The markets of late have been like watching paint dry.
I’ll address them in a few minutes.
But first, let me tell you about some reflective thoughts I had while watching the markets this past week.
Thoughts about what a mess the world is in. There’s a whole lot going on that I don’t like one bit at all.
I don’t like the fact that China is being very aggressive in the South China Sea, and that it is all but certain a war will break out there some day soon.
I don’t like the fact that Germany is now becoming the last shoe to drop in the European Union, with its GDP for the most recent quarter slumping badly.
I don’t like the rise of neo-Nazi and fascist groups all over Europe.
Nor the very real chance Putin will invade Ukraine and other Eastern European countries and former Soviet Union satellites.
I am very worried too about the Middle East. I have absolutely no doubt that a wider war looms dead ahead, between several Middle Eastern countries.
Or that the Ebola virus could become the 21st century’s Black Death.
But these are just a few of the things I don’t like about the current state of the world.
I am extremely worried about what’s happening in my own country.
I am worried that our insane and arcane tax code is driving the rich to invest overseas and to even give up their citizenship.
And that there is now a rash of “corporate inversions” going on where some of our biggest and brightest companies are leaving our shores for lower-taxed homes in other countries.
Our tax code is precisely what our forefathers didn’t want. A direct tax on our labor that effectively turned our country into a socialist state by making us all slaves of a leviathan.
And by giving the government the right to intrude on your privacy by monitoring everything you make and do.
That’s what our income tax is. Our forefathers were against all forms of direct taxation, and were for indirect taxation instead, such as a national sales tax.
But now, we have the opposite — an income tax that has become so repressive that the IRS is now chasing down every penny it can find, even money you have or earn outside of the U.S. — making our country the only developed country in the world to have such a draconian tax system.
Yes, you are an economic slave to Washington.
I don’t like how our federal government wastes more money than one could do if they were stinking drunk, and though they could issue blank checks and promises to everyone.
And that behind closed doors in Washington, our leaders are actively considering the International Monetary Fund’s socialist answer to simply grab 10 percent of everyone’s wealth to help solve our debt problems …
And to further confiscate our wealth by requiring all retirement accounts to buy U.S. Treasuries.
I totally despise the fact that 200 million Americans now live completely without any constitutional rights, in a so-called “Constitution-free zone” where you can be stopped, searched and thrown in jail without a warrant or due cause.
The NSA spying, which continues unabated, has trampled on our right to privacy — another completely distasteful act our leaders are engaging in.
I also despise the fact that our country’s legal system has become such a farce that each and every one of us is guilty of committing as many as three felonies a day, according to research by Harvey Silverglate and Alan M. Dershowitz.
And the Department of Homeland Security (DHS)? Along with the IRS, it’s become the modern-day Gestapo — an internal standing Army intruding and trampling on your privacy and liberty.
Arming and militarizing local police with military-grade armored vehicles and weapons, 1.8 billion hollow-point bullets and more.
Can you blame the people of Ferguson, Missouri? How would you react if militarized police paraded down your street loaded to the gills with all sorts of hardware you’d normally see only in a war-like situation?
And lest you think Ferguson is an extreme example of the American police state, think again. There are countless examples of heavily armed SWAT teams being used in America even for routine investigations and petty crimes.
Thing is, the war cycles ramp up all the way into late 2020. That means we have almost six years to go before there is any relief in sight.
Sure, there will be brief interludes between now and then. But in the months and years ahead you can expect …
 More civil wars across the globe
 Massive social and political unrest in the developed economies of Europe and the U.S.
 Rising taxation and confiscatory wealth measures
 International wars
 More international terrorism
 More invasions on your privacy
 More Fergusons
And more, lots more geo-political unrest, the worst we have seen, according to my war cycle models, since the mid-1800s.
And on top of all that, you will see the baton of the largest economy in the world get passed from the U.S. to China.
As to the markets, there have been no changes since my column last week.
First, the U.S. broad equity markets, as expected, have bounced. But that’s all it is, a bounce. A 20 percent swoon in the Dow lies dead ahead.
Second, continue to avoid U.S. and European sovereign bonds. Though rallying a bit in price, the risk to owning them vastly outweighs the potential reward.
Third, gold and silver remain a bit lackluster, due to summer seasonal weakness.
But be sure to use that weakness to accumulate precious metals. The next phases of their long-term bull market are right around the corner.
Fourth, continue to steer clear of the euro currency. Instead, keep most of your money in dollar-based investments. As much as there is not to like about what’s happening to the U.S. — Europe and the Middle East are in worse shape, which is driving frightened capital directly into the dollar.
Fifth, consider investing in Asia, which is a bright spot in the world. I repeat my warning in my last column: According to all of my models, most Asian equity markets are now embarking upon new long-term bull markets, with China leading the way higher.
What is your view on all this? How do you see things developing in the near term? Feel free to add your comments to the discussion — click here to participate.
Stay tuned, stay safe and best wishes,
Larry
{ 130 comments }
WHILE I AGREE WITH THE CONTENT COMPLETELY, I WOULD ADVISE CAUTION IN ASIAN MARKETS. I, TOO LIVE IN THAILAND NOW AND TRAVEL EXTENSIVELY IN ASIA. THE ONE COMMONALITY IN ALL OF ASEAN AND ASIA IS THREE SETS OF BOOKS AND TOP TO BOTTOM CORRUPTION. THIS MAKES DUE DILIGENCE IN INDIVIDUAL EQUITIES DIFFICULT AND RISKY. YES, THERE IS GREAT OPPORTUNITY BUT NOT FOR THE RISK AVERSE. YOU HAVE RECOMMENDED ETF VEHICLES AND THAT IS PROBABLY THE SAFE PLAY. ON THE HORIZON……………….LAOS.
REGARDS,
DOUG LATHAM
Larry any idea of when gold silver ratio is going to change date wise
dale …ARE YOU KIDDING ? You expect him to know that ? OMG !!!
Larry any idea ofwhen gold silver ratio is going to change date wise?
Larry,
When do you see the Euro really start to decline and by how much?
Thanks,
Barry
Dear Larry,
Madness! I thought I’d pass along an observation from Iowa. No one can even find Iowa on a map. I was driving down the interstate and I saw 4 military Humvee’s on the flatbeds of trucks rolling along with the new DEW active denial systems on board trucks heading south! This was last Friday after the Ferguson incident. A strange sight from the corn fields of Iowa. Have a great day! Keep us informed.
Creig
Larry,Just too hard this international politics. Like to keep things simple. When is gold and silver going up? There always seems to be some reason why it isn’t moving up..
Larry you state that the Bull market for PMs is just around the corner….but you said the same 12 months ago!! What gives ?
Paul…this is how you keep the customer …” it’s just around the corner ” !!!
Larry, I lost a lot of money in gold mining stocks that you recommended last summer. Will mining stocks ever regain forward momentum?
Darryl , how can you say that when other people say how he is ” right on ” and other great things like that .
it is,. but he didn’t say what corner now did he!
Paul ….remember , they are in business to sell their subscription !!!!
Frederick ….even Martin Armstrong doesn’t know for sure but 2015.75 is a possibility .
In the meantime they will write ” as it would be just around the corner ” . …they need your business . Remember all the advertisement ( and urgent buys of silver Co. ? ) ha- watch PAAS going back to $ 10 when silver goes to $ 18 .
Frederick ….just because it’s not time yet for gold to go up . …period. Did you really thought Larry would know ?
To fix our problem we should do somthing about this socialist in white house or we are done.
Peter, I am so sick and tired of hearing this “socialist in the white house” bs I could barf. I am no fan, but try as I might, I can’t think of anybody who is likely to improve the situation. Of all the politicians in America, can you really think of ONE you really trust? Every crazy ideology is worse than the one before. Also, tell me, is there any media or poltical source anywhere that you actually trust? All this “socialist” talk does is make us think there is some simple solution that will solve everything.
