The Keys to the Shadow Banking System: THE COMING COLLAPSE OF CANADIAN REAL ESTATE MARKET...

The Keys to the Shadow Banking System: THE COMING COLLAPSE OF CANADIAN REAL ESTATE MARKET...: WHAT HAPPENED TO THE CANADIAN ECONOMY? THE CANADIAN ECONOMY WAS ABLE TO WITHSTAND THE AMERICAN REAL ESTATE BUBBLE OF 2007 AND GO AFTER ...

THE COMING COLLAPSE OF CANADIAN REAL ESTATE MARKET 2016!

WHAT HAPPENED TO THE CANADIAN ECONOMY? THE CANADIAN ECONOMY WAS ABLE TO WITHSTAND THE AMERICAN REAL ESTATE BUBBLE OF 2007 AND GO AFTER GREAT BARGAINS IN THE USA.

 NOW, THE TABLES ARE IN  REVERSE AND THE AMERICAN INVESTOR CAN GO TO CANADA AND RECEIVE GREAT BARGAINS!   WE ARE LOOKING AT 90% DECLINE IN CANADIAN REAL ESTATE VALUES. THE CANADIAN INVESTORS IN ARIZONA ARE SELLING AT RECORD RATES IN ORDER TO CASH IN ON THE CURRENCY CONVERSION BONUS!

HOW DID THIS COMING COLLAPSE COME ABOUT? THE  CANADIAN FINANCIAL SYSTEM AND  CANADIAN REAL ESTATE BROKERS SET UP A VERTICAL INTEGRATION FOR HARVESTING  BUBBLE PROFITS.

 STEP ONE:  THE MORTGAGE CUSTOMER WAS ALLOWED TO BORROW ON LOW RATES FOR 35 TO 40 YEARS. THIS ALLOWED FOR THE CREATION OF A LOAN COLLATERAL AND EQUITY FLIPPING BUBBLE.

 CANADIAN BORROWERS WERE ABLE TO USE THEIR PENSIONS, LIFE INSURANCE, CREDIT CARDS AND HELOC TO INVEST IN REAL ESTATE. THE OVERHEATING OF VANCOUVER, TORONTO, AND MONTREAL HAS NOW LED TO SUPER INFLATED REAL ESTATE PRICES.

STEP TWO: THE MORTGAGE BROKER WAS ABLE TO PROCESS THESE REAL ESTATE SALES AND USE THE BANKING SYSTEM FOR INSTANT LIQUIDITY. THE RECORD LOW INTEREST RATES CREATE THE INCENTIVE FOR EASY MONEY TO BE SPENT ON LARGE ESTATE IN VANCOUVER. THE AVERAGE HOME PRICES ARE AT $ 1 MILLION IN VANCOUVER. 

STEP THREE: THE RAPID APPRECIATION OF HOMES AS FIXED INCOME COLLATERAL WAS USED BY INVESTMENT BANKS TO BUNDLE THESE INTO CREDIT INSTRUMENTS KNOWN AS CREDIT MARKET. THESE COULD BE BUNDLED  AND SOLD FOR INTERNATIONAL INVESTORS. 

STEVE EISMAN OF NEUBERGER BERMAN GROUP SEES THE CANADIAN HOUSING CRASH PARTY AS A GREAT OPPORTUNITY. THE REALITY IS THAT PARTY IS OVER FOR THE CANADIAN REAL ESTATE FUN BUS AND THE GAME IS NOW A GREAT MONEY MAKER FOR HEDGE FUNDS. IN A WORLD OF 2% GROWTH, THE CANADIAN SHORT IS WORTH A FORTUNE.

STEP FOUR: THE CANADIAN REAL ESTATE MARKET CREATED A SUPPORT SYSTEM THAT NOW IS IN ECONOMIC DANGER.

 THE SUPPORT INDUSTRIES CONSISTS OF REGIONAL BANKS, HOME BUILDERS, TITLE INSURERS, INVESTMENT COMPANIES, CREDIT INSURERS, FURNITURE MAKERS, APPLIANCE AND TOOL MAKERS, CONSTRUCTION AND ENGINEERING COMPANIES,  AND CONSUMER FINANCE COMPANIES. IT TOOK THE AMERICAN ROOM STORE 8 YEARS TO EVENTUALLY FILE FOR BANKRUPTCY IN 2015.

 ALSO, ADD TO YOUR LIST OFFICE AND COMMERICAL REITS, AND RETAIL REITS. ALL OF THESE AREAS HAVE BEEN INTEGRATED INTO A DOWNWARD INVESTMENT. THE LOSSES WILL BE STAGGERING. THE CANADIAN REAL ESTATE MARKET HAS CREATED THE SHOCK TO THE SYSTEM.

STEP FIVE: THE MACRO-ECONOMIC FEATURES WILL FORCE A 8 YEAR DOWNWARD PRESSURE FROM LOW OIL PRICES, FALLING COMMODITY PRICES, AND LOWER VALUE OF THE LONNIE. THE CHINESE ECONOMY WAS RESPONSIBLE FOR 1/3 OF THE WORLD GDP AND THIS IS GONE! THE WORLD GDP IS LESS THAN 2% GROWTH. 

THE FINAL DEFLATIONARY  REALITY FOR CANADA IS THAT IF THERE IS NO QUANTITIVE EASING OR FORCED BANK LIQUIDITY THEN THE ECONOMY WILL COLLAPSE. THERE WILL BE NO GROWTH ONCE THE FINANCIAL FUNDAMENTALS KICK IN AND RESULT IN DEFLATIONARY DELEVERAGING. 

THE ONLY WAY TO SURVIVE IS TO BORROW FROM FUTURE GROWTH BY USING QUANTITIVE EASING.  THERE IS NO OTHER WAY. THE FINANCIAL  GAP HAS TO BE CREATED IN ORDER TO CREATE FINANCIAL LIQUIDITY. THE USA MODEL SHOW MULTIPLE BEAR RALLIES CREATED BY BANK LIQUIDITY. THIS WILL ALLOW INVESTORS TO MAKE MONEY IN THE CANADIAN STOCK MARKET. THIS WILL BAILOUT THE CANADIAN BANKS AND MORTGAGE BROKERS.

 THE CANADIAN ECONOMY IS NOW CREATING PART-TIME JOBS AND LOWER PAYING JOBS. CANADIANS ARE HEADING TO SUBSTANDARD LIVING STANDARDS. THE MANUFACTURING SECTOR IS RAPIDLY FALLING AND BLUE COLLAR JOBS ARE SCARCE. THE MIDDLE CLASS IS FACING THE SAME CRISIS AS IN THE UNITED STATES.

STEP SIX: THE PROBLEM IS THAT THE CANADIAN ECONOMY IS NOW STARTING A  LONG PERIOD OF ASSET DELEVERAGING. THIS FLAT LINING IS THE KEY TO UNDERSTANDING THE FUTURE OF CANADA. CANADA IS A GREAT COUNTRY WITH MANY RESOURCES BUT IS NOW HEADING FOR THE 99 CENT STORE!

