British voters in the EU referendum  are shown how to vote to reject BREXIT and stay in the EU by the government. The Telegraph has at least shown that the Postal Voting system provides the example showing REMAIN in the EU. That is of course the first box to check. The government will count on these mail-ins as they did in Austria to ensure they can rig the vote claiming they have the balance in these types of votes just in case they lose at the polls.

The problem that will erupt is if they rig the vote to remain in the EU and try to shut down the people, what will they do when the people find out they have been completely screwed by Brussels? Will this set the stage for serious civil unrest in Britain?

Treaty of the Union

This is an extremely dangerous game Cameron is playing. It just so happens that the United Kingdom was born under Queen Ann on May 1, 1707, which was 1707.331. If the BREXIT vote is rejected, civil unrest will start in Britain 309.6 years from that date, which will be 2016.931 or December 5th/6th, 2016. The year 2016 has popped up on numerous models which we will cover in the BREXIT Report due this week.

Obama’s former US attorney general Eric Holder has said the National Security Agency whistleblower Edward Snowden performed a “public service” by starting a debate over government surveillance techniques. He then had the guts to say it was still illegal and he should stand trial. There is no possible way Snowden would EVER be treated fairly, and what he did was NOT illegal, the actions of the government have been illegal and they are never prosecuted. Holder had the audacity to say: “I think in deciding what an appropriate sentence should be, I think a judge could take into account the usefulness of having had that national debate.”

The Clintons signed into law the Sentencing Guidelines removing judge discretion. There is no possible way any Federal Judge could take that into consideration and Holder knows that. Snowden would face a mandatory minimum sentence and Holder knows that means Snowden might even be put to death. Prosecutors always ask for the maximum penalty. They are trained to do so.

 

United States Code at 18 U.S.C. § 2381

Whoever, owing allegiance to the United States, levies war against them or adheres to their enemies, giving them aid and comfort within the United States or elsewhere, is guilty of treason and shall suffer death, or shall be imprisoned not less than five years and fined under this title but not less than $10,000; and …

Anyone who prosecuted Snowden is the traitor since Snowden reported that it was the government who was acting unconstitutional. Why are they not prosecuted? The Supreme Court has already established that the “Sovereign” of the nation is NOT the government, it is the “We the People.” Treason is against the sovereign, not the bureaucrats. Any politician who said Snowden is a “traitor” should stand trial for they are engaging in treason against the sovereign and that is established law.

As John Stuart Mills wrote in On Liberty: “let us not flatter ourselves that we are yet free frpm the stain of legal persecution.” p38. In Olmstead vUS, 277 US 438 (1928), Justice Brandeis of the Supreme Court wrote in his dissenting opinion where government official are never accountable: “Decency, security and liberty alike demand that government officials shall be subjected to the same rules of conduct that are commands to the citizen.”

As stated in LEGAL TENDER CASES, 110 U.S. 421 (1884) ;

“… there is no such thing as a power of inherent sovereignty in the government of the United States. It is a government of delegated powers, supreme within its prescribed sphere, but powerless outside of it. In this country, sovereignty resides in the people, and congress can exercise no power which they have not, by their constitution, entrusted to it; all else is withheld.”

 

 

While all the fundamental gold analysts are blaming Yellen for saying she will raise rates because the economy is doing better so gold is falling out of bed, meanwhile, the stock market has been moving higher despite the rate hike expectations. St. Louis Federal Reserve President James Bullard said global markets appear to be “well-prepared” for a summer interest rate hike from the Fed. So it seems the fundamental analysts just do not know what to do any more. The days of gold rising because of inflation and stocks down because of higher rates seems to be upside down. Could it possibly be the flip in fundamental sentiment is starting to unfold as I documented in the Greatest Bull Market in History?

Stocks use to rally with rising rates during the 1920s and the sentiment was that as long as rates were rising, that meant the economy was doing well and corporate profits would rise. The sales pitch for the goldbugs was gold rallies with inflation, which of course when you are on a gold standard as in the 1920s, gold declines with inflation. But then again, gold adjusted for inflation has not yet exceeded the 1980 high in real terms.

