ECONOMY | WHAT REALLY HAPPENED

ECONOMY

Aug 09 08:38

SILVER: I CAN’T BELIEVE MY EYES!

Precious metals are having a BREAKOUT YEAR; silver is already closing in on $28/ounce, which means that it has already PIERCED ABOVE our $26/ounce target, which was its EPIC RESISTANCE.

The mining sector will undoubtedly become the most profitable industry of 2020 with this legendary tailwind at its back.

I am pinching myself over this; it’s like the MANIFESTATION of the CULMINATION of years of stressing in our newsletters the idea of just how unsustainable the monetary path that we’ve embarked on is.

Aug 09 08:37

SILVER HAS LEFT THE STATION!

I can’t even recall the number of times that I’ve STRESSED THE UNDERVALUATION of silver since January 2017, since the letter was founded; it’s in hundreds, perhaps even thousands of articles.

My letters have been featured in many other publications, yet silver’s MARKET SIZE is so small that only a few are benefiting from this and that’s the way IT SHOULD BE if the masses chose to be indifferent about it.

Doubting the inevitability of this rally was a FOOLISH MISTAKE.

Aug 09 03:24

CAN SOMEONE EXPLAIN THIS TO ME?

Aug 08 12:10

Beirut police fire teargas at protesters demanding justice over explosion

Police in Beirut fired teargas and rubber bullets at thousands of people who had turned out to demand accountability for one of the biggest non-nuclear explosions the world has seen. They also shot live ammunition in the air, in an attempt to disperse the furious crowds.

Driven by anger at the corruption and incompetence that appears to have fostered Tuesday’s tragedy, people gathered from early afternoon in the city’s central Martyrs Square, where activists have erected a mock gallows for Lebanon’s top politicians.

The protesters chanted: “The people want the fall of the regime,” and held posters saying: “Leave, you are all killers.” More than 150 people died in the blast, about 6,000 were injured and at least 60 are still missing, according to the health ministry.

As the dust from the explosion settles, its political fallout is just beginning to be felt, reviving a protest movement that last year toppled the prime minister but left the system he presided over almost intact.

Webmaster's Commentary: 

The problem for Lebanon is that without fundamental changes in the system, things for the Lebanese people will never get better, and something like this inconceivable catastrophe could well happen again.

I understand the desperation these people are feeling; it comes with voting and voting and voting, and nothing fundamentally changes; nothing with which we here in the US could ever identify, right?!?

Aug 08 11:32

Bullion Banks Have "No Way Out" From Big Gold Shorts

There appears to be no way out for the bullion banks deteriorating $53bn short gold futures positions ($38bn net) on Comex. An earlier attempt between January and March to regain control over paper gold markets has backfired on the bullion banks.

Unallocated gold account holders with LBMA member banks will shortly discover that that market is trading on vapour. According to the Bank for International Settlements, at the end of last year LBMA gold positions, the vast majority being unallocated, totalled $512bn — the London Mythical Bullion Market is a more appropriate description for the surprise to come.

An awful lot of gold bulls are going to be disappointed when their unallocated bullion bank holdings turn to dust in the coming months — perhaps it’s a matter of a few weeks, perhaps only days — and synthetic ETFs will also blow up.

Aug 08 08:08

Nord Stream 2: US senators threaten German port with 'crushing' sanctions

Three Republican senators have ordered Murkan Port on the island of Rugen to stop assisting Russian vessels constructing the final sections of the Nord Stream 2 gas pipeline.

Three US senators are threatening the operators of a small German port with "crushing legal and economic sanctions" for provisioning Russian vessels assisting with constructing the Nord Stream 2 natural gas pipeline.

The US strongly opposes the pipeline, which is owned by Russian gas company Gazprom and will carry natural gas from Russia to Germany.

In their letter,,Republican Senators Ted Cruz, Tom Cotton and Ron Johnson accuse port operator Faehrhafen Sassnitz of "knowingly providing significant goods, services, and support" for the project.

'Completely outrageous'

On Friday, German Minister of State Niels Annen said Germany "firmly rejected" the proposed sanctions, adding the tone and content of the letter were "completely outrageous."

Webmaster's Commentary: 

Dear Senators; isn't Germany supposed to be one of our strongest NATO allies?!?

