Here’s What The Markets Are Telling Us…

Last week, U.S. stock markets tumbled yet again, leaving the Dow Jones index down almost 1,500 points for the year. In fact, most major world markets are in negative territory this year.

There are many Wall Street cheerleaders who are trying to say that this is just a technical correction, that the bottom is near, and that everything will be getting better soon. They are ignoring the real message the markets are trying to send: you cannot print your way to prosperity.

People throughout history have always sought to acquire wealth. Most of them understand that it takes hard work, sacrifice, savings, and investment. But many are always looking for that “get rich quick” scheme. Monetary cranks throughout history have thought that just printing more money would result in greater wealth and prosperity. Every time this was tried, it resulted in failure. Huge economic booms would be followed by even larger busts. But no matter how many times the cranks were debunked both in theory and practice, the same failed ideas kept coming back.

The intellectual descendants of those monetary cranks are now leading the world’s central banks, which is why the last decade has seen an explosion of money creation. And what do the central bankers have to show for it? Lackluster employment numbers that have not kept up with population growth, increasing economic inequality, a rising cost of living, and constant fear and uncertainty about what the future holds.

The past decade has been a lot like the 1920s, when prices wanted to drop but the Federal Reserve kept the price level steady through injections of easy money into the economy. The result in the 1920s was the Great Depression. But in the 1920s, prices were dropping because of increased production. More goods being produced meant lower prices, which the Fed then tried to prop up by printing money. Unlike the “Roaring 20s,” however, the economy isn’t quite as strong today. It’s more of a gasp than a roar.

Production today is barely above 2007 levels, while heavily-indebted households already hurt during the financial crisis don’t want to keep spending. The bad debts and malinvestments from the last Federal Reserve-induced boom were never liquidated; they were merely papered over with more easy money.

The underlying economic fundamentals remain weak, but the monetary cranks who run the Fed keep trying to pump more and more money into the system. They fail to realize that easy money is the cause, not the cure, of recessions and depressions. They didn’t realize that prices needed to drop in order to clear all the bad debt and malinvestments out of the system. Because they don’t realize that, we are on the verge of yet another financial crisis.

Don’t be confused by any stock market rallies over the next few months and think that the worst is over. Remember that after Black Tuesday in 1929, the Dow Jones rallied over the next year before it began slowly and steadily to sink again.

The central bankers will do everything they can to delay the inevitable. If they had allowed housing prices to fall in 2008 and hadn’t bailed out the big Wall Street banks, the economy would have corrected itself. Yes, it would have been a severe correction, but it would have been nothing compared to the inevitable correction that will present itself when the Fed runs out of easy money options.

The Fed may try to cut interest rates again, maybe even going negative; or it will do more quantitative easing, but that won’t work. Creating more money does not lead to economic growth and well-being. The more money the Federal Reserve creates, the more ordinary Americans will end up suffering.

© Copyright 2016 Ron Paul

Famous Rapper Makes Unexpected Confession About His Finances, What He Does Next Is Even More Shocking

Last week, Kanye West made controversial headlines with lyrics from his latest album. The album, titled The Life of Pablo, includes a song called “Famous.”

As Western Journalism reported, Famous made headlines when West referred to Taylor Swift in a crude manner. “I feel like me and Taylor might still have sex. Why? I made that b–ch famous,” West said in the rap song.

Now, apparently the rapper is having financial troubles. West tweeted Saturday night, “I write this to you my brothers while still 53 million dollars in personal debt… Please pray we overcome… This is my true heart…”  He pushed for fans to buy his new album in other tweets.

At the same time West was tweeting about his supposed money woes, he apparently begged Mark Zuckerberg, billionaire founder of Facebook, to invest in his upcoming projects. On Sunday morning, West tweeted, “Mark Zuckerberg invest 1 billion dollars into Kanye West ideas.”

West, who was a guest on Saturday Night Live over the weekend, encouraged his fans to go get his new album; but fans were reportedly upset they had to download and purchase his Tidal app in order to hear his new music. West had claimed his album was available on his www.kanyewest.com website, but as of this writing, fans are still not able to purchase West’s new album on the site.  Instead, only a looping audio message from rapper Yasiin Bey can be heard.