Let’s stop simple minded blathering about socialism shall we. The “socialist” Scandinavian countries are going just fine so are “socialist” Canada, New Zealand, Australia, Taiwan and so forth. The problem in the US is socialism for the super rich and poor and capitalism for everyone else. Simple minded Fox news labelizing is far easier than finding solutions to complex problems. Uber capitalist Bush did a great job didn’t he.
Canada, Australia, have elected Conservative Governments, Comrade Geos.
Also please see a competent doctor on that case of Bush derangement syndrome. Bushies are not opposed to your Clintonistas or Obamanation, they All work for the dissolution of America and the implementation of the NWO. Just different means to the same Progressive Socialist end.
All politicians work for their own power and wealth and damn anyone else..
@GenEarly
The NWO has nothing to do with socialism. The NWO is a corporate i.e. bank, military, big business cartels driven effort by those now in power and they are not the socialists. If you want to call it corporate socialism then OK, but social spending is not where the vast numbers of dollars are being spent.
geos, your solution is more government.
How much more? How much more will it cost? where will the money come from? What will this ever larger government look like in terms of enforcement? Who will the elites be in your utopia?
The Scandinavian countries are doing fine, IF you like being led around by the nose.
Many of us don’t. What about us? Or is it that we simply don’t matter in your socialist utopia?
That about covers it. You just don’t matter. Sorry
I’ve expressed my sentiments at http://www.ifiwerepotus.com
Keep up the good work Larry,
Dan
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“An eye for an eye will only make the whole world blind.â€
― Mahatma Gandhi
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And ‘Blind’ is what we are with governments around the globe sponsoring greed (QE) which is leading to all of this conflict among nations.
I was born in 1942 when the World population was 2.5 billion; we are now at 7 billion and counting.
In my era of growing up we worked for every penny that we spent. Compare the decadence and falseness of today’s society
It is a simple equation;
1. We have insufficient resources to satisfy the greed of the World
2. The grab by nations for land & sea
3. Too many people and not enough ‘Human Beings
……………………………………………………………………………………………………………………………………………………..
“Earth provides enough to satisfy every man’s needs, but not every man’s greed.â€
― Mahatma Gandhi
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Keep up the good work Larry ‘the perfect storm’ is around the corner.
Goodbye to those so called experts that are bearish on GOLD- my advice to them is to pay less attention to the technical’s and focus on reality.
Regards
Mike Harvey
Resident in Ireland
Everything is ” just around the corner ” ..that’s what you say when you don’t know a darn thing .
Just watched a video on youtube titled “Agenda: Grinding America Down.” What’s happening in this country is beyond socialism.
Ray, agree with you totally. I have read all about Agenda 21. And if anybody is really interested in what these elitists have planned for America, I suggest you read about it. It’s way beyond socialism.
It is absolutely APPALLING (to put it mildly) that you are practically begging and praying for a world war to occur, so that you can emerge as the master war cycles forecaster of all time and so that Martin will hail you as his canniest predictor of precious metals. If there is a world war, the price of gold will rise, and YOU will be ecstatic, EVEN IF MILLIONS OF PEOPLE DIE. Try to be a bit more of a humanitarian. Your reputation means nothing at all by comparison with the price, in terms of suffering, of a world war.
Blaming the messenger? If you are soooo appalled, then Do Nothing and continue with your Sheeples “Forward” into what others have planned for you, a Prog Socialist Utopia that you will find “comforting”.
n wha you gonna do matey? hide in caravan buried in a big hole in the desert? i dont think so
Could help to consider a bit of realism as well. No one, including Larry wants a war, but at least Larry has seen it coming and is making some predictions as to what may happen as a result.
Sometimes u lead sometimes u follow I’m listing too u I be live u r right I wish u would give payment plans on your courses so I can learn so much more. Thanksfor all youhelp.
I would not invest in China. There is “irrational exuberance” in the “Myth of the China Market”. It has happened before in the 1800’s, I believe. China like Amerika needs some “foreign devils” to attack to unite their sheeples and focus their attention away from the Ruling Elites failures.
US bond market will continue to rally for two reasons – euro is too high, European investors will get more $$ and US bond yield is higher. After a few months, euro may be at $1.20 from $1.34, and then they can transfer the money to euros – compounded rate of return.
This is just from my perspective – I am novice but like to read and learn a lot.
Excellent observations on the state of the world. Not sure why you think that things will calm down in the 2020’s though. These times of trouble have always been around but never to the degree that they are at present. Comparisons to WWI and WWII miss the point as these were steps in the march to where we are now – a long gradual decline as pieces align. Thanks for the insights!
I am convinced that all the creativity of all our peoples intelligence is being systematically and deliberately strangled by over-regulation of everything. The intelligence we require to solve today’s issues is a threat to the current elites, because it would diminish their own privileged position. Tax is not about money, it is about government control of the citizenry. If, apparently, we can electronically generate as much money as we want, there is no need to generate any funds from taxation.
Rod Griffiths
I’m amazed that the price of silver is so low when all this money printing has created such a financial crisis here in America. We are completely broke, overtaxed, and we have to print money to pay our bills. This by far should of driven down the value of our dollar and force the commodities market higher than ever.. What is really going on here and why does it seem like I have no say about stopping this MAD MONEY PRINTING SKEEM..
David
As for the loss of freedom in the United States, what can you expect when we put our government in the hands of POLITICIANS, who are, almost by definition, liars, cheats and crooks. The Mafia is probably more trustworthy than our government.
it seems to me every one does not see the reasons for all of this..
I A M 86 AND KNOW HOW TO DO THIS REALLY STARTED TO GO FORTH IN THE MID 19 50 S
NO ONE SEEMS TO NOTICE
IT AS GATHER STEAM IN THE LAST 60 YEARSHANDY SANDY E W SONDER
GA 30223
GET RID OF THIS AND U WOULD SEE A BETTER FUTURE FOR USA
ALSO ALL MY LIFE ANOTHER WAY TO SEE IT FOR THE 2ND REASON IS
AND THE 3RD REASON IS THE BIGGEST ONE OF ALL
esode@copper.net
I’ll be 86, myself, in Oct., and if you are saying Harry Truman was the last halfway honest politician in the White House, I almost agree. Eisenhower was not really a politician, and let things get out of hand, and no one has really been in control of the avaricious politicians since. Kennedy might have done it if he’d had time, but he got sidetracked dealing with international crooks, and was taken out before he could do anything about the domestic crooks.
GILDED AGE (FOR SOME)
Personally, I’ve been waiting for a 20% or better correction since 2010. I may still be waiting for awhile. Gold and Silver have yet to really catch on. Maybe a new conflict somewhere else to rival the Russian-Ukraine conflict would get the gold bugs stirred-up. Patience often pays, but you have to have conviction and time ( seven more years).
Friday seemed to suggest a change in seasons is on the way with “risk-on” investments like Apple and the NASDAQ going up while at the SAME time, “risk-off” investments like 10-year Treasury bonds went DOWN !! When troops in the field scatter and run in all directions, its called a route. I regard this market confusion as a sign of a LACK of conviction. Now, the million dollar question: Are we in a bubble of sorts? Well, lets look closer and a bit differently to help decide the answer.
Morgan Stanley charges a full commission for a single stock trade (Sell) of $273.0 each time unless the broker executing the order remembers to enter a code that discounts the commission rate down (called a “preferential rate”). It can be as low as only $100.0, but a friend e-mailed me to tell me its still only a $9.00 trade if you do it yourself online.