Or have you three decided to tick them off so permanently that they withdraw from the alliance?!? I'm just asking here, because it appears that this is precisely what you are trying to accomplish with this threat.

Aug 08 06:37

POLL: 84 PER CENT OF AMERICANS BLAME MEDIA FOR POLITICAL DIVISIONS IN THE COUNTRY

SOURCE: PAUL JOSEPH WATSON
A new poll has found that 84 per cent of Americans blame the media for creating corrosive political divisions in the country.

The Knight Foundation/Gallup poll reveals that 86 per cent of respondents say they see “a great deal” or “a fair amount” of political bias in the media. This compares to 62 per cent who felt the same way back in 2007.

As expected given the media’s left-wing prejudice, Democrats are less concerned than Republicans about media bias, with only 22 per cent having an unfavorable view of the press compared to 75 per cent of Republicans.

“Americans blame the media for political divisions, but they also see the potential for the media to heal these divides,” reports the Knight Foundation. “Eighty-four percent of Americans say the media is to blame for political division in this country. Still, 84% also say the media can serve as a healing force.”

Webmaster's Commentary: 

"Press coverage" is primarily what the large corporations, and the Federal Government, want you to believe; this is why independent outlets, like WRH, are more critically important, and valuable, in informing opinion, than they have ever been in years past.

Aug 08 06:19

MAJOR U.S. HEALTH INSURERS REPORT BIG PROFITS, BENEFITING FROM THE PANDEMIC

SOURCE: NY TIMES
...

Some of the largest companies, including Anthem, Humana and UnitedHealth Group, are reporting second-quarter earnings that are double what they were a year ago. And while insurance profits are capped under the Affordable Care Act, with the requirement that consumers should benefit from such excesses in the form of rebates, no one should expect an immediate windfall. But the amounts that insurers are retaining have caught the attention of the Trump administration. The Health and Human Services Department advised companies to consider speeding up rebates, and on Tuesday suggested that they reduce premiums to help consumers through the economic downturn caused by the pandemic.

Webmaster's Commentary: 

IF you use CVS pharmacy for any reason, please remember the following phrase: "Caveat Emptor", meaning, "buyer, beware"; they have just gone on a rampage of gouging their seniors without Medicare on a number of products, some of which our seniors desperately need to stay as healthy as humanly possible.

I know this, because I am one of those seniors who recently got price-gouged by this group on glaucoma drops. These used to cost around $40.00 for a one-month supply; last Thursday, had I not had a price saving coupon, they were attempting to extort $198.00 for the same medication, same amount, which, BTW, is generic.

Aug 08 05:45

THE ECONOMIC DEPRESSION OF 2020 IS BECOMING AN ENDLESS NIGHTMARE FOR MILLIONS OF AMERICANS

SOURCE: MICHAEL SNYDER

You may have noticed that a lot of people get offended by what I write. It is not something that I am purposely setting out to do, and I actually endeavor to get along with everyone as much as I can. But it is undeniable that my articles about our ongoing economic collapse directly contradict a lot of the narratives that are constantly being pushed by the mainstream media and many of our political, business and religious leaders. There are so many people out there that want to believe that the future is going to be exceedingly bright, and even though 2020 has been a horrific economic catastrophe so far, there are a lot of optimists that believe that it is just a temporary blip on the road to tremendous prosperity.

It would actually be wonderful if they were right.

But they aren’t.

Webmaster's Commentary: 

I was one of those who got laid off last week; fortunately, I had a former client who remembered what I had done for their company very positively, and I was only out of work for about 12 hours, then rehired by my former client, and will start with his company next week.

But I have to tell you; getting the news, not with a telephone call, but through an email, was a shock to the system. I have always considered myself as someone who made a lot of people a great deal of money over the years, and that had been a strong component of my personal identity.

But to all of you with small businesses in this country, please; this is not the time to lay off your marketing staff. It is the time for encouragement, knowing who has the work, and bidding for those jobs, even if in more normal economic times, you might, most probably, turn your nose up at them.

Unfortunately, economically, these are not normal times. And historically, how the US got out of its financial slumps was through getting into a world war.

I am hoping and praying I am utterly wrong on this, but I am seeing the signs of a new world war coming, and quickly. I cannot tell you where or when it will happen, nor can I tell you who will win the Presidential election in November.

