The EU is changing the rules concerning deficits. Whatever countries spend on infrastructure will be exempt from the deficit, even though the debts will increase further. Their idea of creating jobs is to hire more government workers rather than reduce taxes to create business. Just amazing. http://translate.google.com/translate?sl=de&tl=en&js=n&prev=_t&hl=en&ie=UTF-8&u=http://deutsche-wirtschafts-nachrichten.de/2013/07/05/eu-fordert-staaten-auf-haushalts-defizite-zu-manipulieren/

QUESTION: Today employment came with 195K. 1- If Europe is imploding, China slowing, Emerging markets slowing, is the US employment story sustainable? 2- After the governments bond collapse beyond 2015.75, could USA devalue the dollar and make a combination of bond default with a new currency? 3- Is physical gold in the allocated form in a […]

One reader writes making a statement that clearly we are so influential and that is why only a fool does not read our work. Some people assume simply because I said Friday was a low in gold and we should get a 3 day reaction rally and it does, that this is all influence. This […]

When Diocletian (284-305AD) came to power after the Great Monetary Collapse of the 3rd Century, he sought to restore the economy even reintroducing silver coins. However, to accomplish that he imposed aggressive taxation and invented passports since you could not travel leaving your town unless you paid your taxes. This is exactly what is in […]

The Euro has plummeted dropping to 12900 zone. Our Daily Bearish on the spot lies at 12940. Portugal interest rates have jumped to 8% and will move higher. Austria has closed 25% of all the branches of their bank in crisis, and we are waiting for the first crack in German banks. The EU Commission […]

QUESTION: How does your model predict even civil unrest like this? It is honestly quite intriguing. ANSWER: True. I have come to understand that fundamental events like this are NEVER the cause of a trend, but the response to a trend. In other words, it is the economic factors that causes the change in social […]

Europe still does whatever the USA orders it to do. Like Rome, all roads lead to Washington. It does not matter that the USA is spying on European politicians, it is also in a position to blackmail them so they do as the USA demands. There is no better example of this than Austria forcing […]

It is a fact of life that men cannot shop with women. This is a plot of the course taken by the average woman and a man when it comes to going shopping for a pair or pants. But politicians seem to run the same way. They are incapable of ever just getting the job […]

Brown Brothers Harriman A number of clients have been concerned about banks. The German Banks may be in far worse shape than most suspect. Because Germany has been seen as the foundation of Europe, with its banking problems, once they crack the Euro does not look very good. The crisis among trading banks leads to […]

We have received numerous requests from old institutional clients that they need help on asset allocation. Even the famous All Weather Bridgewater Fund used by pension funds is under water. The asset allocation modeling that we have done for institutional clients over the years is adopting the most dramatic changes how portfolios should be restructured […]