Entire server farms have been built to handle the articles and data related to the election, Trump and the last 60 days of life on this planet. My focus is going to be on numbers, economic certainties and the headwinds facing this entire planet moving forward.
Here is my start:
We are in a giant mess that no one man or party or current system will get us out of.
Not on the right, not on the left.
Not democrat, liberal, conservative or republican.
99% of the time their focus is on getting elected, re-elected or finding funds to do so. Therefor they simply do not have the time to understand this stuff and even if they did, they wouldn’t know what is what.
None of them want to be the bearers of bad news and their entire job is to emotionally lure people to the ballot box.
Our job, in the end is to remain blind and reliant on them for our every solution which only needs to come after the problems this system (game) and it’s players (politicians, lobbyists, corporations) play.
Pssssst… this is just Public debt (and just Federal) not Muni or State/Provincial.
Let’s start with a guarantee: You WILL lose your pension either in it’s entirety or at drastic haircuts. Canada, USA, State, Provincial consider them gone.
First question: Are you prepared? Second question: How will this happen?
Another guarantee: Government debt is going to implode AND explode at the same time.
Here’s another: Taxes will skyrocket across the board. I have covered the truth behind the carbon schemes enough for anyone who reads this blog, no need to go over the true reasons politicians love this tax.
Here is the reality: We have EVERYWHERE a giant demographic problem that politicians and bankers are trying to solve using war and resources to shift people to countries who are losing the demographic battle (EU, North America) at a tremendous cost in lives, upfront costs of war and more from countries (Middle East, Africa)
We have a surging USD that is not going to stop. Sorry, if you have been 100% wrong on the direction of markets, the USD and bonds to this point, no need to chime in with ‘manipulation’ nonsense. Our guide will be price action and fundamentals. Yes, that is also why gold will continue to get crushed moving forward. (then surge)
It is 100% guarantee rates will rise. This is going to ruin any thoughts of Real Estate continuing to surge forward. This will require bailouts (or in this case bail ins) The other headwind for RE is China cracking down on outflows despite pushing the Yuan lower (or the USD rising whichever you prefer) Play the race card if you want, this is not about race, this is about being human. You can note people are trying to get their money out of the EU also.
Your pension is the biggest pile of cash the government has their eye on. And by title, dead, claim, legal… whatever you want to call it, it is their pile of cash NOT yours.
For the left and the right: There is nothing Trudeau can do and there is nothing Trump can do. Try as they might, nothing is going to work. Trump wants to decrease taxes to bring money home. Great. The USD is going to surge hurting exports. Trudeau wants to jack up carbon taxes to bail out Big Oil, LNG and to make their products more competitive on the open market (yes, the only beneficiaries to carbon taxes will be the ones the produce the most of it) Both are entertaining ‘infrastructure’ projects, most of which will benefit the same Big Oil and all the rest. Public Private Partnerships and meetings with Pension Funds. The truth? Pension funds are asking ‘How the hell are you going to pay these coupons with less people that are already overtaxed while waging war all across the globe?
Taxes already crush lack of treasury receipts on sales tax. These taxes will crush small businesses who are already hoarding cash, reducing workers or outright closing.
Our pension systems are already grossly underfunded, and people EVERYWHERE are waking up to this reality. Our governments OWN most banking stocks, bonds, energy stocks and bonds. The bond market is starting to wake up and demand higher rates. Most muni’s can’t go bankrupt and default on pension payouts. The only solution? Jack up taxes mostly property taxes another head wind for Real Estate. And this headwind along with Chinese capital controls will crush governments like BC who have literally survived solely on transfer taxes and surging assessments granting them more property taxes.
Good news is, for stock holders, they will skyrocket (as they have been for a long time now despite the ‘experts’ calling for a crash). However this will be at the expense of the Bond Market as money shifts from govt debt to stocks.
We will see TRILLIONS in emerging market debt go bust. Much of which is owned by pension plans. Much of which will crush seniors holdings of bonds as the ‘safe bet’ that will wipe them out.
