Posted at 9:52 AM (CST) by & filed under Bill Holter.

Bill forecasted 2017 as “the year of the truth bomb” which looks to be happening in spades.  As year end approaches we ask for your help in compiling a list of events to be filed under the “truth bomb” category.  We ask that between now and year end you send Bill whatever you believe to be a truth bomb (with a link to story if possible) at  bholter@hotmail.com

Please title your e-mail “2017 Truth Bomb” so it will be easily recognizable to archive.

Bill will use this list for a year end article the last week of the year.

Thank you in advance for your help and efforts!

Posted at 11:20 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

Doug Noland is correct. As we have been trying to tell you, what comes is all about credit because credit is about math…and confidence!

Doug Noland: There Will Be No Way Out When This Market Bubble Bursts
December 11, 2017

This week Doug Noland joins the podcast to discuss what he refers to as the “granddaddy of all bubbles”.

Noland, a 30-year market analyst and specialist in credit cycles, currently works at McAlvany Wealth Management and is well known for his prior 16-year stint helping manage the Prudent Bear Fund.

He certainly shares our views that prices in nearly every financial asset class have become remarkably distorted due to central bank intervention, first with Greenspan’s actions to backstop the markets in the late-1980’s, and more recently (and more egregiously) with the combined central banking cartel’s massive and sustained liquidity injections in the years following the Great Financial Crisis.

All of which has blown the biggest inter-connected set of asset price bubbles the world has ever seen.

Noland foresees tremendous losses as inevitable, as the central banks lose control of the monstrosity they have created:

This is the granddaddy of all bubbles. We are at the end a long cycle where the bubble has reached the heart of money and credit.

There will be no way out. We’re not going to get enough private credit growth to reflate things when this bubble bursts. It’s going to have to come from central bank credit; it’s going to have to come from sovereign debt.

When this bubble bursts, it will shock people how far the central banks will have to expand their balance sheet just to accommodate the deleveraging in the system. And they won’t really be able to add new liquidity to the market; they’re just going to allow the transfer of leveraged positions from the leveraged players onto the central bank balance sheets.

When you get to that point, when the market sees that transfer occurring, I predict there’s going to be fear of long-term financial instruments. We’ll see rising yields. That’s when things will become problematic.

More…

Bill Holter’s Commentary

Doug Noland is correct. As we have been trying to tell you, what comes is all about credit because credit is about math…and confidence!

Doug Noland: There Will Be No Way Out When This Market Bubble Bursts
December 11, 2017

This week Doug Noland joins the podcast to discuss what he refers to as the “granddaddy of all bubbles”.

Noland, a 30-year market analyst and specialist in credit cycles, currently works at McAlvany Wealth Management and is well known for his prior 16-year stint helping manage the Prudent Bear Fund.

He certainly shares our views that prices in nearly every financial asset class have become remarkably distorted due to central bank intervention, first with Greenspan’s actions to backstop the markets in the late-1980’s, and more recently (and more egregiously) with the combined central banking cartel’s massive and sustained liquidity injections in the years following the Great Financial Crisis.

All of which has blown the biggest inter-connected set of asset price bubbles the world has ever seen.

Noland foresees tremendous losses as inevitable, as the central banks lose control of the monstrosity they have created:

This is the granddaddy of all bubbles. We are at the end a long cycle where the bubble has reached the heart of money and credit.

There will be no way out. We’re not going to get enough private credit growth to reflate things when this bubble bursts. It’s going to have to come from central bank credit; it’s going to have to come from sovereign debt.

More…

Posted at 11:18 AM (CST) by & filed under Jim's Mailbox.

It is just so correct. Courtesy of JB.

Jim

A New Christmas Poem

Twas The Night Before Christmas,

He Lived All Alone,

In A One Bedroom House Made Of

Plaster And Stone.


I Had Come Down The Chimney

With Presents To Give,

And To See Just Who

In This Home Did Live.


I Looked All About,

A Strange Sight I Did See,

No Tinsel, No Presents,

Not Even A Tree.


No Stocking By Mantle,

Just Boots Filled With Sand,

On The Wall Hung Pictures

Of Far Distant Lands.


With Medals And Badges,

Awards Of All Kinds,

A Sober Thought

Came Through My Mind.


For This House Was Different,

It Was Dark And Dreary,

I Found The Home Of A Soldier,

Once I Could See Clearly.


