Tag Archives: stock market

Devastating Metastasizing Global Depression On its Way

Join Greg Hunter as he goes One-on-One with Michael Pento of Pento Portfolio Strategies.

Financial expert and money manager Michael Pento is forecasting a global depression, and Pento contends, It’s happening. It’s happening now. There are going to be global sovereign defaults, and those defaults are going to take the form of defaults through monetization and inflation. That is where we are headed.”

CELENTE REVEALS WHAT YOU’RE NOT BEING TOLD ABOUT THE 2016 FINANCIAL CRISIS

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The $100 Trillion Reason the Fed is Terrified of Deflation

by Phoenix Capital Research

Falling Prices Ahead

Over the last few months, Janet Yellen, head of the Federal Reserve Bank repeatedly stated that lower oil prices were “positive” for the US economy. This is simply astounding because the Fed has repeatedly told us time and again that it was IN-flation NOT DE-flation that was great for the economy.

And yet, repeatedly, the head of the Fed admitted, in public, that deflation can in fact be positive.

How can deflation be both positive for the economy at the same time that the economy needs MORE inflation?

The answer is easy… Yellen doesn’t care about the economy. She cares about the US’s massive debt load AKA the BOND BUBBLE.

Yellen knows deflation is actually very good for consumers. Who doesn’t want cheaper housing or cheaper goods and services? In fact, deflation is actually the general order of things for the world: human innovation and creativity naturally works to increase productivity, which makes goods and services cheaper.

However, DEBT DEFLATION is a nightmare for the Fed because it would almost immediately bankrupt both the US and the Too Big To Fail Wall Street Banks. With the US sporting a Debt to GDP ratio of over 100%… and the Wall Street banks sitting on over $191 TRILLION worth of derivatives trades based on interest rates (bonds), the very last thing the Fed wants is even a WHIFF of debt deflation to hit the bond markets.

This is why the Fed is so obsessed with creating inflation: because it renders these gargantuan debt loads more serviceable. In simplest terms, the Fed must “inflate or die.” It will willingly sacrifice the economy, and Americans’ quality of life in order to stop the bond bubble from popping.

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This is also why the Fed happily talks about stocks all the time; it’s a great distraction from the real story: the fact that the bond bubble is the single largest bubble in history and that when it bursts entire countries will go bust.

This is why the Fed NEEDS interest rates to be as low as possible… any slight jump in rates means that the US will rapidly spiral towards bankruptcy. Indeed, every 1% increase in interest rates means between $150-$175 billion more in interest payments on US debt per year.

If you’ve ever wondered how the Fed can claim inflation is a good thing… now you know. Inflation is bad for all of us… but it allows the US Government to spend money it doesn’t have without going bankrupt… YET.

However, this won’t last. All bubbles end. And when the global bond bubble bursts (currently standing at $100 trillion and counting) the entire system will implode.

The Spike Series By Cold Steel

Spike Series

Cold Steel Bowie Spike Neck Knife, 53NBS. Entirely re-engineered in 2013, this Spike series continue to raise the bar for neck knives! Thin, light and super-tough, their razor sharp, zero ground blades, are complemented by heavily scalloped, textured handle scales that offer a comfortable, secure grip.
Integral quillons provide a safe stop for index finger and thumb, while the textured Faux G-10 provides excellent positive traction even when your hands are cold, wet and slippery.

Available in four distinctive blade shapes (Bowie, Drop Point, Tokyo and Tanto point) they offer all the strength of a solid steel one-piece construction (much stronger than any tactical folder and even rivaling the strength of some boot knives) while still being light enough to carry all day without fatigue.

The brand new Spike series come complete with all-new Secure-Ex sheaths that provide even greater retention and safety. Super lightweight (weighing in at 3oz. in the sheath!) the Spikes can be comfortably worn around the neck 24/7 by using the black bead lanyard provided, or carried on a waistband or belt by taking advantage of their new Tek-Lok™ compatible design.

Easily concealed, razor sharp and light as a feather — the Spike series by Cold Steel!

Good Alternative

Cowboy Codes Of The West

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These American cowboy codes of the west were common sense approaches to cowboy and western etiquette. Many deal with horses, shooting and a little bit about how to act around a woman.

