It’s Not Just Energy – It’s Also Metals


Armstrong Economics Blog/Base Metals Re-Posted Mar 24, 2022 by Martin Armstrong

The outrageous sanctions imposed by Biden on Russia has undermined the entire world economy. Sanctions have never worked and this time they were designed to try to hurt the Russian people so profoundly that they would overthrow Putin. The Ukrainians are even naming Alexander Bortnikov, the Russian Director of the Federal Security Service and a member of Putin’s inner circle, as a successor to the president. Bortnikov has come out and said that Stalin’s Great Purge was necessary whereas Putin rejected Lenin. Be careful what you wish for, as they say.

Stickers are showing up plastered all over gasoline pumps throughout the USA despite Biden trying to blame Putin for his the disruption to the world economy. The US had no national security issue at risk with either Crimea nor DonBass. The Neocons just hate Putin and have used Ukraine as a proxy war toy to get at Putin. Even in Poland the government is pushing for war. Europe desperately needs war for 8.6 years of NEGATIVE interest rates has wiped out pension funds. NY banks will no longer lend against European sovereign debt. They cannot fund the governments any longer and the central bank cannot buy their debt endlessly. The only solution that they see is to default under the pretense of the Great Reset so they NEED war as the diversion with a new Bretton Woods.

But Biden’s sanctions have gone far beyond just energy. Nickel is a vital for it is the largest component in stainless steel production. Alloy steel is also called special steel. Nickel can increase the strength of the alloy and maintain its good plasticity and toughness. Then nickel is also used in the field of batteries, mainly nickel-hydrogen batteries, chromium-nickel batteries, and nickel-manganese batteries. Lastly, very fine nickel powder is often used as a catalyst in the chemical industry. Hence, nickel is vital and it goes beyond just the coins in your pocket which at these prices will be worth more in metal content soon enough.

Yet these sanctions that Biden swore would target only Russia, have disrupted the entire world and not just energy. Tsingshan Holding Group is a major producer of Nickel and it sold hedging position forward to secure its production. But prices doubled thanks to Biden and Tsingshan tried to buy back its hedging positions and that has set off a collapse of the Nickel market in London. Nickel was already breaking out thanks to COVID restrictions. Then the Biden Russian sanctions were insane and you can see the drastic price rally as Tsingshan tried to buy back its hedge.

Nickel prices began to soar after Biden’s sanction on Russia. The rally became a crisis for the LME as producers such as Tsingshan’s brokers desperately tried to buy those nickel contracts back causing a near 70% rise in a single session to stem losses and avoid escalating margin calls. The trading became erradic as brokers kept trying to cover short hedged positions. Hedge funds and other participants were frantically buying nickel, which only propelled the market even higher. Nickel prices had more than doubled reaching more than $100,000 a metric ton.

The LME was sent into crisis. Several smaller brokers were saying they would default at the 9 a.m. margin call if prices stayed at those levels. The LME was forced to suspend the market shortly after 8 a.m. local time or suffer a catastropiuc collapse of the exchange. The brokers could not meet the expected margin calls. Thus, the LME adopted the drastic step of canceling trades that took place before the suspension. They is said to have wiped out $3.9 billion in transactions. Of course, the hedge funds were furious for they were looking a huge unrealized profits. Because of the sudden price shock, the LME had no choice but to suspend trading in hopes that the brokers would collect the funds from their clients. However, the decision to wipe out trades that took place in a free market in good faith is really unprecedented and has shaken the confidence in free markets.

It may be true that the suspension and the canceled trades to settle the catastrophic damage to the free markets created by the Biden sanctions has prevented a near-term collapse of the LME. However, failing to do so may have brought down the entire exchange ending the market where producers can hedge forward.

Tsingshan still owes its brokers, which included JPMorgan, Standard Chartered and BNP as well as a unit of state-owned China Construction Bank Corp. The demand for cash to settle margin calls for a hedger who has sold future production presents a serious crisis. There are serious questions being raised if the price seen in this spike truly reflects the shortage in the supply or just an aberition created by a short-term panic.

