Wednesday, December 4, 2013

AND THEN IT WAS TIME

Nature has a set of laws that can not be violated. They are the laws that many of you are aware of in the mathematical/scientific world and are not mutable. These laws form the basic structures of life. History is replete with attempts to restructure these principle for a variety of reasons to benefit human emotions and conditions, but the violation of these principles ends always with failure. Today reminded me of just how far we have drifted from the reality of these basic principles. While listening to a CNBS discussion with Dennis Gartman promoting his short on the 10 year Treasury, one of the Fast Money crowd challenged Gartman's premise that the rise in interest rates to 4% would create a collapse of the real estate market and in turn the economic recovery. Gartman quickly dismissed this as poppycock and compared just how far below a 4% 10year would still be below interest rates when HE was buying homes 10, 20, 30, and 40 years ago. There was no counter because of course he was right.....at least it seemed so on the argument's surface. If the 10 year treasury rises to 4% it would be well below the previous rates during HIS previous real estate runs. Unfortunately, there is a slight problem for Mr. Gartman. 

This would all be true if we had allowed a true price discovery to have taken place in the market . Homes instead remain at very high prices in many markets due to a myriad of behind the scene maneuvers and even have recovered in some of the very beaten down areas to relatively high values once again. 

Unfortunately however the consumer is barely keeping his nose above water on many of the current home sales at the current price levels with the mortgage rates at the current 10 year of 2.8% For example a couple wishing to purchase a new home today in a "hot" market may have to pay 400K for a 1600 sq ft 3BR "starter home". By the time they tally their monthly payments and various carrying costs they "just get by". You see.....Gartman's "starter home" had a cost of 60K back in 1983......So of course THAT 1600 sq ft home COULD be bought with interest rates at 9%. Gartman blissfully ignores the simple laws of mathematics....but nature does not........and something MUST give for homes at current levels to be purchased in MANY of these "recovered" markets if interest rates go to 4% on the 10Y......that could easily push mortgage rates over 6% and market prices would collapse as buyers are frozen out AS WE SAW HAPPEN THIS SUMMER WHEN THE 10Y hit 3%. THIS is why there were a large number of cancellations in the New Home sales numbers that were not calculated by the Government.

Be aware we are in collapse now. It has started. The bond move this year has been monstrous and its not going to stop. Bit coin cometh and it will goeth, but there will be others. The deception is palpable for those of you that are paying attention. Some of us are still fortunate to derive tremendous benefit from the government largess and feel immune in our sheltered world. I am fully aware of this, but receive almost daily reminders what the "other side" is enduring. As a breakdown in confidence spreads throughout the system, the need for "tighter control" will take on a more ominous tone as the system experiences more pressure from core collapse. There will be no warning for the masses that its "game over"....."music is going to stop tomorrow".........it will just suddenly become obvious. 

Twilight Zone numbers depicting recovery such as the BLS and New Home sales numbers today.....will continue and even worsen. When you realize the water's boiling, it will be too late.......that's the game. The rule of law.....the government......the country will have to radically change its priorities and direction. Individuals will need to determine what their NEEDS are versus their WANTS. If we can't change the moral course of the country, then we must change our individual moral degeneration. Keep enjoying their Bread and Circus, NFL football is pathetic and designed to control you, but Winter is here now and time is no longer on anyone's side.







87 comments:

  1. first.......sorry kil..
    my jab to turds site

    LOL

    ReplyDelete
  2. market may have to pay 400K for a 1600 sq ft 3BR "starter home".

    you have to shit me not

    I could build the house for under 80,000
    I would have to pay someone 2000.00 an hour

    who would pay this for a home????

    ReplyDelete
    Replies
    1. Many areas have median home prices well over this .....suburbs within San Diego.....within Chicago and many East Coast cities........

      Delete
    2. Yes paladin it is pure insanity and will not end well again. Price discover was avoided to protect the banks derivatives/balance sheets and there will be a day of reckoning. Interest rates are key.....but there are other factors to be maintained. It doesn't matter what the rates are if the borrower doesn't have a decent job/income to service these debts.

      Delete
    3. Boston, New York, D.C , Chicago, Denver, Austin, the west coast, Hawaii. Seems like a tale of two cities and depends on where people want to live and where there are jobs, tech/tourism etc. You can easily get security in a 30 year mortgage knowing you have to come up with that payment every month for 30 years!, but even if you have a good job, you better be in a secure in demand field or be able to move where the jobs are if you have to. I can't believe how high prices are for some places, A lifetime of debt.

