Trump Avoid Debt Crisis ? “Extremely Unlikely” – Rickards

Remember to keep an eye on March 15th as mentioned in a previous post, the poison pill left by the Obama administration where “everything will grind to a halt”.

 

The Congressional Budget Office, CBO, estimates that inflation and real GDP will each grow at about 2% per year in the coming ten years. This means that nominal GDP, which is the sum of real GDP plus inflation, will grow at about 4% per year. Since debt is incurred and paid in nominal terms, nominal GDP growth is the critical measure of the sustainability of U.S. debt.

 

Trump Avoid Debt Crisis ? “Extremely Unlikely” says Rickards

The upcoming March 15 U.S. debt ceiling deadline is something that is being largely ignored by markets and most media for now. Despite it being just 9 trading days away. This will change in the coming days and is one of the many reasons why we are bullish on gold.

James Rickards writing for the Daily Reckoning today looks at the important ‘next signal to watch’ and explains that Trump and his advisors believe they can avoid a debt crisis through higher than average growth. Continue reading

Stockman: “After March 15 Everything Will Grind To A Halt”

 

Two weeks after David Stockman warned that “the market is apparently pricing in a huge Trump stimulus. But if you just look at the real world out there, the only thing that’s going to happen is a fiscal bloodbath and a White House train wreck like never before in U.S. history” and exclaimed that, when looking at markets, “what’s going on today is complete insanity” he is back with another interview, this time with Greg Hunter of USA Watchdog in which he, once again warns, that a giant fiscal bloodbath is coming soon, and urges listeners to pay especially close attention to the March 15, 2017 debt ceiling deadline, at which point everything could “grind to a halt.” Continue reading

Taiwan Joins Global War On Cash: Plans To Ban Purchases Of Houses, Cars, & Jewelry

 

The cancerous virus of freedom-destroying worldwide cash-bans – in the name of fighting terrorism – has reached Taiwan this week. With the aim of ‘preventing money-laundering’, Taiwan may ban cash purchases of properties and luxury goods, Taipei-based Economic Daily News reports, citing unidentified official at Ministry of Justice.

As we previously noted, the War on Cash is not merely continuing, it is intensifying. Continue reading

Germany Is Taking Back Gold from the United States

The German Central Bank’s (Bundesbank) member of the board Carl-Ludwig Thiele presents gold bars during a press conference at the headquarters of the German Central Bank (Bundesbank) in Frankfurt, Germany on February 9, 2017. (Abdulselam Durdak/Anadolu Agency/Getty Images)

 

… and it’s ahead of schedule.


The German Central Bank announced on Jan. 16, 2013, that it would relocate the gold from New York to Frankfurt. This decision was made after the U.S. Federal Reserve refused to submit to an audit of German gold held in U.S. vaults. The Germans initially estimated it would take seven years to repatriate the gold, but in yesterday’s announcement, they revealed that they had completed the task four years ahead of schedule. Continue reading

The Alternative Fact of the Cashless Society

Why gold will benefit from the alternative fact of the cashless society

 

Why gold will benefit from the alternative fact of the cashless society

  • Alternative facts prevail in the European Commission’s calls for cash controls
  • Terrorism is blamed for the need to control cash
  • Evidence shows criminals find alternative ways to finance activities
  • Citizens continue to want and to use cash in day-to-day life
  • Cashless society is being used to force through other ‘agendas’
  • Gold and silver will be used as savers are forced to hold assets outside of the financial system

“Those who control the present, control the past and those who control the past control the future.”

George Orwell, 1984

Last week a new phrase was introduced into our lexicon by Trump Adviser Kellyanne Conway. When asked about why press secretary Sean Spicer had made statements that were (according to the press) unverifiable she said that he had used ‘alternative facts’. Continue reading

Blockchain – Central Banks Banking On It

Source: Photosteve101 via Flickr

 

“The root problem with conventional currency is all the trust that’s required to make it work. The central bank must be trusted not to debase the currency, but the history of fiat currencies is full of breaches of that trust …”

Satoshi Nakamoto (Unknown person or persons who designed bitcoin and created its original reference implementation, Bitcoin Core)

Fiat currency debasement and failure is why gold has survived and thrived for thousands of years  and indeed in recent years. It is why bitcoin is becoming more popular, with its growing market cap and ever-expanding ecosystem. Continue reading

Turkey, ‘Axis of Gold’ and the End of US Dollar Hegemony

 

Introduction

With a ‘Hard Brexit’ looking more likely and Trump’s inauguration this week, 2017 is well and truly under way.

What we expect the year to hold is probably not even half of what it really will. But from what we know, the upcoming French and German elections, referendums, geopolitical crises, steps towards reverse globalisation and a third of global government debt yielding negative interest rates, governments are already prompting central banks and investors to turn to the one asset that has survived millennia of financial and monetary crises.