Ironically, it was the great expanse of China’s economy which drove Nickel to $54200 a metric ton back in 2007. Nevertheless, where our computer has been bullish on Nickel and it elected even the third Quarterly Bullish Reversal at the end of the 3rd quarter 2021. There was no way the market was heading lower. Clearly, those in charge of hedging were calling the shots from an opinion perspective – not quantitative. For early 2021, Tsingshan began to accumulate a short position. It made statements on its website reflecting its view that the Nickel market was flush and prices should decline. Tsingshan’s short hedge position was equivalent to having sold about 190,000 metric tons on the LME. That would be worth $9.1 billion based on closing prices.

The forecasting view of Tsingshan regarding Nickel is just unfounded. Our model showed that we would start to see a rise in 2022 in price volatility but this is continuing into 2024. The price high may not arrive until 2023 and we may be looking at a new record. This is just another domino in the future of the world economy that just fell over. These Biden Sanctions are not going to be reversed and the pride of politicians is now threatening the entire world economy.

You have not made any comment about the LME Nickel market. In my opinion, this is onether chip of the domino falling which comes to confirm that the collapse of the West is in motion. The loss at Tsingshan is said to be about $8 billion. I have been called in to similar crisis where major corporations have lost billions due to improper hedging. This amount is staggering and clearly reflects that the firm has totally incompetent people in charge of hedging who may be listening to bankers and fundamentals rather than the markets.

Putin puts Biden’s King in Check


Armstrong Economics Blog/Euro € Re-Posted Mar 23, 2022 by Martin Armstrong

The absolute stupidity of those in the Biden Administration will go down in history as probably the dumbest ever in the history of the world, not just the United States. Besides disrupting energy supplies, and subjecting the world to a shortage of wheat when Russia and Ukraine represent 30% of the world exports, Biden’s sheer stupidity in just reading what his staff of climate zealots tell him is beyond belief. There is a crisis unfolding even in base metals like nickel.

Removing Russian banks from SWIFT but leaving the energy intact so Europe has power, was so brilliant they obviously never played chess. Putin just put Biden’s king in check by ordering Europe to pay for gas now in Rubles. That will provide support for the Ruble, and undermine Europe and its Euro as well as the dollar in the long run.

First of all, when Biden freezes all of Russia’s reserves, why would you continue to get paid in dollars that Biden could freeze? That makes no sense. This is why I warned that using SWIFT as a political tool would destroy the world economy. There is no putting this back together again. The foundation of TRUST has been lost.

What I would do if I were Putin is to create a two-tier monetary system like South Africa once had with the Financial Rand and Domestic Rand. What I would do to put Biden in Checkmate would be to back ONLY the domestic Ruble with gold to restore confidence among the Russian people, but leave the Ruble float for international transactions – the opposite of what FDR did in 1934.

Biden has destroyed the world economy. This is so devastating going forward, that what comes post-2032 when the world economy finally crashes and burns because of these idiots, there will be a whole new regime change on a global scale.

The Laptop from Hell


Armstrong Economics Blog/Politics Re-Posted Mar 23, 2022 by Martin Armstrong

Ihor Kolomoisky is the Oligarch who funded Zelensky and put him in a position to be president. However, this is the very same Kolomoisky who had a “controlling interest” in Burisma Holdings, that employed Hunter Biden as a board member for a widely reported salary of $50,000 per month. Russian media, quoted in State Department emails, referred to Burisma as “part of Kolomoisky’s financial empire.”

It was the same Kolomoisky who publicly said in 2019 that he REFUSED to cooperate with efforts by President Donald Trump’s personal lawyer, Rudy Giuliani, to get his help in investigating Hunter Biden and Burisma. House Democrats’ impeachment report on Trump also cited the incident in late 2019 as grounds for impeachment.

Emails from 2015, published last year by the New York Post, show a Kolomoisky protege communicated with Hunter Biden about a meeting between the protege and Joe Biden, then vice president under President Barack Obama. Then court filings from 2019 by a private investigatory firm alleged that legally obtained bank records of Hunter Biden show payments to him from the Kolomoisky-owned PrivatBank.