But there is one thing upon which I would be almost willing to bet real money; after whoever wins November's election, and takes their Oath of Office in January, we will see a very heated discussion in DC about returning to the draft in this country.

Aug 08 04:53

Lumber Prices Outpacing Timber

Aug 07 13:42

Food prices rise to dangerous levels as “a second wave of layoffs” hits the U.S. economy

We already knew that millions upon millions of the jobs that were originally lost are never coming back, and now we are learning that millions of the jobs that were actually regained are being lost again. -- So what this means is that at the exact same time that food prices are skyrocketing, countless Americans find themselves out of work and no longer have paychecks coming in. -- What a nightmare.

Aug 07 10:20

US Stock Market More Extreme Than In March

Aug 07 09:18

VIDEO PROOF Of How Dinesh D'Souza Used To Pronounce "Thailand" Back In 2002 (Before Trump Pardoned Him)

After Trump mispronounced Thailand during a speech yesterday (a mistake he later acknowledged), Dinesh took to Twitter to defend him, saying repeatedly that "Thighland" was universally accepted as the proper pronunciation of 'Thailand' by English speakers the world over.

I wish I could see his face when he finds out about this clip...

"No man has a good enough memory to be a successful liar."
-- Abraham Lincoln

Aug 07 07:21

Could Gold Reach $7,000 Per Ounce by 2030?

Aug 07 05:52

Von Greyerz: The Nightmare Scenario For The World

Authored by Egon von Greyerz via GoldSwitzerland.com,

“Gold has no role in portfolio of wealthy clients” said the chief investment officer of Goldman Sachs’ private wealth management in the week that gold in US dollars went up by over $100 and made a new high of $1,984.

Many found this statement puzzling as another Goldman department previously has told clients not to sell anything gold.

The CIO went on to say: “Our view is that gold is only appropriate if you have a very strong view that the US dollar is going to be rebased. We don’t have that view.”

100 TRILLION GOLD IN WEIMAR REPUBLIC

Webmaster's Commentary: 

If you CAN put some gold/silver away in your private stash, now is the time to do it.

Aug 07 05:50

Nancy Pelosi Says There Will Be No Short-Term Extension of Unemployment Insurance

Republican lawmakers on President Donald Trump’s side have been arguing since last week with their Democratic rivals in Congress about whether or not to extend a $600 weekly benefit to jobless Americans, which expired on 31 July.

US House Speaker Nancy Pelosi refused to consider Republican demands that expired $600 weekly payments to unemployed Americans be resumed without a temporary extension.

“We’re not having a short-term extension”, Pelosi said.
Pelosi told a news conference that despite slight progress being made in talks on the next phase of coronavirus relief, there are still differences between the Republicans and the Democrats on the extension of unemployment benefits.

Aug 07 05:49

No “V.”

Aug 06 12:17

Ministers 'wasted more than £150million buying face masks that don't work' from investment firm with no experience in PPE

Ministers spent more than £150milllion buying millions of face masks from a small investment company that cannot be used by NHS medics, court documents reveal today.

Around 50 million Chinese-made FFP2 masks supplied by Ayanda Capital had ear straps rather than head straps, which raised 'concern' they may not provide an 'adequate fixing' around the face.

The private equity company was handed a £252million contract overall to provide personal equipment (PPE) brokered by Andrew Mills, an adviser to Trade Secretary Liz Truss and the Board of Trade - and a senior board adviser at Ayanda.

Aug 06 10:22

The most bullish thing I’ve ever seen

Aug 06 10:15

How Much Worse Will America’s Homeless Crisis Get?

The title of this blogpost asks a very important question, because this is something that I would imagine is on the minds of many millions of Americans right now...

Aug 06 10:04

Gay Jewish Supervisor Claims Reopening Gay Sex Clubs Will Spur San Francisco’s Economic Recovery

Gay bathhouses could have an easier time returning to San Francisco, after the board of supervisors, led by Jewish homosexual Rafael Mandelman, approved an ordinance that would ease restrictions for adult sex venues on July 21 with a unanimous vote:

This will amend the Heath Code, requiring the Director of Health to “adopt minimum health and safety standards” for commercial adult sex venues. It will also remove decades-old policies that required these businesses to monitor sexual activities and prohibited private rooms and locked doors.