This is not the first time West has made claims of being impoverished. A year ago, West reported he had gone 16 million dollars into debt as a result of costs incurred in the launching of his Yeezy clothing line. West reportedly stated he was out of his league: “I was trying to play a sport that’s a billionaire sport. It’s not a millionaire sport…”

As it stands, possibly as a result of technical or financial difficulties, West has apparently decided to delay his album’s release for another week. He tweeted Sunday: “Please for all music lovers. Please subscribe to tidal!!! I decided not to sell my album for another week. Please subscribe to tidal.”

LOOK At The Stunning Thing That Just Happened To Bernie Less Than 24 Hours After Winning NH Primary

Less than 24 hours since Bernie Sanders won the Democratic primary in New Hampshire, one could say the senator is already reaping what he’s sown.

Supporters are lining up to donate to the Sanders campaign, and he’s raked in over $5.2 million since the polls closed.

Sanders beat Hillary Clinton in the Granite State with over 60 percent of the vote; Clinton won only won 38 percent.

The Washington Post said that Sanders has “fundraising prowess.”

Following his victory in New Hampshire, during his victory speech, Sanders called for more people to put their money where their mouth is by asking for more funds. “Please help us raise the funds we need, whether it’s 10 bucks, 20 bucks, or 50 bucks,” he said.

According to the Post, Sanders is closing the gap on Clinton’s available campaign coffers. The former secretary of state raised $15 million in January, but Sanders bested her with $20 million.  The increase in funds follows an apparent trend for Sanders. The day after the Iowa caucuses, Sanders raised over $3 million. Now, a day after the New Hampshire primaries, Sanders has topped that.

Tad Devine, a senior strategist for Sanders, explained how the funds will help the Sanders campaign. “One of the big things that separates us from past insurgent campaigns is that we’ll have the resources to enable us to compete across a broad range of states,” he said.

With the additional funds, Devine says they’ll be able to launch advertising campaigns in Colorado, Minnesota and Oklahoma, as well as expand advertising efforts in Massachusetts.

All in all, according to the Post, Clinton still has the upper hand in raising funds. That may not matter much, of course, if Sanders keeps winning primaries.

Exposed: Profiteers Of Governing – And These Are The Ones Who Got Caught!

“Few men have the virtue to withstand the highest bidder.” -George Washington

How is it that American politicians are garnering so much wealth? During the 113th congressional session, 268 of the 534 members were millionaires.

Here is a short list of some examples of the profiteers of the governing body:

  • Richard Blumenthal of Connecticut, also classmates with Bill and Hilary Clinton, is worth $52.93 million dollars.
  • Scott Peters of California is worth $112.5 million.
  • Governor Rick Scott of Florida has a net worth $147 million.
  • Michael McCaul of Texas’ 10th congressional district is worth over $300 million.
  • John Delaney of Maryland has founded numerous companies that are now listed on the New York stock exchange, and he is the only CEO of a publicly traded company to serve in the 113th Congress.  His net worth is $232 million.
  • Jared Polis of Colorado, who is the first openly sodomite parent to serve in Congress, has a net worth of $72.09 million.
  • John Kerry, former US senator and current Secretary of State, is worth $198.65 million (this was earned primarily throughout his quarter-century-long service, and through his wife, Theresa Heinz Kerry, heiress to the Heinz ketchup fortune and also a beneficiary to a number of trusts from the Forbes family fortune).
  • Mark Warner of Virginia holds a very large amount of wealth, estimated at $85.81 million. Warner made a lot of money during the telecom boom of the 1980s.
  • Darrell Issa of California is worth $140.55 million. Issa was the richest official in the U.S., but was recently dethroned by a southern Governor, Tennessee’s Bill Haslam. Thanks to cheap gasoline, Bill’s net worth is $2 billion dollars.
  • Senator Dianne Feinstein, also from California, has a net worth $41.78 million.

Are not these the politicians who, in many cases, are guilty of attacking, perverting, distorting, and violating constitutional law in an attempt to set a new course for the American people (Proverbs 24:21)?