The REAL character of Zelensky is revealed in his actions. As soon as he became President. Volodymyr Zelensky decided to fire Prime Minister Oleksiy Honcharuk and several leading reformers. Ukraine paid a heavy price for the move in capital outflows and soaring borrowing costs. There was talk of Zelensky finally breaking with leading oligarch Ihor Kolomoisky, but that never took place.

Kolomoisky’s supporters initially prevented a second reading of the banking bill through “legislative spam”, the proposal of thousands of frivolous amendments. Zelensky used COVID to distract people concerning reforms. There was no major effort to make the IMF-backed reforms. The IMF dropped its effort of the long-term Extended Funding Facility for Ukraine to encourage reform to a new policy of a smaller, short-term Stand-By Arrangement, which is confined to budgetary support. Zelensky could have just fired Honcharuk. But instead, he gradually picked off nearly all the ministers who had reputations as reformers. Everything he promised was never carried out. Instead of solving the Donebass dispute, he promoted joining NATO and deliberately antagonized Putin.

All the promises of reforms wooed the European Union, but there was no substance. There were rising concerns that Zelensky was actually selling out to the very people who had run the country under Yanukovich and many saw this as a confirmation that Zelensky was in hock to Kolomoisky. Zelensky never distanced himself from Kolomoisky. In fact, during the election, Igor Valeriyovych told Igor Oleksiyovych that working for Poroshenko was in vain. Kolomoisky allegedly said to Igor Hryniv: “My boy and my girl will be there in the second round anyway”, referring to Yuliya Tymoshenko and Volodymyr Zelensky. Nevertheless, the Kyiv Post reported the allegations that Kolomoisky was behind the release of a tape of Honcharuk mocking Zelensky’s economic knowledge.

Kolomoisky pushed hard for compensation for the nationalization of PrivatBank – which he co-owned until 2016 when the government took control of it due to the $5.6 billion hole in its balance sheet. But the real economic payback appeared to occur elsewhere, as the government showered debt and delivery favors on the Kolomoisky-controlled Ukrnafta and Centrenergo. The government opened corruption cases but seemed to concentrate on Kolomoisky’s enemies from the National Bank of Ukraine and the interlinked leadership of the Investment Capital of Ukraine, often dubbed “[Petro] Poroshenko’s bank”, after the former president.

Here we have Hunter Biden taking money from Kolomoisky who just so happens to be the backer of Zelensky. Biden then hands Zelensky $13.6 billion in aid to fight off the evil Putin. I seriously doubt that money will go to aid Ukrainians.

The corruption in Ukraine is so bad, it may even rank as the #1 black hole in the entire world. When will the West wake up?

Government ALWAYS Act in their Own Self-Interest


Armstrong Economics Blog/Banking Crisis Re-Posted Mar 23, 2022 by Martin Armstrong

QUESTION: Hello Martin,

Hope your doing well, you spoke about keeping some money, outside of banks, do you see sterling paper money being cancelled by the bank of england, as they have already cancelled old £5/£10/£20/£50 and £1 coins, you have to bring them to the bank an exchange for new plastic type paper currency,my question is if you have some set aside do you think they would cancel outright or would they make you declare, if things get sticky, or would you be safer keeping in bank, for there is some insurance scheme up to £75 0r £85k, one named account, not that would effect me in the amounts, can you advise should I maybe bring some US dollars into piggy bank, much obliged, for your help will go towards helping my parents/family extended family circle, I just buried my mother a week ago, so my dad’s a bit all over the place, he has a few £1000’s, has difficulty putting money in banks/post office and questions and restrictions getting money out, they shut the last bank down in November, he lives in a town of 10,000 pop, has to travel to the city, not up to that now, any insight would be gratefully appreciated.he lives in the north of Ireland.
EP

ANSWER: Britain does cancel its currency. That allows the government to take that direction. The difference with the US dollar is that it has never been canceled and it would take an Act of Congress. Trudeau is Canada interestingly passed an Act to give him the authority to cancel paper ,oney. He did cancel the old notes as well.

