The parabolic structure in stocks will collapse.  It’s going to take a collapse in the stock market for Yellen to reverse the taper and I think she will not only reverse it, but I think she will double down on QE. Instead of $85 billion a month, we may get $150 billion a month. 
The problem is that when a parabolic structure breaks, you can’t put it back together.
The Fed is going to make the same mistake when the bubble and stocks pop. They’re going to follow the same game plan they did in 2008. They’re going to get the same results. Liquidity is going to flow into the commodity markets. It’s going to spike commodity prices which is going to make cost of living expenses for the average person go through the roof, and that collapse is discretionary spending and that will send us down into another recession/depression that I expect will be worse than 2008, and I expect the stock market will fall below 666.

What does it look like when a 30 year bull market ends abruptly?  What happens when bond yields start doing things that they haven’t done in 50 years?
If your answer to those questions involves the word “slaughter”, you are probably on the right track.
Right now, bonds are being absolutely slaughtered, and this is only just the beginning. 

sprottIn the midst of the latest epic cartel paper gold and silver raid this week, legendary precious metals expert Eric Sprott sat down with The Doc for an exclusive, MUST LISTEN interview. 
In one of his best and most shocking interviews ever, Eric discusses the latest gold and silver raid, his take on the platinum & palladium markets, the Bundesbank’s recent gold repatriation request and the correlation with massive physical gold buying in Asia, and his view on how the endgame of the Western financial/ debt crisis will play out.

Sprott stated that the Treasury Department’s 2012 GAAP budget deficit report was an astonishing $6.9 Trillion, and this has not been reported in 1 single major news outlet!  He also stated that the US government may be exporting German gold from the NY Fed to China, and that despite their recent apparent success, he expects that one day soon the cartel will be brought to their knees simply by traders standing for delivery of physical metal.

Eric Sprott’s full MUST LISTEN audio interview with The Doc is below:

casino-girlIn his latest update, Greg Mannarino states that the US is now the laughing stock of the world as history’s biggest debtor nation. 
He states that the entire system is based on the acquisition of debt into infinity, and that the moment we stop borrowing it is over and the system will collapse.   This is really a simple transfer of wealth, and the actual transfer of wealth will occur when interest rates begin to spike.

Mannarino states it is time to bet against the debt, and become your own central bank by holding your assets in physical precious metals in your own possession. 

Jim Sinclair has long stated that fortunes will be made shorting Treasuries once the bubble bursts.  Is it finally time to bet against US debt?

Mannarino’s full update is below:

 

In his latest market update, Greg Mannarino states that the market pop in the wake of the 2 month fiscal cliff agreement is merely a relief rally that has no real legs.  He points out that the agreement does absolutely nothing to address spending.
Mannarino states that the Fed’s $85 billion in monthly counterfeitting to monetize the US budget deficit will steal purchasing power from Americans.   Mannarino states that the US ratings agencies will face massive pressure to downgrade the US in 2013, which will result in the busting of the US debt bubble will burst in 2013, and force massive amounts of cash into commodities and physical precious metals.
Cash is going out of style, buy phyzz!

Full update below: