Thoughts From Backdoc at KTFA: "Currency Wars" - 12/12/2014

[ronscarpa]

backdoc » December 12th, 2014, 4:35 pm  - JMHO……..

"CURRENCY WARS"

WOW! BY NOW YOU ALL AGREE WITH MY FORECAST OF OIL RE-PRICING TO THE STRONG AND RISING DOLLAR!

NOT ONLY WAS I RIGHT ON THIS YOU ARE ACTUALLY HEARING IT SAID OPENLY NOW ON CNBC THAT THIS DROP IN OIL IS A CURRENCY WAR!

YES THAT’S RIGHT AS I HAVE TOLD YOU OIL IS A CURRENCY!

SO LET’S HAVE A CONVERSATION OF WHAT THIS MEANS? WHO WINS? AND WHY?

LETS’ START WITH THE WHY!
....

 

MMMM OIL AFFECTS ALMOST EVERY ASPECT OF OUR WORLD ECONOMIES. OIL DERIVATIVES ARE USED IN ENERGY, AGRICULTURE, CLOTHING, CHEMICALS, ECT..

AS WE ALL HAVE BEEN WATCHING WORLD EVENTS WE HAVE SEEN SEVERAL MAJOR ISSUES CURRENTLY BEING DEBATED. MOST PRESSING IN MY MIND IS THE U.S. BUDGET!

THIS SPENDING BILL IS UNDER PRESSURE FROM THE BIG BANKS TO DROP THE DODD-FRANK LEGISLATION THAT WILL FORCE THEM TO UNWIND ALL DERIVATIVE TRADES OTHER THAN GENERAL HEDGING TO PROTECT AN ASSET!!

THIS IS BEYOND HUGE!

THEY WANT TO BE ABLE TO SPECULATE AND TO BE ABLE TO RISK THE BANKS MONEY! AND THEY WANT THE U.S. TAX PAYER TO BAIL THEM OUT IF THEY FAIL!! RIGHT NOW THIS LOOKS TO BE PASSED!!

UNDERSTAND WHAT THIS MEANS BECAUSE THIS MAY BE THE BIGGEST POINT I WILL MAKE HERE!

THIS MEANS THE TRILLIONS OF DERIVATIVE DEBT THE BANKS ARE NOW HOLDING WOULD BECOME THE DEBT OF THE US TAX PAYER, YOU AND ME!!

THE NUMBERS ARE SO HUGE THAT THE GOVT. WOULD NEED TO RAISE TAXES,STEAL PENSIONS AND WHATEVER ELSE TO PAY OFF THIS UNFUNDED LIABILITY!!

THESE BANKS COULD EASILY GO DOWN IN THE COMING WEEKS OR MONTHS WITH THE CURRENT DEFLATION CRISIS THAT IS JUST BEGINNING TO SEE UNFOLD!

AS YOU SEE THE FEDERAL RESERVE CONTROLLED EMPIRE IS WHO WINS AND NOT THE PEOPLE!!

WHAT EVER HAPPENED TO A "GOVERNMENT OF THE PEOPLE, BY THE PEOPLE, AND FOR THE PEOPLE” AS LINCOLN SO ELOQUENTLY STATED?

NOW ON TO WHAT THIS MEANS!

WITH THE CURRENCY BLACK GOLD IN FREE FALL,A STATE OF OVER SUPPLY, DECREASING DEMAND AS STATED ON ALL FINANCIAL NEWS CHANNELS.

AT LEAST 8 EUROPEAN COUNTRIES IN DEFLATION, JAPANS ECONOMY STALLED AND DEBASING IT’S CURRENCY (MONEY PRINTING) TO KEEP FROM FALLING INTO DEPRESSION, GREECE BEGINNING TO MELT DOWN FINANCIALLY DUE TO A STOCK MARKET DOWN 29% IN 3 DAYS AND A BOND MARKET WITH AN INVERTED YIELD CURVE READY TO IMPLODE, THE ECB CONTEMPLATING QE (MONEY PRINTING) AS WELL.