One that is highly liquid and convertible into other currencies – gold. Continue reading

Scandinavia – Leader in the War on Cash

The real gem of this article is the last paragraph and its related photo posted below. Espionage, aiding and abetting the enemy by enemies within runs deep in America and has for decades.

money-plane-new-york-magazine-january-22nd-1996

The Scandinavian countries Sweden, Denmark and Norway are regarded as a pioneer in the the effort to eliminate money and move totally electronic. Denmark closed its final Mint outsourced the operation to Finland. This means that there is no coinage in the three states struck anymore. In this war on cash, about 20% of all transactions were settled in Denmark last year with cash. In Germany and Austria, cash transactions accounted for 80%. Scandinavia is pushing hard to eliminate all cash completely to enable 100% efficient tax collecting. Continue reading

Money Under Fire

 

A reminder of the great wealth transfer underway

Today we welcome a cohort of new readers visiting PeakProsperity.com for the first time. This article is to give them our best grounding in the massive wealth transfer underway.

Our hope is that our longtime readers will likely benefit from a revisitation of the fundamentals, as well.

One serious predicament we face is that the current leaders in the halls of monetary and political power do not appear to understand the dimensions of our situation. The mind-boggling part about it is that the situation is easy to understand.

Our collective predicament is simply this: Nothing can grow forever. Continue reading

Euro Crisis and Contagion Coming In 2017

A euro crisis and contagion is almost certain in 2017, Irish economist and writer David McWilliams has warned:

“It is almost certain that there will be another euro crisis in 2017. The last time we had a euro crisis, the focus of attention was Greece; today the vortex is Italy.

Italy is not Greece. Italy is the third-largest economy in the Eurozone. Italy is the second-largest manufacturing nation in the EU after Germany. Italy is the largest debtor in Europe. Continue reading

India’s Gold Confiscation & Turkey’s War on Currency

QUESTION: Marty; You have been emphasizing not to buy gold bullion but US gold coins such as the $20. You have said that the last time they confiscated gold coin collections were exempt. With the drastic action in India, and the war on currency in Turkey, is this why you have said stocks and collectibles are a safer bet? Continue reading

All Roads Lead to the Dollar

 

COMMENT: Marty; I have attended every conference since 2011. You have really opened my eyes and you have to be blind to not see that you have called everything trend from the decline in gold, rally in the Dow, collapse of Europe, the rise in the dollar, and the uptick in war/civil unrest not to mention your political forecasting. You should be hailed from every podium and the reason you are not is obvious. The conclusions you force upon the rest to see is against their own self-interest. All roads lead only to the dollar as you have said. Continue reading

Blockchain Technology – What Is It and How Will It Change Your Life?

  • Blockchain technology – What is it?
  • Latest developments – Royal Mint Gold & CME, Goldman Sachs and Santander
  • Why do we need it? It’s about value
  • Blockchain is an extension of economics
  • Blockchain allows us reduce uncertainty and risk
  • How will it change your life?

For those of you who follow anything to do with blockchain and blockchain technology,  you will know that the space has had its ups and downs in the last couple of weeks.

The exciting news is that two major players in the gold market, the Royal Mint and CME Group have announced a blockchain-backed gold project, and the surprising news is that the R3CEV consortium is apparently under threat. Continue reading

European Central Bank gold reserves held across 5 locations. ECB will not disclose Gold Bar List.

Table 1: Central bank FX and Gold transfers to the ECB, January 1999

 

The European Central Bank (ECB), creator of the Euro, currently claims to hold 504.8 tonnes of gold reserves. These gold holdings are reflected on the ECB balance sheet and arose from transfers made to the ECB by Euro member national central banks, mainly in January 1999 at the birth of the Euro. As of the end of December 2015, these ECB gold reserves were valued on the ECB balance sheet at market prices and amounted to €15.79 billion. 

The ECB very recently confirmed to BullionStar that its gold reserves are stored across 5 international locations. However, the ECB also confirmed that it does not physically audit its gold, nor will it divulge a bar list / weight list of these gold bar holdings.

Questions and Answers

BullionStar recently put a number of questions to the European Central Bank about the ECB’s gold holdings. The ECB Communications Directorate replied to these questions with answers that appear to include a number of facts about the ECB gold reserves which have not previously been published. The questions put to the ECB and its responses are listed below (underlining added): Continue reading

Euro “Will Collapse” As Is “House of Cards” Warns Architect of Euro

The Euro “will collapse” as it is a”house of cards” warned Otmar Issing, the founder and creator of the euro in an extraordinary interview on Monday.

In the explosive interview with the journal Central Banking, Professor Issing, said “one day, the house of cards will collapse”  as the European Central Bank (ECB) is becoming dangerously over-extended and the whole euro project is unworkable in its current form.

The founding architect of the monetary union has warned that Brussels’ dream of a European superstate will finally be buried amongst the rubble of the crumbling single currency he designed. Continue reading