The Soldier Lay Sleeping,

Silent, Alone,

Curled Up On The Floor

In This One Bedroom Home.


The Face Was So Gentle,

The Room In Such Disorder,

Not How I Pictured

A United States Soldier.


Was This The Hero

Of Whom I’d Just Read?

Curled Up On A Poncho,

The Floor For A Bed?


I Realized The Families

That I Saw This Night,

Owed Their Lives To These Soldiers

Who Were Willing To Fight.


Soon Round The World,

The Children Would Play,

And Grownups Would Celebrate

A Bright Christmas Day.


They All Enjoyed Freedom

Each Month Of The Year,

Because Of The Soldiers,

Like The One Lying Here.


I Couldn’t Help Wonder

How Many Lay Alone,

On A Cold Christmas Eve

In A Land Far From Home.


The Very Thought

Brought A Tear To My Eye,

I Dropped To My Knees

And Started To Cry.


The Soldier Awakened

And I Heard A Rough Voice,

“Santa Don’t Cry,

This Life Is My Choice;


I Fight For Freedom,

I Don’t Ask For More,

My Life Is My God,

My Country, My Corps.”


The Soldier Rolled Over

And Drifted To Sleep,

I Couldn’t Control It,

I Continued To Weep.


I Kept Watch For Hours,

So Silent And Still

And We Both Shivered

From The Cold Night’s Chill.


I Didn’t Want To Leave

On That Cold, Dark, Night,

This Guardian Of Honor

So Willing To Fight.


Then The Soldier Rolled Over,

With A Voice Soft And Pure,

Whispered, “Carry On Santa,

It’s Christmas Day, All Is Secure.”


One Look At My Watch,

And I Knew He Was Right.

“Merry Christmas My Friend,

And To All A Good Night.”

Posted at 3:03 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

This is just another pin in the dollar’s balloon! First yuan for oil, now oil backed crypto rubles …what is the straw that breaks the dollar’s back?

Russia May Turn To Oil-Backed Cryptocurrency To Challenge Sanctions & The Petrodollar
December 11, 2017

The gradual acceptance of digital currencies, with major exchanges about to launch bitcoin futures trading, may prompt some oil producing nations to ditch the US dollar in crude trade in favor of cryptocurrencies, an oil analyst says.

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As RT reports, Russia, Iran and Venezuela have more than one thing in common.

All three are major oil producing nations dependent on the dollar since the global crude market is traditionally dominated by contracts denominated in US currency.

Moscow, Tehran and Caracas are also facing US sanctions; penalties which are proving effective since the sanctioned countries are dependent on the US dollar to sell their crude.

A decentralized currency – allowing anonymous transactions along with blockchain technology support to facilitate oil contracts – may be the ideal tool to allow the oil producing trio to turn their back on the greenback.

“The advent of cryptocurrencies, therefore, represents a fresh catalyst for commodity-producing countries wishing to abandon the dollar as a means of payment for oil,” said Stephen Brennock, oil analyst at PVM Oil Associates, in a research note seen by CNBC.

Several oil producers have already voiced plans to ditch the dollar in oil trading.

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Last week, Venezuela announced it will launch its own cryptocurrency, the “Petro,” which will be backed by the country’s vast natural resource reserves.

Russia, China and Iran are currently pursuing currency swap agreements to eliminate the US dollar from trade.

More…

Bill Holter’s Commentary

I guess we should ask, how many times will the Clown News Network get knocked down before they don’t get back up again?

CNN Walks Back Jeff Sessions-Russia Bombshell
December 11, 2017

CNN has quietly walked back more of their “bombshell” reporting on the Trump-Russia collusion narrative, and this time it’s a story relating to Attorney General Jeff Sessions’ security clearance forms.

In May, CNN reported that Sessions had failed to disclose meetings he had with the Russian ambassador when he was a senator. Justice Department officials told CNN that Sessions had not listed those meetings on a security clearance form, even though the form says to list “any contact” with the “foreign government” or its “representatives” in the past seven years.

CNN framed the non-disclosures as more evidence of collusion between Russia and the Trump team, writing, “He has come under withering criticism from Democrats following revelations that he did not disclose the same contacts with Kislyak during his Senate confirmation hearings earlier this year.”

At the time, Sessions said he was told by the FBI not to list meetings “connected with his Senate activities,” but CNN’s legal expert denied those claims.

