Posted originally on Aug 22, 2025 by Martin Armstrong |
California has been repelling capital through overregulation. The energy sector high-tailed out of the state in recent years under Governor Gavin Newsom’s net-zero policies. Now, even retailers feel forced to evacuate as California becomes increasingly anti-business.
Bed Bath & Beyond announced that it must close all retail stores within the state of California. “This decision isn’t about politics—it’s about reality,” company head Marcus Lemonis said in a social media post. “California has created one of the most overregulated, expensive, and risky environments for businesses in America. It’s a system that makes it harder to employ people, harder to keep doors open, and harder to deliver value to customers.”
Newsom’s office commented that Bed Bath & Beyond was already a dead business, failing to take any responsibility. To begin, California’s minimum wage continues to rise year after year at a pace unsustainable for businesses. Automation is replacing the human workforce, and some studies have shown that minimum wage workers in California are simply receiving fewer working hours as employers aim to cut costs.
Newsom believes he can continue spending and rescue the state from the debt through taxation. Fleeing businesses can’t pay taxes, and California forces both businesses and residents to pay some of the highest taxes in the nation. All corporations operating in the state must pay a flat corporate income tax rate of 8.84% on net income. Banks and financial institutions pay a bit more at 10.84%. There is an annual franchise tax of $800 for businesses as well. But wait—corporations are still beholden to the 21% federal corporate income tax, which means businesses are paying roughly 29.84% on corporate income taxes alone.
Payroll taxes in California are higher than the national average, largely due to social programs like State Disability Insurance (SDI) and the Employment Training Tax (ETT), which must be paid in addition to Unemployment Insurance (UI). There is a personal income tax withholding of up to 14.63% that employers must withhold from employees as well.
The state was forced to overturn its policy regarding shoplifting and burglary after criminals used the minimum $950 amount for petty theft to avoid felony charges. Countless businesses shuttered their brick-and-mortar locations as a direct result of light-on-crime policies.
Capital flees excessive regulation and it’s almost a no-brainer for corporations to move beyond state lines where operating costs are drastically lower.
Posted originally on Aug 22, 2025 by Martin Armstrong |
The most human of experiences has been automated as China unveiled a new AI robot that is capable of carrying a fetus to full term, replicating the entire pregnancy process from conception to birth. Kaiwa Technology in Guangzhou plans to release these robots in 2026 for $1,400, or a small fraction of what couples pay for surrogates. Has science gone to far in the quest to play God?
These “pregnancy robots” are vastly different from traditional incubators that are utilized for premature or at-risk newborns. The fetus develops within the robot’s artificial womb in synthetic amniotic fluid. Scientists have developed artificial placentas equipped with a tube system operated by AI, which can feed the baby oxygen and nutrients during gestation. Humans have never procreated through an artificial womb nor has a robot replicated the whole gestation process.
Surrogacy was deemed unethical, and the Chinese government banned the practice in 2001. The government prohibited the trade of ova, sperm, embryos, and other related reproductive items. If not outright banned, most nations have a complicated legal framework surrounding surrogacy and parental rights. The Chinese government believes gestational surrogacy exploits women in poverty, and the law recognizes the birthing mother as the legal mother. Still, repealing the one-child policy and infertility have caused a spike in interest.
Some believe this technology will be a breakthrough for couples suffering from infertility. Outside China, same-sex couples could also benefit from AI-driven surrogacy that costs a fraction of the price. Women may not be exploited for their wombs, but what about the babies born to non-human figures?
The mother-child relationship is the genesis of life and creation. The age-old debate of nature v nurture always concludes that both are essential. Scientists conducted a number of unethical studies during the last World War to see what would happen if a baby were deprived of nurture. Naturally, these studies could never be replicated again.