This simply seems like the bulk of these people claiming to be fundamental analysts are simply lost in the cavities within their own mind. They are becoming so clueless as the markets prove them wrong at every turn. These talking heads who dominate the airwaves no longer know what they are saying for they have completely lost control of the fundamentals. Well, this is just when you have to say: Hello technicals!

Asian market were mixed on a very quiet start to what could be a busy week. As the USD extended its recent gains against the JPY resulting in the Nikkei rebounding, closing up 1.4%. Shanghai and HSI also closed better but only with marginal moves. Japanese government announced over the weekend that any rise in Sales Tax would be delayed through fear of stifling any possible recovery.

After a confused late session in the US on Friday, the result of Janette Yellen’s speech, Europe was not sure which way to take the market. Asia closed positive and so Europe tended to follow as was the easier option. German Import data was better than expected and that certainly helped in a session where many key players were absent. CAC also saw better than expected growth (0.6 against an expected 0.5%).

Markets are always quiet when a core component is out and today when both the US and UK volumes were exceptionally low. The DXY made further ground but has still to breach the 96 level to confirm the solid performance.
With just Europe open the volumes in fixed-income markets were also extremely light. Bund 10yr closed 0.165%, Italy 1.36%, Greece 7.03%, Turkey 9.82%, Portugal 3.03% and the UK Gilt market was closed (Friday 1.43%).

Tension continue to build between the USA and Saudi Arabia. Besides allowing the Saudi’s to be sued in US courts over 911, the USA is cutting off providing cluster bombs to Saudi Arabia. The reason given purports this is due to reports of hundreds of civilian casualties in Yemen. In fact, the USA is no longer in need of energy from Saudi Arabia. Turning a blind eye has been the policy.

However, the tensions building in the Middle East combined with freeing the dollar from any reliance on oil has made all the difference in this political relationship. When Obama visited Saudi Arabia, he was not greeted at the airport by any member of the royal family but by a low level bureaucrat. This too, has contributed to Obama suggesting that the royal family should give was to democracy.

We have provided a Special Update on the DOW for clients only on the Private Blog

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The Guardian headline is supporting government propaganda that 9 out of 10 economists warn of a dire future if Britain exits the EU. For a newspaper who published Snowden, I would expect a lot more integrity on this issue. The Guardian is reporting propaganda on a grand scale. They reported that “Some 72% [of economists] said that a vote to leave would most likely have a negative impact on growth for 10-20 years.”

The propaganda implies that economic growth in Britain has benefited from the EU single market since it joined in 1973. Let us expose the lies and corruption propagated by this pool of economists. Using the government’s own statistics from the Office for National Statistics, annual economic growth for Britain peaked BEFORE it joined the EU and has been declining ever since. This forecast that leaving the EU will have a negative impact on British economic growth is clearly a bunch off lies. Annual economic growth for Britain has fallen ever since it joined the EU in 1973. Each rally produced a lower economic growth peak.

This is the end of Britain if it remains in the EU and the media will not tell the truth or expose what is going on all to save the jobs of bureaucrats at the expense of their own families (feel free to forward this article to everyone). The British pound peaked against the dollar in 1864. It has been a bear market long-term. If the pound simply now closes below 14600 for 2016, it will fall to make new historic lows well under par to the dollar seen back in 1985.

 

 

Economists are notoriously incapable of forecasting the future. Larry Summers publicly admitted on Bloomberg that they are incapable of forecasting anything. I think they would have a far better chance of consulting a palm reader than a mainstream economist. If they cannot forecast the future, all they do is mouth whatever the government pays them to do. I have stated it before, when I was asked by the government back in 1985 to effectively “save the world” it was clear, they have such hearings only as a dog and pony show. The government then stands up and does what it wanted to do anyway and pretends they consult experts.