Never pass anyone on the trail without saying “Howdy”

When approaching someone from behind, give a loud greeting before you get within pistol shot.

Don’t wave at a man on a horse. It might spook the horse and the man will think you’re an idiot (a nod is the proper greeting).

After you pass someone on the trail, don’t look back at him. It implies you don’t trust him.

Riding another man’s horse without his permission is nearly as bad as making love to his wife. Never even bother another man’s horse.

Never shoot an unarmed man. Never shoot a woman at all.

A cowboy is pleasant, even when out of sorts. Complaining is what quitters do and cowboys hate quitters.

Always be courageous. Cowards aren’t tolerated in any outfit worth its salt.

A cowboy always helps someone in need, even a stranger or enemy.

When you leave town after a weekend of carousing, it’s perfectly all right to shoot your six-guns into the air, whoop like crazy and ride your horse as fast as you can. This is called “hurrahing” a town.

A horse thief may be hung peremptory.

Never try on another man’s hat.

Never wake another man by shaking or touching him. He might wake up suddenly and shoot you.

Real cowboys are modest. A braggart who is “all gurgle and no guts” is not tolerated.

A cowboy doesn’t talk much; he saves his breath for breathing.

No matter how weary and hungry you are after a long day in the saddle, always tend to your horse’s needs before your own, and get your horse some feed before you eat.

Cuss all you want, but only around men, horses and cows.

Know Your Enemy

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A Veteran Policeman’s Observations on The Free Shit Army

Source: SurvivalBlog

A lot has been written warning us of what will happen when the City Dwellers find their homes are untenable and vacate [en masse as The Golden Horde] for “the country”, but I haven’t seen anything on what the make-up of these hordes will be. The generic term “city dwellers” encompasses a lot of territory. Who will they be,what kind of shape will they be in, how will they be armed…all of these need to be examined.

One category needs to be examined, I feel, more closely than others. Since I have seen posts on your site lately dealing with the nitty-gritty, unpleasant aspects of prepping, I think this is a needed look into what’s out there. I’ve been a cop over 20 years, my last uniform assignment before moving to Investigator being a two year stretch of Anti-Crime patrols in the Section 8 Housing projects of my city. This put me into contact with some of the “Worst of the Worst” that will be fleeing the cities in time of trouble. Gang-bangers, common street thugs, dope dealers and users, all have a place in the hierarchy of the streets. And they will certainly be part of what preppers will be facing in times of troubles. Here’s some of what I have learned:

The bottom rung is occupied by the drug addicts and users. They exist, not live as we understand the word. They have no assets, no goals, no drive. But they do have an almost animal instinct to continue living. They will be armed with anything they can steal or lay hands on. Most will have a knife of razor box cutter, and some sort of cheap pistol, or they will not live to get out of the city. Since they have no resources or assets, they will be on the edge of starvation and desperation almost within a day of an event. With no fixed residence or place to defend, they will be hitting the road and coming towards us. They will become violent without any provocation and there will be no negotiating or bargaining with them. They don’t want to hear your story or excuses. All they want is what you have. And have no doubts: They will do anything to get what they want. And this does include catering to their most base instincts of rape, murder and mutilation. Letting someone like this even close to you and what you have is flirting with death.  

The next and most numerous will be the drones who make up the majority of the project dwellers. They live on Government Entitlement checks, have no assets and, on any given day will have no more than 3 or 4 days supply of food in their apartments,most of this being refrigerated. There will be a high percentage of females without male companions,will have a large number of children and will be absolutely vicious and violently inclined. Their day to day existence within the defined society they live in demands they be aggressive and violent.They fight more, and are arrested more,than the males they live around. The males will have more serious charges, but the females will have more of them. They too cannot be trusted. If they are drug users, they will, and have, traded their children for drugs, and, based on this proven behavior, will most certainly abandon them or trade them if the situation calls for it. Seeing that you are supplied, they will leave their children in your yard and walk away, counting on your liberal Good Samaritan instinct that has always bailed them out in the past to care for their offspring and justify that to themselves as “doing what they have to do”. Knowing that they will do something as low as this,be assured they will do much worse. They habitually carry razor knives and small pistols such as .25 ACPs and .380 ACPs. They are very dangerous and unstable folks to be around. These females may or may not be accompanied by men. The males may be linked biologically to one or more of the children but will abandon them as easily as the females. These males come from the lower order of males (see next classification) and will be armed as described next.  

