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Thread: Are we in a deflationary collapse right now?

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    Iridium mamboni's Avatar
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    Exclamation Are we in a deflationary collapse right now?

    http://theeconomiccollapseblog.com/archives/11-economic-crashes-that-are-happening-right-now


    11 Economic Crashes That Are Happening RIGHT NOW


    By Michael, on April 12th, 2013

    The stock market is not crashing yet, but there are lots of other market crashes happening in the financial world right now. Just like we saw back in 2008, it is taking stocks a little bit of extra time to catch up with economic reality. But almost everywhere else you look, there are signs that a financial avalanche has begun. Bitcoins are crashing, gold and silver are plunging, the price of oil and the overall demand for energy continue to decline, markets all over Europe are collapsing and consumer confidence in the United States just had the biggest miss relative to expectations that has ever been recorded. In many ways, all of this is extremely reminiscent of 2008. Other than the Bitcoin collapse, almost everything else that is happening now also happened back then. So does that mean that a horrible stock market crash is coming as well? Without a doubt, one is coming at some point. The only question is whether it will be sooner or later. Meanwhile, there are a whole lot of other economic crashes that deserve out attention at the moment.
    The following are 11 economic crashes that are happening RIGHT NOW...


    #1 Bitcoins


    As I write this, the price of Bitcoins has fallen more than 70 percent from where it was on Wednesday. This is one of the reasons why I have never recommended Bitcoins to anyone. Yes, alternative currencies are a good thing, but there are a lot of big problems with Bitcoins. Why would anyone want to invest in a currency that could lose 70 percent of its purchasing power in just two days? Why would anyone want to invest in a currency where a single person can arbitrarily decide to suspend trading in that currency at any time?
    An article by Mike Adams of Natural News described some of the things that we have learned about Bitcoins this week...
    #1) The bitcoin infrastructure cannot handle a selloff. Once the rush for the exits gains momentum, you will not be able to get out. Only those who sell early will be able to exit the market.


    #2) The bitcoin infrastructure is subject to the whims of just one person running MTGox who can arbitrarily decide to shut it down whenever he thinks the market needs a "cooling period." This is nearly equivalent to a financial dictatorship where one person calls the shots.


    #3) Every piece of bad news will be "spun" by exchanges like MTGox into good-sounding news. As bitcoin was crashing yesterday by 60% in value in mere hours, MTGox announced it was a "victim of our own success!" So while bitcoin holders watched $1 billion in market valuation evaporate, MTGox called it a success. Gee, then what would you call it when bitcoin loses 99%? A "raging" success?


    #2 Gold


    The price of gold was down by about 4 percent on Friday. Gold has now fallen below $1500 an ounce for the first time since July 2011. Overall, the price of gold has fallen by about 10 percent since the beginning of the year, and it is about 22 percent below the record high set back in September 2011.


    Yes, the price of gold is likely being pushed down by the banksters. And yes, gold is a fantastic investment for the long-term. But there will be times when the price of gold does fall dramatically just like we saw back in 2008.


    #3 Silver


    The price of silver fell by about 5 percent on Friday. If it falls much more it is going to be at a level that presents a historically good buying opportunity.

    Just like gold, there will be times when the price of silver swings dramatically. But the truth is that silver is probably an even better long-term investment than gold is.


    #4 Oil


    The price of oil declined by about 3 percent on Friday. Many will consider this a positive thing, but just remember what happened back in 2008. Back then, the price of oil dropped like a rock. If the price of oil gets below $80, that could very well be a clear signal that a major economic crisis is about to happen.


    #5 Consumer Confidence


    As I mentioned above, consumer confidence in the U.S. just had its biggest miss relative to expectations that has ever been recorded. The following is from an article posted on Zero Hedge on Friday...
    Well if this doesn't send the market into all-time record high territory, nothing ever will: seconds ago the UMich Consumer Confidence plummeted from 78.6 to 72.3, on expectations of an unchanged 78.6 print. This was not only a 9 month low in the index, but more importantly the biggest miss to expectations in recorded history!