THE GREAT DEFLATION MAY HAVE BEGUN!!!!

CENTRAL BANKS MODELS DON’T WORK ON DEFLATION!!

THE BANKS ALWAYS WANT SOME INFLATION OTHERWISE THEIR MODELS DON’T WORK! LIKE IN GREECE! THE 3 YEAR BOND WAS SELLING FOR ALMOST THE SAME PRICE AS THE 10 YEAR BOND, THUS AN INVERTED YIELD CURVE! THIS IS REALLY BAD NEWS!!

I’M NOT A PESSIMIST OR I WOULDN’T HAVE INVESTED WELL IN THE DINAR AND THE DONG BUT I DON’T WANT US TO RECEIVE THIS BLESSING ONLY TO LOSE IT FROM BANKS THAT FAIL OR A GOVT. THAT WANTS IT BECAUSE IT IS BAILING OUT 4 BIG BANKS THAT SHOULD HAVE FAILED IN THE LAST CRISIS!

THIS BLESSING NEEDS TO BE USED BY GOOD PEOPLE AND FOR KINGDOM PURPOSES THEREFORE WE WILL STUDY CAREFULLY OUR OPTIONS AS WE SEE WHAT UNFOLDS AS THE NEW YEAR COMES TO US!

I AM NOT OF THE OPINION THAT IRAQ HAS BEEN DELAYING THINGS BUT THE NEW YEAR MAY BE SIGNIFICANT FROM AN ACCOUNTING SCENARIO!

LET’S WATCH TO SEE WHAT BUDGET BILL GETS PASSED TO FUND THE U.S. GOVT. BECAUSE I BELIEVE THAT IS THE MOST IMPORTANT NEWS AT HAND!

ONCE WE KNOW WHERE THE CHIPS LIE, WE CAN THEN MAKE OUR MOVE BASED ON HOW THOSE CHIPS AFFECT US!

IF THE U.S. TAX PAYER HAS TO BAIL OUT THE BIG BANKS THE U.S. GOVT. WILL BE DEVASTATED AND WE WILL NEED AN EXIT STRATEGY IF I’M RIGHT!!

WE NEED TO PRAY HARD ABOUT THAT FOR SURE!

WITH WHAT I HAVE BEEN SHARING WITH YOU FOR SOME TIME NOW IS COMING TO PASS! GOLD WILL CONTINUE LOWER SOON AS BLACK GOLD CONTINUES TO FALL.

HAVE SOME EXTRA THINGS ON HAND GOING INTO END YEAR AS A PRECAUTION AS WE HAVE NO IDEA WHEN OR HOW THE TRIGGER MECHANISM WILL COME BUT WITH THE PRESIDENTS RACIAL AGENDA AND THE INCREASED TENSION CAUSED BY HIM AND THE ATTORNEY GENERAL, HOW CONVENIENT IT MIGHT BE IF A FINANCIAL CRISIS GETS OUT OF HAND!

I DON’T SAY THESE THINGS TO SCARE ANYONE BUT ONLY TO BE CAUTIOUS AND PROTECT MY DINAR FAMILY!

MAYBE THIS WILL ALL SETTLE OUT SOMEHOW BUT IT DOESN’T SEEM THAT WAY. I BELIEVE WE ARE SEEING A WAR RIGHT BEFORE OUR EYES, A WAR ON WHICH CURRENCIES WILL BE TOP DOG!!

AS YOU ALL HAVE READ THE BRIC NATIONS ARE TRYING TO SPREAD THEIR WINGS AND BY PASS THE WORLD BANK! THE BAKERS DOZEN DOESN’T LIKE COMPETITION.

THE EXTRACTION COST ON OIL FOR RUSSIA IS VERY HIGH. I HAVE SEEN AS HIGH AS 97.00/BARREL. ARGENTINA,VENEZUELA,AND BRAZIL ALL HAVE SIMILAR COSTS! SO YOU SEE THE WB IS PLAYING HARD BALL AND CRUSHING THESE ECONOMIES!