THE FED PUTS THE ECONOMY IN REVERSE!

THE FEDERAL RESERVE HAS RAISED THE COST OF MONEY BY .25 WITH A GOAL OF 2% OVER 2 YEARS. THIS IS LIKE PUTTING A CAR IN REVERSE AND HOPING IT WILL GO INTO DRIVE. THE TRANSMISSION CABLE IS BROKEN AND CANNOT BE REPLACED BY A DEFECT PART.

  THIS STRANGE ECONOMIC  PARADOX THAT FEDERAL RESERVE INFLATIONARY GOAL OF  2% IN A DEFLATIONARY ECONOMY. THIS  IS THE START OF A NEGATIVE CYCLE.  THE  FEDERAL RESERVE FINANCIAL CHAIN REACTION IS DESIGNED TO JUMP START A SLOW MOVING TURTLE INFLATION.

WE ARE NOT IN AN INFLATIONARY ECONOMY. WE ARE ABOUT 5 YEARS FROM AN INFLATIONARY ECONOMY. THIS MOVE IS COUNTER-PRODUCTIVE BECAUSE IT DECREASES THE DEMAND FOR MONEY. THE BANKS HAVE NO MAJOR COMMERICAL DEMAND FOR MONEY DUE TO THE FACT THAT THEIR IS NO PRICING POWER AND MORE EMPLOYMENT CUTS ARE THE NEW NORMAL.

THE NEGATIVE CHAIN REACTION WILL HIT THE STOCK MARKET, COMMODITY MARKETS, CURRENCY MARKETS AND INCREASE LOAN DEFAULTS. THE U.S.A. INFRASTRUCTURE IS STILL BEING HELD HOSTAGE BY CONGRESS AND MIDDLE EASTERN MILITARY POLICY HAS COST THE USA ABOUT $ 3 TRILLION DOLLARS. WE ARE NOT IN A NEW ERA:

 WE ARE STILL DELEVERAGING ASSETS! THERE  IS A MIXTURE OF GOOD AND BAD DEFLATION. CHINA IS READY TO EXPLODE DOWNWARD. CHINA CAN ONLY MOVE TO CURRENCY PROTECTIONISM AND INTERNATIONAL TRADE PROTECTIONISM TO PROTECT ITS CONSUMER MARKETS. THIS IS A PROTECTIONIST FINANCIAL CONTAGION.

WE HAVE OVER 1 MILLIONS HOMES IN SURPLUS AND THERE IS NO CONSTRUCTION LABOR AVAILABLE. THE NEW ECONOMIC IMMIGRATION MODEL WILL RESULT IN A COLLAPSE OF UNSKILLED AND SEMI-SKILLED EMPLOYMENT POOLS. THERE IS A MASSIVE SHORTAGE OF UNSKILLED LABOR AND THE MINIMUM WAGE NOW HAS MADE THESE MARKETS HARD TO STAFF. THE AMERICAN UNDERCLASS IS NOW ON WAGE EQUIVALENT ENTITLEMENT BENEFITS.

THE AMERICAN PEOPLE NEED A TAX CUT AND $2,000.00 REBATE FROM THE NEW TAX CODE. THE PROBLEM INHERENT WITH A DEFLATIONARY ECONOMY IS THAT AMERICANS ARE WORRIED ABOUT SAVINGS AND NOT INVESTING.  THE FEDERAL RESERVE DOES NOT KNOW HOW TO PUT MONEY BACK INTO THE HANDS OF THE PEOPLE. THEY CAN ONLY CREATE PRICE STABILIZATION AND SOME TYPE OF DEMAND FOR MONEY. THERE IS NO COMMERICAL DEMAND FOR LARGE LOANS AND CONSUMERS ARE STILL WITHOUT SAVINGS OR HOME EQUITY. THE CONGRESS CANNOT MOVE THE MARKETS BECAUSE THEY HAVE CREATED FINANCIAL GRIDLOCK.

The Keys to the Shadow Banking System: THE COMING COLLAPSE OF THE AMERICAN INDUSTRIAL COM...

The Keys to the Shadow Banking System: THE COMING COLLAPSE OF THE AMERICAN INDUSTRIAL COM...: The coming recession in the US industrial based is leading to a highly segmented American Marketplace.  The industrial companies are sl...

THE COMING COLLAPSE OF THE AMERICAN INDUSTRIAL COMPANIES COMPLEX!

The coming recession in the US industrial based is leading to a highly segmented American Marketplace.  The industrial companies are slated to collapse between 30% to 40% and will take another five years to work out the economic deflation.. Why has this happened?

1. The Chinese Manufacturing Depression  has resulted in the collapse of commodity prices and demand from emerging economies commodity or currency. The Chinese have to dump industrial goods at lower world market prices.  The global competition for markets is shrinking.

2. The Strong US Dollar has created a super-demand for foreign  consumer imports and equipment. The strong dollar has created a trade barrier for American manufacturing companies. The Chinese have needed to devaluate their currency to create demand for their products.

The cost of industrial goods has gone up and no longer is economically feasible to buy these industrial goods.  It makes no sense to buy American industrial products , but it does make sense to bring Government subsidies to these industrial companies. 

3. The American industrial companies are suffering from industrial overcapacity and dropping sales and earnings. American banks are holding billions in electronic credit with the Federal Reserve and they would benefit from the Federal Reserve increase.  They would continue to refuse to lend to consumers. Banks could begin to lend on a massive scale but who is borrowing when prices are dropping?

4. The Federal Reserve is currently looking at unemployment numbers and housing starts to plan on a December rate hike to 1 or 2%.  This would increase the cost of money and add an additional burden to Industrial Companies.  This increase of the cost of money within a deflationary economy will result in at least a 4,000 pts. drop in the stock market.  This will result in higher industrial and construction unemployment.

5. The Federal Reserve higher cost of money decision would  be bad alternative in a deflationary economy. The Keynesian theory holds that increasing the  accelerator and multiplier will create greater demand.  The Federal Reserve would do the opposite. The Federal Reserve would  scare off spending and create a need for savings. Industrial Companies have cut the capital expenditures and it has already impacted downward supply chain of suppliers. The Investment dollar is now frozen.

  Debt is no longer an asset in a deflationary economy.  You are paying back in expensive dollars. The Federal Reserve would freeze housing sales and car sales. The downward deflationary spiral could last for years. Is the Federal Reserve willing to gamble with the consumer sector and create a deflationary freefall?

The Keys to the Shadow Banking System: NEW CHINESE ECONOMIC ORDER; 8888 DEPRESSION INVEST...

The Keys to the Shadow Banking System: NEW CHINESE ECONOMIC ORDER; 8888 DEPRESSION INVEST...: THE GREAT CHINESE MIRACLE WHICH STARTED IN 1995 TO 2015 HAS COME TO AN END. THE CHINESE MIRACLE HAS LASTED FOR TWENTY YEARS AND N0W IS ...

