Monday, May 10, 2010

Facts, Figures, Coercion

"Socialism is a fraud, a comedy, a phantom, a blackmail."

-Benito Mussolini

Over the weekend, global financial authorities stepped in to bailout the European Union. The last-minute deal was completed before the Asian markets opened for the new week. This morning the stocks are up dramatically. So everything is copacetic, right? Wrong. The measures developed over the weekend by nation-usurping globalists will only exacerbate the problem.

The panic last Thursday showed the fragile nature of a bailed-out financial world. Whatever happened on Thursday, regardless of the cause, showed just how fragile is the confidence in the world market. It is unlikely the sell-off was due to somebody's "fat finger." A mistake would be able to be retraced. What happened Thursday was a real panic (listen here to the audio of one of the most exciting 15 minutes from the S&P 500 pit in market history) induced by the moneyed powers. Since the market is completely controlled by the bailed-out banks and the world elite, Thursday's severe drop and quick rise was a warning shot for the world. Whether or not there exists a "Wolfpack" of investors bent on breaking the system, does not matter. The system is dead and is doomed, anyway. Fiat currency, or paper money, has run its course. It's days are numbered before deflation sets in followed by a punishing hyperinflationary period. These market swings, in the Dow Jones Index, the S&P, and currency markets are just staving off the inevitable- loss of confidence, collapsed paper currencies and rampant inflation.

The National Pulse would like to run through some simple charts that might easier explain where the financial situation is headed. Despite the lack of transparency of the Federal Reserve, the absolutes still exist. Like Voltaire said, "All paper money eventually returns to its intrinsic value: zero." So, in addition to further bastardizations of the Constitution by the Fed (the Fed re-opened a line of credit to Europe; blatant violation of Article 1 Section 9 of the organic U.S. Constitution; "No money shall be drawn from the Treasury, but in consequence of appropriations made by law; and a regular statement and accounts of receipt and expenditures of all public money shall be published from time to time."), all that is being accomplished by these extra bailouts is the buying of time. Officials are popping the last of their bubbly and IMF chief Dominique Strauss-Kahn is looking to bag a few more cougars at the swingers' club. The ability to counterfeit money really turns on chicks!

First, here is a 75- year chart of the stock market. Notice how since the inception of the Fed, the stock market has grown exponentially; only at various times to be manipulated by a crash and then rebuilt to grab a bunch more suckers.

Next, let's look at the Dow Jones chart from the 1929 crash into the Great Depression. you can see that each precipitous drop is following by a "dead cat bounce" marked by institutional buying, or your tax money; the government's promise to repay debt.
Centralization, once the promise of greater security, is now to be the cause of utter annihilation. The assets promised to backstop failing institutions are nothing but numbers in a ledger. Before 1971 the U.S. Dollar was pegged to gold. Since then, as a result of inflating the money supply, the purchasing power of the dollar has been dramatically weakened.

Gold hasn't been the only bell weather of monetary inflation. Since the entire world is without a single country on the gold standard, the the rest of the world has had to inflate their fiat currencies to survive the economic crisis. This will cause prices to soar. For right now, business has ground to a standstill. Since 2008, trading on the Baltic Dry Index, the index used to measure goods being shipped throughout the world, has fallen steeply.

Just because central banks print more money and tell everybody the crisis is over does not mean that it is true. In fact, the exact opposite is true of currency inflation. The money becomes worth less and peoples' standard of living decreases.
Government has to find new and ingenious ways to coerce the public into paying off the debt that they have accrued.

Governments around the world will pass all the taxpayer-funded bailouts that they will be allowed. In Greece, Portugal, the United Kingdom, or the United States, the question is the same: At what point will the people stop complying with the measures set up by the global banking system that is designed to keep people in perpetual debt?

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