NOW, ONCE THEY COLLAPSE WHO WILL BE THERE TO PICK UP THE PIECES? THE IMF THROGH SDR LOANS! MMMMM

IS THAT THE GOAL? TO PUT THE BRICS OUT OF BUSINESS? OR IS THIS MORE AIMED AT RUSSIA? OR ANOTHER POINT, IS IT AIMED AT GAINING MARKET SHARE FOR IRAQ AND THE US WHILE CRUSHING THE COMPETITION?

EITHER ONE OF THESE QUESTIONS LEADS TO ONE CONCLUSION AS I SEE IT !! CONTRACTING DEMAND STARTING WITH OIL THEN SPREADING TO OTHER SECTORS OF THE ECONOMIES OF THE WORLD!!AGAIN I WILL STATE, GOLD WILL FIND A LOWER LEVEL AND BY ALL MEANS THE STOCK MARKET WILL HAVE TO RE-PRICE LOWER BY 30% TO 50% BASED ON THE CURRENT DATA!

WHEN? ANY TIME BETWEEN NOW AND THE TIME THE FED STARTS RAISING INTERESTS RATES!!!

WHEN RATES RISE COUNTRIES AND BUSINESSES WILL BE TRYING TO FIND A WAY TO MAKE INTEREST PAYMENTS ON RISING DEBT AND RISING PAYMENTS!!!

HOW DO YOU RAISE TAXES ON FOLKS WHO CAN’T PAY?

WITH SALES DROPPING AND INTEREST RISING IT BECOMES MORE DIFFICULT FOR BUSINESSES TO MEET THOSE OBLIGATIONS ESPECIALLY IF THEY BORROWED A LOT WHEN RATES WERE CHEAP AND NOW THERE NOT!! COMPANIES WILL BE IN JEOPARDY!

HAVE A NICE WEEKEND AND PAY ATTENTION TO WHAT HAPPENS WITH THE U.S. BUDGET, THAT IS OUR MOST IMPORTANT CONCERN FOR THE MOMENT!! THE QUESTION IS WHO PAYS?

I VOTE FOR: "GOVERNMENT OF THE PEOPLE, BY THE PEOPLE, AND FOR THE PEOPLE”

I ALWAYS LIKE TO PREPARE FOR THE WORST AND HOPE FOR THE BEST WITH A GOOD ATTITUDE!!

BLESSINGS, DOC  - JMHO

[EagleEye]

wow Ron....deep stuff...

[truthis]

Gent had the  Bill posted yesterday its not good

[ReinMan]

Thing is about the oil dropping so drastically, is that this is OUR REVENGE AGAINST SAUDI ARABIA, 40 years later.

Remember the oil embargo? Odd/even license plates? Gas lines? High prices?

 

We all screamed..... 

 

"One of these days no one will want your oil, prices will plummet and YOU will be caught holding the bag!!!"

 

 

WELL NOW WE HAVE IT!!! 

I AM SO HAPPY!!!

 

The problem is, with falling gas prices, manufacturers will go back to making hulking gas-guzzlers and we'll be no better off.

THIS is where we trap ourselves. We need to KEEP ON making gas efficient cars so we spend EVEN LESS on our cars, and as a result spending will go to OTHER parts of the economy, thereby BOOSTING THE ECONOMY!

 

..... and leave Saudi Arabia holding the bag.

 

 

 

What about the dinar and Iraqi oil?

If Iraq REALLY WANTS TO, they'll raise the value to SOMETHING near a dollar and this can play to the oil prices just fine to suit the budget.

 

But sadly, they DO NOT want to raise the value right now or they would already have done so sometime these last few months.

 

The latest guru excuse COULD BE that Iraq doesn't want to do it right now because oil is too low and we have to wait til it gets to $90 again because Iraq wants MAXIMUM MONEY. 

 

So wait for it....    wait fooorrrrrrr iiiiiiiiiiit...............