THE NEW CHINESE PORTFOLIO FOR THE REAL ESTATE CRASH!

THE GREAT CHINESE MIRACLE STARTED IN 1995 2015 HAS COME TO AN END. THE CHINESE MIRACLE HAS LASTED FOR TWENTY YEARS AND N0W IS GOING THROUGH 12 YEARS OF DELEVERAGING OF CHINESE ASSETS.

WHAT ARE THE CHINESE WEALTHY TO DO WITH THEIR MILLIONS? HOW WILL THE CHINESE PREPARE TO DEAL WITH 12 YEARS OF CHINESE DELEVERAGING? 

WHAT RATE OF RETURN SHOULD THE CHINESE INVESTOR EXPECT FROM THE MARKET? THE CHINESE BILLIONAIRES NEED TO MAKE BIG MOVES IN THE NEXT 6 MONTHS. 

THE NEW MILLIONAIRE CHINESE 88 DEPRESSION INVESTMENT PORTFOLIO WILL HAVE THE FOLLOWING BUILDING BLOCKS TO DEAL WITH THE COMING DEPRESSION. THE CHINESE 88 DEPRESSION PORTFOLIO SHOULD BE 50%  US BONDS 25%  SELECTED US EQUITIES (US STOCKS ARE OVER-PRICED) AND 25% ALTERNATIVE INVESTMENTS.

THE CHINESE DEPRESSION PORTFOLIO IS THE KEY TO SURVIVAL.  HERE ARE SOME OF THE KEY ELEMENTS OF THE CHINESE 88 DEPRESSION PORTFOLIO:

1. US. CASH-BASED INVESTMENTS: THE CHINESE RICH NEED TO INVEST IN TREASURY-ONLY MONEY MARKET FUNDS, 30 YEAR TREASURY SECURITIES ( 30% RETURN ON MONEY!). AND S & P MUNI BONDS  9%.

2. THE USE OF GOLD-BASED INVESTMENTS FROM GOLD MINING STOCKS, GOLD MUTUAL FUNDS, GOLD INDEX FUNDS. ( ESPECIALLY WHEN GOLD REACHES $1,100 AT GOLD PRODUCTION COSTS)

3. SILVER-BASED INVESTMENTS THAT CONCENTRATE ON SILVER MUTUAL FUNDS, SILVER MINING, AND ETS.

4. THE USE OF US-BASED CURRENCY  AND ETFS. AVOID ALL OIL COMMODITY-BASED CURRENCIES. ( OIL PRICES SHOULD HIT $20.00 A BARREL IN 6 MONTHS)

5. THE INTEGRATION OF CASH-RICH COMPANIES FROM USA HIGH TECHNOLOGY COMPANIES. (MEDICAL COMPANIES 27% ) THE AVERAGE DIVIDEND GUARANTEE IS ABOUT 15%

6. INVESTING IN COMPANIES WITH PRICING POWER THAT CONTROL KEY MARKETS. 18%

7. US-BASED RECESSION-RESISTANT COMPANIES IN THE FIELD OF FOOD PROCESSORS AND CONSUMER PRODUCTS COMPANIES.

8. HIGH-US PROFITABLE  US SECTOR FUNDS AND TOP PERFORMING ETS. 13%

9. THE USE OF CONVERTIBLE BONDS IN WHICH  YOU CAN GAIN IN BOTH AREAS FROM INTEREST RATES TO CONVERTING INTO STOCKS.

10. AVOID THE FOLLOWING CHINESE INSTITUTIONS: CHINESE CREDIT INSURERS, CHINESE INVESTMENT COMPANIES,  CHINESE CONSUMER FINANCE COMPANIES, CHINESE MONEY CENTER BANKS,

 CHINESE  REGIONAL BANKS, CHINESE HOME BUILDERS, CHINESE TITLE INSURERS, CHINESE AUTOMAKERS, CHINESE CONSTRUCTION AND ENGINEERING COMPANIES, CHINESE PROPERTY DEVELOPERS, CHINESE FURNITURE MAKERS, CHINESE APPLIANCE, AND CHINESE TOOL MAKERS.

11. AVOID THE CHINESE REAL ESTATE MARKET: REITS, OFFICE AND COMMERCIAL REITS,  ALL CHINESE REAL ESTATE DEALS NEED A 60% DISCOUNT BEFORE YOU PURCHASE CHINESE REAL ESTATE. 

12. THE USE OF STOCK MARKET TECHNIQUES OF USING NAKED PUTS, COVERED CALLS, MARRIED PUTS, COLLARS, AND LEAPS.

 STAY AWAY FROM THE CHINESE STOCK MARKET AND REMEMBER THAT HONG KONG EXPERTS HAVE NEVER MADE ANY MONEY IN THE CHINESE STOCK MARKET.

THE 88 CHINESE DEPRESSION PORTFOLIO WILL POSITION CHINESE MILLIONAIRES AND BILLIONAIRES FOR THE FUTURE. THE CHINESE REAL ESTATE CRASH IS REAL AND LAST FROM 2022-20232.

The Keys to the Shadow Banking System: THE DOWN WAVE IN CHINA: THE CHINESE ECONOMIC DEPRE...

The Keys to the Shadow Banking System: THE DOWN WAVE IN CHINA: THE CHINESE ECONOMIC DEPRE...: PROFESSOR LANG XIANPING OF THE CHINESE UNIVERSITY OF HONG KONG HAS  RELEASED A BOMBSHELL FOR THE CHINESE ECONOMY; THE CHINESE DOWNWAVE ...

THE BUBBLE THAT BROKE THE CHINESE BANK, 2023-2033

THE NEW BOOK "THE BUBBLE THAT BROKE THE BANK, EXPLORES THE REAL ESTATE CRASH IN CHINA. THE CHINESE REAL ESTATE HOUSING IS THE BUSINESS CYCLE AND THE CONSUMER CYCLE IS NOW BEING CRUSHED!

ON MAY 4, 2019 DONALD TRUMP ANNOUNCED 50% TARIFFS ON CHINESE GOODS. THE CHINESE ARE NOW IN THE PROCESS OF RESPONDING TO THE NEW TRADE WAR. 

   PRESIDENT BIDEN COLD WAR IS BASED ON CHANGING THE ECONOMIC AND MILITARY DYNAMICS OF THE CHINESE COMMUNIST PARTY. THE CHINESE COMMUNIST PARTY HAS FAILED IN GIVING  BIDEN A CHECKMATE. THE RISE OF TAIWANESE NATIONALISM IS THE BIG WINNER.

THE COMMUNIST CHINESE PARTY HAS NO CHOICE BUT TO RESIST THE RESTRUCTURING OF THE CHINESE INDUSTRIAL COMPLEX. THE CHINESE EXPORT MACHINE HAS COME TO A HALT AND A 5-YEAR DEPRESSION HAS BEGUN IN CHINA. CHINA CAN ONLY MOVE IN ONE DIRECTION: INTERNAL CONSUMPTION! THE 2020 PANDEMIC HAS REVEALED THE MASSIVE FAILURE IN CHINA.

