After the aggressive call of RBS that the S&P 500 will drop 25% in the next weeks and Mr. Paulson's estimate that write-downs will be closer to $1,3 tril (close to world banks estimate of $1 tril.) but still not matching my call of $2 tril. Let's put it into perspective. The current $450bil. has destroyed the earnings of decades and, technically, most banks are bankrupt and only survive due to reluctant accounting allowance. The FED even borrows money for toilet paper, as long it comes from a bank and has a coupon (interest) on it.
Even more extreme things have been said less official, of which half have become true. In the following, some excerpts from an interview Mr. Estulin says that Kissinger has called for the oil price to go up to $120-150 (said before May 2005). Anyone by that time might have been called insane but, as a matter of fact, he turned out to be right. The second point of the Bilderberger, where Mr. Kissinger is one of the first and most important members, seems to have interest in throwing the world into a severe crisis, causing a financial disaster. Well, we are on the way to disaster, although the media ignores the facts and still Goldilocks' cheerleaders blabber the mantra of the last decade that the only way is up. We are in the most severe crisis since the depression - banks have caused trillions of losses up to now and the US administration makes the pathetic approach to save the day with throwing in $160 billion. If they had the same commitment to this biggest terrorist attack on the world economy they showed while hunting some evil Iraqi guys, it might look different now. The ignorance of the FED, Treasury Secretary (Summer/Paulson) and Bush put the system into the brink of depression.Excerpts from
ALEX JONES INTERVIEWS DANIEL ESTULIN
DE: I mean this is one of the most terrifying conferences I think in history at least the 13 years that I’ve been covering it. One of the biggest concerns that these people have is needless to say energy and you can expect over the next couple of years the price of oil to up to about $120 to $150 a barrel—
DE: Just a couple of things. Well first of all just to finish up on the stuff on the energy conclusion based on what these people are saying we can expect a severe downturn in the world’s economy over the next couple of years as they people try to safeguard the remaining oil supply by taking money out of peoples hands in a recession or worse a depression—
DE: Exactly. On page nine of that report, I think the second or third last paragraph of the page they’re talking about eliminating three billion people in the world and 100 million American’s before the end of 2050.
The last call is something cruising around now for years but current developments suggests it may occur in one or the other way. The cause for inflation, especially food inflation is exactly the reason why most wars occurred over the centuries .If food is not available for the broad masses they will revolt - the Chinese are very much aware of that, the western world takes it for granted that basic needs are covered with ample supply.
That might change easily since the newest generation of fertilizers is high- tech genetical or nano-technical developed fertilizer material and has a so called "killer- gen" engineered, which destroys the function after one harvest. if the original supplier does not deliver the next generation which carries the antigen no crop will grow on that soil and only the one specific can trigger the next crop growing. This stuff was delivered to second and third world countries for free by USAID and other so called multinational organizations. Basically if the producer decides to stop supply that country is screwed. The total control of basic food supply is arranged.
Africa's population is poised to be melted down by virus 'Aids' and other diseases, over time, which is also true for the poor regions of Asia - in the aftermath in cases like BURMA we might be looking for millions of deaths. Starvation will be a big issue coming up on top of what happens anyway only on a bigger scale. So there are plenty of 'natural' events and trends which might carry out this ambitions if they existed.
The decline RBS called for is not imminent - I still expect a Q3 rally and the decline they call for to come after elections. What will 'crash' 25% is oil in the next months since that will calm down peoples anxieties. Today is full moon on Pluto and that is always a moment of rising fear - that is exactly what we see right now and will work for a few days.