The turn in capital flows is also in part linked to the decline in retail sales that has been showing up in US reports. Thailand has entered a recessionary trend with slowing exports and weakening domestic demand. This is helping the capital flows to shift and the strength in the Euro has been the capital contraction […]

The debt crisis is being felt at the state and local levels. This entire structure of promising pensions on the assumption that they can just always raise taxes is destroying society on a grand scale precisely for the same reasons Rome fell – unfunded liabilities caused by promised pensions for state workers. Detroit is not […]

David Miranda, the companion of Glenn Greenwald, who was a journalist with the British “Guardian” newspaper and the primarily journalist responsible for the NSA revelations, was arrested at the London Airport on Monday. The British have seized whatever the “Guardian” had and was forced by British intelligence to be destroyed under their supervision any and […]

The US government in its quest for money has embarked upon even seizing people’s laptops at the border. It is their position that the constitution really has no force of law at the border. They need no probable cause to search through your laptop for clues to hidden bank accounts etc. These people trust no […]

QUESTION: Will the Fed still taper? ANSWER: The Fed ‘tapering’ will happen but it is not truly impacting the economy. That is the whole fallacy about what is going to happen. Buying the mortgage back securities does nothing for the economy. This has neither been inflationary nor stimulating.WHY? The theory is the Fed is actually injecting […]

India’s biggest two-day stock market slide since 2009, surging bond yields and a plunge in the rupee to a record low are pressuring officials for fresh steps to stem capital outflows and support the economy, one reason behind the 10% tax on gold. Then there is the analysis of China conducted by the Economist that […]

While Wal-Mart turned down, all retail sales are off significantly and we will see this on a wide scale basis and this will be the “fundamental” behind the decline and fall of the US share market into the weeks ahead. Ever since the ECM turned, the share market is slipping. With the crash in retail […]

COMMENT: “Money will no longer be tangible?  Declaring that the tangibility of money is dead will not make it so.  Goods will always be tangible and must be traded, bought, sold in with some kind of accepted tangible commodity — be it seashells, beads, or gold and silver.  As you mentioned, paper money, when accepted, was […]

U.S. stocks had the biggest one-day percentage drop since late June yesterday in a higher-than-average trading volume after poor results and outlooks from Dow components Wal-Mart and Cisco. Wal-Mart earnings were $1.24 compared to $1.25 expected. So we are not looking at a dramatic impact. Nevertheless, when the cycle points down, even good news is […]

Just one day after India increased the taxation on gold to 10%, the Reserve Bank banned the sale of gold coins, medallions and dores without a licence from the foreign trade office. The Reserve Bank is out to end the capital outflow from India that is going into gold. We are seeing an increased trend toward this in […]