Tuesday, June 30, 2015

THE CLOCK IS TICKING, IT IS ALMOST MIDNIGHT....DO NOT MISS THIS!

THE CLOCK IS TICKING, IT IS ALMOST MIDNIGHT

Yes, the clock's ticking louder, louder, warns the Economist, "only a matter of time before the next recession strikes." Unfortunately, the "world is not ready." America's not prepared.

Get it? America's 95 million investors are at huge risk. Remember the $10 trillion losses in the crash and recession of 2007-2009? The $8 trillion lost after the dot-com technology crash and recession of 2000-2003? This is the third big recession of the century. Yes, America will lose trillions again.

Especially with dead-ahead predictions like Mark Cook's 4,000-point Dow correction. And Jeremy Grantham's warning of a 50% crash, with negative stock returns through the first term of the next president, beyond 2020. Starting soon.

Why is America so vulnerable when the next recession hits? Simple: The Fed's cheap-money giveaway is killing America. When the downturn, correction, crash hits, it will compare to the 2008 crash. The Economist warns: "the world will be in a rotten position to do much about it. Rarely have so many large economies been so ill-equipped to manage a recession," whatever the trigger.

With today's near-zero interest rates, our Fed and central banks worldwide have little "wiggle room" to add more monetary stimulus. And even if Congress decided to act on the much needed, highly effective "growth boosting investment in infrastructure," today's zero interest makes it impossible "to launch a big fiscal stimulus."

No wonder Grantham says the "next bust will be unlike any other." The Fed and central banks worldwide have taken on all this leverage that was out there and put it on their balance sheets," giving trillions to the top 1%, the world's 1,826 billionaires, accelerating the inequality gap and fueling a new people's revolution.

Investors are unprepared for the coming 50% stock market losses dead ahead.

Meanwhile, distractions are everywhere: It's not just happy talk about a roaring bull market in tech, a modest recovery, GDP growth topping 2%. Rather it's the relentless buzz on America's 24/7 media choking the American mind with trivia, lies 
and bullshit!

One: The bizarre presidential primaries featuring the carnival barker of the Trump Casinos gambling against the Koch Bros, the owner of the Vegas Sands and 15 other contestants in their wild-card game of "Political Jeopardy" being played for control of the GOP brand (but no regard for the will of the American people).

Two: Another soap opera is the historic morality war with Pope Francis and billions of revolutionaries pitted against the 19th century Grand Climate Science Denying Fossil Fuel Conspiracy of Big Oil and the GOP. And both these soaps are almost as much fun as "Jurassic World," Nascar racing and the network daytime soaps combined.

Then of course there's all the Clash of the Titans between two political dynasties, the heir apparent of the Bush crown versus the Clintons for the right to take over as titular head of a tenuous global anarchy of 1,826 billionaires, 67 of whom own half the assets of the entire world, the one percent whom politicians bow to more than the other 99% of America's citizens.

Yes, with 95 million average investors risking it all in the volatile Wall Street casino, it's virtually impossible for any normal folks to concentrate on the ticking time bomb that's warning of a recession dead ahead ... when the bubble pops and the bear takes over the economy ... because it really is "only a matter of time," as the Economist keeps warning that the "rich world," the Fed, Congress, all America really is not ready for a new recession ... and neither are you.

America is its own enemy, trapped in new irrational exuberance!

What's even more disturbing than the near certainty of Grantham, Cook and the Economist in the dark predictions is what's driving them, America's self-delusional narcissism, overoptimism and irrational exuberance from the happy-talking bulls, which sets us up for huge losses, as in the recessions of 2000-2003 and 2007-2009, with trillions in lost market cap.

Individually and collectively, whether Washington, Corporate America, Silicon Valley or Main Street, most Americans, secretly believe in the American Dream, at least for themselves, perpetual opportunity, perpetual growth, perpetual prosperity. THE PROBLEM WITH THIS IS MOST AMERICANS ARE IGNORANT IN THE EXTREME!

When we surveyed Wall Street years ago we found a 93% bias toward positive thinking, and a tendency to ignore or substantially discount bearish signals, to "accentuate the positive, minimize the negative."  EXACTLY WHAT IDIOTS AND FOOLS DO!

This behavioral tendency puts individual investors, stock markets, even nations at great risk. 
Harvard financial historian Niall Ferguson, author of "Colossus: The Rise and Fall of the American Empire," asked rhetorically in a Los Angeles Times column:

"America, a Fragile Empire: Here today, gone tomorrow ... could the United States fall that fast?" 

Yes. America could fall very, very fast, triggering an economic collapse with losses in trillions, the historic game-changer demanding a political course correction, like the 1908 antitrust laws, the 1932 banking and securities laws ... or today's massive takeover of American government by an anarchistic oligarchy of superrich billionaires.

Next crash, an 'accelerating sports car ... a thief in the night!'

The point, it's sudden, fast, and you won't see it coming. Nor will America's leaders. Unprepared, says the Economist, unable to act in time to avoid the recession dead ahead.

Says Ferguson, "for centuries, historians, political theorists, anthropologists and the public have tended to think about the political process in seasonal, cyclical terms ... we discern a rhythm to history. Great powers, like great men, are born, rise, reign and then gradually wane."

In that scenario, "whether civilizations decline culturally, economically or ecologically, their downfalls are protracted." We believe "the challenges that face the United States are often represented as slow-burning ... threats seem very remote."

"But what if history is not cyclical and slow-moving but arrhythmic?" What if history is "also capable of accelerating suddenly, like a sports car? What if collapse does not arrive over a number of centuries but comes suddenly, like a thief in the night?"

The collapse of our great capitalist world lies de
ad ahead, in the next decade. What if we're so deep in denial, we are totally unprepared, thanks to today's zero-interest Fed policy? 

You've been forewarned: We are in a clear and rapid countdown to another crash, recession and negative returns beyond 2020 … tick … tick … tick …

Monday, June 29, 2015

GREECE.....THE CARNAGE CONTINUES!


Investors' worst fears for Greece are slowly materializing as the country implements capital controls and is set to miss a debt payment on Tuesday. US stocks had their worst single day in months, and the S&P 500 is now negative for the year. European stock markets also cratered on Monday.

All major European stock markets tumbled; the big indexes in Germany, Spain, Italy, and France fell more than 4%.

S&P downgraded Greece's credit rating to CCC- from CCC, just two notches from D – default.

Greece Will Default To IMF Tomorrow, Government Official Says

The exchange between Greece and its creditors got increasingly belligerent, Estonian Prime Minister Taavi said that "Greece's debt would still remain outstanding and creditors would expect this money back." Greece just made it official that it would default to the IMF in just over 24 hours: "Greece won't pay IMF tranche due Tuesday, government official says"

The Athens Stock Exchange and banks in Greece will be closed all week as part of capital controls to contain the cash shortfall. There were long queues outside ATMs as people scrambled to withdraw their savings. The government has imposed a €60 limit on all withdrawals

Greek Contagion Uncontained: Portugal Bond Risk Spikes Most In Over 7 Years

Portuguese bond risk spiked a massive 49bps today. Early efforts to limit the contagion failed and Portuguese risk went out at its highs of the day and the biggest spike in risk since March 2008.

Europe's Stunning Denial Of Greek People's Right To Vote

We are watching the total collapse of Democracy and the birth of a new eraEconomic Totalitarianism from Arrogant people who are totally clueless beyond their own greed for power and money.

Greek Supermarkets Begin To Resemble Those Of Venezuela

Dow Tumbles To Overnight Lows, Down 650 Points From "Greece Is Rescued" Highs

STOCKS SLAMMED, DOW FALLS 350, S&P GOES RED FOR THE YEAR

Dow: 17,596.35, -350.33, (-1.95%)

S&P 500: 2,057.64, -43.85, (-2.09%)

Nasdaq: 4,958.47, -122.04, (-2.40%)


Inadvertent Warning From BlackRock - Get Your Money Out Of Mutual Funds ASAP

BlackRock Inc. is seeking government clearance to set up an internal program in which mutual funds that get hit with client redemptions could temporarily borrow money from sister funds that are flush with cash.  – Bloomberg News   TALK ABOUT BROKEN MARKETS AND CRIMINAL ACCOUNTING!

