World Now Faces ‘Monetary Armageddon’

By Mike Gleason – Re-Blogged From Gold Eagle

Mike Gleason (Money Metals Exchange): It is my privilege now to interview our good friend, Greg Weldon, CEO and President of Weldon Financial. Greg has decades of market research and trading experience specializing in the metals and commodity markets and he even authored a book back in 2006 titled Gold Trading Boot Camp where we accurately predicted the implosion of the U.S. credit market and urged people to buy gold when it was only $550 an ounce. He’s made some fantastic calls over the last few years here on our podcast and it’s great to have him back with us.

We did speak to you back at the end of February before all this madness started. At the time, COVID-19 had begun seriously impacting economic activity in global markets, maybe not so much in the U.S. Now, just two months later, more than 30 million people have filed for unemployment, GDP was deeply negative in the first quarter and figures to be even worse here in Q2. But the equity markets are acting as if the worst is behind us. We got a major correction followed by an almost relentless rally. Our take is that equity markets are completely disconnected from reality. They are hitched, instead, to the Fed’s magic money machine. What is your take on how stock markets are behaving here, Greg?

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Turkey Says Syria Attack Plans Complete

By Reuters – Re-Blogged From IJR

Turkey said on Tuesday it had completed preparations for a military operation in northeast Syria after the United States began pulling back troops, opening the way for a Turkish attack on Kurdish-led forces long allied to Washington.

But U.S. President Donald Trump warned he would “obliterate” the NATO ally’s economy if it took action in Syria that he considered “off limits” following his decision on Sunday to pull 50 American special forces troops from the border region.

The U.S. move will leave its Kurdish-led partner forces in Syria vulnerable to an incursion by the Turkish Armed Forces (TSK), which brands them terrorists because of their links to Kurdish militants who have waged a long insurgency in Turkey.

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Slowdown Confirmed

By Mike Savage – Re-Blogged From Gold Eagle

I have had a rough time for the last few weeks coming up with commentary that has anything new to say. It seems that we are bombarded day after day with talk of trade wars, tariffs and counter-tariffs.

Just today, April retail and industrial production numbers came out in China and in the USA. To say the least, the numbers were uninspiring at best.

In the USA retail sales for April contracted 0.2%. Much of the weakness was in auto sales because taking the auto numbers out there was a .1% gain in April. Electronics and building materials also fell. US industrial production, which has been stagnant all year, was not expected to grow in April either. It still surprised on the downside contracting 0.5%. That is the largest monthly drop since May of 2018.

Durable consumer goods dropped 0.8%. What caught my eye, however, was production decreased for business equipment, construction supplies and business supplies. This appears to confirm that 500,000 less people are actually working today than were at the beginning of 2019 even though we have “full employment”. What a joke that is! The only reason production wasn’t hurt worse was an increase in defense and space equipment materials.

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Is Turkey The Snowflake That Unleashes The European Banking System Avalanche?

By Mark O’Byrne – Re-Blogged From Gold Eagle

Turkey Is Not Contained

By Michael Pento – Re-Blogged From Silver Phoenix

During my last appearance on CNBC, before I was banned several years ago, I warned that the removal of massive and unprecedented monetary stimuli from global central banks would have to be done in a coordinated fashion. Otherwise, there would be the very real risk of currency and debt crises around the world.

However, coordination among central banks is not what is happening. The Fed is miles ahead in its reversal of monetary stimulus, as it has already raised rates seven times; with two more 25bps rate hikes in the pipeline scheduled for later this year. It has also avowed to sell off two trillion dollars’ worth of debt off its balance sheet–while the rest of the world’s central banks are far behind in this monetary tightening course. This has led to a significant increase in the value of the US dollar.

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Trade War To Continue, Global Debt Default And Higher Interest Rates Unavoidable

By Mike Gleason – Re-Blogged From Silver Phoenix

Mike Gleason: It is my privilege now to welcome back Michael Pento, president and founder of Pento Portfolio Strategies, and author of the book The Coming Bond Market Collapse: How to Survive the Demise of the U.S. Debt Market. Michael is a well-known money manager and a fantastic market commentator, and it’s always great to have him here on the Money Metals podcast.