So, there HAS to be a bubble in there somewhere because Wall Street Brokerages and bankers live in a different world from everybody else with inflated asset values and high corresponding costs. We really do need a big correction soon, not in three more years. Been hearing that for some time now. Morgan Stanley just reported they get 47% of the firm’s total revenue from their Private Wealth Management Division ( local branches).
Scottrade is only $7.00 a trade. WHY do people think they have to pay commissions to get invested in the market!
Correction: Treasuries went up Friday, but the interest rate went DOWN.
PLEASE HELP US TO LEARN WHICH POLITICAL CANDIDATES WILL TRY TO REMOVE THE INCOME TAX AND SUBSTITUTE IT WILL A NATIONAL SALES TAX. Those of us who work for a living are tired to paying everyone’s way and being punished for working.
The Tea Party candidates are my first choice. They believe in our freedoms, right to bear arms,a change in our taxation system, and the Constitution. I don’t understand why people are voting the same old cronies back in that have been there all their lives living off the tax payers. We don’t need repubs; we don’t need dems, we need those who believe in God and country before their own greed. Both parties are afraid of these kind of candidates because that would mean so many of the old cronies would lose their cushy live styles. Very cushy.
Just wanted to add the Tea Party wants term limits for Congress. That is why they are so scary.
You confuse socialism with government support of the corporate agenda. What is wrong with spending the people’s money on the people. But that by in large is not what is happening. The people’s money is being wasted in billions of dollars on government support to the banking, arms and oil industries. You make very little mention of he totally wasteful spending on the military and their various stupid and un-winnable wars. These war actions are happening to further the corporate takeover of the world and put the American people further in debt paying for it all through borrowing and piling up the national debt. The arms makers have profited hugely through all of this. Drastic cuts in spending to the military and Homeland Security would help to reduce the debt and leave more of the people’s money for spending on social programs.
I think that you are right on the money. Maybe you can get a notion from my email address. Seems we have many nihilist on board in positions of leadership. These leaders (?) seem to think that we can proceed to the desired goal without compass. Foolish, I know. Our founding fathers were wise men. But we seem to be hiding from wise. Lots of paralles between Israel and America in the direction being taken.
You are a wise man.
While I do agree with most of your statements, following is rather silly:
“Can you blame the people of Ferguson, Missouri? How would you react if militarized police paraded down your street loaded to the gills with all sorts of hardware you’d normally see only in a war-like situation?” Somehow your logic used in world situation observation is missing in US (Ferguson) observation.
Hi Larry,
Thanks for the scary update but if possible would like to know how you size this USA problem affecting CANADA?
Also I did talk to the Canadian Investor relations person with IMG and he stated that the all in costs and cash costs for it’s gold were going up due to their mines hitting hard rock instead of soft rock. Therefore their profits will drop and the stock will not appreciate as well.
Please compare IMG’s AIC’s to LSG.to on the TSX index.
Jim
You pretty well summed up the international & national situation. You just forgot to include one other point – the global invasion of our southern border where drug cartels, human smugglers and their victims, thieves, rapists & murderers, and finally African, Asian & Middle Eastern terrorists enter America at will with the Lord only knows what kind of diseases in their bodies and mayhem in their hearts.
The Soviets built an iron curtain to keep their people IN. You seem to want an iron curtain to keep others OUT, The Soviet iron curtain didn’t really work that well, and neither will yours.
Chuck –
Get Real. It is not a matter of keeping people out. It is a matter of integrating foreigners into the national culture in an orderly, lawful and economically viable manner.
What is occurring now is suicide. But then again, that may be what you desire.
You seem to be somewhat satisfied with the present stock market but believe you me there is coming a day when the market will bottom out as it did in 1929 thanks to the U.S. debt that is in the trillions this is no way a prediction but a fact.!!!!
—————–
Andy
It seems to me that what you report in terms of facts is accurate, However, the truth is somewhat different. The massive unrest that has engulfed North Africa, the Middle East, Afghanistan and now Ukraine has been carefully orchestrated by none other than the USA. In fact, from Iraq and Afghanistan to Syria and almost Iran, to Libya and Egypt and finally now in the Ukraine the involvement of America in “regime change” has been clear. The latest effort in Ukraine is documented to have cost the US $5Bn in securing the overthrow of the democratically elected President (and that figure came from Ms Nuland Assistant to the Secretary of State – the same lady who delicately was overheard to say “F*ck the EU” in regard to who should take over in the Ukraine). The other near genocidal activity within Israel is yet another example of the US’s single mindedness in pursuing their hegemonic aspirations to ensure that their surrogate US partner remains ever dominant in that region regardless of the consequences to civilians. And why does the US pursue such disruption and now is seeking a war with Russia? My guess is that like so many governments in history that have got themselves into a complete and utter mess, the best way out is to pick a fight, cause a war and to claim that the economics hardships which then follow are the result of their enemy’s “aggression”. In short, blame somebody else for their own failings.
Having said that my guess it that you are correct and that we may well be heading for major international military disruptions over the coming years.
In regard to the future economic situation in Europe and the USA, my guess is that we are all heading for deflation – not inflation or hyperinflation – as so many suggest. The private debt (personal and company) is massive and has grown in the corporate sector since 2008 because of ZIRP. However, even the massive QE programs have only just compensated for the develeraging that has occurred in the private sector. Since debt is the origin of all currency this suggests to me that inflation is unlikely. Also with the sudden and sustained emergence of demographic problems of an aging baby boomer generation (approx 10,000 new retirees per day for many years to come in the US and Europe just about to start a similar aging decline) all I can see is a reduction in personal spending, a reduction in personal debt, a slowing of GDP and a realisation by business at large that we are never within the next two to three decades going to return to the old growth model which has sustained the west since the end of the Second World War.
Perhaps that is another reason why the USA are pursuing a warmongering policy? After all a major war would definitely be good for the US economy st such a tricky time.
Agree about the deflation. Despite the Fed’s efforts to promote controlled inflation, they will lose control. Already, wages are not keeping up with prices, and if earners don’t have money to buy things, merchants must reduce prices (and often quality, too). Producers must reduce costs, and prices of their products. Will 2015 or ’16 be the year of the Greater Depression. I wouldn’t be surprised. And politicians know only one way out of depression: WAR!
Addendum: You’ll notice that Middle Class merchants like Walmart and McDonalds are seeing lower sales and profits. The dollar stores are picking up the pieces and making money – for now.
Addendum: Some analysts say that much of Europe is already in depression status, and look where war is starting to break out!
I can’t understand why we don’t tax products sold in the US 100 percent. If you sell 90 percent of your product in the US, why should you expect to be able to stop paying taxes to the US by buying a small foreign company and calling it your HQ? Companies exist to make profit, and any tax loophole will be exploited unless government takes appropriate action.
So you think Big Daddy knows what is best for you and yours? A pat on the head for a good little slave!
I think if we have attained any spiritual insights and wisdom then we truly can understand ” we are in this world, not of this world”.
Everything you point out is true and more……no wonder people ( and companies ) are abdicating this good ole USA for foreign soils; trouble is, they will find same problems, in different ways. Perhaps in the final chapter of the Revolutionary War the survival of the fittest, will survive. God will prevail, make no mistake. Wouldn’t George Washington be proud!
God will prevail
As we all sit here pondering, the fact remains that the world is always in turmoil. As investors/traders, we make the best educated guess where we think prices and things go at any given moment. We all see the same things. We just all interpret differently. The other important fact is that Government intervention all over has changed the dynamics of economics and thus, markets. Most equity markets are at highs ex Japan and interest rates are at all time lows with the mostly anemic economic global growth. Pretty interesting scenarios compared to what I learned in economics all those years ago.
