They never are. - A Game Of Thrones
This is how we win.
How far do we have to go back to find a time when the global agenda wasn’t set from Europe (and thus America)? A thousand years?
Japan’s murky entry into World War 2 was European-led opportunism. Vietnam, Korea… both theatres essentially defined by American imperialism.
And yet, I come back from a week’s holiday and the game of thrones is… well, it’s like watching Halley’s Comet. That’s the precedent I’m citing.
When I said last year that we’re gonna win, what it felt like to me was a withdrawal of etheric support for the dominant agenda; the expansionist, transatlantic, radical right, financial cabal’s agenda. Whatever being that was riding them is still out there, but its ingress into our world has been thwarted in some w… oh, screw it… this is exactly what I mean, more literally than I care to admit:
In whatever you wish to call the formative world that wizards access by proxy, once this support is withdrawn from there, power fades from here. Because that’s the thing about power:
Power resides where men believe it resides. It’s a trick, a shadow on the wall…
And the trick in this case was that the world ‘must’ run on the engine of the Anglo-American financial system, backed by the US dollar and preserved at the expense of everything else.
“The truth is always either terrible…or boring.” – Sansa Stark
Now, to have the Federal Reserve, a private bank, set policy to protect the banks that own the Federal Reserve is having the inmates run the asylum. And it looks like the rest of the world has realised it no longer needs this shadow on the wall. (See: Pope Frank.)
Sansa’s comment notwithstanding, it amazes me that wizards aren’t more interested in this. Never has watching the world burn been so excitingly 3D. Don the glasses and let’s go topic by topic.
Or you can just pray for that long summer. But you’ve already been warned about that.
I mentioned the German request to repatriate its gold in an earlier post to an absolutely tumbleweeds response. That’s fine. No one seriously thought the first world war would break out until it did, either.
So let me back up. In that murky, power-vacuumed era of the mid twentieth century, as part of the Bretton Woods agreement, western powers agreed to tie their currency exchange rates to the US dollar, which was backed by a gold standard, meaning each dollar was worth a guaranteed amount of gold. Countries such as Germany and France transferred some of their gold to New York and London to be held in the Fed and the Bank of England.
Nixon abandoned the gold standard, effectively tipping many these countries into using, in place of gold, the US dollar as their reserve currency. However, much of the gold remains in New York and London.
Now Germany wants it back.
Why? Because they’re correctly suspicious that the Fed is lying about the amount of gold it is holding. (If you say you have more, you can sell more.) By some alarmist estimates, the Fed may have leveraged its actual gold supplies by up to 100 times.
Let’s get Homer Simpson simple: If I buy some gold from, say, the Fed, I don’t actually pull up in downtown Manhattan and get them to fill up a sack with a dollar sign on it. However, I should be able to in theory. Because I have purchased a ‘ticket’ for a certain amount of gold. Now, if the Fed has sold more gold than it actually has, and everyone shows up with their tickets and some of that gold is actually Germany’s… well, you see the problem.
Adding to the Bundesbank’s anxiety is the Fed’s refusal to allow Germany to even see its own gold. Why would they do that if everything is fine?
Because it’s not fine. And the first ever audit of this private bank by the US treasury, an actual government department, to check if the gold was there was completely fraudulent. They didn’t even look at the fucking gold!
Please enjoy this video explanation of why otherwise-sound Bundesbank practices are replaced by the ludicrous flim-flamming techniques used by the Fed.
(Hint: the clue is in which organisation tells them to do it and why this might be. The people at the top there are the same as the ones at the top of central banks.)
Speaking of Nixon, remember how the world continued to use the US dollar as its reserve currency despite it being tied to nothing but confidence in the US dollar?
The highest growth markets in the world, the BRICs, are now starting to trade in their own currencies instead of the US dollar. (They’re also dumping euros at a great rate but who isn’t? It’s all part of the same Euro-American axis.) Most significantly, two of the world’s powerhouse economies, Brazil and China, have recently signed a currency swap agreement.
Next up, Australia is signing a direct currency deal with China. Abandoning the US dollar is a big deal for the first world’s most successful economy, with 21 consecutive years of economic growth, especially one that has been the US’s closest ally in the South Pacific for a century. (It will also have a bigger economy than Britain in the next few years.)