      Delete
  3. http://www.washingtonpost.com/blogs/where-we-live/post/median-sale-price-of-homes-in-washington-dc-hits-record-high/2013/04/09/9f8fe50c-a13b-11e2-be47-b44febada3a8_blog.html

    ReplyDelete
    Replies
    1. 2. San Francisco
      • 14.4% rise in home prices in 2012
      • 22.3% drop in home prices the past six years
      • $717,000 median home price
      • 7.3% unemployment rate
      Home prices in San Francisco peaked in the first quarter of 2007, and the price trough came about two years later. Yet, while prices fell 20%, they never got cheap, especially compared to the median home prices in other cities in the index. And, among other reasons, a tight supply of homes for sale remains a reason for why prices are higher here.

      Delete
  4. Its beginning in earnest......the absurdity is hilarious

    http://www.zerohedge.com/news/2013-12-04/gold-smuggling-increases-7x-india-and-surpasses-illegal-drug-trade

    ReplyDelete
  5. There's a few things from fartmans example that he conviently left out like the effects of the "CON troled inflation", 30 years ago gas was under a $1 as was a gallon of milk. You could earn inrterest on you cash, Employmemt opportunities where available even though the shift to two family earnings had begun, You could send you kid to college for under 5k per year.... I could go on but if you were aroumd back then you get the point. Fartman was being disengenious at best and an a$$hole for certain.

    Here on LI you can buy a "real" fixer upper (real piece o chit) avg sq ft approx 1500 to 1800 for 200k and still have to drop 100k into it to make it habitable.

    However if you not handy you're gonna spend for the the same size house depending on the neighborhood 300k to 900k..... PLUS the carrying costs in the form of property taxes up here is absolutely insane! In most cases monthy prop tax will equal or exceed monthly I&P so long story short if your looking to buy your first home you need to leave LI.......

    Paladin,

    If you're ever looking for some one to build stuff for ya, I'll do it for half price you posted price :)

    btw: You can't build a 1600 sqft home out of traditional building materials finished for 80k

    http://building-cost.net/CornersType.asp

    At least not around here.......


    ReplyDelete
  6. Re: above post, reminder to self, don't post unless glasses are on Wow you think I was drinking! Hehehehe

    ReplyDelete
  7. There's Justice and then there's Just Us......

    http://www.fastcompany.com/3022941/fast-feed/electric-car-owner-arrested-for-stealing-5-cents-worth-of-power

    ReplyDelete
  8. Tom, that 1600 sq ft home in the Spartanburg-Greenville,SC metro area can be had for $100k (at least qtr acre lot) or less. House in good shape requiring minor repairs. Of course, there are neighborhoods more expensive too. Taxes $1,000 a year or so. What does it benefit you to earn big bucks if it all goes to housing?

    ReplyDelete
    Replies
    1. Yup!......there are HUGE numbers of homes in that size and price range available in MANY areas but as they say real estate is about location and that directly pertains to economy. The "middle class" dream in many larger towns and cities of living in "the" house in "the" school district is absurdly expensive......but you can 50 miles west and find the same house 50% less in price.....and still "for sale"........no buyers even in that price range.... of course one can argue this has always been true to some extent but the distortions today are extreme due to the easy money. THAT is the key and will end once again in disaster....UNLESS........they can keep interest rates below 3.5% for 5-7 years.....growth would have to remain anemic.....for if velocity of money starts all is lost..........so good numbers are a catch 22 for them as pressure on rates and velocity occur. Bottom line.....real growth is going to be a bitch for them but "faux" growth is "tolerable" at least to a point.

      Delete
    2. I know my answer to your question is illogical but every thing is relative in most cases....., Employment with high salaries = high housing costs PLUS in the NE the legacy costs are Huge in comparison to the the South.

      I my case the for sale sign is going up in the spring and will most likly be heading Sis's way......

      It been a long road to convince the boss that living here is like rowing up stream with one oar but family roots, familiarity and emotions are huge obstacles to over come for some.....

      Happy Wife, Happy Life :)

      Delete
    3. Tom, always had an attitude about working/living in the NE. Around 1998 received a call from a headhunter in Connecticut asking if I'd work a contract in NYC. Told her for the right $s I'd work 6 months in hell. Double that and I'd work in NYC. She asked why I would say that. I asked her if she had ever rented a place to live in NYC and housing was free in hell (and no taxes)? Hehehehe. She didn't think that was funny.

      Delete
  9. Fairfield County Connecticut...$400k for a POS that needs work is a steal. Relatively nice neighborhood and decent house will be over $500k. Average property tax for the $400k to $500k house is $6k to $7k per year. Nicer houses on an acre can pay $10k in taxes easily!

