On the heels of continued volatile trading in key global markets, the Godfather of newsletter writers, 90-year-old Richard Russell, discusses what is really happening in the United States.  Also, Dr. Paul Craig Roberts weighs in with his thoughts about the ongoing crisis in Greece.

Richard Russell: "The mystery: If the economy is as good as the Fed claims, then why is the Fed holding back on a first step-up in short rates? Also, if the economy is as good as the Fed claims it is, why is the Industrial average stubbornly holding below 18,000?

As I write, Industrials are up 5 and the Transports are up 2. The tech-heavy Nasdaq is up 24 and still above the even number 5,000.

The Mainstream Media Refuses To Quote Economist John Williams

Despite the bullish news from the Fed and the government, John Williams insists that the US economy is rolling over and sinking into recession. If this is true, why is it that the media refuses to quote Williams on the economy? Again, I repeat, if the US economy is as good as the Fed and the government claims it is, what’s holding back the Industrials and Transports?

I would like to again point out that the Industrials are within a stones throws of a record high, while the Transportation average is at a six-month low. Through my years of watching markets I have never seen such a disparity between the Industrials and the Transports.

In a healthy market, the Industrials and Transports move up together in harmony. What we have now is a classic picture of a sick market. The bigger the divergence between the two, the sicker the market. All I ask is that the Transports gain in relative strength and close the distance between the Transports and the Industrials."

And with people around the world still worried about the crisis in Greece, today former U.S. Treasury official, Dr. Paul Craig Roberts, takes a look at what is now unfolding in Greece.

By Dr. Paul Craig Roberts Former U.S. Treasury Official

July 31 (King World News) – I have maintained since the so-called Greek Debt “crisis” began back in 2010, I believe it was, that the imposition of austerity on Greece could not possibly work and that the only solution was to write down the debt to a level that Greece could service and introduce reforms that loosen the hold the oligarchs have on the Greek economy. The current Greek government has taken the same position, and now the IMF has joined us.

King World News - Richard Russell On What Is Really Happening In The U.S. And PCR Weighs In On Greece And The IMF

IMF Says No To Greek Deal

The IMF has said that debt relief measures, that is, write-downs, are necessary and that this necessary measure goes far beyond what the eurozone has offered so far. Asked if the plan could succeed without debt relief, the director of the IMF said, “categorically, no.”

This has been obvious from the beginning to any economist worthy of the name. The fact that
it has taken five years to establish an elementary fact shows how rapacious are the rich. Moreover, it proves in my opinion that the “crisis” was never about debt. It was about using the debt as a weapon to establish that creditors are not responsible for their mistakes when they overlend, and to force the centralization of member states’ tax and spending policies in the EU. The austerity plan does not address debt. It imposes a draconian fiscal policy on the Greek government.
***Later today KWN will be releasing the remarkable audio interview with Dr. Paul Craig Roberts and you can listen to it when it's released by CLICKING HERE.  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:  Bill Fleckenstein – Patients On The "Gold Couch," Alan Greenspan Surfaces, Plus A Bonus Q&A CLICK HERE.

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The audio interviews with Robert Arnott, Eric Sprott, John Mauldin, Stephen Leeb, Egon von Greyerz, Nomi Prins, Gerald Celente, Andrew Maguire, Michael Pento, Dr. Paul Craig Roberts, 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.

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