“A legal expert who regularly assists officials in filling out the form disagrees with the Justice Department’s explanation, suggesting that Sessions should have disclosed the meetings,” CNN asserted.

More…

Judge Jeanine: There Needs to Be a ‘Cleansing’ at the FBI, DOJ
December 10, 2017

In her Opening Statement Saturday night, Judge Jeanine Pirro said there needs to be a “cleansing” at the FBI and the Department of Justice.

Judge Jeanine ran down a list of individuals who she said have been dedicated to protecting Hillary Clinton or destroying President Donald Trump, singling out Deputy Director of the FBI Andrew McCabe, FBI official Peter Strzok, former Associate Deputy Attorney General Bruce Ohr, former FBI Director James Comey and Special Counsel Robert Mueller.

“There have been times in our history where corruption and lawlessness were so pervasive, that examples had to be made. This is one of those times,” she said.

She said the FBI and Justice Department have too many “political hacks” embedded, individuals who have never accepted that the American people elected Donald Trump to be commander-in-chief.

“I for one am tired of investigations, politicians posturing. Something more has to be done,” Judge Jeanine said. “The stench coming out of the FBI and Justice Department is like that of a Third World country where money and boys and clubs decide elections.”

More…

Bill Holter’s Commentary

We keep harping about “truth” and why it is important.  What will the reaction be when it arrives full scale and engulfs everything?

US Engulfed In The Most Corrupt Scandal In History & All Roads Lead Back To Obama
December 7, 2017

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Jim Sinclair’s Commentary

The latest from John Williams’ www.shadowstats.com

– Private Surveying of November Labor Conditions Showed Continuing Annual Contraction and Ongoing Non-Expansion
– Still-Heavily-Distorted, November Unemployment Rates Notched Minimally Higher: U.3 Rose to 4.12% versus 4.07%, U.6 Rose to 7.96% from 7.91%, and the ShadowStats-Alternate Rose to 21.7% from 21.6%
– Hurricane-Warped Unemployment and Employment Household-Survey Details Face Near-Term Corrections with the January 5th Benchmark Revisions
– Low-Level Annual Payroll Growth Continued to Signal New Recession – Seasonal-Adjustment Gimmicks Bloated Headline Payroll Gains, where Unadjusted Payrolls Revised Lower but Adjusted Levels Revised Higher; Payroll-Survey Benchmark Revisions Loom for February 2nd
– Fourth-Quarter 2017 Real Merchandise Trade Deficit on Early Track for Worst Showing Since First-Quarter 2007
– October 2017 Nominal Balance of Payments Trade Deficit Increased by 8.6% versus September 2017, by 13.1% versus October 2016
– Shy of Recovering Its Pre-Recession Peak by 22.0% (-22.0%), Real Construction Spending Continued in Annual Decline, as Last Seen During the 2006 Housing Collapse
– Amidst Expectations of a December 13th FOMC Rate Hike, November 2017 M3 Annual Growth Eased Back to 4.6% from 4.8% in October, as Monetary-Base Annual Growth Jumped to a Four-Year High of 8.1%

“No. 924: November Labor, Private Surveying and M3, October Trade Deficit and Construction Spending”

www.shadowstats.com

Posted at 12:54 PM (CST) by & filed under USAWatchdog.com.

U.S. Government Criminal Enterprise – Catherine Austin Fitts
December 10, 2017

Financial expert and investment advisor Catherine Austin Fitts says the U.S. Government runs on massive criminal activity. Fitts explains, “The U.S. economy is deeply dependent on criminal cash flows. We’re the global leader in money laundering. If we stopped doing that, the economy would be in for a major, major change. . . . The preference for most Americans is to keep that system going as long as it works for them. So, it you are a public official, you are between a rock and a hard place. If you press the red button and stop the illegal cash flows, then all hell breaks loose. . . . The U.S. Government has been run as a criminal enterprise, and I have documented and proved that on multiple occasions. The swamp that exists in Washington is from sea to shining sea. It’s not just in Washington. It’s in every county and every state house in the country. If we are going to change and clean ourselves of enormous financial dependencies on criminal activities, we are talking about a very big change, and it’s not just in Washington.”

