Thursday, March 23, 2023

"Buying Time"

"Buying Time"
Author Unknown

"A man came home from work late again, tired and irritated, to find his 5-year-old son waiting for him at the door. "Daddy, may I ask you a question?" "Yeah, sure, what is it?" replied the man. "Daddy, how much money do you make an hour?" "That's none of your business! What makes you ask such a thing?" the man said angrily. "I just want to know. Please tell me, how much do you make an hour?" pleaded the little boy. "If you must know, I make $20.00 an hour." "Oh," the little boy replied, head bowed. Looking up, he said, "Daddy, may I borrow $10.00 please?" 

The father was furious. "If the only reason you wanted to know how much money I make is just so you can borrow some to buy a silly toy or some other nonsense, then you march yourself straight to your room and go to bed. I work long, hard hours everyday and don't have time for such childish games." The little boy quietly went to his room and shut the door. The man sat down and started to get even madder about the little boy's questioning. How dare he ask such questions only to get some money?

After an hour or so, the man had calmed down, and started to think he may have been a little hard on his son. Maybe there was something he really needed to buy with that $10.00, and he really didn't ask for money very often. The man went to the door of the little boy's room and opened the door. "Are you asleep son?" he asked. "No daddy, I'm awake," replied the boy. "I've been thinking, maybe I was too hard on you earlier," said the man. "It's been a long day and I took my aggravation out on you. Here's that $10.00 you asked for." 

The little boy sat straight up, beaming. "Oh, thank you daddy!" he yelled. Then, reaching under his pillow, he pulled out some more crumpled up bills. The man, seeing that the boy already had money, started to get angry again. The little boy slowly counted out his money, then looked up at the man. "Why did you want more money if you already had some?" the father grumbled. "Because I didn't have enough, but now I do,"  the little boy replied. "Daddy, I have $20.00 now. Can I buy an hour of your time?" 

"They Want More..."

"When people pile up debts they will find difficult and perhaps even impossible to repay, they are saying several things at once. They are obviously saying that they want more than they can immediately afford. They are saying, less obviously, that their present wants are so important that, to satisfy them, it is worth some future difficulty. But in making that bargain they are implying that when the future difficulty arrives, they’ll figure it out. They don’t always do that.” 
– Michael Lewis, “Boomerang”

"A Poisoned Broth"

"A Poisoned Broth"
Terrible cooks, lethal ingredients, excess liquidity...
by Bill Bonner

“Would I say there will never, ever be another financial crisis? You know probably that would be going too far but I do think we’re much safer and I hope that it will not be in our lifetimes and I don’t believe it will be.”
~ Janet Yellen, June 20, 2017

San Martin, Argentina - "According to a recent study, the US banking system – heavily regulated by Janet Yellen, her forerunners and successors – faces huge losses. We are not experts in banking, but we think we understand the basic model. Banks take in cash from depositors and ‘lend’ it out or ‘invest’ it. The depositors can ask for their money back at any time. But the loans and investments only come back when they are ready. Between the two time periods, long and short, the banks can get squeezed…if depositors suddenly want their money back. Central banks were set up to prevent it. In a crisis, they provide solvent banks with liquidity.

But what if the banks aren’t solvent? What if their ‘assets’ – loans and investments – go down? What if they loaned out money at 3% interest…and then interest rates go up to 5%? What if their investments – say in Amazon or Rivian – lose so much money that they can never give depositors back their money?

Broke and Broken: Here’s the money line from academic researchers Erica Jiang, Gregor Matvos, Tomasz Piskorski and Amit Seru: "The U.S. banking system’s market value of assets is $2 trillion lower than suggested by their book value of assets. The net worth (book value) of the entire US banking industry is only $2.1 trillion. Which means, the whole banking system is already nearly insolvent. Busted. Broke. You can imagine what would happen if stocks went down another 10%...20%....or 40%. There would be Hell to pay."

No one would suggest subsidizing plumbers who install leaky pipes, nor providing grants for restaurants that make customers sick…but those groups don’t have lobbyists! The gist of the next 500 words: better keep the Pepto-Bismol on hand.

Banks that can’t manage their risks…and match assets to liabilities…are a threat to their depositors. Like a pig with an epizootic, they may need to be shot before they infect the whole herd. Diners don’t starve just because a bad restaurant goes out of business. They simply go to a different one. Nor do they go hungry when poisonous food is removed from the grocery stores. Life goes on, better than before.

Cooks and Crooks: But the banking industry is among the richest and most powerful in the country. It holds money…and money is what makes the world go ‘round. Money is also what the rich and powerful covet…and what they’ve given to the banks to hold for them. Banks are also protected by central banks, who can ‘print’ money. So, in an attempt to prevent paying Hell, central banks all over the world are conspiring with large depositors to backstop the losses. Banks that are judged “systemically important” are bailed out. Which banks are “systemically important?” Those with the worst cooks!

In the case of Credit Suisse, the bank lost $143 billion last year – a record. It invested in jackass deals and overpriced assets…and lent out money at underpriced interest rates. Then, when interest rates rose and asset prices fell, Credit Suisse was no longer viable. That’s the way it is supposed to work. You make too many mistakes; you lose. But in the new world of managed markets and government-controlled finance the rules have changed: you make mistakes; someone else pays.

The banking sector that saw the most growth over the past 10 years was commercial real estate. In the Bubble Epoch, it paid to borrow money at very low interest rates – from banks – in order to buy commercial buildings. But then, what happened? At first, prices rose nicely and speculators made money. Cometh the Covid Hysteria, however, the bets went bad. Buildings emptied out. And still, 3 years after Trump’s emergency decree, they’re far from back to normal. Our employees in Baltimore, for example, have learned to work from home. They don’t want to come back to the office. And as a result, we have buildings that are half empty…and some that are completely empty.

We have no mortgages on the properties…and no loans against them. But what about those who do?