    ReplyDelete
  10. interesting miner price action many turning green.......gold still down hard with very slight tail forming

    ReplyDelete
  11. Home prices aren't bad here in WNY, but the taxes are very high. Looks like Cuomo is going to throw us all a bone just before his re-election though. Funny how that timing works.

    ReplyDelete
    Replies
    1. Andy ain't giving nothing away, he is just redistributing all those Basic Star exemptions that approximately 40% will forget to reapply for this year - What A Scam! Did you remember to reup????

      "Money for nothing and the Chic's for free"

      Hehehehe. I think not......

      Delete
    2. You betcha. I applied for it on line awhile ago and the website did work. I recall he admitted that this was a one time distribution of "extra money" that accumulated and not to expect it every year.

      Delete
    3. 21st Century version of Walking around Money!

      Delete
    4. Tom, not sure in what part of LI you are but where I am, and in NYC where I work, the economy appears to be humming. NYC may benefit by tourists.

      I don't visit malls too often but happened to be in a very big one on LI a few Saturday evenings ago and the place was jam packed. Restaurants are full and home prices remain lofty in my neck of the woods. I'm not trying to convince anyone that things are great in the US because I know when it blows up, those who have yet to experience any pain are going to feel it most. What this does to me is make it impossible to convince anyone that things are really bad and getting worse. In other words, I live amongst many sheep.

      Delete
    5. SIK,

      On the South Shore..... Not so bad by me but it has been better, housing is frothy for certain but as you are well aware all depends where you live...... Garden City, yup big time money, million dollar homes, 75k cars drive a few blocks south into Hempstead, ahhh not so much and a couple of towns east and south of there you need one of those Military Surplus LAV's after dark......

      Same is true with the Boro's, Manhattan is booming south of 110th Street and parts of Brooklyn but the rest..... well you know, Queens, Staten Island, Bronx pretty much the same.....

      I'll assume I can guess which mall you went to but how many at the mall do you suppose are living paycheck to paycheck and are carrying 10k plus on their credit cards?? I'll be 90% unless you do your shopping on the Miracle Mile hehehe....

      Restaurants are full but are they making money? I have a lot of friends in that business and not a one is picking u'm and laying u'm down anymore....





      Delete
    6. I grew up on the South Shore and when I was in High School, I worked part time in Garden City. I drove through Hempstead on my way to GC and it was pretty bad back then. That was about 1980 or so. I don't generally go that way so I haven't seen it lately but I imagine that it is much much worse. I'm on the North Shore now but my mother is still on the South Shore so I'm down there fairly regularly. On the surface, everything seems okay but I agree, people are reluctant to change their lifestyles so they maintain those lifestyles using debt. Almost all of the people I come into contact with don't get what's going on although some do realize there are issues but these issues are primarily based on the story lines as told by the MSM, CNBS, etc, so they'll be sitting ducks when the shit hits. I don't try to convince anyone of anything anymore because it's fruitless and I actually damage my own credibility since things are taking a very long time to come to fruition. If I tell someone they should buy gold…well, you get the picture. I know a number of people who shop the Miracle Mile but they're mostly retired Wall Streeters so I agree, the noose is tightening on the masses but it isn't yet very visible to the naked eye around here. Moving sounds like a good idea but not very practical at present.

      Delete
    7. Sorry for all the local banter......

      Yeah things have changed on LI just a tad since the 80's no lie about that but its no different then the rest of the Country however as you pointed out "On the surface everything seems okay" AND it's NOT, not by a long shot!

      Don't mean to sound all gloomy but Hey it's reality, if you actually take the time to dig into your local budgets/numbers and take the time to understand them, hehehehe O'boy you'll get it and for added fun, dig thru your School budgets that will cheer you up!!!!

      If you have the time get involved in your local Chamber of Commerce, talk to the Vendors still left, it ain't pretty and when your driving around and notice renovated Downtown areas with the Fancy New Town Clocks, Street Lamps and Store Front renovations are mostly done thru the Federal Street Scape Grant Program. Kind of Disny'esk don't you think, hehehe plus it makes the "For Rent" sings look better! Reality is Main Street is cooked and it ain't coming back and if you see any substantial construction google TOH IDA, odds are pretty good they're are getting a "sweet" tax deal subsidized by you and me of course!!

      Yup LI is the land of illusion that's for sure and your so right, far to many people haven't a clue, still head down, marching to the beat, keeping up with the Jones's.....