We may have been early on warning about leaving your savings in the financial system. It's okay to be too early getting your money out of the system but it's fatal to be just one second too late.  The gates are already in place in money market funds just waiting for the signal to be lowered.

BlackRock's filing with the SEC to enable "have cash" funds to lend to "heavy redemption" funds should send shivers down the spine of anyone with funds invested in any BlackRock fund.  In fact, it should horrifyanyone invested in any mutual fund. This is the signal that everyone should call up their mutual fund company, financial adviser or 401k administrator and get all of their the money out of any mutual fund.  Larry Fink has done everyone invested in any mutual fund a favor: he's unwittingly signaled that it's time to get out – now. Anyone who is aware of this and does not take action immediately is either a complete idiot or simply does not care about having their money taken from them by the criminal elite.

European Bank Risk Spikes Most In 5 Years To 19-Month Highs

Europe's Senior Financial credit index traded a stunning 20bps wider at the open to 97bps before giving a little back and holding at around 90bps. This is the biggest spike in European bank risk since May 2010... and is the highest level of risk since December 2013. Is faith in central bank omnipotence faltering?

French Economy In "Dire Straits", "Worse Than Anyone Can Imagine".

Moscovici who served as French finance minister until 2014 and then became European commissioner for Economic and Financial Affairs, Taxation and Customs, used some very colorful language, i.e., the French economic situation was "worse than anyone could imagine and drastic measures would have to be taken in the next two years".

IF GREECE DEFAULTS AND LEAVES EURO UNION, PORTUGAL, SPAIN, ITALY, AND FRANCE ARE VERY LIKELY TO DEFAULT AND LEAVE AS WELL, UNLESS OF COURSE THE WHOLE SHAM JUST COLLAPSES IN ON THEM FIRST! 

China Bear Market

Chinese stocks slumped into a bear market. The Shanghai Composite index closed over 3% lower, and is now down 22% from its June 12 high.

Puerto Rico Announces Bond Payment "Moratorium"

There's a separate debt crisis in Puerto Rico, where its government has admitted that it cannot keep paying down $72 billion of public-debt obligations. Fitch downgraded Puerto Rico's rating to CC from B on Monday afternoon. 

Having concluded last night that Puerto Rico debt is "unpayable," and that his government could not continue to borrow money to address budget deficits while asking its residents, already struggling with high rates of poverty and crime, to shoulder most of the burden through tax increases and pension cuts, Padilla confirmed tonight that: PUERTO RICO TO SEEK "NEGOTIATED MORATORIUM", 'YEARS' OF POSTPONEMENT IN DEBT PAYMENTS. Likening his state's situation to that of Detroit and New York City (though not Greece), Padilla concluded, the economic situation is "extremely difficult," which is odd because just a few years ago when they issued that bond - everything was awesome?


CAN YOU SAY MINSKY MOMENT
  1. A Minsky moment is a sudden major collapse of asset values which is part of the credit cycle or business cycle. Such moments occur because long periods of prosperity and increasing value of investments lead to increasing speculation using borrowed money.

Why Greece Matters .....THE NEXT CRISIS HAS BEGUN?

Why Greece Matters

The EU has been desperately trying to prop up this house of cards since 2012.

The European banking system as a whole is leveraged at over 26 to 1. That's the ENTIRE European Banking system leveraged at near Lehman levels (Lehman was 30 to 1 when it collapsed).

To put this into perspective, with a leverage level of 26 to 1, you only need a 4% drop in asset prices to wipe out ALL capital. What are the odds that European bank assets have fallen 4% in value in the last two years? The Greek mess by itself may cost them 10 to 20%! 

The European crisis is not over, it is just beginning! 

And when the next round really hits, whether it be from Greece leaving the Euro or some other issue, both capital and border controls will be implemented.

The real issue is just how much collateral will disappear when Greece goes bust?

Because whatever happens in Greece will be used as a template for much larger problems AKA Spain and Italy. AND DON'T FORGET PORTUGAL!

Spain and Italy, by comparison, have €1.78 trillion and €1.87 trillion in external debt respectively. THAT MAKES GREECE LOOK LIKE A DROP IN THE BUCKET!

That is a heck of a lot of collateral that would be in BIG trouble in the event of a bond crash for either country.

And then there is China.....The China credit bubble dwarfs even Japan's bubble of the 1980s.

Europe and China are desperate, Japan has been on life support for decades and the U.S. is a debt riddled mess that depends on the lie of pretend and extend continuing.

The next round of the great crisis is rapidly approaching. 2008 was A crisis… what's begun is THE CRISIS!

NO GREEK SOLUTION IN SIGHT.......GLOBAL FINANCIAL CHAOS ENSUES!

NO GREEK SOLUTION IN SIGHT.......GLOBAL FINANCIAL CHAOS ENSUES 

Greece, The Birthplace Of Western Civilization, Has Quickly Become Venezuela / Argentina

It appears Greece matters after all - US futures are tumbling, Japanese stocks are tanking (as JPY is bid on mass carry unwinds), Chinese stocks are limit down and collapsing.. and now European equity futures are open and in free-fall. Bunds are well bid, down 20bps to 72bps. Peripheral bonds are being dumped (contagiously).

Stocks Tumble Around the World on Greek Crisis (WSJ)
Greece Imposes Capital Controls as Fears of Grexit Grow (BBG)
Panic Sets in Among Hardy Hedge Fund Investors Remaining in Greece (NYT)
Western Union to close in Greece for rest of week (Reuters)
European banks, bonds shaken by Greek turmoil (Reuters)

Greece Will Default To IMF Tomorrow, Government Official Says

Earlier today, as the exchange between Greece and its creditors got increasingly belligerent, Estonian Prime Minister Taavi said that "Greece's debt would still remain outstanding and creditors would expect this money back." So did this latest antagonism change the Greek mind? According to a flash headline by the WSJ released moments ago, not at all. In fact, Greece just made it official that it would default to the IMF in just over 24 hours: "Greece won't pay IMF tranche due Tuesday, government official says"

Greek 10Y Bonds Collapse - Yield Tops 15%

Greek stocks may be closed and the bond market super-illiquid but traders are willing to dump GGBs at almost any price for now. 10Y Greek government bonds are spiking over 400bps and have topped 15% for the first time since December 2012.

Greece May Not Even Have The Funds To Conduct A Referendum

According to Germany's FAZ, "the Greek Court also estimates that the referendum will cost around 110 million euros, according to a well-informed policy analyst. Money that in view of the strapped Greek Checkout simply will not be there, even if the country saves a EUR 1.6 billion full-scale default to the International Monetary Fund this Tuesday."

National Bank Of Greece Crashes To Record Low

While the Greek Stock Market remains closed, ADRs trade around the world and National Bank of Greece - theoretically the strongest and least ELA-exposed (although still a disaster) - is trading down 24% in US markets on extremely heavy volume...

Greek Stocks Crash 17% As European Banks Plunge Most In 3 Years

Despite the Greek stock market being closed there is an option for hedging the exposure that all the smart money has been building to Greece in the past few days - GREK - the US-trade Greek ETF. In the pre-open, GREK is trading down 17%.While the best efforts of the SNB are underway to protect the markets from unease, European banks are suffering the exact 'contagion' that we were told numerous times would be contained... led by limit down moves in Italy.

Greek Contagion Spreads As Several Italian Bank Stocks Failed To Open

As a result of the Greek crisis the contagion promptly spread a few hundred kilometers west to Italy where as the WSJ reported, "several Italian banks failed to start trading on Monday as fears over a Greek debt default induced many investors to shed peripheral stocks, including Italian, with banks suffering the most."