So, in the big picture, where are we now? Why are so many top people in politics and Hollywood being taken down? Fitts says, “These people are expensive. This is a fundamental re-engineering. . . . We are watching purges, but these purges are knocking out the expensive people, people we no longer need from the financial coup d’état period, and you are bringing in a new wave of people or you are just downsizing. So, we see sex purges in Hollywood and in various forms of media and entertainment. . . . You have various purges going on because the reality is the world needs to move on. This money needs to be reinvested, and you can’t afford a bunch of egotistical maniacs who were good at stealing money. You can’t use them to build the future, and you can’t afford them. . . . There is a huge amount of money that is floating around in fixed income and derivative markets, and now you’ve got to bring it down into the hard economy and hard assets. How do you do that? You need to switch the caliber of the people for management and reinvestment of the money. You have to do it in a way that doesn’t kick off hyperinflation.”

More…

Posted at 12:18 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

Here it comes yet barely reported on!

China Will Run Trade Tests for Yuan Oil Futures This Weekend, Hopes to Roll Out Contracts by Year-End
December 8, 2017

(Yicai Global) Dec. 8 — A unit under Shanghai Futures Exchange will hold market-wide training simulations tomorrow and on Dec. 10 in preparation for the formal inauguration of the crude oil futures contract, Sina reported yesterday.

The International Energy Exchange conducted four mock trading exercises for crude futures in June and July. It will look to roll out the contracts by the end of this year, an official at INE said after the last session.

Oil consumption in the Asia Pacific region as a percentage of the global total has continued to rise in recent years, and the region has become the main growth driver for international petroleum use. Crude futures will serve as a barometer for supply, demand and price fluctuations in China and the Asia Pacific oil markets, similar to the West Texas Intermediate and Brent indicators in the US and Europe, an energy futures manager at Shanghai Futures Exchange said.

More…

Bill Holter’s Commentary

…I guess we will find out about the liquidity issue?

The Bulgarian Government Is Sitting on $3 Billion in Bitcoin
December 7, 2017

A crackdown on organized crime by Bulgarian law enforcement in May resulted in the seizure of more than 200,000 bitcoins – an amount worth more than $3 billion at today’s prices.

According to a press release dated May 19 from the Southeast European Law Enforcement Center (SELEC), a regional organization comprised of 12 member states including Bulgaria, a total of 213,519 bitcoins were seized that month. Twenty-three Bulgarian nationals were arrested during the operation, and officials said at the time that the arrests and subsequent asset seizures followed an investigation into an alleged customs fraud scam.

As of press time, the amount seized is worth approximately $3.3 billion, at a price of roughly $15,524, according to CoinDesk’s Bitcoin Price Index (BPI).

Authorities commented at the time:

“The offenders choose the bitcoin way of investing/saving the money, because it is rather difficult to be tracked and followed.”

They further alleged that those involved developed a virus which was used to hack into Bulgarian Customs computers, allowing the perpetrators to skip paying fees when transporting goods into the country. The virus was uploaded to government machines by bribed agents, according to the release.

More…

Bill Holter’s Commentary

This is hilarious! If you want to have some fun, scroll around the stadium to see how many tickets are still for sale for the Rams/Eagles game! Please don’t tell me the tickets are not sold because of the fires, it has been this way since the season started on its knees. This game is between the leaders of the NFC West and NFC East…yet Fox is “auditioning” actors to play as Ram fans for the pregame? What kind of business plan is this?

https://www.vividseats.com/nfl/los-angeles-rams-tickets/rams-vs-eagles-1-3-2291768.html?utm_source=msn&utm_medium=CPC&utm_campaign=NFL+Football+Sitelinks&utm_term=buy%20la%20rams%20tickets&vkid=456327

Bill Holter’s Commentary

This is the YouTube by Architects and Engineers that David spoke of during our call for subscribers

Video: I Believe in 9/11 Miracles
December 7, 2017

More…

Bill Holter’s Commentary

Goes right along with what we spoke of today on our call for subscribers…

Peak Fantasy Time
December 8, 2017

If you want to know why both Wall Street and Washington are so delusional about America’s baleful economic predicament, just consider this morsel from today’s Wall Street Journal on the purportedly awesome November jobs report.

Wages rose just 2.5% from a year earlier in November—near the same lackluster pace maintained since late 2015, despite a much lower unemployment rate. But in a positive sign for Americans’ incomes, the average work week increased by about 6 minutes to 34.5 hours in November…. November marked the 86th straight month employers added to payrolls.