      Think,

      I'd be interested in what your suggestions would be for "getting involved", I have tried locally and let me tell you I didn't make too many friends hehehhee. Your banging your head up against a "System", not necessary people. It's funny one on one you can get pretty much anyone to see your view point on matters but put a few together and suggest removing an small element of the punch bowl that could cause their constituents to get a bit grumpy, well that doesn't work to well.....

      Laws on top of Laws, Regulations designed to protect the status quo all managed by folks that have only their best interest at heart along with their donors of course, oh and did I mention an addiction to debt.....

      If the Article V Constitutional Convention being talked about grows some legs we might have a shot but I ain't holding my breath....

      Local, State or Nationally its a fkn mess.

      Sorry it is what it is......


      Delete
  12. Someone is buying miners aggressively. I think that could be a lot of what I saw the other day right before the close of GDX.

    ReplyDelete
  13. they'll continue to accumulate as the "tax loss" selling plays out.......timed beautifully

    ReplyDelete
  14. I'm seeing this already and look for it to be come the "norm" very soon

    http://www.zerohedge.com/news/2013-12-05/fast-food-workers-go-strike-100-cities-applebees-unveils-waiter-terminator

    ReplyDelete
    Replies
    1. Rent a Mob distraction's.........

      Wage equality,

      Minimum Wage hikes,


      Where did all the news on ACA go????

      Delete
  15. WE FINANCE AYNBODY:

    Auto Lending Standards Plunge: New Car Loans Average 110% LTV; Used Car Loans 133% LTV with 55% Subprime! Repossessions Up Sharply

    ITS A BUBBBBLE

    ReplyDelete
    Replies
    1. its a complete collapse and this time there is "no ammo left"........when this hole opens the sucking sound will require ear plugs for great great grandpa...........

      Delete
    2. It is those greedy car dealers holding a gun to customer's heads and making them sign those $20-50K car loans. We need to throw those greedy bastards in jail....

      Delete
    3. WHAT! You mean all those sign and drive, skip the first three months payment leases were a bad idea???? I was gonna get a few :)

      Delete
  16. Again with the heavy volume on GDX.

    ReplyDelete
  17. Its Thursday midday, and Atlanta Fed President Dennis Lockhardt just said it’s been a “slow, frustrating U.S. recovery.” Worse yet, the U.S. is not yet close to an “optimal employment picture.” Boy, if that’s not a ringing endorsement for “tapering,” I don’t know what is.

    Why so somber, Dennis? I mean, last week’s jobless claims were just reported as having fallen below 300,000. Oh yeah, as I described yesterday, such numbers are so “seasonally adjusted,” they have lost all relevance. Not to mention, the “labor hoarding” that has caused businesses to procure as many part-time, low paying positions as possible; and oh yeah, the BLS’ very own comment that it is “not unusual for claims to be volatile during the holidays.” Last but not least, don’t forget last month’s temporary decline in jobless claims; you know when California and Nevada stopped reporting amidst major computer upgrades. Simultaneously, it turns out, the Challenger Report stated, “Layoff announcements continue to run at 2-year highs; and thus, today’s results are not a positive indication for tomorrow’s big employment report.”

    And then you have the most manipulated, useless of all economic reports; i.e., third quarter GDP, which was “upgraded” to 3.6% despite most economic indicators suggesting at best, flat output. Of course, it turns out that this number, too, is severely flawed; as nearly all the nation’s “growth” was due to inventory building, whilst consumer consumption was barely positive. In other words, the 4Q number should be dramatically lower; as “growth” – if you can call it that – was borrowed from the future. You know, like government-controlled companies like General Motors posting their second-largest ever month of “channel-stuffing.” Heck, I won’t even mention the ridiculously low “GDP deflator” utilized – relative to actual inflation; as that’s another story, for another day. Andy Hoffman

    ReplyDelete
  18. ann barnhardt on bitcoin

    http://www.youtube.com/watch?v=po5d7Pqr1q8&feature=c4-overview&list=UUHMJsns2MeqLv6m7S30AgVw

    ReplyDelete
  19. Submitted by HeirHelmut on December 5, 2013 - 1:54pm.
    As a computer scientist I want to add a few comments:

    1. Bitcoins are NOT independent from central banks or the government. You can only purchase things with Bitcions, if the government allows shops to accept it. Today China has banned Bitcoins from the Chinese banking system, while still allowing it to be used privately. This could be changed anytime. If a currency is declared illegal, than no official trade can be done with it.

    This leads to point

    2. Bitcoin is totally infrastructure dependent. It's not possible to use it like cash or precious metals. Bitcoins always need the internet.

