John Taylor Says That Despite Everything, Greece And Spain Will Default

Action Speak Louder Then Words...

PLEASE JOIN THOUSANDS OF PATRIOTIC CITIZENS FROM AROUND THE WORLD, IN SENDING BANKERS A CLEAR MESSAGE ON AUGUST 12th...
On August 12th 2010, citizens across the world will be withdrawing $ 500.00 each from their local ATM's...
This action will cause no problems with the financial institutions, but will send a clear message to the Banks...
PLEASE HELP, This is one simple way to have your voice heard, where it will do the most good...
***PLEASE forward this to family and friends.

http://www.wethesheeplez.blogspot.com

Having a great response and growing every hour,from the U.S. Canada, Germany, Lithuania,
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US Debt Duration Grows As T-Bill Share Plunges To Pre-Crisis Levels

China Takes The Property Bubble To A Whole New Level: An Explosion Of (Vacant) Inland Cities Is Coming

San Francisco Fed: "A Recessionary Relapse Is A Significant Possibility Sometime In The Next Two Years"

 

This is what is happening to your money...
Fascinating news segment filmed by a Dutch journalist, in Indonesia: Gold Dinar, Silver Dirham.

In The News Today

Posted: Aug 09 2010     By: Jim Sinclair      Post Edited: August 9, 2010 at 11:55 am
Filed under: In The News

Jim Sinclair’s Commentary
Let see how long the sheeple on the dole remain patient and contained.
The 2006 Formula grinds on.
Thousands May Lose Rental Vouchers By CARA BUCKLEY
Published: April 6, 2010
Because of a $45 million budget gap, the New York City Housing Authority may have to revoke rental-assistance vouchers from more than 10,000 low-income tenants, a drastic move that could cause families to lose their apartments.
The federal government gave the housing authority less money for the voucher program, known as Section 8, than the authority expected. But the authority made matters worse by continuing to issue new vouchers until December, eight months after the government warned it to stop doing so because the program was likely to run a deficit.
Michael P. Kelly, the authority’s general manager, said that terminating vouchers would be a last resort. The authority has not decided who might lose their vouchers, but if the deficit is not closed, the cuts could begin this summer.
“This is a dire option for us that we’re hoping we’re not going to have to do,” Mr. Kelly said.
The agency is seeking federal and state funding to avert the voucher cuts. But the state is facing a huge deficit. Sandra Henriquez, an assistant secretary of the Department of Housing and Urban Development, said that HUD would review the housing authority’s books, but she added that “they cannot and should not expect that the federal government will cover the shortfall.”
As an alternative, the housing authority is considering reducing the value of each voucher, meaning that landlords, tenants or both would have to absorb the cost.
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Jim Sinclair’s Commentary
The headline says it all. This is what I have been trying to tell you. Scalping the weaker funds and scalping nations is the real play.
The dollar could easily go under .7200. The euro could move back to $1.50.
Whatever the Good Ole Boys want, they get. Gold is their last play of this season of markets just as it was in 1979-1980.
Gold will trade at $1650 and higher.
“Terminator Software now eating it’s their own….. forget about the little “scalping for fractions of a penny”. Scalping the weaker fund and scalping nations are the real play…”
Market Data Firm Spots the Tracks of Bizarre Robot Traders Aug 4 2010, 8:01 AM ET
Mysterious and possibly nefarious trading algorithms are operating every minute of every day in the nation’s stock exchanges.
What they do doesn’t show up in Google Finance, let alone in the pages of the Wall Street Journal. No one really knows how they operate or why. But over the past few weeks, Nanex, a data services firm has dragged some of the odder algorithm specimens into the light.
The trading bots visualized in the stock charts in this story aren’t doing anything that could be construed to help the market. Unknown entities for unknown reasons are sending thousands of orders a second through the electronic stock exchanges with no intent to actually trade. Often, the buy or sell prices that they are offering are so far from the market price that there’s no way they’d ever be part of a trade. The bots sketch out odd patterns with their orders, leaving patterns in the data that are largely invisible to market participants.
In fact, it’s hard to figure out exactly what they’re up to or gauge their impact. Are they doing something illicit? If so, what? Or do the patterns emerge spontaneously, a kind of mechanical accident? If so, why? No matter what the answers to these questions turn out to be, we’re witnessing a market phenomenon that is not easily explained. And it’s really bizarre.
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Jim Sinclair’s Commentary
The MOPE in this is that if you close only one, things must be getting better.
Friday’s failure. Regulators closed just one bank on Friday, bringing this year’s bank failures to 109 so far. The c losure of Ravenswood Bank of Chicago is expected to cost the FDIC’s insurance fund $68.1M.
Jim Sinclair’s Commentary
Don’t be confused. John knows the end result of all this. "Currency Induced Cost Push Inflation" is unavoidable.
You need these reports to know what is real out there!
- Re-Intensifying Depression Foreshadows Great Crises 
- July Payrolls Fell 131,000, Gained 12,000 Ex-Census Layoffs 
- June’s 100,000 Ex-Census Payroll Gain Revised to 4,000 
- July Employment Dropped by 159,000 (Household Survey) 
- July Unemployment: 9.5% (U.3), 16.5% (U.6), 21.7% (SGS)
"No. 315: Updated Outlook, July Employment and Unemployment "
http://www.shadowstats.com/
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When Will Financial Armageddon Begin?

