Are we heading towards financial Armageddon?

[Qba]

According to James Rickards, a renowned economist who has worked for more than 30 years on Wall Street, the financial crisis is coming again. However, this in 2008 was nothing compared to what will come.

http://www.moneynews.com/headline/james-rickards-dennis-neale-financial-crisis-economy/2014/05/20/id/572264/

[Matt P]

What these guys are always talking about is a corporate collapse. Or think about it this way.....we look around and see the Frankenstein monster that our economic system has become. This system, based on dirty and outdated energies and industries, is destroying this planet's ability to sustain our lives. So, in order for us to get this planet back on track, the old system MUST collapse. So, to this news I say, "Bring it On, Baby!!" The faster we can let it fail, the faster we can move on to something that actually works. So, I've got my popcorn and a couple cold brews and I'll be looking forward to watching the collapse (or better, the reset).
Oh, and remember, the backbone of this country is NOT the corporate structure, it's small independent businesses and individuals. You won't hear this on the corporate "news" but small businesses and individuals make up 90-95% of the US economy. I welcome a corporate collapse that reinvigorates and re-empowers all of us little guys.

Matt

[Qba]

I agree, the only question is if we'll be able to learn the lesson and not repeat the same mistakes.

[spiritguide]

Be afraid, be very afraid, the collapse may force people to work together for a change for the good of all. IMHO

[aheb]

We didn't learn anything from the collapse of 2008 so why should we learn anything from the next one? If you follow finance and watch business people on utube media you would know that this has been talked about for quite some time, after 2008 nothing was put right, the banks were bailed out and allowed to continue pretty much as before, only this time they are even bigger and the amount they have in derivatives is even greater. The only thing that has changed is that there will not be "Bail outs" anymore there will be" bail ins " this has already been agreed in the US and UK and much of europe, so instead of the taxpayers money being used to support the banks it will be the depositors accounts, they will rob your savings.....and of course before this they will take your pension, your social security benefits etc.
Remember Quantative easing and zero rate interest rates are not there to help the people, they are there to help the banks. There are some good people out there I listen to quite a few here's one who makes a lot of predictions
https://www.youtube.com/watch?v=OAzbxFQ30Ss

It is amazing how many people are trapped in the left right paradigm and totally brainwashed, I have lost count of the people who think I am a nutter ( friends and family included) because they cannot see out of the box.

[ghostrider]

A large corporation runs themselves bankrupt and the money taken from citizens for government operations is given to corporations to sustain their criminal acts ... Bailouts simply mean to corrupt to be held to the law ... The cycle repeats... They should not call us taxpayers, they take it, we have no choice ...

[gripreaper]

A large corporation runs themselves bankrupt and the money taken from citizens for government operations is given to corporations to sustain their criminal acts ... Bailouts simply mean to corrupt to be held to the law ... The cycle repeats... They should not call us taxpayers, they take it, we have no choice ...

Too big to fail has other implications as well. If a corporation, or anyone for that matter, is forced into bankruptcy, then the debt instruments which are in circulation and the usury supported by this corporation, are now discharged and removed from commerce, the money supply shrinks and affects all of us adversely.

So, imagine one of the top 5 banks on Wall Street, with trillions out there piled on top of itself in layers, leveraged and insured in every possible way, teetering on the precipice of an adverse 2% move in the usury either direction, failing? What happens if all of a sudden 10 trillion dollars disappears from circulation?

Yes, they are too big to fail and that is why we are shoveling 80 billion a month down this rat hole to keep them afloat, through a stupid misnomer called "Quantitative Easing". The government cannot ease anything, either quantitatively or qualitatively. That is all a ruse.

The system functions by increasing debt exponentially until everyone is leveraged to the friggin hilt. Then, when no one can afford to borrow and support the usury, it begins to feed on itself and any negotiable debt instruments parked on the sidelines are forced back into service, and all asset classes get taken down until the system is drained of per capita capital.

The New Deal safety net put in place by Roosevelt, will not be able to stem the tide once the inertia of the deflation takes hold. They will print till the cows come home to try and stop it, and they will defend the dollar tooth and nail on the way down. The Military Industrial Complex will need to be stimulated somehow. War and drugs, war and drugs.

This is why I think it will be a slow burn over the next decade, and not a collapse, barring any outliers that could trigger a quick overnight collapse. The inertia to keep it going will come out of all of our savings, all of our equity, and all of our precious metals, till that is all gone.

[aheb]

I don't disagree with you, but we only tend to look at the West and the biggest players in this are China and Russia. America has the world reserve currencey status for now, but only if the Chinese and Russians play ball.

[mpod001]

The famous "Problem, Reaction, Solution" springs to mind with all of this. They want the world economy to collapse in order to usher in the control they desire. It is all orchestrated...just be prepared for the collapse and don't fall into their sinister trap! In other words, have everything you need no matter where you live in the world. Most importantly, learn to grow a garden!

[bearcow]

Im an active trader and signs are starting to show the beginnings of a credit bubble that will most likely pop in 2-3 years. However i feel the equities markets will be on a tepid bull run for at least another year and a half. The Housing market is not exactly cheap but is definitely not overbought in a technical sense. If we get another perfect storm like we had in 2008 when these 2 factors peak at the same time, the market could crash 50%. The market makers can put systemic pressure on the financial system whenever they want but there is still a x-factor in the market as a whole that keeps even the biggest players from having perfect timing regarding a collapse. The flash crash in 2010 was a function of high frequency trading bots trading based on technical algorithms rather than any real financial movement. The crash was caused by systemic selling momentum hitting critical mass, and fixed later in the day by systemic buying momentum. The machines have more control over the market on a day to day basis than the elite do.

[heather6thsense]

I agree with Mpod001 make a garden and learn to grow your own food. The current financial situation is not sustainable. I would love to see people getting off the grid. Hopefully the collapse of the old draconian system will encourage everyone to work together for the greater good of all.

[aheb]

It is very hard to predict what will happen, because everything is so totally manipulated.I am going to start trading shortly because I agree with what you say, but I do believe that when things turn bad that it will happen very,very quickly . timing is the thing ,and in these times it is just so hard

[jerry]

NO DOUBT and there's nothing to fear but fear itself ... The collapse will cause a lot of chaos but I think after the smoke settles and the people finally awaken we may have a chance at real change and not the kind Obama has handed us