Phishna's 2008 predictions

[truthseeker777]

Phishna’s 2008 predictions

The 2007 subprime collapse pulls the US economy first into recession then outright deflationary housing depression. Rejoice! It’s finally ending – the outrageous Federal Reserve debt fraud has reversed and is now collapsing in upon itself. This is good news for those of us sick of Hummers, Bush, war, skyrocketing debt that has pushed prices ever higher. Remember that in the modern world of banking inflation is primarily caused by increasing money and credit. Ever increasing debt gives people more money to spend and that causes price inflation. In other words, as long as people can borrow (more and more exponentially) we’ll all screwed with higher prices, like cars that cost $25,000. Once the game stops, however, prices will fall, which is far better situation for the poor.

Here’s a sad fact – the American economy is driven by ever increasing borrowing, what happens when it stops and reverses? America would already be in an economic recession/depression if it were not’t for home equity borrowing. Americans are using the equity of the home as an ATM machine - truly a last desperate act of cash strapped Americans. Falling home prices will reverse this trend, equity borrowing will end and foreclosures will soar even on prime mortgages.

Real estate has been the biggest vehicle for the invisible transfer of wealth because of inflation and leverage. Millions were made millionaires because the credit bubble was greatly inflated carrying the real assets along. This was especially true of leveraged debtors who’s investments and homes soared in price making them wealthy overnight. In fact books and seminars touted “no money down” purchases to maximize gain by maximizing leverage. For the last several decades it’s been the bonfire of the vanities even to the point in some areas real estate could be flipped repeatedly for a tidy profit.
No one figured that little to no money down strategies only work when prices keep increasing.

But now, thank god, it’s over. Now for the margin call. The music has stopped and here’s what really interesting, most of the players were completely unaware that the bubble was all just an exponential credit phenomenon driven by the players themselves, in other words it was a mania. The fact is there is now over 45 trillion of outstanding federal, state, corporate, and private debt in America with asset values plummeting. Has anyone stopped to think about this? How is it possible for everyone to be in debt all at the same time? It’s impossible unless credit keeps expanding. So now that the subprime bust is toppling prices, the next series of dominoes will fall like the no money down investors or low equity homeowners. All through 2008 we’ll see story after story about the woes in the housing market. Bush will be frozen like a scared rabbit and do nothing.

Home prices in terms of gold basically remained flat. That proves that soaring house values were a monetary/credit inflation driven phenomenon. In other words it was a lie, just like when they created the fiat money system they did so in secret they named the private bank ‘Federal Reserve’ which is neither Federal or with reserves. In 2008 many people will find themselves upside down in their home mortgages where they owe more than the house is currently valued (no different than many auto loans made recently where the buyer was upside down on the loan the moment he drove off the lot). This will lead to the next phenomenon, upside down borrowers will walk away from their debts in search of cheaper property. Many central California buyers are already seeing 40-60% price decreases in their neighborhood even though they bought just 12-36 months ago.

The experts told us that Southern California real estate prices could never fall because everyone wants to move there. The fact is SoCal prices are falling. Real estate professionals are really greedy liars (or idiots) who instinctively know that commissions are based on selling optimism. Who’s going to buy if you tell them the price is going to collapse? Regardless, prices are overly inflated and are correcting in a multiyear decline and will probably drop below the nominal growth trend before recovering. Markets tend to over-correct or they oscillate around a nominal value. American real estate was a mania just like tulip mania in Holland c. 1636.

Now that the credit bubble has popped, financial Armageddon is upon us, the upcoming collapse will be a wave repeat of the 1930’s depression. Bush’s inflationist pick Ben Bernanke can do nothing to stop the collapse because it is a mass psychological driven phenomenon – banks can not be forced to lend and consumers can not be force to borrow. All the Fed can do is lower rates so some pundits have nicknamed the Fed chairman as Helicopter Ben because of his Senate inductions comments that he would helicopter over America and throw cash out. This is nonsense, in the upcoming collapse the Fed is going to save itself and not monetize bad debt. That’s exactly what it’s doing right now. Remember the Fed is a for profit private bank. 2008 will at least provide us with joyless entertainment during the upcoming Congressional hearings and political hand wringing. Helicopter Ben might even be made the scapegoat and replaced with the Wolfowitz. Bet your last paper dollar that GWB will bailout the big banks and his corporate pals forgetting about the poor and middle class just as he did with Enron and Katrina.

