# 7 Major Advance Warnings



## BillS (May 30, 2011)

This is a long article. I posted bits and pieces. When you read the whole article you may agree with me that there's a good chance the collapse will happen soon. You should check out the whole thing:

7 Major Advance Warnings

As soon as we see the likelihood of major bankruptcies and defaults, we don't wait around. We warn you immediately.

That's why we specifically warned our readers about &#8230;

• The failure of Bear Stearns 102 days ahead of time (Money and Markets of December 3, 2007) &#8230;

• The failure of Lehman Brothers 182 days ahead of time (Money and Markets of December 3, 2007 and March 17, 2008) &#8230;

Warning #1
Greece will default very soon.

Warning #2
The contagion of fear will spread.

Anyone who thinks global investors will turn a blind eye to the Greek default is in for a big shock.

Greece is not a small, third-world country. It's a member of the European Union and part of the euro zone. It has over 328 billion euros in debt, more than Ireland and Portugal combined.

Moreover, Greece is not alone, and investors know it. Investors will automatically assume - with good reason - that if one major Western government can default, so can others. And with that assumption, they will refuse to lend any more money to highly indebted governments. Or they will demand outrageously high yields.

Warning #3
European megabanks will collapse.

Warning #4
European governments will suffer a 
cascade of new credit rating downgrades.

Warning #5
Spain and Italy will be next to face 
default on their massive debts.

Spain and Italy have nearly $3.4 trillion in debt, or about 10 times more than Greece.

Warning #6
Global debt markets will 
suffer a critical meltdown.

Warning #7
The vicious cycle of sovereign debt defaults and 
bank failures will lead to a global depression.

Countries and Institutions Downgraded in 
Past 10 Days Alone Have at Least
$7.3 Trillion in Total Debts Outstanding


----------



## kejmack (May 17, 2011)

Good article. I think #2 hits the nail on the head. Everything is now balanced on confidence. Once the public looses confidence, the whole thing is going to come crashing down. Once it starts, there will be no stopping it.


----------



## partdeux (Aug 3, 2011)

In another forum, a friend (yes real live friend  ) posted a similar concern a couple of days ago, and I said, the US govt would step in to prevent the greece collapse... Today I see the G20 is promising to support the financial system. hmmm, who's the powerhouse of the G20?


----------



## VUnder (Sep 1, 2011)

There is more debt in the world than there is money to service the debt. Governments keep operating in the red.


----------



## Immolatus (Feb 20, 2011)

Yes, its all a con(fidence) game. Thats really all its ever been since we got off the gold standard. "Backed by full faith and credit".
The question is, what will it take to shatter the publics confidence?
The masses dont want their confidence shattered, and the PTB knows it. It would take a calamity to do it. Noone wants to think that their system, their very lives, are all based on a house of cards built by GS et. al. with the intention of hoarding the worlds wealth.
Maybe OWS will wake some people up. Maybe.


----------



## BillS (May 30, 2011)

partdeux said:


> In another forum, a friend (yes real live friend  ) posted a similar concern a couple of days ago, and I said, the US govt would step in to prevent the greece collapse... Today I see the G20 is promising to support the financial system. hmmm, who's the powerhouse of the G20?


We're not the powerhouse. We're the country that's willing to destroy our currency to prop up the Euro. We could print $5 trillion or $50 trillion or $500 trillion. That just means the dollar loses, let's say, 80% of its value or 88% of it's value or 99% of its value. To keep it simple, what the Fed does to prop up the Euro and/or the world's banking system could cause hyperinflation in the US virtually overnight.


----------



## Immolatus (Feb 20, 2011)

BillS said:


> We're not the powerhouse. We're the country that's willing to destroy our currency to prop up the Euro. We could print $5 trillion or $50 trillion or $500 trillion. That just means the dollar loses, let's say, 80% of its value or 88% of it's value or 99% of its value. To keep it simple, what the Fed does to prop up the Euro and/or the world's banking system could cause hyperinflation in the US virtually overnight.