While the US replaced the $100 bill, the old one is still valid. Since 70% of the US paper dollars reside outside the USA for they are the hedge against various governments, the Democrats would love to cancel the currencies following the same Marxist agenda that cash is EVIL.

In this atmosphere where Biden just reads the teleprompter and there are serious concerns in DC about his mental ability going forward, this means we really do NOT know who is running the show. All I can say is that demands, policies, and tactics are the hallmark of Neocons.  They have achieved their dream of controlling the White House. They have never allowed a day to go by without plotting how to conquer the world.

Unfortunately, The British pound is called “sterling” meaning it was once one power of sterling silver. Even in 1953, Britain had abandoned silver in its coinage. They struck coins in Cupro-Nickel. So it is hard to do the same as an American can do, hoard the old pre-1965 silver coins. When Roosevelt confiscated gold during 1934, that meant whatever you had on deposit in a bank was taken. He did not go door to door searching for gold coins. So keep that in mind that the banks will do whatever they are ordered to do. They are not on your side. They must be loyal to the state to retain their license.

You may want to look at British sovereigns, which are just under a quarter ounce of gold. Just keep it to the common dates, circulated is fine. You are not looking to be a rare coin collector. At least when Germany was going through its hyperinflation, people were able to hoard foreign currencies as well as tangible assets that included land, art, rare coins and stamps, and even old cars. Anything that is not relying on government and is not in some official storage that the government can seize. For they will also act ALWAYS in their own self interest.

Trudeau Cuts Backroom Deal to Stay in Power Until at Least 2025


Armstrong Economics Blog/Canada Re-Posted Mar 23, 2022 by Martin Armstrong

One long-term Canadian client just wrote to me saying:

“Never thought that its was possible that Alberta would actually split from Canada but with this new coalition in place to 2025, it is now possible. Guaranty of Green mandate, free pharma, basic income and tax the banks … why no get the banks to reduce fees to help retail … really have to consider leaving now.”

The Liberal government and the NDP have reached an informal deal that will allow Trudeau to remain in power at least until 2025. The deal involves a pledge to act on dental care, pharmacare and other key issues advocated by New Democrats. This is what is wrong with a Parliamentary system that those in power can create deals to retain power that the people are never given the chance to vote on. Not that the American way is without fault. A Republic is up there in a race to the top of the list for the worst form of government ever. You vote for a Congressman, they get to Washington, and they are told how to vote on party lines. They NEVER actually represent the people who voted for them.

This picture is flying around because Both Singh and Trudeau are anointed by Klaus Schwab as Young Global Leaders. Perhaps Alberta and rural BC can join with center America, and East Canada can merge with California and we just redesign North America into the MARXIST utopia against the Land of the Freed & the Home of the Brave.

It is actually quite hard to see Canada remaining intact through this centralized focus of sacrificing domestic policy objectives for international ones set by Agenda 2030 coming from the World Economic Forum. The Biden Administration killed the Keystone Pipeline. The developer of the Keystone XL pipeline announced it was pulling the plug in June of 2021 on the controversial project after the Biden administration revoked its permit in January 2021 while Trudeau cheered. That was a very big deal for Alberta.

Cutting off pipelines was the first thing out the door for Biden. Make no mistake about it, Ukraine is being used for cannon fodder to ensure that the pipelines from Russia to Europe are also cut off. This is an agenda that is being carried out by Climate Change Zealots. Trudeau is clearly following Agenda 2030 and if anyone can divide Canada, it will be Trudeau.

Zelensky Keeps Trying to Create WWIII


Armstrong Economics Blog/Ukraine Re-Posted Mar 23, 2022 by Martin Armstrong

QUESTION #1: When I read today that while addressing the Italian Parliament, Zelensky reported that the Russians were “capturing and torturing children” my propaganda antenna went up and the BS detector went off. If true, that is atrocious and a war crime. Putin is crazy but that seems hard to fathom. It would seem like good propaganda for Zelensky to use to prompt NATO to get involved (which as you have noted repeatedly would surely start WW III). Maybe it is Zelensky’s Hail Mary pass?

Anyway, what were your thoughts when this was reported and what do you hear from your Ukrainian sources on this topic? Is this true?