THE ONLY MAJOR INVESTMENT FIRM TO DEAL WITH THIS CHANGE IS HONG KONG INVESTMENT FIRM PAG. THE HEROIC AND DYNAMIC LEADERSHIP OF WIJAN SHAN IS NOW MOVING INVESTMENT RESOURCES INTO DOMESTIC INVESTMENTS TO INCREASE INTERNAL CONSUMER MARKETS.

CHINESE COMMUNIST PARTY HAS SUCCESSFULLY DESTROYED THE COMMERCIAL AND INVESTMENT INFRASTRUCTURE IN HONG KONG. HONG KONG BECAME A MEDIOCRE AND POOR PROVINCE. THERE IS NO FUTURE IN HONG KONG.

THE NEW NORMAL FOR CHINA IS ECONOMIC DEPRESSION. THE DREAMS OF WORLD DOMINATION ARE NOW PUT ON HOLD. THE CURRENCY MANIPULATION WILL LEAD TO A CHAIN REACTION OF ECONOMIC RECESSION FOR EMERGING COUNTRIES. THE DECLINE IN VALUE OF THE YUAN DEPRECIATES THE GOODS AND SERVICES OF CHINA AND CREATES MASSIVE CAPITAL FLIGHT FROM CHINA.

THE CHINESE DEPRESSION HAS LANDED IN CHINA!

PROFESSOR LANG XIANPING OF THE CHINESE UNIVERSITY OF HONG KONG HAS  RELEASED A BOMBSHELL ABOUT THE CHINESE ECONOMY; THE CHINESE DOWNWAVE HAS ARRIVED! THE BLACK SWAN HAS ARRIVED IN CHINA!

WE ARE IN THE SECOND PART OF 12 YEAR PROGRAM OF DELEVERAGING CHINESE ASSETS. PROFESSOR XIANPING RESEARCH INTO THE CHINESE ECONOMIC MIRACLE IS NOW UNDER INVESTIGATION BY WORLD ECONOMISTS.

THE EARLY DEPRESSION INDICATORS WERE DISCOVERED BY JIM CHANOS OF THE KYNIKOS FUND IN 2009. CHANOS USED HIS RESEARCH TEAM TO DEVELOP AN EXTENSIVE  CHINESE PROPERTY DATABASE. THE PROPERTY AND CONSTRUCTION BOOM BEGAN IN CHINA IN 1998.

 CHANOS SAW INTERLOCKING CONNECTIONS  WITH UNDERDEVELOPED COUNTRIES SELLING MINING COMMODITIES AND THE CHINESE BUILDING AN INFRASTRUCTURE MIRACLE. EUROPEAN AND AMERICAN COMPANIES WERE USED TO BUILD INFRASTRUCTURE PROPERTIES.

 AMERICAN AND EUROPEAN STOCKS CAN EASILY BECOME STOCK SHORTS DURING THE EARLY STAGES OF ECONOMIC DEPRESSION. THE CHINESE HAVE CONTRIBUTED 1/3 OF THE WORLD GDP. THIS IS NOW GONE!

 CHANOS BEGAN TO ANALYZE THE ECONOMIC ANOMALIES THAT DID NOT MAKE ECONOMIC SENSE. CHANOS'S TEAM SAID THAT CHINA WAS ON A 'TREADMILL TO HELL" AND THE STOCK MARKET WAS LIKE " A PIG ON LSD".

HE FOUND THAT 60%  OF INVESTMENTS WERE IN FIXED ASSETS. THERE WERE TOO MANY GHOST HOMES AND PROPERTIES IN CHINA.

CHANOS'S TEAM PUT TOGETHER A CORRELATION BETWEEN BUBBLE INVESTMENTS IN REAL ESTATE AND COMMODITIES. CHANOS BEGAN HIS SHORT TRADING STRATEGIES BASED ON THE BUBBLE ECONOMY. HIS SHORT STRATEGY IS BASED ON SHORTING THE INPUTS TO COMMERCIAL PROPERTY.

 HE PREDICTED THE FIRST STAGES OF THE COMING DEPRESSION. HE REASONED THAT EVENTUALLY, THE CHINESE ECONOMIC MIRACLE WILL RUN INTO THE BRICK WALL OF THE CONSUMER CYCLE. 

THE BUSINESS CYCLE IS NOW SHOWING DEPRESSIONARY INDICATORS. THE BLACK SWAN INDEX AND CBOE SKEW INDEX BOTH SIGNAL AN UNPREDICTABLE EVENT CREATING THE TRIGGER EVENT.

 IN, 2009, CHARLENE CHU DISCOVERED THAT THE CHINESE BANKS WERE PART OF THE SHADOW BANKING SYSTEM. SHE FOUND THAT THE CHINESE BANKS EXTENDED $ 15 TRILLION TO THE CHINESE SHADOW BANKING SYSTEM. THE BANKS ARE FUNCTIONAL ZOMBIE BANKS WITH ZERO LIQUIDITY.

 THIS EXPLAINS THE LOW COST OF CHINESE BANKING STOCKS. THE CHINESE BANKS ARE IN A STATE OF COLLAPSE. THE CHINESE BANKS ARE STUCK IN A ILLIQUID MARKET. THE BANKS COULD FREEZE UP THE CHINESE ECONOMY FOR A SHORT PERIOD OF TIME.

DR. ANDY XIE, AN INDEPENDENT ECONOMIST HAS ARGUED THAT CHINA  IS A " GIGANTIC MONETARY BUBBLE THAT HAS CORRUPTED VIRTUALLY EVERY CORNER OF THE ECONOMY".  ANDY XIE ARGUED THAT IT IS LABOR COMPETITIVENESS NOT SPECULATIVE BUBBLES THAT CREATES ECONOMIC STABILITY. 

ANDY XIE WAS SHOCKED BY HOW THE GOVERNMENT HAS CREATED AN 'IRON TRIANGLE' OF GOVERNMENT OFFICIALS, BUSINESSMEN, AND SHADOW BANKING TO TRANSFER WEALTH FROM THE POOR TO THE RICH. THIS WAS EXPLORED IN THE BOOK THE RED ROULETTE. 

  

 THE DOWN WAVE FIRST WAVE STARTED IN JULY OF 2018. IT  WILL LAST THROUGH 2033. PRESIDENT TRUMP HAD TRIGGERED A TRADE WAR WITH CHINA. THIS WAR BEGAN THE DELEVERAGING OF THE CHINESE ECONOMY.  THE STOCK MARKET WILL TURN CHINESE STOCKS INTO AN AVALANCHE OF WORTHLESS CHINESE EQUITIES. 

CHINESE WILL BE OPERATING IN REVERSE TO THE ENTIRE WORLD ECONOMIC WORLD ORDER. THE MAJOR ECONOMIC BLOCKS WILL BEGIN A 20-YEAR PERIOD OF RE-INFLATING THEIR ECONOMIES. THE CHINESE WILL BE DEFLATING THEIR ECONOMIES FOR 20 YEARS. CHINESE ECONOMY IS CURRENTLY BASED ON THE SWISS CHEESE OF HYPERINFLATION AND DEFLATION.