Because I spoke out against manipulating the dollar to reduce the trade deficit back in 1985 which started the G5 with the Plaza Accord, I have had a reputation of being outside the mainstream yet behind the curtain I have always been the one they all want to hear from. These politicians could not understand that they sold 1/3rd of the national debt to the Japanese back then and trying to reduce the trade deficit by lowering the dollar was just brain-dead. Saying they “wanted” the dollar down by 40% I warned would set off a crash within 2 years, which manifested in 1987. When that took place, then they wanted me again to contribute to the Brady Commission. My biggest accomplishment was at the end of the Brady Report, they said they thought “currency” had something to do with the event. There was no way that report would bluntly blame the G5.

Then these politicians in Congress reduced the tax advantages/amortization on real estate and created the S&L Crisis they had to bailout. There is absolutely no crisis created by the private sector – they have all been created by government right down to telling the IMF to provide loans to Russia so the bankers could exploit them and end up with the 1998 Long-Term Capital Management Crisis and the first Fed Bailout of a hedge fund. The Fed bailed out LTCM hedge fund because they owed banks huge money. They were really bailing-out the banks when there was no authority to bailout a hedge fund. That was a ploy to hide what banks were really out on a limb.

Today, the faulty construction of the Euro is destroying the European economy and creating the greatest risk for civil unrest and European war. They are telling Britain to surrender all independence to Brussels to save the Euro which is doomed. Like LTCM, it is not about a single market and Britain will suffered economically, their own statistic prove that is a lie. This is about saving Europe and Britain cannot rescue Brussels but will simply hold its hand as they fall off the cliff together. Sure, they will not publish what we have to say publicly yet at the same time behind the curtain we are the firm they pay attention to because they know the accuracy of our model long-term.

In May 1997, the Treasury was publicly starting to try to talk the dollar down once again doing what they wanted to do politically exactly as they did back in 1985. I wrote to Robert Rubin who was the one doing this nonsense trying to talk the dollar down once again. Note it was May 1997 when I wrote reminding them of 1987 and that yes we were the firm consulted during that crisis. Now notice the date when the future Treasury Secretary Tim Geithner responded quickly on June 4th within 15 days. They are well aware of our model and how it has called the shots globally for decades. They do not respond to most people. The reason they respond to us has been because of the reputation of our model behind the curtain.

The Asia Currency Crisis hit within weeks of that correspondence in July 1997.  Once again our model was correct in picking that crisis. I have given it my best shot to try to help curb this insane trend of politicians gone wild. I have been fortunate that the markets have always been like an ATM machine for me so I have never had to worry about making money to pay bills. This luxury has allowed me to try to help reduce the chaos in the world economy, but to no avail. I have been compelled to watch these events unfold powerless to prevent them because the self-interest of those in power always dominates the good for society.

Yet that 1997 Asian Currency Crisis led to me to being perhaps the first analyst to be invited to Beijing by the central bank. The central bank of China has publicly even announced that they use “capital flow analysis” to gauge monetary policy. Since that is the model we created, I think that states a rather blunt fact with the regard for our model behind the curtain.

Everyone behind the curtain knows of the accuracy of our computer. Fine, I do not do interviews with mainstream press for the simple reason they usually do not want to air what our model projects. Nonetheless, I was asked to appear with the French Finance Minister on national French TV, Mr. Sapin. He declined so they filmed a piece on me alone. Then he showed up at the TV station as if he would appear knowing I was not there so they improvised and played the piece on me and then confronted him on TV. Of course his response was that nobody could forecast and what I had to say did not help “confidence” in government. He then went on to deliver his forecast how the French economy would boom. So it is not like the people in the highest place do not know about our model. It’s just that nobody wants to dare talk about something that warns they are dead wrong.

Let’s tell the truth here. The British will be given EU Tax IDS and will go down with the ship. British financial markets can be barred from short-selling on any whim from Brussels, and British corporations will find their taxes will be raised by Brussels. The structure of the EU government is ANTI-DEMOCRATIC since it removed every possible means for the people to ever change government. The one thing they get to vote on is the EU Parliament which neither introduces legislation nor does it vote to approve anything (see BREXIT – the Movie). That is all done behind the curtain. This is a dictatorship and every newspaper should be screaming at the top of their lungs if they really gave two shits about themselves as personal individuals of the future for their children. Is this not the same result had they just surrendered to Hitler?