Edited December 13, 2014 by ReinMan

[Nadita]

I like Backdoc.. he makes sense to me   The way I see it the bottom is about to fall out.. either we have financial collapse or global crisis.  Greece is already in the 2nd round of its demise.  Finally, some people in the WH are waking up with folgers in their hands.. oh .. shoot.. the train is heading for a wreck, can we divert it...? there were 6 banks fined two months ago because of currency insider trading... hmmm.. DOJ decided to fine them and settled out of court instead of going to court.. I wonder why??? and now Citi and BOA are ordered to put their losses into the Q4.  The #1 bank is Wells Fargo.. and WF is going for a one stop bank.... you can do checking, savings, wealth management, HOI, car insurance, auto loans, etc.  I know from business, WF is always good with their paperwork.  I used to hate them for making people jump through the hoops to get a loan.  The bottom line, everyone needs the money.  RV will help US government because they have tons of dinar to dig themselves out of the holes plus taxes coming from us... we will be good sitting for a few more years till the money runs out.  Hopefully we have time to prepare and like Backdoc says.. see where the chips fall and we can plan accordingly

 

Thing is about the oil dropping so drastically, is that this is OUR REVENGE AGAINST SAUDI ARABIA, 40 years later.

Remember the oil embargo? Odd/even license plates? Gas lines? High prices?

 

We all screamed..... 

 

"One of these days no one will want your oil, prices will plummet and YOU will be caught holding the bag!!!"

 

 

WELL NOW WE HAVE IT!!! 

I AM SO HAPPY!!!

 

The problem is, with falling gas prices, manufacturers will go back to making hulking gas-guzzlers and we'll be no better off.

THIS is where we trap ourselves. We need to KEEP ON making gas efficient cars so we spend EVEN LESS on our cars, and as a result spending will go to OTHER parts of the economy, thereby BOOSTING THE ECONOMY!

 

..... and leave Saudi Arabia holding the bag.

 

 

 

What about the dinar and Iraqi oil?

If Iraq REALLY WANTS TO, they'll raise the value to SOMETHING near a dollar and this can play to the oil prices just fine to suit the budget.

 

But sadly, they DO NOT want to raise the value right now or they would already have done so sometime these last few months.

 

The latest guru excuse COULD BE that Iraq doesn't want to do it right now because oil is too low and we have to wait til it gets to $90 again because Iraq wants MAXIMUM MONEY. 

 

So wait for it....    wait fooorrrrrrr iiiiiiiiiiit...............

 

Rein

 

We can only speculate but the truth is we are all waiting for the magician to pull something out of the hat  we don't know what they discuss in their closed door meetings

Edited December 13, 2014 by Nadita

[skeetdog]

Thanks Ron....Good thought process...''High Stakes''...

[bigwave]

Thing is about the oil dropping so drastically, is that this is OUR REVENGE AGAINST SAUDI ARABIA, 40 years later.

Remember the oil embargo? Odd/even license plates? Gas lines? High prices?

 

We all screamed..... 

 

"One of these days no one will want your oil, prices will plummet and YOU will be caught holding the bag!!!"

 

 

WELL NOW WE HAVE IT!!! 

I AM SO HAPPY!!!

 

The problem is, with falling gas prices, manufacturers will go back to making hulking gas-guzzlers and we'll be no better off.

THIS is where we trap ourselves. We need to KEEP ON making gas efficient cars so we spend EVEN LESS on our cars, and as a result spending will go to OTHER parts of the economy, thereby BOOSTING THE ECONOMY!

 

..... and leave Saudi Arabia holding the bag.

 

 

 

What about the dinar and Iraqi oil?

If Iraq REALLY WANTS TO, they'll raise the value to SOMETHING near a dollar and this can play to the oil prices just fine to suit the budget.

 

But sadly, they DO NOT want to raise the value right now or they would already have done so sometime these last few months.

 

The latest guru excuse COULD BE that Iraq doesn't want to do it right now because oil is too low and we have to wait til it gets to $90 again because Iraq wants MAXIMUM MONEY. 

 

So wait for it....    wait fooorrrrrrr iiiiiiiiiiit...............

 

ReinMan - They keep on keeping on....

 

 

 

 

 

Edited December 14, 2014 by bigwave

[sandfly]

THANKS