Dow Tumbles 200 Points - Gives Up All Of 2015 Gains

The Dow is now down over 200 points and has tumbled back into the red for 2015.


Puerto Rico Bonds Are Collapsing

With all eyes focused on Greek ATM lines, collapsing Chinese ponzi schemes, and European bank implosions, one could be forgiven for forgetting about another crisis occurring closer to home. As we detailed here, Puerto Rico is now "in a death spiral" and PR bonds are collapsing this morning...

Chinese Stocks Crash Most In 19 Years, Re-Open Limit Down

Global Collapse Is Upon Us.....DO NOT MISS THIS!

Global Collapse Is Upon Us

In order to understand what is really going on around the globe in terms of the collapsing economy, we must set aside false mainstream versions of reality.  !!!!

When it comes to the EU and its current fiscal turmoil, it is very important to, in some respects, ignore Greece entirely. That's right; forget about all the supposed drama surrounding Greek debt obligations. Will they find a way to pay creditors? Will they default? Will they make a deal with Russia and the BRICS? Will there be last-minute concessions to save the system? It doesn't matter.

It's all a soap opera, an elaborate Kabuki theater run by international financiers and globalists. !!!!!

It is most important to remember the fundamentals. Greece will default on its debts. Period. There is no way around it. Maybe Greece makes a deal today, maybe it makes a deal tomorrow; but eventually, the country's ability to stretch out its resources in order to meet its exponential liabilities will end. It is inevitable, and no last-minute "deal" is going to change the math at the core of it all.

Why are so many economists so worried about a little country like Greece? 

It's all due to a great lie: a dishonest narrative being perpetuated by the establishment that if Greece falls, defaults or leaves the EU, this could trigger a domino effect of other nations hitting a debt wall and following suit. The lie embedded in this narrative is the claim that Greece will cause a "contagion" through the act of default.  Let's be clear - there is no contagion. Multiple countries within the EU have developed their own debt problems in spite of Greece over the past couple of decades, not because of Greece. Each of these countries, from Italy, to Spain, to Portugal, etc. has its OWN sovereign debt disasters to deal with caused by its own fiscal irresponsibility. The only legitimate reason for a so-called contagion is the fact that these countries have been forced into socialist interdependency through the EU structure.  AND WHEN ONE FAILS OR COLLAPSES THEY ALL WILL, YOU CAN COUNT ON THAT!

Never forget this: The EU is in trouble not because of Greece, but because of forced supranational interdependency. The EU by all rights should not exist, nor should any centralized supranational single currency system.

I would also point out that globalist institutions like the International Monetary Fund are highly motivated to initiate disaster in the EU, despite some people's assumptions that the EU is some kind of representative model of globalization. It's not. If this were the case, then the IMF would not be stiffing Greece on debt aid while continuing to help Ukraine despite Ukraine's similar inability to pay.

Why would the globalists want a partial breakup of the EU? 

What would they gain from such an event? 

That's easy; they gain crisis, chaos and an opportunity to present a false dialectic. !!!!!

Europe is not at all representative of what globalists really want in terms of economic and political structure, no matter what many people assume. It is a, rather, a kind of facsimile; a half measure. When Europe hits the bottom of the financial abyss and the bewildered public begins asking what the hell happened, the elites will be there with an immediate explanation. They will claim that it was not the EU's interdependency that was the problem. Instead, they will assert that the EU was actually not centralized ENOUGH. They will claim that in order for a supranational economy and currency to work, we must also have supranational governance. In other words, the system failed because it needs to be stabilized by global government.  READ THE LAST CHAPTER OF THE BIBLE AND MAYBE YOU WILL UNDERSTAND! IT EXPLAINS EXACTLY WHAT IS COMING!

The Fabian socialists will argue that it was the barbaric and outdated institution of national sovereignty that caused the full-spectrum crisis. They will completely gloss over the negative effects of an interdependent economic system and the fact that a lack of redundancy leaves cultures simpering and impotent. 

We're all one big human village after all, so we should accept the idea that we all succeed or fail together. ALL WE NEED IS A LEADER (ANTICHRIST) TO RISE UP AND LEAD US! IT COULD NOT BE MUCH CLEARER WHAT IS COMING. GOD AND THE BIBLE WILL NOT BE MOCKED!

Free markets and individual innovation apparently have nothing to do with a thriving economic structure. What we really need is a hive mind amalgamation that turns us all into easily replaceable parts in a massive rumbling lawnmower that chews up our heritage, history and principles for the sake of some arbitrary greater good and the promise of alchemical floating cities in the sky where no one has to work anymore.

The fall of the EU is a means to an end for globalists. !!! 

There is almost no nation or institution they will not sacrifice if that sacrifice can be exploited to further their goal of total global political and economic dominance. They don't just want a completely centralized system; they want all of us to BEG them to put that system in place. They want the masses to think it was all our idea. This is the most pervasive and effective form of slavery, when the slaves are manipulated into demanding their own enslavement.  When the slaves are fooled into believing their enslavement is something to be proud of — a badge of honor in service of the collective, if you will.  CAN YOU SAY SATAN?

The fall of the U.S. will be no different in this regard. We do not necessarily have a supranational structure like the EU. So our narrative for collapse will be slightly different, and the engineered lesson we are meant to learn will be carefully crafted.

You see, Americans are meant to play the role of the spoiled imperialists who are finally getting what we deserve, an economic punch in our tender parts. We are the new Rome, bread and circuses and all. And when the U.S. comes crashing down like Europe, the Fabians will be there yet again to admonish the greed inherent in national sovereignty and the destructive aspirations of power that must be squelched by a more evenhanded global political system. 

I don't really know how many people out there realize this, but we are meant to play the bad guys in the global theater being put on by the elites. Americans are the villains, the rest of the world plays the role of innocent victim, and globalist centers like the IMF and the BIS are meant to play the heroes, coming to the rescue of humanity when all appears lost.

Our debt generation by far outmatches that of the whole of EU nations combined. Unlike Greece, though, the U.S. has the direct option to print fiat at will in order to prolong punishment for our massive debt spending. However, as we have seen with recent market reactions to the very notion of an interest rate hike by the Federal Reserve in September, such an event will trigger extensive outflows from stock markets and herald the end of the "new normal." 

Again, why would the banksters do this? 

Why not keep interest rates at a constant near zero?  It is not as if there is any public pressure to raise rates; in fact, it's quite the opposite. Why is the Fed ignoring the hundreds of signals showing that the U.S. is in a recession and pushing ahead with discussion of interest rate hikes despite what one might logically conclude would be in the Fed's best interest?

The Fed knows that the only things propping up American markets are free money and blind faith by the public that banks and government will act to stop any pain or economic suffering, should such a potential for crisis arise. 

When the free money is gone and that faith disappears, then we will have an epic catastrophe on our hands. !!!!

The globalists within the Fed know this, and they want this - at least , they want a controlled version of this. The elites NEED the fall of the current U.S. system exactly because this will make way for the rise of what they often term the "great economic reset."  This reset is the next stage in the plan for total global economic centralization.  THINK ANTICHRIST, MARK OF THE BEAST AND ONE WORLD GOVERNMENT AND ECONOMY!  JUST AS THE BIBLE SAYS!

This is not about contagion. There is no such thing. It is an excuse, a scapegoat designed to distract from the real problem. This is about a concerted effort over the past several decades by internationalists to maneuver Western cultures into a position of vulnerability. 

When people are weak and frightened, they become malleable. Social changes you would have never thought possible today become very possible tomorrow in the midst of a crisis. 

We are now seeing the onset of the next great crisis, and the fundamentals of economy support this point of view. YOU HAVE TO BE A REAL DIM BULB TO MISS WHAT IS HAPPENING! 

When the entire European system hangs by the thread of Greek debt and the entire U.S. system hangs by the thread of near zero interest rates and blind market faith, something is about to shatter. There is no going back from such a condition. There is only the path forward, and the path forward is not pleasant or comfortable and it cannot be ignored.