The Third Reich was keenly interested in eugenics and expanding the Aryan race. In 1935, Heinrich Himmler implemented selective breeding programs for “racially pure” women. Lebensborn homes were developed to discreetly provide unwed women the opportunity to procreate. The Christian society villainized unwed mothers, and so the program operated in secrecy. After birth, biological parents were forced to surrender all parental rights to the German government who assumed full parental guardianship. Thousands of children were born under this program that lasted nine years and expanded to all Nazi-occupied territories.
As a reportfrom the Ministry of Justice stated: “Leaders of the [League of German Girls have] intimated to their girls that they should bear illegitimate children; these leaders have pointed out that in view of the prevailing shortage of men, not every girl could expect to get a husband in future, and that the girls should at least fulfill their task as German women and donate a child to the Fuhrer.”
Newborns were deprived of maternal bonding and nurturing, a crucial factor that the Nazis failed to consider. “Racially and genetically valuable” babies experienced severe cognitive issues. Some of the children were placed in mental facilities for the remainder of their lives. Children showed signs of impaired memory, attentional deficits, emotional dysregulation, and delayed learning. Countless children experienced intense trauma regarding their true identities.
Obviously, there has never been a study to determine development within an artificial womb. Animal studies have shown that maternal hormones such as prolactin (PRL) are excreted during late pregnancy and activate neural brain circuits responsible for the biological nurturing response for both the mother and newborn. The biochemical communication between the mother and child determines fetal outcomes. Could an artificial placenta create the same experience?
Developmental issues are one major area for concern. Countless dystopian tales discuss what could happen if governments could control the population. The Nazis may have attempted to expand the Aryan race, but what could other governments do with this same power? Governments and globalist entities are constantly determining ways to control the population. The majority of developed nations are experiencing a severe decline in birth rates coupled with an aging population. The government could create a subset of humans to act as future soldiers, workers, or worse. Scientists need a human egg and sperm for these devices, and those born to robotic mothers would be humans. Bad actors could easily hide their misdeeds by pretending robot-born humans are AI. We may need to not only prove our identity but our actual existence as sentient homo sapiens in the future.
Japan experienced a contraction in exports for the first time in four years this July. Exports declined 2.6% on an annualized basis, falling beneath the median forecast of a 2.1% contraction, according to the Ministry of Finance.
As with Canada, tariffs have caused a downturn in the auto sector. Autos, auto parts, and steel saw the steepest decline since February 2021. “Car shipments to the US have started to decline in volume, suggesting that the impact of tariffs is finally starting to show,” said Taro Saito, head of economic research at NLI Research Institute. “In the US, prices of Japanese exports began rising around June or July, so we’re now seeing the effects of Japanese goods gradually losing their price competitiveness.”
Japanese exports to the US fell 10.1% in July YoY, with vehicles sharply falling by 28.4% and auto parts by 17.4%. Tariff discussions are ongoing, with some progress made in July. However, nothing has been set in stone, and the uncertainty is clearly reflected in trade.
The decline expanded beyond the US—tariffs are not the only culprit. Exports from Japan to China fell by 3.5%, with orders to Europe falling 3.4%. Demand is waning. Europe is experiencing a recession already, and China has boosted its manufacturing capacity to the point where it does not need to rely as strongly on exports. US tariffs are certainly playing a TEMPORARY role in world trade, but we must look at the macro trend rather than singling out a momentary policy adjustment.
Posted originally on Aug 21, 2025 by Martin Armstrong |
Congressman Matt Gaetz proposed a radical peacetime solution – allow Russia to join NATO. “Before you suggest I’m crazy for thinking about NATO and Russia as partners, the idea has been floated by foreign policy thinkers on the right and left for some time,” Gaetz added.
“In 1997, the Senate Foreign Relations Committee held a hearing on NATO expansion. President Clinton’s secretary of state, Madeleine Albright, reflected on groundbreaking cooperation between NATO and Russia.” The concept never came to fruition as NATO decided that encircling Russia was of paramount concern, and partnering with its greatest enemy was of no interest to the neocons who WANT war. “Michael McFaul was President Obama’s ambassador to Russia. In 2006, he wrote an article entitled, ‘Why a Democratic Russia Should Join NATO,’” Gaetz went on. “Again, this reinforces that NATO membership is an earned reward, not an entitlement, but why not give Russia a chance to earn it?”