An Important Life Lesson: The prime rate has doubled since 2021. Real estate investors now have to pay twice as much in interest as they did 2 years ago. And their rental incomes are going down, as renters negotiate for less space at lower prices. Office vacancy rates are rising. San Francisco reports that nearly a third of its offices are empty. On the other side of the country, in Manhattan, the office vacancy rate has jumped to 22%. Not a good situation for the banks holding commercial property loans. Their collateral is falling in value as their borrowers have trouble repaying or refinancing their loans.

But no review of the bank crisis, 2023, would be complete without mentioning Janet Yellen, Ben Bernanke and the other crackpot chefs who’ve been adding salmonella to the broth for the last 14 years. They were the ones who made it irresistible to lend money at impossibly low interest rates. The aforementioned Prime Rate, in 2021, was actually 3.5% BELOW the level of consumer price increases. James Freeman, writing in the Wall Street Journal:

Life appears to have delivered a perfect lesson in the destructiveness of government regulation in the failure of Silicon Valley Bank … But it wasn’t bank management or God who created the larger financial environment that did so much to roil the institution. For that we can thank official Washington for policy calamities, starting with banking rules, the massive economic distortions of the Covid shutdown policies, and the inflation created by the Biden Democrats and the Federal Reserve. Yes, life is delivering another lesson. Bad banks will be subsidized. The public will be punished."

"Past the Point of No Return"

Full screen recommended.
Dan, iAllegedly 3/23/23
"Past the Point of No Return"
"The Fed has lost it. Not only did they tell us that they’re going to continue to raise interest rates but they admit that inflation is not going to be controlled anytime soon. We are in for a bumpy ride."
Comments here:

"How It Really Is"

 

"Oh, that could never happen here!" Really?
Well, you ain't seen nuthin' yet. Watch and see...

"Massive Russian Offensives Are Underway To Terminate Ukraine"

Col. Douglas Macgregor, Straight Calls, 3/23/23
"Massive Russian Offensives Are Underway To Terminate Ukraine"
"Analysis of breaking news and in-depth discussion of current geopolitical events in the United States of America and the world."
Comments here:

"Major Price Increases At Kroger! Not Good! What's Next?"

Full screen recommended.
Adventures With Danny, 3/23/23:
"Major Price Increases At Kroger! 
Not Good! What's Next?"
"In today's vlog we are at Kroger, and are noticing massive price increases on groceries! This is not good as we are also seeing some empty shelves! It's getting rough out here as stores seem to be struggling with getting products, and also charging extremely high prices!"
Comments here:

Greg Hunter, "Medical, Financial, Political & War Disasters Getting Worse – Dr. Chris Martenson"

"Medical, Financial, Political & War Disasters 
Getting Worse – Dr. Chris Martenson"
By Greg Hunter’s USAWatchdog.com

"Dr. Chris Martenson holds a PhD in toxicology from Duke University, is a futurist and economic researcher. He is also a Wall Street Journal best-selling author with his new revised book called “Crash Course.” Martenson said in August 2021 on USAWatchdog that the FDA approval of Pfizer’s CV19 vaccine named Comirnaty was “actually a fraud.” He was right. Now, Martenson is warning that medical, financial and war troubles abound and people need to get ready to deal with a reality that no human has ever seen before. Martenson starts with the medical disaster called the CV19 vax and explains, “As you give these (CV19 injections) to people,, their immune system gets worse and worse and worse. That’s what is about to come through with common knowledge. You can see them fighting it, but people are starting to notice, hey, my friend who is quadruple jabbed is getting sick all the time now with colds, Covid, whatever. It is very clear this is the single most disastrous medical intervention in all of human history.” In short, the death and disabilities from the CV19 so-called vaccine will continue and be a huge drag on the economy and society.

Then there is the debt-based economy that is in the process of collapsing under a mound of unpayable debt. The problem was started with 0% and negative interest rates that went on for almost a decade. When interest rates went up, the value of the debt went way down. Dr. Martenson says, “Now, they are sitting on huge, massive losses. That is a small example of what happened to Silicon Valley Bank (SVB). In 2019, there were $19 trillion in negative interest rate bonds. The bonds are not just under water, there are trillions of dollars in losses, and the question is who is going to eat those losses? We don’t just have a banking crisis. This is just a reflection of the monetary sickness because we were led by idiots or intentionally harmful individuals. Zero percent interest rates caused damage every year it was done, and now the damage is already done. To me, a very long period of very stupid monetary policy is now about to erupt.”

Martenson says, “People need to be ready for a vast punishing return of inflation, and a decade of shortages on everything because of years of price suppression.”

Martenson also says we have been lied to about the Ukraine war. Russia has been winning and not losing. Martenson predicts it will not end well for NATO.

On the political front, Martenson says a Trump indictment signals banana republic time, and that will “guarantee Trump will win in a landslide in 2024.” There is much more in the 54-minute interview.

Join Greg Hunter on Rumble as he goes One-on-One with Dr. Chris Martenson, founder of PeakProsperity.com, and best-selling author of the revised book called “Crash Course”. 

Wednesday, March 22, 2023

"Would They Crash The Economy On Purpose? Avoid Economic Suicide"

Jeremiah Babe, 3/22/23
"Would They Crash The Economy On Purpose? 
Avoid Economic Suicide"
Comments here:

"Brace For A Housing Market Meltdown As Property Values Are Crashing Harder Than In 2008"

Full screen recommended.
"Brace For A Housing Market Meltdown As 
Property Values Are Crashing Harder Than In 2008"
by Epic Economist

"The U.S. housing market is in big trouble. While mortgage rates are spiking and worsening affordability all around the nation, property values are crashing hard. Redfin data shows that over the past eight months, U.S. homes have lost a combined $2.3 trillion in value, and we aren’t even close to seeing a bottom just yet. Things are getting so scary that even Federal Reserve officials are warning about a double-digit drop in home prices, and saying that “bubble theorists” have been right all along. Home sales are falling precipitously, mortgage applications just hit a low last seen in 1995 and several other indicators are signaling that more turmoil is ahead. According to an expert that has accurately predicted previous downturns, many properties will halve in value by the end of 2023 and a wave of foreclosures is now emerging on the horizon. Since the summer of 2022, the housing market has been weakening every month, with the home prices in some bubbly markets falling over 21% since June, which has been the case in San Francisco, California; Boise, Idaho, and Austin, Texas, according to the S&P Case-Shiller index of prices in 20 major metro areas.