We cannot forget that crisis is in itself a distraction as well. Whatever pain we feel tomorrow, or the next day, or the next decade, remember who it was that caused it all: the international banks and their globalist political counterparts. No matter what happens, never be willing to accept a centralized system. No matter how reasonable or rational it might sound amid the terror of fiscal uncertainty, never give the beast what it wants. Refuse to conform to the dialectic. This is the only chance we have left to get back to true prosperity. 

Once we cross the line into the realm of worldwide institutionalized interdependency, we will never know prosperity or freedom again.  THE WORLD IS ABOUT TO CHANGE FOREVER, THE CHURCH AGE IS ENDING AND THE END TIMES OF THE BIBLE ARE UPON US. WE WILL SOON SEE THE RAPTURE OF THE CHURCH AND THE SUBSEQUENT RISE OF THE ANTICHRIST AND HIS ONE WORLD GOVERNMENT. SIGNS ARE ABUNDANTLY CLEAR AND MOST PEOPLE ARE INCREDIBLY BLIND TO WHAT IS HAPPENING, THE CHURCH IS DEAFENINGLY SILENT.   

Sunday, June 28, 2015

GREECE SITUATION.......GROWING MUCH WORSE!

GREECE SITUATION ASSURES A VERY TURBULENT WEEK LIES AHEAD

ECB Says "Greek Bank Holiday Now Necessary"

Bloomberg: ECB SAID TO VIEW BANK HOLIDAY FOR GREECE AS NECESSARY


Greek Capital Controls Begin: Banks, Stock Market To Remain Closed From Monday

The run on bank ATMs in Greece has turned into a stampede, it is not surprising that:

*GREEK BANKS TO REMAIN CLOSED FROM MONDAY: PIRAEUS BANK CEO

Reuters is also reporting that the Greek stock market will not open on Monday (leaving us wondering just what that will do to the Greek ETFs liquidity in US markets) as hedgers scramble to protect un-closable losses wherever they can.

The ECB Suddenly Has A Huge Headache On Its Hands

As that €126 billion or so of total ECB/Eurosystem claims on Greek banks were "charged off" in case of a terminal Greek "event" then the entire ECB capital buffer would also be wiped out, leaving the ECB with negative equity. Translated: dear Eurosystem members: we need more cash.

G-7, EU Banking Officials Hold Emergency Calls Ahead Of Black Monday

Multiple "emergency" meetings have been scheduled for Sunday as EU officials scramble to figure out how best to deal with what is likely to be a turbulent week and to consider the impact a potential Grexit will have on the currency bloc, its member nations and institutions, and on the global financial system as a whole. Meanwhile, Germany assesses Grexit damage.

The Greek Butterfly Effect

This next week is not so much about Greece the butterfly, but it is about keeping the butterfly from becoming a hindrance to the math working globally. And the Greek government knows this. They are negotiating on the basis that a bad Greek deal from Europe's point of view is better than a default. Angela Merkel wanted a concluded Greek deal before markets open on Monday. Now she has a mess.

Early Market Opening Indications For The Coming Week: Stocks Tumble,Europe Crashes!

REVELATION..........CORONATION OF THE KING OF KINGS


Revelation 1:3 Blessed is he that readeth, and they that hear the words of this prophecy, and keep those things which are written therein: for the time is at hand.

Revelation 3:22 He that hath an ear, let him hear what the Spirit saith unto the churches.

Revelation 1:19 Write the things which thou hast seen, and the things which are, and the things which shall be hereafter;

I Thessalonians 4: 15-17 15 For this we say unto you by the word of the Lord, that we which are alive and remain unto the coming of the Lord shall not prevent them which are asleep.

16 For the Lord himself shall descend from heaven with a shout, with the voice of the archangel, and with the trump of God: and the dead in Christ shall rise first:

17 Then we which are alive and remain shall be caught up together with them in the clouds, to meet the Lord in the air: and so shall we ever be with the Lord.


The coming of the Bridegroom for His Bride will occur soon:


BASED ON GOD'S PERFECT WORD THE PRE TRIB RAPTURE IS THE TRUTH, HIS PROMISE TO BELIEVERS ALIVE TODAY AS HISTORY COMES TO A CLOSE. THOSE THAT DON'T UNDERSTAND, SIMPLY CAN'T READ OR ARE CONFUSED BECAUSE THEY HAVE NOT ASKED THE HOLY SPIRIT TO GUIDE THEM IN THEIR BIBLICAL STUDIES OR EVEN WORSE, THEY HAVE AN AGENDA OTHER THAN GODS. SADLY, MOST CHURCHES PREFER COMFORT TO TRUTH.

HAS GOD PROMISED TO PROTECT THOSE THAT ARE HIS?

DO YOU REALLY THINK ANY GROOM, ESPECIALLY JESUS, WOULD LEAVE HIS BELOVED BRIDE ON EARTH IN HARMS WAY DURING THE TRIBULATION. REST ASSURED JESUS WILL NOT!

DOES GOD LIE?
IF NOT,HE HAS PROMISED TO PROTECT US AND PRIOR TO THE MOST HORRENDOUS, EVENT IN HUMAN HISTORY, THE TRIBULATION,TRUE BELIEVERS WILL BE PROTECTED AS PROMISED BY THE RAPTURE. THINGS WILL BE SO BAD, THE DEVIL WILL BE IN CONTROL TEMPORARILY ON THIS EARTH, SO THE ONLY PROTECTION FOR THE CHURCH WILL BE REMOVAL BY THE RAPTURE.

DID GOD REMOVE NOAH?  

DID GOD REMOVE LOT? 

DID ELIJAH DIE OR WAS HE REMOVED BY A CHARIOT OF FIRE INTO HEAVEN? 

DOES GOD LOVE HIS OWN, THOSE ALIVE TODAY ANY LESS THAN HE LOVED NOAH, LOT OR ELIJAH

HAS GOD CHANGED?

IS GOD ANY LESS CAPABLE OF SUPERNATURAL BEHAVIOR TODAY THAN HE WAS THEN?

HE IS COMING LIKE A THIEF IN THE NIGHT.....IN THE TWINKLING OF AN EYE IT WILL BE OVER. THIS IS THE RAPTURE AS DESCRIBED IN THE BIBLE
. THIEVES COME AND GO QUICKLY SO THIS CAN NOT AND IS NOT THE SECOND COMING WHERE JESUS STAYS ON EARTH.

IN THE SECOND COMING HE COMES BACK WITH AN ARMY OF 
SAINTS FROM THROUGHOUT HISTORY AND THOSE THAT WERE RECENTLY RAPTURED AND PUTS AN END TO THE WAR AND CHAOS THE DEVIL HAS BROUGHT UPON THE EARTH AND THEN HE RULES FOR A THOUSAND YEARS. THIS IS NOTHING LIKE HOW A THIEF COMES AND GOES OR ANYTHING LIKE THE TWINKLING OF AN EYE.  

THESE ARE TWO VERY DIFFERENT EVENTS CLEARLY DESCRIBED VERY DIFFERENTLY IN GODS WORD. ANYONE WHO HAS STUDIED THEM WHILE ASKING THE HOLY SPIRIT FOR GUIDANCE UNDERSTANDS.

RAPTURE, REMOVAL OF THE BRIDE.

TRIBULATION,MANKIND SUFFERS THE EARTHLY RESULT OF HIS SIN.

SECOND COMING, GOD SETS THINGS RIGHT.