    #6 Retirement Accounts


    According to Wells Fargo, the number of Americans taking loans from their 401(k) accounts has risen by 28 percent over the past year...
    Through an analysis of participants enrolled in Wells Fargo-administered defined contribution plans, the bank announced today that in the fourth quarter of 2012, there was a 28 percent increase in the number of people taking loans out from their 401(k) and that the average new loan balances increased to $7,126 from those taken out in the fourth quarter of 2011 - a 7% increase from $6,662.
    Of the participants who took out loans, the greatest percentage were to people in their 50s (34.2%), followed by those in their 60s (28.9%) and then by those in their 40s (27.3%). The increase among participants in their 50s was nearly double the increase among those under 30. This is based on an analysis of a subset of 1.9 million eligible participants in retirement plans that Wells Fargo administers.
    “The increased loan activity particularly among older participants is concerning because those are the years when workers can start to make ‘catch-up’ contributions and really need to focus on preparing for retirement,” said Laurie Nordquist, director of Wells Fargo Retirement.


    #7 Casino Spending


    Casino spending is declining again. Many people (including myself) would consider this to be a good thing, but casino spending is also one of the most reliable indicators about the overall health of the economy. Remember, casino spending crashed during the last financial crisis as well. That is why it is so alarming that casino spending is now back to levels that we have not seen since the last recession.


    #8 Employment In Greece


    Over in Europe, things just continue to get worse. According to numbers that were just released, the unemployment rate in Greece has soared to 27.2 percent, which was up from 25.7 percent the previous month. That means that the unemployment rate in Greece rose by 1.5 percent in just a single month. That is not just a crash - that is an avalanche of unemployment.


    #9 European Financial Stocks


    European financial stocks have been hit particularly hard lately. And for good reason actually - most of the major banks in Europe are essentially insolvent at this point. This week, European financial stocks fell to seven month lows, and this is probably only just the beginning.


    #10 Spanish Bankruptcies


    According to Reuters, the number of Spanish companies going bankrupt has risen by 45 percent over the past year...
    A record number of Spanish companies went bust in the first quarter of 2013 as companies remained under intense pressure from tight credit conditions and meager demand, a study showed on Monday.
    The 2,564 firms filing for insolvency proceedings in first three months of the year was a 10 percent rise from the previous quarter and a 45 percent increase on the same period in 2012, the survey by credit rating agency Axesor said.


    #11 Demand For Energy


    Just like we saw back in 2008, the overall demand for energy in the United States is falling rapidly. There are some shocking charts that prove this that were recently posted on Zero Hedge that you can find right here.


    Yes, it is good for people to use a bit less energy, but it is also a clear indication that economic activity is really starting to slow down.
    But despite everything that you have just read, the Dow and the S&P 500 have been setting new record highs.
    And if you listen to the mainstream media, you would think that this stock market bubble can continue indefinitely.
    Fortunately, there are a few voices of reason out there. For example, just check out what Marc Faber recently told CNBC...
    In the near-term, the U.S. stock market is overbought and adding that any more near-term gains portend big trouble for the market, "The Gloom, Boom & Doom Report" publisher Marc Faber told CNBC on Monday.


    "If we continue to move up, the probability of a crash becomes higher," Faber predicted in a "Squawk Box" interview, saying it could happen "sometime in the second half of this year."


    As I have written about previously, a bubble is always the biggest right before it bursts. I hope that we still have at least a little bit more time before it happens, but I wouldn't count on it.


    The economic fundamentals tell us that the stock market should be plunging, not rising. At some point the boys over on Wall Street will get the message and the market will catch up to reality very, very rapidly.


    But for the moment, the American people are feeling really good. According to CNN, Americans are now more optimistic than they have been in six years...


    As the stock market continues to show record highs, the number of Americans who say things are going well in the country has reached 50% for the first time in more than six years, according to a new national survey.


    So what do you think will happen for the rest of the year?


    Do you think that the good times will continue to roll, or do you believe that the bubble is about to burst?
    Please feel free to share your opinion by posting a comment below...














    http://theeconomiccollapseblog.com/a...ning-right-now
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    Sincerity makes the very least person to be of more value than the most talented hypocrite. -Charles Spurgeon

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    Re: Are we in a deflationary collapse right now?

    Sure looks like a deflationary spiral. But this is what the banksters do to shake everybody loose from owning anything. They constrict the money supply and manipulate markets to get prices for everything down so they can buy everything for pennies on the dollar. And when they own everything and everybody is desperate for money and willing to be a good compliant slave, they slowly turn the money taps back on.

