V'S COMMENTS ON CYPRUS BURNING AND WHAT LIES AHEAD
Steve, I thought the Greek situation was heartbreaking when a nation, one of the forerunners of democracy and individual freedom has been ramshackled by the vampiric borg named the EU. I thought the strip mining program of Ireland's economy was bad, when the Celtic Tiger was relegated to a Gaelic kitten. The crisis in Spain and Italy was something that I was watching intently looking for the very playbook of austerity, the strategy of impoverishing nations and subjugating individuals laid bare to those with eyes to see,
Cyprus is a tiny nation one with a tiny economy, in other words the perfect environment to run a beta-test on what a GLOBAL AUSTERITY would look. The perfect economic laboratory. What is purposed in Cyprus was for many years a program that was discussed by central banks, the IMF, and the world bank. This program undertakes the procedures and methods to bring down large globally traded, high GDP based currencies. In other words, Cyprus is simply not just the canary in the Coal mine it is the Coal mine. It is the very picture with all rudiments and structures of a self contained economic petri dish that has been setup to study the contagions of the Euro. What they could not do in Iceland they are doing in Cyprus.
To clarify this I will put it to you this way: Cyprus for all intents and purposes is a self contained economy, an island separate from main land Europe thus making it perfect to implement harsh capital controls like the proposed levies on bank accounts. The people of Cyprus can not escape as there is no adjacent border close to it. Except Turkey which is 47 miles away and a source of contention amongst the Cypriot Grecian majority. As I said the perfect petri dish.
The proposed bank levies of 6.75 per cent and 9.99 per cent on account below and above $100,000. The real numbers would be over 10 per cent for below $100K and 20 per cent above $100K. This is crushing to savers, punishing investors and destroying what is left of the Cypriot economy. This will cause a run on the Cypriot banks as people pull out. The rich of the island will flee not to the Euro but to the dollar raising the DOW and US T bills. Cyprus is an appendectomy of the sick man called Europe.
So what does this have to do with the American and the price of a Big Mac in St.Louis? Simple. The American national debt sits at (not counting entitlements or financial market losses) at $16 trillion. Guess what is the amount of money that Americans have sitting in their banks? That's right $16 trillion. Mark my words they will do a play on your funds while selling you the bill that it is your responsibility to pay the piper.
Look for this in the coming weeks and months. The bank run in Cyprus will send panic across the Eurozone's southern economies. Causing the populace the pre-emption to remove their funds before the Banksters come knocking. The Cyprus situation will cause further angst and hatred to the German architects of this plan. There will be a move by the Cypriots to exit the Euro and go back to the Cypriot Pound, which in my opinion will be the best solution for them.
The further turmoil in the Eurozone will cause a major flight to the USD. The DOW will sky rocket past the 15,000 barrier and onto to 16,000. All this of course will be the temporary ruse as Japan implodes. The only way to survive and exit permantly the games and the nexus of the Banksters is to buy precious metals. Do it NOW another sign has been passed on the road to collapse.
Mar 17, 2013