THE SOCIAL CHURCH, THE FEEL GOOD CHURCH, THE SEEKER FRIENDLY CHURCH, WANTS TO BELIEVE OTHERWISE BECAUSE THEIR PLANS AND COMFORTS WILL BE DISRUPTED AND THE END TIMES IS JUST TO SCARY TO THINK ABOUT, IT MAKES THEM UNCOMFORTABLE. SO THEY BECOME DECEIVERS, PEOPLE WHO WANT SALVATION WITHOUT REVELATION. PEOPLE WITH AN AGENDA OTHER THAN GODS. THEY BEND AND CONFUSE WHAT IS TAUGHT UNTIL IT IS SO CONFUSING, LACKING IN TRUTH AND UGLY THAT IT SCARCELY RESEMBLES WHAT THE WORD OF GOD PROCLAIMS ABOUT THE LAST DAYS. THESE CHURCHES AND THEIR COWARDLY MINISTERS ARE COMPLETELY WRONG OR SILENT ABOUT THIS IMPORTANT SERIES OF EVENTS. 

DO YOU THINK ANY OF THE ABOVE CHANGES GODS PLAN OR OPINION WHICH IS SO CLEARLY DELINEATED IN THE BIBLE?

TEMPORAL vs ETERNAL. MOST CHOOSE THE COMFORT OF OUR TEMPORAL STATE OVER THE DISTANT PROMISE OF ETERNITY. THIS IS VERY SAD AND DOES NOT CHANGE THE REALITY OR MAGNITUDE OF ETERNITY IN THE SLIGHTEST. NOR DOES IT CHANGE WHO GOD IS, WHAT JESUS HAS DONE OR MANKIND'S NEED FOR SALVATION. IN FACT GOD'S  LAST DAYS PLAN IS NECESSARY AND GOD IS DOING IT THIS WAY BECAUSE OF MANKIND'S ABSOLUTE NEED TO BE SAVED FROM HIMSELF. NEVER HAS IT BEEN MORE EVIDENT THAT WE ARE DESTROYING OURSELVES AND GODS CREATION AT AN EVER INCREASING RATE. FEW HAVE THE COURAGE TO PROCLAIM THE TRUTH WITH THE URGENCY NECESSARY. WE ARE CLEARLY IN THE LAST MOMENTS OF HISTORY. 

GOD'S GREAT LOVE AND CARE FOR US IS THE ONLY REASON THIS PLAN EXISTS. IT IS THE ONLY ANSWER. THE ONLY SOLUTION FOR A WORLD GIVEN IN TO SIN AND EVIL. A WORLD THAT CAN'T SAVE ITSELF. A WORLD WHERE THE CHURCH PREFERS COMFORT TO TRUTH.

YOU CAN'T HAVE SALVATION WITHOUT REVELATION. JESUS PROVIDES US WITH SALVATION AND IN THE END GOD WILL REVEAL HIM TO THE ENTIRETY OF HUMANITY AND EVERY EYE WILL SEE AND EVERY KNEE WILL BOW, AS GOD CROWNS JESUS KING OF KINGS. EITHER BOTH THESE STATEMENTS
ARE TRUE OR BOTH ARE FALSE, IT IS NOT A ONE WAY STREET. YOU CAN'T HAVE SALVATION WITHOUT HAVING REVELATION AND GODS END TIME PLAN.

GOD LOVED US SO MUCH THAT HE GAVE HIS ONLY SON, HIS PERFECT SON TO DIE FOR US. HE STILL LOVES US THAT MUCH AND HE KNEW FROM THE BEGINNING WHERE WE WOULD END UP THROUGHOUT HISTORY. SO THE PLAN OF REVELATION IS A PLAN OF LOVE TO REDEEM US AND HIS CREATION AND CROWN HIS SON WITH GLORY. REVELATION IS NOT A SCARY STORY OF A GOD WHO WANTS TO PUNISH AND JUDGE MANKIND. REVELATION IS THE STORY OF GODS ABSOLUTE LOVE FOR US AND HIS CREATION. A STORY OF REDEMPTION, POWER AND LOVE THAT KNOWS NO BOUNDS. A STORY THAT ENDS FOR THOSE THAT CHOOSE AND TRUST GOD, IN AN ETERNAL PARADISE THAT NO HUMAN MIND COULD EVER IMAGINE.

HOW CAN ANYONE, ESPECIALLY CHURCHES AND MINISTERS, BE SO SILENT ABOUT THIS KIND OF LOVE, AN EVENT OF THIS IMPORTANCE, AT THIS POINT IN HISTORY?

BE CERTAIN, HE IS COMING VERY SOON FOR HIS CHURCH!



RAPTURE GRAPHICS........ HE IS COMING SOON!








danielpart3


GOD CAN USE YOU......IF YOU LET HIM!

Christ could return for his church at any moment, are all of your friends and loved ones secure in their eternal salvation? 

If not time is growing short.........

GOD CAN USE YOU

"But God hath chosen the foolish things of the world to confound the wise; and God hath chosen the weak things of the world to confound the things which are mighty." 

                                                                                 1 Corinthians 1:27

It's not your fame or your power; it's your faith. It's not your scholarship or intellect; it's your relationship. It's not your ability; it is your availability. It's not your wealth, it's His mercy, grace and love. It's not who you know or your position; it's Whose you are that counts.

God wants to take ordinary people and do extraordinary things through them! 

God Doesn't Call The Qualified, He Qualifies The Called!

Sin is the Cause; Christ is the Cure!.........

Sin is the Cause; Christ is the Cure!


"Wherefore, as by one man sin entered into the world, and death by sin; and so death passed upon all men, for that all have sinned." 

                                               Romans 5:12

Some would say that man is but the sum total of his environment and 
his body chemistry. If he does wrong, it's because he's like a computer that has been programmed wrongly. If he was raised in a bad neighborhood, he shouldn't be blamed for breaking into stores or smoking dope. Or if he has a vile temper, perhaps he had an overbearing mother.

According to behavioral psychologists, these people may be pitied but not blamed. They may be sick, but they're not sinful. They may be weak but not wicked. They need some sort of a psychological
adjustment rather than salvation.


If we don't make a proper diagnosis, we'll never come up with the right cure! 

The thing wrong with our society today is we're spending too much time sweeping down cobwebs when we need to be killing spiders. The spider is sin; the cobwebs are the result that we see in
society around about us.

A Prayer About Discouragement........

Don't let discouragement get the best of you. Take a deep breath and flood your heart with the truth of God's word to ward off the heaviness...

I will not worry about tomorrow, I will trust in my Heavenly Provider to meet my needs.

When the enemy comes in like a flood, the Spirit of the Lord will lift up a standard against him.

Thank you God for protecting me and caring for all of my needs.

I need to CHOOSE to trust You regardless of how I feel, and no matter what the circumstances that I am facing are, no matter what, I need to focus on and  believe Your promises. Please don't allow my circumstances and inadequacies to take my focus off of you! Help me to recognize Your love in everything that is happening.

Thank you for working all situations in my favor. Even if I can't see it right away, I know that You are in the midst implementing Your Divine will on my behalf.

Help me in times of trouble to magnify You and not the problem.

Help me to recognize that you have called me to be faithful not successful.

Help me to focus my efforts in pleasing You alone, not people.

I will not take on more responsibility than You intend for me and I will be careful to humble myself as a faithful steward whatever the outcome.

In my humanness, I know that I have insufficiently counted the cost of following you. The cost is high as it was for Jesus, higher than I can bear on my own.

I am well taken care of; through Jesus Christ your benevolent Son our Lord, who lives and reigns with You and the Holy Spirit, in Oneness and power, now and forever.


Unanswered Prayer.....

Unanswered Prayer

Do you ever get discouraged when God doesn't seem to answer your prayer?

How long should you keep praying?

Is there a time to "call it quits"?

We have all struggled with unanswered prayer. But two biblical examples show us the right response.

Daniel 10: Daniel prayed for 3 weeks without apparent results. Then the angel told him that his prayer was heard on the first day. Often, all we need to do is persevere.

2 Corinthians 12:7–10: Paul prayed for the thorn in his flesh to be removed. God's answer? "My grace is sufficient for thee." Paul stopped asking and started praising!

If it seems God isn't answering, keep on praying until God speaks to your heart and tells you what to do.

Fear Of Failure........Fear is a LIE – God is TRUTH!

Fear Of Failure


Fear is a LIE – God is TRUTH!