The modern fractional reserve system is truly crazy and the source of our economic instability. So why do we put up with it? Are we insane? No. Most people are caught in the credit web, existing day to day, and are completely unaware of how the system works. Most are concerned about their credit rating when they should be learning how to live without credit. In 2008 many people will learn that cash is king and learn to hate credit. That will be the long term learned emotional response stopping any further bubbles.

There’s a 75 year cycle in American politics and I would say President Bush is parallel to Herbert Hoover (with apologies because Hoover had morals and Bush has none). Like Hoover , Bush will do nothing. So far this is true, all the mortgage rate re-adjustment plans are doing nothing to stop the collapse. And this will mystify everyone; the government is powerless to stop the debt implosion. This is because our money is created by floating debt, but that ‘credit’ money only covers the principle, not the interest. Theoretically even in a boom there is not enough ‘money’. So in a bust money becomes tight no matter what the Fed does because as debt disappears into the vacuum of modern book keeping and existing debt becomes impossible to service because the “money supply” keeps decreasing. Just like the 1930’s. It’s actually funny how pathetic the situation is, once exponential debt creation reaches it’s peak and reverses it will automatically collapse.

Many are worried about hyperinflation. Indeed, gold and oil are making new highs. Since 2001 copper prices have soared until just a few months ago. For the last couple of years copper plumbing and wiring were being stolen from new construction, this was a wave repeat from the high prices of late 1970’s when heirloom silver and was melted down and copper pennies were worth more than one cent. But now with the housing bust copper prices are dropping like a rock even though copper stockpiles and inventories are at cyclical lows. Copper is a bellwether indicator of the economy as it precedes the new trend. Falling copper prices means a recession is imminent. Once the hyper-inflationary fear subsides gold will follow copper and drop like a rock. Oil prices, however, could remain high because of peak oil, ever increasing demand. Indeed everyone needs oil to drive but no one really needs gold. Oil could soar above $200 if nuclear World War 3 starts between Israel and Iran. So high oil prices are likely even during an American recession. Those countries that instituted high fuel economy standards will be least affected while in America subsidized SUV automakers will be destroyed financially. Ford and GM have over a half trillion in debt and are only staying afloat because SUV purchases were financed from home equity extraction. So goes GM, so goes the America.

A lot of people are now saying that we’re going into a recession and that it’s going to be bad. A small minority are saying it’s going to be really, really bad. All I’m saying is that it’s going to be far worse than you can possibly imagine, an all out deflationary depression of at least one magnitude worse than the 1930’s. Mathematically that means the new depression’s dimensions will be a phi fractal multiple deeper and longer than the 1930’s, so take the length of the GD and multiply by 1.618 (phi).

If the US dollar continues it’s historic decline it will threaten the continuance of the US Global Empire and US Iraq involvement. So, eventually the US will have to defend its currency or lose empire. The Fed can only lower interest rates so far until he has to start raising interest rates defending the dollar. Ultimately a severe dollar route will force the Fed to defend the government’s ability to borrow. So I expect the Fed to raise rates soon, during the current dollar route, or risk losing of foreign confidence permanently.

Remember, the US Government is running $300-500 billion yearly deficits and has nearly 10 trillion of outstanding debt that it needs to continually rolled over. Not to mention 50 trillion of unfunded liabilities. The situation is truly grim. Interest rates could soar to unprecedented levels or the dollar could free-fall and loose another 90%. Either way we are screwed. 2008 is the battle between dollar devaluation and US solvency. At the same time the rest of the world is now starting to sell oil for anything besides dollars because now they realized that the dollar is being rapidly devalued. Well guess what? The dollar oil standard is the only reason why we can afford 730 foreign military bases in a 140 countries and a trillion dollar a year trade deficits. Even more amazing is that America sucks up 80% of the world savings to finance these deficits. You have to wonder about the sanity of foreigners to lend to an immoral and fiscally bankrupt society. Obviously this trend is going to end suddenly in 2008.