The next order of classification will be unattached or drone males. These males tend to be convicted of felonies before they are 21 and who hang around the other, more productive males who deal drugs and have money. They will also be the so-called “foot soldiers” of the drug and street gangs. They exhibit sociopath behavior and have no allegiance to anyone except maybe a family member, usually referred to as a “cousin” or a gang. They live off the female drones by paying cash rent, gained by low level drug dealing and petty crimes, to a female who has Section 8 housing, for a room that they sleep in and usually have no other attachment such as taking meals there.They live off fast food,carry guns of dubious origin and consume massive amounts of drugs and alcohol, mostly beer and cheap brandy and marijuana. They will not have any assets to defend, may accompany the female who rents them a room and will hang around the cities and projects only as long as their cohorts do. They will leave in junky vehicles,steal what they need along the way and kill,rob,rape and pillage their way across the countryside. Their weapons tend to be of the pistol variety although they may have access to shortened, easily concealable shotguns or rifles. Their lifestyle doesn’t give them a secure place to hide or keep long guns,but they will steal and use them if given a chance. They will also have some type of blade weapon and be proficient with the use of them. They are very dangerous to anyone who comes into contact with them. The last and highest order will be the moneyed drug dealer.He will have a flashy vehicle such as an Escalade or Lexus variety. He will have quality firearms, preferring Glock handguns and SKS or AK type rifles and will have ammunition for them in quantity. He will be arrogant and a definite killer. He will have assets to defend and may not leave his comfort zone until forced by authorities or circumstances. He will have “foot soldiers” and a woman traveling with him, but probably not children. He will travel well and be charming when trying to gain confidence or talk himself out of a jam. He will also be vicious and hateful, full of spite at those he sees as having taken away his lifestyle and means of making a living. He most probably will not have a lot in the way of supplies such as food and medical equipment, tending to live in the moment and not for the future. He will be one of the opportunistic “I’ll just take what I need” types. He will be very cunning, having risen to the top of the street hierarchy,and all the more dangerous because of this.  

When dealing with all of the above types, caution is the word. Never let them get even a glimpse of what you have. Never let them get past your outer barrier, be that a fence, abatis or boundary line. Its best to keep verbal contact to the barest minimum. A terse: “We have nothing, go away or we will shoot” is a good example. I have seen them be charming and seemingly harmless while edging into a fence gate or otherwise getting closer until they are in range to strike. You must always remember the 20 foot rule (Never let anyone get closer than 20 feet from you at any time). It is important to remember also that the longer they have been roaming and stealing,the better armed they may be, having stolen others firearms and equipment. Seeing an obvious street thug carrying an expensive scoped rifle or an engraved shotgun should be a tip off as to what they are. These type people would never spend money on a gun that may be taken by the law at anytime in their day to day existence. They do worship Glocks and the glamor they see in them. A dealer told me once, when confessing to an assault “I just outs with my Glock .40 and let it holla” as if he had done something great.  

I know that most people who read your blogs are aware enough to keep strangers away from their refuge.But if someone has never lived around these types of people,they may not be aware of just how dangerous they really are. As I mentioned,they can be charming,cunning and deceitful. They have lived their entire lives off the goodwill of others and The Government and are past masters at pretending to be needy,harmless and “safe”. Guile is engrained in them.   I leave you with one short story. In the days after Hurricane Katrina, we were reinforced with officers from other agencies, many states away, who had volunteered to help. (I was not in New Orleans, but on the edge of the hurricane strike) I was partnered with a state SWAT officer from up North. This man was experienced and a “steady hand”. As we walked through some of the power blacked-out , sweltering-in-the-heat projects, he turned to me and said: “This is worse than Mogadishu”. He was scared and had good reason to be. And this was after only three days of no electricity and relief was just starting to arrive. Think about those same areas after a real failure of services and food deliveries.   Good Luck.