McFaul’s piece on Russian NATO membership was published in July 2006. But you must read between the lines, as the ambassador was suggesting more than mere integration. “In Russia, they are represented by the corrupt bureaucracy and advocates of authoritarianism who believe that greater contact with the West restricts their power and diminishes their wealth. In the West, and especially in the United States, they are represented by policymakers and analysts who believe that Russians do not value democracy, Russian leaders are imperialists, and Russia therefore can never be considered part of the West,” McFaul wrote.
He continued to say that the West was not threatening to Russia, nor are “Russians genetically disposed towards autocracy nor historically destined to remain imperial.” Yet, under the leadership of Vladimir Putin, the West refuses to consider Russia a true democracy because it upholds nationalist views. Russia refuses to bend the knee to the globalist world order and, therefore, is considered an “unqualified member of the West.” A regime change would alter the West’s perspective, as the West has long sought control over Russia. McFaul suggested that European leaders should outline a framework for Russia to join the European Union to become fully integrated into the West “even if it takes chunks of centuries.” Again, Russian NATO membership is contingent on Russia becoming a Western globalist world order member.
Obama’s Russian ambassador then went on to state that Russia must establish closer relations with other globalist organizations such as the United Nations, the OSCE, and the Council of Europe. Furthermore, Russia was to support the United States in its war in the Middle East and establish a “regional security organization, not unlike the CSCE that the United States and the Soviet Union anchored when first formed in 1974.”
Russia would never agree to join NATO. The North Atlantic Treaty Organization (NATO) was founded in the aftermath of the last World War to counter Russian influence, despite Russia being an ally during wartime. NATO incorporated Eastern bloc countries of the former Soviet Union to weaken Russia’s global influence in a move that humiliated the Russian people. Even after the Cold War, NATO continued to encircle Russia and expand eastward to assert dominance.
Former Russian President Boris Yeltsin was cautious about NATO expansion but agreed to join the Partnership for Peace in 1994 to maintain diplomatic relations with the West. Yeltsin then signed on to the 1997 NATO-Russia Founding Act that stated Russia and NATO would not consider each other adversaries. NATO promised not to place nuclear weapons in new member states. Both sides agreed to increased transparency and cooperation. Every promise imploded in 2014 after the annexation of Crimea, the installation of a faux Ukrainian government, and the lie that was the Minsk agreement.
“Take care of Russia,” were Yeltsin’s final words to Putin before relinquishing power. Not only is Putin protecting Russia against foreign influence, but he is keeping the true hardliner oligarchs who wish to recreate the glory days of the USSR at bay. However, both the hardliners and NATO have been impatiently waiting for a misstep from Putin since he took office. Russia does not want to become a vassal state of the West. NATO was formed to combat Russia and now acts as a retirement home for neocons who want to see Russia destroyed before they take their final breaths.
Posted originally on Aug 21, 2025 by Martin Armstrong |
The contagion of war is spreading like wildfire. Venezuela has been feuding with the United States since 2019, when all communication came to a standstill. In recent weeks, the US placed a $50 million bounty on Venezuelan President Nicolás Maduro and has accused him of aiding the world’s top drug traffickers. The US has sent thousands of illegal Venezuelan migrants back to Venezuela despite pushback from the government. Tensions have boiled over after Trump visited with Putin.
Did Putin give Trump the green light to move in on Venezuela? Deep ties with Russia have protected Venezuela, but all alliances can come to an end with the proper incentives. On Monday, over four and a half MILLION Venezuelan troops were deployed after it was announced that US warships were circling Venezuela. “This week, I will activate a special plan with more than 4.5 million militiamen to ensure coverage of the entire national territory — militias that are prepared, activated and armed,” Maduro announced on state television. “The empire has gone mad and has renewed its threats to Venezuela’s peace and tranquility,” Maduro continued.
