Helen & Harry Highwater's cranky weblog of news and opinion.
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"News that's not known, or not known enough." Helen & Harry Highwater's cranky weblog of news and opinion. |
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Has Bob Moriarty lost it? Here is the ultimate in TEOTWAWKI prophesying. And I guess we'll find out in three months whether or not old Bob is off his meds... But first, who is "Bob"?
Chaos on the Horizon? Invest in Real Assets by Bob Moriarty, 321 Gold (((My comments in triple parentheses. Excerpts in quotes.))) (((Moriarty flat out predicts:))) "We are to the point where we are about 14 feet from going over the edge of Niagara Falls. We haven’t gone over the edge yet; we haven’t gone to a total collapse.
(((It would be so easy to just laugh this off except that we just found out that the military is preparing for just this eventuality in the event of economic collapse. DoD and Blackrock are chomping at the bit, so to speak...))) "BM: What we have done is guaranteed hyperinflation in the United States. We have guaranteed the destruction of the United States. We will have riots starting in the first quarter of next year; we will default by the summer of 2009. TGR: Default on how many of the bonds? All? Or just some? BM: 100%. The US government is going to default. Treasuries, Fannie Mae, Freddie Mac, the whole lot. It’s the end of empire. The United States government will not exist in its current form a year from now." (((I think what he is basing this on is that interest rates are approaching zero at the short end and is just over 2% for the 10 year notes:))) 10 year Treasury Note Yield, weekly charts (((Soooooo...this is a "bubble". When the bubble bursts that means what? Rates go back up in spite of what the Federal Reserve wants! But how could that happen! Isn't the Fed all powerful? Well, all bubbles end after the prices go parabolic -- justifications come afterwards. Soooo...suppose that rates rise dramatically so the Fed decided to double down and print twice as much money -- not 8 trillion but 20 trillion or 50 trillion just to make sure home loans are cheap. What happens then? The dollar goes down dramatically and interest rates rise anyway, and soon enough the US cannot afford to import its oil. And then look out below...))) (((That is the thinking, I guess. Watch the US dollar and if it starts dropping even faster than it is now, then maybe that means the brown stuff is about to hit the fan. Because if the dollar drops by 50%, it won't matter what the official interest rate policy is, the stuff we need to import will be helluva lot more expensive and poor people will be starving!))) (((I keep hearing these guys on CNBC, mostly the guys who have been wrong about everything for years, and they're saying that hyperinflation won't happen because the Fed will stop printing money and withdraw its bailout money once the economy begins to recover. I think that is dubious, at best. The reason is that the Fed is not composed of technocrats, they're not brain surgeons either; they are politicians, and they don't want to do unpopular things. So soon enough, we'll get hellacious inflation because the Fed is incompetent and incapable of doing its job.))) (((So, you could say that I disagree with Bob Moriarty. But most over his timing. I don't see the US breaking up unless several more years of horrid mismanagement happen. And if that happens then it will take some time for a "revolution" to be bloodily put down by the military :-) My guess would be for collapse no sooner than 2020 :-) ))) (((I am surprised that poor people aren't rioting already though. The 8 trillion in bailout money could have been used to send a government check in the amount of $30,000 to each man, woman and child in America. I mean, a family of four would have received $120,000 -- with a polite note from the Secretary of the Treasury hoping that this will be enough to tide y'all over until 2009. Instead, the rich people were given the money so that their losses could be reduced. And none of the actual problems got solved by the bailout money, so the poor people are still going to get fucked over ANYWAY!)))
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