David Rockefeller is screwed along with his bank Chase Manhattan (symbol JPM). Chase is loaded to the gills with phony derivatives which are fictitious values of fictional FRN book keeping entries and can only exist if asset values keep increasing. I call it karma. There’s something like 900 trillion dollars of derivatives floating out there in cyberspace. What are they worth once confidence evaporates? They are worth no thing. So rejoice! We are going to be wonderfully entertained throughout 2008 as the political fools squirm and David Rockefeller’s fraudulent Federal Reserve System collapses. It’s actually funny how ridiculous the modern money system is. JPM stock has yet to decline like Washington Mutual, Citibank, CFC etc. Many bank and mortgage lender stocks have already crashed like 1929. Some, like Ameriquest, simply disappeared overnight. Good luck to the 34 states currently suing Ameriquest for fraudulent lending practices, it’s now a non-existent company. There is absolutely no way bank stocks can recover in the current situation of deflation and squeezed reserve margins. One by one they all will fall, can you say bank holiday? The parallels between 1932 and 2008 are eerie.

US Presidential election? As the system crashes the sheep might run scared for the authoritarian. Principled voters are a small minority and now that socialism is entrenched many people are afraid of self-reliance. Ron Paul will probably spoil the Republican ticket giving Zionist endorsed Democratic candidate the Presidency just as Ross Perot (initials RP) threw it for Bill Clinton in 1992. Ron Paul ran on the Libertarian ticket previously but this time he’s running as a Republican and certainly won’t be able to get very many Republican Party Caucus votes early on. There is a historic similarity to FDR who ran for vice president in 1920 at the start of the Roaring Twenties and lost only to win in a landslide in the depths of the 1932 depression. Ron Paul also ran a Presidential campaign during the roaring 80’s and 90’s and now his message of liberty is energizing the electorate. Don’t underestimate the power of this spiritual force. Ron Paul is carrying the spirit of the American dream of individual liberty and is a breath of fresh air to the current entrenched despots. Americans are waking up and they want Ron Paul. As unlikely as this seems, Ron Paul might win.

Ron Paul will likely become ever more popular as the economy sinks. It is as if Americans realize that this is it, if we don’t rally now all will be lost. I expect Ron Paul’s fortune to keep gaining all through 2008 into the November election. Remember America’s do nothing leaders Bush, Paulson and Bernanke can do nothing to stop the collapse, they’re clueless as to the magnitude of the tsunami that’s going to sweep them away in 2008 toppling the world’s economy into the world’s biggest depression, making the 1930’s look like boy scout campout.

Now consider this theory about the rise and fall of nation states. America is a post peak industrial civilization in the middle of an epic decline that is turning to fascism as a survival strategy. As our nation became wealthy, redistribution of that wealth (i.e. Social Security, Great Society, and global empire) became popular and the government grew into a monster, currency debasement became inevitable. Inflation set in and toppled our productivity, which was the source of wealth. So our money masters turned to empire building as a survival strategy for their corrupt system. Now they’re using terrorism as a way to invade sovereign states (for oil) and impose strict societal controls as a way to protect factories from social unrest. So fascism is the banker technique of controlling profits and assets during epic declines. Fascism at this juncture is inevitable.

A huge reaction is building against this banker imposed fascist control matrix. Fascism is really corporate despotism and a last attempt to stave off the inevitable decline of a failed economic system. Fascism only accelerates the decline as it destroys the moral and economic foundation that the nation grew upon. It is the last act of failing system to artificially stimulate production through external war (War of Terrorism). Eventually the foreign wars are going to lead to the internal destruction of America. A perfect recent example is 1930’s Nazi Germany, which is being repeated today here in America. Germany gladly followed Hitler as his plan provided jobs and put everyone to work but his rearmament program lead to external war and eventually the destruction of the homeland as the world reacted to his foreign aggression. Long before the Hitler government began restricting the rights of the German Jews, the leaders of the worldwide Jewish community formally declared war on Hitler’s Germany. This time it could repeat if Ron Paul cancels or nationalizes the Jewish owned Federal Reserve – the world Jewish bankers would declare war on America.