Have you changed your outlook on IAG?
Weiss Ratings just downgraded IAG to D. Comment?
Tomorrow cannot be predicted, we are living in a non linear World. Remember do not go against Nature, you will eventually lose = non linear.
As for investing in the US dollar, its like supporting organized crime.
Even my response to a Newsletter disappeared, before I could send it. Then the Shortcut disappeared.
I still don’t understand the philosophy behind in and out trading of gold stocks. If you are right that gold has bottomed this only leads to a strong possibility that your followers will get stopped out of good long term positions. IAG was your #1 pick for a miner stock. And yet you had a stop on it, which was picked off, and now IAG is much higher. Your idea was to buy back in at a lower price than the stop loss price. But if the stock did continue to drop even further wouldn’t that suggest that there was something FUNDAMENTALLY wrong with IAG? And therefore a good reason to avoid it? And another thing I don’t understand: You urged your followers to sell ALL of their stocks, purely on the basis that you foresaw a short term correction before a longer term surge to new highs. So far the correction hasn’t happened, but even if it does, doesn’t “sell everything” risk missing out on that big future bull market that you predict? Is it really possible to fine tune selling and buying to that degree. Even you admit that you are not infallible on that score.
Larry, I’m still confused about your comments regarding Gold manipulation. Again, I agree that in the end, this market can’t be manipulated a as an end result. But it is in the Central Banks best interest to keep downward pressure on the price of Gold. Why? Simply time, the time they all need to carry out thier plans. There is many, many reasons for CB’s to try to keep this going. Can Gold swaps, leases, trades, and the selling of the same unallocated Gold hundreds of times vs. the reall amount of allocated Gold effect the price, sure it can. Just not forever. Is it done, yes I believe it is by the biggest banks. As soon as the Psych changes, however, that type of manipulation will do no good at all. My question is, why don’t you believe it happens, especially being a history buff? I know some manipulation did not work,like when in the late 1970s the US dumped so much Gold on the market (400tonnes) and the price went up! Well, they don’t sell physical Gold like that anymore. They don’t have to. There is much more leverage by selling Gold that never really moves anywhere, over and over. Can you acknowledge that this is not really happening, and why you believe otherwise? Nick
Hi Larry, As a therapist and minister, I find your analysis of the economy amazingly accurate according to biblical prophecies of the days in which we live. What are your views for retirees moving to a place like Uruquay vs staying put where you live in the US?
The U.S., China and Russia are currently the Big Three, with the big nuclear sticks. A few others have smaller sticks. The U.S. just took steps to be sure its stick is in good shape for whatever may come. I doubt if that action was lost on the other stick holders. Uruguay, et al are part of this world, and if the sticks begin pummeling, they are likely to strike just about anywhere.
Larry,
While I value your articulation of world events and the markets and hold you advice as the best out there, I have a problem with the China bullishness, I don’t doubt they will eventually be the largest economy in the world. However, I see the cracking of that housing market in this time,, I believe with the over investment, both personal and governmental, these cracks and the corruption of the banking system will cause a very hard fall, this could also provoke warlike tendency in the government that draw us all in. Not good for that market and probably not for ours either.
Agree with you on most of your comments but need to give you a big 0 on your Ferguson comments. You must be getting your info from the wrong sources.
LARRY, YOU’RE WAR CYCLE IS SO INTERESTING TO ME BECAUSE IT CONFORMS QUITE CLOSELY TO THE COMING OF THE TRIBULATION SPOKEN OF IN THE BIBLE, AKA THE TIME OD JACOB’S TROUBLE. ISRAEL IS THE CENTER OF GOD’S PLAN AND IS THE ULTIMATE CRUCIBLE OF JUDGEMENT, WHERE THE LORD WILL JUDGE TO WORLD IN THE “BATTLE OF ARMAGEDDON”, WHICH IS NOT A BATTLE LIKE WE THINK, BUT IS WHERE THE GREAT WORLD ARMY IS DESTROYED BY THE LORD JESUS CHRIST AFTER WHICH ISRAEL RECEIVES THE KINGDOM REST PROMISED BY GOD TO ABRAHAM. SHALOM
I have been a student of biblical prophecy for the last thirty years. I see it unfolding before my eyes with increasing frequency. Stunning and Chilling.
WE are all politicians to some degree – it’s what we have to do to find a place and get along in this world of humans. Some us, who live in a democratic part of the world, choose the professional politicians who run our nations, and we can oust them by a vote, if we choose. Others live in nations that have allowed other professional politicians to take power whether people like them or not, and they cannot oust them except through force. But all the world’s leaders are nothing more or less than professional politicians, and all are birds of a feather when it comes to their desires for power and wealth. Remember that the next time you cast a ballot. And remember that you are lucky to still have a choice.
Larry: Your latest was beyond interesting. I could have written it, and may have. Several decades ago I did “an essay” in which I said the “power” will leave the USA someday soon and where will it go? My answer, some 30 years ago was,…China. As to your readers and Biblical prophesy, don’t forget that the Temple must be rebuilt and there is only one place for it. There is something presently on that site which will have to be gone first. Thanks for all you do. Dr. Jack
I think most people seem to for get that the next big war will probably be the last war.
The Current US: An Analogy
You’ve worked hard and been frugal but you want your family to have a nice time once and a while so you take them to a nice restaurant. Not a chain and not one where they scrape your crumbs away. The place is about 2/3rds full and you have a nice time. A brief respite from work and other worries. Suddenly, a crowd of people come streaming into the restaurant, overwhelming the staff and taking any seats they want, filling the place and demanding service. You’re finished your meal and call for the check, which you have estimated to be about $125. When the waiter appears with the bill it’s for $700. You protest and the manager arrives. He tells you that the people who just came in cannot afford to pay for their meals and that you and the rest of the diners who were originally there must make up the difference and thus your share overall is the $700. You pull out $125 (no tip) and leave it on the table and attempt to leave. As you reach the front door and attempt to exit, you are arrested.
I’m 86 years old and have long believed that our human species is responsible to constantly mature, improve our civilization and protect our planet’s environment that is essential to our existence. But, after reading Larry’s article and the resulting comments, I’m only more convinced that our species peaked in maturity long ago and has not only now proven itself incapable of improving our expanding so-called civilization but also of preventing its current decline. Indeed, I suggest that our civilization should quarantine itself to prevent it from contaminating the rest of our solar system and beyond. Better to hope a new species will evolve elsewhere that is free of greed and the power hungry and, therefore, can produce and maintain civilizations whose people can live in peace and harmony (possible role model: beehives).
Also, a more advanced species would recognize that the taxpayers of a country with a $17.6 trillion debt of postponed taxes has been under-taxed, not over-taxed.
Hi Larry …
When you said …
“… Our forefathers were against all forms of direct taxation, and were for indirect taxation instead, such as a national sales tax.”
I couldn’t agree more with you on this Larry. But is there even one politician that is talking about switching from a direct income tax to a sales tax? Maybe someone is … but its not something that I’ve heard.
And when one understands the actual original and continuing purpose as to why the income tax was instituted to begin with … to create a “synthetic” type of “intrinsic value” to what would otherwise be worthless, un-backed RFNs. That is … back in 1913 when they created the FED they also created the income tax the same year. Because they obviously were planning (even before that time) to go to a fiat currency. And so how can you create a need for a worthless fiat currency? You force people to pay a tax where only that worthless currency may be used to pay the tax (not gold, not silver, nothing else is accepted as payment). That way people are forced to use the currency by law! They are required by law to pay their taxes with it! I suspect that it would take no less to abolish the FED itself than it would to get rid of the IRS and the income tax. They are both a necessary part of the same monster that belongs to that international cartel of bankers that thru their control of the FED run the world.
