote class="tr_bq">
<div class="MsoNormal">
“They still haven't caught the guy
that killed Kennedy. I'll get killed for saying this, but I'm pretty sure those
guys are still in power, in some form. The entire government of the United
States was co-opted. One guy did it? I don't think so.”</div>
</blockquote>
<br />
<div class="MsoNormal">
RL: Ok, what does this have to do with anything? Look - I
get all the Clinton conspiracies. We all know about the Clinton body count. I
covered the <a href="https://www.rushlimbaugh.com/daily/2017/05/16/murdered-dnc-staffer-had-contact-with-wikileaks/">Seth
Rich murder conspiracy</a> on my show. Sean [Hannity] laid out how he felt <a href="https://www.realclearpolitics.com/video/2016/10/12/hannity_wikileaks_proves_everything_that_conspiracy_theorists_said_was_true.html">last
October</a>. You brought up <a href="https://www.washingtonpost.com/politics/trump-escalates-attack-on-bill-clinton/2016/05/23/ed109acc-2100-11e6-8690-f14ca9de2972_story.html">Vince Foster during the campaign</a>. But 9/11 being an inside job? Do you know how crazy that is?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: You know about the $2.3 trillion missing from the
Pentagon.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Yeah, whatever, that kind of stuff happens.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, you know there was no way those buildings were
brought down by fire.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Here we go.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Look, I am a builder and know everything there is to
know about building structures. I even said so on 9/11 during <a href="https://www.youtube.com/watch?v=fi9Z43tC2eQ">an interview that there were
bombs in those buildings</a>.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Ok…</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, you read the <a href="https://28pages.org/the-declassified-28-pages/">28 pages</a> right?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Yeah, basically faulted elements of the Saudi
government. And, why are we still friends with the Saudis anyway?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Don’t you find it curious how close the Bush family is
to the Saudis?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Yeah, but they didn’t have anything to do with it. Why,
George W. Bush is a fine man. You are not going with this Bush did 9/11 theory
are you?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Let’s just say the Bushes are not so innocent in all
this. Just view <a href="http://newswithchai.blogspot.com/2016/08/was-911-inside-job.html">this</a>.
</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Is this stuff true?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Of course, these are official government documents and
there is lots of circumstantial evidence. Its also plain common sense.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Huh.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Make sense?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Yeah, I guess I finally understand why the Bushes and
Clintons are such good friends. And all the new world order stuff..</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Yeah.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: I also get why you were so tough on Jeb. Wait, so why
are we fighting all these wars – Afghanistan, Iraq, Libya. For goodness sake, I
was selling Club Gitmo t-shirts!!</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, you’re not the only one. Talk to Congressman
Walter Jones. He went from calling out France, you know, the whole <a href="http://www.cnn.com/2003/ALLPOLITICS/03/11/freedom.fries/index.html">freedom
fries</a> thing to deeply regretting his support for the Iraq war. He even said a few years back that
<a href="https://www.usatoday.com/story/onpolitics/2013/02/26/walter-jones-dick-cheney-iraq-war-hell/1948859/">Dick
Cheney is probably going to hell</a>.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Wait, so Ron Paul has been right all along?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Ron Paul, good guy – can never be president – but very
honest man.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: So, Sandy Hook? Pizzagate? Are they all true?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Look, not all conspiracies are true. There are some
crazy ones going around. I even heard of one that Jared is a Mossad agent. All
the truth will come out eventually.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: So, what do we do?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Well, don’t worry, there are plenty of us who know. Alex
is one of the leaders. Until we reach a critical mass, we can’t go
public yet. Information will come out in pieces. Look, we have gotten the
concept of the deep state out there. Before my inauguration, barely anyone had
even heard of it. So, we are making tremendous progress, tremendous. Still a
lot of hate, a lot of division. We need to come together. In the future, expect
more revelations. Like what my buddy Vladimir said. He just <a href="http://www.zerohedge.com/news/2017-06-04/putin-hints-jfk-was-murdered-deep-state-which-now-after-trump-and-russia">accused
