The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Tuesday, September 17, 2019

JP Morgan tries to blame decade's old Bear Stearns acquisition for gold manipulation that goes all the way to the LBMA

With JP Morgan having been fined more than a dozen times over the past decade for fraudulently rigging the Forex, Libor, and Mortgage interest rate markets, it should not be surprising that they have finally been outed for what most in the gold community suspected... rigging of that market as well.


And in a vastly surprising turn of events on Sept. 17, the Department of Justice (DOJ) not only decided to finally look into the investment bank's dealings in the gold markets, but they are even going so far as to call them a criminal enterprise.


In an indictment unsealed on Monday morning, the DoJ charged Michael Nowak, a JPMorgan veteran and former head of its precious metals trading desk and Gregg Smith, another trader on JPM's metals desk, in the probe. (Blythe Masters was somehow omitted). 
“Based on the fact that it was conduct that was widespread on the desk, it was engaged in in thousands of episodes over an eight-year period -- that it is precisely the kind of conduct that the RICO statute is meant to punish,” Assistant Attorney General Brian Benczkowski told reporters. 
Here's where it gets extra interesting: according to Bloomberg, the unusually aggressive language language embraced by prosecutors reminds legal experts of indictments utilizing the RICO Act - a law allowing prosecutors to take down 'criminal enterprises' like the mafia by charging all members of the organization for any crimes committed by an individual on behalf of the organization. - Zerohedge
But wait!  There's more!

Of the three primary bankers involved in the manipulation and price rigging, one of them is actually on the Board of the London Bullion Market Association (LBMA) who is responsible for the 'fixing' of prices twice a day for gold.

In the indictment unsealed 16 September 2019, the DoJ charged LBMA Board member and JP Morgan managing director Nowak, along with JP Morgan precious metals trader Gregg Smith and former JP Morgan precious metals trader Christopher Jordan for: 
alleged participation in a racketeering conspiracy and other federal crimes in connection with the manipulation of the markets for precious metals futures contracts, which spanned over eight years and involved thousands of unlawful trading sequences. 
Commenting on the case, Department of Justice Assistant Attorney General Brian A. Benczkowski stated that: “The defendants and others allegedly engaged in a massive, multiyear scheme to manipulate the market for precious metals futures contracts and defraud market participants.” Bullion Star
Earlier this year, Senator Elizabeth Warren was able to get the CEO of Wells Fargo to resign following the bank's egregious manipulation of the mortgage, credit card, and depositor markets.  So with JP Morgan having now manipulated markets that encompass a combined several trillion dollars worth of activity, is the Senate and DOJ finally going to force Jamie Dimon to face the music, or is he going to suddenly get a case of the Sicilian Flu once again and claim that he had no knowledge of any of this just as before.

OR... is he going to blame Bear Stearns which they acquired more than a decade ago.

Monday, September 9, 2019

Do corporations or any company really owe their workers retraining in light of the coming AI paradigm shift?

A new study out on Sept. 6 from IBM's Institute for Business Value (IBV) shows that upwards of 120 million workers, many of which work for major corporations, will have to find new skill sets in order to participate in the upcoming automated economy.  And while Artificial Intelligence (A.I.) and robotics are indeed taking over jobs at an escalating rate, is it really the responsibility of companies themselves to re-train workers for new skill positions?


In the next three years, as many as 120 million workers in the world's 12 largest economies may need to be retrained or reskilled as a result of AI and intelligent automation, according to a new IBM (NYSE: IBM) Institute for Business Value (IBV) study. In addition, only 41 percent of CEOs surveyed say that they have the people, skills and resources required to execute their business strategies. The study, which includes input from more than 5,670 global executives in 48 countries, points to compounding challenges that require a fundamental shift in how companies meet and manage changing workforce needs throughout all levels of the enterprise. 
According to the global research, the time it takes to close a skills gap through training has increased by more than 10 times in just four years. In 2014, it took three days on average to close a capability gap through training in the enterprise; in 2018, it took 36 days. 
The study showed that new skills requirements are rapidly emerging, while other skills are becoming obsolete. In 2016, executives ranked technical core capabilities for STEM and basic computer and software/application skills as the top two most critical skills for employees. In 2018, the top two skills sought were behavioral skills -- willingness to be flexible, agile, and adaptable to change and time management skills and ability to prioritize. In contrast, according to an IBM poll conducted by Morning Consult, ethics and integrity was the skill often named most critical in a survey of consumers in U.S. cities including Atlanta, Austin, Baton Rouge, Boston, Chicago, Raleigh, and San Francisco. 
"Organizations are facing mounting concerns over the widening skills gap and tightened labor markets with the potential to impact their futures as well as worldwide economies," said Amy Wright, Managing Partner, IBM Talent & Transformation, IBM. "Yet while executives recognize severity of the problem, half of those surveyed admit that they do not have any skills development strategies in place to address their largest gaps. And the tactics the study found were most likely to close the skills gap the fastest are the tactics companies are using the least. New strategies are emerging to help companies reskill their people and build the culture of continuous learning required to succeed in the era of AI." – IBM Newsroom
100 years ago tens of thousands of 'buggy whip' workers found themselves unemployed as the advent of the automobile made horse drawn transportation virtually obsolete.  This was then followed decades later by the massive decline in industrial manufacturing as steel workers, auto workers, and other assembly workers found their plants closed and their industries shipped overseas.

