For Which It Stood
The Election Doesn’t Matter. Food matters, water matters, your personal stores of consumables matter.
But, the Election? If you even care about it today, you don’t understand we could be in for weeks of conflict. What you should be worried about is what “comes out the other end” of that process.
In a word? Depression.
A few old man remarks on the Fall of America, if I may?
This is by far the worst election in 3/4th’s of a Century. When I was born, Truman was president. He was followed by Dwight Eisenhower and things went down hill from there.
While Kennedy got himself killed (we think by crossing the wrong Powers) the ‘lone gunman’ story doesn’t past the smell test. It’s in the same league with “Pull it” and WTC-7 falling in an oh-too convenient a manner. Point is, Americans are – in my view – lied to on a regular basis and they don’t seem to care.
Tomorrow “Stupidity Culminates.” We may transition from being a “democratic republic” to full-on “Digital Mob.” Both parties – and the arrival of mass media’s sell-out to corporate empires – is to blame.
We’ve been sorrowfully right too many times this year on socio-economic matters and on coronavirus, too, if you’re keeping count.
- Someone told you coronavirus would keep growing.
- Same fool has been right about acquiring Clorox and toilet paper.
- Worst of all, he doesn’t think this is Wave 2 – yet. End of winter – sometime in 2021 for that to end.
This rips into the economy:
- We told you the crooked political parties would never come together for a stimulus before the election. (Hated being right on that one.)
- Now I regret to inform you that regardless of the outcome tomorrow – which won’t be confirmed for weeks and maybe months – that another round of stimulus is extremely unlikely until at least late January.
Scorched Earth Politics
The basis of this last point is simple when viewed from the chess play level.
What is Donald Trump’s incentive to hand out money to people who didn’t support him should he lose? Frankly, I don’t see one. Sitting in the Oval, I’d look at unsupportive digital uprising liars and prevaricators (Adam Schiff comes to mind) and light an economic fuse. I could see Trump thinking “Screw these people – they want Mob Rule they can have it…”
We are suspicious that democrats will win. In boxing could not be called a “Clean fight.” Absolutely not. Biden’s now got the patina of crime family, thanks to the antics of son Hunter. But TDS – spread by the commie supporting (and white shaming and ‘losers are really winners”) social media – has turned this into a referendum on Trump. Not a steely-eyed appraisal of policies. Biden only has one, near as we can figure. Send some up to pops.
Notwithstanding, until January, democrats don’t have a prayer of getting a lame duck Trump to sign anything beneficial. What’s more, if the Senate flips, nothing will get through there, either. Until at least January. A little “scorched earth” goes a long ways.
A friend of mine – economic prof – sent out notes to a few colleagues this weekend reminding us of the “sage guidance of the century:”
“Print the money or trigger the revolution – Liaquat Ahamed”
Trump has no incentive to print after tomorrow. Let the lawlessness begin. We have a lot of “catching down” to do in order to equal the lefty’s goal of America as Venezuela II.
Oh…and if the name Liaquat Ahamed isn’t familiar?
We’re Going to Fix That
Liaquat Ahamed wrote a prescient book “Lords of Finance: The Bankers Who Broke the World.” The Wikipedia entry for this gem says, in part:
“Lords of Finance: The Bankers Who Broke the World is a nonfiction book by Liaquat Ahamed about events leading up to and culminating in the Great Depression as told through the personal histories of the heads of the Central Banks of the world’s four major economies at the time: Benjamin Strong Jr. of the New York Federal Reserve, Montagu Norman of the Bank of England, Émile Moreau of the Banque de France, and Hjalmar Schacht of the Reichsbank. The text was published on January 22, 2009 by Penguin Press. The book was generally well received by critics and won the 2010 Pulitzer Prize for History. Because the book was published during the midst of the financial crisis of 2007–2010, the book subject matter was seen as very relevant to current financial events. “
His book is only $10-bucks on Kindle. If you haven’t read other chronicles of how economic collapse comes about, you need to read it. In a very odd way, Depressions are logical things. They follow a “logic” that leads to horrible consequences, but it’s “logical” within bound.
In this Great Turning, NYC loses economic superiority to Hong Kong and Asia. As American took title from the City of London in the Great Depression. Power moves West – for reasons that no one’s really sure of.
Why Read it NOW?
Because – simply – Depression is likely in 2021 and on. Regardless of “winner” in the aftermess of tomorrow.
Most people drank the Kool-Aid and believed that the March lows of this year would be “IT” for a while. But, one of the charts on the Peoplenomics subscriber side I don’t share often publicly, reveals just how close the line-up between present day and the post-crash period of 1929 was. From the Crash in October ’29 through today, things line up remarkably well.
IF, that is, you take Fed Money Printing into account.
In the following chart, I line up the 1929 era day-by-day and lay it against our Aggregate Index. The Fed has made up 35% more money since the March Lowers this year. The results are instructive to say the least:
In our work, Ahamed’s contexts are instructive. This “papering over collapse” eventually ends. Which is why stare for hours at those two green “trading boxes” as future history unfolds.
With Dow futures up this morning, we are drawn like moths to a flame: Today? A spectacular “relief Rally” is likely. But in the end, unless Trump defeats an overwhelming mob, we will likely stumble along the tracks into the Second Great Depression.
If he wins, the coup leaders will take it to the streets and martial law may be used to put down what will essentially be a communist revolution by stupid local proxies.
Prepaid taxes, seeds, fuel, winter clothing, good walking shoes, a water source in winter? You really care about these?
With another nod toward our “Barbarians at the Mall” report of several years ago, it’s all coming to pass. America’s malls under pressure: CBL, Pennsylvania REIT, file for bankruptcy.
Or, instead, find more forward thinking mirroring ours in Brace yourselves for the coming days.
Not much in the way of actual financial news, but once the election is over, the Fed is meeting Wednesday, ADP job numbers come out, as well. And then Friday we’ll get the Federal job report.
For now, time to put on the feed bag and await whatever. Quality time with people you love and who love you back – that’s the wealth to acquire.
Write when you get rich,