Armstrong Economics Blog/Capital Flow Re-Posted Aug 2, 2021 by Martin Armstrong
Capital is flowing like never before. While governments are talking Great Reset and the IMF is pushing for abandoning paper money moving to a cryptocurrency in hopes that the next stage will be for the IMF version to replace the dollar as the reserve currency, the smart money is on the move. Everything from housing to collectibles has been soaring in prices. Local sources on real estate confirm that the majority of housing is being sold to out-of-state buyers moving to Florida, they are paying cash. Meanwhile, mortgage rates are declining because lenders would rather hold private loans than government bonds. Even the Fed is engaging in Reverse Repos because there is excess cash in the system that smart money is not interested in borrowing.
Governments are moving toward MMT because both Europe and Japan have wiped out their bond markets. Their central banks are buying the debt because they can’t really sell it anymore. What began as Quantitative Easing has become perpetual monetization and the end of government financing as we have known it.
Schwab’s World Economic Forum controls Europe and they have their tentacles deep into the Biden Administration. This infrastructure bill is insane, but worse still, unemployment is high when every place you look at has a sign out there that says help wanted.
The benefits for unemployment and the $300 bonus is maintaining the early stages of Guaranteed Basic Income. The real objective has been to end commuting so they can meet their goal of ZERO CO2.
With such a dramatic shift in the world economy, the greatest threat to everyone’s financial survival is the continued old-school analysis that is misinforming people of what is really the true global trend.