    3. The net is NOT anonymous.

    4. The net is highly controllable. This is achieved over the ISPs. The ISPs can be forced to block any kind of traffic.

    5. Kill switches have been implemented in the Western regime everywhere. The net can be taken offline within seconds.

    6. If there was a loss of trust into the currency of the US, EUR, JPY and capital controls were established and if money was fleeing into Bitcoins, who really can be naive enough to believe, that Bitcoin transactions would NOT become illegal?

    7. I find it fascinationg how many precious metals lovers are suddenly attracted by Bitcoin, while they despise fiat money. Contrary to fiat money, which is at least covered by the capabilitiy of the state to collect taxes, Bitcoin is backed by aboslutely nothing.

    8. As a computer scientist with some knowledge about cryptography and the net, I can only shake my head, how such a protocol can be advertised as a threat to central banks or currencies and that it was independent and that these forces could not control it.

    9. Bitcoins are only the solution of an equation. These solutions are limited for this one particular equation, but there are infite equations possible and therefore digital currencies.

    10. The UK mint has been planning to promote Bitcoins with gold bullion since the summer. Long before the recent propaganda wave pushed it to new all time highs. This also shows, that they are not hating them, but instead are pushing them.

    ReplyDelete
    Replies
    1. 11. The Winklevoss brothers were heavily involved with Facebook. Facebook is the biggest surveilance program is history. Before the CIA/NSA and MSM media began to push Facebook, nobody would have ever thought that it was a good idea, to share private data publicly. The CIA has admitted that Facebook is a dream for them to come true.

      And now it gets interesting:

      This mass surveillance program has been sold to the sheeple as SOCIAL media. Although there is NOTHING social with virtual contacts and virtual friends (that's a contradition in itself!), this HUGE LIE nevertheless was established.

      12. Bitcoin: To me they show the same brilliant signature as Facebook. The name is program. The name bitcoin is already a lie. BitCOIN.

      But that's not all: they also invented a name for CALCULATING Bitcoins: MINING BitCOINS.

      The naming of Bitcoins is clearly the product of a highly professional PR strategy: it's name is aimed to suggest it was as good as a physically backed currency and the calculation of Bitcoins was named after mining.

      Never before anyone using the computer to solve equations, had the sick idea to call the finding of solutions to an equation MINING. Like never before anyone would have been so dumb to call internet communication SOCIAL.

      13. Nobody knows the ominous inventor of Bitcoin. If I would invent such a hyping tool, I would be proud and would promote it. This also indicates that the inventor of Bitcoin can not stand behind his invention.

      Summary:

      Bitcoins are the most extreme form of FIAT money, they are unlimited in supply, they are unbacked, they do not even have the backing of taxes, they are more dependent on government than cash, they are TOTALLY technically dependent, they can't be used if the government denies technical access to the internet, or if the government bans it from business activity, every transaction is recorded and people understand them even less than the fiat money they use.

      And despite all these overwhelming negative aspects, it was managed to spread them in the gold community.

      THIS IS THE TRUE MASTERPIECE BEHIND BITCOIN.

      It is so genius, and the way how Black is turned into White with the totally false Bitcoin propaganda, to me is the clear, that this is not the product of a "mathematician", that's the language of the Power Elite.

      Delete
  20. Kli, possibly best vid posts I've seen on this blog----Aaron Russo and Daphne Lee (SGT) interviews. It's time to turn the conversation from just hating on the PTB and discussing how clever we are now that we have them all figured out. With knowledge comes responsibility. Daphne gets that. And she's just an "average" mom. The bloggers here likely have way more resources than she does--- certainly plenty of time to clack keyboards and plenty of bucks to gamble. Might there be more productive and valuable uses of just SOME of those resources? Otherwise, we're just playing the fiddle while Rome burns. If God gave you a voice and legs, use them so your kids aren't enslaved. Or maybe save them the inconvenience of the last alternative the CATO institute guy mentioned while testifying in Congress 2 days ago. And keep in mind, SOMEbody invited him there and asked him the questions that allowed him to give those answers.... have the reports of our demise been a little premature? If you watch that hearing, you'll see who wanted them there and the others who tried to downplay it, saying it was a huge waste of committee time. Who actually supports a limited Consitutional Republic that follows Rule of Law and who views that idea with disdain?

    ReplyDelete
    Replies
    1. thanks......I would like to post some of the vids and podcasts that are sent to me but these will suffice.......they're fairly mainstream.........hehehhehee........

      Delete
    2. I concur, props to Kliguy for all the information he posts.