Last month, mortgage applications fell to 1995 levels, according to Fannie Mae data. But the truth is that despite recent price declines, the housing market remains significantly overvalued all across America, and property values have a lot more room to fall. No wonder why now even Federal Reserve officials are alerting about a double-digit drop in prices on top of the declines we have already witnessed so far. In a research report released last week, Dallas Federal Reserve economists warned that the U.S. housing market would face a worrying price correction this year, and more rate hikes from the central bank could make a crash even worse. "If the observed price-to-rent ratio grows at an explosive rate relative to its fundamental-based ratio estimated with long-term interest rate and rent growth data, bubble theorists merit attention," they said.

For the housing market to return to its fundamentals, they estimated that a 20% correction would still be necessary. That decline would add to the 8% nationwide drop in home prices that already occurred last year, meaning that we are set to see property values falling even more sharply than they did during the 2008 housing crash when U.S. homes lost a quarter of their value. And that’s the “modest baseline scenario,” they said. “More hawkish monetary policy could trigger a much steeper correction.”

And over the past eight months, the housing market suffered the biggest drop in value since 2008. Real estate brokerage firm Redfin released data that shows that the value of U.S. homes tumbled from $47.7 trillion in June 2022 to $45.3 trillion this month — a decline of $2.3 trillion, or 4.9%. That represents the biggest drop in percentage terms since the 2008 financial crisis when home values plunged by 5.1% from June to March.

Jeremy Grantham alerted about an "everything bubble" that could halve the value of U.S. homes, and plunge the U.S. economy into a much more painful recession. The price of real estate and other investments have ballooned to unsustainable highs during the pandemic, Grantham said. The current bubble is pretty damn big compared to previous ones, and dwarfs 2008 in scope, the market historian observed. If the US gets lucky, the housing market might slump by around 29%. But if events pan out poorly, a 50% crash is not unlikely, the bubble expert predicted.

Investors are panicking, policymakers are desperate, but still most people remain unaware of the risks that lie ahead. As Grantham emphasizes: this is going to be the implosion of a superbubble. And we all should expect the consequences of it to be extremely destructive."
Comments here:

"The Curse of Interesting Times"

"The Curse of Interesting Times"
Things are the most interesting they've been
 in 80 years, 250 years, and, well, ever.
by Contemplations on the Tree of Woe

"The Chinese curse their enemies with the phrase “may you live in interesting times.” Or, rather, Americans think that Chinese curse their enemies like that; according to Infogalactic, “despite being widely attributed as a Chinese curse, there is no equivalent expression in Chinese.”

Fortunately, there’s an actual Chinese phrase that’s much more interesting. It’s found in a 1627 short story collection by Feng Menglong called "Stories to Awaken the World," and it states "better to be a dog in a peaceful time, than to be a human in a chaotic times.” And to be a dog in 17th China didn’t mean being a beloved fur baby with your own YouTube channel. It meant being a workbeast that got eaten when times were lean. The Chinese still have an annual dog meat festival.

Whichever adage you prefer, our times are both chaotic and interesting. In fact, they are monumentally interesting - they are so interesting as to beggar coherent description, to put to shame historical comparison, so remarkable that every single one of us would be justified in screaming from the rooftops in shock and awe. And yet we don’t. We keep calm and carry on, sturdily gripped by our bias for normalcy, by our human ability to adapt to even the most bizarre circumstances. It’ll be fine, we tell ourselves. This is fine.

But what if we put aside our normalcy bias for a moment and look at how just how “interesting” our times really are? What do we see then?

Once Every 80 Years…Once every 80 years, a country enters a crisis. That is, at least, the assertion of Strauss-Howe Generational Theory. According to Strauss and Howe, human history is organized into repeating patterns marked by four “turnings”: the High, the Awakening, the Unraveling, and the Crisis. Each turning is approximately 20 years long, and an entire cycle of four turnings is therefore about 80 years long. According to Strauss and Howe, American history looks something like this:

○ American Revolutionary Crisis, 1765 - 1785
○ American Civil War Crisis, 1855 - 1875
○ Great Depression and World War II Crisis, 1930 - 1950
○ You Are Here, 2010 - 2030

If we believe Strauss-Howe Generational Theory, we are in the midst of what they call a Fourth Turning - a moment of Crisis.

Are we in a Fourth Turning? I certainly believe so. As I documented in "Running on Empty," the United States now stands at a financial precipice. US inflation is at its worst in 40 years because the monetary system we established under Truman and rejuvenated under Nixon is now about to collapse. With that crisis have come challenges from a resurgent Russia and burgeoning China that could lead to a Third World War or, at best, a post-American world order. The Thucydides Trap has never been so close to springing. It’s no wonder then that US fears of nuclear war have surged to levels not seen since the Cold War. But unlike the Cold War, no one wants to ‘ask what they can do for their country’ anymore. US Army recruitment is at its worst in 50 years. And why would they want to serve? Our nation is divided into warring camps. US partisan distrust of the opposing party is at its worst in 30 years.

