empire revolt

In the wake of the Swiss National Bank shocking the market this week de-pegging the CHF from the Euro, the Golden Jackass Jim Willie joined us over the weekend for an Exclusive Interview discussing: 

  • Willie explains why the Swiss are dumping the Euro in favor of GOLD, and that multi-hundred billion trading losses will result in MASSIVE DERIVATIVE LOSSES & CONTAGION!
  • Swiss actions have brought a HUGE ACCELERATION of end game events-We’re looking at the potential END of the EURO!
  • Swiss have front run the Global Currency Reset & GOLD REVALUATION!
  • $2 TRILLION IN SUB-PRIME OIL BONDS ARE ABOUT TO EXPLODE!  Contagion will be bigger than sub-prime housing crash!
  • Dollar Death-Spike: Fed has LOST CONTROL of the dollar!
  • Coming European bank failures will result in a STAMPEDE INTO GOLD!
  • 2015 Will be a repeat of Lehman- Several Western banks will go down, This is GAME OVER!
  • When Putin flips his switch, the DOLLAR IS DEAD, and Gold Will DOUBLE!
  • GREXIT will blow up the EU!

One of Jim Willie’s Most Dynamic & STUNNING Interviews EVER is below: 

bankrunRoughly a month ago IMF bureaucrats released an official report which stated, among other things, that Bulgarian banks are “stable and liquid.”
Talk about epic timing.  Because less than two weeks later, Bulgaria’s banking system was in the throes of a full-blown crisis.
There was a run on two of the nation’s largest banks—several hundred million dollars had been withdrawn in a matter of hours.
And the Bulgarian central bank had to step in and take over both of them or risk a collapse in the entire system.
This is the modern miracle of fractional reserve banking.
The lesson here is clear: The people in charge of regulating the system and making these proclamations about bank safety are totally clueless.
Clearly, Bulgaria (and Portugal) shows that the entire system can really be a bunch of smoke and mirrors.

ukraine bank runAs the US & EU prepare to level economic sanctions on Russia over the Ukrainian crisis (& Russia threatens to retaliate with economic sanctions of its own against the dollar and freezing all US assets) a bank run appears to have begun in Crimea as citizens lined up Thursday to withdraw funds from Ukraine’s largest bank, Oshad. 

bankrunIn the excellent interview below, Gerald Celente addresses concerns about terrorism, a World War, financial meltdown, & the risks of bank runs and bail-ins in Europe and the U.S. in the coming months.
He pointed out how Cypriot depositors lost savings in bail-ins and that in the Ukraine today “massive bank withdrawals are going on.
Celente said that the 9/11 attack and subsequent restrictions on access to bank deposits in New York , when Wall Street was closed down for a few days, may be seen again. He warned of the risk that “ATM machines are not working anymore” and the authorities are “putting restrictions on what you can draw out.”
He advised owning physical gold and silver in your possession and said that the precious metals are like a “cash cow when you have the real deal”.
If you have gold or silver, you are in a golden position,”

Financial crisis fears are spiking this afternoon as one of Russia’s largest 200 banks by assets, ‘My Bank’ has reportedly halted all cash withdrawals for one week.
Officials of My Bank have refused to comment after news of the bank halting all withdrawals was leaked early Monday by a call center employee.

Joe Raedle / Getty Images / AFP

The US Federal Reserve is reporting a major deposit withdrawal from the nation’s bank accounts. The financial system has not seen such a massive fund outflow since 9/11 attacks.
­The first week of January 2013 has seen $114 billion withdrawn from 25 of the US’ biggest banks, pushing deposits down to $5.37 trillion, according to the US Fed.

BOE Says U.S. “Could Do Today” And U.S Authorities Doing Simulation Exercises.
The U.S. already has in place plans for bail-ins in the event of banks failing. Indeed, the U.S. has conducted simulation exercises with the U.K. in recent weeks and will do so again in 2014.
On October 12, Art Murton, the FDIC official in charge of planning for resolutions, and the Bank of England’s Deputy Governor Paul Tucker, both confirmed that the U.S. system is ready to handle a big-bank collapse.
The Bank of England’s
Tucker, who has worked with U.S. regulators on the cross-border hurdles to taking down an international firm said that “U.S. authorities could do it today — and I mean today.”

bank-holidayDavid Morgan joins Ellis Martin to discuss JP Morgan Chase’s upcoming dictate to limit out of country wire transfers as of November 17, 2013.
Will there be a bank run and an economic collapse caused by a banking system failure? What do the banks know that the country doesn’t?
Morgan also discusses the historical perspective for returning to a gold standard, and his current outlook on the metals.