These regulations were put in place in 1984, when the AIDS crisis was devastating gay communities in San Francisco. They specifically targeted sex clubs and gay bathhouses, and while sex clubs eventually reopened in the city after shuttering their doors, gay bathhouses never did, according to the Bay Area Reporter.

Aug 06 09:56

Spot Silver Surges Above $28, Still Historically Undervalued To Gold

When gold pushed above its previous record price last week, silver went along for the ride, rising to nearly $26 an ounce. It has settled back and is currently trading in the $24 range. On June 29, silver closed at just over $18 an ounce. That’s a 33% gain on the month. Going back to March, the white metal was below $12.

Former US Mint director Ed Moy told MarketWatch silver is going up for the same reason as gold.

What is driving gold prices now are mainly the fear of inflation due to the magnitude of the monetary and fiscal stimulus worldwide, and the flight to safety due to the uncertainty around how and when the global economy will recover.”

Moy pointed out that the silver-gold ratio remains historically wide. That means either gold is overvalued or silver is undervalued. If silver is underpriced, “there is a lot of money to be made,” he told MarketWatch.

Aug 06 08:42

Jeff Bezos Just Sold Over $3 Billion In Amazon Stock

In a sale which we are confident will be defended as just "selling for tax purposes" or "considering charitable giving" and certainly not "an admission that Amazon is overpriced", Jeff Bezos took to the open market this week to dump a million shares of Amazon stock, worth just over $3 billion, company SEC filings revealed on Wednesday.

Bezos sold the majority of the shares between $3,106 and $3,167, decreasing the number of shares he beneficially owns from 55,488,700 to 54,488,700. The company's CEO of Amazon Web Services, Andrew R. Jassey, also sold 6,945 shares on August 3, 2020 at a price of $3,183, netting him about $2.2 million.

Webmaster's Commentary: 

Jeff, ol' buddy; I could use a few bucks over here! :)

Aug 06 08:20

Treasury Announces Record $112BN Quarterly Debt Sale, Unveils Tsunami Of New Bond Issuance

Just two days after the Treasury unexpectedly hiked its forecast for debt issuance in the current quarter by $270BN from $677BN to $947BN (after a record $2.75 trillion last quarter)...

Aug 06 08:19

Bank of America: Silver Could Hit $50 "In The Near Term"

A little over two months ago, Bank of America became gold's biggest cheerleader on Wall Street (and has been spot on so far) in predicting that the price of the yellow metal would hit $3000 in about 18 months due to "loose monetary and fiscal policies around the world" and with the US elections scheduled for November and the EU’s Recovery Fund in place from January 2021, the bank expects that demand will remain supportive next year, even though the pandemic continues to be an immense risk.

The current macro-economic backdrop is also bullish for the precious metals, with gold benefiting from record low real rates, at the same time as central banks are backstopping fiscal spending.

Aug 06 08:18

WE’RE ALL DEAD MEAT: STACK GOLD!

Poverty is spreading MUCH FASTER than Covid-19 is. Compared to this flu-like virus, poverty scares MANY MORE households and, unfortunately, nobody in government or in the education system is working on a treatment for it.

Most people are born into poverty and whatever they learn about MAKING MONEY is totally accidental.

Financial education is the MISSING PUZZLE PIECE that enables the wealthy and the sophisticated to keep reaping the fruits of labor in the fiat monetary system.

By design or not, the facts SPEAK FOR THEMSELVES; most families don’t have the necessary tools to understand what has happened in America in the last 40 years. They intuitively realize that their income HAS FROZEN in time and that the 0.1% club HAS THE GAME all figured out. But it’s boiling their blood already – politics will shift towards this frustrated mass of the population since there’s SO MANY of them.

Aug 06 08:17

"Let Me Tell You A Terrifying Story"

I have spent a lot of time on this site speaking about “Project Zimbabwe” as this period is so poorly understood and if you get it wrong, you’ll get annihilated. I have also written about how it’s getting strange out there as stocks no longer seem to have floors or ceilings on valuations. The moves are increasingly sudden and random as the active manager community undergoes an extinction event and no one is left to take the other side. When you combine the two, it should become obvious that shorting is suicidal. Sure, there will be a lot of volatility. There may be moments to take on counter-trend shorts, but why bother? The rules have clearly changed. Besides “Project Zimbabwe” states that the market is going higher, much higher. The risk is that you’re not along for the ride, or worse, get caught in a short vortex and removed from the game.