All right. That all sounds bad. But if Strauss-Howe Generational Theory is true, the Fourth Turning will be over in about 5-10 years and we’ll move into the next Turning, the High. And those are awesome! But what if we won’t be heading into another high?"
Full, fascinating, most highly recommended article is here:
Freely download "Stories to Awaken the World", 
by Feng Menglong, here:

Musical Interlude: 2002, "Believe"

Full screen recommended.
2002, "Believe"

"A Look to the Heavens"

“Massive stars, abrasive winds, mountains of dust, and energetic light sculpt one of the largest and most picturesque regions of star formation in the Local Group of Galaxies. Known as N11, the region is visible on the upper right of many images of its home galaxy, the Milky Way neighbor known as the Large Magellanic Clouds (LMC).
The above image was taken for scientific purposes by the Hubble Space Telescope and reprocessed for artistry by an amateur to win the Hubble’s Hidden Treasures competition. Although the section imaged above is known as NGC 1763, the entire N11 emission nebula is second in LMC size only to 30 Doradus. Studying the stars in N11 has shown that it actually houses three successive generations of star formation. Compact globules of dark dust housing emerging young stars are also visible around the image.”

Chet Raymo, “Mortal Soul: The Great Silence”

“Mortal Soul: The Great Silence”
by Chet Raymo

“If there is one word that should not be uttered, it is the name of – no, I will not say it. Any name diminishes. In the face of whatever it is that is most mysterious, most holy, we are properly silent. It is appropriate, I think, to praise the creation, to make a joyful noise of thanksgiving for the sensate world. But praising the Creator is another thing altogether. When we make a big racket on His behalf we are more than likely addressing an idol in our own image. What was it that Pico Iyer said? “Silence is the tribute that we pay to holiness; we slip off words when we enter a sacred place, just as we slip off shoes.” The God of the mystics whispers sweet nothings, as lovers do.

In a diary entry for “M.”, near the end of his too-short life, Thomas Merton wrote: “I cannot have enough of the hours of silence when nothing happens. When the clouds go by. When the trees say nothing. When the birds sing. I am completely addicted to the realization that just being there is enough.” The natural world was for Merton the primary revelation. He listened. He felt a presence in his heart, an awareness of the ineffable Mystery that permeates creation. It was this that drew him to the mystical tradition of Christianity, especially to the Celtic tradition of creation spirituality. It was this that attracted him to Zen.

There come now and then, perhaps more frequently in late life than previously, those moments of being (as Virginia Woolf called them) when creation grabs us by the shoulders and gives us such a shake that it rattles our teeth, when love for the world simply knocks us flat. At those moments everything we have learned about the world – the invaluable and reliable knowledge of science- seems a pale intimation of what is. In Virginia Woolf’s novel “The Waves”, the elderly Bernard says: “How tired I am of stories, how tired I am of phrases that come down beautifully with all their feet on the ground! Also, how I distrust neat designs of life that are drawn upon half sheets of notepaper. I begin to long for some little language such as lovers use, broken words, inarticulate words, like the shuffling of feet on the pavement.”

In moments of soul-stirring epiphany, it is reassuring to feel beneath our feet a floor of reliable knowledge, the safe and sure edifice of empirical learning so painstakingly constructed by the likes of Aristarchus, Galileo, Darwin and Schrodinger. But at the same time we are humbled by our ignorance, and more ready than ever to say “I don’t know,” to enter at last the great silence. Erwin Chargaff, who contributed mightily to our understanding of DNA, wrote: “It is the sense of mystery that, in my opinion, drives the true scientist; the same blind force, blindly seeing, deafly hearing, unconsciously remembering, that drives the larva into the butterfly. If the scientist has not experienced, at least a few times in his life, this cold shudder down his spine, this confrontation with an immense invisible face whose breath moves him to tears, he is not a scientist.”

The whole thrust of the mystical tradition, the whole thrust of science, is toward the great silence- an awareness of our ignorance and a willingness to say “I don’t know.” A lifetime of learning brings one at last to the face of mystery. We live in a universe of more than 2 trillion galaxies. Perhaps the number of galaxies is infinite. And the universe is silent. Achingly, terrifyingly silent. Or, rather, the universe speaks a little language such as lovers use, broken words, inarticulate words, like the shuffling of feet on the pavement.”

The Poet: Langston Hughes, "Dreams"

"Dreams"

"Hold fast to dreams
For if dreams die
Life is a broken-winged bird
That cannot fly.
Hold fast to dreams
For when dreams go
Life is a barren field
Frozen with snow."

- Langston Hughes

"It's Just... Life"

“Bad things don’t happen to people because they deserve for them to happen. It just doesn’t work that way. It’s just… life. And no matter who we are, we have to take the hand we’re dealt, crappy though it may be, and try our very best to move forward anyway, to love anyway, to have hope anyway…to have faith that there’s a purpose to the journey we’re on.”
- Mia Sheridan

'Here's A Question..."

“Here’s a question every angry man and woman needs to consider: How long are you going to allow people you don’t even like – people who are no longer in your life, maybe even people who aren’t even alive anymore – to control your life? How long?”
- Andy Stanley

“That goes for old wounds, too, you know. I really wish we’d had the chance to talk before this,” he says, cracking the window so the smoke can escape. “There’s a Longfellow quote I have stuck on my bulletin board at the church office – ‘There is no grief like the grief that does not speak’ – and it’s true. I’ve found that keeping pain inside doesn’t give it a chance to heal, but bringing it out into the light, holding it right there in your hands and trusting that you’re strong enough to make it through, not hating the pain, not loving it, just seeing it for what it really is can change how you go on from there. Time alone doesn’t heal emotional wounds, and you don’t want to live the rest of your life bottled up with anger and guilt and bitterness. That’s how people self-destruct.”
- Laura Wiess

"Breaking! NATO Launching Massive Attack Against Russia In Weeks"

Full screen recommended.
Redacted, 3/22/23:
"Breaking! NATO Launching Massive
 Attack Against Russia In Weeks"
"The United States is about to launch a massive military offensive against Russian territory according to reports this morning. Russia and China just took major steps yesterday in reordering the world order creating what many are calling a new world order."
Comments here:
I wish I believed that not even in their wildest delusional insanity would the psychopathic degenerates running the government, and everything else, actually try to do this, regardless of instant nuclear World War III. But given the chance, they will...