Well, Michael, you have recently written about why current problems in Turkey are definitely worth paying attention to. There are some similarities with the Asian crisis of the late 1990s which had ripple effects around the globe. The entire developing world is drowning in dollar denominated debt. If there are defaults, lenders in the first world, including major banks in Europe and the United States will have a real problem. Now, there have been a number of brief panics in recent years over the potential for default in places like Greece, Italy, Argentina. Officials seemed to have been able to kick the can and avoid a full-blown crisis, but one of these days people are going to be surprised and find out the reckoning for all the borrowing and debt has finally arrived. Turkey’s economy dwarfs that of Greece, so what do you make of the current events there, Michael? How serious are things really?

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Turkey’s Detention of Pastor Andrew Brunson Prompts U.S. Sanctions. What’s At Stake?

Re-Blogged From Stratfor

The Big Picture

The distance between Turkey and the United States has been growing as each pursues security and economic imperatives at the expense of the other. In our annual forecast, Stratfor mentioned that U.S. rival Russia would use its “deepening ties to widen Turkey’s rifts with NATO and with the European Union,” just one of many stressors taxing the U.S.-Turkey relationship.

 

See 2018 Annual Forecast

See Middle East and North Africa section of the 2018 Annual Forecast

What Happened?

On Aug. 1, the United States sanctioned two Turkish government ministers in response to what Washington views as the “unjust and unfair” detention of Andrew Brunson, an evangelical pastor who has lived and worked in Turkey for two decades. Turkey’s government has promised to retaliate.

How Did Turkey and the United States Get Here?

The sanctions on Turkish government officials because of Brunson’s detention represent the culmination of increasing tension between Ankara and Washington. For months, they have disagreed over issues as wide ranging as Turkey’s demands for the extradition of Islamic cleric Fethullah Gulen, Turkey’s relationship with Russia and its threats to the NATO alliance, Turkey’s history of flouting Iran sanctions, conflicting U.S.-Turkish policies in Syria and more.

What Do These Sanctions Mean for Turkey’s Economy?

The economic sanctions themselves are largely symbolic — they only affect the two ministers’ personal finances — but their imposition is just one of many external factors wreaking havoc on its economy and contributing to the further depreciation of its currency, the lira. And Turkey has a history of exacerbating domestic economic strains with its foreign policy decisions.

 

The sanctions on Turkish government officials because of Brunson’s detention represent the culmination of increasing tension between Ankara and Washington.

 

In part because of the country’s flagging economy, there has been an unusual coalescing of its many feuding political parties. Now that Washington has implemented sanctions, all the parties can join together to blame the United States for Turkey’s economic woes.

What Do the Sanctions Mean for American Businesses in Turkey?

Turkey’s legal system, its recently expanded counterterrorism laws and the current hypernationalist political atmosphere give Ankara license to crack down on anything that it deems a security threat. There is a strong possibility of increased harassment of U.S. travelers and businesses, as well as a disruption of business operations for companies with U.S. ties.

What Are the Foreign Policy Implications?

The United States and Turkey maintain the largest and second-largest militaries in NATO, respectively. A serious rift between them would result in disruptions and confusion within the NATO alliance. This would be a boon for Russia, which would welcome a less cohesive NATO. Moscow could use the potential disruptions — especially in the Black Sea — as an opportunity to break down Turkey’s traditional role as NATO’s southeastern flank against Russia. The Kremlin may also decide to shift more of its forces to its western military region to face off against NATO in Eastern Europe.

The United States is also traditionally the largest arms exporter to Turkey, so damaged relations between the two could drive Ankara toward alternative suppliers. And given the two countries’ interconnectedness in a number of defense industry areas, a U.S. cancellation of arms deals with Turkey (seen in the U.S. threat to cancel F-35 fighter shipments to Ankara) could result in significant short-term defense disruptions that would affect the many countries involved in the F-35 program.

