Several banks who are friendly and not the wild trading types, reported to us before that the Federal Reserve officials were visiting them warning that they needed to change their models. Now the Fed is warning banks that they MUST do more to curb excessive risk-taking. They have also been warned about the bogus claims […]

I have warned that economics changes everything. When there is a boom, people are fat and happy and war declines. When the economy crashes, you are faced with a serious problem. Either we will move to the extreme left and see a return of authoritarian states as we are moving toward, or we can swing […]

  The Dow closed higher with an inside day. The turning points this week seem to be Wednesday (minor) and Friday (main). A reaction high this week still points to a lower low perhaps for the week of November 3rd. It appears that the Phase Transition in stocks will be postponed into the downside of […]

  We seem to be in a race to see who can ask government to hold their money. This is the classic flight to quality (i use that word loosely). The talk on the street is always trying to find a fundamental to fit to the price action. Plunging oil prices are signs to economic […]

QUESTION: Many thanks again for the stream of clarifying observations posted daily — hugely appreciated. I was struck when reading that 2015.75 could be a low.Would this not permit a drop to cross 11,750? And would such a resulting chart pattern not be remarkably bullish? In effect might not the drop be an amplified echo of that […]

All year we have been warning that a Phase Transition is coming, but when could not be ascertained until after September 2014. At some point everything must flip. Why? Because this is a Sovereign Debt Crisis not the normal plain vanilla decline. This is why retail participation is at historic lows and liquidity is at […]

While the German municipalities are short €118 billion euros for infrastructure repairs, reorganization of the German state finances may force even higher taxes. The German budget next year will see social spending is likely to exceed the €50 billion euros level. This will be more than the total business tax revenue in the nation. Everything […]

QUESTION: Marty, I went to cash in September since this was the first time you said there would be a serious correction in the stock markets going into November. Do you think we will get the phase transition into 2015.75 or a cycle inversion creating the low next year and stocks would then rally into the […]

  After 2015.75, we will begin to observe the Pension Crisis manifest before our eyes. There are few governmental exceptions within Western Society without this serious trouble. While they keep everyone occupied between soccer and football, governments have done an incredible job of committing massive fraud upon the public. Public unions are simply demanding that […]

QUESTION: Marty: You said palladium would lead due to short supply and then crash when people least expected with the ECM. Has that happened? Thanks BK ANSWER: Yes. Palladium was rallying on the fundamentals of a short supply. But then there is the demand side. It peaked on September 2nd with the turn in the […]