 IT IS IMPOSSIBLE FOR THE CHINESE TO PROVIDE WORLD LEADERSHIP IN THIS TYPE OF ECONOMIC ENVIRONMENT. THE UNITED STATES WILL PROVIDE WORLD LEADERSHIP AND BECOME THE DOMINANT WORLD PLAYER. AMERICAN AND EUROPEAN ALLIANCES WILL BE HIGHLY SUCCESSFUL. THE NEW PROXY STATE OF UKRAINE WILL STOP PUTIN'S EMPIRE FANTASY.

 THE CHINESE LEADERSHIP WILL BE SHOCKED BY THIS ECONOMIC REALITY. ALL OF THE CHINESE INTERNATIONAL ALLIANCES WILL EXPERIENCE ECONOMIC DEPRESSION

 THE CHINESE ECONOMY WILL BE PUTTING ON FIRE SALES. THEIR GLOBAL ASSETS WILL BE SOLD VERY CHEAPLY AND ANTIQUES. CHINESE WILL HAVE LEARNED A PAINFUL ECONOMIC LESSON ABOUT DEFLATION.

 THE SECOND PHASE WILL BE FROM 2023 TO 2024 AND THE LAST PHASE WILL BE FROM 2026 TO 2033. IN 2016, $540 BILLION HAD LEFT THE CHINESE ECONOMY. THE DEPRECIATING YUAN WILL CREATE A FIXED CURRENCY RESERVE PARADOX.

THE FOREIGN CURRENCY RATE SHOULD BE $1.00= 15 YUAN. THE YUAN IS OVERVALUED AT THE CURRENT RATE.

 THIS WILL CREATE A DRAG ON THE WORLD ECONOMY DUE TO THE FACT THAT CHINA WILL HAVE A REAL GDP OF 4% FOR 12 YEARS!. SLOW GROWTH WILL IMPACT COMMODITIES AND INTERNATIONAL TRADE.

 THE CHINESE SATELLITE EMERGING NATIONS WILL BEGIN A LONG-TERM DELEVERAGING. 

PROFESSOR XIAN PING DEPRESSION RESEARCH DISMISSES THE CHINESE COMMUNIST PARTY IDEOLOGY WITH FACTS:

1. THE CHINESE ECONOMY IS IN DEBT OF $28  TRILLION DOLLARS. THE CHINESE HAVE $3.3 TRILLION IN RESERVES. IN 2016, THE CHINESE ARE LOSING $540 BILLION IN FLIGHT CAPITAL. THESE RATES HAVE DOUBLED IN 2023.

2. THE REAL INFLATION RATE IS 16.2% 

3. THE INVENTORY IS AT AN EXCESSIVE CAPACITY OF 50.77 %. ANOTHER INDICATOR IS THE CHINA COMPUTERIZED FREIGHT INDEX (CCFI) WHICH SHOWS A 25% DECLINE.

4. THE REAL GDP IS AT 2%.

5. THE CHINESE TAX RATES FOR INDIVIDUALS ARE AT 51.6% AND 70% FOR BUSINESSES.

6. THE CHINESE ECONOMY IS USING BUBBLE ASSETS FROM PROPERTY, CARS, LUXURY GOODS, ANTIQUES, AND ART FOR QUICK PROFIT. THE LIQUIDATION OF THESE ASSETS WILL BRING GREAT BARGAINS FOR AMERICANS.

7. CURRENTLY 70% OF CHINESE GDP IS BASED ON INFRASTRUCTURE CONSTRUCTION. THE SERVICE SECTION IS GROWING AT 13%  AND ADJUSTED FOR GOVERNMENT STATISTICAL DISTORTION SERVICE IS AT 5%. THE REAL ESTATE CRASH IS DRIVING THE CHINESE ECONOMY. 

8. THE STOCK MARKET COLLAPSE OF $ 10 TRILLION DOLLARS. 

9. THE CHINESE GAMBLING COMMUNITY IN MACAU WILL COLLAPSE WITH A 70% DOWNWARD PRESSURE ON GAMBLING STOCKS. THE AMERICAN GAMBLING CORPORATIONS HAVE TO BE WATCHED FOR FURTHER STOCK DECLINES.

10.  THE ECONOMIC INEQUALITY IN CHINESE SOCIETY. THE CHINESE HAVE

EXTENSIVE INCOME INEQUALITY RESULTED IN FLIGHT CAPITAL. THERE ARE 200 MIDDLE-CLASS CHINESE  WORTH $28.3 TRILLION DOLLARS OF CHINESE MONEY.

ACCORDING TO WANG XIANGWEI, 2013 WAS THE BEGINNING OF THE FINANCIAL REFORM CREATED BY THE COMMUNIST PARTY. THIS RESULTED IN THE ARREST OF WU XIAHUI AND XIAO JIANHUA. THIS HAS LED TO THE NEW PROPOSAL OF ALLOWING A $10,000 WITHDRAWAL FROM CHINESE BANKS.

MOREOVER, WANG XIANGWEI HAS DOCUMENTED THE RISE IN THE HIGH NUMBER OF SUICIDES AMONG CHINESE OFFICIALS. GENERAL YANG DEATH HAS SENT SHOCK WAVES THROUGHOUT THE COMMUNIST PARTY.

 THE CHINESE HAVE REACHED NEW LEVELS OF INCOME INEQUALITY. THE 2015 PER CAPITA INCOME IS ABOUT $14,000.00 PER PERSON.  THE CHINESE ECONOMY WILL REACH THE GINNI FACTOR OF 50%  BY 2020.

 THIS  WILL RESULT IN A LONG PERIOD OF DELEVERAGING OF ASSETS AND INCOME.

MANY UPPER-INCOME CHINESE HAVE DEVELOPED  A SERIES OF FLIGHT CAPITAL STRATEGIES TO ESCAPE THE COMING DEPRESSION IN CHINA. THEY HAVE DEVELOPED 20 WAYS OF GETTING CAPITAL OUT OF CHINA. THE COMING COLLAPSE OF THE YUAN IS NOW IN FREE FALL. THIS MAKES THE MONEY WORTHLESS FOR CHINESE INVESTORS. 

11. THE CHINESE SHADOW BANKING SYSTEM HAS CREATED A MASSIVE $ 30 TRILLION CREDIT BUBBLE USED TO FINANCE THE PROPERTY MARKETS. THE CREDIT BUBBLE IS NOW READY TO POP AND CREATE A PROPERTY DEPRESSION IN CHINA.

 THIS IS VERY SIMILAR TO THE 20008 AMERICAN SUBPRIME GRAVEYARD IN THE HOUSING MARKET. JIM CHANOS HAS EXTENSIVE DOCUMENTATION ON THE TRUST INSTRUMENTS USED TO FUEL THIS PROPERTY BUBBLE. 