      I think most people with common sense know what the solutions are. Letting capitalism work and allow taxpayer subsidized monopolies fail into bankruptcy court while allowing fresh competition in. Capitalism requires capital, and competition, and based on what that video says, it all seems to stem from the ability to create money, or in this case, debt. We have 50 states, how about 50 competing currencies based on physical productivity and physical things? How do you go about getting special corporate interests out of the legislative process? How would we go about going back to a free market system where risk and reward are balanced again and not just for a select connected few. How do you decentralize?

      First step is to start with things you can control.
      Like one of the guys I like to listen says, if you want something to go away then stop buying it.

      Kli, if these vids are mainstream I'd like to see the vids you get ;)

      Delete
  21. Wow, Tom. Please let me know if you indeed move to Charlotte. If there is anything I could do to help you and your wife, just let me know. Maybe you are considering it b/c you have relatives here? I grew up here but most people moving in are from NY, Ohio, & Pa. But I have to tell you Charlotte is not as inexpensive as it once was, taxes while nothing like yours are going up. S.C. is much less expensive as Inlet has said. I need to move there myself. Best thing about Charlotte for me personally is the airport since I travel a lot. My relatives are in NY, Ga. and Va.

    ReplyDelete
    Replies
    1. Thanks Sis any direction would be welcome, no family just wanting to downsize overhead and simplify life some and get a little land while I'm at it.....

      Oh and of course partake in that famous Southern Hospitality :)

      Folks are to cranky round these parts or maybe I'm just getting old........

      Delete
    2. There really isn't any "land" around where I live but the lots in general may be larger than you have. I live in a townhome near Southpark Mall...there are only 12 of us so it is very private. I have a small backyard and a very small front yard. Charlotte certainly has lots of the big city amenities but also the downside compared with even just 10-15 years ago (traffic, rising property taxes, rising local sales taxes, rising utilities costs). Of course no where near what you have up there. In theory, I'd love a farm in Georgia but there is no way I could handle that. Closest thing to real land here is right across the border in S.C. I think I am literally 7-8 miles from S.C.

      Delete
  22. hard reversal in gold underway with the conundrum of higher yields with "recovery" creating the proverbial "rock and a hard place" .............good news is bad news.......a lie is the truth until nature says it isn't...........

    ReplyDelete
  23. Saw this in the comment section on ZH:

    ""Of course we can afford to raise the minimum wage! We're in a recovery! Job growth is good!"

    Long live the narrative."

    Hehehehe How true........

    ReplyDelete
  24. heavy physical orders in London at 1210 level and the boyz had to hold off on their beatdown.......stymied for now but the game hopefully will stay just a little bit longer.....two more weeks please

    ReplyDelete
  25. Just put in a order for some phyzz this morning. I love the price action in the PMs this morning. This is starting to feel like a bottom!

    Hey Tom, People in these parts are cranky as hell, however I feel that as I get older the more cranky I get. I am turning into my Old Man. I too have been pondering a move away from the big city. Don't get me wrong, I love it here but it is becoming to expensive to raise a family. I would love to move to a cheaper area and have more of a connection with the earth. I have traveled to Charlotte many times this year, I really like the feel of it. Compared to NYC its a bargin!

    Good Luck all!

    ReplyDelete
  26. while things are grinding..........all of you contemplating a move should take stock of several things....... Are you in a large metro area? Are you in or near a "strategic target" (military base, weapons manufacturing, or resource storage etc)? Do you have any ability for self sustainability in your current location? (solar, gardens etc) I'll stop there

    Taking an inventory is reasonable and Joel Skousen has a great resource for this in his book if you ever care to see what someone with a high IQ and a lot of experience in this has to say.

    http://www.joelskousen.com/

    IF one can take a rationale step or two now it may pay dividends big time IF one of the "doomsday" scenarios ever play out.... gold and silver are for the best case scenarios and that's why I invest in them......the "other side" of that coin is Red's scenario and his insight has always been spot on.

    ReplyDelete
  27. If gold were being "heavily sold"....then WHY is this so important to do????? WHY???

    http://news.goldseek.com/GoldForecaster/1386354824.php

    ReplyDelete
  28. talk about another catch22

    government unemployment for 99months at 13$/hour or Wal mart 7.25$/hour or Taco Bell 7.25$ /hour.......hmmmmmmmm....they BOTH get food stamps so that doesn't factor

    ReplyDelete
    Replies
    1. Oh Lucy.... hehehehe While I am of the opinion that the video/caller that irked Bud so much, was not spontaneous or a genuine that call in fact was designed to agitate but you as you pointed out above tough to argue the logic...