A serious rift between the Turkey and the United States would result in disruptions and confusion in the NATO alliance as a whole. This would be a boon for Russia, which would welcome a less cohesive NATO.

Furthermore, a schism could damage U.S. interests in the Middle East. The harm would be particularly evident in northern Syria and northern Iraq, where Turkey could be even more proactive in undermining the Syrian Democratic Forces (SDF), as well as the Kurdistan Workers’ Party and its allies in northern Iraq. This approach would clash with U.S. efforts to emphasize the defeat of violent extremist groups like the Islamic State by maintaining a stable SDF presence in Syria and a stable environment in northern Iraq. The United States could also potentially lose access to its air base in Incirlik, Turkey, though it has enough alternative basing rights in the Mediterranean and the Gulf region to mitigate such a loss.

One final negative implication for U.S. policy in the Middle East could involve Turkey’s refusing to enforce U.S. economic sanctions against Iran over its nuclear program. Some of those penalties will be reapplied on Aug. 6 and Nov. 4. Turkey is likely weighing two competing imperatives. It needs to protect its fragile economy, which could not withstand additional external shocks from more U.S. sanctions. But it also could choose to trade with Iran in order to poke a hole in U.S. efforts to limit Iran’s economic activity. For this type of retaliation, Turkey would need to rely more on its fair-weather relationship with the European Union, which is currently in a fairly positive place.

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Currency Woes

By Alasdair Macleod – Re-Blogged From Gold Eagle

This week’s collapse of the Turkish lira has dominated the headlines, and it is widely reported that this and other emerging market currencies are in trouble because of the withdrawal of dollar liquidity. There are huge quantities of footloose dollars betting against these weak currencies, as well as commodities and gold, on the basis the long-expected squeeze on dollar liquidity is finally upon us.

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Anatomy Of Hyperinflation

By Michael Pento – Re-Blogged From Silver Phoenix

Two drones filled with explosives were recently deployed in a failed assassination attempt to take out Venezuelan President Nicolas Maduro. Chaos filled the streets as the military ran for their lives. But this sort of pandemonium is commonplace in Venezuela today: Where citizens have run out of basic necessities such as toilet paper and have begun eating their pets in order to stay alive. The mainstream Keynesian-brainwashed media doesn’t talk much about Venezuela or hyperinflation; perhaps because they are viscerally aware that the seeds of intractable inflation on a worldwide basis have already been sown by the global elites–and they don’t want to frighten you.

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Contagion? Turkey Uses Banks to Halt Lira’s Plunge

By Bloomberg – Re-Blogged From Newsmax

Turkish policy makers made their first move to bolster the financial system and investor confidence amid a plunge in the lira. The currency, stocks and bonds extended their decline.

Promising to “take all necessary measures,” the central bank in Ankara lowered the amount commercial lenders must park at the regulator and eased rules that govern how they manage their lira and foreign-currency liquidity. While there was no mention of higher interest rates, it said all options were on the table.

Image: Contagion? Turkey Uses Banks to Halt Lira's Plunge

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Marc Faber: Countries Unwise To Let Antagonistic US Hold Their Gold

By Stephan Gleason – Re-Blogged From http://www.Gold-Eagle.com

Mike Gleason: It is my privilege now to be joined by a man who needs little introduction, Marc Faber, editor of The Gloom, Boom and Doom Report. Dr. Faber has been a long-time guest on financial shows throughout the world, and is a well-known Austrian economist and investment advisor, and it’s a tremendous honor to have him on with us today.

Dr. Faber, thanks so much for joining us again, and, how are you?

Marc Faber: Well, it’s my pleasure to be on your show. Thank you.

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Turkish MP: “Europe Will Be Muslim”

By Robert Spencer – Re-Blogged From Freedom Outpost

“Europe will be Muslim.”

That fact is fairly obvious to everyone at this point, and that is likely why the May government in Britain is moving so swiftly to persecute and destroy all resistance to Sharia and Islamization.