the CIA of planning the JFK assassination</a>. And you remember how I hinted about <a href="http://www.zerohedge.com/news/2017-01-21/speech-cia-trump-offers-build-them-room-without-columns-%E2%80%98do-you-understand-that%E2%80%99">not
having any columns</a> when I spoke to the CIA?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Ok, I get it. So, what I am going to do?</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
PT: Rush, the choice is yours, I understand the risks and
won’t ask you to do anything you aren’t comfortable with doing. The truth will
get out, regardless of what happens to me. It’s up to you to choose which side
of history you want to be on.</div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
RL: Thank you sir. This conversation never happened.</div>
Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com0tag:blogger.com,1999:blog-3535094238200863947.post-9411039037903185642017-05-25T01:19:00.000-07:002017-05-25T01:19:14.879-07:00Global Currency Reset Happening Now as Bitcoin Price Explodes<div class="MsoNormal">
<div class="MsoNormal">
A major risk to the solvency of the banking industry is the notional amount of financial instruments such as interest rate swaps known as <a href="https://en.wikipedia.org/wiki/Derivative_(finance)" target="_blank">derivatives</a>.<br />
<br />
A recent report stated that US banks have over $200 trillion of derivatives exposure:</div>
<div class="MsoNormal">
<a href="http://theeconomiccollapseblog.com/archives/financial-weapons-of-mass-destruction-the-top-25-u-s-banks-have-222-trillion-dollars-of-exposure-to-derivatives" target="_blank">Financial Weapons Of Mass Destruction: The Top 25 U.S. Banks Have 222 Trillion Dollars Of Exposure To Derivatives</a> - The Economic Collapse Blog, May 15th, 2017 </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
This shouldn't be anything new as Forbes covered global derivatives exposure over four years ago: </div>
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<a href="https://www.forbes.com/sites/stevedenning/2013/01/08/five-years-after-the-financial-meltdown-the-water-is-still-full-of-big-sharks/" target="_blank">Big Banks and Derivatives: Why Another Financial Crisis Is Inevitable</a> - Forbes, January 8, 2013</div>
<blockquote class="tr_bq">
the
risk that is still staring us in the face: the lack of transparency in
derivative trading that now totals in notional amount more than $700
trillion. That is more than ten times the size of the entire world
economy. Yet incredibly, we have little information about it or its
implications for the financial strength of any of the big banks.<br />
<br />
Moreover
the derivatives market is steadily growing. “The total notional value,
or face value, of the global derivatives market when the housing bubble
popped in 2007 stood at around $500 trillion... The Over-The-Counter
derivatives market alone had grown to a notional value of at least $648
trillion as of the end of 2011… the market is likely worth closer to
$707 trillion and perhaps more,” writes analyst Jenny Walsh in The Paper
Boat.<br />
<br />
"The market has grown so unfathomably vast, the
global economy is at risk of massive damage should even a small
percentage of contracts go sour. Its size and potential influence are
difficult just to comprehend, let alone assess.” </blockquote>
To understand the risk of derivatives to the global economy, one should understand the history of fiat currencies and how money is created by central banks. Mike Maloney has a great series that I recommend:<br />
<a href="https://goldsilver.com/hidden-secrets/" target="_blank">Mike Maloney's Hidden Secrets of Money</a><br /><br />While there are real industries that make real products, one can nevertheless sense that global markets are rigged and current economic wealth is really an allusion created by the central banks. <br />
<br />
Recently, there has been a parabolic price move in Bitcoin (along with several other cryptocurrencies) recently! As of this writing, Bitcoin is trading at over $2600!<br />
<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjIPpMykK414awxydcqwOnpAQx6Bwi7ETrZ7dShASBp1gQKaIHth8LMExBl4-VNe-Tx0SKKahj0DXELHckDF7cRqdA7fpNDnTfdKA77sednVZmXxUhBbWHwJWymmOiYnB7F3VsSK5quv5tS/s1600/Bitcoin_2017_05_24.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="542" data-original-width="960" height="360" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjIPpMykK414awxydcqwOnpAQx6Bwi7ETrZ7dShASBp1gQKaIHth8LMExBl4-VNe-Tx0SKKahj0DXELHckDF7cRqdA7fpNDnTfdKA77sednVZmXxUhBbWHwJWymmOiYnB7F3VsSK5quv5tS/s640/Bitcoin_2017_05_24.jpg" width="640" /></a></div>
<br />China's instability is one of the main drivers of this spike.<br />
<a href="http://www.zerohedge.com/news/2017-05-23/gundlach-bitcoin-100-china-down-10-coincidence" target="_blank">Gundlach: "Bitcoin Up 100%, China Down 10%, Coincidence?"</a> - Zerohedge, May 23, 2017<br />
<blockquote class="tr_bq">
Bitcoin
up 100% in under 2 months. Shanghai down almost 10% same timeframe,
compared to most global stocks up. Probably not a coincidence!<br />— Jeffrey Gundlach (@TruthGundlach) May 23, 2017</blockquote>