Whoopee!

Six whole minutes added to a work week that has been shrinking for decades owing to the relentlessly deteriorating quality mix of the “jobs” counted by the BLS establishment survey. In fact, even by that dubious measure, the work week is still shorter than it was at the December 2007 pre-crisis peak (33.8) and well below its 2000 peak level.

The reason isn’t hard to figure: The US economy is generating fewer and fewer goods producing jobs where the work week averages 40.5 hours and weekly pay equates to $58,400 annually and far more bar, hotel and restaurant jobs, where the work week averages just 26.1 hours and weekly pay equates to only $21,000 annually.

In other words, the ballyh0oed headline averages are essentially meaningless noise because the BLS counts all jobs equal—-that is, a 10-hour per week gig at the minimum wage at McDonald’s weighs the same as a 45 hour per week (with overtime) job at the Caterpillar plant in Peoria that pays $80,000 annually in wages and benefits.

More…

Bill Holter’s Commentary

Maybe these “lost troops” know where our missing $21 trillion went to?

Report: 44,000 ‘Unknown’ Military Personnel Stationed Around The World
December 7, 2017

WASHINGTON — The U. S. military has more than 44,000 troops across the globe that the Pentagon claims it cannot track, according to a recent report.

“We are not at a point where we can give numbers other than those officially stated,” said Army Col. Rob Manning, a Pentagon spokesman.

The report — compiled by the Defense Manpower Data Center under the Office of the Secretary of Defense — shows more than 44,000 personnel in a category labeled “Unknown.”

Active-duty military personnel number slightly more than 1.3 million in the Army, Navy, Marine Corps and Air Force, and hundreds of thousands more civilian personnel fall under Defense departments. That number does not include Reserve and National Guard formations that might be active at any particular time.

The United States has military personnel in nearly every country in the world, ranging from two liaison officers in Fiji to tens of thousands from all of the service branches in Japan and Germany, according to the report.

 

Manning said during a press briefing Wednesday that troop numbers in Syria are about four times higher than reported by the Pentagon, with 2,000 present in the country. He also clarified that there are 5,200 in Iraq, up from about 5,000 reported earlier.

“We seek to balance informing the American public with the imperative of operational security and denying the enemy any advantage,” Manning said at the briefing.

More…

Posted at 12:03 AM (CST) by & filed under Jim's Mailbox.

This is an excellent take on bitcoins type tulips.

Jim

My Take on Bitcoin
December 18, 2013

Let me say from the onset that I am happy to see the introduction of a free market medium of exchange. In my book, The New Gold Standard, I state that in this technological age there is absolutely no way to predict what form a new money, or a new monetary system for that matter, will take, should one develop. The keys to any successful money or system however, lie in competition, use value, acceptability, and of course, integrity. Any lasting money must be market-originated and market-tested to survive.

Down through the ages almost every conceivable good was used as money, from sea shells, to tobacco, to olive oil, to metals. It wasn’t until the 1500s and well into the 1600s that an international system of money was contemplated and eventually implemented. It was the gold standard. Nicolas Copernicus and Sir Isaac Newton were two of the great minds that contributed to this effort in their respective times. And in fact the gold standard reigned for centuries virtually unimpaired.

While gold has been around for over 5000 years as a medium of exchange in one form or another, bitcoins have been around for about an hour and a half — in millennial terms. And therein lies its problem. No one really knows how viable this currency will be over time – it’s not tested. The Euro has been around for a lot longer than the bitcoin, but has still to pass the confidence test. I peg 1933 as the year the new fiat dollar was created. That was the year the US government confiscated gold and made it illegal for Americans to own. That was the year that the dollar became a true fiat currency, not dependent on the market value of an underlying commodity, but reliant completely on government decree. Not only was the supply of money now controlled by the Fed, but convertibility of what were paper claims to gold, was now outlawed by the government.

The Pound has actually survived the longest as a currency, both gold-backed and as a fiat currency. Which brings us to the inescapable conclusion that fiat currencies can survive and function even though that functioning is dubious at best. They have historically lost value. The dollar has, since the Fed took over the money supply in 1913, lost 98% of its value. But it still exists as a medium of exchange and functions effectively. Milton Friedman believed a fiat standard was the best standard as long as the money supply was controlled. This is what Bitcoin is attempting to create, a non-political currency based purely on supply and demand. The one difference between this fiat currency and others is that the supply will eventually be fixed at 21 million bitcoins. This has never been done before.