Knowing Christ does not mean that we will never fail, but it does mean that we do not need to live in fear. 2Timothy 1:7  states, "For God hath not given us the spirit of fear; but of power, and of love, and of a sound mind." The spirit of constant fear in the believer is not from the Lord. "There is no fear in love; but perfect love casteth out fear: because fear hath torment. He that feareth is not made perfect in love" (1John 4:18). There is something called the fear of the Lord, but the fear of failure is not the fear of the Lord. It is a human fear, like the fear of man. Proverbs 29:25  states, "The fear of man bringeth a snare: but whoso putteth his trust in the LORD shall be safe."

Fear is the opposite of faith.
We fear because we do not have complete faith in God. The way to overcome our fear is to increase our faith. Faith is a fruit of the Spirit (Galatians 5:22-23), so we must walk in the Spirit to have faith. It comes by the word of God (Romans 10:17), so we must seek help from the Bible. It comes by prayer (Matthew 17:20-21), so we must go to the Lord in prayer in order to increase our faith.

Fear of failure comes because we have tied our worth to external success. We may feel that others require it of us. We may have set the standard for ourselves. However, we have not fully surrendered all we do and all our results to the Lord. Paul set high goals for reaching the lost and establishing churches. But he also understood that the fulfilling of those goals depended entirely on the Lord. To the Corinthians, he said (1 Corinthians 3:6), "I have planted, but God gave the increase." He gave God all the credit for giving the increase.




JEREMIAH 20.....JEREMIAH'S COMPLAINT!

His word is in my heart like a fire, a fire shut up in my bones. I am weary of holding it in; indeed, I cannot.

Whenever I speak, I cry out proclaiming violence and destruction. So the word of the Lord has brought me insult and reproach all day long.

I hear many whispering, Denounce him! Let's denounce him! Many are waiting for me to slip, saying, then we will prevail over him and take our revenge on him.

Cursed be the day I was born!
    May the day my mother bore me not be blessed!
15 Cursed be the man who brought my father the news,
    who made him very glad, saying,
    "A child is born to you—a son!"
16 May that man be like the towns
    the Lord overthrew without pity.
May he hear wailing in the morning,
    a battle cry at noon.
17 For he did not kill me in the womb,
    with my mother as my grave,
    her womb enlarged forever.
18 Why did I ever come out of the womb
    to see trouble and sorrow
    and to end my days in shame?


Sing to the Lord!  Give praise to the Lord! He rescues the life of the needy from the hands of the wicked.

Saturday, June 27, 2015

Greece Is About To Blow ...... A REAL MESS IS ABOUT TO GET MUCH WORSE!

Greece Is About To Blow  

Greece Blows Up Negotiations – Bank Run Has StartedSome Banks Won't Be Able To Open On Monday

The tension is rising on the streets of Athens and Thessaloniki and if the banks shut down on Monday, the always hot-tempered Greeks could be on the verge of rioting. Several European countries have already emphasized tourists need to bring a sufficient amount of cash money if they plan to travel to Greece, indicating a disruption of the complete financial system is a very realistic possibility.

It's 2 In The Morning And Greeks Are Lining Up At ATMs; Alpha Limits Online Banking

Things only got worse on Saturday as several reports and images have reached us of tens of people are queuing at the ATM's of the country and 'several hundred' (almost 10% of the) ATM's all over Greece are now empty, despite the Greek national bank stating the ATM's are replenished 'smoothly'. The Greek citizens obviously don't trust the situation and if the current bank run continues, we expect some banks to be closed on Monday unless the ECB makes more funds available – which it refused to do on Friday.

Greece Invokes Nuclear Option: Tsipras Calls For Referendum

Greek PM Tsipras just delivered the biggest bomb in recent European history: he stunned the Troika and his peers in Europe with the biggest shocker of all - a referendum announcement, aka the Greek "nuclear option", something which cost his predecessor George Papandreou his job. At this point there is no turning back, and the Greeks - of which 80% want to stay in the Euro even as 80% want an end to austerity - will get to choose their own fate. Whatever choice they make, they will now only have only themselves to blame.

Eurozone Rejects Greek Bailout Extension: All Bailout Programs Expire On June 30, Referendum Moot

"Regrettably, despite efforts at all levels and full support of the Eurogroup, this proposal has been rejected by the Greek authorities who broke off the programme negotiations late on the 26 June unilaterally.  The current financial assistance arrangement with Greece will expire on 30 June 2015, as well as all agreements related to the current Greek programme including  the transfer by euro area Member States of SMP and ANFA equivalent profits."

Europe Responds To The Greek Referendum, Which Has One Massive Problem

While the path ahead suddenly just got very confusing for both Greece and Europe, one thing is clear: going forward the Greeks will only have themselves to blame for whatever the final outcome is. That, and the Greek trargicomedy which has now lasted for over 5 years, may finally be over.

Varoufakis: Creditor Proposal Offers "No Hope," Greece At "Historic Moment"

*VAROUFAKIS: CREDITOR OFFER LACKED HOPE FOR INVESTORS, CONSUMERS
*VAROUFAKIS SAYS GREECE FIND ITSELF AT `HISTORIC MOMENT'

Adding that the decision by the Eurogroup (ex-Greece) to veto the program extension damages Europe overall, Varoufakis defiantly concluded, "Greek aid programs have been clear failures" and the Greek government has no mandate to accept a "recessionary" aid offer.

What would happen in case of Grexit?

1. Default

If Greece wouldn't have already defaulted before it would introduce a new currency, Grexit would  make it virtually certain that the country would default. It's not wise to take out a considerable loan in a foreign currency, but that's what Greece has done since 2001, when it entered the Eurozone. If Greece would introduce a new currency, which then likely would lose value against the euro, it would still need to pay back its debt in euro, which woud appreciate in value as compared to the new Drachma, making this task even harder.


2. The Greek banking system would be cut off from the ECB's cheap money canal, with real austerity to follow

A default would only relieve Greece from its excessive external public debt burden, not from the exposure it has to its banking system. Almost half the "capital" in the four largest Greek banks really consists of "deferred tax assets" or discounts on future tax bills. When banks make no profit, they won't enjoy such discounts. The Greek state, strongly reliant on the  ECB, through the Greek banking system, wouldn't be able to pay salaries and pensions any longer.

3. Depreciation of the new Greek currency

As explained, the main problem of Greece's Eurozone membership wasn't so much the fact that it had an overvalued currency, but rather that the euro served as a massive debt machine for the country. It should be noted that the introduction of a new currency may well fail. If Greece would have its own currency, investors could just sell it off in case the country's competitiveness would be in trouble. This would impoverish the Greeks, but it would also make them cheaper to hire. It would make it cheaper to go on a holiday in Greece. It really is a trade-off then: Becoming like Montenegro or like Turkey.

4. (Long term) Contagion

The process of introducing a new currency may in theory set off immediate contagion: bank runs in Portugal, higher borrowing rates for Italy. However, the ECB can just print money in order to bail out Portugese banks and manipulate sovereign borrowing rates, through QE or other various instruments.

A more likely risk is long term contagion. Grexit would set a precedent. After Grexit, once another Eurozone state would get in trouble, much more money may be needed to assure that the country would stay in, for example Portugal. This may make it less likely that Eurozone countries would bail out Portugal, in turn raising attention to Italy and Spain, increasing the chance of a complete Eurozone break-up. !!!!

On the other hand, bailing out Greece once more also comes at a cost. It will emboldens these populists in countries like Portugal and Spain who're hostile to the strings attached to the bailouts their countries have received or continue to receive indirectly, through the ECB's easy money canal. This in turn may make the wealthier Eurozone states, like Germany, less keen to provide more bailouts. It increases the chance of a Eurozone break-up. !!!!! 

