Fall 2022 – How black-pilled are you?
The MarketSniper (Francis Hunt) gave a good black-pilled world overview this past week on the “Small Caps” podcast. The predictions for world-wide turmoil are remaining the same, and Hunt has been showing how his group is profiting off the doom. (And why not – those orchestrating this surely are). Unlike ‘Economists’ who are allowed to perpetually-predict outcomes with records worse than flipping a coin, showing profits off your black-pilled predictions is quite concrete.
How black-pilled are you? The ‘narrative’ among many major banks is that interest rates will peak out this Winter and only gradually pull back in 2023. Talk of a permanent 5-6% range (US rates) versus a huge spike in the double-digits. I don’t think they need a spike much beyond 10% to scare and shake-out most of the North American markets that have binged on leveraging real estate and equities under the assumption that rates will always come down below 3-4%. Rather, a steady and prolonged state of inflated rates will more-gradually eat away at pensions and savings without people realizing it immediately. There still will be some black-swan event to cause the USD spike to crash.
Throughout the recent petro-dollar history over the past many decades, it has been known that securing and providing stable and plentiful energy sources is a direct driver of economic growth and wealth. What is being done to the West, on purpose, is the exact opposite. Kill/supress energy and access and the old system of growth will be killed along with it.
Some key points Hunt has been making and profiting from:
Inflation. Central banks are, by design, inflationary vehicles - debt/loans/assets. Their main purpose is to ensure inflation creates debts that get passed on the masses as an invisible tax. And again, keep in mind it’s not 8 or 9% inflation, using the proper energy/food mix in the basket as ShadowStats does, it’s surpassed 16% in the US (Canada and elsewhere similar). By hiding the true inflation, they probably are leaving themselves with a nice narrative for when it ‘falls’ back to 6%, while still passing on debt to people. (They like to report how inflation is ‘coming down’ with lower figures, but that means prices are still increasing but at a slower rate)
Britain and the UK. No one in the UK has any confidence in GILTS (guaranteed government bonds) and so the Bank of England is propping them up with billions in buyouts – no market price seeking is occurring, and so to prop up the value the government is buying (as in other jurisdictions). The same is expected for much of the Euro zone. Even with these buyouts, the value of the GILTS (as the rates rise) have dropped 50% in the past year alone. Confidence in the Pound has plummeted and those holding short positions are profiting
The Korean Won, Japanese Yen have also both fallen versus the USD as the world capital flees to the haven of the USD. This will continue into the Winter 2022 as the rate hikes continue and so those shorting these have also been profiting. But the USD is also going to have its devalue turn, potentially after some black swan event – China/Taiwan war, more Convid, climate disaster – pick your poison
In the background, both China and Russia have been basing their wealth on gold, oil and uranium. Gold and silver prices are being suppressed (the paper-value as in ETFs) without any change in the physical supplies. This allows China to accumulate at relatively-low prices, and, these transactions are Yuan-based, not USD. I assume this is mainly to enrich Russia (the elites not the population) up to the level of China to allow it to take a stronger role in the multi-polar world. China already trialed its CBDC with moderate success, and now Russia will launch theirs.
The USD is being used as a weapon to pull all investment out of EU, S. Korea Japan, UK etc. as they chase the highest yields. The USD will also soon have its spike burst. There will need to be another Problem/Reaction/Solution which ‘they’ will provide. USD spikes, double-digit inflation (Problem), equity crash, housing crash, bankruptcies etc. (Reaction). Solution? ‘We can save some of the system but the old one is dead. Greedy capitalism caused it, but if you want these new CBDCs, they will save us all!’