The British authorities see the writing on the wall, and well they should, because they wrote it.

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Three Flashpoints in the Syrian Civil War

Re-Blogged From Stratfor

Forecast Updates

  • The Syrian civil war is heading in a new direction.
  • As various operations in Afrin, Idlib and Damascus play out, the front lines of the Syrian civil war will become more static.
  • Despite a decrease in major offensives, the presence of so many foreign powers with intersecting interests heightens the risk of violence.

Turkish-backed Syrian opposition fighters walk on the Roman bridge in the archaeological site of Cyrrhus, northeast of the Syrian city of Afrin, in February 2018.

(NAZEER AL-KHATIB/AFP/Getty Images)

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Turkish President Erdogan Vows To Recapture All Lands Once Held By The Ottoman Empire

By Robert Spencer – Re-Blogged From Freedom Outpost

“We say at every opportunity we have that Syria, Iraq and other places in the geography [map] in our hearts are no different from our own homeland. We are struggling so that a foreign flag will not be waved anywhere where adhan [Islamic call to prayer in mosques] is recited.”

Apparently, Erdogan means at the very least the recapture of all the lands once held by the Ottoman Empire.

That’s not just Greece, as in the article title below. That’s also Bulgaria, Romania, Yugoslavia, Algeria, Syria, Iraq, Israel, Egypt, Algeria, Tunisia, Morocco, and more.

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Turkey’s President Takes a Victory Lap

Sinan Ciddi   By Sinan Ciddi – Re-Blogged From Stratfor

Highlights

  • Following a referendum vote on sweeping constitutional changes in April 2017, Turkey’s government will transition from a parliamentary democracy to an executive presidency after the next presidential election in 2019.
  • The odds of a free and fair election are slim given the measures incumbent President Recep Tayyip Erdogan has taken — and the further measures he will take — to ensure he comes out on top.
  • Though former President Abdullah Gul would be Erdogan’s most credible challenger, he is unlikely to run in the next presidential race.

Turkish Prime Minister Recep Tayyip Erdogan, who has since become his country's first popularly elected president, commemorates 50 years of Turkish immigration to Germany at a celebration in Berlin in 2011.

(SEAN GALLUP/Getty Images)

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The Story of Christmas Is a Chorus, Not a Carol

David D. Judson   By David D. Judson – Re-Blogged From Stratfor

In light of the Christmas holiday celebrated in several parts of the world on Dec. 25, Stratfor is running this analysis originally published in 2015.

The joy of children, the sharing of gifts with loved ones on a sacred day, the renewal of faith. These elements of a holy day are not the normal fare of Stratfor — we normally devote ourselves to the study of geopolitical power and not to the intangibles of human experience. One day a year, however, we can set aside our professional detachment to tell a Christmas story. And there are many Christmas stories. It is a holiday with deep and diverse roots and one that has, by the 21st century, become truly global — and for that matter, geopolitical. And so I will share my own, with a bit of context. I hope that readers will indulge me in this small departure, one that I think comports with the way Stratfor views the world and its complexities.

Christmas in the Middle East

(GALI TIBBON/AFP/Getty Images)

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In the Middle East, Russia Seems to Be Everywhere

Re-Blogged From Stratfor

Russia’s growing prominence in the Middle East was on full display Dec. 11 when Vladimir Putin visited three key Middle Eastern countries in one day. The Russian president followed a surprise trip to Syria with a quick stop in Egypt before ending his day’s travels in Turkey. He met with his presidential counterparts in all three countries, and the economic deals, military agreements and political settlements he discussed highlighted Russia’s role in the region. While Russia has its own reasons for bolstering its relationships with Syria, Egypt and Turkey, it also benefits from being visible where its regional rival, the United States, is not.

