Sunday, January 16, 2011

Tipping Point?

With all the skepticism out there about the economy. There has been a lot of talking about a tipping point, which would causes the US economy and thereby the world economy to slide over the edge. Most critical thinkers know that a system as corrupt as ours cannot be sustained indefinitely. No one is sure however, what a collapse would/will look like, little lone the timing of such an event. Many internet commentators and prediction systems such as Webbot, have pointed out certain critical points in time. I personally have followed the Webbot for about 4 years and have seen some pretty amazing hits on predictions. Although I believe no one knows the future, I have seen first hand that intrusions from the future can and do give coming attractions in our daily lifes. My staff and I started to notice that certain people would come into the office and one of us would say, "I just thought of them the other day". This happening once or twice goes unnoticed. This occurring on a weekly and or daily time frequency causes one to conclude that 6 degrees of separation really does occur.
I watched the 2008 financial crash take place after months of Webbot predictions that something was about to happen. More recently the November 2010 prediction of a tipping point, although many thought it a miss. I was amazed at the accuracy and how it picked up subtle changes that to the casual observe and indeed the general public went unnoticed. For instance the increase in tensions between the US and China. The pressure on the Federal Reserve and the dollar(perception not price) increased dramatically.
This all brings us to the present and the tipping point concerns which have been called for this month January 2011. We have seen the shootings in Arizona, the drying up of physical commodities. riots over inflation and food are spring up everywhere.  Certainly you could have predicted these events at least the riots and commodities part just by observing the markets and the fact that violence has increase as a result seems obvious. Yet world wide there appears to be an awaking, that despite the MSM and governments attempts to subdue it, is growing.  I have no doubt that something is coming and it's occurrence  will likely be subtle, like the straw that breaks the camels back and yet it's impact will be enormous. I'm watching the Chinese come to town, the CFTC vote and the Judge's request for documents in the GATA law suit and it looks like convergence to me. Will history record that the crack started this weekend, I have no idea, but it would not surprise me.
Having said that, what would the event look like post crack. Well that is speculation, but I'll give you mine.
In fraud and corruption appearance is everything. Bernie Madoff was believed for so long because he acted the part. The same is true of the FED. It has been beyond reproach for 100 years, but now, not so much. The November 600 billion in digital dollars to keep the make believe financial system afloat caused howls from all over the globe. Today we stand at the upper debt limit of the US government. If you raise the limit and therby weaken the dollar a massive out flows out of dollars and into I believe gold and silver will occur. There simply is no where to go. The Euro, food and fuel are not safe and topping out. If you push them further it will trigger commodity prices to leap up further destabilizing the worlds governments. The cries to remove the dollar as the reserve currency will go into light speed. The average American will feel it as a loss of control and a large jump in food and fuel. Of course they have to raise the limit and debase the dollar or 1929 will look like Camelot, but the reaction will be much faster this time. Weeks not years. The IMF will call for SDR to stabilize the world economies, who knows if Asia will buy that. They need to export and that requires a medium of exchange, but they'll be gun shy given the lies of the west.
So my eyes and Google searches are on the debt ceiling. This is the trigger from which all else flows.

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