RW

QUESTION #2: Marty, I find it amazing that your computer pinpoint Ukraine back in 2013. But you also said when this started that it would not be a quick in and out event. Then you said it was Zelensky who would create World War III. OK. I watched Zelensky address the Italian Parliament. He said Russian were torturing children. He is trying to paint Russians as animals. Zelensky keeps saying a lot of shit and it is all to send the world into war that will be nuclear. This man is pure evil. Do you have any timeline worked out yet?

RG

QUESTION #3: How can the West support Ukraine when you have doctors ordering that Russian soldiers who are prisoners of war should be castrated? I’m sorry. But I see this as the pot calling the kettle black.

OP

COMMENT #4: Zelensky Says He Wants Talks With Putin, Failure Means ‘Third World War’My Comment: No, it doesn’t Zelensky.
What it means is a Third World War of Words and Pictures equal to failure-failure. It’s a ‘Vietnam’ of no win-win for both.I watched the CNN GPS Zelensky interview too and was aghast at the war commercial produced by Zelensky’s ‘Dogs of War’ to romanticize and legitimize his demagoguery. It reminded me of the 1984 Apple commercial. Zelensky’s commercial is embellished with platitudes that reveal the naïve approach he’s taken with Ukraine and the lives of innocent Ukrainians. The mind behind the “The Third World War” scapegoat.There won’t be any last man standing to credit with victory. There will only be repentance and regret that you Zelensky broke faith with established agreements. Anyone who encourages Zelensky in this kind behaviour encourages a man who believes he’s more than what he is.….

I read the Toronto Star’s Saturday March 19, 2022 Edition, Front Page article ‘What drove them” by Justin Ling.

My Comment: Referring to ‘Klaus Schwab/WEF’ as a conspiracy theory brings into question the rest of what has been written in the article including Justin Ling’s ability to understand what he is writing about. ‘Klaus Schwab/WEF’ is not a conspiracy. It’s a fact. To use a newsie phrase from the past “READ ALL ABOUT IT!” It’s all there in plain sight to read and understand.

COMMENT #5: The madman is not Putin, it is Zelensky. Why should this man sacrifice my family here in Ohio for his hatred of Russians? If anyone should be assassinated, it is Zelensky to save the world.

KH

COMMENT #6: I could never fully understand why Americans hated Russia so much. In 1991, when I was 17 years old, a senior in high school, I traveled to Russia with a group of classmates in my economics class just as the USSR fell. I actually saw them change the flag from USSR to Russia. I remembered thinking this must be an important moment to witness in history.I never felt threatened while there. And I was very intrigued by the Russian winter swimmers called “walruses” who would swim in the ice cold water. They would practice all year in ice-cold baths, and I thought to myself wow, that really takes a lot of discipline to do that.

The Hermitage museum was absolutely gorgeous with the malachite columns and gold-leafed crown molding. We visited many major tourist destinations such as St Basil Cathedral, the Hermitage Museum, Moscow, saw Swan Lake, and ate at restaurants.  We stayed through New Years and because Russia at that time did not have an age-limit for drinking that served us copious amounts of vodka that my classmates happily drank and got drunk. I stayed sober…was not interested in getting drunk or drinking vodka, but it was interesting to see this American teenagers celebrating New Years in Russia.

Even though I think we saw probably the best parts of Russia, I felt Russia was a poor country when we visited. A few young children ran up to us begging for money, and there was just a lack of variety of foods to eat and things to buy at the shopping malls. Remnants of a communist country. Moscow was so bland and stark. And it was very cold, but I bought a Russian wool hat, which I loved wearing around. It was so warm!

Ever since then I followed Russia on and off, and with the fall of communism there it was very interesting to see their change and development in the arts and culture. I liked Maria Sharapova, tennis player, and I befriended a Korean-Russian while I lived in Korea during 1998. She was a Russian-born Korean and only spoke Russian and Korean. Fascinating to meet someone like that.