The Euro WILL FAIL. The mainstream press will never report what our computer has to say when it goes against the government. Yes, the FT published in 1998 on the front page when we forecast that Russia would collapse. But that was Russia – not Western Society. Sorry, its the same computer model which is forecasting the collapse ahead.

I am shocked the Guardian has allowed itself to present the government propaganda rather than investigating the truth. They do not address the serious flawed structure of the Euro nor do they explain to the people what they will face, corporations, or how the financial markets of London are over. They certainly do not addressed that all British will get tax IDS from Brussels nor will they explain that corporate taxes will be set not by the Queen’s Parliament, but by Brussels.  Why do they not address the issues in the BREXIT – the Movie?

Certainly the mainstream media would never bother to call me given the fact the EU Commission designing the Euro all attended our conference there in 1998 in London. They did not visit the 9 out of 10 pretend economists who preach the party-line because they are paid to regurgitate propaganda and are incapable of forecasting anything anyway. Why do you think all the banks support rejecting BREXIT? Because they are told to do so and no analyst in any bank could dare to tell the truth for the central banks will prejudice that bank. No institution will dare speak the truth for fear of government retaliation.

I was flat outright told to be a “good boy” and churn out bogus studies where the government tells economists what conclusion they need and I would be paid millions by them each year. They tried to seize our computer and have tried to silence our forecasts. But we survived everything because we do not put out the bullshit everyone else does just for money. I am concerned about my posterity. What kind of a world are we leaving behind? Nobody cares about their families any more?

I am very disappointed in the Guardian. They should be leading the charge and would find also their readership explode if they did. Brussels will destroy London. That is an ABSOLUTE CERTAINTY.

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There are serious concerns arising in Britain how the mainstream media is on board on betraying the people at the request of the government. The press has been given the word  to convince the people to surrender all their rights in Britain to save the bureaucrats in Brussels. The Telegraph newspaper has been using a different polling agency than they normally do in order to skew the pools to brainwash the British public that staying in the EU is the right decision and the majority are in favor.

Cameron has pulled out all stops to keep Britain in the EU. He is not telling the British that they will be assigned a tax ID number by Brussels and will be taxed to support the federalization of Europe. Cameron has called on Obama to the head of the IMF and the S&P to tell British they will be ignored if they leave Europe. There is no way the government is telling the truth and now mainstream media is in Cameron’s pocket. With so many people rejecting BREXIT, this demonstrates how important this is to prevent the meltdown of Europe. Britain is being told to commit suicide to try to save Brussels, which they cannot possibly do. This now includes the media.

 

Despite what the majority have been saying, we are likely to see a lot of blood on Wall Street

See Private Blog Because this is Important for Clients Only

to be published tomorrow

The EU is laying the groundwork for everyone in Europe to be given a new tax ID number in preparation for moving to electronic money. They are using a National Insurance number pretense to disguise the real objective. This scheme was passed by the Economic and Monetary Affairs Committee last week. This is another step in the federalization of Europe and even the British will have to comply. Naturally, nobody will report this in Britain because it obviously calls for a European Taxpayer Identification Number to keep track of every EU citizen, which include the British. The actual the European Commission text reads:

“Proper identification of taxpayers is essential to effective exchange of information between tax administrations. The creation of European Taxpayer Identification Number (EU TIN) would provide the best means for this identification. It would allow any third party to quickly, easily and correctly identify and record TINs in cross-border relations and serve as a basis for effective automatic exchange of information between member states tax administrations.”

This covert maneuver calls for the EU to take over member states’ corporate taxation powers with a common corporation tax base for Europe as a whole. The British corporations are suddenly going to taste the bitter bite of Europeans socialism and watch their taxes sky-rocket. That should help increase unemployment in Britain at a far faster pace than expected. This new legislation is banning sovereign member states from increasing their competitiveness by cutting corporation tax below 15%. Brussels is eliminating independence within Europe on taxes and this enables Brussels to be handed the ability to track every EU taxpayer, laying the foundations for a new European tax and to prevent competitive taxation to lure in companies from other members to help reduce local unemployment.