"War Over Taiwan, A New and Gorgeous Advance in Stupidity" (Excerpt)

"War Over Taiwan, 
A New and Gorgeous Advance in Stupidity"
By Fred Reed

Excerpt: "Judging by statements from the Pentagon and Washington, the US is preparing the public for war with China. Why such a war? China is no threat to America and provides the low-cost goods on which America depends. Since the rest of the world also depends on Chinese goods, a war would wreck the global economy. Is this a good idea? Has anyone asked the rest of the world? Why does Washington want this?

Because China (and a rapidly growing Asia) threatens the American military empire. You, gentle reader, may not be interested in empire. You may want jobs, medical care, prosperity, good schools for your children. But Washington wants empire. Wants it badly, at any cost.

Thus we are being prepared. In particular we hear about "Chinese aggression", which for some reason America must fix. But it doesn’t exist. China is not militarily aggressive. Look at the record. Choose a year– say, 1800 –and count unprovoked wars started by China against other countries. There was the annexation of Tibet, arguably a war, in 1950. China fought a short war with Vietnam after the American defeat, and took part in various border clashes of disputed with India. That’s about it. China has one overseas military base, at Djibouti. Americas has something like 750.

By contrast, since that date America and its European parents have fought constantly against each other and invaded most of the world. Whether the aggressiveness of the European races is genetic is a question for those wiser than I.

China currently is at war with nobody and shows no sign of wanting to be. It is a commercial nation. By contrast, America has recently wrecked Iraq, spent twenty years killing in Afghanistan, wrecked Syria and Libya, bombs Somalia, runs a war against Russia in Ukraine which has killed some two hundred thousand Ukrainians and Russians, and wrecked Europe’s economy, prepares to provoke a war with China, and threatens to invade Mexico. Where in this do we see Chinese aggression?

The underlying cause for the aborning war fever is of course that the Asian economies will dwarf that of America. The proximate cause is Taiwan. Why Taiwan?"
Full, highly recommended article is here:

The Daily "Near You?"

Roosevelt, Utah, USA. Thanks for stopping by!

"Focus and Motivation Music with Beta Wave Isochronic Tones - Classical"

Full screen recommended.
"Focus and Motivation Music with 
Beta Wave Isochronic Tones - Classical"
by Jason Lewis - Mind Amend

"Beta wave isochronic tones combined with an inspirational modern classical music playlist. Designed to increase concentration and focus. Part of my Study Focus isochronic tones series. This is a high-intensity audio brainwave entrainment session, using isochronic tones. Listen to this when you need a strong burst of intense focus to concentrate and study things like advanced mathematics, scientific formulas, financial analysis or any other complex mental activity. Isochronic tones produce a stronger and more powerful brainwave entrainment effect, compared to binaural beats study music tracks or standard music.  

Listen to this track with your eyes open while doing the task/activity you want to focus on. Use this session in the morning, afternoon or early evening, to train your brain for better cognition, focus and thought processing. You can either sit somewhere quiet and comfortable with your eyes closed and give your brain a nice workout, or you can also listen to this while doing an activity that requires a boost in concentration.

Headphones are NOT REQUIRED for this video. Although headphones are not required you may find they produce a more intense effect, because they help to block out distracting external sounds.
o
"Isochronic tones are a fast and effective audio-based way to stimulate your brain. Among many of the benefits, they can help improve focus, relaxation, energy levels, sleep and more, without taking drugs or needing any special equipment. What isochronic tones essentially do is guide your dominant brainwave activity to a different frequency while you are listening to them, allowing you to influence and change your mental state and how you feel."
Comments here:
"Isochronic Tones –
How They Work, the Benefits and the Research"
This is a brainwave entrainment audio session using isochronic tones combined with music. The isochronic tones are the repetitive beats you can hear on top of the music throughout the track. If you are new to this type of audio brainwave entrainment, find out how isochronic tones work and how they compare to binaural beats here: 
Listen folks, we're out of time! Whether you want to know it or not we're literally in the fight of our lives, for our lives, right now, and it's going to get much, much worse. Some of you reading this will not survive, and I may not either, so I'll take any edge I can get, and you should too... This works for me. Prepare yourself, brace for impact...
- CP

"Is the Panic Really Over?"

Full screen recommended.
Dan, iAllegedly 3/22/23:
"Is the Panic Really Over?"
"We are getting news from so many different industries. We are 
hearing about banking, real estate, and the state of the automotive industry."
Comments here:

"The Road to Argentina"

"The Road to Argentina"
A look at one possible future for America...
by Bill Bonner

San Martin, Argentina - "Today’s the big day. There are only two ways to resolve the debt crisis – either inflation or deflation. Either the bad debt (as much as $50 trillion of it, by our estimate) gets written off or inflated away. And today, the Fed signals which way it will go. Bloomberg: "Fed Caught Between Inflation and Bank Crisis." "All eyes in the financial and economic world will be laser-focused Wednesday on the Federal Reserve as Chair Jerome Powell tries to balance his fight against inflation against a sudden banking crisis. Powell and his colleagues began their meeting Tuesday with the outcome unusually unclear. While most economists expect a quarter-point interest-rate hike, some say policymakers should pause…"

By the time you read this, you may already have the news. But from our point of view, it hardly matters. The Fed has already begun its ‘stealth pivot.’ And even though Wall Street still hasn’t crashe, .and the economy still hasn’t gone into an official recession, the powers-that-be are on the brink of panic.