I thought it was always the idea of communism versus capitalism that Americans were at odds with, that Americans were in favor of freedom and democracy. I understand you, it is tragic to see what is happening in America. Americans really are no longer to good guys today with the election fraud. When Joe Biden took office, I literally cried (shed tears).

But you know, the sun comes up every day and when the sun shines, I feel happy. I try to do my part and not hate Russians. I find the country interesting. It is hard to see the other side when there is so much propaganda. Thank you for sharing your knowledge and insights on what is going on in the world. You do so much good. Your thoughts are very much needed in today’s world.

Thank you.
SH

COMMENT #7: Now Biden is out saying the US must lead the new world order. Someone had better arrest the people writing these words he is reading.

DF

ANSWER: I am sorry, but Zelensky is an actor who even played a president. He was hired to bring the world to war and has done NOTHING that he promised to get elected. The audacity to claim he should get the Noble Peace Prize is just propaganda when he has put not just Ukraine at risk, but the world for insisting on joining NATO in violation of the Belgrade Agreement, and then refusing to allow Donbass to hold elections while claiming Putin is against democracy is the ultimate hypocrisy.

Claiming Russians are torturing children is just over the top. Nobody, even Hitler, Napoleon, Stalin, or the Genghis Khan has ever tortured little children. Then for the Ukrainian doctor to order Russian prisoners should be castrated is a violation of every convention on war and confirm the hatred of Ukrainian Nazis to just exterminate Russians is alive and well.

It is this hatred that Zelensky is pouring out to the whole world that they are now even removing Yuri Gagarin’s (1934 – 1968)  name from history as the first man in space because he was Russian? He died in 1968. This is the real evil – raw hatred being created by this actor. When the final chapter is written, it is Zelensky who has torn the world apart deliberately. He keeps threatening World War III because of his hatred of all Russians which is why he refuses to allow the Donbass to separate.

Zelensky has sacrificed his own people for his hatred of Russian people and this deliberate absurd position of joining NATO and refusing to allow the Donbass to become an independent republic. Ukraine was merely a border drawn during the Soviet Union. This is not even about the sovereignty of a nation. Neither Crimea nor Donbass are occupied by Ukrainians – they have always been ethnically Russian.

Many in Ukraine feel Zelensky is a puppet of the CIA, WEF, or the Ukrainian Nazis depending upon who you talk to. What is clear, he has done nothing to prevent war and does appear to exaggerate everything constantly threatening World War III to create it. He wants to engulf the entire world because of his hatred of Russians – not Putin alone.

Those who support Zelensky should take a look at their children. Are you prepared to see them killed and their future destroyed for this actor in high heels pretending to be a world leader?

European MP Calls Justin Trudeau a Dictator During Public Speech in Front of the Canadian Prime Minister


Posted originally on the conservative tree house on March 23, 2022 

This is just epic and well deserved.  EU Parliament Member Mislav Kolakusic delivered a humiliating speech directly to Justin Trudeau as the Canadian Prime Minister visited the EU members. [h/t to CounterSignal for transcript] This is quite likely the first time Trudeau has ever been publicly called out in such a grand fashion.

MP Mislav Kolakusic lived in Croatia under soviet rule.  Kolakusic saw the recent behavior of Trudeau as familiar to him from former soviet dictators. He took the opportunity of Trudeau appearing in the European Parliament to eviscerate him publicly. {Direct Rumble LinkWATCH:

[Transcript] – “Freedom, the right to choose, the right to life, the right to health, the right to work for many of us are fundamental human rights for which millions of citizens of Europe and the world have laid down their lives,” Kolakusic began.

“…. Canada, once a symbol of the modern world, has become a symbol of civil rights violations under your quasi-liberal boot in recent months. We watched how you trample women with horses, how you block the bank accounts of single parents so that they can’t even pay their children’s education and medicine, that they can’t pay utilities, mortgages for their homes.”

“To you,” he continues, speaking to Trudeau, “these may be liberal methods; for many citizens of the world, it is a dictatorship of the worst kind. Rest assured that the citizens of the world, united, can stop any regime that wants to destroy the freedom of citizens, either by bombs or harmful pharmaceutical products.”