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Weekly Climate and Energy News Roundup #296

By Ken Haapala, President,The Science and Environmental Policy Project

Brought to You by www.SEPP.org

Quote of the Week.“Whenever you find yourself on the side of the majority, it is time to pause and reflect.” – Mark Twain [H/t WUWT]

Number of the Week: $56.60

Warming and Cooling? S. Fred Singer, our founder and newly elected Chairman Emeritus, is busily working on an interesting question: can carbon dioxide, a greenhouse gas, cause a cooling as well as a warming? The answer is YES, depending on subsidiary conditions.

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Turkey Poised to Roll Into Syria

Re-Blogged From Stratfor Worldview

Turkish-backed Syrian rebel fighters advance toward jihadist-controlled Idlib province along the Syria-Turkey border on Oct. 6.

(NAZEER AL-KHATIB/AFP/Getty Images)

Weeks after Turkish forces started to deploy in large numbers along the border with Syria, adjacent to the province of Idlib, Ankara appears to be on the verge of launching yet another significant military operation into the war-torn country. Unlike Operation Euphrates Shield, which targeted lands occupied by the Islamic State, the upcoming operation into Idlib will be directed toward lands occupied by Syrian rebels. As befitting a convoluted conflict such as Syria, Turkey’s advance into Idlib will be assisted by other Syrian rebel groups trained over time by Turkey in neighboring Aleppo province. And according to Turkish President Recep Tayyip Erdogan’s latest statements, they will be supported by Russian aviation. Continue reading

Brexit Triggered…And Why Britain Should Succeed In The Negotiations

By Alasdair Macleod – Re-Blogged From http://www.Silver-Phoenix500.com

This is the week that Article 50 of the Lisbon Treaty was triggered, and the two years of negotiation between the UK and the EU commenced. Following this period, the UK formally leaves the EU. It is the first time a member state is leaving the EU, so the procedures are untested and the outcome uncertain. But it is not the first Brexit, as historian David Starkey has pointed out. Henry VIII gave similar notice to Rome and through several Acts of Parliament between 1532-34, removed papal powers and tithes, and achieved his Brexit. The chief Remainers, his Chancellor Sir Thomas Moore and Cardinal John Fisher, were executed in 1535.

Today’s Remainers can expect kinder treatment. But Britain has never been entirely happy giving away the legal supremacy from Parliament won by Good King Hal. When Britain joined the Common Market in January 1973, it was a trade bloc that made some strategic sense. The fashion was to belong to trading blocs, in the belief that the General Agreement on Tariffs and Trade (GATT), the forerunner to the World Trade Organisation, was not strong enough protection from trade barriers.

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American Journalist MURDERED for Exposing Turkish Support of ISIS?

By Tim Brown – Re-Blogged From Eagle Rising

Nearly a year ago, Luke Rudkowski of We Are Change reminded us that it had been a year since journalist for Press TV Serena Shim was apparently murdered for exposing the Turkish government’s assistance of ISIS.  However, what Shim had been reporting on concerning Turkey and Syria was dubbed as a “conspiracy theory” by many, but has now been proven to be factual.

Just to remind everyone about Ms. Shim, take a look at the video produced by Rudkowski.

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Is Stockman Right? Is This The Big One?

By Andrew Hoffman – Re-Blogged From http://www.Silver-Phoenix500.com

(September 26, 2016) It’s early Monday morning, on what could not only be a historically bad week for global financial markets, but the “beginning of the end” of the manipulated worldwide perception that “everything’s OK.”  Most of the world’s 7.4 billion denizens know this already, having watched their savings, currencies, standards of living, and political and/or social stability decline substantially since the 2008 financial crisis.  Which also goes for the majority of Westerners, I might add.  However, Western “intervention operatives” – like the PPT, ESF, Fed, and gold Cartel – have been more successful at manipulating markets to defer such perception.  Moreover, having the world’s reserve currency enables the inflationary hell the vast majority are experiencing; and in some cases, like Venezuela, hyperinflation; to be temporarily averted, in lieu of a more gradual, “frog-in-a-pot” type syndrome.  This is why gold, in the “average currency,” is trading at, near, or in many cases well above previous all-time highs.  Which of course the “evil Troika” of Washington, Wall Street, and the MSM won’t dare discussing, in their cumulative desperation to have you believe the PPT-supported, “record-high” Dow Jones Propaganda Average is indicative of a stability that simply does not exist.