The new CBDC systems, already tested to be compatible with SWIFT and other systems, can be launched as a savior to our dead old system. Since most will be in a panic over food and security, they will beg for this. The Convid panic that led to toilet-paper hoarding was just a small sample or dry-run for this. Years spent in the upper-layers of Maslow’s Hierarchy of needs for Westerners makes us easily-programmed for irrational behavior if/when someone threatens the two bottom layers. “Rationing” fuel to 30l per visit or toilet paper to one package per person is all us weaklings need to start fighting and panicking
As each major block creates its own set of crises and panic, the rollout and savior CBDC will be there for the solution. For the past 200 years, the uni-polar ‘winners’ have been Britain (and some European countries) then the USA (and all the Anglo-nations that rode their coat-tails of Empire). The emerging, multi-polar world will see a huge shift of wealth away from lower/middle income classes of the West to the elites of Eurasia. China already had this from 1980 till the 2000’s, and now Eurasia (Russia as the centre) is having its turn. This will allow for the CBDCs to be tied not to the almighty USD, but to some sort of basket of currencies and maybe gold. The main point is to ensure the lower/middle classes of the West are weakened and the Eurasian elites strengthened.
Throughout the 1990’s and 2000’s, as China grew wealthy from their transfer, they invested in the ‘smart cities’ approach (e.g. Shenzen and its ‘Special Economic Zone’ – SEZ). This lured masses from the rural areas and countryside into almost UBI-level jobs and dependency. It’s no fluke that they had the ‘health pass’ QR code control system (and social-credit system) fully-implemented there by 2016, which led to trials for their CBDC as well (credit to Iain Davis in his “MultiPolar world order” series here.)
Some feel that Putin’s language and actions seem to show that he is against the W.E.F. multipolar world plan. On the surface it may appear so, but the actions and monetary moves in the background show the opposite. Energy-rich Russia has been trading with energy-dependent China for some time, made easier in Chinese Yuan due to the Western sanctions. As Iain Davis points out, ‘punishing’ Russia by removing them from SWIFT and/or freezing their USD access only signals this emergence of a stronger Eurasian pole in the multipolar world – increased strength of a new BRIC basket of currencies with China and Russia leading:
‘Perhaps it is just a coincidence that both the pseudopandemic and the war in Ukraine have resulted in nation-states the world over committing to policies that precisely facilitate the transition to the multipolar world order. That both of these world-changing events just happen to “reshuffle the deck” exactly as desired by the global parasite class is certainly uncanny, if not downright unbelievable.’
https://iaindavis.com/multipolar-world-order-part-1/
It still comes down to time-frame and scale: how much of this do they aim to achieve and by which dates? It would seem moving Russia over to their CBDC would take another year or so, in to 2024 perhaps, whereas China is further along. I see a correction in North American stock and housing markets needing another year to play out (in to 2023), bigger than the 2008 “GFC”. And I still see the Western bloc moving to their CBDC out in to 2025 – perhaps the EU first – but more sovereign border ‘pain’ needs to be felt. Would the energy crises need to run another 2 years or would more war scares do the trick? For North America, the fall would need to start with the USD finally ending its superspike and crashing like other currencies are doing now. That may need an even bigger black swan than just an energy price crisis. Each Problem/Reaction/Solution requires regional fears and culture factored in – and I assume these are already devised.
For Winter 2022, we see more narrative ramp-ups. The fear narratives have only just begun with warnings of flu and ‘convid’ variants just waiting to overwhelm our systems yet again, unless you selfish people ‘do your part’ – the same appeal to childish threats that worked for the past 2.5 years. (‘Convid’ courtesy Iain Davis). Nuclear war, ‘Russian hacks’ on our banks and security, water shortages, fuel shortages, climate disasters – they all continue in the background.
Leaving on a light note. I did a quick confirmation that the Canadian bond scene is same as rest of world – crashing as rates rise. The generic bond fund from BlackRock for this is ticker symbol XBB. Just so happens to be the code name of one of the next ‘scariants-of-concern’.
I wonder if the dude pictured realizes his selfish attitude (maskless) among the obedient communitarians was captured and poised prominently just for this headline. Too cynical?