      Delete
    2. The Buds of this world are sycophants for the globalist and will never change. If you paint ALL unemployed as parasites and then you paint ALL minimum wage earners taking food stamps and medicaid TO SURVIVE as parasites.......then you lack an understanding of the composition of these populations. The current job "growth strategy" is to move private workers into jobs paying much less than their previous wages.......this supplies a two fold mission. It repairs/fattens corporate balance sheets and prints an "improving" employment picture for the CONfidence. In reality it just puts a nail in the coffin of the middle class as essentials become more expensive we gain a growing "poverty class" with your children having a contracted opportunity to be "better off" than their parents. The globalists believe this will provide them more control but the facts are the real power above the corporate globalist have NO intention of maintaining a massive underclass......it WILL be culled.......

      Delete
  29. http://mises.org/daily/6605/Guardians-of-the-Warfare-State

    ReplyDelete
  30. very nice synopsis

    http://blogdogcicle.blogspot.com/2013/12/defeated-by-taliban-washington-decides.html

    ReplyDelete
  31. make sure that dirty Taco Bell worker doesn't get EBT ......if he really worked hard he could be a "gladiator" for the Roman Empire's "Bread and Circus"......

    http://msn.foxsports.com/mlb/story/robinson-cano-seattle-mariners-jay-z-new-york-yankees-negotiations-120613

    ReplyDelete
    Replies
    1. BTW that EBT card is just a taxpayer subsidy for Taco Bell...... ALL of these low paying big box chains depend on the taxpayer subsidizing them hehehehehehheeh..........just look at Walmarts "associates".........watta game.........

      Delete
    2. hey.......it counts as a "job"......

      Delete
  32. this just about finishes them off

    http://www.zerohedge.com/news/2013-12-06/japan-secures-final-passage-secrecy-bill-designed-kafka-inspired-hitler

    ReplyDelete
    Replies
    1. Wow, no further comment.....and what is it you saying about the drift towards tyranny......

      Holy Chit!

      Delete
    2. I wonder how many people would even know about this and I wonder how much of this is left and if any of it is used to control the price.

      "In 1945, US intelligence officers in Manila discovered that the Japanese had hidden large quantities of gold bullion and other looted treasure in the Philippines. President Truman decided to recover the gold but to keep its riches secret. These, combined with Japanese treasure recovered during the US occupation, and with recovered Nazi loot, would create a worldwide American political action fund to fight communism. This ‘Black Gold’ gave Washington virtually limitless, unaccountable funds, providing an asset base to reinforce the treasuries of America’s allies, to bribe political and military leaders, and to manipulate elections in foreign countries for more than fifty years."

      Delete
  33. The ebt cards are a tax subsidy is a very interesting concept Kli. I never really looked at it that way. But it really is. In my business my employees average wage is about $13/hr. We have very unskilled labor some don't even have a high school diploma, but that does not matter to me if I can train them to do what I need them to do. My starting wage is $9/hr in an area that you can get $13-15/hr just to push a button as long as you can pass the pee test. I need to think on this more. Also, I hope gold gets hit some more so I can buy some more. Because one day soon the crap will hit the fan and you know what happens next......

    ReplyDelete
    Replies
    1. Without all the Government subsidies (LIKE OBAMACARE) like EBT like MEDICAID......like Medicare (yes medicare..who do you think pays the healthcare on those part time old folks at these big box stores) Its all planned by the oligarchy.......its just a neofascist/neosocialist system designed by the globalist.......and you thought this was good old "private enterprise"....hehehehehhehe......... Its designed to destroy competition from the smaller businesses. Its even codified through a number of bills that have been linked here by some of you in preventing mom and pop self sustaining areas from growing. All central planning.......guys like bud are government employees.....hell....I am a government employee......just not directly but then I know where 90% of my income is derived. Bud's angry because they are taxing him ruthlessly......but what he misses is where HIS pay is coming from

      Delete
    2. How do you consider ACA a tax subsity? Unless your refurring to Big Ins/Big Pharma otherwise as i see it, its kicking the snot out of all involved, unless as you pointed out Medicaid recipients.....