Conclusion:

Regardless of whether one thinks the Eurozone should be broken up or not: if it can only survive through continuous transfers, states mingling into each other's national policy choices, which strains once-beneficial relations between European countries, it may not be such a great idea to continue with it. Those who believe that if only we do a few more transfers, everything may turn quiet, have been trying for five years. There will be no calm in a transfer union which lacks sufficient political unity.But perhaps the euro can survive, without transfers. Those who believe so, and I doubt that they're right, may now try Grexit to prove their point.

Friday, June 26, 2015

The Fed's Policies Have Paved the Way For an Even Bigger Crisis Than 2008.......A MUST READ!

The Fed's Policies Have Paved the Way For an Even Bigger Crisis Than 2008

The 2008 crash was a warm up.

Many investors think that we could never have a crash again. The 2008 melt-down was a one in 100 years episode, they think.

They are wrong!

The 2008 Crisis was a stock and investment bank crisis. But it was not THE Crisis.

THE Crisis concerns the biggest bubble in financial history: the epic Bond bubble… which as it stands is north of $100 trillion… although if you include the derivatives that trade based on bonds it's more like $500 TRILLION.

The Fed likes to act as though it's concerned about stocks… but the real story is in bonds. Indeed, when you look at the Fed's actions from the perspective of the bond market, everything suddenly becomes clear.

Bonds are debt. A bond is created when a borrower borrows money from a lender. And at the top of the financial food chain are sovereign bonds like US Treasuries.

These bonds are created when someone lends the US money. Why would they do this? Because the US SPENDS more money than it TAKES IN via taxes. So it issues debt to cover its extra expenses.

This cycle continued for over 30 years until today, when the US has over $11 TRILLION in size. Because we never actually pay our debt off (or rarely do), what we do is ROLL OVER debt when it comes due, so that investors continue to receive interest payments but never actually get the money back… because the US Government doesn't have it… because it's still spending more money than it takes in via taxes.

This is why the Fed cut interest rates to zero and will likely do everything in its power to keep them low: even a small raise in interest rates makes all of this debt MORE expensive to pay off.

This is also why the Fed had the regulators drop accounting standards for derivatives… because if banks and financial firms had to accurately value their hundreds of trillions of derivatives trades based on bonds, investors would be terrified at the amount of leverage and the margin calls would begin.

The bond bubble is also why the Fed started its QE programs. Because by buying bonds, the Fed put a floor under Treasuries… which made investors less likely to dump bonds despite bonds offering such low rates of return.

This is also why the Fed is terrified of deflation. Deflation makes future debt payments more expensive. So the Fed prefers inflation because it means the dollars used to pay off debt down the road will be cheaper than Dollars today.

Again, when you look at the Fed's actions through the perspective of the bond market… everything becomes clear.

The problem is that by doing all of this, the Fed has only made the bond market even BIGGER. 

In 2008, the bond market was $82 trillion. Today it's over $100 trillion. And the derivatives market, of which 80%+ of all trades are based on interest rates (Treasury yields), is at $700 TRILLION.

The REAL Crisis will be when the bond bubble bursts. When this happens, it will be clear that real standards of living have been falling since the '70s and that sovereign nations have been papering over this through social spending and entitlements (a whopping 47% of US households receive Government benefits in some form).

Imagine what will happen to the markets when the Western welfare states finally go broke? It will make 2008 look like a picnic.

Carl Icahn warns market is ‘extremely overheated’......A MUST READ!

Carl Icahn warns market is 'extremely overheated'

Activist investor Carl Icahn on CNBS Wednesday to issue a stark warning to investors: "I think the public is walking into a trap again as they did in 2007," Icahn told CNBS.

Specifically, the 79-year-old investor warned of a bubble in high-yield debt. The prominent investor joins a chorus of voices pointing at frothiness in the so-called junk-bond market, including DoubleLine Capital founder Jeff Gundlach.

In two comments on Wednesday, Icahn cautioned against listening to so-called permabulls, saying the 2008 crisis might have been avoided if more investors had warned about the risk of a bubble in 2007, as he is attempting to do now.

On Monday, Los Angeles-based bond fund manager Jerry Cudzil, head of U.S. credit trading at TCW Group, told Bloomberg that he is also building up a big cash stockpile to brace for a bond-market selloff.

This isn't the first time Icahn has sounded alarm bells. In early May, Icahn warned that "when high-yield bond funds start coming down, there is going to be a great run to the exits."

The selloff may have already started. S&P Capital IQ reported that investors withdrew $2.9 billion from high-yield funds for the week ended June 17 — the biggest redemption in six weeks — on top of another $2.6 billion that pulled out the week before.

Ultraloose monetary policy underpinned by razor-thin interest rates has been the main driver of investors into so-called junk bonds, which promise to offer richer yields than, say, Treasurys. But the risks in junk debt also are much greater than the typical, higher-quality government bonds.

"The yield advantage over high-quality bonds remains significant and stands out in a low-yield world," said Antoni Valeri, Investment Strategist for LPL Financial, in a research note.

But yield differentials, known as spreads, between high-yield bonds and Treasuries have contracted over the first half of 2015. This suggests that yield-starved investors are taking higher risks for lower returns.

The average yield spread remains near 4.5%, a level that has halted further improvement among high-yield bonds in the past, Valeri said.

DoubleLine's Jeffrey Gundlach also warned earlier this year that as interest rates are expected to rise, "the quest for yield will cool down, because that is what's driving a lot of investment activity."

For that reason, at a private event on May 5 in New York, Gundlach advised investors to sell high-yield bonds and buy Treasurys, as they prepare their portfolios for the first interest-rate increase in nearly a decade.

CNBS Demystified.......DO NOT MISS THIS!

CNBS Demystified

CNBS presents a paradox in the hedge fund community.

It plays constantly, but hardly anybody watches it.

The channel mostly functions as white noise emanating from wall-mounted monitors on trading floors and in financial firms.

Given its ubiquity, one might think it was highly regarded.

But traders and portfolio managers treat CNBS with scorn or indifference. BECAUSE 80 TO 90% OF IT IS COMPLETE BULLSHIT! THEIR SENIOR ECONOMIST, STEVE LIESMAN IS A COMPLETE IDIOT, AN UTTER FOOL!

Few rely on CNBS for market information, preferring Bloomberg terminals or proprietary data sources.

The situation resembles George Orwell's Nineteen Eighty-Four, where the protagonist Winston Smith tuned out the massive telescreen on his apartment wall that issued endless streams of positive news.

As an experiment, I polled several friends who have a combined 100 years of experience in hedge funds. They couldn't recall anyone saying, "I just got a game-changing idea on CNBS." And during rare mentions of the channel, the commenter opines on the female anchors' attractiveness or the quality of the male anchors' suits. PRETTY FACES AND STUFFED SUITS AND A WILLINGNESS TO TELL THE LIES THEIR PAYING ADVERTISERS WANT THE VIEWING AUDIENCE TO HEAR.

According to Nielsen, CNBS commands a market share many multiples of its nearest competitor, Fox Business News, and perhaps a dozen times that of its second competitor, the more elite-minded Bloomberg Television.

This is puzzling. How can something so worthless, 
be so popular?

The answer is complex, and requires a deep dive to find CNBS's true purpose.

CNBS is a news show, or in other words, it is supposed to provide content, information, and stock market advice.

By journalistic standards, it falls far 
 short of its task. !!!

Interviews feature softball sessions bordering on hero worship. The recent coverage in Davos at the World Economic Forum was shameless. Too often, CNBS accepts a devil's bargain where they gain access to market leaders in return for tacit agreement to refrain from tough questions.

The 'experts' are self-anointed. Their predictions are never back-tested. !!!!

And whatever news it provides is already stale to market makers.

The screen is full of dizzying information without meaningful analysis, and commentators never broach broader social issues. A hollow, unconvincing conviviality prevails among its anchors, and whenever the market goes down or a guest becomes bearish, the anchors turn incredulous, brittle, defensive, and dumbfounded.  WHAT ELSE WOULD YOU EXPECT FROM THE BIGGEST IDIOTS MONEY CAN BUY. THEY ARE ALL HIGH PRICED WHORES SHILLING FOR WHOMEVER PAYS THEM THE MOST!