My question is, how has this not happened already?


----------



## BillS (May 30, 2011)

Immolatus said:


> My question is, how has this not happened already?


There's no reason to do a massive European bailout yet. Once the dominoes start to fall it will appear to be an emergency for the Fed.


----------



## Immolatus (Feb 20, 2011)

Sorry, I meant with all of the money printing (QE, bailouts, stimulus, etc) thats been done, why havent we had massive devaluation already?


----------



## BillS (May 30, 2011)

Germany started printing money in 1920. They didn't have hyperinflation until 1923.

How Deflation Creates Hyperinflation | Market Skeptics

Our economy is much bigger. The dollar is the world's reserve currency so there are a lot more dollars in existence that don't affect the cost of goods in the US. One of the other factors in hyperinflation is the velocity of money. People don't want to hold the local currency so they spend it as soon as they get it or they buy another currency on the black market. People have yet to lose confidence in the dollar even though we know have double digit inflation.

You might want to check this out. It's a good article:
Hyperinflation - Wikipedia, the free encyclopedia


----------



## VUnder (Sep 1, 2011)

Being the world reserve currency should be explained. When other countries buy oil from the Saudis, that country has to buy US dollars and then buy the oil with the US dollars. So, when you think about all the other countries in the world that buy oil, you realize how many US dollars are really out there. If the confidence is lost, which all that is keeping it there is confidence, gasoline will be 8.00 a gallon the next morning. We are in the middle east to provide stability to the Saudis. They are an enemy to Iran and other muslim countries. If we are not there, the Chinese are there waiting. I have been there and saw it with my own eyes. Lots of chinese businessmen in the middle east. The way it is now, our currency does not have to go up against another currency, other currencies have to go up against ours. If we lose World Reserve Currency status, your dollar will have the same value as a Kleenex. That is why gold and silver has been pushed so hard. Paper money is the last thing you want to have when this happens. Copper, gold, silver, steel, all the metals will hold value because are based on a world market. The dollar will be based on a country market, it will be worthless. Right now, our white house is not promoting faith in anything except allah and the muslim brotherhood.


----------



## VUnder (Sep 1, 2011)

kejmack said:


> Good article. I think #2 hits the nail on the head. Everything is now balanced on confidence. Once the public looses confidence, the whole thing is going to come crashing down. Once it starts, there will be no stopping it.


Most small town banks don't keep much cash on hand. I would be surprised if a medium bank in a medium sized city had 50k on hand right now. When people attempt to get their money, it will be gone. Banks will be locked. Electronic money will be turned off. It will shut down so fast as to make your head spin. It will be like a crowded building and somebody yells they smell gas! it will be a contagious sweep of the population. That is why we prepare so we can sit in the drivers seat in situations like this.


----------



## BillS (May 30, 2011)

I have money in a gold account. I'm going to sell half the gold, do a wire transfer, and hold the cash.


----------



## partdeux (Aug 3, 2011)

Immolatus said:


> Sorry, I meant with all of the money printing (QE, bailouts, stimulus, etc) thats been done, why havent we had massive devaluation already?


As BillS, our economy is massive. The printing is affecting THE REST OF THE WORLD first. Look at what the root cause of the Arab Spring truly is... the cost of food has dramatically risen. Oil is traded in dollars, look at the cost of oil and gas!


----------



## Jimmy24 (Apr 20, 2011)

Bill S, give me your opinion of Germany threating the D Mark again. If it happens, what impact on the eruozone and us would it ultimately have, if any? Do they just print it? or do they have the gold to back it?

Thanks for a great thread.

Jimmy


----------



## partdeux (Aug 3, 2011)

Jimmy24 said:


> Bill S, give me your opinion of Germany threating the D Mark again. If it happens, what impact on the eruozone and us would it ultimately have, if any? Do they just print it? or do they have the gold to back it?
> 
> Thanks for a great thread.
> 
> Jimmy


I'lll offer my view of the threat, if Germany pulls out, and the other currency's will be allowed to float... to having much less value. Germany needs trading with these other countries and if the DM gains too much in value, then they will not be able to export, further leading to their own problems. Germany is the strongest of the bunch, but they themselves are strung out.


