“When the U.S. sneezes, the rest of the world catches cold.” -unknown economist, but often repeated in the mass media
Before you dive into the details of what is being reported, note these signals of a growing worldwide crisis:
U.S. Treasury 10-Year Yields Fell To 2 Week Low…
Now, ask yourself:
Where will the institutional investments likely go, in search of yields and profits?
Has a collective of IMF members decided to move in opposition of the U.S. Treasury?
If Dollars continue to flood into the U.S. domestic markets from foreign excess reserves how will the U.S. Treasury respond?
I expect the Dollar to continue to rise as the foreign markets spend their dollars out of necessity.
Consider that the failing emerging markets has to deal with their falling currencies and the fact that the U.S. treasuries and Dollars are too expensive (meaning they can’t repay their existing debts with their national currencies because the interest payments continue to rise as their currencies fall relative to the Dollar).
– U.S. Defaults On Its Bonds –
Some analysts claim the Puerto Rico default is technically the U.S. Corporation default.
If this is a correct interpretation, how will foreign holders of U.S. Bonds feel about the security of the U.S. Bonds in their possession?
Will the Puerto Rico default jeopardize the U.S. credit rating?
How will the U.S. respond?
What do I think?
I would not be surprised by any dastardly misdeeds from these elite criminals.
I expect the 188 nations that are members of the IMF to remain steadfast with developing the consensus from the 2010 agreement. But the other nations and territories, well that is a concern, and they are at risk.
The empire is at risk, they are talking about everyone’s money and assets.
Thus, bribery, coercion, murder, and armed conflict are all on the table as command orders will be obeyed or else.
Military alert, state of emergency, or martial law is not too far a stretch for Puerto Rico in my imagination.
The above is only one possibility among many, in my opinion.
Of course I wish it never comes to that, but if I don’t talk about that possibility, who will?
On the heels of emergency closed door meetings recently, this smells of trouble brewing…
My attention is drawn to look at how the insurance, pension, and hedge funds will flee from the “risk” of a collapse of both the falling Bond yields, and failing economies in the emerging markets.
New rules are being written (reforms and restructuring, recall digital currencies and the cashless society) in an environment of fraud, distrust, odious debts, and failing economies.
How will the Puerto Rico, Japan, China, Brazil, S.Korea, Argentina, governments (central banks) respond?
The globalists’ push toward a cashless society along with mandatory tax compliance is expected to intensify.
My guess is that selective stocks are likely to see a stampede? Only a guess, because institutional investors must seek yields for their trusts and fund portfolios.
If more governments default then the gold bullion stampede would be the last resort in a full-blown institutional panic as social unrest face-off against governments/central banks.
Puerto Rico and Detroit may have been important warning signals for the U.S..
Below are some of the discussions from professional investors. ~Ron
A Fed official’s comments that markets may be underestimating the odds of a June rate increase did little to move the needle among bond traders. With Treasury investors focused on data out of Europe and China, yields on 10-year U.S. notes tumbled by the most since Feb. 8. At the same time, the probability of a June rate hike fell to 8 percent, four percentage points less than the odds that had been in place since April 28, the day after Federal Reserve policy makers left the benchmark unchanged. –Bloomberg
Title: Treasury Secretary: Need for Action on Puerto Rico Crisis Is ‘Urgent’
Video posted 03 May 2016
Title: Michael Pento-Market Losing Faith in Value of the Dollar
Video posted 03 May 2016
U.S. Treasury Gives Explicit Warning To China, Germany And Japan Not To Devalue Their Currencies
While the US Treasury’s semi-annual report on the foreign-exchange policies of major U.S. trading partners has traditionally been, pardon the pun, a paper tiger, as the US has not named a single country as a currency manipulator since it did so to China in 1994, and it didn’t go so far as to blame any country as an outright manipulator in the just released April edition, there was a new addition to the latest report.
In an inaugural “monitoring list”, the US put five economies including China, Japan and Germany (as well as South Korea and Taiwan) on a new currency watch list, saying that their foreign-exchange practices bear close monitoring to gauge if they provide an unfair trade advantage over America.
Read what it said: Zerohedge.com