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Bill & Jim,

I know YOU know about this, but now it is getting closer to “main stream” news. Of course, this article comes from those rascally Russians :o)

CIGA Buz

Russia-China Real Gold Standard Means End Of US Dollar Dominance
December 9, 2017

The BRICS counties are considering starting an internal gold trading platform, according to Russian officials. When this happens, the global economy will be significantly reshaped, and the West will lose its dominance, predicts a precious metals expert.

In 2016, 24,338 tons of physical gold were traded, which was 43 percent more than in 2015, according to Claudio Grass, of Precious Metal Advisory Switzerland.

Gold moving from the West to the East

“We have to put the BRICS initiative into a broader context. It is just part of a geopolitical tectonic shift which started decades ago. We have seen a constant outflow of physical gold from the West to the East. At the same time, the West has lost the economic war, and as a consequence, the focus now turns to the financial system. China dominates the world economy and has displaced the US as the world’s most formidable economic powerhouse,” he told RT.

The creation of a new gold standard by BRICS is also a step to end the US dollar’s domination of the global economy

“As Bejing and Moscow understand that America used the dollar to control the world, by implementing a new kind of ‘Gold standard 2.0’ they want to distance themselves from this control. Furthermore, the vast majority of the people in Asia sees gold as superior, or ‘real’ money, something the West has forgotten, because of all the paper wealth (credit) they have accumulated,” said Grass.

The expert notes the BRICS countries account for 40 percent of the world’s population and around 23 percent of the world’s domestic product.

More…

Just because this comes from RT does not make it false. In fact, they certainly have a better track record than the like of CNN et al.

Bill

Posted at 5:36 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

So what else is new? The problem they are creating is no one will ever believe them IF they actually uncover real news. We should have known all those years ago during the Iraq war when their reporter put a gas mask on and it turned out to be in front of a blue screen. Truly the most busted news in the business!

CNN Botches “Bombshell” Report “Proving” Collusion Between Trump Jr And Wikileaks
December 8, 2017

CNN misreported key details of an offer made to Donald Trump Jr. last year of a batch of stolen Wikileaks documents.

The story, which CNN published on Friday and covered extensively on TV, was touted as the first evidence that the Trump campaign was given a heads-up about documents stolen from Democrats.

But the story appears to have been riddled with errors, while also lacking key context.

Perhaps the most jarring error in the CNN report is the date on which Trump Jr. was sent the email. The network reported that a person named Mike Erickson emailed Trump Jr. and others on the Trump campaign on Sept. 4, 2016, with a link to Wikileaks documents as well as a decryption key to access them.

The email also offered access to emails that had been stolen from former Sec. of State Colin Powell, according to CNN.

But a copy of the email provided to The Daily Caller shows that Erickson sent the email on Sept. 14.

That date is significant because WikiLeaks had released a batch of stolen documents on Sept. 13. The group touted its release of the DNC documents, which were published by Guccifer 2.0

More…

Posted at 12:04 PM (CST) by & filed under Jim's Mailbox.

Coutesy of JB

Jim

clip_image002

“If you audit yourself, you have not been audited!” Courtesy of JB.

Jim

Officials Announce First DoD-Wide Audit, Call for Budget Certainty
December 7, 2017

WASHINGTON, Dec. 7, 2017 — The Defense Department is starting the first agencywide financial audit in its history, Pentagon officials announced today.

Defense Department Comptroller David L. Norquist and chief Pentagon spokesperson Dana W. White spoke during the Pentagon news conference, in which they also addressed the possibility of a government shutdown when the continuing resolution that has been keeping the government running expires tomorrow.

Norquist said he received the DoD Office of Inspector General’s notification that the financial statement audit begins this month.

Taxpayer Confidence

The audit is massive. It will examine every aspect of the department from personnel to real property to weapons to supplies to bases. Some 2,400 auditors will fan out across the department to conduct it, Pentagon officials said.

“It is important that the Congress and the American people have confidence in DoD’s management of every taxpayer dollar,” Norquist said.

Audits are necessary to ensure the accuracy of financial information. They also account for property. Officials estimate the department has around $2.4 trillion in assets. “With consistent feedback from auditors, we can focus on improving the processes of our day-to-day work,” the comptroller said. “Annual audits also ensure visibility over the quantity and quality of the equipment and supplies our troops use.”