CHANOS' ANALYSIS IS OUTSTANDING ON THE MISMATCH OF SHORT AND LONG-TERM CREDIT OBLIGATIONS. WHAT HAPPENS WHEN THE ROLLOVER COLLAPSES? THIS ISSUE WAS TAKEN UP IN THE FICTIONAL FILM ROLLOVER!

THE ONLY IMMEDIATE SOLUTION TO THE CHINESE MIXED MARKET ECONOMY IS TO DEVELOP INVESTMENT STRATEGIES FOR SLOW GROWTH AND DEFLATION EXPECTATIONS FOR CHINA. WHERE IS THE CHINESE SMART MONEY?

 THE CHINESE INVESTORS ARE NOW INVESTING IN UNSAFE BONDS, PROPERTY, AND ART. THE SHANGHAI CHOGYANG INVESTMENT COMPANY MUST DEAL WITH THE REAL ESTATE CRASH AND SHADOW BANKING INVESTMENT TRUSTS. THIS FUND MANAGES $3. 15 BILLION AND IS DEALING WITH CHINESE INVESTORS THAT HAVE INVESTED IN  PROPERTIES IN FIRST-TIER CHINESE CITY BONDS WHICH  ARE UNSAFE. 

 THE REAL QUESTION IS THAT THIS MAY BE A VERY DANGEROUS STRATEGY. THE QUESTION OF MASSIVE DEFAULT IN CHINESE BONDS IS OFF THE CHINESE INVESTOR RADAR.  THEY ARE INVESTING IN THE WRONG BONDS IN THE WRONG COUNTRY!

THE SHANGHAI YAOZHI ASSET MANAGEMENT IS USING THIS SAME FORMULA FOR MANY CHINESE INVESTORS.

 MANY CHINESE ARE TURNING TO VARIOUS LIFE INSURANCE AND ANNUITY PRODUCTS SOLD BY THE SHANGHAI LIFE INSURANCE. CURRENTLY, YIELDS ON 5-YEAR BONDS ARE ABOUT 4.53% AND ARE DOWN FROM THE HIGH OF  5.60% FOR BONDS.

  

CHINESE INVESTORS ARE GOING INTO THE SHENZHEN AREA ACROSS THE BORDER FROM HONG KONG TO INVEST IN PROPERTIES. MANY ARE USING SHANGHAI ZHIYUAN REAL ESTATE AGENCIES TO BUY INTERNATIONAL PROPERTIES FOR FUTURE INVESTMENTS. 

  SOTHEBY'S IS MARKETING ARTWORKS BUT THIS IS USUALLY AN INFLATION INDICATOR AND MAY BE A BAD INVESTMENT FOR CHINESE INVESTORS. THEY ARE CURRENTLY IN THE ART AND ANTIQUE BUBBLE IN CHINA. 

THE CCP HAS CREATED A NEW POLITICIZED ECONOMIC AGENDA:

1. NO FOREIGNERS

2. NO TECHNOLOGY-SHARING

3. NO PRIVATE CAPITALISM

4. NO LAYING DOWN

5. NO RUNOLOLGY

  

The Keys to the Shadow Banking System: THE COMING 70% FIRE SALE IN MACAU STOCKS!

The Keys to the Shadow Banking System: THE COMING 70% FIRE SALE IN MACAU STOCKS!: THE CHINESE STOCK MARKET COLLAPSE OF $5 TRILLION DOLLARS HAS CREATED A VACCUM IN THE MARKET. THE COMING COLLAPSE OF THE MACAU STOCK MAR...

THE COMING 70% FIRE SALE IN MACAU STOCKS!

THE CHINESE STOCK MARKET COLLAPSE OF $5 TRILLION DOLLARS HAS CREATED A VACCUM IN THE MARKET. THE COMING COLLAPSE OF THE MACAU STOCK MARKET IS THE RESULT OF THE INTERACTION OF THE CHINESE STOCK MARKET AND COMMODITIES MARKET. THE CRACKDOWN ON MACAU HAS CREATED A CRISIS IN THE MACAU STOCK VALUATIONS. THE DOWNWARD  DEFLATION ON MACAU STOCK PRICES COULD REACH 70% DECLINE. 

THE BIG AMERICAN THREE MAY HIT A  70% DECLINE IN STOCK PRICES. THE WYNN HOTEL AND CASINO, THE LAS VEGAS SANDS AND MGM COULD BE SEVERELY IMPACTED BY THIS DECLINE. THESE ARE OUTSTANDING COMPANIES WITH EXCELLENT LEADERSHIP TEAMS. HOWEVER, THE STOCK MARKET HAS ITS OWN DEFINITION OF VALUE. THE DEFLATIONARY NEGATIVE  FEEDBACK WOULD LOOK LIKE THIS:

WHAT WOULD A 70% PRICE DECLINE LOOK LIKE?

1. THE CLOSING ON FRIDAY OF SEPTEMBER 11, 2015 IS AT:

A. WYNN IS CURRENTLY  AT $67.32. THE 70% PRICE WOULD BE AT A RANGE OF $20.08-TO $30.00

B. THE LAS VEGAS SANDS IS AT 46.88. THE 70% WOULD BE ATA RANGE OF $14.07- TO $23.07.

C. THE MGM IS AT $20.96. THE  70% WOULD BE AT RANGE OF $ 6.29 TO $16.29.

THIS WOULD BE A ONCE IN A LIFETIME OPPORTUNITY TO BUY INTO THE THREE GREATEST GAMBLING CORPORATIONS. 

WHAT IS THE SOLUTION FOR THESE THREE CORPORATIONS: (1) ISSUE BONDS NOW AND NOT LATER AT 6% COUPON RATES. (2) EMPLOYEE BUY IN AT THE 70% LOW RANGE; (3) AGGRESSIVE MARKETING OF HOTEL AND CASINO, (3) CONVERSION OF REAL ESTATE ASSETS INTO A REIT. 

 THE YEAR OF THE MONKEY WILL ALLOW FOR A QUICK RECOVERY OF PRICES. 

The Keys to the Shadow Banking System: ROBERT SCHILLER CONFIRMS NEW FUTURE STOCK BOTTOM:...

The Keys to the Shadow Banking System: ROBERT SCHILLER CONFIRMS NEW FUTURE STOCK BOTTOM:...: WHAT PART OF A LOWER DOW DOES CNBC NOT UNDERSTAND? THE FAMOUS ROBERT SHILLER CONFIRMS THE FRACTAL BOTTOM AT DOW 11,000 AND S & P  A...

ROBERT SCHILLER CONFIRMS NEW FUTURE STOCK BOTTOM: 11,000

WHAT PART OF A LOWER DOW DOES CNBC NOT UNDERSTAND? THE FAMOUS ROBERT SHILLER CONFIRMS THE FRACTAL BOTTOM AT DOW 11,000 AND S & P  AT 1,000. ROBERT SHILLER USING AN OBJECTIVE ECONOMIC INDICATOR CALLED THE CAPE INDEX HAS PUT A SOLID BOTTOM FOR THE AMERICAN STOCK MARKET.

