KWN interviews Martin Armstrong

Click here for the King World News Blog page. Highlights from Eric King’s interview with Martin Armstrong about who will crash first. Audio is now up! Listen twice, good interview.

All of the foreign central banks hold US government bonds, not actually physical dollars, but they actually hold bonds as a reserve. So the reserve currency is not something that is going to crack first.  You have to understand that because if the dollar were to be the first thing to collapse, the rest of the world has to go with it.

Gold

Although, gold has taken a hit and is close to the weekly bearish number from Martin Armstrong (we shall see how close later), gold is still trading within the uptrend channel that began in 2008-2009.

Click here for chart of the day.

Long-term, groovygirl is still bullish on gold.

In case you were not aware….

The Onion is not a real newspaper, they publish fake stories. It is called Satire.

Stephen Colbert is not really a ultra-conservative republican, he is an actor. Again, it is called Satire.

The United States is not in an economic recovery. It is moving into a depression, or at the very least, a prolonged recession. (Please, continue to argue semantics, it will solve all the world’s economic problems.)

The situation just isn’t funny.

Recent Assessment

Click here for a recent assessment from Jim Willie of Hat Trick Letter regarding the global economic situation. Groovygirl finally got around to reading the full letter from September 22, 2011. Good info on current big picture.

Side musing: there has been alot of talk out there about the crash of the euro. GG doesn’t know what will happen, but right now, the euro is very unstable. Some people are concluding that a crash of the euro, whether temporary or permanent, will cause the dollar to rise in purchasing power. Groovygirl doesn’t think that will happen (except possibility on a daily basis or short-term). Two reasons. First, the euro has been weak since March and the dollar has gained in value, but not as much as it has in the past when the euro was under much less pressure. Second, the European Banking Crisis is being fought with USDollars from the Fed. The Fed will continue to loan more and more dollars into existence to fight this crisis. Unfortunately, that move will just create more dollar inflation around the globe, not save European banking. A move up in the USDollar or US Treasuries doesn’t mean you should keep your money there indefinitely. It is NOT a safe haven. As soon as something more dire happens in the US, all attention will then turn toward the dollar.

No shorting in Europe

Click here. Italy extends short ban that was set to expire at the end of the month.

Whether the investment options of today (shorting stocks, etc.) are good or bad is not the point. If Europe bans shorting stocks, investors will just sell long positions to advert risk. Banning shorts in this environment may help daily volatility, but it doesn’t help a declining stock market or global debt crisis and signals to everyone that this is not under control.

Obviously, the European markets expect a wild ride ahead.

Alf Field’s son talks about his famous dad and economics

Click here for a post written by Alf Field’s son at thebookboxer (sent to me via the muses comment section). He discusses fiat money and his dad’s economic vision. His post has very good links to Alf’s papers and videos. Very informative resource.

Groovygirl found it most interesting (and so sad) that Mr. Field’s son, Greg, took a graduate class in Applied Finance and not once learned anything about the history of money. Everything he learned about monetary history, he learned from his father. Wow, no wonder we are doomed to repeat every mistake of past global money systems. We are doomed.

Side musing: groovygirl has no way of personally verifying that this is indeed Alf’s son. But judging from the text and videos, this post is consistent with other published ideas and videos of Mr. Field.

Freedom is dead

Click here for a post about the ongoing Occupy Wall Street protest. Let’s guess how many of these protesters will be charged under laws formed after 9/11?

Update 9-30-11: groovygirl found it interesting that Mr. Anthony Bologna, the NYPD officer that maced Occupy Wall Street protestors on two separate occasions (captured on video), is in fact a member of the NYPD’s Counter-Terrorism Department. Apparently, the only terror suspects in NYC are near Liberty Park.

(For right now, gg will assume that Mr. Bologna is alone in his mace-happy thuggery.)

So, there you have it, folks, the slippery slope gg has been waiting for: terrorists are evil, protestors are terrorists, protestors are evil, let’s mace them. Next the government will be killing American citizens by airstrikes without a charging them with a crime and bringing them to trial. (Click here for conservative thought from Ron Paul and click here for liberal thought from Glenn Greenwald. Amazingly, they come to the same conclusion.)

History has taught us that the way a government treats its enemies is exactly how that government will eventually treat its citizens as soon as it views them as a threat to its control and power. That is why upholding the rule of law is so vital to the peace and stability of a nation.

Groovygirl is just waiting for the “press” to label the protestors as looters and criminals, just as Britain did this summer. You know, ’cause citizens in the US, Britain and around the globe couldn’t possibility have any other reason to be marching in the street except to loot the nearest store.

Speaking of slippery slopes and lack of rule of law: groovygirl is reminded of the Bonus Army March on Washington DC  in 1932 by WWI veterans requesting promised pay for service from 1920. The US Attorney General ordered the US Military to disperse the protestors. The military proceeded to gas bomb, shoot at, and rush with bayonets the protesters, and then set fire to the tents and belongings of veterans (and their families that were with them). What slippery slope did the US Attorney General slide down to allow the US Military to gas and shoot its own citizens exercising their first amendment rights in the Nation’s capital?

Update on Martin’s forecast for gold

A few weeks ago, Martin published a computer model forecast for gold. Here is a very short summary:

A daily close below $1730 will signal a decline ahead. A weekly closing below $1605 means a correction is underway. A yearly closing this year above $1405 will mean the gold bull market could continue into next year.

We broke the daily signal, so we have experienced a continued decline on a daily basis. Last week, gold closed at $1640, so still above the $1605 that would turn gold bearish on a weekly basis.

Tuesday is option expiration day. So, let’s see how the week and month ends for gold and silver. Shanghai raised the margin for silver over the weekend, this could be causing the decline in silver.

Do not be shaken by the ups and downs in gold/silver. Hold physical gold and silver long-term. Declines are more buying opportunities as the paper gold shorts try to cover their asses from that run away to $1900 we just experienced.

Martin Armstrong’s Training Seminar

Mr. Armstrong is conducting a training seminar on December 3-4, 2011. Click here for the details.

Latest Release from Martin Armstrong dated September 23, 2011

Click here for Martin Armstrong’s latest release entitled Political Inaction dated September 23, 2011 (3 pages). Martin talks about Operation Twist and the waiting game for the Greek default. Mr. Armstrong also has a training seminar coming up in December.