Aug 06 08:10

Millions of Americans to Suffer Severe Financial Hardship When Unemployment Aid Ends - Survey

A new analysis has found that 5.4 million Americans are expected to have issues paying their bills by the end of August, following the July 31 expiration of the supplemental $600 unemployment insurance benefits provided by the US’ Coronavirus Aid, Relief and Economic Security (CARES) Act.

Morning Consult Economist John Leer revealed on Wednesday an estimated 5.4 million Americans who filed for unemployment will soon face tough financial decisions and may be put out off their homes, and congressional Republicans and Democrats continue to disagree on which, when and how Americans should receive financial assistance amid the ongoing COVID-19 novel coronavirus pandemic.

Aug 06 08:07

US Senators Reportedly Threaten German Port Operator With 'Financial Destruction' Over Nord Stream 2

The Nord Stream 2 project is set to carry up to 55 billion cubic meters (1.942 trillion cubic feet) of gas per year from Russia to Germany, passing through the territorial waters or exclusive economic zones of Denmark, Finland, Germany, Russia and Sweden.

US Senator Ted Cruz together with Senators Tom Cotton and Ron Johnson have threatened the management of Mukran Port in Germany, involved in the Nord Stream 2 project with “financial destruction”, if they continue their work on the venture.

In a three-page letter, obtained by Handelsblatt newspaper, the lawmakers called on Sassnitz GmbH, which operates the port, to discontinue logistical support for the project.

"If you continue to provide goods, services, and support for the Nord Stream 2 project, you will destroy the future financial survival of your company", the letter read.

Webmaster's Commentary: 

What are these guys going to do, SUPPORT AN INVASION OF GERMANY OVER THIS?!?

Folks, this... is desperation on the cusp of madness, writ large.

Aug 06 07:48

Trump to sign executive order requiring U.S. to buy ‘essential’ drugs from American companies

President Donald Trump will sign an executive order requiring the U.S. government to buy “essential” drugs from American companies, White House trade advisor Peter Navarro announced Thursday.

The president is expected to sign the order during his trip in Ohio later Thursday, Navarro told reporters on a conference call. The United States is “dangerously over-dependent on foreign nations for our essential medicines.”

The order will require the U.S. government to develop a list of essential medicines and buy them from U.S. companies instead of from foreign countries like China, Navarro said. The World Health Organization already has a list of essential medicines, but the U.S. won’t need some of those drugs because of “where we are located,” he said.

Aug 06 07:42

War Drums Beat In The Middle East After Thousands Of Casualties In Beirut Explosion

Initial reports suggested that the explosion may have been caused by an incident in the firework storage area. However, later, Lebanon’s Prime Minister Hassan Diab said that 2,750 metric tons of ammonium nitrate, which is typically used as an agricultural fertilizer, had been stored for six years at a port warehouse without proper safety measures, “endangering the safety of citizens.”

This statement was backed by General Security chief Abbas Ibrahim, who said a “highly explosive material” had been confiscated years earlier and stored in the warehouse, just minutes’ walk from Beirut’s shopping and nightlife districts.

Webmaster's Commentary: 

IF there was ever a time for some "adults in the geopolitical room" (and guys, you KNOW who you are!!) to be working the phones to ratchet down the tensions here, now is bloody well the time for them to get to it.

And folks, regarding a potential de-escalation of tensions, don't look at all to President Trump for help; he is way too enmeshed in his own pre-election issues to care.

Aug 06 07:34

Record number of people from New York City, San Francisco and Los Angeles are looking for new homes in cheaper, smaller metro areas like Phoenix, Sacramento and Las Vegas as mortgage rates dip and working remotely becomes the new norm

A record number of people from the country's largest metropolitan areas, including New York City, Los Angeles and San Francisco, are flocking to smaller, more affordable cities amid the coronavirus pandemic, new data reveals.