SHIBORIs Peking panicking again?
Do you recall the June panic in the Chinese banking sector? Rumor of defaults of a secondary bank resulted in the SHIBOR, equivalent of LIBOR for China, spiking abruptly. In the span of a few hours, a “Credit Freeze” developed. The Chinese government has forbid the media to write more on the subject and then, opened credit lines to avoid defaults wherever it was needed, saving banks, industries and speculators.

On the 4th of June,  Wei Yao, the SG Cross assets Research’s China economist wrote that China may be on the verge of a “Minsky moment.”
A few days later, Beijing panicked, the SSE crashed and it seems that many speculators were forced to close their contracts on commodities (soybean mealsoybeansoybean oil, ) bringing to a real disruption of these markets. Gold and Silver also suffered, both bottomed at the end of June.
If the sudden spike in the SHIBOR is any indication, it seems that the Chinese banking sector fears the second part of November.

In a bank run, what people are panicked about isn’t quite that they may lose their money. At the core of it all, what they are really terrified of is that they might lose the value they have stored in the bank, in the form of money.
At this moment in time China has $1.2 trillion of stored value, on-deposit with “The Bank of the Dollar” in the form of Treasury bonds. Japan also $1.1 trillion of their hard-earned wealth on deposit in the same bank. The rest of the world has an additional $3.3 trillion combined on deposit with “The Bank of the Dollar”, as the total US Treasury debt outstanding that is held by foreign entities is a whopping $5.6 trillion.
I hate to break the news to you, but there is a run on this bank going on right now. Oh, it’s still quiet and there is nothing approaching panic just yet, but make no mistake- these countries are all attempting to get their stored value out of that bank before everyone else tries to do the same thing.

banamexBanamex, Mexico’s second largest bank (which coincidentally happens to be owned by Citi) was unexpectedly taken down by a “glitch” Monday morning, leaving customers without access to ATM cards or bank balances.
In a statement, Banamex apologized to the 27 million affected Mexicans, and stated that it does not yet know when it will be able to restore services in branches, ATMs, and telephone BancaNet and allow customers access to their funds.

In the wake of yesterday’s breaking news that the Bank of Panama  has closed for 5 days for a Bank Holiday, we reached out to SD reader PK, an ex-pat living in Panama for a boots-on-the-ground report on the Bank Holiday.
PK reports that with BancoNational shut down for a 5 day bank holiday, Panamanians “are talking about nothing else except this bank holiday“, and states that while there is no massive panic yet in Panama, it is NOT NORMAL for the national bank to shut down for 5 days without warning on an end-of-the-month payday weekend.
PK’s full report on the BancoNational bank holiday is below:

*Updated 4pm EST with notice to customers from National Bank of Panama’s website
This morning the National Bank of Panama announced that it was suspending all services until Tuesday the 1st of October.
The National Bank of Panama claims that the reason for the 5 day bank holiday is to upgrade systems.
The Clave (Debit Card) system has been taken offline. No wire transfers between banks and internationally until the 1st of October.
This system wide shutdown has country wide implications. The National Bank of Panama did not warn the people before making the announcement and shutting down the banks. The people do not have access to ATM’s either. We received word of this from family members first. This weekend is payday for people across Panama.
Is the next Cyprus-style bankster bail-in about to be implemented in Panama?

EmptyVaultCOMEX gold inventories are down from 11.059 million ounces at the start of the year to 7.034 million ounces today.  This is worth $9.66 billion at today’s prices meaning that a handful of billionaires or just one powerful creditor nation state with large foreign exchange reserves, such as Russia, could corner the COMEX gold market and cause a default. 
Russia’s foreign exchange reserves are at $508 billion . Mainland China still holds the largest foreign exchange reserves in the world, with US$3.4967 trillion at the end of June. It is followed by Japan, which had foreign exchange reserves of US$1.1876 trillion at the end of July.
The possibility of an attempted cornering of the bullion markets through buying and taking delivery of physical bullion remains real and would likely lead to a massive short squeeze which would see gold and silver surge to well over their inflation adjusted high of $2,500/oz and $140/oz.