Jim’s Mailbox

Posted at 6:24 AM (CST) by & filed under Jim's Mailbox.

Bill,

This was passed on to me by your friend. I thought it was spot on as it explains the why they are crashing the markets.

Dave

The Psychological Warfare Behind Economic Collapse
December 20, 2018

The concept of using the economy as a weapon is not an alien one to most people. Generally, we understand the nature of feudalism and how various groups can be herded onto centralized plantations to be exploited for their labor. Some people see this as a consequence of “capitalism,” and others see it as an extension of socialism/communism. Sadly, many people wrongly assume that one is a solution to the other — meaning they think that crony capitalism is a solution to communist centralization or that communism is a solution to the corruption of crony capitalism. The reality is that this is just another false paradigm.

What is most disturbing is that the majority of the public have no grasp whatsoever of the true solution to the problem of corrupt or totalitarian economies: free markets.

Free markets have not existed within the global economy on a large scale for at least the past 100 years. The rise of central banking has eroded all vestiges of freedom in production and trade. Crony capitalism with its focus on corporate power and monopoly has nothing to do with free markets, despite the arguments of rather naive socialists who blame “free markets” for the problems of the world. If you ever hear anyone making this claim, I suggest you remind them that corporations and their advantages are a creation of governments.

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CIGA Tom with an absolute fact! I left the business at the end of 2006 because I knew what was coming. I cannot even imagine being a branch manager in today’s world? A dear friend of mine used to say “Wall St. does not have enough capital to settle the lawsuits that are coming”. If we retain the rule of law, this will certainly be true!

Bill

IceCap Asset Management: An Entire Generation Of Investment Professionals Has No Idea What’s Coming
December 22, 2018

Submitted by Keith Decker of IceCap Asset Management

Asymmetrical Risk-Return Relationships

Want to know why the house always wins in Vegas? It’s because the odds, or probable outcomes are always in favour of the house, or put another way – the gambler always has the deck stacked against him. This concept is called the asymmetrical risk-return relationship, and it also exists in the investment world.

The average investor is told that stocks always go up over the long-run.

Although the long-run is rarely defined, and it’s never the same for every person or every market; this expression is effectively trying to describe an asymmetrical risk return relationship. This relationship is one where the expected positive returns from the stock market significantly exceed the expected negative returns from the stock market.

The same is also true for the bond market.

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Jim,

As we said on Saturday, the US has no answer to hypersonic.

Dave

Putin Warns US Against Misadventures
December 19, 2018

The Russian President Vladimir Putin’s address to an expanded meeting of the Defence Ministry Board in Moscow on December 18 stands out as a tour d’horizon of the global strategic balance. The speech must be seen against the backdrop of the free fall in US-Russia relations, build-up of NATO infrastructure on Russia’s western borders and, in particular, the Trump administration’s statements about the US withdrawing from the Intermediate-Range Nuclear Forces (INF) Treaty of 1987.

Broadly, Putin’s message is in three directions:

The modernization of Russian armed forces has been most successful and the combat readiness of Russian military is at an all-time high level;

Russia has developed new hypersonic weapons of immense destructive power, which are going into serial production for deployment with the strategic nuclear forces to which the US simply has no answer;

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Bill said, it is all about debt.

Dave

Investors To Corporate America: You’ve Got A Debt Problem
December 19, 2018

It’s getting awfully difficult for investors to ignore Corporate America’s mountain of debt.

Fears of an economic slowdown — or even recession — have turned a spotlight on the debt that businesses piled up during the past decade, when borrowing costs were historically low.

For the first time since the Great Recession, investors want companies to prioritize paying down debt rather than investing in the future or share buybacks and dividends, according to a Bank of America Merrill Lynch survey of global fund managers.

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Jim,

You can’t make this up!

Dave

Controversial Treatment Transfuses Patients With ‘Young Blood’ From Teenagers To Reverse Aging Process
December 20, 2018

PHILADELPHIA (CBS) — Could the secret to eternal youth be found in blood transfusions from young people? Some claim that transfusions with “young blood” from teenagers can reverse the aging process.

It’s being tested in patients over the age of 35 as part of a clinical trial called ambrosia, where people paid $8,000 to get the rich growth factors found in bloods plasma platelets.