They are like bee keepers … and these are the devices they use to rob the hive and set themselves as the rullers of America (and the entire world … at least that’s their plan). So to accomplish that these “new world order” people would have to be beaten. And good luck with that! Because it appears obvious to me that “we, the people” just don’t have what it takes to accomplish that. I mean somebody voted for Obama … twice no less … didn’t they! Not that Obama is any more than a puppet being run by the puppeteers … but the point is the “great American public” vote the puppeteers picks into office! And nothing’s going to go right until that stops. So what would it take to stop that? Obviously the real heart and core of the problem can be stated very simply … “There’s nothing wrong with America … just the people in it!”. And that problem is not going away. Because these “would be” world rulers are masters at manipulating the clueless public. So though I couldn’t agree with you more … I just don’t think that (a sales tax) is what we’re going to get … ever. Please prove me wrong Larry!!!
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You put your finger on the problem: Low information people. Ignorant people might be a better description of those who voted to elect Obama twice. The politicians and the system has reached new lows of corruption by giving hand-outs to “the poor,” keeping them feeding on the public trough just to perpetuate their grip on power.
Now, the Obama administration wants to allow 5 million “new” low information types into the USA, even though they broke the law by coming illegally.
At some point the Silent Majority is going to have had it, will march on Washington and demand real change from the government such as stopping the NSA from spying on the citizens, turning the IRS on its head, and require a return to the Constitution!
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Hi Larry! I’ve been reading your insights for a few years and your interpretation of the War Cycles is obviously correct according to the science of numbers (see my 2008 book, Universal Numbers and the Number 9 Destiny of Humankind at Amazon). The basic 18-year short cycle and basic 54-year long cycle are very revealing because 9 is the cyclic number and 18 (2 x 9) is the TIME number, and 54 is the triplication (3 is the WHOLE number) of the time number 18. Indeed, my 2008 number 9 book verifies this dramatically.
As to the scenario for World War III (again, 3 is the whole number), my studies of numerology, astrology and Bible prophecy, the prelude to Armageddon (pertains to Megiddo near Nazareth) will start with Germany/EU troops occupying Cyprus as the launching site for the EU (10 powerful states) to destroy Iran as the “king of the south”. Then this powerful resurrection of the Holy Roman Empire will launch a blitzkrieg (a German specialty) on Russia (Putin is the prophesied “king of the east”). Then, Russia (Gog) and China (Magog) jointly will retaliate to destroy much of Europe, probably using nuclear missiles fired from space platforms (think James Bond movie Moonraker). A massive Chinese army will head toward the Middle East and preparations for a last global battle at Armagedddon/Megiddo will signal the time for the Christ Soul/Spirit to intervene to save the remaining two-thirds of humankind. The Fatima Prophecy describes a similar scenario.
William,
I think you forgot to mention that, in WWIII, one third of the world population will die.
I’m sure you know how any that is.
Your precious metals (particularly gold) advice is invaluable. Also, as a student of history, I find your war cycles research and commentary fascinating.
Larry
Let me get this out of the way; Your opinion on who the bad guys are in Ferguson, I don’t think belong in your article. What bothers me is that there was no comment of the Muslims being in the daylight march. Since 911, I’ve been measuring the population (in percentage) when Muslims started to act up in different countries. When you get a chance, find out if Jihad has any training camps in America. Let’s see what you think.
However, what do you think will happen to those that have mortgages when China picks up that “baton”
Hi Larry,
I now live in Canada, and feel distinctly uncomfortable as I watch what is happening to the south. I see fascism and fear, and clever gurus moving in to take from the vulnerable
,
Take a look at Karatbars International via my website http://www.goldilocksandthethreebars.com in which I exolain how this method of saving safely and legally gives us the freedom to breathe and make sound life choices.
Also, do your best not to worry, just know that you and everyone else reading is a sovereign being with innate cleverness and creativity. Bullies hate to be exposed, so let’s expose them for what they are – bullies acting like robots for their superiors..
I certainly do not disagree: BUT, we may never get to 2020 for the war cycles to start to decrease. I suspect that the day of the Lord is very near.
Is there really a Constitution-Free Zone?
What the hell is that anyway?
Constitution Free is against everything this country stands for.
Did all our Men and Women die in vain by fighting for our Freedom?
What Needs To Be Done Here???
Here is the ACLU map that I believe Larry used. https://www.aclu.org/know-your-rights-constitution-free-zone-map
Larry don’t you feel if the US markets drop won’t the Asia markets drop as well.
America is done. Unfortunately the majority of people in this country can’t or won’t see it. People as a whole in the country have brought it upon themselves because they have voted and put the wrong people in office whether democrat or republican. The price we are all going to pay is our loss of freedom and our country. So those of us who know the direction the country is going have no choice but to sit back and watch the tragedy unfold until the masses have no choice but to stand up and get involved.
One more comment Larry. The FED … income tax … this is how it works. Now this is a general concept thing … so let the details alone.
John Q works and tries to save his money. Say he accumulates $100,000 and has it in savings. Suppose over a period of time the interest he makes results in his savings becoming $120,000. But during that same time the Fed and the government are busy redefining the dollar (i.e., inflating the currency … destroying the value of the $) so that now a dollar is only worth 50 cents. So while John Q thinks his funds have increased by $20,000 … actually they are now only worth $60,000 of the dollars he originally had. Someone else ended up with that $40,000 differential … and it wasn’t John Q … he got robbed (but somehow he just doesn’t get it … and so won’t do anything about it). The one’s who got that $40,000 were the government and the bankers. It was a secret tax. The government (in cahoots with the bankers) stole it. The Government printed up this huge trillion dollar plus bond. Took it to, and gave it to the Fed for Fed created RFNs (we call them dollars … trillions of them). Where did the Fed get those trillions of RFNs? From nowhere. They just wrote a check on an account that has nothing in it. Now everybody treats these RFNs as though they actually came from this account … but its just make believe. The government then takes all these fictitious RFNs and spends them right away (and we the public just gobble them up … like they’re real food) … while a dollar is still worth what they think it is. So they get to fund all their pork barrels so they can get reelected … and they’re reelected by the same people they’re robbing.
Now the banker’s pay off is that all this money … one way or another … gets deposited in their banks! That way they can use your money to make money for themselves by loaning your money to you. What a sweet game …. no wonder they’re so rich!
But John Q still doesn’t have a clue. In fact he’s so clueless that he then allows the government to rob him again. How? Well, now that he only has $60,000 worth of value in his account that he originally had $100,00 in … discovers that the federal government (who suffers from the malady [poor things] that they are inflation blind) says that you earned $20,000 due to the good job that they are doing with the economy. So then you have to pay taxes on that non-existent $20,000 worth of interest you made! But lucky you … you only have to pay $20,000 with dollars that are now only worth 50 cents. So really ist a tax on $10,000. I guess we pulled one over on old Uncle Sam (we’re only paying him half what we owe … ha, ha, ha …!). So … if you pay 20 percent on that $20,000 then that’s $4,000 in tax. But since a dollar is now only worth 50 cents its really only $2,000. So what you end up with in your account after the government and the bankers (who are in partnership together) rob you blind … is $58,000 … so you’re in the hole $42,000. Buy we’re all happy … and keep voting for the banker’s picks for office.
Now you might think that’s the end of the story … but you would be wrong!
Because now you have 120,000 fifty cent pieces posing as dollars in your account. So this game doesn’t stop here … it keeps going … forever. This time the government borrows again, creates inflation again … everything happens allover again … and John Q? He makes 20 percent again on the 120,000 RFNs he has in his account and so now has $144,000 in the account (an increase of $24,000). But of course now each dollar is only worth 25 cents. So actually he now only has $36,000 worth of the original $100,000 that he had in his account. But again he has to pay tax on the $24,000. This game goes on forever under a FED and income tax scheme.