    There are a number of additional factors playing out now that hadn't been present in historical depressions. One of them is the existence of a mountain of derivatives which are insurance policies against default on loans. If anybody anywhere defaults on a big loan, it will set off a chain reaction, like a series of connected demolition charges, and the big banks will have to pay out thousands of times more money than actually exists. So,big bank failures are out of the question. Before the big banks go belly up, they will steal everything all of us have and then will print up even more money,and none of that will do any good, so we are essentially on a path to financial and economic global suicide. It's all been planned to happen this way because the global elite want centralized control and a global currency. Power is shifting to the BRICS, and the global elite will own everything and nobody else will own anything, and the world will be enslaved until all the insanity is purged out of human consciousness.


    Hatha
    Cosmic justice is getting what you deserve.

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    Re: Are we in a deflationary collapse right now?

    It could always be worse.


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    Re: Are we in a deflationary collapse right now?

    Quote Originally Posted by old steel View Post
    It could always be worse.
    He didn't even see that one coming.
    Jackie did it and you know it!

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    Re: Are we in a deflationary collapse right now?

    How likely is it that either

    a) Prices are dropping and deflation is occurring because of a potential pending war with north korea?

    b) The north korean conflict is being intentionally created to stave off the deflationary collapse which we are starting to see spiral?

    Are these events related? Is one causing the other?

    We just went to DEFCON 3. See this thread:
    http://gold-silver.us/forum/showthre...-Korean-Border

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    Iridium mamboni's Avatar
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    Re: Are we in a deflationary collapse right now?

    Ben is printing furiously. But debts and credit and certain asset prices are being extinguished faster in the aggregate. All the new dollars are being hoarded by the big banks that trade "worthless" paper derivatives for new dollars from the FED. The domestic economy is dying from lack of money and credit and dropping money velocity: declining labor participation rates, closing businesses and outsourced jobs. So inflation at the street level remains in check as no one has money to drive up prices. Extrapolate forward (we're almost there): few large banks hold all the money and assets, the general population with no net worth, no property living on government rations in government camps, and a few politician mouthpieces for the rich 0.01%. In other words a banana republic aka third world dictatorship. I suppose the wild card is the military, the guys and gals who swore an oath to protect and defend the Constitution. Or maybe that's just an old quaint notion?

    How do we the people reverse this process?
    Tricks and treachery are the practice of fools, that don't have brains enough to be honest. -Benjamin Franklin
    Sincerity makes the very least person to be of more value than the most talented hypocrite. -Charles Spurgeon

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    Iridium Jewboo's Avatar
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    Re: Are we in a deflationary collapse right now?

    Quote Originally Posted by mamboni View Post

    How do we the people reverse this process?
    https://lh3.ggpht.com/-dro6gRLGlDk/U...1362415796.jpg

    http://grumpyelder.com/wp-content/up...rs-540x315.jpg

    Homeland Security was buying tanks and ammo while fools were buying Bitcoins and iPads.

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    Re: Are we in a deflationary collapse right now?

    Quote Originally Posted by Cebu_4_2 View Post
    He didn't even see that one coming.
    is he OK ?
    Retired Director Morris Waxler says the FDA did not do their job for 15 years - and is not now.

    HelpStopLASIK.com

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    Re: Are we in a deflationary collapse right now?



    The Great Happening is finally here
    A strange game. The only winning move is not to play. How about a nice game of chess?

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    Quote Originally Posted by Hatha Sunahara View Post
    Sure looks like a deflationary spiral. But this is what the banksters do to shake everybody loose from owning anything. They constrict the money supply and manipulate markets to get prices for everything down so they can buy everything for pennies on the dollar. And when they own everything and everybody is desperate for money and willing to be a good compliant slave, they slowly turn the money taps back on.

    There are a number of additional factors playing out now that hadn't been present in historical depressions. One of them is the existence of a mountain of derivatives which are insurance policies against default on loans. If anybody anywhere defaults on a big loan, it will set off a chain reaction, like a series of connected demolition charges, and the big banks will have to pay out thousands of times more money than actually exists. So,big bank failures are out of the question. Before the big banks go belly up, they will steal everything all of us have and then will print up even more money,and none of that will do any good, so we are essentially on a path to financial and economic global suicide. It's all been planned to happen this way because the global elite want centralized control and a global currency. Power is shifting to the BRICS, and the global elite will own everything and nobody else will own anything, and the world will be enslaved until all the insanity is purged out of human consciousness.

    Hatha
    I am sure that you are 100% correct!
    The only thing declared necessary in the Constitution & Bill of Rights is the #2A Militia of the several States.
    “A well regulated militia being necessary to the security of a freeState”
    https://ConstitutionalMilitia.org


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