Maduro was indicted in 2020 during Trump’s first term under suspicion of narco-terrorism. The US placed a $15 million bounty on Maduro, which was later raised to $25 million under Biden but powerful people are protecting the Venezuelan president.
It is peculiar that the US acted within days of Trump’s discussion with Putin. The only obstacle for the US would have been Russia and the risk of starting yet another proxy war. China is also aligned with Venezuela, but the CCP has been outwardly neutral when it comes to foreign wars. China’s main concern is maintaining the One China policy and free trade. It is unlikely to move when it comes to Venezuela unless it directly impacts national interest.
The model had been targeting the week of August 18 as the beginning of heightened tensions and a turning point on the Panic Cycle. Not only did we see an unexpected meeting between Russian and American leaders, but the US began to encircle Venezuela, and Israel called up its reserve troops to continue its attack on Gaza. A nation would not ready 4.5 million troops if it did not suspect a potential attack. It is curious timing. Venezuela is an oil-rich country, and the US is keen to feed its own self-interests under Trump. Agreeing to abandon Venezuela could be a strategic move on Russia’s part to garner support from the largest member of NATO, which is at the head of peace talks.
Posted originally on Aug 21, 2025 by Martin Armstrong |
Canada is turning to Mexico for automobiles amid tariffs, with imports from Mexico surpassing those from the US for the first time in 30 years this June. Approximately C$1.08 billion in passenger vehicles were sent from Mexico to Canada compared to C$950 million from the US during that same time period, as noted by Statistics Canada.
All vehicle imports to Canada rose by 6.9% in June after two consecutive months of contraction. Imports of parts and engines, however, declined by 4.8% as motor vehicle production in Canada is beginning to wane. As for imports, Canada was the top purchaser of US vehicles in 2024.
Canada’s auto manufacturing industry is directly tied to the US as the majority of factories are producing American-owned brands such as Ford and General Motors. In fact, Canada was once the world’s top auto exporter. Auto exports from Canada fell 14% in 2024 on an annualized basis, although total vehicle sales were up 8.2% at 1.86 million units. The auto sector contributed C$16.5 billion to Canadian GDP in 2024 while generating C$46.5 billion in exports. The broader auto sector in Canada accounted for 4% of total GDP in 2024 at C$94 billion.
Roughly 603,500 Canadians are employed through the auto industry, with 130,000 workers specifically involved in manufacturing. Auto manufacturing was off to a strong start in 2025 due to pre-tariff panic spending and Canada, but sales have slowed in recent months with June’s data showing a 7.5% monthly decrease in annualized sales.
The demand for electric vehicles is also waning. Zero-emission vehicles (ZEV) sales fell 35.2% in June on a yearly basis, although ZEVs compose only 7.9% of all vehicle sales. Canada is upholding its net-zero mandate, requiring all new vehicle sales to be ZEV by 2035, but consumers do not want to make the switch yet.
The United States-Mexico-Canada Agreement (USMCA, also called CUSMA in Canada) exempts all autos that comply with the agreement from the 25% tariff. USMCA-compliant imports are levied only on their non-US components. Canada implemented a retaliatory 25% tariff on US autos and all of these levies are disrupting trade and increasing costs temporarily. Canada also implemented a $2 billion remission program to supplement Canadian automakers during these volatile times. Will Canada continue to purchase more from Mexico than the US or will this be a temporary adjustment amid the tariff games?
Posted originally on Aug 21, 2025 by Martin Armstrong |
COMMENT: Thank you for your support of the Ukrainian people. The Western Media claims that we support endless wars until the last Ukrainian falls. You speak the truth. We have lost so many people, and this is not for our future or our country. This is for what you call the Neocons. We appreciate your honesty and your experience with Ukraine.
