Tag Archives: Islamic Republic

Jun 6 2016

ECB Begins Buying Corporate Bonds


Armstrong Economics Blog

Re-Posted Jun 6, 2016 by Martin Armstrong

ECB European Central Bank

The European Central Bank (ECB) will start buying corporate bonds as officials’ stimulus program announced in March. This will broaden the Quantitative Easing expanding it to a new asset class in their desperate struggle against deflation. The Governing Council, meeting in Vienna, left the main refinancing rate at zero, the deposit rate at minus -0.4 percent, and as a component of its asset purchases of 80 billion euros per month, the ECB will begin buying corporate bonds beginning on June 8.

This type of stimulus is at least far better than buying government debt. Governments do not create jobs that truly contribute to economic growth because government produces nothing. Unfortunately, buying the corporate bonds from bankers will only means they are relieving the banks of paper they do not want. The ECB is hopelessly fighting against the head wind of deflation because they do not control the fiscal side of the balance sheet. That means which they try to stimulate the economy, we have the European Commission plotting against the economy by attempting to enforce taxation and raise taxes at every possible turn on top of creating a Byzantine system of serious over-regulation that prevent business expansion and formation.

The superficial view of how this will stimulate the economy is always good for a bounce as people trade within the noise of a market defines by resistance and support. However, the long-term prospects to this actually reversing the trend or “stimulating” anything is hopeless.

Jun 6 2016

Comments from France


Armstrong Economics Blog

Re-Posted Jun 6, 2016 by Martin Armstrong

June 2nd Protest France

COMMENT #1: 

The current protests are not “The People against the State” and therefore it is not a revolution. It is the Left (CGT union and alike) against the Left (Presidency); it is a family affair like currently between Amber Heard and Johnny Depp.
When these people rioted in my street, the REAL PEOPLE on their balcony INSULTED them. How could the real people walk in the streets with these bastards to make a revolution? They gather 2-3% of the votes in elections ! They ravaged everything for 20 minutes including a bank. We called the police who’s station is just 100 meters always and they didn’t show up until 20 minutes after their departure ! The police is not using water cannons and they are releasing within hours those who burn police cars and injure policemen.
The real risk is when the REAL PEOPLE clash with the PROTESTERS. That would bring an interim military cabinet who would delay the 2017 election. There is already General Didier Tauzin who announced he is running for President.
REPLY: They are calling this the Second French Revolution, but you are correct, it is not the people so much as the left unions. We have the same problem in the States. It is government workers against the people.
French Polls
COMMENT #2: 

Hello Mr Armstrong,

A single image that would suffice to understand the situation in France : Hollande is at a historical low approval rate, 11%.

The common reaction is : “How come he enjoys so much support ?”.

Honestly, I think Hollande does not get it. He likes to show how satisfied and proud of his achievements he is, which people see as a permanent provocation. He’s as clueless as you can get.

On the other hand, Manuel Valls is an arrogant, angry and brutal prime minister who often uses a martial rhetoric to silence anyone who questions his judgment. The man is known for having some serious mental problems. Be sure that if this man could, he would turn France into a dictatorship overnight.

Hopefully, Hollande is weak and unable to make decisions. He’s known to be a pathological liar, including in his private life. Being a natural born coward makes it impossible for him to take any responsability, even the smallest. When a problem occurs, he usually run away after having scapegoated someone else for the mistake.

Regards.

Elysée Palace
COMMENT #3:
Hello Mr Armstrong,

Some news from France where the global atmosphear is looking like a complete moral and political meltdown.

The french president François Hollande, his ministers, especially the head of the Ministry of the Economy Emmanuel Macron, can’t travel in France. Ministers have been ordered to reduced their trip to a “strict minimum”. The bill to reform the job market regulations is at the epicenter of the broader french society existential crisis.

Here is a link for the record related to the great difficulty the government experience to move within France :

I discuss extensively with thousands of French from various background and regions. I think the anger is at an all time high. It’s pure hatred for the government, politicians and, because the leading one, Hollande and his prime minister Valls. People are more and more convinced that France is becoming a “socialist dictatorship”.

Thanks to police forces, Hollande is still alive, but if it were not for the cops, the crowd would already be sitting in the Elysée Palace.

I talked with a a person from Belgium leaving in Romania with high levels connexions in Brussels. They’re terrified about 2017 for they know Alain Juppé (former Chirac Prime minister, crooked as possible) or Sarkozy won’t be able to lead France for it is more of the same and people are all too aware of it.

I remember you told me that your computers do not see Sarkozy winning. I don’t see Hollande winning. And i don’t think Le Pen can win. It looks like a dead end at this stage.

Regards.

REPLY: This is not just a French Revolution, it is an American one as well. We are seeing it in Britain, Spain, Germany, Italy, and Greece. Everyone has simply had enough of politics as usual. The elite around the world are in a complete state of denial.
Jun 6 2016

Bill Kristol – New Triumvirate – Fighting for the Establishment


Armstrong Economics Blog

Re-Posted Jun 5, 2016 by Martin Armstrong

kristol bill

QUESTION: Mr. Armstrong, You are friends with Bill Kristol.  So what is going on. He seems to be very much against Trump and is moving for an independent candidate. You know him. Any inside scoop?

ANSWER: Yes I know Bill. However, I would not say we are friends. Yes we have been to dinner many times and yes he spoke at one of our conferences back I think in 1996. Yes I helped him when he started the Weekly Standard. We took the back cover for the first 6 months or so. But beyond that, I would not say we are “friends” in the least and he was not so neo-conservative 20 years ago.