<a href="http://www.telegraph.co.uk/business/2017/05/24/moodys-downgrades-china-first-time-since-1989-warns-financial/" target="_blank">Moody's downgrades China for first time since 1989 as it warns financial strength will erode as debt mounts</a> - The Telegraph, May 24, 2017<br /><a href="https://www.bloomberg.com/news/articles/2017-05-24/china-downgrade-may-build-debt-mountain-as-firms-borrow-at-home" target="_blank">China's Downgrade Could Lead to a Mountain of Debt</a> - Bloomberg, May 24, 2017<br />
<br /><a href="https://www.forbes.com/sites/bryanrich/2017/05/24/whos-behind-the-spike-in-bitcoin/" target="_blank">Who's Behind The Spike In Bitcoin?</a> - Forbes, May 24, 2017<br />
<blockquote class="tr_bq">
..it
looks like Chinese money is going into bitcoin, global stocks and
bonds. But not gold. Remember, the story of the latter 2016 and early
2017 period, out of China, has been the Chinese government's efforts to
restrict domestic capital from leaving China. It doesn't appear that
they are winning.</blockquote>
In addition, there is increasing implementation of Bitcoin this month on a global scale. Here are some examples:<br />
<a href="https://news.bitcoin.com/the-japanese-using-bitcoin-expected/" target="_blank">The Japanese are Using Bitcoin More than Expected</a> - Bitcoin.com, May 8, 2017<br />
<a href="https://cointelegraph.com/news/australia-will-recognize-bitcoin-as-money-and-protect-bitcoin-businesses-no-taxes" target="_blank">Australia Will Recognize Bitcoin as Money and Protect Bitcoin Businesses, No Taxes</a> - Cointelegraph, May 11, 2017<br />
<a href="https://cointelegraph.com/news/bitcoin-coming-to-russian-e-commerce-giant-ulmart-starting-september-1" target="_blank">Bitcoin Coming To Russian E-Commerce Giant Ulmart Starting September 1</a> - Cointelegraph, May 11, 2017<br />
<a href="https://cointelegraph.com/news/indias-zebpay-has-more-mobile-users-than-all-korean-bitcoin-apps-combined" target="_blank">India's Zebpay Has More Mobile Users Than All Korean Bitcoin Apps Combined</a> - Cointelegraph, May 17, 2017<br />
<a href="https://www.cryptocoinsnews.com/you-can-now-pay-bitcoin-for-parking-at-27-uk-airports" target="_blank">You Can Now Pay Bitcoin for Parking at 27 UK Airports</a> - Cryptocoins News, May 19, 2017<br />
<br />
Even Fidelity Investments is acknowledging the increased demand:<br />
<a href="https://www.reuters.com/article/us-fidelity-bitcoin-idUSKBN18J20P" target="_blank">Fidelity to allow clients to see digital currencies on website</a> - Reuters, May 23, 2017<br />
<br />
I suggested in a prior post that Bitcoin would be the best
alternative for the US to counter the economic alliance between China
and Russia: <br />
<a href="http://newswithchai.blogspot.com/2017/04/as-china-and-russia-move-toward-gold_4.html" target="_blank">As China and Russia Move Toward a Gold Standard, US Must Join Them or Counter with Bitcoin</a> - April 4, 2017<br />
<br />
There are small hints that the Trump administration is pro-Bitcoin: <br />
<br />
<a href="http://money.cnn.com/2017/05/22/investing/bitcoin-record-high-trump/" target="_blank">Bitcoin prices are soaring under Trump</a> - CNNMoney, May 22, 2017<br />
<blockquote class="tr_bq">
His
budget director, former US House member Mick Mulvaney, had been dubbed
the "Bitcoin Congressman" by some of the currency's backers.<br /><br />And
vice president Mike Pence's chief economist Mark Calabria has given
speeches in support of bitcoin as well. Calabria was formerly the
director of financial regulation studies at the libertarian-leaning Cato
Institute before joining the administration.</blockquote>
<a href="http://www.rawstory.com/2017/05/did-sean-spicer-actually-tweet-a-bitcoin-transaction/" target="_blank">Did Sean Spicer actually tweet a Bitcoin transaction?</a> - Raw Story, May 3, 2017<br />
<br />
But, there have been some like blogger Michael Krieger who think that President Trump is completely controlled by Wall Street:<br />
<br />
<div class="MsoNormal">
<a href="https://libertyblitzkrieg.com/2017/05/17/wall-street-completely-owns-the-trump-administration/" target="_blank">Wall Street Completely Owns the Trump Administration</a> - Liberty Blitzkrieg, March 17, 2017<br />
<br />
Maybe he has a point. Just look at the number of Goldman Sachs alumni in his
administration. Also, the manipulation of markets (stock,
commodities, bond, etc.) continues unabated.<br />
<br />
Others, like Brandon Smith, are adamant in spreading a completely bogus theory that President Trump has been
selected by the central bankers to be a scapegoat for future economic
calamity:<br />
<br />
<a href="http://www.alt-market.com/articles/3197-the-trump-collapse-scapegoat-narrative-has-now-been-launched" target="_blank">The Trump Collapse Scapegoat Narrative Has Now Been Launched</a> - Alt-Market, May 24, 2017<br />
<blockquote class="tr_bq">
Trump’s
presidency would be the perfect vehicle for central banks and
international financiers to divert blame for the economic crisis that
would inevitably explode once the Fed moved firmly into interest rate
hikes</blockquote>
No one with even a primitive understanding of economics can possibly blame President Trump for some future economic collapse. In that case, blame will be placed squarely on the FED. I easily refute Mr. Smith's assertion in my prior post:<br />