Meanwhile, at the End of the World…But here in Argentina, we are steeped in crisis…surrounded by ineptitude…immersed in corruption. It gives us a sense of deja-vu…as if the future of the USA could be read in the pages of the Buenos Aires Herald over the last 70 years. So rather than speculate about what the Fed will do…we will look around us.  

Rick Rule invited us to open our eyes last week. Rick is an old friend, who was tracking puma in Patagonia and decided to stop for a visit. He asked the same question many Dear Readers have posed: “You could live anywhere, why do you live here? Yes, it’s beautiful in a rugged kinda way. But so is it where Dan lives in Wyoming. And they don’t have inflation at 105% in Laramie.”

Rick was referring to the latest inflation report. Over the last 12 months, Argentina’s inflation rate has gone up from 100% to 105%. "INDEC: Prices jumped 6.6% in February, inflation 105.8% over last year…"

That is the highest inflation reading in 32 years. It reminds people of what may come next: hyperinflation. The last time inflation hit over 100%, it ran all the way to 5,000%...when people needed a wheelbarrow full of pesos in order to buy a cup of coffee.  

The peso is going down against the dollar fast, too. When we arrived just a month ago, we were offered 370 pesos per dollar, on the black market, of course. Now, the exchange rate is 392 per dollar.

Functional Disfunction: “I’d also like to know how an economy can function with 105% inflation,” said Rick. “It seems impossible. Who comes to work? Who votes for a president who allows inflation to get so high? How do people make ends meet? And yet, the electricity works. The airports are open and the planes fly. The steaks are thick and tasty. The wine is delicious. You’d almost think nothing was wrong.”

Our reply follows: “Economists long ago singled out Japan and Argentina as economies that didn’t seem to fit any of their models. But there are some things that are always and everywhere true…and as Milton Friedman put it “if you want more of something, subsidize it; if you want less of something, tax it.”

We don’t know anything about Japan, but we’ve been coming down to Argentina for nearly 20 years. It’s a country rich in resources. And know-how. But poor in public policies. Here, they subsidize poverty and tax the producers. And they’ve turned Argentina into a poor country.

People around here are poor. Most are unemployed. But it’s hard to find people to pick grapes. You almost have to beg them to come to work. It wasn’t always like that. Even 20 years ago, when we first came here [we had come in a group…with Rick], it wasn’t like this.”

Just look at Buenos Aires. There are thousands of buildings that are relics of a Belle Epoch…a time when average Argentines had the money and the ambition to build nice buildings. Now, a few still want fine suburban houses…but most live in the run-down relics of Buenos Aires…or the unfinished, improvised housing in the outer boroughs.

The GDP per capita is only $10,000 per person. Even people on Social Security get three times as much in the US.

When the Music Stops: We invited Rick into the living room, where we have a grand piano given to us by a friend. “That piano was owned by Robustiano Patron-Costas. His story tells us a lot about what happened here. He was a very energetic investor who became one of the richest men in the country (at a time when the country had a lot of rich men) by doing something remarkable. He developed a vast sugar-producing industry, in the middle of what had been almost wasteland. He built a refinery…houses for the staff…a hospital…a railroad. He got very rich. And he was urged to run for president… a kind of gaucho Calvin Coolidge who represented ‘conservative’ voters who believed that they could improve their lives by hard work and hard money. That is, he approved of what we called in our latest book “the win-win deal” and disapproved of anything that got in the way.

But there was another, fast-growing element in Argentine society. Back then, people believed that democracy would solve all their political problems…and the idealists were eager to extend the vote to all citizens. Today, that seems like the right thing to do. But it suddenly changed the political calculus of the country.  Politicians found they could win by appealing to the masses of immigrants in the capital city, Buenos Aires. And they appealed to them by offering them various “social” benefits – that is, free stuff.  

This is essentially what the ‘Peronists’ did. And they won election after election, promising more and more programs, for the next 7 decades. More and more unproductive jobs. More and more welfare.  But wait…where to get the money? Tax the rich!  

Robustiano was the perfect enemy. Immensely wealthy. Old-fashioned. A bit of a fuddy-duddy. And he represented the Old Order…people who had gotten rich before the government began actively managing the economy. He was accused of exploiting his workers (who previously had no jobs, no education, no incomes and no health care.) His gentleman’s club in Salta was confiscated by the new, leftist government. And the political situation became so tense, he had to flee to Uruguay.

From then on, it was one disaster after another.  Boom, bust, boom again… Inflation, crash, default, coup d’etat, military takeover, war, new currency, new government, inflation again. Whee! What a ride! After 7 decades, Argentines have learned how to survive,” we concluded, “but not to prosper.” Our advice: invest in wheelbarrows."
 
Joel’s Note: "Do you smell the blood in the water, dear reader? The insiders are getting jittery... and looking for someone to push overboard. Yellen? Powell? Headlines point to the latter…So far, Mr. Powell has held the line… promising to do “what it takes” to rein in the very inflation his policies likely caused. “The road ahead will be bumpy,” he mumbled during his last public appearance, as opportunistic politicos reached for the oars to whack his generous forehead. “But we will stay the course.” The honchos in congress, meanwhile, who gleefully called for trillions of dollars in free money handouts during the Great Covid Hysteria, need someone to feed to the piranhas below.

“The Fed chair has failed at both his jobs,” blared Elizabeth Warren on NBC’s Meet the Press on Sunday. “I don’t think he should be chairman of the Federal Reserve. I have said it as publicly as I know how to say it. I’ve said it to everyone.” Senator Warren, the great embarrassment of the Cherokee Nation, is not alone in calling for Mr. Powell’s job. A hack piece truly worthy of The New Republic argues that, while “Powell was taming inflation without harming the U.S. economy” all was fine… but since the SVB collapse, “it’s fair to ask whether Biden should fire him.”

Sheesh… tough crowd! “Until something breaks” has been the refrain here in these pages. That is, we’ve long held that the Fed will continue its gallant fight… until the going gets tough and the landscape materially changes.