Now Kristol is in league with Mit Romney and Paul Ryan to create a Triumvirate in hopes of stealing the election away from Trump by forcing it into the House where they hope to save the establishment against the people. The scheme is not to win. The scheme is to prevent either candidate from winning enough electorial votes to throw the election back to the House.  House Speaker Paul Ryan was forced to begrudgingly endorse Trump. However, Ryan is part of the establishment and part of the problem in Washington. He may have endorsed Donald Trump’s presidential campaign, but his office just last week said that he will not encourage other Republicans to support their party’s presumptive nominee. The “establishment” is behind the curtain cheering Kristol, but they are so out of touch with reality it is sick. These people are fighting against the country, the people, and to maintain Washington as is. This Triumvirate is exactly why 86% of “Republicans” are voting for Trump against the elites funded by their oligarchy.

I do not agree with Kristol. Yes I know Bill. I would not endorse his view and I believe what he is trying to do with his oligarchy backers, Ryan and Romney, is against the best interest of the people of the United States and amounts to a denial of any democratic process. This is the phase transition or bubble top in their pretend “conservative” brand of politics that washes its hands in the blood of our soldiers. With respect to “conservative” policies, well they had two Republican presidents since Reagan and they did nothing to reform the system and the debt still exploded from $1 trillion under Reagan in 1980 to nearly $20 trillion.

I also know many other people in high profiles positions. I speak from experience – not from conspiracy theories. This is the end-game for neo-conservative people like Kristol and their oligarchy. They will lose all credibility and will be seen as dangerous people. They are in a state of denial exactly like Hillary and belong to an era that will be no more. They should go collect their Social Security checks and play golf.

Jun 5 2016

The Second French Revolution? Or Just Major Civil Unrest?


Armstrong Economics Blog

Re-Posted Jun 5, 2016 by Martin Armstrong

June 2nd Protest France

All our sources in France were warning a major labor civil unrest was going to explode. Literally, now hundreds of thousands of citizens have poured onto the streets in France and some are calling this the new French Revolution. They have been trying to impose a total media blackout in Western news outlets. This is to hide what is going on, and secondly, fearing if everyone else starts to see this, they will assume there is safety in number and join in.

Jun 5 2016

British Government Sent Ballots to EU Citizens for BREXIT


Armstrong Economics Blog

Re-Posted Jun 5, 2016 by Martin Armstrong

BREXIT On Schedule

The British government claims it made a mistake in sending thousands postal ballots to EU citizens living in the UK. The UK Electoral Commission had to admit its sent 3462 ballots to EU citizens who have no legal right to vote. They claim it was a software error. In the Scottish vote, they had British and EU counting votes for the Scots. No doubt that was one for you, two for me. They now claim that they will not count those votes. Good one. Of course the will count them. Will they now have people checking passports to vote? Highly doubtful.

Jun 3 2016

Upside-Down Statistics — What is Down, May Be Up


Armstrong Economics Blog

Re-Posted Jun 3, 2016 by Martin Armstrong

Walmart Drones

The Nonfarm Payrolls came in substantially lower than expected. The dollar dropped with gold rising, but the Dow did not crash on the open in the same percentage move. So what is really going on here?

The economy is in a transition phase that is the same as what took place during the 1920s. Back then, the combustion engine displaced workers in many fields. Suddenly, a tractor could replace 100 farmhands. Today, we have the internet wiping out stores as Amazon changed the face of bookstores and publishing. Robots are displacing workers on a major scale. In fact, Walmart is testing drones to take inventory in their warehouses. What would take a human one month to inventory can be done by drones in one day. There are no pensions, healthcare benefits, strikes, or lawsuits. Obamacare was the worst possible thing since healthcare costs have nearly doubled. This created the incentive to eliminate workers as much as possible.

Frankfurt-Airport

Then we have brain-dead politicians wanting to raise the minimum wage to $15. McDonalds is testing touch-screen ordering systems that will displace workers. Many stores have adopted the same thing. In the northeast of the USA, we have a chain called Wawa, which is like a 7-Eleven. They have sandwiches and a lot more. You walk up to the touch-screen and place your order and the person working there makes the sandwich.

In Frankfurt Germany, the airport is more advanced than any in the USA. You place your passport in the machine and out comes the ticket. That is standard. Then you take your bag to the next machine that weighs it, prints out the strip you place on your bag, and off the luggage goes. You have seen no one.

The markets reactions to the Nonfarm Payroll is becoming old school. Corporate profits can rise with rising unemployment within a trend of this nature. Yes, people will find that they MUST improve their skills to find a job in the future. Schools are nowhere capable of addressing this shift for most still do not teach computer programming or emphasize computers in any way.

We have entered a period where what use to be down is now up. We are going to have to pay attention to what numbers really mean to ascertain the future trend.

Jun 3 2016

“If Voting Changed Anything, They’d Make it Illegal”


Armstrong Economics Blog

Re-Posted Jun 3, 2016 by Martin Armstrong

Goldman Emma

Jun 3 2016

Donald Trump Supporters Terrorized By Raging Mobs In San Jose – A Democrat Mayor and Police Chief Watched It All…


Progressives, or I should say Democrat’s, are a violent bred they will do anything but debate to get their view s implemented. The sad thing is that their views are seldom right and are used to create chaos so they can destroy opposition and create a police state; which is the only kind they want as it gives them the power to do what they want without opposition.

Jun 2 2016

Your homeland?!?…


Sadly that is true so maybe we should send them back to Spain not Mexico.

Jun 2 2016

COINCIDENCE? Ford Cancels U.S. Plant Move To Mexico After Trump Declares THIS HUGE Threat To Outsourcing


It would would that when someone with balls speaks about not liking something they are listened to. Obama never said anything about this so either he wanted it or he knew he had no balls.