Today the man who predicted 8 months ago in a televised debate that the Swiss National Bank would experience staggering losses, and has become legendary for his predictions on QE, historic moves in currencies, and major global events, warned King World News that the Fed will also experience massive losses that will destabilize the global financial system!
Egon von Greyerz: “Eric, Humpty Dumpty, in the guise of Greece, just had another big fall. And I can guarantee you that all the King’s horses and all the King’s men couldn’t put Greece back together again. The IMF, an important part of the troika, made clear that they are not backing the attempt to give Greece a few more months of life support….
Continue reading the Egon von Greyerz interview below…
“And if the IMF doesn’t back support for Greece, neither will Germany. So the whole rescue will fail.
But it’s not just Greece that cannot be put together, it’s the whole world. The whole world is broken and it cannot be mended. How can anyone expect the politicians, who created a total disaster in the world economy, to ever put it back together again? Politicians don’t have a clue how to run a country, much less how to solve the world’s problems.
Eric, most politicians are not suited for the job they have. They are all good at campaigning and being elected, but they couldn’t even do that without their backers who are really the people pulling the politicians’ strings. This is why Greece and the EU have no chance of surviving in their present form. When an honest person becomes a politician, he can no longer tell the truth.
The Average Person Is Struggling Just To Survive
In the United States the Fed has been talking up interest rates for quite a while. It has gotten to the point where they almost believe their own rhetoric that the U.S. economy is improving. But many of us know that it’s asset markets that are improving due to money printing and credit creation. The real economy and the average person is struggling just to survive.
Today, for example, Q2 wage growth was the lowest since records began. In real terms the average U.S. worker has not had any improvement in his standard of living since the 1980s. All he has is more debt. Gullible markets led by mainstream media propaganda have all expected a rate increase. So today’s wage figures surprised them, which led to bonds surging and the dollar falling as gold rallied $20 off the lows.
Let me give you another example of politicians’ and central bankers’ arrogance: In Switzerland, the Swiss National Bank is in the process of jeopardizing the Swiss financial system by speculating in currencies, with currency positions totaling 80 percent of Swiss GDP.
"Conspiracy Theorist" Warns Swiss National Bank To Experience Massive Losses
In connection with the Swiss Gold Initiative last year, I took part in a televised debate in which I pointed out to a former president of the Swiss National Bank that the SNB was risking losing tens of billions of Swiss francs or maybe even 100 billion Swiss francs on its currency positions. This central banker called me a ‘conspiracy theorist’ and tried to ridicule me during the debate.
"Conspiracy Theorist" Right – This Week SNB Confesses To Staggering Losses!
Well, this week the SNB just announced that they have lost 50 billion Swiss francs in just the first six months of the year. That is over 8 percent of Swiss GDP! And since they still have the long euro and long dollar positions, they could easily lose 100 billion Swiss francs. Eric, that would be the equivalent of the Fed losing a staggering $2.7 trillion. But it would not be unlikely for the Fed to experience that much in losses since the $4 trillion in assets they hold can never be repaid. Those kind of massive losses would be incredibly destabilizing for the global financial system.
Looking at gold, it’s being openly mocked by the mainstream media and other propaganda arms, whether it’s the Financial Times, Wall Street Journal, Washington Post, or Bloomberg — they all say ‘gold is doomed.’ The reality is that there is no solution to the world’s problems and that is why it is absolutely essential to own physical gold to protect yourself against coming calamities in the world economy and the financial markets.
No one should be fooled by the temporary correction in gold caused by unlimited selling of pieces of paper that the market thinks are gold. The paper market has nothing to do with the real value of gold. The current selling of paper gold is part of the manipulation of markets and financial repression that the elites are orchestrating in order to conceal the true nature of the disaster that is the world economy and financial system.
Let’s be very clear: The treacherous action that we are seeing in the paper gold market will soon fail and the price of gold will see a dramatic reversal. This will put an end to the brutal four-year bear market and it will usher in the next leg of the massive secular bull market in gold.” ***KWN has now released the remarkable audio interview with Dr. Paul Craig Roberts and you can listen to it when it's released by CLICKING HERE OR ON THE IMAGE BELOW. Dr. Roberts discusses a world on the edge of chaos, the turmoil in the gold and silver markets, what surprises to expect and much more.
***ALSO RELEASED: Paul Craig Roberts – We Are In Scary Times As The Russians Won't Comply And The Risk Of World War Is Rising CLICK HERE.
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The audio interviews with Dr. Paul Craig Roberts, Robert Arnott, Eric Sprott, John Mauldin, Stephen Leeb, Egon von Greyerz, Nomi Prins, Gerald Celente, Andrew Maguire, Michael Pento, Rick Rule, Bill Fleckenstein, David Stockman, Chris Powell, Dr. Philippa Malmgren, Marc Faber, Felix Zulauf and Rick Santelli are available now and you can listen to them by CLICKING HERE.