Today a 40-year market veteran sent King World News an incredibly important piece that warns the world is about to witness orchestrated financial destruction and social unrest that is beyond imagination. This piece exclusively for KWN also discusses why the financial destruction and social unrest will engulf the entire world.
By Robert Fitzwilson of The Portola Group
March 9 (King World News) – While last week ended on a positive release from the Bureau of Labor Statistics on the number of jobs created, the number lacks credibility as others have already pointed out. The push for plausibility for the case to raise interest rates continues at a feverish pace.
Just Another Friday
Just as the financial markets breathed a sigh of relief after Fed Chair Janet Yellen suggested that a policy change in rates was further in the distance than was expected, the jobs report on Friday sent both the stock and bond markets into a tailspin. The oil and precious metals markets were also hit, but Friday is the traditional day for the elites to take down the metals, particularly with the Indians on the sidelines….
Continue reading the Robert Fitzwilson piece below…
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It has been said that there is a fine line between clever and stupid. When we assess the actions and language of the elites, it is really hard to say which is the case. While everyone should agree that raising interest rates in the face of a secularly weakening global economy is suicidal, that is exactly what the central bankers keep threatening. Whether it is clever or just plain stupid will make no difference. A meaningful rise in rates will collapse the global financial system.
Since the global financial bubble took off in earnest in 2000, it is sobering to reflect on the changes. In 2000, the U.S. work force numbered around 153 million. The U.S. work force in 2015 is roughly 148 million, a huge decline despite the fact that the population is significantly higher. In 2000, the median income was a little over $28,000. In 2015, the median income is slightly above $28,500, but in reality real incomes have plunged because of massive money printing and inflation.
A Real Tragedy
The median price of a new home in that period has soared from $170,000 to $295,000. It is no wonder that rents are skyrocketing. Home affordability is beyond the reach of the average person. Strong housing numbers are primarily in the multi-family dwellings. The media hypes any strength in those numbers, but it really reflects the tragedy of generations suffering a dramatic fall in their standards of living. The statistics for much of the rest of the world are equally tragic.
At the same time, the number of people not participating in the labor force has also mushroomed. In 2000, the number was 78 million. Currently, it is approaching 93 million.
Does Each Family Really Owe $730,000?
Turning to debt, the average family in the U.S. is on the hook for $730,000 just for the federal obligations. At a time when most people have little or no savings and are saddled with credit card and student loan debts, it is a ridiculous number to think will ever be serviced for much longer let alone repaid.
Key Derivatives Wagers Skyrocket From $89 Trillion To $700 Trillion
One of the most sobering statistics relates to derivatives. Just for those associated with currency and credit, the amount outstanding in 2000 was $89 trillion. As of the moment, that number stands close to $700 trillion.
We Are About To Witness Orchestrated Financial Destruction
None of this sounds like a great moment to raise interest rates and send the financial markets into a tailspin. That is, unless it IS the plan. Only a few can answer that question. It could very well be that the elites are the “smartest dumb” people on the planet. Most went to the elite schools, but the intellectual poison they brought to the real world is completely counter to common sense and the crucible of human history.
Are The Elite Telegraphing The Destruction?
One of the seven sacraments of the Catholic Church has to do with penance and reconciliation. It is the process for seeking divine mercy for sins committed against “God and neighbors”. We are seeing more attempts to achieve that from the elites in recent weeks. Lord Rothschild came out with a warning about the perilous geopolitical situation. We already knew that. Alan Greenspan, the “Maestro”, is making the rounds with similar warnings for the financial markets. It was largely been during his tenure as the head of the Fed that the seeds for this financial maelstrom were planted and grown. If penance and mercy are being sought by these two gentlemen, their quest might be futile.
Wealth Destruction And Social Unrest Beyond Imagination
One thing seems very clear: Given the horrible data outlined above, raising interest rates will be seen by historians as one of the worst financial policy decisions ever made. Without functioning, lawful markets and without sound economic policies being put in place, all it would achieve is to bring down the markets. We do not believe it is a sudden sympathy for the retirees and their stolen income. The Fed is owned by the banks and run for the benefit of the banks. The wealth destruction would be beyond imagination, let alone unleashing social unrest across the globe.
Having seen the carnage that took place on Friday with the mere suggestion that rates will be rising, we will see this week if penance and reconciliation now emerge from the Fed once again. In the meantime, quantitative easing from the European central bank begins on Monday. It was shock and awe with the original U.S. Fed QE. It was amazement with the Japanese version. The ECB is more of a concept than a sovereign entity, so the world reaction is most likely to be muted. The shell game continues, but the fools in the audience are diminishing as the tricks of the central banks become unmasked and less effective. ***ALSO JUST RELEASED: Nearly 100 Million Americans Out Of Work – The Grand Deception Continues CLICK HERE.
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