And never forget it’s the Zionist lobby currently pushing the Middle East wars. America is now unfortunately caught up in Jewish karma. We are now waging wars and committing genocide because the Christian majority has adopted and normalized Jewish hate and racist memes. Iraqi birth defects caused by the illegal use of depleted uranium is a major war crime that Bush and his Zionist pals are awaiting prosecution. The Neocons are really an undercover Jewish movement that hijacked the Republican Party to push their total fascist control and looting of America. America is being ganged raped by the Jews. Rejoice, the bust is here and it’s almost over.

Most of you who are reading this will feel discomfort when anyone says an unkind word about the Jews. That’s because the media that is owned, controlled, and operated by Jews that have emotionally conditioned you. Have you seen DU deformities on TV? Just tune into any network and listen to how they talk wonderfully about the war. The media is run by sickos, especially Murdoch and his faux network.

It’s time America to wake up. Most of you have sat there dumbly and watched movies by Jerry Bruckheimer – Hollywood’s #1 producer and slimeball who’s making billions by creating state propaganda glorifying systematic death and destruction. I have nothing against any race and the Jews who are actually a diverse ethnic group. What exactly is a Jew or Semitic anyways? Americans need to wake up that anti-Semitism is a propaganda technique to quell dissent of the criminal billionaires. But what I do see is the continued destruction of America always has a Jewish name involved. Like Alan Greenspan and his sidekick Bernanke. Or the treasonous Cheney and Libby in the Valerie Plame outing. How about the Jewish national Michael Chertoff is the current Homeland Security. Remember Dov Zakheim (ordained rabbi and Jewish national) that was Pentagon Comptroller who lost 2.3 trillion dollars? Same for Jack Abramoff scandal or Roland Arnold the former owner of Ameriquest promoted to ambassador. Or how about the architect of this disastrous war Paul Wolfowitz who Bush appoints to World Bank . All are Jews and some are even covert Mossad spies for Israel.

That’s what the Patriot Act is really about – Jew spying and fascist lockdown on America. Wake up. American fascism is being brought to you by Jews. But nary a word is allowed in the mainstream media about the Jew elephant shitting in the American living room. Total mental lockdown – we cannot discuss reality thus we are doomed.

The Zionists (the Jew crazies who control America) clearly want warmonger as President. That’s why we recently witnessed Joe Liberman’s endorsing Republican John McCain - an ex liberal Jewish Democrat endorsing an ultra right wing conservative. What an obvious farce America’s two party system is – Lieberman endorsing McCain, what a crock.

We can realistically expect a continuance of the power structure that wants the profitable Clash of Civilizations to continue. The Zionists will once again try to manipulate America into a bombing campaign against Iran in 2008, especially since this is Bush’s last year. Israel is armed with up to 800 nuclear weapons yet accuses Iran of trying to develop one. Israel will not accept parity, ever, that’s why the war will happen. What fools the Evangelical Christians are to support the Zionist whore warmongers. When attacked, Iran will shish kabob Israel with hundreds of missiles. WW3 will then be in high gear.

Phishna
4 Jan 2008

[ryangti]

Harsh times are upon us,uncertain futures it does seem that everything is against us at this present time,can we fix it?.
War,recession and the current weather climate the world i would say is almost in turmoil,will we be able to keep order?.
You kind of know when things are getting bad for business with continous sales not just over the holidays but all year out,i have lost count of the same companies adverstising on our tv screens since 22nd of december and still showing the same ones.
Does this or will this spread around the economic countries and destroy many economies,as england seems to be getting there.

WASHINGTON -- Hiring practically stalled in December, driving the nation's unemployment rate up to a two-year high of 5% and fanning fears of a recession.
The signs are beginning to show as you said personnel debt is increasing thats fer sure.