It doesn’t just allow you to be taxed big once on your “pre-tax income”. It allows these shysters to tax your “after tax” capital (capital that should be yours free and clear) over and over again forever. Its accomplished by inflation, IRS inflation blindness, and a Federal Income tax. That’s all it takes. And you think they’re going to give that up? Boy … talk about wishful thinking.
In April of 2007 I was handcuffed and locked up at the US border at Niagara Falls New York. It was some time later I became aware of the “Constitutional Free Zones” in the USA. Few care about what our government does to the people in the USA. This is an excellent summary of how the world looks today when the people ignore governments’ behavior. As we face this world gone mad, we have only ourselves to blame.
Thank you Larry for your excellent analysis of the world’s condition. Much appreciated!
As for Russia and Ukraine, I have the sense that neo-fascias in the State Department engineered the largely Nazi takeover in Ukraine, which has followed with attempted genocide or expulsion of pro-Russians. On the surface, this appears to be a Nazi vs. Communist war– with popular thinking that Russia seeks to resurrect the Soviet Union.
However, the yearnings for the old Soviet borders was a reflection on the lost trust that has occurred with NATO’s incremental creep toward Russia. The west ignores commitments and gives attention to regime changes and empire building. It is the USA that seeks to take over the world. Moreover, Russia is not an atheist country, as was the Soviet Union. It will protect minorities, as it did before the rise of the Soviet Union, as in Georgia a few years ago, and as it attempts to bring humanitarian aid to east Ukraine. Ironically, President Putin stood with persecuted Christians in Egypt while President Obama stood with the Muslim Brotherhood.
I am a proud USA citizen and do not wish to live in Russia. However, following 9/11, I grieve over what our nation has become The White House has created a pool of deception, and the nation swims in lies.
Mr. Edelson, enlightening as usual, but becoming more depressing with each installment. To paraphrase the title of Blackie Sherrod’s sports column in the Dallas Morning News 40+ years ago, I am “scatter shooting while wondering whatever happened to reason and sanity…â€
Paul, Heidi, and Darryl seem to think you should be able to tell us the day and precise hour that gold, silver, et al, will turn North and not look back. I also have been following you for over a year, I just do not believe in the existence of crystal balls or tea leaves which tell the future. I have not as yet purchased one ounce of gold, nor have I purchased stock in any junior or senior miners or any corresponding ETFs. What I have done is establish a computer link to the daily gold price history on a very impressive website, and I look at it every day waiting for some evidence that the move has started. Yes, I understand there will be ups and downs, but many ups and downs in a US$ 12.00 window does not make me believe the move has actually started. Does that cause me to doubt ? Not at all. It causes me to believe that no matter how accomplished a chartist may be, charts are only indications, not the word from On High. After all, Hank Aaron was not infallible, he was just the best at what he did.
I have done my due diligence on Hard Assets Alliance, and I have my cash standing by for deployment, and yes, I still believe. If I miss the gold bottom by US$ 100 an ounce, I will be more than pleased to participate in the remaining US$ 3,600 per ounce. I have done due diligence on a number of gold miners including IAMGOLD, El Dorado Gold, AngloGold Ashanti, etc, etc. Ditto gold streaming companies. Until you say otherwise, I will continue preparing myself for the magic moment.
On another subject, I am somewhat amazed by the Neanderthal attitude some of your readers manifest, but I have a firm understanding of the Bell Curve as it applies to all characteristics and endeavors of the human race, including native intelligence, so I just try to tolerate obnoxious opinions and politics. Isn’t freedom of speech a grand concept ?
Let’s see, GenEarly’s penetrating, brilliant terms like “Clintonistas†and “Obamanationâ€â€¦Sorry to tell you, but when that socialist, liberal pig Bill Clinton left office, the Federal budget was in a surplus (for the first time in my adult life), and the United States was a job-creating machine. I do not want to argue with GenEarly, and I can understand why he uses a pseudonym. I would not want anyone to know who I was either if I had the grasp of historical facts that he/she exhibits.
Obama ? I voted for him because I would have probably become a political outlaw circa the 1960s had that Tea party bag man who ran as a Republican won that election.
I cut my Conservative Republican political teeth working for Barry Goldwater in 1964 on the University of Texas at Austin campus, the Motherland of liberal politics in Texas. I followed that by working for Nixon in 1968 and 1972, then working for Reagan in 1976 and 1980. Clinton and Bush41 ? Sat that one out. Would not vote for a Democrat, and refused to vote for Bush41. Hell, he presided over the biggest boondoggle in the history of the United States when the Resolution Trust Corporation auctioned off the banking system to the highest Wall Street bidders.
Bush43 ? Not even going to recognize that frat boy drunk as a President. It absolutely infuriates me when these latter day NeoCons talk about Reagan being their spiritual predecessor. There is not one of them who knows anything about Reagan. The man was a fiscal conservative and a social liberal, a combination which is simply to complex for a Tea Party demagogue to even contemplate.
Think I’ll quit – need to look at more gold miners.
There is no difference between Bush and Obama. The nation is a tale of moral and economic decay. Buy gold not real estate.
Martin Armstrong says gold might bottom Jan/Feb at the earliest next year. Watch out we may see $850 by then.
Energy is had a pull back and soon may start a parabolic phase into end of 2015.
Capitalism just appeases would-be reformers – absorbs them into its self – seducing one time pariahs into becoming just another DEMOGRAPHIC for is commodities.
Though Capitalism appeased the FIRST WORLD’s labor movements with reforms like minimum wage, the vast majority of the commodities produced for your “Liberal” republics are produced FAR from the malls and suburbs where they are sold.
There the situation of the 21st century proletariat is no different that the European factory workers of Marx’s day.
Wages measured in pennies, unsafe working conditions, inadequate health care and education – no hope for social advancement.
But when the third world starts demanding ITS rights and the capitalist run out of people willing to be exploited – then the True Communist Era will begin!
Larry,
I completely agree with your war cycles thesis – and the application of cycles in general. However they assume that the same cycles of population will occur into the future. This assumption has been radically altered in the past 60 years with a) introduction of birth control pills; b) wide-spread abortion (43 million in US, 500 million – 1 Billion in Asia); c) China’s one child policy. The upshot of this is that the population curves have changed. As described by Dent research, these are going to have a negative impact on growth in China within the next decade… Seems that what is needed is an integration of your historical cycles with the modified population cycles.
As to the future: Radical Religion of Peace (RROP) has announced several times that they are expecting the return of the twelfth Imam. More and more groups believe that this will be the re-established Caliphate out of Historic Constantinople. This Caliphate will “unite” the world – certainly the Middle East, India, Europe, and Africa and bring “peace” on earth. You see already how this will work out with ISIS – anyone who does not convert to RROP becomes a sacrifice. Then there is no opposition or conflict.
My 3 cents (inflation). KC
Larry,
I’m getting very tired of you continually pushing your forecasts farther and farther into the future. You might end up being right, but what good does it do us if you are off the mark for many months or years? Whatever happened to that older gentleman at Money and Markets who was always talking about cycles? He had said that 2012 was going to mark the convergence of a bunch of cycles, and that it would be a once in a hundred years event. Well, over 2 years later, and the bottom still hasn’t dropped out.
As Larry said about gold many month ago ” the low is just around the corner ” …..now- which corner does he mean ?
Larry,
Your forecast is seriously out of whack on one aspect – there is NO WAY a new bull market begins in Asia now if US & European markets go down significantly !
Absolutely NO WAY !!