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Was Turkey Coup Staged?

By Michael Snyder – Re-Blogged From Economic Collapse Blog

Barack Obama’s “friend” in Turkey is a deeply corrupt radical Islamist dictator that has just staged a coup to consolidate his grip on power.  As I have reported previously, 1,845 “journalists, writers and critics” have been arrested for “insulting” President Erdogan over just the past two years, and a couple of years ago he had a monstrous 1,100 room presidential palace built for himself that is 30 times larger than the White House.  With each passing day, more evidence emerges which seems to indicate that the recent “coup” was a staged event meant to enable Erdogan and his allies to eliminate their enemies and solidify their stranglehold over the nation.  At this point the number of victims of “Erdogan’s purge” has hit 50,000, but the final number will not be known for quite some time.

Of course there is a possibility that the coup was not staged, but if it wasn’t staged it was the worst military coup that I have seen in my entire lifetime.  As Fox News has pointed out, not a single high level member of government was killed or detained…

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In Your Face “Black Swan!”

By bill Holter – Re-Blogged From http://www.Gold-Eagle.com

What happened last Wednesday deserves another look because I believe it marked a huge pivot point and very few are even talking about it.  Last Wednesday the Fed raised rates one quarter of a point but that was not the big story.  The big story was the about face the U.S. did geopolitically!

We saw markets around the world convulse on Thursday and Friday.  All attention has focused on the Fed rate hike which no doubt was a contributor.  How wise was it for the Fed to tighten credit conditions on a system already struggling and burdened with debt?  There is no arguing we have systemically moved from the 2008 crisis which is now widely understood as a “credit event”, into an even more highly levered situation.  The recovery that never was is now met with a central bank’s policy error.

I believe the “tell” on Friday was a weak dollar.  Much of what happened in the markets could have been expected as reaction to the Fed tightening credit conditions …but not a weak dollar.  The meeting between Mr. Lavrov, Mr. Putin and John Kerry far overrides anything the Fed could have done or said in my opinion.  The foreign policy about face where Mr. Assad no longer “needs to go” and Turkey being ordered to withdraw troops from northern Iraq was astonishing!  These statements were followed by Mr. Putin establishing a no fly zone over northern Syria.  In another twist, Turkey still maintains Mr. Assad must go and they are refusing to withdraw troops from Iraq http://www.zerohedge.com/news/2015-12-19/turkey-blasts-breakthrough-un-resolution-syria-it-lacks-perspective-assad-must-go .  When in your lifetime have you ever seen anything like this?  An “ally”, ANY ALLY publicly denying U.S. will?  We all saw an IN YOUR FACE BLACK SWAN but few have recognized it yet!

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The “Other” 4G’s

By Bill Holter – Re-Blogged From http://www.Gold-Eagle.com

No, we’re not talking about 4G phones, nor God, Gold, Guns and Grub.  Today let’s look at GE, Greece, and finish with a very interesting Germany and Gazprom.  Last week GE shocked the market place by announcing they will sell their crown jewel GE Capital.  Why would they do this?  Isn’t GE capital their growth engine?  Isn’t it their cash cow?  What could they possibly be thinking?  In my opinion they are “thinking” correctly, maybe a bit too late though.

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Calling a Spade a Spade

By Bill Holter – Re-Blogged From http://www.Gold-Eagle.com

Yesterday we looked at the situations in both Ukraine and Greece, and how they are both out of money which makes them potential “flash points” for reality to set in. What I’d like to talk about today are the various “slights of hand” and why a spade can never be called a spade.

Currently in the U.S., some (but certainly not all) of the recent economic numbers are showing an absolutely booming economy.  All you need to do is look at Friday’s unemployment numbers, they were clearly bogus.

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