The Destination of the Handbasket


Posted originally on the conservative tree house on March 23, 2022

promoted video from the BlackRock investment group delivers a single point amid a multitude of points that may help clarify exactly where this handbasket is heading.

Notice, the key phrase right at the beginning of this promotional video, “many prize experiences above possessions.”  Compare that statement to, “you will own nothing and be happy.”  Notice the similarity?

BlackRock and the ever-mysterious Vanguard are the largest financial institutions in the world, with investment assets under management that far exceed the GDP of every country.  They are, quite frankly, the vault behind the World Economic Forum, and combined they hold sway in almost everything that happens in the geopolitical world.

As we look at the speed of our increasingly changing world, it is important to remember two key phrases CTH often repeats. First, ‘there are trillions at stake’, and second, ‘everything that happens is about the economics.’

If we stand back and look at the activity, not the expressed ideological framework, but the actual reality of what BlackRock is doing – amid a world where they are purchasing physical assets at an astonishing rate – something does become clearer.

While BlackRock is espousing a world where people “prize experiences above possessions”, and they position themselves as an investment group to finance and profit from that worldview, at the same time BlackRock itself is purchasing physical assets (lots of real estate) for themselves.

Stand back and look at the biggest of the big pictures.

A Build Back Better society, or “great reset”, is factually underway as triggered by the gateway of SARS-CoV-2 and the massive spending by western nations to subsidize the lockdowns, shut-downs, economic closures and forced unemployment.

Global inflation is being driven not only by the American spending spree, but also by the massive government spending programs of the EU, U.K, New Zealand, Australia, Canada and many western nations.

The bills for those subsidies and bailouts are due.  The labor of the citizens is going to have to pay those bills, while simultaneously we deal with inflation and massive debt balances on all nations’ balance sheets.

Into this mix comes the very real possibility of a declining U.S. trade dollar, as a result of geopolitical conflict between the west and Russia, China, Iran and OPEC in the geography of Ukraine.   The financial sanctions by NATO and western allies have factually created a rift in currency exchange valuations.

As the proverbial west hammers those sanctions even harder and more deliberately, what they are doing is creating a stronger and greater likelihood that the dollar will be removed as the global trade currency, and we will enter a phase where two sets of nations exist:

One set of nations will run their economy on oil, gas and fossil fuels.  The other set of nations will be focused on running their economic engine on the premise of sustainability, or renewable energy.

The sanctions toward Russia actually help to drive this chasm even wider.

To me, this looks entirely purposeful – done by specific intent and design.

Two world groupings.  One group, oil-based energy (traditional) – let’s label them the RED GROUP; and one group GREEN energy (the build back better plan).  It is not accidental these two groups hold similar internal geopolitical views and perspectives.

♦ The important part to see is… there are going to be two sets of nations with two structurally different economies. A red group and a green group.

These two groups are going to end up in competition with each other.  It is as inevitable as sunrise, if you can see this cleaving I am talking about.

Now, think about the economic system of trade that exists between the Red and Green groups.  There has to be a way for them to exchange value if they are going to purchase from and sell to each other.

Additionally, and this is *key*, the Red group is going to have a strong strategic advantage in production costs.  The Red group is going to be using oil, coal and gas (fossil fuels), which are abundant, cheap and the infrastructure is already in place.

The Green group is going to be at a strong disadvantage, at least for a generation or two, as the costs associated with the production of goods and systems is going to be much more expensive to operate, as the transition into Build Back Better sustainable or renewable energy takes place.

In the macro view, stuff from the Red group is going to be cheap.  The exact same stuff from the Green group is going to be more expensive.

If you are still with me, hopefully, you can see how this is all coming together.

♦ The western debt incurred during COVID-19 is a problem.  However, this debt diminishes with inflation.  A $20 trillion debt is not as big a problem when bread costs $100/loaf and people are earning $50,000 a month.   The Green group is entering into this position.  In this position, the BlackRock approach of physical ownership of real estate and physical stuff is way more important than holding money or dollars which will immediately lose value.  Physical ownership of stuff is important.