Contrary to what most of the Socialist candidates running for President wish to tell you, no one owes you a job, a lifestyle, or a guaranteed income.  The freedoms to pursue your own destiny require you to also take the responsibility to continuously learn, grow, and make your own future no matter what occurs in society.  To not do this, and instead pander to politicians who use the promises of free stuff and the nanny state to consolidate their own lust for power, reminds me of a great axiom that works in any era of history.

"In times of change learners inherit the earth; while the learned find themselves beautifully equipped to deal with a world that no longer exists."

Wednesday, September 4, 2019

With UK elections on horizon, front runners BoJo and Corbyn mirror Trump and Sanders in political and economic ideologies

Recently, articles depicting Wall Street being deathly afraid of either a Bernie Sanders or Elizabeth Warren Presidency are suddenly being mirrored over in the UK where the potential of snap elections could see the rise of Jeremy Corbyn to the office of Prime Minister.  And while tax the rich and give everyone free stuff schemes from both Warren and Sanders easily label them as Socialists if not Marxists, an interesting promotion coming from Corbyn's Labour Party on Sept. 4 suddenly vaults the leftist politician into this same Marxist air.


This is because a new scheme being promoted by the Labour Party would see homeowners being forced to sell their property to renters at below market cost... or in essence at a loss to the homeowner.

The UK's Labour government would consider a controversial "right-to-buy" scheme to allow millions of renters in the UK to buy their rented homes for a "reasonable" price (aka way below market), according to The Independent, citing the shadow chancellor.  
The idea, first brought up by Jeremy Corbyn during his 2015 bid for party leadership, would force landlords to sell their homes below market prices according to McDonnell. - Zerohedge
Thus the long standing right of individual property ownership is one of many things at risk should Britain vote to return Labour to power after several years of Conservative domination.

But attacks on individual property rights are not the only institutions afraid of a Corbyn victory, and that is because similar to what happened in France when Francois Hollande took power and sought to institute a 100% tax on all earnings above one million euros, wealthy Brits would make a beeline out of the UK and take their money elsewhere.
As Prime Minister Boris Johnson faces the prospect of his rule being cut short, wealthy Britons have a message for Johnson's most likely successor: A 'no deal' Brexit makes no difference to them. But if Labour leader Jeremy Corbyn becomes PM, they will flee in droves, taking their money with them. 
The chairman of one Swiss asset manager who helps wealthy Britons shield their money in tax havens warned that if Johnson is defeated in a snap election, and Corbyn becomes the next PM, it could trigger a wave of capital outflows as the wealthy scramble to move their assets (and themselves) out of the country. - Zerohedge
Meanwhile, Conservative leader Boris Johnson (BoJo) is facing the same full on assault that U.S. President Donald Trump experienced from the Republican Party as globalist and Euro sycophant members of the Torries staged a coup yesterday by voting against their Prime Minister on the subject of Brexit.

In the end the battle between globalism and populism continues to rage in the chambers of Washington and in the corridors of London. And between now and November of 2020 we could see these two countries either become stronger nationalists through the elections of Trump and BoJo, or succumb to the ideology of envy and Marxism through the usurpation of power by either Bernie Sanders, Jeremy Corbyn, or even both.

Tuesday, September 3, 2019

Housing appears to be one bubble the Fed isn't re-inflating through lower interest rates

While the first decade of this millennium saw the economy pumped up by the central bank through the asset class of housing, post 2008 became a watershed moment as the Fed went all in on the Everything Bubble.  And through their use of artificial stimulus in stocks, real estate, and massive loans to emerging markets, they were able to coax Wall Street into the longest bull in U.S. history.

Unfortunately for the Fed however, their programs of NIRP and QE have long reached the point of diminishing returns and this is being seen right now in the Housing market as their latest drop in interest rates has failed to re-inflate a bubble that has been rapidly bursting for the past 13 months.




All regions fell in July:

  • Northeast fell 1.6%; June rose 2.7%
  • Midwest fell 2.5%; June rose 3.3%
  • South fell 2.4%; June rose 1.3%
  • West fell 3.4%; June rose 5.4%
Pending Home Sales retreated back into contraction YoY (by 0.3%)...

Fitch Ratings suggests in a new report that declining interest rates won't be enough to spark a rebound in housing market activity for 2H19, with affordability concerns and a lack of supply remaining as a significant constraint. 
Almost 40 weeks of declining mortgage rates haven't led to a jump in housing market activity in the US, but rather a decline in home price growth across the country, as per data published via S&P CoreLogic Case-Shiller's 20-City Composite price index.


  • An estimated 243K borrowers defaulted on first lien mortgages in Q2 2019
  • While the quarter ending on a Sunday certainly played a factor in the rise in defaults, a noticeable overall slowdown in the decline in default activity has been observed.
  • The national default rate rose by 3% compared to Q2 2018, the first such annual rise since the financial crisis (adjusting for the 2017 hurricane season)
In the end, no amount of interest rate alchemy will do much to keep the Housing Bubble afloat because what the Fed fails to recognize is that the American consumer is completely tapped out with a non-mortgage debt accumulation of over $4.1 trillion.