      Delete
    3. Here is one personal example......My family just downsized their 47 year old business to 49 employees........AND dropped all of their insurances which had destroyed their profitability. I forget the windfall but it was in the hundreds of thousands. The Big box stores are purposely hiring part time employees (also good for the BLS reports/stats) and these part time employees are obtaining ACA insurance (WHENEVER it gets up)hehehhehe..... These aren't ALL low hourly wages either.... some of these part time people work at more than one job to make ends meet but their insurance is still ACA......the paradigm is the TAXPAYER is subsidizing those that can take advantage of it.....90% of the jobs created this year were PART TIME.....check it out

      Delete
    4. I must admit I have been focused on the end result ala: how this is going to effect the end user and providers, which as you know is and will continue to be devastating both in costs for the majority as well as choice of care. I have not put much thought into the pros and cons business face. The reasons are obvious for the shift to get under 50 employees and the push to get the work week under 30. The freaking law was written with that in mind, hell why wouldn't any business take advantage the "Healthcare" line on the P&L is enormous.

      I never considered the "windfall" effect, so one could conclude as more businesses do this and see enhanced "profitability" due to this chit show, which in reality is nothing more then a great big EBT card for business, your correct Bud gets to carry some more folks......

      Wonderful Country......

      Delete
  34. Not seeing a reason for the PM trade.

    We are in full QE to infinity right now - all that money is going into the stock market, not PMs.

    Any foolish taper talk brings down both the market and PMs.

    As interest rates increase, the opportunity cost for holding PMs increases, people will divert to interest bearing investments.

    If the financial/political world implodes - food, drinking water, guns and ammo will be worth way more than financial assets or PMs.

    We may get a bounce after tax loss selling abates, but then what?

    ReplyDelete
    Replies
    1. QE to infinity is eventually going to hit a wall......either the bond market calls its bluff or its stagflation consequence begins to morph into inflation as CONfidence loss steepens and the velocity of money BEGINS to move up.....THAT is the tight rope the Fed has to walk.........YOU may not see a reason for the PM trade but "someone" does and that "someone" has a lot of money and experience. Miner trade is a little different......that trade is my "best outcome" for the economy trade...ie we DONT go into absolute chaos .......ie a 1981 ending on steroids........without WW3.......

      Delete
    2. another conundrum.....WHY??? WHY???

      http://in.reuters.com/article/2013/12/06/gold-india-deficit-idINDEE9B509Z20131206

      Delete
  35. SAND getting clobbered. Some dilution coming but looks like a buyable dip.

    ReplyDelete
  36. http://thecommonsenseshow.com/2013/12/06/the-martial-law-noose-is-tightening-around-our-necks/

    ReplyDelete
  37. http://www.youtube.com/watch?v=CY9uLyL1j98#t=498

    ReplyDelete
  38. http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/12/6_Fleckentstein_-_Global_Meltdown_%26_Why_Bitcoin_Will_Go_To_Zero.html

    ReplyDelete
  39. http://blogdogcicle.blogspot.com/2013/12/lindsey-williams-on-goldseek-radio-with.html

    ReplyDelete
  40. http://www.youtube.com/watch?v=kvn-8ITy0oc#t=16

    ReplyDelete
  41. http://libertyblitzkrieg.com/2013/12/06/luxury-home-foreclosures-soar-up-61-versus-last-year/

    ReplyDelete
  42. http://finance.yahoo.com/news/china-probe-foreign-currency-trade-144918869.html

    ReplyDelete
  43. http://www.zerohedge.com/news/2013-12-07/bitcoin-crashes-loses-half-its-value-two-days

    ReplyDelete
  44. "Investors are pouring more money into stock mutual funds than they have in 13 years."

    - Bloomberg, November 21

    Can you say T... TO.... TOP

    ReplyDelete
    Replies
    1. no....T...T....TIMMMMMMMMBER...but it may take another month or two

      Delete
  45. Everyone I read saying drop of at least 30-40% but most probably 50% within 1-2 yrs. The question is, how high will we go first?

    ReplyDelete
  46. starts to get rocky in the next 2 months.........and I mean ROCKY.....if they start taper then look for some real nast chit to start.......NOT necessarily immediately but within a "short" period of time. THIS will reaffirm the need for Yellen to step in with the MOTHER of ALL QE............you heard it hear for the first time......The MOTHER OF ALL QE............probably before May.....at least that was my bet with two of the "boyz" from GS.........they of course think I'm crazy....hehehheheheeh

    ReplyDelete
  47. GS people call me a "cynic". Oh, well; talk about being in denial. No, no selfishness in that crowd! Lloyd is so proud of his God's helpers.

    ReplyDelete
  48. One of the reasons for Japan passing the "Gag Order"

    http://www.zerohedge.com/news/2013-12-07/highest-radiation-level-ever-lethal-20-minutes-recorded-outside-fukushima-reactor

    ReplyDelete
  49. HOLY CHIT!!

    http://www.zerohedge.com/news/2013-12-08/china-october-gold-imports-surge-second-highest-ever

    ReplyDelete