The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Showing posts with label bank of japan. Show all posts
Showing posts with label bank of japan. Show all posts

Saturday, September 24, 2016

Perfect storm for gold is now in place as asset bubbles created by central banks are on the cusp of imploding

Central banks around the world no longer are tied to their original mandates of stemming inflation, and formulating monetary policies that aid in keeping unemployment at low levels.  Instead, their 'new' mission has been to prop up assets at all costs, even if this means buying them hand over fist in every market available.

Leading up to the 2008 Credit Crisis, central banks had used low interest rates to create artificial bubbles in housing, equities, and securities.  And when they burst in October of that year, their reactions were to simply double and triple down on these failed policies, and add in tens of trillions of dollars in money printing to ensure these types of assets not only rose to new highs, but would be protected from ever crashing again.

Ahhh... the folly of men.

Unfortunately for economies, the natural laws that govern the Invisible Hand of markets will always have the final say, just as nature is always more powerful than any technology humanity can create to try to stop its exponential power.  (See New Orleans and Katrina)  And despite the Fed, ECB, and Bank of Japan using every tool they could dream up, including outright buying of stocks, mortgage backed securities, sovereign bonds, and corporate bonds, they have been unable to stop the specter of deflation and stand on the threshold of seeing the mother of all bubble implosions about to take place.

Gold will likely soar to a record within five years as asset bubbles burst in everything from bonds to credit and equities, forcing investors to find a haven, according to Old Mutual Global Investors’ Diego Parrilla. 
The metal is at the start of a multi-year bull run with a “few thousand dollars of upside” in a world of “monetary policy without limits” where central banks print lots of money and low or negative interest rates prevail, said Parrilla, who joined the firm as managing director of commodities last month. He’s worked at Goldman Sachs Group Inc. and Bank of America Merrill Lynch. 
“As some of the excesses in other asset classes get unwound, gold will perform very strongly,” said 43-year-old Parrilla, who has almost 20 years experience in precious-metals markets. The “perfect storm scenario will mean that gold will perform best when other classes are doing worst.” - Bloomberg
We saw this month that neither the Federal Reserve, the European Central Bank, nor the Bank of Japan could come up with any new monetary policies that could sate the market's thirst for more, nor their demand for higher and greater yields.  Which means that unless these 'Masters of the Universe' are willing to initiate ultimate protocols, such as taking the banning of cash from the blackboard to the boardroom, the inevitable result will be a bursting of all these asset bubbles and an explosion for gold that will make its $1940 high in 2011 look like pocket change.

Wednesday, September 21, 2016

Gold climbs on Bank of Japan's failed policy shift while markets wait for Fed rate announcement

Last night, the Bank of Japan failed to impress when they announced that there would be no change to their current interest rate level of -.10.  And as expected gold rose more than $10 per ounce with today's Federal Reserve announcement still to come at 2:00pm EST.

In reality there is little that most central banks can do except change course and raise interest rates since several have already gone negative, and ongoing stimulus programs are yielding little towards spurring economic growth.  But what has been the beneficiary of these central bank policies has been gold, with the monetary metal bouncing off its 100 day moving average on the BOJ's announcement alone.

Gold and silver are surging this morinng after BoJ's disappointment as a stronger yen weighs on the USD index. Heavy volume has lifted Gold off key technical support and silver through a major technical resistance... 
Gold bounces off its 100-day moving-average...
 

Saturday, January 30, 2016

Negative interest rates, free money... central banks are showing by their new policies that we are near the end

On Friday the Bank of Japan entered into the deep shark infested waters of negative interest rates (NIRP), signalling that they have no other option but to force people to spend their savings or lose it to fee based confiscation.  And for those that think Japan is simply a lone wolf in the global economy, negative interest rates have already emerged in several European countries desperate for inflation.

But NIRP is not the only scheme being concocted by governments and banks to force people to spend their money instead of saving it.  In Switzerland on Jan. 29, a referendum was issued for the people to vote on whether their government should outright give each adult $1700 Euros and each family the equivalent of $2500.00 to stimulate growth and inflation in the midst of an emerging meltdown.

And like the use of price controls in 3rd world banana republics, the end result of giving out free money based on increased debt is price inflation to the point where eventually the entire system will collapse upon itself.



Monday, November 24, 2014

Is the U.S. ordering Japan’s currency to collapse to protect the dollar?

It is very interesting to note that as the Federal Reserve began tapering down its latest program of Quantitative Easing (QE), the dollar strengthened to levels not seen in a few years with both Europe and Japan collapsing into a deflationary spiral.  But in the absolute need by the Fed to keep the dollar and stock markets propped up, is the U.S. using their vassal state of Japan as the sacrifice to fill the gap that formalized QE was performing?

In an essay written on Nov. 14 by former Assistant Secretary of the Treasury Dr. Paul Craig Roberts, the esteemed economist makes the case that Japan has and remains the proxy for U.S. financial dominance, and that the recent moves by Prime Minister Abe to fully monetize the Japanese budget could be part of an ordered plan to devalue the Yen to ensure that the dollar remains dominant in a world of increasing deflation and oncoming recession.


Read more on this article here...