EVIDENTLY, CNBC REFUSES TO UNDERSTAND THAT THE MARKET  BULL RALLIES ARE NOT AN INDICATION OF NEW ROARING BULL MARKET. LOOK ITS A BULL MARKET FLYING TOWARDS US; LOOK ITS DARTH VADER; LOOK ITS RECESSIONARY VULTURE!

 THIS IS THE ULTIMATE TEST OF SCIENCE VERSUS ECONOMIC OPINIONS.  THE FINANCIAL EPIDEMIC HAS JUST STARTED TO SPREAD FROM ITS SOURCE OF  THE 3.7 TRILLION COLLAPSE OF THE CHINESE STOCK MARKET. THE COMBINATION OF CHINESE STOCK MARKET COLLAPSE AND SUPERCYCLE COMMODITY COLLAPSE EQUALS A GLOBAL RECESSION.

 THE IDEA OF THE FEDERAL RESERVE RAISING INTEREST RATES IS PURE FICTION. THE REALITY IS THE FED NEEDS TO CONSIDER A QUANTITIVE EASING AT A 2008 LEVEL!

The Keys to the Shadow Banking System: STOCK MARKET TRADERS JUGGLING DYNAMITE AS DOW COL...

The Keys to the Shadow Banking System: STOCK MARKET TRADERS JUGGLING DYNAMITE AS DOW COL...: THE FINANCIAL EPIDEMIC HAS CREATED A NEW DOWNWAVE FOR THE STOCK MARKET. THE CHINESE STOCK MARKET HAS SET UP NEW TIDAL WAVE OF DECLINES ...

STOCK MARKET TRADERS JUGGLING DYNAMITE AS DOW COLLAPSES TO 12,931 !

THE FINANCIAL EPIDEMIC HAS CREATED A NEW DOWNWAVE FOR THE STOCK MARKET. THE CHINESE STOCK MARKET HAS SET UP NEW TIDAL WAVE OF DECLINES IN THE STOCK MARKET! THE DOWNWAVE IS BASED ON THE FACT THAT THE FINANCIAL EPIDEMIC IS CONTAGIOUS.

THE CURRENT AMERICAN SOLUTION TO THE DOWNWAVE IS TO SELL INTO OPENING HIGHS AND SELL OUT STOCK POSITIONS. THE FIRST 4 HOURS ALLOW TRADERS TO SELL INTO TEMPORARY RALLIES. MANY INDIVIDUALS WILL BE LOOKING FOR FAKE BARGAINS IN THIS QUICKSAND MARKET. THEY WILL LOSE MORE THAN THE INVESTORS.

 THE FINANCIAL NEWS MEDIA IS USING THIS TO ARGUE FOR A SOFT LANDING.   THE REALITY IS THAT THE NEXT 60 DAYS WILL BE TESTING NEW LOWS. 

  THE DOW SHOULD BOTTOM AT 12, 931! WE SHOULD HAVE A DROP OF 2,900 POINTS IN THE DOW. MANY PEOPLE ARE BEING TOLD TO HOLD ON TO LOSING STOCK POSITIONS. THE STOCK TRADERS ARE NOT INVESTOR: THEY ARE REALIST.  THESE POSITIONS MAY TAKE OVER A YEAR OR MORE TO RETURN TO THESE PREVIOUS LEVELS. 

THE REAL PROBLEM HERE IS THE COLLATERAL DAMAGE OF THE FINANCIAL EPIDEMIC. MANY INVESTORS DON'T REALIZE THAT CHINA NEEDS TO RESTRUCTURE ITS INVESTMENT PORTFOLIOS. THE INDUSTRIAL COMMODITIES ESPECIALLY OIL ARE NOT LONGER ABLE TO DRIVE THE MARKET. THE DOWNWAVE IS BASED ON NEW MARKET LEADERSHIP. CHINA WILL NEED TO PUT INTO PLACE A GREAT LEAP FORWARD QUANTITIVE EASING PROGRAM.

 THE UNITED STATES NEEDS TO HIT A REAL MARKET BOTTOM AND NOT A COMMUNIST CHINESE POLITICAL BOTTOM. THE EMERGING MARKET AND DEVELOPED MARKETS ESPECIALLY CAPITAL GOODS MARKET OF GERMANY AND ITALY WILL TAKE LARGE HITS. THE UNITED STATES STOCK MARKET WILL BE ABLE TO BRING A NEW NORMALCY TO THE MARKETS- WHEN IT HITS BOTTOM.

The Keys to the Shadow Banking System: THE NEW STOCK MARKET BOTTOM AT 12, 931!

The Keys to the Shadow Banking System: THE NEW STOCK MARKET BOTTOM AT 12, 931!: DO YOU WANT TO PLAY INVESTMENT WAR GAMES? THE INVESTMENT WAR GAMES HAVE STARTED FOR THE NEXT 60 DAYS. OUR FRACTAL BOTTOM PREDICTION...

THE NEW STOCK MARKET BOTTOM AT 12, 931!

DO YOU WANT TO PLAY INVESTMENT WAR GAMES?

THE INVESTMENT WAR GAMES HAVE STARTED FOR THE NEXT 60 DAYS. OUR FRACTAL BOTTOM PREDICTION IS AT 12,931. OUR CURVED BOTTOM IS  FROM AUGUST 19 TO OCTOBER 19.

 WE EXPECT A DROP OF

2,940 POINTS TO  12, 931. 

THE NEW LEVEL OF 20% CORRECTION IS THE FRACTAL POINTS OF NO RETURN. WE ARE NOW ENGAGED IN INVESTMENT WAR GAMES WITH CHINA AND EUROPE. THE USA NEEDS TO BRING ITS BOTTOM HOME IN THE NEXT 60 DAYS. MOST HEDGE FUND INVESTOR ARE ONLY GOING TO SELL INTO RALLIES. THEY HAVE NO CONFIDENCE IN THIS MARKET.

DO YOU WANT TO PLAY INVESTMENT WAR GAMES?

MOST PROFESSIONAL MONEY MANAGERS HAVE SEEN THIS CORRECTION BEFORE AND EXPECT A RALLY AFTER THIS EVENT. THIS MAY NOT HAPPEN DUE TO A FRACTAL THEORY OF FINANCIAL EPIDEMIC. THE FINANCIAL EPIDEMIC MAY SPREAD TO THIRD WORLD COUNTRIES. 

WHAT IS THE FINANCIAL EPIDEMIC THEORY? THE FINANCIAL EPIDEMIC THEORY IS A MATHEMATICAL MODEL WHICH STATES THAT STOCK MARKET PROBLEMS ARE CONTAGIOUS. 

 THE CONTAGION SPREADS THROUGH WORLD- WIDE FINANCIAL INSTITUTIONS. THE CONTAGION SPREADS WHEN CRITICAL LEVELS ARE REACHED BY STOCKS.