The DoD Office of the Inspector General hired independent public accounting firms to conduct audits of individual components – the Army, Navy, Air Force, agencies, activities and more – as well as a departmentwide consolidated audit to summarize all results and conclusions.

“Beginning in 2018, our audits will occur annually, with reports issued Nov. 15,” Norquist said.

More…



Jim/Bill,

One of my daughters sent me an excellent site from Bloomberg showing the Bitcoin supporters and naysayers.

https://www.bloomberg.com/features/bitcoin-bulls-bears/

I looked at the proponents (in Green) and evaluated their reasoning.   Came up with hogwash!

Carve their statements up like a surgeon with a knife and all you get is conjecture and misunderstanding.

My comments are next to the individuals’ names.

Here are most proponents listed below:

CIGA Wolfgang Rech

Jeff Currie  (Boy is he wrong.  It DOES have counterparty risk to some extent.  You don’t have it in your hand.)

Global head of commodities research, Goldman Sachs Group Inc.

“I don’t see why there is all this hostility to it.” Bitcoin is “not much different than gold” because it doesn’t have liability attached to it, by definition, like a security.

Kyle Bass  (“It’s a Mania and people will go broke”.  some resounding support!)

founder, Hayman Capital Management

“I think it will be an asset class that will work over time. I’m not sure how to value it yet, I really have no idea … I think there’s a digital gold rush that’s gone on. I think a whole bunch of people are going to lose a lot of money. These ICOs? You’re going to see a bunch of them go completely broke. A bunch of them are frauds, and that’s going to be problematic for all the people that just rushed in. And so I feel like it’s a bit of a mania at the moment, but I think in the long term, it’s a viable asset class.”

Mark Cuban  (It’s only a trading vehicle, nothing more!  He got that right.  Not exactly reassuring.)

billionaire venture capitalist

Bitcoin’s “value is a function of supply and demand; it doesn’t really do anything else … Blockchain is a great platform for future applications.”

Lloyd Blankfein  (” I don’t have an investment in it.”   That says it all.)

chief executive officer, Goldman Sachs Group Inc.

“I don’t have an investment in it, but I’m not willing to pooh-pooh it, and that’s why I say I’m open to it.”

Peter Thiel   (It’s an IOU, nothing more nothing less.  Too much volatility and instability.)

co-founder, PayPal and billionaire venture capitalist

Bitcoin critics are “underestimating [it] … It’s like a reserve form of money, it’s like gold and it’s just a store of value. You don’t need to use it to make payments.”

Mike Novogratz   ( Great!  Invest in it because it’s a bubble.)

former macro manager, Fortress Investment Group

“This is going to be the largest bubble of our lifetimes … Prices are going to get way ahead of where they should be. You can make a whole lot of money on the way up, and we plan on it.”

Abigail Johnson (“I’m just about alone as a believer.”  So what makes her right?)

chief executive officer, Fidelity Investments

“I’m a believer. … I’m one of the few standing before you today from a large financial-services company that has not given up on digital currencies.”

Haruhiko Kuroda  (He’s talking about Blockchain..;….NOT Bitcoin.)

governor, Bank of Japan

“Given that the development of financial services has been supported by ledgers as the basic infrastructure for information, the dramatic changes in how ledgers are kept may have the potential of significantly changing the structure of financial services.”

Richard Branson  (As a currency, it’s NOT working….yet.   But be in it for volatility to make money (gambling))

founder, Virgin Group

Bitcoin as a currency “is working. There may be other currencies like it that may be even better. But in the meantime, there’s a big industry around bitcoin. People have made fortunes off bitcoin; some have lost money. It is volatile, but people make money off of volatility, too.”

Milton Friedman  (I know he’s a Nobel Laureat, but think about what he’s saying:  “It’s exactly like cash”.  Furthermore, why would you want to give money (e-cash) to someone you don’t know?)

Nobel prize-winning economist

“The internet is going to be one of the major forces for reducing the role of government. The one thing that’s missing, but that will soon be developed, is a reliable e-cash: a method whereby on the internet you can transfer funds from A to B without A knowing B or B knowing A — the way in which I can take a $20 bill and hand it over to you, and there’s no record of where it came from.”