Larry, I sadly have to agree with your view of current and future world events yet to happen, and now in festering modes. I have done similar research and had come to the same not good outlooks, eventho, I generally try to be optimistic in my future outlooks.
As some of my wiser political friends, have discussed with me over the yrs. on these kind of matters, governments are always slow to react in a real problem solving way, until everybody is hurting good. It takes time to get all political minds agreeing on the real solution as well as the voters too. When the country is prosperous for the majority, humans by nature will become apathetic, and not be closely guarding the chicken house from the corrupt hungry foxes, who know the voters are enjoying their prosperity and to hell with watching the chicken house (Federal govt. & its leaders). The end result for empires from history is always the same: then bondage and dictatorships.
What you can do to preserve your wealth, which is more important than growing it in these times, and yet with some luck, it may even increase in value in what will be tough times to live through. A Emeritus Dean of Finance at two Universities once informed me that in deflationary & maybe even turn into high inflationary times, that real wealth will be kept by owning real income producing assets, that are needed by any society to survive. These include farm land, energy assets, pipelines, power generating assets, healthcare assets and so forth. Own real assets not paper assets (own the company that owns the company owning assets) you get my drift. For those considering changing their citizenship, remember no country is perfectly safe from socialism and its dictatorial leaders that evolve eventually. I have been in over 16 countries and have seen what happens, when people ignore or feel they are powerless against a corrupt two-bit dictators that always evolve in those vacuums of power back by power hungry corrupt military generals to aid the takeovers. No country is an utopia forever– remember that from history.
My senatorial friend Bob Dole, once tried to get our legislature to change the tax laws off the books and switch the country to either a flat 10% national sales tax on everything except food and prescription drugs without an income tax. Fed govt said no, lawyers & accountants would lose money. He then also as an alternative suggested a flat 10% income tax without any deductions on gross income taken. Special interests didn’t like that program either. So you see the problem in Washington, and the ground sell of voter support needed demanding Washington make these difficult changes or voters will kick them out of office the next election and then do so. The pork-barrel is not always that tasty, as they continue to buy your vote over & over ever election by this pork paid for by taxpayers for your benefit. Do you see the glimmer of a solution on the horizon yet? You eventually will as more intelligent people wake up from their slumber to demand and get REAL change in a country. Get the idea?
Larry is a true Patriot and his comments are spot on. A Coup occurred in Washington and our elected officials are badly intimidated by the thugs calling the shots, the anti – American Legislation that has been passed in recent years proves it beyond any doubt. Most Americans did not want the bailouts that only benefited the crooked bankers – they did not want the Government running our Health Care & what a nightmare that will be once fully implemented – they do not want amnesty given in any form – if you are here illegally , back to your country of orgin & start the legal process of citizenship – that’s the law! and passing totally un-American – Patriot Act ( Someone said he would repeal it once in office LOL ) The NDAA Bill is even worse & of course the NSA spying and copying my post right now because of trigger words , listening in on all phone calls – it’s all beyond nuts.
Vote most of the incumbents out of office it’s time for a 3rd party as once in DC the elected officials become pretty much the same minus a couple entitlement or tax breaks. And of course term limits – 2x’s and out like the President
while i agree with you on the term limits for all elected officials, I believe the health care is way too expensive for us to absorb so there has to be something done about it.
Real wages have not increased in decades but everything has……….and healthcare is a big business just like oil, banks and congress. They all have an affect on our lives yet we do not hold them accountable for taking our tax money and our hard earned wages to pay for their well being. We are the highest cost in healthcare than all the top 10 civilized countries in the world combine………..is that the governments fault? Corporations….. created the bailout situation from the savings and loan to 2008 yet no one wants to hold them responsible….when in doubt blame the government.
If you want things to stay the same you will get eaten up by greedy banks, oil companies, insurance companies, less regulations that lessen the quality of our natural resources, and a congress that cares more about getting money and re-elected than serving the people interest. How things have changed over the last 60 years. As Larry has aptly put “a world gone mad”
I don’t see Asia going up if Dow goes 20% or deeper. Asia will trim as well.
Larry,
I always enjoy reading your educated perspective on geo-political and financial events. I know you are a student and a believer in the study of cycles, and it does appear that they are a helpful predictor of future events. I’m in lock-step agreement with you on the state of affairs in America. We have enough challenges trying to stay afloat fighting the rest of the world (literally) who are doing everything in their power to take us down. Why we think we need to help them by doing ourselves in is mind boggling. While I agree things are bad in Europe, I believe they may surprise us and come out the other side stronger. China thinks so too if you look at where they have been putting their money lately. As for how long it may take Europe to either succeed or implode is any ones guess. Critical to their success will be their ability to achieve uniformity within the Eurozone members, driving their labor costs down through sensible wages, pensions, vacations, and welfare policies. Whether they have the political will to make this happen remains to be seen.
Where we differ is China. People think China is doing everything right, and are poised to displace America in the next couple of years. My reading and studies say otherwise. China has a precarious financial non-productive infrastructure problem and severely lacks appropriate internal consumption to drive it’s economy. Billions are being spent building this infrastructure that is sitting idle with no return on that investment. Right now, much of that 7% growth is non-productive. They also are reported to have severe problems with corruption and nepotism which is at the core of their problems. For those who want to research theses comments there is ample info out there, but one of the best books I have read recently that puts everything into perspective is “The Death of Money”, by James Rickards. I highly encourage everyone who is managing assets, large or small, theirs or others to read this book!
RE: Larry, what do you really think Russia plans to do pertaining to Ukraine???? Could you PLEASE be detailed in this answer??? I know I heard Putin say He wanted to take over any of the countries that have (Russian People living in them) . This would mean most all of Europe. This would really be scary if he really tried to do this. Also, do you think the U.S. is ready to fight Russia????
Larry,
(Not sure if you ever see this or one of many assistants…if read by an assistant, I hope you will pass this through to Larry)
I rarely write to others who write, but I sense that you actually see, and have the courage to express what few others will. You are saying many “un-sayables”. I applaud you for that. There is a reason for the current escalation in war and unrest. The New Testament in the scriptures says that as we near the end of this age, “there will be wars, and rumors of wars, and that nation will rise against nation.” Interestingly, the word “nation” in the literal Greek language of the New Testament actually means, “race” or “tribe”. It is fascinating to see how unusually pervasive the race wars are today. Not within the U S but globally. A much more profound story is being played out, and though many contend there have always been these same kinds of problems, that simply is not so. The apocalypse is laughed at, seen as little more than a good exploitable topic for Hollywood, but if one simply looks at what Jesus actually said, and what John wrote in Revelation, it is stunning in view of your article today. There is coming a single world governing body, one will not be able to buy or sell unless they give their allegiance to it. This is where all of this is heading, and the pace is certainly quickening. Without technology, none of what Jesus prophesied would have been possible to be fulfilled. It was therefore mocked as ridiculous. Can’t buy or sell without government permission? Now it is patently obvious the capability to restrict buying and selling is here and now… simply not yet implemented. I have studied the words of Jesus and the prophetic books of the Old and New Testament for forty years. I have also watched in real amazement at the acceleration in the last few years. I encourage you to look at the New Testament, like corn flakes, “for the first time”. You read volumes of other writing, many outdated before the ink dries. Give the Bible an honest thorough read for yourself. I wish you all the best, and I pray you will discover the ultimate adventure of a life that experiences the ultimate fulfillment. That fulfillment is found nowhere outside of the God who describes Himself at His core as “God IS Love”. Not just that He has love, but He IS love. I have tasted of that boundless ocean, there is nothing that compares. All the best, Jamie
Hi Larry, I been closely heeding your calls on pgms, with deepening South African and Russian concerns certainly promising a good future for Platinum and especially Palladium, which itself is now registering 13 years highs. Accordingly I am now strongly invested in an Australian listed stock, Platina Resources Ltd (PGM:ASX) which not only promises to soon become Australia’s only primary Platinum producer as well as the world’s largest Scandium producer with new contracts for China just announced, but is also sitting on a 30 million oz Palladium + 10 million oz Gold untouched resource at Skaersgaard, Greenland, currently valued at zilch but which inevitably must be the cheapest open-ended call option on precious metals once pricing critical mass is reached with your precious metal pricing targets. PGM’s current market capitalisation is about AUD 20 million and completely under the radar of serious precious metals players.