50 Years Later: Reagan’s ’A Time for Choosing’ Speech

Fifty years ago Monday, Ronald Reagan gave the speech that launched his career in politics and made him a star.  The speech, called “A Time for Choosing,” aired to a prime time NBC audience and made him a household name.

 

 

Law Lets I.R.S. Seize Accounts on Suspicion, No Crime Required


Carole Hinders at her modest, cash-only Mexican restaurant in Arnolds Park, Iowa. Last year tax agents seized her funds. Credit Angela Jimenez for The New York Times

by Shaila Dewain

ARNOLDS PARK, Iowa — For almost 40 years, Carole Hinders has dished out Mexican specialties at her modest cash-only restaurant. For just as long, she deposited the earnings at a small bank branch a block away — until last year, when two tax agents knocked on her door and informed her that they had seized her checking account, almost $33,000.

The Internal Revenue Service agents did not accuse Ms. Hinders of money laundering or cheating on her taxes — in fact, she has not been charged with any crime. Instead, the money was seized solely because she had deposited less than $10,000 at a time, which they viewed as an attempt to avoid triggering a required government report.

“How can this happen?” Ms. Hinders said in a recent interview. “Who takes your money before they prove that you’ve done anything wrong with it?”

The federal government does.

Using a law designed to catch drug traffickers, racketeers and terrorists by tracking their cash, the government has gone after run-of-the-mill business owners and wage earners without so much as an allegation that they have committed serious crimes. The government can take the money without ever filing a criminal complaint, and the owners are left to prove they are innocent. Many give up.


The I.R.S. seized almost $33,000 from Ms. Hinders. Credit Angela Jimenez for The New York Times

“They’re going after people who are really not criminals,” said David Smith, a former federal prosecutor who is now a forfeiture expert and lawyer in Virginia. “They’re middle-class citizens who have never had any trouble with the law.”

On Thursday, in response to questions from The New York Times, the I.R.S. announced that it would curtail the practice, focusing instead on cases where the money is believed to have been acquired illegally or seizure is deemed justified by “exceptional circumstances.”

Richard Weber, the chief of Criminal Investigation at the I.R.S., said in a written statement, “This policy update will ensure that C.I. continues to focus our limited investigative resources on identifying and investigating violations within our jurisdiction that closely align with C.I.’s mission and key priorities.” He added that making deposits under $10,000 to evade reporting requirements, called structuring, is still a crime whether the money is from legal or illegal sources. The new policy will not apply to past seizures.

The I.R.S. is one of several federal agencies that pursue such cases and then refer them to the Justice Department. The Justice Department does not track the total number of cases pursued, the amount of money seized or how many of the cases were related to other crimes, said Peter Carr, a spokesman.

But the Institute for Justice, a Washington-based public interest law firm that is seeking to reform civil forfeiture practices, analyzed structuring data from the I.R.S., which made 639 seizures in 2012, up from 114 in 2005. Only one in five was prosecuted as a criminal structuring case.

The practice has swept up dairy farmers in Maryland, an Army sergeant in Virginia saving for his children’s college education and Ms. Hinders, 67, who has borrowed money, strained her credit cards and taken out a second mortgage to keep her restaurant going.

Their money was seized under an increasingly controversial area of law known as civil asset forfeiture, which allows law enforcement agents to take property they suspect of being tied to crime even if no criminal charges are filed. Law enforcement agencies get to keep a share of whatever is forfeited.

Critics say this incentive has led to the creation of a law enforcement dragnet, with more than 100 multi-agency task forces combing through bank reports, looking for accounts to seize. Under the Bank Secrecy Act, banks and other financial institutions must report cash deposits greater than $10,000. But since many criminals are aware of that requirement, banks also are supposed to report any suspicious transactions, including deposit patterns below $10,000. Last year, banks filed more than 700,000 suspicious activity reports. Owners who are caught up in structuring cases often cannot afford to fight. The median amount seized by the I.R.S. was $34,000, according to the Institute for Justice analysis, while legal costs can easily mount to $20,000 or more.