Why does this matter?
As the US dollar loses its global reserve status it’s going to be more difficult to finance its debt. The Fed prints one trillion extra dollars a year and no one is buying them. This is too much supply and too little demand. The price drops. In the short term, this dramatically pushes up US inflation as all imports and the cost of fuel spike due to the dollar’s reduced buying power. Interest rates bounce through the roof in a desperate attempt to attract international buyers… never mind the impact this has on mortgages. (Mortgages again. The clue should be in the ‘mort’.)
The events in Cyprus which took center stage last month were an admission by the ECB, the Fed and the IMF that there wasn’t enough QE available to bailout the banking system if the currencies in question – the U.S. dollar and the euro- were going to survive the debt deflation and knock-on effects from the derivative collapse that is occurring.
In order to finance part of this process depositors will pay part of the bill. There is a reason why deposit insurance is not unlimited and it is for moments in history just like this. That the Western monetary authorities thought it was a good idea to threaten insured depositors to scare them into circulating their money, thereby undoing more than 80 years of trust in government guarantees, should tell you something about the gravity of the situation.
Because it’s no secret that I love Americans, the chaos worshipper in me puckishly looks forward to the coming day when this cabal dares to attempt to rob an over-armed populace not historically known for its acquiescence to the diktats of a lofty elite. Cyprus is a holiday resort filled with retirees and olive farmers. Texas isn’t. I look forward even more to watching the Rockefeller Republican currently occupying the White House contort in his attempt to explain this robbery by his masters of his constituents. Remember the Irish journalist? It’s not going to go that well. It’s not even going to go as well as this classic smack down:
When you get to the stage where even the Rothschild’s ever-cryptic Sith minion, Alan Greenspan, is hinting at a post-Fed era, you know the doom of this particular archon is at hand:
“We have at this particular stage a fiat money which is essentially money printed by a government and it’s usually a central bank which is authorized to do so. Some mechanism has got to be in place that restricts the amount of money which is produced, either a gold standard or a currency board, because unless you do that all of history suggest that inflation will take hold with very deleterious effects on economic activity… There are numbers of us, myself included, who strongly believe that we did very well in the 1870 to 1914 period with an international gold standard.”
Because we don’t need a Fed. I would argue that we have never needed a Fed and its existence represents another Euro/Anglo-banking elite, archonological hijack of literally the entire world.
There is no real support for central banking. It is a relic of a central planning bygone age when justifications could be made about a tiny handful of men running the world on behalf of everyone else.
But the internet has allowed people to question this meme – and as there is no good answer, the questions have persisted and the skepticism has grown – along with central banking’s incompetence in solving a Great Recession for which they were evidently and obviously responsible. Eventually, I figure it will burst the confines of the internet and become a mainstream problem.
It is probably inevitable. And now a further instance of the gradual deflation of this dominant social theme has emerged: The most famous of them all Fed chairman, Alan Greenspan, is questioning not only the functioning of the Fed but its reason for existence. [More.]
What is the Fed’s response to the evaporation of confidence and interest in the US dollar?
They’re artificially pushing down the price of gold and silver (getting the banks that own them and buddies to ‘short’ both metals) to artificially keep the US dollar high. This from a former assistant secretary of the US treasury and associate editor of the Wall Street Journal had to say:
[T]he orchestrated move against gold and silver is to protect the exchange value of the US dollar. The Federal Reserve is creating one trillion new dollars per year, but the world is moving away from the use of the dollar for international payments and, thus, as a reserve currency.
The result is an increase in supply and a decrease in demand. That means a falling price. The orchestration against bullion cannot ultimately succeed. It is designed to gain time for the Federal Reserve to be able to continue financing the federal budget deficit by printing money and also to keep interest rates low and debt prices high in order to support the banks’ balance sheets.
The manipulation of the bullion market is illegal, but as government is doing it the law will not be enforced. It is an act of desperation. If bullion were not a threat, the government would not be attacking it.
The fact that the Federal Reserve is short selling bullion means that there is something desperate going on, and I assume it’s related to the US dollar. If the dollar drops sharply in exchange value the Fed can’t control the interest rate and the bond price and so all of the bubbles would blow up.