Here’s Bill Bonner, with some characteristically prescient remarks from waaay back in January 9, when bank runs were but a twinkle in Mr. Powell’s eye. “Will [The Fed] ‘pivot’ this year?” wondered Bill.  The Fed says “no pivot”…un un…no way, Jose… Fed minutes: “No participants anticipated that it would be appropriate to begin reducing the federal funds rate target in 2023. Participants generally observed that a restrictive policy stance would need to be maintained until the incoming data provided confidence that inflation was on a sustained downward path to 2 percent, which was likely to take some time.”

Do you believe that, dear reader? We do. But we also believe that the participants can change their minds. And if we get a real crisis – a major bankruptcy…a run on a bank…a crash in the stock market…a hotter war…a new virus… any excuse at all…then Fed governors’ foreheads will grow damp…their knees will tremble…their backs will bend – and they will fold like lawn chairs.

For its part, the market is pricing in a 25-basis point hike after today’s meeting. Gold is bracing for a breakout, just shy of $2,000/oz… Bitcoin is skyrocketing toward $30,000… bums are on the edge of their seats…Has “something broken” yet? We’ll soon see…"

"How It Really Is"

 

"Deflation? Inflation? All I Want Is A Good Steak"

"Deflation? Inflation? All I Want Is A Good Steak"
by John Wilder

"Welcome to the next step down. But how is this going to go? First, there are signs that this will lead to more inflation than a Kardashian’s butt experiences in an entire season of whatever crap they’re doing on TV. Here are some signs pointed towards inflation:

* It’s inflation season. That comes right after blowing up Russian pipeline season, duck season, rabbit season, duck season, rabbit season, and train derailment season.
* $2 trillion (a number no doubt made up because it sounded good to whatever political appointee approves these things) of newly printed cash has been allocated to “stabilize” the banking system.

When Bernie Madoff stole his investors money, the Fed® didn’t backstop the investors, even though they couldn’t keep up with the compounding interest of Madoff’s lies. That was deflationary. But backstopping all bank customers, everywhere? That’s more inflationary than Stormy Daniels, umm, attributes. I heard a rumor that half of Oprah’s money was in Silicon Valley Bank®. She got very upset when she thought that Elon Musk would be the only remaining African-American billionaire.

The latest announcement from the Fed® on their plans to stop inflation sounded desperate. I imagine that Janet Yellin would offer to learn pole dancing if she thought it would lower inflation. I think that might work, since never in the history of mankind have so many dollar bills jumped back into pockets than when Janet walks on stage.

What about things that indicate that deflation might be around the corner? During the implosion of Silicon Valley Bank™, it sounds like all of their bondholders and shareholders got vaporized. So, at least $15 billion and probably closer to $30 billion in cash was vaporized faster than a hoagie at Oprah’s house.

The stock market is down. When the market goes down, the money doesn’t power a secret spaceship, it just disappears like my biological father did when my biological mother got pregnant.

When interest rates go up, housing prices go down. Why? People buy houses based on borrowed money, and higher interest rates don’t increase the amount of money that they pay at (spins wheel) the PEZ™ factory. Nope, it just makes the house payment more expensive, unless the price of the house goes down. This is deflationary, because right now housing value is vaporizing like crack at Hunter’s place on a Saturday night.

Here's another, weird, example. While I was writing this, The Mrs. walked by my secluded writing spot in the sitting room, and asked me, “Hey, want a steak?” I had a scotch already, so, that’s perfect! “What answer do you expect me to give you?” She cooked the steak. This was a perfectly marbled ribeye, an inch and a half thick. She seared the sides, and it let out a gentle “moo” as I cut into it.

What did that ribeye cost? $12 a pound. Why? Well, there’s been a drought in prime cattle country. Cattle gotta drink. The Mrs. and her brother own the better part of a buttload of land. The year before they got $6,000 for the hay. They fertilized. After Russia invaded the Ukraine, fertilizer prices spiked. They decided to just grow whatever grew and not spend the $3,000 to fertilize it. They made $6,000 for the hay, same as the year before even though they had half the hay this year.

For cattle farmers, growers, leaders, ranchers prices went up, but what they got for a cattle didn’t. Therefore? In March of 2023, I can get a pound of the best ribeye ever to grace a cast iron skillet for $12, whereas two Double Quarter Pounders With Cheese™ would cost me . . . $12. This is not a hard choice.

In 2024 or 2025, though, I expect that same beef to cost double or more. I’ve been nagging my brother in law to get some cattle. Why? I like steak way more than the crap they serve at McDonald’s®. So, in some places, there is deflation right now.

Houses: I read today that there are several projects in Vegas that just received stop orders because the financing fell through. If a project is a good idea at 1% interest and 2% inflation, it may not be a good idea while skydiving with a bag of loose change as your parachute. Plans that don’t have financing. In an inflationary environment, a plan that doesn’t have financing is as useful as a waterproof towel.

There’s also been a rush towards our border of illegals that are desperate to come to a horribly awful and racist country. Is this inflationary, or deflationary? Inflationary. Illegals do take jobs that are low on the pay scale, so that strawberries are 0.03% cheaper. Is that deflationary? No. It’s inflationary. Illegals do make things like strawberries, lettuce, and cocaine cheaper, but they do actually cost about $10,000, each, for every year that they’re here for things like welfare, schools, roads, etc. So a family of five? Costs everyone at least $50,000 per year. Where does the cash come from? That’s the genius! We print it!

So, inflation or deflation? Yes. Our currency is going to zero, probably sooner than many might anticipate. What will go up? In 2023, not cows. But in 2025? Yeah, nearly certainly.

Some things will come down – I can’t predict them all. But the Fed™ will never stop printing. Their choice is this:

* Increase rates and blow up banks, the stock market, and house prices.
* Keep rates the same and blow up the currency.