<br />
<a href="http://newswithchai.blogspot.com/2017/01/donald-trump-will-end-fed-and-move-us.html" target="_blank">Donald Trump Will End The FED And Move US Toward The Gold Standard</a> - January 2, 2017<br />
<br />
So, what is the solution? One
approach, suggested by Dr. Ron Paul (back in 2011) would be to declare
bankruptcy and return to a gold standard. The market manipulation could
end with a new system in place.<br />
</div>
<div class="MsoNormal">
<div class="MsoNormal">
<a href="http://money.cnn.com/2011/06/28/news/economy/ron_paul_bankruptcy/" target="_blank">Ron Paul: U.S. should declare 'bankruptcy'</a> - CNN Money, June 28, 2011</div>
<br />
That would be an incredibly
dangerous approach in my opinion. Imagine the 10-year bond moving up 300 basis points
(i.e. from 3% to 6%) over a short period of
time. With banks completely leveraged and holding trillions in
derivatives, they would become effectively insolvent. The whole economy
would then implode. </div>
<br />
I think a better approach, which is maybe what the Trump
administration has settled on, is to try to stave off bankruptcy (via Plunge
Protection Team) until an alternate
system (like Bitcoin) is in place. Ultimately, Bitcoin is an enemy to all central banks including the FED. As individuals opt to use cryptocurrencies (i.e. wire transfers, payments) and move away from using fiat currencies, the central banks lose their control over people. The central bank will effectively be irrelevant. This alternate system which is being implemented right now is part of the global currency reset that has been discussed for years.<br />
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The president of the Federal Reserve of Minneapolis, Neel Kashkari, made some interesting comments about Bitcoin a few weeks ago:<br />
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<a href="http://www.coindesk.com/feds-kashkari-says-blockchain-potential-bitcoin/" target="_blank">Fed's Kashkari Says Blockchain 'Has More Potential' Than Bitcoin</a> - Coindesk, May 9, 2017<br />
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"This is a topic a lot of people across the Fed are paying attention to and watching how it evolves."<br /><br />"The problem I have [with bitcoin] is while it says, by design, you're limiting the number of bitcoins that can be created, it doesn’t stop me from creating NeelCoin or somebody from creating Bobcoin or Marycoin or Susiecoin."</blockquote>
Perhaps Mr. Kashkari didn't realize he was actually making an endorsement for Bitcoin with his statements. Central bankers shouldn't be the only ones allowed to create money.<br />
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In fact, anyone can should be able to create their own cryptocurrency. While over two years old, you can get essential instructions from these articles:<br />
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<a href="https://www.fastcompany.com/3025700/how-to-create-your-own-cryptocurrency" target="_blank">How To Create Your Own Cryptocurrency</a> - Fast Company, January 29, 2014<br /><a href="http://cryptorials.io/how-anyone-can-make-their-own-digital-currency/" target="_blank">How Anyone Can Make Their Own Digital Currency</a> - Cryptorials, June 12, 2015<br />
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(Wow, maybe this can convince some unfortunate, misguided individuals that the Jews really don't run the world and control all the banks.)<br />
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Back in 1980, as the price of gold and silver exploded higher, the FED raised interest rates several times. They also stopped the Hunt brothers from <a href="https://en.wikipedia.org/wiki/Silver_Thursday" target="_blank">cornering the silver market</a>. Today, a similar interest rate increase is not possible as the national debt (as % of GDP) is much higher than it was back then.<br />
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Although the precious metals markets are rigged, as evidenced by the recent Deutsche Bank settlement,<br />
<a href="https://www.bloomberg.com/news/articles/2016-04-13/deutsche-bank-settles-silver-price-fixing-claims-lawyers-say" target="_blank">Deutsche Bank Settles Silver, Gold Price-Manipulation Suits </a>- Bloomberg, April 13, 2016<br />
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Wall Street has limited resources for
manipulating cryptocurrencies. There are no ETFs (Exchange Traded Funds)
approved by the SEC that directly track cryptocurrencies like Bitcoin. So, there is limited potential of selling short Bitcoins. There could be future raids on one of the exchanges (i.e. <a href="https://en.wikipedia.org/wiki/Mt._Gox" target="_blank">Mt. Gox</a>) but this will only be temporary setback and not stop the momentum of cryptocurrencies.<br />
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We can only hope that the transition is smooth. I wouldn't count on it.</div>
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Alan Yerushalmihttp://www.blogger.com/profile/10960130707687033705noreply@blogger.com2