Viktor
REPLY: Even Gallup has reported that the polls among the Ukrainian people support ending NATO’s war with Russia through negotiations, and reveal there is no fictional support for fighting until victory. I have passed this info on. Hopefully, this will force the pretend President Volodymyr Zelensky, who claims any territory allowing the Donbas to be free would violate Ukraine’s constitution, to yield. I do not believe you will EVER get peace in Ukraine until he is dragged out of office and put on trial for his treason against his own people. Zelensky has sacrificed Ukrainians all for NATO.
When I reported on January 4th, 2023, that 100,000 Ukrainians had been killed in the first few months, I got hate mail calling it Russian propaganda. Then Ursula made her speech, and she had the same information I did. Zelensky made her edit her speech and take that out, claiming it was classified. I have been warning for several months now that the Ukrainian losses reached 1.5 million. Those same sources now say we are approaching 2 million rapidly.
Posted originally on Aug 20, 2025 by Martin Armstrong |
China is leading the world in industrial robots or programmable machines that are pioneering fast and cost-effective manufacturing. China currently holds over 50% of the world market share in industrial robots capable of assembly, production line handling, service tasks, machine feeding, palletizing, packaging, and more. Automation is fueling Chinese manufacturing in every sector from automotives to electronics. The advancement of AI will soon provide China with a cutting-edge ability to usher in a new era of humanoid robots that will become a portion of the future workforce.
China installed around 290,000 new industrial robots in 2024, nearly twice as many as the European Union, the United States, and Japan combined. Around 86,000 industrial robots went onto the market across the EU last year, while Japan implemented 43,000 and the US around 34,000. The market share of industrial robots was expected to surpass 2.1 million in 2024, valued at around $9.4 billion USD.
Chinese manufacturers are bypassing rising labor costs and an aging workforce through the use of robots. Factories are scaling their operations to turn China into the world’s manufacturing base. China has the ability to produce these robots at one-third the cost of other nations as it produces 90% of the components required for AI industrial robots. However, China is heavily reliant on exports for the remaining 10% of key components. Foreign robot makers like FANUC, ABB, and Yaskawa have major production facilities in China, facilitating knowledge transfer to Chinese firms.
Will robots and AI replace human workers? They’ve already begun to do so. Some estimates believe that automation has replaced 1.7 million workers in China over the past 25 years. Around 80% to 90% of low-skilled labor that only requires simple or repetitive tasks has been assigned to robots. In auto manufacturing, for example, robots have been trained to perform 70% of assembly from welding to painting. Estimates believe that around 35.8% of China’s entire workforce will be automated by 2049, replacing 278 million Chinese workers.
These robots are advancing rapidly. They’ve proven effective in manufacturing, but with machine learning and language models, they’re beginning to seep into virtually every sector, including health care and education. The Chinese government has stated it plans to become a world leader in humanoid robots by 2027, inserting $138 billion into a state venture investment fund and providing private sector incentives for any company wishing to invest in the technology.
New robots are equipped with real-time sensor data and the ability to make decisions, collaborate with human workers, and perform multi-step advanced tasks. To train the AI robots, China has developed major human-robot hybrid training warehouses.
Focusing solely on the basic industrial robots, China has pioneered modern manufacturing. Cheap labor was once China’s stronghold over manufacturing, but now, the nation is relying more on trained technology than a human workforce. Creative destruction is happening at a rapid pace where the future workforce will be indistinguishable from what we see today.
Posted originally on Aug 20, 2025 by Martin Armstrong |
The American Academy of Pediatrics has been at odds with the Centers for Disease Control and Prevention ever since Robert F. Kennedy Jr. took over as the HHS secretary. Ignoring updated guidelines, the AAP has released its annual vaccination recommendations, which include vaccinating infants and children with the latest COVID-19 vaccine.
“It differs from recent recommendations of the Advisory Committee on Immunization Practices of the CDC, which was overhauled this year and replaced with individuals who have a history of spreading vaccine misinformation,” the AAP said in a news release. The AAP declared that all children from 23 months of age to 6 should receive the latest COVID-19 vaccine. They are also recommending a single dose of the mRNA vaccine for children aged 2 to 18.