Last Fall, the anchors turned aggressive on Peter Schiff by forcing him to admit he wrongly predicted that Gold prices would rise, and he had to defend himself by noting that he was correct about predicting the housing crisis while CNBS was busy cheerleading. Exasperated, he said what everyone is thinking: "All you do is parade people who are wrong."  THAT IS EXACTLY WHAT THEY DO PROVIDING THAT THEIR GUEST ARE WRONG ONLY IN A BULLISH DIRECTION. BECAUSE THE IDIOTS IN AMERICA WATCHING BUY HOPE AND OPTIMISM!

Judged as a news show that is supposed to report objectively on the economy and the stock market – it is grievously flawed. IF YOU TAKE CNBS SERIOUSLY IT CONFIRMS YOU ARE A FOOL, AT LEAST WITH REGARD TO FINANCE AND ECONOMICS.

But at a deeper level, below consciousness, CNBS serves an indispensible shamanistic function, providing a kind of ideological placebo that calms everyone down by offering a series of comforting myths.  IT TELLS FOLKS EXACTLY WHAT THEY WANT TO HEAR, HOPE TO HEAR, NEED TO HEAR. JUST LIKE OBAMA DID IN ORDER TO GET ELECTED. DOES ANYONE CARE THAT THEY ARE LYING? THAT THEY ARE DESTROYING OUR COUNTRY?

At this, it succeeds wildly.

Recall that the function of a shaman is to give puzzled victims a narrative framework for redemption, a story in which their afflictions can be warded off, and blessings bestowed, if they perform a certain ritual, or appease a demon, or ingest a magical substance. A person who consults a shaman does not seek evidence or back-testing. He wants a comforting myth that casts himself as master of his destiny when things go well, and as a blameless victim of the gods when things go wrong.

CNBS is an electronic shaman for investors. !!!!!

Even with the sound turned off, it sends the underlying message that a master plan exists and we can find redemption in the markets, that there is a golden thread, a controlling logic to the chaos and indeterminacy around us. When we make money, it is because we have been wise and followed their sage advice. And when we don't make money, when they fail to predict the next collapse, there will be no one to blame, because it was due to unforeseeable and mysterious forces.

This is what we want to hear.....

All of us – from amateur investors to the greatest traders at the best hedge funds – on some unconscious level want to believe this. It is not simply that we want to hear that market indexes are rising; that may or may not be good news depending on one's positions. Rather, we want to hear that whatever our strategy happens to be, there are well-dressed, positive, cheerful and confident people telling us that destiny is in our hands, and that the dream is within reach.

No one wants to hear that we are throwing hard-earned money to the cruel winds of malevolent and opaque forces, that billions, even trillions, are sloshing around vulnerable to unstable geopolitical and sociological events that defy rationality, or that fortunes can be won or lost because of some freak tragedy.  IN OTHER WORDS,FEW WANT TO HEAR THE TRUTH!

No one wants to hear that the market is propped up by the Federal Reserve, or that we are irrationally exuberant, or that earnings guidance is low-grade fiction. EVEN THOUGH THAT IS THE TRUTH.

We want to be reassured by serious men and women in suits who tell us that events are looking up, that problems are solvable, that the market is rational, that we are scientists, not gamblers.  HOW WOULD THEY KNOW, THEY ARE JUST JOURNALISTS AND THEY ARE JOURNALISTS WILLING TO BE BIASED IN THEIR REPORTING.

And most important, we can all be winners if we just listen to their experts on shows like Fast Money and Mad Money. Just as the audience at a magic show suspends disbelief while the magician saws a body in half, the CNBS viewers suspend disbelief about whether the 'experts' on the screen were correct yesterday, or the day before, or the month before.   OR EVER!

To watch CNBS – even volume off – is to be transported to a world where propitious events are on the horizon, where people are busy, serious, and sober. The people are smiling, boarding planes, presenting charts in glass conference rooms, balancing their portfolios and building their nest eggs.

They are me, I am them, we are all watching CNBS together, and we are all in the know.

It's a nice place to be. And that should be your first clue that it isn't real.

Greek Collapse.....A MUST READ!

Greek Collapse

When systems are broke and broken, collapse is the only way forward.

The theme this week is collapse. It's a big, complex topic because there are as many types of collapse as there are systems. Some systems appear stable on the surface but collapse suddenly; others visibly decay for decades before finally slipping beneath the waves of history, and some go through stages of collapse.

The taxonomy of collapse is broad, and each unsustainable system (i.e. a system that will fail despite claims to the contrary) has its unique characteristics.

Which brings us to Greece.

With the bankruptcy of Greece now undeniable, we've finally reached the endgame of the Neocolonial-Financialization Model. There are no more markets in Greece to exploit with financialization, and the fact that the mountains of debt are unpayable can no longer be masked.

Europe's financial Aristocracy has an unsolvable dilemma: writing off defaulted debt also writes off assets and income streams, for every debt is somebody else's asset and income stream. When all those phantom assets are recognized as worthless, collateral vanishes and the system implodes.

The peripheral nations of the EU are effectively neocolonial debtors of the core, and the taxpayers of the core nations are now feudal serfs whose labor is devoted to making good on any loans to the periphery that go bad. (see chart of Greece's debtors below)



Greece's financial/political Elites milked the entry into the EU for all it was worth, effectively destroying the Greek economy in their limitless looting.

What has already collapsed is the faith that institutions within Greece and the European Union can effectively manage the inevitable Greek default. 

Greece's power structure is designed to do one thing: protect vested interests and dissipate accountability.

The same can be said of the European central Bank (ECB) and the European Union (EU). Both were sold as abstract financial magic: the Elitist power structures of every nation in the union--the ultimate source of the rot that is now emitting the foul stench of collapse--would be left intact while the economies of all member nations would magically produce more goods and services based on ever-expanding debt and leverage.

This leads to the critical question of the hour: who's saving whom? A VERY IMPORTANT QUESTION THAT SHEDS LIGHT ON JUST HOW BROKEN THE ENTIRE S
YSTEM IS.

Are last-ditch bailouts saving the Greek people and the integrity of their nation, or are they simply saving the political/financial Elites who benefited from EU membership and the systemic expansion of debt?

Here's another key question: who's being punished by the Troika's "nobody defaults and gets away with it" policy? Clearly, the Greek people are being punished--but to what end? What about punishing the political/financial Elites who benefited from Greece's entry into the EU and the banking Elites who profited from the irresponsible expansion of loans to Greece?

If Greece had defaulted four years ago when default was already visibly inevitable, the Greek citizenry would already have worked through the painful crisis of adjusting to a dearth of external credit and perhaps a new currency, and maybe they would have jettisoned their corrupt and self-serving Elites, clearing the way for sustainable growth and governance.

Instead, the Greek people have suffered for nothing. Default is still inevitable, as is the resulting EU-wide currency-political crises.

When systems are broke and broken, collapse is the only way forward. Only collapse breaks the grip of vested interests and opens the political process to non-Elite participation. By pushing default/collapse forward for four long years, the Greek Elites have punished their citizens for absolutely no yield on their immense suffering. Greece can no more escape the black hole of default than it could four years ago.

Central and private banking magic has failed. !!!!!

The idea that corrupt, self-serving Elites would magically create widespread prosperity by borrowing money that could never be paid back has collapsed, though the Power Elites of the Troika cling to this foolish fantasy because they have no other choice if they want to retain power.

The only faith remaining in the EU Elite is belief in the goddess TINA--There Is No Alternative. THE SAME CAN BE SAID FOR THE ENTIRE EURO REGION, JAPAN, CHINA AND THE USA. THEY ARE ALL TRAPPED IN POLICIES THEY CLING TO THAT WILL NEVER WORK!

But there is always another alternative: collapse of the status quo and the assembly of an alternative arrangement that doesn't concentrate power in the hands of a few at the expense of the many.