----------



## BillS (May 30, 2011)

Jimmy24 said:


> Bill S, give me your opinion of Germany threating the D Mark again. If it happens, what impact on the eruozone and us would it ultimately have, if any? Do they just print it? or do they have the gold to back it?
> 
> Thanks for a great thread.
> 
> Jimmy


Thanks for the question. I'm not sure how Germany could go back to the Mark. Maybe they issue Marks backed by gold. That way their new currency doesn't affect the Euro. They could issue their new currency based on their amount of gold reserves. If they have a billion Euros worth of gold in their central bank they could issue a billion Gold Marks.

One thing I read once about gold-backed currencies: you don't need enough gold to back every single note that you print. Just enough to cover trade deficits. That would be a big problem for the US but not a big problem for Germany or Japan or China.


----------



## Jimmy24 (Apr 20, 2011)

I understand they have gold to back it. Just getting out of the Euro would be an issue I'm thinking. France is not exactly got good finances, along with Italy and Spain. With the Greece thing, sounds like a cluster to me...:gaah:

Thanks for your response. Good one. 

Jimmy


----------



## JayJay (Nov 23, 2010)

VUnder said:


> Being the world reserve currency should be explained. When other countries buy oil from the Saudis, that country has to buy US dollars and then buy the oil with the US dollars. So, when you think about all the other countries in the world that buy oil, you realize how many US dollars are really out there. If the confidence is lost, which all that is keeping it there is confidence, gasoline will be 8.00 a gallon the next morning. We are in the middle east to provide stability to the Saudis. They are an enemy to Iran and other muslim countries. If we are not there, the Chinese are there waiting. I have been there and saw it with my own eyes. Lots of chinese businessmen in the middle east. The way it is now, our currency does not have to go up against another currency, other currencies have to go up against ours. If we lose World Reserve Currency status, your dollar will have the same value as a Kleenex. That is why gold and silver has been pushed so hard. Paper money is the last thing you want to have when this happens. Copper, gold, silver, steel, all the metals will hold value because are based on a world market. The dollar will be based on a country market, it will be worthless. Right now, our white house is not promoting faith in anything except allah and the muslim brotherhood.


Your explanation is why Ghadaffi was murdered???
He was acquiring the gold status for currency??


----------



## Woody (Nov 11, 2008)

Libya had the Dinar, a currency backed by gold and independent from the world banks. It is my understanding that Libya wanted to institute the Dinar as the African currency. Things like that do not sit well with the PTB. How can you have a modern debit based monetary system using money that is based on something besides faith? It was interesting to note that on the third day of their revolution the ‘rebels’ formed a new bank backed by the IMF.


----------



## partdeux (Aug 3, 2011)

JayJay said:


> Your explanation is why Ghadaffi was murdered???
> He was acquiring the gold status for currency??


That is one popular theory


----------



## VUnder (Sep 1, 2011)

The major players will take care of the ones that don't play by thier rules. Ghadaffi wasn't a threat to the security of the United States. Why don't we go to Syria, Somalia, Yemen? When they say it isn't about the money, it's about the money.


----------



## Clarice (Aug 19, 2010)

Have you noticed what countries the Muslim Brotherhood now controls?? All that have ousted their rulers lately.


----------



## TheAnt (Jun 7, 2011)

Immolatus said:


> Sorry, I meant with all of the money printing (QE, bailouts, stimulus, etc) thats been done, why havent we had massive devaluation already?


The only answer is that the dollar is the worlds reserve currency. The larger the market for you currency is the longer it takes for everyone to realize that the dollars they hold are "less rare" or overprinted. As long as everyone accepts the dollar at its arbitrary value it seems to retain that value. Eventually it will fall because its foundation is already gone.


----------