♦ It is likely, based on the economic alignment, the Green group will be forced to assemble under one currency (set of financial valuations), and the Red group will then assemble under their own currency (set of financial valuations).  My hunch is the western group (green) will use a digital currency.

Once both sets of currencies are established, then trade between the Red group and Green group can be determined based on a central valuation done by, say, The World Bank.   In the Red group, a 20″ tire is worth 100 red bucks.  In the Green group, a 20″ tire is worth 150 digital green bucks.  Two vaults and two exchanges.

In order for all of this to come together, the population needs to be shifted in their perspective of money and material value.   That takes us back to where this conversation started: “owning nothing and being happy” is akin to “prizing experiences over possessions.”

The Western (green) financial mega-system operators are going to own the physical assets, and the people will live under that ownership.  In the Red group, that system -essentially- already exists.

Former Secretary of State Madeleine Albright, Dead


Posted originally on the conservative tree house on March 23, 2022 

Secretary Albright was a champion for the New World Order and worked as U.S. ambassador to the UN from 1993-1997 (President Bill Clinton).  She was then nominated and confirmed as the first female U.S. Secretary of State from 1997-2001.  She’s dead. Cancer.

(Albright – Details Here)

Newsweek Shift – Maybe Putin Not So Bad, He Could Devastate Ukraine, but Putin Is Holding Back


Posted originally on the conservative tree house on March 23, 2022

Well, this is weird.  After weeks of the horrible Putin narrative, Newsweek softens the tone, perhaps sees a larger landscape where Russia is working strategically though a plan and says, “Putin’s Bombers Could Devastate Ukraine but He’s Holding Back.”  Wait, what?

According to the anonymous Newsweek sources – intelligence officials who fear speaking publicly for fear of severe repercussions – it would be very easy for Vladimir Putin to level the key cities and industries in Ukraine, but he’s not doing it.

The strategy Newsweek is seemingly beginning to admit is the same strategy Col Douglas Macgregor has been speaking about.

(Newsweek) – As destructive as the Ukraine war is, Russia is causing less damage and killing fewer civilians than it could, U.S. intelligence experts say.

Russia’s conduct in the brutal war tells a different story than the widely accepted view that Vladimir Putin is intent on demolishing Ukraine and inflicting maximum civilian damage—and it reveals the Russian leader’s strategic balancing act. […] Understanding the thinking behind Russia’s limited attacks could help map a path towards peace, experts say.

In nearly a month since Russia invaded, dozens of Ukrainian cities and towns have fallen, and the fight over the country’s largest cities continues. United Nations human rights specialists say that some 900 civilians have died in the fighting (U.S. intelligence puts that number at least five times UN estimates). About 6.5 million Ukrainians have also become internally displaced (15 percent of the entire population), half of them leaving the country to find safety.

“The destruction is massive,” a senior analyst working at the Defense Intelligence Agency (DIA) tells Newsweek, “especially when compared with what Europeans and Americans are used to seeing.”

But, the analyst says, the damage associated with a contested ground war involving peer opponents shouldn’t blind people to what is really happening. (The analyst requested anonymity in order to speak about classified matters.) “The heart of Kyiv has barely been touched. And almost all of the long-range strikes have been aimed at military targets.” (read more)

What the article boils down to is an acceptance, albeit couched in the U.S/NATO narrative, that Vladimir Putin is working through a careful and methodical plan to eliminate –with extreme prejudice– one severe faction of the Ukraine military (Azov battalion Nazis), and yet carefully and surgically leave intact the areas of greatest population.

The capture of Ukraine, with as little damage as possible, while eliminating the elements with the connections to western government manipulation, appears to be the process.   This, in addition to the removal of the Zelenskyy government, is what Macgregor has been pointing out from the beginning.

Putin seemingly plans to rebuild most of eastern Ukraine (closest to Russia) where a civil war has been ongoing for over a decade. That region is also the location of the most ultranationalist of the Ukraine forces, so the military targeting has been severe in that area.

With the sanctions and western intelligence efforts of the State Dept./CIA, and western economic group appearing to have little impact, perhaps the media is starting to realize the conflict in Ukraine is more complex and thought out than fits the current western media narrative.