How is the president worth $7 million dollars when his pay is $400,000 a year? He has only been in office for 7 years!

Majority/Minority leaders make an average of $194,400 year.

Not only was a ship owned by a member of Mitch McConnell’s family busted transporting cocaine, but McConnell was also accused by Alison Lundergan of quadrupling his “net worth” on the backs of Kentuckians who can’t afford it. McConnell is the 10th richest senator, with a net worth of between $9.2 million and $36.5 million. How is that?

Harry Reid’s net worth is between $3 million and $10 million. How is that? Nancy Pelosi’s net worth is $26.43 million. How is that?

How is it that in many cases, they enter service with little to nothing, and before you know it, they are self-made millionaires?

Is it insider trading? Selling out to special interest groups? Fraud? Embezzlement?

In 2010, more than 150 lawmakers reported earning more from outside investments than from congressional salary. It is my understanding that they have been entrusted by the people and for the people (Matthew 24:12).

It seems that many of these politicians fail to understand that government is not an auction as they sell their souls along with the American people to the highest bidders (Mark 8:36).

Compare all of that to the average yearly salary of an American soldier, which is between $23,424 and $88,924 per year, or to the average social security recipient ($1,335 per month).

Yet, the American people have allowed these Judas’ to dictate that which is right and that which is wrong when it comes to legislation, in contrast to what has been established through common law (Deuteronomy 16:19).

And what should be of peculiar interest to the American people is the course of our founding forefathers, who mutually pledged their lives, their fortunes and their sacred honors (John 15:13) in direct contrast to the modern politicians who pledge to take the lives and fortunes of others to their own everlasting shame and dishonor.

There are many cases where justice was not done concerning corrupt representatives. The list goes on from A to Z of those who were sent to serve the people, and who were subsequently caught illegally serving themselves.

It is for the American people to “guard with jealous attention the public liberty” and to “suspect everyone who approaches that jewel.”  -Patrick Henry

I am sorry to say that the American people have failed in the area of justice (Amos 5:7).

The lawless are winning only by default! Americans, for some reason, believe that ridiculing and mocking these criminals is enough. But the fact of the matter is that it is not!

“Nothing will preserve it (Liberty) but downright force. Whenever you give up that force, you are inevitably ruined.” –Patrick Henry

One of the most common questions that I been receiving from radio show listeners is, “How is it that Obama and the Clintons are still out there after being exposed for scandal after scandal?” (P.S., Bill and Hilary Clinton’s combined net worth is $125 million.)

I simply answer, “That these corrupt politicians represent America’s tolerance for criminals in their government. If it were not so, then why are they still there?”  

BREAKING: Panic Spreading Across Financial World After People Wake Up To Nasty Surprise

Fears over China’s economy sent stock markets tumbling worldwide on Monday, the first trading day of the year.

The selloff was sparked by a new report showing China’s manufacturing sector contracted during the end of 2015, according to CNN Money. The Shanghai Composite index plummeted nearly 7 percent for the day before trading was halted, while the Dow Jones Industrial Average and Nasdaq fell over two percent on Monday morning.

“Even though the manufacturing report was disappointing, it’s just the latest sign of a slowdown in China. Analysts said selling in Chinese markets was also driven by other factors, including the scheduled lifting of bans on IPOs (public offerings) and sales by larger investors,” CNN reported.

“With headwinds both domestic and external, investors feared a hard landing may be inevitable and rushed to the exits,” Emma Dinsmore, CEO of R-Squared Macro Management, wrote in a client note.

“More fluctuations in global markets are expected now that the U.S. Federal Reserve has started raising interest rates. The government needs to pay more attention to external risk factors in the short term and fine-tune macroeconomic policies accordingly so the economy does not fall off a cliff,” Caixin chief economists He Fan said, according to Business Insider

Another source for concern with investors is the volatility in the oil markets caused by rising tensions in the Middle East. Oil prices spiked 3.5 percent after news that Saudi Arabia (the world’s second largest oil producer) was severing diplomatic ties with Iran.