The currency is toast. So is Biden’s chance at re-election. This time next year? I expect that we’ll see all of the above in full motion. I predicted in 2018 that 2025 we’d see a big breakdown, and I’m not betting against that now. Biden will likely go down as the single worst resident of the White House in history. I only hope that this complete economic and societal breakdown will finally rid us of the scourge of Kardashians. At least then it will be worth it."

"You Haven't Seen Anything Yet! Inflationary Crisis, Banking Meltdown, Economic Freefall"

"It's a Big Club, and you ain't in it. 
You and I are not in the Big Club."
- George Carlin
Your guide...
Gregory Mannarino, AM 3/22/23:
"You Haven't Seen Anything Yet!
 Inflationary Crisis, Banking Meltdown, Economic Freefall"
Comments here:

A Must View! "Major Alert! Russia Nuke Warning To NATO!"

Full screen recommended.
Canadian Preppier, 3/21/23
"Major Alert! Russia Nuke Warning To NATO!"
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Douglas Macgregor, 3/21/23:
"American Exercise in Proximity to Russia Causes Alarm"
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"Massive Shrinkflation At Dollar Tree! This Is Ridiculous!"

Full screen recommended.
Adventures With Danno, 3/22/23:
"Massive Shrinkflation At Dollar Tree! This Is Ridiculous!"
"In today's vlog we are Dollar Tree, and are noticing massive food products that have shrunk in size! We are also noticing a lot of empty shelves! It's getting rough out here as stores seem to be struggling with getting products!"
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Musical Interlude: Dire Straits, "Private Investigations"

Dire Straits, "Private Investigations"

"It's a mystery to me, the game commences,
For the usual fee, plus expenses.
Confidential information, it's in a diary.
This is my investigation, it's not a public inquiry.

I go checking out the reports, digging up the dirt.
You get to meet all sorts in this line of work.
Treachery and treason, there's always an excuse for it,
And when I find the reason, I still can't get used to it.

And what have you got at the end of the day?
What have you got to take away?
A bottle of whiskey, and a new set of lies,
Blinds on the windows, and a pain behind the eyes.

Scarred for life, no compensation.
Private investigations..."

Tuesday, March 21, 2023

"I'm Sure..."

"I'm sure the universe is full of intelligent life. 
It's just been too intelligent to come here."
- Arthur C. Clarke

"Here We Go! Credit Unions and Small Banks Collapsing, and FED Won't Stop It"

Redacted, 3/21/23
"Here We Go! Credit Unions and Small Banks 
Collapsing, and FED Won't Stop It"
"Big banks are struggling to pull another small bank out of the depths. This time it is JPMorgan Chase trying to rally its banking peers to stabilize First Republic Bank. Meanwhile, the Federal Reserve is meeting this week to discuss a possible interest rate hike and other regulatory responses to the banking crisis. Will this continue to send the dollar into a tailspin?"
Comments here:

"The Car Market Crisis Will Economically Destroy Young Americans As They Can't Afford Auto Payments"

Full screen recommended.
"The Car Market Crisis Will Economically Destroy
 Young Americans As They Can't Afford Auto Payments"
by Epic Economist

"The car market crisis is far more complex than people realize. With car prices crashing down, some would assume that the cost of auto payments would go down too, but the exact opposite is happening right now. Buyers are seeing the value of their vehicles plummeting while they’re stuck with some of the most expensive auto payments ever seen. And that’s occurring at a time when jobs are at risk and inflation is pushing the cost of daily necessities to record highs. Millions of workers are falling behind their loan obligations, getting in danger of losing their vehicles while still carrying massive amounts of car debt. This is especially true for young Americans. Right now, Gen Z and Millenials are being economically destroyed by the auto loan crisis as they can’t afford their car payments and are about to face dire consequences that can impact their financial future for decades. We have never had a messier outlook for the auto sector than we have now in 2023. The ripple effects will be quite disastrous, and it looks like a major collapse is already underway.

Over the past three years, people have taken significantly more debt to buy vehicles. This a trend that has been particularly predominant for Gen Z and Millenials, who the Federal Reserve believes may have borrowed way beyond their means. New data shows that young Americans’ finances have started buckling under the weight of car expensive loans — one more worry to contend with in this precarious economic environment. Although it’s somewhat normal that this group actually has higher car debt rates because many of them are buying their first car, data compiled by VisualCapitalist.com shows that for Americans under the age of 40, vehicle related-debt has grown by 31% since the pandemic, almost three times faster than for other age groups.

No wonder why right now Millenials and Gen Zs say that car payments account for over 20% of their after-tax income, according to Cox Automotive. And of course, the amount of auto debt transitioning into serious delinquency is much higher for Gen Z and Millennials who carry elevated levels of credit card and student loan debt and have less stable jobs. Last year alone, these generations saw $20 billion in auto debt fall 90+ days behind.

With auto loan delinquency rates still spiraling amongst this group, the consequences for young Americans can be more devastating than they realize. On a personal level, the financial distress caused by unaffordable payments, and the delinquent status can impact their access to credit for years to come. On top of that, their vehicle remains at risk of being repossessed, and that’s already happening at alarming numbers.

And if the lender sells your repossessed vehicle for less than your loan default balance, this means delinquent young Americans will still have to pay the difference. To make things even worse, their remaining auto loan debt can be sent to a third-party collection agency. So if they don’t cover the deficiency balance in an appropriate time frame, the agency will likely sue them for repayment, only adding to their financial woes.

"It looks like young Americans just can't afford to drive," outlines Matt Moore, vice president of the Highway Loss Data Institute. "Paying for their own cars, gas, and insurance is hard if they can't find a good-paying job," he emphasized. That’s what a broken system looks like. And these are just the very first chapters of a much larger economic and financial meltdown that will continue to shake our country to the core."
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