The Advisory Committee on Immunization Practices (ACIP) changed its vaccine guidelines to prevent children from unnecessary exposure to the COVID-19 jab. As a result, the AAP declined to attend the ACIP’s annual meeting this June, with Dr. Sean O’Leary, chair of the AAP Committee on Infectious Diseases, declaring the ACIP “illegitimate” under Kennedy. This was a crucial meeting as insurance companies are only mandated to cover vaccines approved by ACIP.
“The American people deserve confidence that medical recommendations are based solely on science and public health,” HHS communications director Andrew Nixon wrote in a statement. “Instead, the AAP is undermining national immunization policymaking with baseless political attacks. Secretary Kennedy has stood firm in his commitment to science, transparency, and restoring public trust. By bypassing the CDC’s advisory process and freelancing its own recommendations, while smearing those who demand accountability, the AAP is putting commercial interests ahead of public health and politics above America’s children.”
Follow the money. In addition to membership fees, the AAP Foundation is backed by major pharmaceutical companies such as Johnson & Johnson, Genentech (a Roche Group member associated with the new WEF co-chairman), Eli Lilly, Pfizer, GlaxoSmithKline, Prolacta, Sanofi, and others. The AAP recommends the products of its donors, including Crest-Oral-B, Zimmer Biomet, Colgate Oral Pharmaceuticals, and others who have provided the organization with over $4.2 million in the past year.
Bill Gates can be found wherever there is an opportunity for vaccine lobbying. The Bill and Melinda Gates Foundation provided the AAP with millions of dollars in funding over the years. Of course, the organization will continue to support its sponsors. The AAP insists all funding is merely to support advocacy and education rather than policy manipulation. Yet, the pharmaceutical companies, including the very ones producing these vaccines, are directly funding the organization. It is a clear conflict of interest that people dismiss because the American Academy of Pediatrics was once regarded as an authoritative source for medical guidance.
It is essential to take note of the organizations that are opposing new guidelines based on updated research. HHS Secretary Robert F. Kennedy Jr. has been actively working to protect the health of the nation by reviewing what constitutes a “safe and effective” vaccine. He has banned a mercury preservative that held no health benefits. Kennedy ordered the discontinuation of 22 mRNA vaccines that pose more risks than benefits, eliminating $500 million worth of contracts. The CDC has even acknowledged that the COVID-19 vaccine poses unnecessary risks for children. Groups like the AAP act solely in their own self-interest, prioritizing their donors over patients every time.
Posted originally on Aug 20, 2025 by Martin Armstrong |
The headlines in Canada celebrate that inflation has fallen to 1.7% in July, but as in America, the people are not experiencing a notable downturn in prices. Politicians pat themselves on the back, claiming victory over inflation, yet the very reason CPI came down was because energy prices fell after the consumer carbon tax was suspended. This reflects a temporary change due to economic policy rather than a trend.
Take energy out of the mix and the real story becomes clear. Food prices continue to rise, up 2.8% from June, and that impacts every household. Every nation is experiencing a sharp uptick in food prices.
The real crisis, however, is in the labor market. Employment declined by 0.2% in July, meaning 41,000 Canadians lost their jobs. The official unemployment rate held steady at 6.9%, but the more telling figure is the employment rate, which fell to 60.7%. That reflects the true weakness beneath the surface.
Immigration policies have hurt Canadian youth. Unemployment among those aged 15 to 24 has surged to 14.6%, the highest level since September 2010. This is the lost generation Canada is creating with young people priced out of housing, burdened with debt, and now unable to secure employment. Historically, when youth unemployment spikes, we see social unrest and political upheaval follow. This is not simply an economic number but a warning sign of civil discontent that will only intensify.
Canada’s decline is systemic. The policies in Ottawa are driving investment out of the country. While they boast about “beating inflation,” the cost is economic stagnation and rising unemployment. We are watching the same cycle unfold in Canada that we’ve seen throughout Europe: governments destroying their own economies under the illusion that they can centrally plan prosperity.
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