Emerging Markets BORROWED in USD at low rates, now they know the obvious which I warned about privately for a long time. Rates will rise. And now they are scrambling to buy USD to make sure their cost of payment stays in a sane range (hint, it won’t work and there is nothing they can do to stop this) This is effectively a $9 Trillion short position on the USD that has to unwind. Think sub prime X 50.
For Canada, this might be helpful for we are very much resource based and when money flows out of government debt, it will go to commodities also. This price rise (if it happens) will not be because of demand, but simply money rotation creating ‘fake’ demand.
To think, we have not even talked about wars that are coming in this downturn. If you think Trump will stop wars. He won’t. It will likely be USA China as one empire (USA) is on its way down and will have it’s own civil war and likely many secessions, China is on the rise and will take over the USA in economic power over the coming decades. It will be currency wars, than trade wars, then tariff wars then actual war.
Once the high in the USD is reached (and we are a long, long way away from that) the money will shift east. The people worrying about ‘population’ as an issue to solve, need not worry. Poverty will create disease, unrest and civil war. I would suggest you keep your eye on the complete disintegration of the bankrupt (as in more than us) entity that is the EU, who, will split internally and also launch back into civil wars and country to country wars like they always have. Civil war will haunt the USA also. The seeds have been planted and now they will grow.
‘Wow, this is a pretty negative article, not much hope’ Yep, you are damn right about that and this is what we get we settle for the idiocy that is ALL parties inside a system designed to fail.
If the system is designed to fail, it will. Each dollar we use is made with debt. Debt is not a sign of ‘growth’ or prosperity. Debt is designed to make bankers rich. And it has. And when we have issues paying (terrible demographics) they force our politicians to do things (blow up every country that is having kids and move them around in order to ensure there are enough sureties/collateral) on the debt.
There is your ‘humanitarian crisis caused by regimes and global warming’ in a nutshell. This is a resource game, and humans are the main resource. They pay the debts. When you hold 20, 30, 50 year debt notes and you see drastic population declines… how do you make it up? IMPORT ASSETS (humans)
When you have countries that have resources (oil, gas) and others (humans) and want them, you go destroy them. That is empire. Built on debt, slaves and war. Here we are. Go on, look at history any empire or dynasty it is rinse wash repeat. Now look. Are we are war? are we in debt? Are we dependant on war and debt for conquest? Do we have lie after lie from politicians and higher taxes, less freedom, more debt? Yes… and on it goes. Yet every 4 years we hear ‘change’ in every election slogan. Please.
I am not here to give financial advice, nor should any of the above be considered as. However, this is a warning to all of us out there who, unlike myself don’t have the time nor inclination to look at this issue.
The issue is? LIES. You are being lied to when they tell you carbon taxes is coming to save the planet they are destroying. You are being lied to when they say ‘our party will fix it’
You are even being lied to about what Canada really is. You are being lied to about your pensions. You are being lied to about debt. You are being lied to about the true reasons we went into Libya, Afghanistan, Yemen, Somalia, Sudan.
You are being lied to about kickbacks and pay for play. You are being lied to about pharma, LNG, Climate Change… everything.
If the entirety is based on lies and not truth. It will collapse. It is a house of cards waiting to be knocked over by a ceiling fan being turned on.
Note that truth ALWAYS wins, in the end and unfortunately, truth in us is going to have to witness the result of both their lies and our believing them.
I will cover more in depth the above issues as we move forward with this and watch it unfold. I am not here to scare anyone. You are the only one that can allow yourself to be scared. The writing is to make you aware of danger, not place fear. Big difference. Fear comes from the unknown, now you know.
Fear is a tool of politicians and their backers. Hope comes from seeing the problem, learning it and working on solutions. They will NEVER come from politicians. Solutions make politicians irrelevant. Our only solutions are inside of us, in our communities and our families.
Consider this a warning and consider to pay some attention to the unfolding of this moving forward. For years I have been on about this privately with, at times, people laughing at me and others who are warning about it. Well, here we are. Laughing time is over. The time for understanding and unity is here.
We will only get through this together and without ‘them’ We will only get through this if we are willing to stare at the truth and do something vs. put an X on a ballot every 4 years.
We are the only shot at turning Tragedy into prosperity.