Larry,
It has been a long wait to buy gold shares, but I have purchased the two you recommended to buy! Getting a bit restless and confused!
Are you waiting until gold bottoms short of support levels or rises enough to buy the list of gold shares you have recommended or reaches a special level for the gold stocks themselves or for August to be finished, but in any case will it be soon because I have cash ready to buy, but not your definitive go ahead?!
You will of course please give a clear direction in due course!
Larry, I respect your research and knowledge and the willingness to share this with many of us that are not everyday traders, and even people like me, the aging baby boomers that are trying our hardest to preserve what savings we have, since pensions where not an options for us. I agree with most of what you have said in this email “Reflections of World gone mad”, but what amazes me most is that you tend to blame the government for our woes when in reality it has been the corporations that have the real power in the US and are diving all that we have experience in the last 40 years. Their bad investments causing the bail out, several times when you include the savings and loan in the 80’s, Ennron at the turn of the century, GE and other corporations not paying taxes, when in reality we don’t have the highest tax on corporations that is trumped up by telling a half truth, a congress that has passed less regulations over the past 10+ years that have brought on higher taxes due to their foul play in investments, creating a dirty water supply, killing the oceans with toxic oil spills and radiation, wanting to disban the clean air act, somehow, some people do not think this is valid, but when you really think about it is the ultimate infrastructure. How did BP and other oil companies not take full responsibility for partially destroying the balance of nature in the seas and coastlines, we know it wasn’t money, they are the richest corporations on earth, why did you not mentioned them still getting billions from our government from an agreement decades ago that is not valid today. I am confused that you,instead, wish to focus on the government as the bad influence in our lives. Most of us know that the government is run by big business ie. do nothing congress………..how else could they get away with it……….they are getting paid and reelected by corporations not the people, so the peoples interest are not a priority. How is this not a part of what is actually happening in the US and our lives. I love what you do Larry, and again, have much respect for you as I am a Real Wealth subscriber, I just believe that there is much more to your story you told today of what is going wrong in this world and think it is necessary to be fair and honest in what people should know if you wish to tell them.
Michael
Genesis of the fall of the Roman Empire had to do with the past. The “Constitution-free zone” had been violated long time ago “internationally in particular”, and now it’s being symmetrically directed towards the citizens (FATCA is one example; for economical reasons). Can the literal burning of humans be seen within the free zone “David Koresh” camp style or Ghazza style for economical reasons or to please the greedy financial elites… is yet to be seen.
It used to be Gold, then came the derivatives: paper money “some call ‘em “currencies, fiatâ€, and now electronic to rob quicker or shut U off whenever needed. Agree with Ayn Rand :â€Those pieces of paper, which should have been gold.†Ironically, separation between poor and rich had worked in the Israel Grand Experiment Model and now it already started in the US (i.e: Sandy Springs-GA). Also, Larry had been telling us about application of future “Legal” brutality against citizens for a long time now, and pondering about Ferguson, Missouri – how true that is.
For the record, , Larry is known internationally to predict gold to hit $5,000/ounce, Jim Sinclair is also internationally known to predict but $50,000/ounce yr. 2020.
Just wanted to say thank you Larry for your in-sight and guidance. My wish is that many, many more people would be able to follow your eye opening historical in-sights. Please keep up the important work!
Sincerely,
Elfriede
Elfriede …are you make any money with what Larry recommends or you are just happy with what he writes ?
I agree with all your comments Larry. Thankyou. What a troubled world.
Dennis…are you investing with Larry or just like to read his stuff ?
I thought it was about investing . I got that all wrong .
Larry, when you refer to the ‘EU’ do you include the UK or are you just referring to the Eurozone countries that use the Euro?
your prognostications have been spot on. something on the real problem….. CENTRAL
BANKSTERS would be interesting from your prospective. to me this is the real problem
Central bankers are the real problem. They are going to be cashed up when the watermellon hits the pavement. When you are several steps away from being in the know, it can place some of us at a disadvantage. But be certain of this. On the down side the central banks won’t be on the wrong side.
Until a year or so ago, I had not considered war cycles as a way of looking at the world economy or financial state of all countries. I thank you Larry for opening my eyes. I believe in a time when we will hear of wars and rumours of wars and we may very well be at the beginning of that period of history. I have read many forecasts of events that could happen and indeed it could be grim for those who do not heed the warning signs and prepare. We are doing what we can with what we have. Thanks to you and some others who write well researched articles and rather than get people all frantic, help to prepare them.
Paul
Outdoorman….did you notice something ? You talk about war cycles… you sound scared – Larry achieved what he wanted … sold FEAR and nobody notices his markets numbers are not coming in as per say ….awesome, eh ? Most talk about politics here – not much about markets….Larry got them hooked on headlines instead of market numbers .. Larry won !!!
LARRY – YOU BETTER SELL ALL YOUR SILVER NOW ..GOING TO HIT $ 19.20 any minute now
So Much for that Bounce only – We about to break to the upside to day and by tomorrow all the bears are going to throw in the towel and the bulls are going to take us up another 50-80 pts on SP 500.
Easy trade – Just when all the bearish Articles come out the FED doubles the print on the buy side and sells some stock on the way up just to keep a good balance.
It would be amazing if disclosure of the FED come out and showed us how much Buying of Equities they have done since the 1987 Crash.
Interesting time’s ahead.
So Larry said the big low in gold and silver was already in. It’s so inconvenient that both having been heading even lower ever since. Can we all now recognize that Larry does not know what he is talking about?
Larry hasn’t known anything since missing the gold double bottom and telling subscribers to go aggressive short – then emailing them it’s just a sucker rally while everyone missed the big run to the upside in addition to getting squeezed out.
But I guess charlatans don’t sell newsletters by confessing they have no idea. Just talk out both sides of your mouth and try to cover as much ground as you can.
Larry has given us a catastrophe level that appears to coincide with the downtrend line from the all time gold high, – and gold is now only a little above that level. A significant penetration would signal gold dropping to around $900, anyway, before recovering. I believe that could only happen in a greater depression than that of 1929. The odds of that seem favorable to me. Wages are not keeping up with prices, which is leading to increased debt levels for consumers and business, and any attempt to legislate minimum wages must soon kill any business recovery, as well as bringing on high unemployment and poverty for additional millions. Can government tax the wealthy or borrow enough to feed those poor? Seems doubtful. FDR was smart enough to put people at least minimally to work producing something of at least a little value for their handout. Politicians now seem to know only the panic handout, or the withholding of it, and that is what is destroying the national budget and the economy.
Larry Talk to us about bitcoin good investment? hi risk? complicated?
Here in South Africa we see a steadily depreciating currency with its concomitant inflation. What I have noticed is that every time the US$ price of gold seems to be about to “take off” iy is pushed down again. This makes many of us suspicious. The facile explanations we hear from financial journalists is that ” the US economy is showing signs of strength and inflation is under control. Therefore there is no need to buy gold.
One of our leading analysts believes that Palladium is the metal to buy
I will have more to write next week when I have done some of my own charting
Breaks is on
Covered my shorts doubled my longs – SP 500 to 2080 in two Weeks or less.