 THERE ARE TWO TYPES OF FINANCIAL CONDITIONS THAT HAVE TO BE MET: (1) WHAT IS THE LEVEL OF RISK WITH  OVER-EVALUATION OF STOCKS IN A PARTICULAR COUNTRY; (2) HOW DO PEER STOCK MARKETS SPREAD THIS CONTAGION.  

WE USUALLY HAVE 2 TYPES OF CONTAGION DISTRIBUTIONS IN GLOBAL FINANCIAL NEIGHBORHOODS.

WHAT STARTS THE FINANCIAL CONTAGION? THE CONTAGION STARTS WHEN WE HAVE THE WORST STOCK MARKETS CRASH  THAT SPREADS THIS INTO A EPIDEMIC.

 THERE ARE NOW A COLLECTION OF FINANCIAL EPIDEMICS THAT SPREAD TO INTERNATIONAL STOCK MARKETS. HOW DO WE STOP STOCK EPIDEMICS? WE USE THE STRONGEST STOCK MARKET TO RESTRUCTURE THE FINANCIAL NEIGHBORHOOD. THAT IS WHY THE UNITED STATES STOCK MARKET HAS TO REACH A BOTTOM FIRST AND USE ITS HIGH-STATUS FINANCIAL MARKETS TO STOP THE EPIDEMIC.

 WE COULD SEE FINANCIAL MARKETS FREEZE IN THIRD WORLD COUNTRIES. WHO HAS THE PATIENCE TO FIND SUPER BARGAINS IN THE DRAGON'S LAIR. THE OLD BUDDHA WARNS ALL INVESTORS!

YOU CAN PLAY THIS GAME AND WIN WITH THE CONTANGO!

The Keys to the Shadow Banking System: THE MOST DANGEROUS INVESTMENT GAME IN TOWN!

The Keys to the Shadow Banking System: THE MOST DANGEROUS INVESTMENT GAME IN TOWN!: DO YOU WANT TO PLAY INVESTMENT WAR GAMES?  THIS IS THE MOST DANGEROUS INVESTMENT GAME IN THE STOCK MARKET.  THIS IS THE ULTIMATE DO...

THE MOST DANGEROUS INVESTMENT GAME IN TOWN!

DO YOU WANT TO PLAY INVESTMENT WAR GAMES?

 THIS IS THE MOST DANGEROUS INVESTMENT GAME IN THE STOCK MARKET.  THIS IS THE ULTIMATE DOWNHILL RACER GAME IN WALL STREET. 

THIS IS PLAYING THE CRAZY GAME OF CONTANGO.  THIS IS WHERE YOU HAVE TO MAKE A SPECULATIVE GUESS AND BUY ETF'S THAT TRACKS EXTREME VOLATILITY. THIS GAME NEEDS A SPECIAL WARNING THAT YOU CAN LOSE EVERYTHING VERY FAST AND THIS IS A RUSH GAME.

 YOU WILL INVEST EVERYTHING YOU HAVE FOR A PERIOD OF 60 DAYS AND WAIT FOR A 20% PULL BACK BEFORE SELLING YOUR POSITION. THIS IS A CRAZY WAY OF BUYING INTO THE INVESTMENT STORM. YOU WANT THE MARKET TO GO DOWN 2,000 OR EVEN 3,000 POINTS. MANY WOULD SAY THIS IS LIKE PIGS ON LSD IN REVERSE.

YOUR INVESTMENT KAMIKAZE LINEUP:

1. TVIX

2. UVXY

3. CVOL

4. VXX

5. VIIX

6. VIXY

7. TECS

YOU ARE NOW PLAYING THE MOST DANGEROUS GAME IN WALL STREET. THERE IS NO LIQUIDITY ILLUSION HERE. YOU ARE IN FOR A HALLOWEEN RIDE OF LIFETIME. REPENT SINNER THE INVESTMENT END IS NEAR. 

THIS STRATEGY IS DANGEROUS AND PLEASE CHECK WITH YOUR INVESTMENT ADVISOR AND YOUR MEDICAL DOCTOR.

The Keys to the Shadow Banking System: FINANCIAL TSUNAMI HITS THE STOCK MARKET!

The Keys to the Shadow Banking System: FINANCIAL TSUNAMI HITS THE STOCK MARKET!: THE FINANCIAL TSUNAMI HAS HIT THE AMERICAN STOCK MARKET. This financial tsunami started around August 19 and will last until October 19...

FINANCIAL TSUNAMI HITS THE STOCK MARKET!

THE FINANCIAL TSUNAMI HAS HIT THE AMERICAN STOCK MARKET. THE STOCK MARKET LOST 528. 40 POINTS IN ONE DAY! This financial tsunami started around August 19 and will last until October 19, 2015. We expect a monthly drop of 500 points in September and October 500 points or more! Our goal is a 2,000 drop in points!

 The perfect storm is caused by the interaction of the following forces: (1) The Greek Financial debacle was the first shock waves; (2) The Chinese SHANGHAI  Stock market has speculative bubble or pigs on LSD and a 40% decline in values: the devaluation of the Yuan is beginning of currency and  trade wars; 

 (3) Shiller stock market valuation index showed a historical over-valuation of stocks and this may the beginning of a financial epidemic; (4) Gary Schilling's Deleveraging of the Debt and Low Growth that has hit the emerging markets-commodity based currencies and spread to low growth epidemic; (4) The end of the commodities supercycle including copper,  mining, heavy construction lead by the collapse of the oil industry to a possible $10.00 a barrel of oil;

 (5) stock market correction of  over-evaluated stocks like solar city, chevron,caterpillar,  shell,  lng, H-packard, Apple, Netflicks especially 48% of technology stocks; (6) collapse of oil industry stocks with future bankruptcies in the oil patch. (7) the coming collapse of Gold to $600 an ounce; (7) the coming liquidity crisis in Bonds and Fed is not going to raise rates in September; (8) the collapse of Macau due to low junkets credit of $1 Million per hand and 20% drop of hong dollars converted into yuan and the International Gambling stocks in Las Vegas; (8)  and lower perceived slots payouts from slot machines.

WHAT IS THE SOLUTION?  THE AMERICAN INVESTOR NEEDS TO MOVE INTO CASH AND STAY IN U.S. DENOMINATED HIGH-QUALITY INVESTMENTS. WE SELL THE AMERICAN AGRICULTURAL PRODUCTS TO CHINA AND ARE INSULATED FROM THEIR MARKET. 

 THE AMERICAN ECONOMY IS VERY STRONG BUT WILL NOT BE REFLECTED IN THE STOCK MARKET. THE AMERICAN ECONOMY IS MOVING FASTER THAN THE FINANCIAL MARKETS.  THE SMART MONEY IS LOOKING AT THE EUROPEAN AND JAPANESE STOCK MARKET AFTER THE TSUNAMI!

THE STOCK MARKET IS A ZERO SUM GAME THAT IS NOT A  MIRROR OF THE US. ECONOMY.THE IDEA IS TO KEEP FAITH IN THE UNITED STATES AND REMEMBER WE WILL ENTER INTO A RENAISSANCE FUTURE.