Posted: Aug 09 2010     By: Greg Hunter      Post Edited: August 9, 2010 at 11:52 am
Filed under: Greg Hunter, USAWatchdog.com
Dear CIGAs,
A little more than two years ago, economist John Williams of shadowstats.com predicted a “severe recession” was coming and soon.  At the time, I was working as an investigative correspondent for CNN.  I interviewed Williams for a story about the coming financial crisis.  Most so-called experts, at the time, did not see the financial meltdown coming, let alone that all the banks were in trouble.  Williams’ assessment of the economy was spot on in 2008.  I don’t see how you can characterize what we have now as anything but a “severe recession.”   Accurate information is the first and foremost reason to use someone as a source when you are a journalist.  In my experience, what I have gotten from Williams has been stellar.  (Click here for the 2008 CNN story featuring Williams and his predictions for the President in 2012.) (Click here for shadowstats.com)
Williams also predicted 2 years ago we would have a “hyperinflationary depression”  within 10 years.  Then, about a year ago, he revised his prediction and narrowed the window to “five years.”  The day before last Friday’s dismal jobs report, Williams said, “. . . the timing of the looming U.S. financial Armageddon is coming into better focus, with increasingly high risk of it breaking within the next six months to a year.”   
“Financial Armageddon . . . within the next six months to a year.”  I called Williams to see why the odds of calamity have accelerated.  He told me on the phone last night, “What is happening now to bring the timing into focus is the economy IS turning down.  It is no longer the perspective the economy is going to turn down.  That, in turn, will eventually trigger all the problems with the dollar, the debt and the deficit.”  
For confirmation the economy is rolling over, look no further than the awful jobs report from the government last Friday.  The Bureau of Labor Statistics (BLS) reported July payrolls fell 131,000.  To add insult to injury, the June jobs number was revised downward.  The economy lost 221,000 jobs which is considerably more than the 125,000 the government reported last month. 
You want more confirmation the economy is in the tank?  Also, last week, the government revealed a record 40.8 million Americans are now on food stamps.  More budget woes can be seen at the state level.  Congress just passed an emergency aid package worth $26 billion to save teachers’ jobs around the country.  States are facing $200 billion in shortfalls in the coming months.  California is one of the worst, with a $40 billion budget hole to fill.  Commercial and residential real estate is still losing value, and set to take another plunge.  
So, what’s the government doing about the economy?  The Fed has set interest rates at near 0% for more than a year and a half.  The economy is not taking off.  According to a recent article from financial writer Jim Willie, who has a PhD in Statistics, “Never in US history has a recession struck after several extended months of emergency ultra-low interest rates. This will be the first such occurrence. The policy response from the USFed must therefore be limited. They cannot reduce the official interest rate, unless below 0% (which did happen briefly in Japan). The nation stands on the doorstep of hyper-inflation.  The only available tool within the USFed tool bag is Printing Pre$$ activity, pure monetization of both USTreasurys and USAgency Mortgage Bonds.”  (For the complete Willie article click here.)  
How much of a chance is there the Fed will just print money to pay bills?  When asked how the Fed was going to stop the slide in the economy on CNBC, St. Louis Fed President James Bullard said, “Quantitative Easing is our best bet.”  For us regular folks, QE means printing money out of thin air.  I talked about this in a recent post called “Money Printing Is Our Best Bet.”  
How fast could things go downhill when real trouble starts?  Mallory Factor at Forbes laid it out nicely in an article last week called “Collapse In Internet Time.”  Factor writes, “In an age when billions of dollars in securities are traded in nanoseconds, when a 24-hour news cycle seems long, why should national decline be exempt from what the Germans call Zeitgeist, the spirit of the age? The Book of Revelation, speaking allegorically of ancient Rome, states, “Alas! Alas! You great city, you mighty city,Babylon! For in a single hour your judgment has come.” Ancient Rome surely did not expect its sudden fall any more than the Soviet Union did in 1991, or than Americadoes now.”  (Click here for the complete Forbes article.) 
Ultimately, the immense debt and deficits of the United States will crush the dollar.  In his most recent report, Williams says, “The unfolding renewed decline in economic activity now is likely to be one of the proximal triggers for an even greater systemic solvency crisis, one that will pummel the U.S. dollar, threaten the solvency of the U.S.government and set the stage for a hyperinflation in the United States. In turn, such a crisis would exacerbate the intensifying downturn into a hyperinflationary great depression.” 
No one knows exactly when the buck will buckle, but it looks like the dollar will take a short walk off a tall building a lot sooner than later.
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Gentlemen, I have had men watching you for a long time and I am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter, I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves.I am one of those who do not believe that a national debt is a national blessing, but rather a curse to a republic; inasmuch as it is calculated to raise around the administration a moneyed aristocracy dangerous to the liberties of the country.

The bold effort the present (central) bank had made to control the government ... are but premonitions of the fate that await the American people should they be deluded into a perpetuation of this institution or the establishment of another like it.

Andrew Jackson