“There are pretty much people from most states, people from overseas, people from Europe and Australia,” Dr. Jesse Karmazin said.

Results of the trial have not been published.

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Jim,

We will need to keep both eyes on the ball here.

Dave

Why Trump’s Peace Signal In Syria Could See US Clash With Russia In Ukraine
December 21, 2018

Trump’s abrupt call for US troops to leave Syria is being lambasted by his domestic critics as “a gift to Russia.” The paradox is that peace signals on Syria could bode sharper conflict with Russia in Ukraine. Hardly a gift.

President Trump’s announcement via Twitter of a military pullout from Syria is best understood as a superficial political move.

The subsequent prompt resignation by his Defense Secretary James Mattis – within hours of Trump’s declared withdrawal – shows the president is deeply at odds with the Pentagon. Military officials say they were blindsided by Trump. Mattis’ resignation, therefore, came as a rebuke.

Trump’s feel-good rhetoric in announcing the Syria move betrays his egotistical craving to be seen as bestowing a Christmas goodie to his voter base.

“We have won against ISIS. Our boys, our young women, our men – they’re all coming back and they’re coming back now,” said Trump in self-congratulatory tone.

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Jim,

Looks like so far, no one has turned them in.

Dave

Over One Million Gun Owners Have Refused To Obey Ban In New Jersey, No One Giving Up Cartridge Magazines
December 23, 2018

Residents of New Jersey were given a deadline to turn in their gun magazines or become felons overnight, and so far, no one is complying.

Unless you’ve been under a rock lately, then you’ve likely seen the unprecedented push by all levels of government to separate law abiding Americans from their guns. No, this is not some conspiracy theory. The president himself ushered in a new level of gun control doing what his liberal predecessor even refused to do by banning bump stocks. However, as states across the country seek to limit the ability of innocent people to defend themselves, people are disobeying.

In May, Gov. Phil Murphy signed a law that reduced the maximum capacity of ammunition magazines from 15 rounds to 10. Citizens immediately sued the government, citing the unconstitutional nature of the ban, but they failed.

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Jim/Bill,

As an official member of the Tin Foil Hat Club, here is my Christmas card for readers.

Merry Christmas!!

Dave

It’s a Christmas conspiracy, Charlie Brown!
December 22, 2018

Merry Christmas, VT readers!

‘Tis the season for exchanging gifts, ’tis it not? ‘Tis also the season for sending your friends and relatives some sort of greeting card, letter, or (if you’re a cyber-acculturated cheapskate) email letting them know you’re not dead and giving them at least a vague sense of what you’ve been up to.

So why not send your friends and relatives some thought-provoking mirth too?  Just forward this Peanuts parody as—or alongside—your “official Christmas greeting.” Who knows, if it goes viral, maybe thousands or even millions of people will eventually come to doubt the official story of Santa Claus!

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Jim,

You probably will not see MSM cover this.

Dave

Carbon Dioxide Emissions From The U.S. Power Sector Have Declined 28% Since 2005
December 23, 2018

From EIA

From December 17 through December 31, Today in Energy will feature a selection of our favorite articles from 2018. Today’s article was originally published on October 29. EIA’s forecast for energy-related CO2 emissions was detailed in another article.

 

 

 

 

 

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Bill,

Will the public finally figure out that every thing is manipulated, especially the weather.

Dave

China And Russia Band Together On Controversial Heating Experiments To Modify The Atmosphere
December 18, 2018

A total of five experiments were carried out in June. One, on June 7, caused physical disturbance over an area as large as 126,000 sq km (49,000 square miles), or about half the size of Britain.

The modified zone, looming more than 500km (310 miles) high over Vasilsursk, a small Russian town in eastern Europe, experienced an electric spike with 10 times more negatively charged subatomic particles than surrounding regions.

In another experiment on June 12, the temperature of thin, ionised gas in high altitude increased more than 100 degrees Celsius (212 degrees Fahrenheit) because of the particle flux.

The particles, or electrons, were pumped into the sky by Sura, an atmospheric heating facility in Vasilsursk built by the former Soviet Union’s military during the cold war.

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