There is nothing illegal about depositing less than $10,000cash unless it is done specifically to evade the reporting requirement. But often a mere bank statement is enough for investigators to obtain a seizure warrant. In one Long Island case, the police submitted almost a year’s worth of daily deposits by a business, ranging from $5,550 to $9,910. The officer wrote in his warrant affidavit that based on his training and experience, the pattern “is consistent with structuring.” The government seized $447,000 from the business, a cash-intensive candy and cigarette distributor that has been run by one family for 27 years.

There are often legitimate business reasons for keeping deposits below $10,000, said Larry Salzman, a lawyer with the Institute for Justice who is representing Ms. Hinders and the Long Island family pro bono. For example, he said, a grocery store owner in Fraser, Mich., had an insurance policy that covered only up to $10,000 cash. When he neared the limit, he would make a deposit.

Ms. Hinders said that she did not know about the reporting requirement and that for decades, she thought she had been doing everyone a favor.


Jeff Hirsch, an owner of Bi-County Distributors on Long Island. The government seized $447,000 from the business, a candy and cigarette distributor run by one family for 27 years. Credit Bryan Thomas for The New York Times

“My mom had told me if you keep your deposits under $10,000, the bank avoids paperwork,” she said. “I didn’t actually think it had anything to do with the I.R.S.”

In May 2012, the bank branch Ms. Hinders used was acquired by Northwest Banker. JoLynn Van Steenwyk, the fraud and security manager for Northwest, said she could not discuss individual clients, but explained that the bank did not have access to past account histories after it acquired Ms. Hinders’s branch.

Banks are not permitted to advise customers that their deposit habits may be illegal or educate them about structuring unless they ask, in which case they are given a federal pamphlet, Ms. Van Steenwyk said. “We’re not allowed to tell them anything,” she said.

Still lawyers say it is not unusual for depositors to be advised by financial professionals, or even bank tellers, to keep their deposits below the reporting threshold. In the Long Island case, the company, Bi-County Distributors, had three bank accounts closed because of the paperwork burden of its frequent cash deposits, said Jeff Hirsch, the eldest of three brothers who own the company. Their accountant then recommended staying below the limit, so for more than a decade the company had been using its excess cash to pay vendors.

More than two years ago, the government seized $447,000, and the brothers have been unable to retrieve it. Mr. Salzman, who has taken over legal representation of the brothers, has argued that prosecutors violated a strict timeline laid out in the Civil Asset Forfeiture Reform Act, passed in 2000 to curb abuses. The office of the federal attorney for the Eastern District of New York said the law’s timeline did not apply in this case. Still, prosecutors asked the Hirsch’s first lawyer, Joseph Potashnik, to waive the CARFA timeline. The waiver he signed expired almost two years ago.

The federal attorney’s office said that parties often voluntarily negotiated to avoid going to court, and that Mr. Potashnik had been engaged in talks until just a few months ago. But Mr. Potashnik said he had spent that time trying, to no avail, to show that the brothers were innocent. They even paid a forensic accounting firm $25,000 to check the books.

“I don’t think they’re really interested in anything,” Mr. Potashnik said of the prosecutors. “They just want the money.”

Bi-County has survived only because longtime vendors have extended credit — one is owed almost $300,000, Mr. Hirsch said. Twice, the government has made settlement offers that would require the brothers to give up an “excessive” portion of the money, according to a new court filing.

“We’re just hanging on as a family here,” Mr. Hirsch said. “We weren’t going to take a settlement, because I was not guilty.”

Army Sgt. Jeff Cortazzo of Arlington, Va., began saving for his daughters’ college costs during the financial crisis, when many banks were failing. He stored cash first in his basement and then in a safe-deposit box. All of the money came from paychecks, he said, but he worried that when he deposited it in a bank, he would be forced to pay taxes on the money again. So he asked the bank teller what to do.

“She said: ‘Oh, that’s easy. You just have to deposit less than $10,000.’”

The government seized $66,000; settling cost Sergeant Cortazzo $21,000. As a result, the eldest of his three daughters had to delay college by a year.

“Why didn’t the teller tell me that was illegal?” he said. “I would have just plopped the whole thing in the account and been done with it.”