A recent report by real estate company Redfin shows 27.4 per cent of website users were looking to move to smaller metro areas in the second quarter of 2020, with the top five destinations being Phoenix, Sacramento, Las Vegas, Austin and Atlanta.

The migration analysis was based on a sample of more than 1million Redfin users who searched for homes across 87 metro regions in the country between April and June.

Aug 06 07:33

NEARLY 30 MILLION AMERICANS TOLD THE CENSUS BUREAU THEY DIDN’T HAVE ENOUGH TO EAT LAST WEEK

This week the US Census Bureau published results of a survey in which nearly 30 million out of 249 million respondents said they did not have enough to eat at some point in the week before July 21. It was the highest number of people reporting insufficient food since the Census started tracking that information in early May.

According to the data released Wednesday, about 23.9 million people said they "sometimes" did not have enough to eat, while 5.4 million said they "often" did not have enough to eat -- a statement Webb says applies to her.
....

Food insecurity equates to an inadequate access to food for a healthy, nutritional diet. It’s separate from hunger, which the US Department of Agriculture describes as a physiological condition that may result from food insecurity.

Aug 06 06:35

The Difference Between Good Economics And Bad

Aug 06 05:39

Peter Schiff and Jim Rickards: $15,000 Gold?

Aug 06 05:14

McCullough: The Fed Is Going To Lose Control

Aug 06 05:13

Millions Worth of PPP Loans Went to Chinese-Owned Companies, Report Finds

Hundreds of millions of U.S. taxpayer dollars went to Chinese companies from the Paycheck Protection Program (PPP), which was designed to help small businesses survive during the pandemic, according to a new report.

A review of public PPP loan data by consultancy firm Horizon Advisory found that $192 million to $419 million in loans were given to more than 125 Chinese-owned or -invested companies operating in the United States. Many of the loans were substantial, with at least 32 Chinese-owned firms receiving more than $1 million under the program, totaling between $85 million and $180 million, it found.

Aug 06 04:54

We Are Experiencing Economic Devastation On A Scale That America Has Never Seen Before

For a very long time we have been warned that a U.S. economic collapse was inevitably coming, and now it is here. Fear of COVID-19 and unprecedented civil unrest in our major cities have combined to plunge us into a historic economic downturn, and nobody is exactly sure what is going to happen next. On Thursday, we learned that U.S. GDP was down 32.9 percent on an annualized basis last quarter. That officially makes last quarter the worst quarter in all of U.S. history, and many people believe that this new economic depression is just getting started. But of course not all areas of the country are being affected equally. According to USA Today, states such as Hawaii, Nevada, Michigan and New York were hit particularly hard last quarter…

Aug 05 12:07

This can't be legal

Aug 05 10:34

Massive Inflation May Be Coming, Because the US Government Has Cornered Itself into a Fiscal End Game

The federal government is moving into the final stages of its fiscal life. Deficits have gotten so enormous that the Federal Reserve simply prints the money the government needs. Why? Because that’s the only option left on the table.

For years, we have warned that continued deficit spending would paint the Federal Reserve into a corner wherein monetary policy would become a slave to fiscal policy. To avoid government default, confiscatory taxes, government shutdown, or a combination of all three, the Federal Reserve has reached a point wherein it has little choice but to monetize federal deficits. Sooner or later, we will all pay the price in the form of massive inflation.

Aug 05 10:26

U.S. small businesses face mass closures without more pandemic aid

After surviving two strokes at age 27, Olivia Colt threw herself into starting a catering business, a lifelong dream. Ten years and another stroke later, she had built Salt & Honey Catering Plus Events into a thriving operation in downtown Oakland.

Now with the coronavirus pandemic forcing cancellations of her customers’ weddings and events, she has slashed her staff from 25 to six and tried to drum up new business by selling groceries online. She secured a $100,000 forgivable loan under the U.S. Paycheck Protection Program (PPP) and another $150,000 loan under a federal program usually used for natural disasters. She expected the money to get her through just a few months of hardship.

But the hardships are dragging on.

“I’ve applied for all the grants and loans, I have maxed out my credit card, used my company’s reserves, spent my savings,” she said.

Colt now fears she may have to shutter her business permanently.

Aug 05 10:13

I guess we need lower rates.

Aug 05 10:12

Unusual Variable For Labor Market Recovery

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