So that is what the situation is. They are desperate. They are having to drive down the obvious alternative to the dollar, which is gold, in order to affect the psychology of people throughout the world. [More.]
This is the only way it can end. With a political system entirely bought and paid for, the only way out is through the near-total failure of the private central bank sitting at the epicentre of this fiasco.
Let’s skip over the almost-failed states of Britain, France, Spain, Ireland, Italy and Greece and zero back in on Germany. In particular, the rise of euroskepticism in the personage of Bernd Lucke:
In coming months, though, the mild-mannered academic from Hamburg may prove a far greater threat to the future of the European project than many more strident Euro-sceptics.
The 50-year-old’s breakaway political party is the first to challenge the previously unassailable orthodoxy that Germany must stay in the eurozone. And his newly-formed movement, the Alternative For Germany, is hoping in general elections this September to tap into the 25 per cent of voters who say they could envisage Germany without the euro.
His party is a direct threat to the fragile coalition of Chancellor Angela Merkel, who has largely underwritten the eurozone’s future by shouldering the bulk of bail-out costs for southern Europe. But after successive bail-outs of the likes of Greece and Cyprus – and little in the way of gratitude from the recipients, who have branded the Germans as “Nazis” for insisting that their generosity is accompanied by economic reform – the patience of many Germans has run out. The eurozone is now promoting strife, not unity, says Mr Lucke – and so it is time to quit.
A minority party may not sound like much of a challenge to the orthodoxy but kiwis out there will know that this is precisely how MMP works. (You thought it was boring when I was talking about central banks? Now I’m talking about democratic models.) Inevitably, the largest minority party acts as ‘king maker’ by entering into a coalition with either of the two larger parties… extracting strong concessions as a condition of entry.
The concession in this case will be, at a minimum, a referendum on Germany’s future in the Eurozone. Because the permanent fix for the Eurozone’s crisis requires either southern Europe to shoot out the bottom or Germany to pop out the top. Only then can you provide a rational fiscal policy for all members.
And in terms of popping out the top, he may just be pushing on an open door. Remember how Germany wants its gold back? Why would they want their gold back?
In the increasingly likely scenario of a run on physical bullion, those who don’t get their gold back will be recompensed the way every other financial institution is recompensed when a private bank can’t pay its debts… with taxpayer money. So it’s not a question of the value of Bundesbank holdings that’s at risk. Why would they specifically want the physical gold back?
Because if you are going to launch a currency you back it up with gold reserves.
That’s it. That’s why they want it back and even if they don’t use it, it is the financial version of a nuclear deterrent. It is the ultimate leverage. Germany flips a switch and the rest of Europe is a basket case. (The Bundesbank’s terse climbdown that they ‘believe their gold is safe in New York and London’ is an indication that the wrong people got wind of the plan.)
What happens if they do?
- Germany continues to export to largely price-insensitive markets like China. It already exports more to China than it does to France, for fuck’s sake.
- A gold standard Deutsche Mark, having much higher value than the Euro, shrinks German banks’ exposure to the sovereign debt holdings of the remaining Eurozone countries.
- It buys more euro-debt and gets to play Europe the way China plays the US without any Greek newspapers depicting its leaders as Nazis. (Sidebar: pot calling the kettle what??)
- No more bail outs. Any money going from Germany to Greece and Italy is to buy luxury islands.
Checkmate, Brussels. So ends the ludicrous fiction of a one world government. The financial masters of the universe no longer lock step. Their gods have abandoned them.
“The gods have no mercy. That’s why they’re gods.” -Cersei Lannister
There’s a larger post in this series coming on this particular topic but I want to bring up just one piece of recent news:
While on his way from Durban in South Africa, where the BRICS… announced they were forming a new development bank to challenge the IMF and World Bank, Russia’s Vladimir Putin gave the go ahead for unscheduled war games in the Black Sea. By themselves the games mean little, but in a global context they mean a lot.
According to the Kremlin, the war games involved about 7,000 Russian servicemen; Russian Special Forces, Russian Marines, and airborne rapid deployment troops. All of Russia’s different services were involved and used the exercises to test their interoperability. Over thirty Russian warships based out of the Ukrainian port of Sevastopol in the Crimean Peninsula and the Russian port of Novorossiysk in Krasnodar Krai will be participating. The objective of the games are to show that Russia could mobilize for any event at a moments notice.
