willieOver the course of this hour-long discussion, The Golden Jackass Jim Willie addresses two main points:

  • The wreckage of the global bond markets and the damage wrought by the never-ending quantitative easing of the global central banks.
  • China’s intentions behind their massive buildup of physical gold. You’ll find Jim’s rationale to be more comprehensive than that recently put forth by Jim Rickards. His reasoning is laid out in a straight-forward manner and would seem to be the best, most reasoned explanation yet of China’s motives and goals.

Full MUST LISTEN interview with Hat Trick Letter Editor Jim Willie is Below:

swan endA confluence of Black Swans each with the capability of taking the US dollar to its knees appear to be converging on the month of June 2015…

The Greek government says that a “moment of truth” is coming on June 5th.  Either their lenders agree to give them more money by that date, or Greece will default on a 300 million euro loan payment to the IMF.  Of course it won’t technically be a “default” according to IMF rules for another 30 days after that, but without a doubt news that Greece cannot pay will send shockwaves throughout the financial world.
At that point, those holding Greek bonds will start to panic as they realize that they might not get paid as well.
All over Europe, there are major banks that are holding large amounts of Greek debt and derivatives that are related to the performance of Greek debt.  If something is not done to avert disaster at the last moment, a default by Greece could be the spark that sets off a major financial crisis this summer.

watchmanWhen the next crisis hits, the same banking powers who fleeced US citizens for over $13 TRILLION in 2008/09 will be right back at it.
These men know that the only prayer they have to survive, is to seize everything they can grab.
From bail-ins to QE, from cash-infusions to retirement accounts..there’s nothing they won’t try to get their hands on…

cliff fall coyoteRegardless of the flood of Orwellian propaganda coming from Wall Street, the financial media and the various Government and quasi-Government agencies, by all valid economic activity metrics the U.S. economy is entering into crash mode.
The problem faced by all of us is that the crash that is in front of us will be many multiples more severe than what occurred in 2008.

gold repatriationThe holiday weekend is starting out badly for our bankster friends, who were just informed by the Austrians that the Oesterreichische Nationalbank intends on repatriating 110 tonnes of Austria’s gold reserves currently hypothecated by on deposit at the Bank of England

Wal-Mart is facing questions tonight after CBS13 learns the company draws its bottled water from a Sacramento water district during California’s drought.
According to its own labeling, the water in the gallon jugs appears to come from Sacramento’s water supply.
Sacramento sells water to a bottler, DS Services of America, at 99 cents for every 748 gallons—the same rate as other commercial and residential customers. That water is then bottled and sold at Walmart for 88 cents per gallon, meaning that $1 of water from Sacramento turns into $658.24 for Walmart and DS Services.

As we all know, you should never let a historic drought get in the way of corporate profit margins; and these appear to be some really nice margins.

Silver vs Gold Investment CHART newMany of the top precious metal analysts state that gold is the premium asset and insurance hedge during a financial collapse.  We hear this time and time again.  However, if we look at the data during the near collapse of the U.S. Banking and financial system in 2008, gold wasn’t the most sought after precious metal:

imagesFalling interest forces you to spend your principal, because it starves you of return.  At the same time it feels rather pleasant, because you can sell your assets at higher and higher prices.
Everyone loves a bull market, because they’re all making money. Alas, the process of relentlessly higher asset prices is totally corrupt.
Let’s drill down into this, because it’s the key to understanding why our system is failing.

imagesHistory and current actions justify the expectation that governments and central banks will increase debt, devalue fiat currencies, and thereby force silver and gold prices much higher.
Convert digital dollars, yen, pounds, and euros into silver and gold while you can.
Current “on sale” prices will not last much longer.

Rick RuleI remember as clearly as I can see you today the processes that led to my first catastrophic loss, which was a group of many losses.
One of the things that happens is that bull markets, like bear markets, are self-fulfilling prophecies, and the whole narrative in the 1970’s was that the 1970’s was going to go on further which was a very convenient paradigm for me to assume.

They didn’t.