Is it mere coincidence that Russia is flexing its muscles after NATO revealed it was developing contingency plans for a Libya-style intervention in Syria on March 20? Two days later, Israel and Turkey ended their diplomatic row through a timely agreement that was supposedly brokered by US President Barack Obama in twenty minutes while he was visiting Israel. Israel’s Prime Minister Benjamin Netanyahu announced that with Obama’s help a deal was made with Turkey’s Prime Minister Recep Erdogan to end the diplomatic rift over the Israeli attack on the Mavi Marmara in 2010.
Days later, this event was followed by the Syrian National Coalition (SNC) — a phoney opposition organization constructed by the US, UK, France, Qatar, Saudi Arabia, and Turkey — being ceremoniously given Syria’s seat at the Arab League.
In a pleasing Cypriot twist, Russia’s only Mediterranean base is in Syrian territory. It did, of course, ask Cyprus for use of its ports as a condition of any financial assistance.
Again, we are seeing the evaporation of acquiescence to western imperialism. Whilst this won’t come to war, what it shows is that the MI6/CIA/’al qaeda’/Naziocon destabilisation of Syria will have to remain a spook and spook-funded-terrorist take down for the time being, despite what Obama says about chemical weapons. The latest chemical weapon assertion being entirely false:
North Korea – the pivot
Speaking of wars that probably won’t happen!
Look… North Korea has only ever had one card to play. Its ‘drop the bomb’ card. This gets really clunky when you try to use it to beg for money from foreign powers but you can only work with the tools you have.
North Korea is China’s Israel…. it is a once-useful puppet that has, to use Kissinger’s phrase about Israel, become “a geopolitical nightmare”. The pressure from China to modernise would have been extreme from the second that angry little fat kid squeezed himself into his dead dad’s poo-brown military pyjamas. (Worst. Uniform. Ever.)
China is now Africa’s largest trading partner. China, not the US, is becoming Iraq’s biggest oil customer. As it takes on its new global role, China can’t afford to be staunch allies with a deranged, penniless regime like North Korea.
It also very much does not want US troops permanently on its doorstep, which is the end result of any hypothetical military action initiated by North Korea.
So the plan is
- North Korea pretends to go to war.
- North Korea ‘extracts concessions from its cowardly enemies and also China’ in the form of money and investment.
- North Korea gets to save (fat) face.
China will be using the opportunity of international investment to extract strict policy change promises from North Korea that can be summed up as “you can have some money if you stop being a dick and pretend to be a real country”. However, this may (ie should) necessitate the complete removal of the ronery dynasty.
If the fat kid refuses to go then he may push the button. If that happens then, for the first time in a few decades, the west is entirely justified in leaving nothing but a stain where once the world’s most anachronistic despot used to watch his 1998 CRT television.
But, either way… this is the Pacific pivot.
This is the point that was always going to arrive where the game of thrones leaves Europe and the North Atlantic to fade away with its criminal bankers and leftover monarchs and arrives in the world’s biggest ocean. The outcome define’s China’s place at the big boy’s table and the US’s place in the Pacific.
What I said about Halley’s Comet…. you’re watching it.
A note about collapse
As so many of the Wanderers have forsaken the undersea realm for a conclave in the palace of the war god, let me bring one final thing up. Historically, there are two things we know about collapse and both of them should give us some comfort.
Firstly, when the money dries up, like it did with the British and Roman empires… the collapse is a lot faster than expected.
Secondly, even in the worst cases of imperial collapse, such as the Roman evacuation of Britain or the early days of Egypt’s Middle Kingdom, things aren’t actually all that bad. Archaeological evidence shows that the people more or less muddled on with their lives.
So it sure looks like it’s coming soon but when it gets here it won’t be that bad.
In no way are we facing an intermediate period that looks like Cormac McCarthy’s The Road (however much I would like to eat tinned peaches and shower with Viggo Mortensen). These are just orcs. Whatever happens, don’t forget we’ve already won.
Until then, returning to the opening quote about prayers, like Buffy said to the vanishing girl, have a nice summer.