Two preliminary notes. While I often—usually?—like what Tucker Carlson has to say, his recent segment in which he again tried to blame China for Covid was not one of those times. To me, it simply served to divert attention from the people who were really to blame—people right here in the US. The people who run our medical-scientific establishment, which means the federal government in various forms.
I’ll drop a longer post at a later date. It’ll be long and meandering, but some underlying problems need to be understood. Primarily this, not one of the financially significant institutions of the EU addressed any of their problem loans, except Cyprus with their “Bail In”, stealing deposits to make the losses whole. This covered up Greek Commerical Bank exposure and their sponsoring EU banks’ liabilities. The ECB has been trying to wallpaper over these problems since 2007.
Luongo is now myopic. I don’t know what his sources are but they’re scant. Or someone took one of the lenses from his glasses.
The credit expansion of 2019 had more to do with JPM removing ALL collateral from the repo system in August. Why? I got my suspicions.
Now the RePo tables have been flipped. No longer limited to the Primary Dealer list, which may or may not have flipped supposedly “unencumbered” securities out to the “Friends & Family” Clearing List, Money Market Funds claim most of the ReverseRepo and certainly DO NOT share such securities.
This ends one game, and one game only, cheap collateral to the leveraged trading community. One small loss, due to The Corzine Rule, and the collateral disappears from use into the every hungry, “I’m going to cash!” market.
I’ve said this before to you, Mark. Stay away from the trading stuff. It’s complex, and takes all senses to watch now. You know how to reach me for this, first. As this piece only highlights one leg of the elephant, of course out of perspective.
Very good and healthy things are occurring in the capital markets, right now. The long delayed correction from 2002 you might say.
Love Luongo’s efforts, but I have no idea why he limits his inputs so much.
On another note, there is an excellent piece on Brownstone Institute by Mark Oshinskie titled, “The Lockdowns Unearthed American Cultural Rot”. Highly recommend and mirror my feelings.
Gotta love this part, “The American people are therefore entitled to share in the benefits and the profits. Banking needs to be made a public utility.” As if
Vighi - the Italians - always at the vortex of change and conflict, cf the original oligarchs Borggia, Medici and Sforza families in the 15th century, vying with their blood for economic dominance and control and sponsoring the (Renaissance) geniuses Donatello, Michelangelo (Rome): they were the banks! So again, nothing new under the sun, but still we feel the sinister play between pandemic and the economy…thanks again Mark for your digging and understanding!
Most economists are credentialed, hubristic, fools that drank the Woke Religion.
Dr. Birx did an amazing job of undermining Trump on Covid.
My gut feel is China supported the lockdowns worldwide, as a way to destroy Western Economies.
Small business owners are traditionally a key part of the GOP. Another reason they got targeted. Just like independent Dr’s basically got eliminated by Obamacare.
My theory is big business also has more clout / campaign donations, which kept their operations open.
I have to say Mr Wauck that your posts are the only emails I always open and read. So impressed with the quality and scope of what you are doing. I have the most minimal respect for the FBI, but it did increase when I saw you used to work for them. They got that right at least. Thank you for these vital dispatches. Please don't stop
I've read some of Vighi's other stuff and he always makes well-reasoned arguments backed up by facts. His argument that the pandemic narrative served to continue the current debt-driven global financial system from 2019 on seems to make sense. I mean, everyone knows we have a system now that is both driven and encumbered by debt, and which is stressed by continued automation, where the U.S. economy dog is wagged by the Fed and the leveraged financialized markets. That all fits.
What makes Vighi's argument interesting and brings it into question is what is happening now with the Fed. Their tightening of the money supply and raising of rates hits a few groups of people the hardest: 1) Foreign holders of U.S. debt (primarily Treasury Bonds) and dollars, including our biggest trading partners and a host of emerging market countries; 2) the offshore dollar market (primarily the EU and EBC), and 3) Highly leveraged domestic corporations (aka "Zombie companies"). Now why would the evil Fed be all gung-ho about using COVID to sustain an untenable ponzi-scheme of an economic system but then all of a sudden turn around and now put that system at grave risk and maybe even collapse it?
I would submit that the Fed effectively could not do anything to stop Congress from their spending binges. But it can act independently of Congress to control money supply and lending rates. Still, why is it doing this? Could it be to separate our economy from the EU and emerging market instability and potential collapse? Could it be to spite Davos? Could it be to clear out the corporate dead wood (and dead money) from the system? Could it be to constrain Congressional spending? I think and hope all of these. Yeah they are playing a dangerous game but these are necessary steps to ensure long term viability of the U.S. and world economy.
Also, a point: It seems Vighi has a quite negative view of Capitalism (which seems to obtain from his reading of Marx). I'm not saying he has Marxist leanings but that he is latching on to some of Marx's criticisms, that is all. I would disagree in the sense that what we currently call a Capitalist system and markets in the West are actually controlled by the oligarchs and large corporations and is thus constrained and artificial on many levels - it is not free trade by a long shot. So any criticisms he makes of Capitalism need to (IMO) need to be seen in that context. Thanks Mark for the interesting post!
I was buying the whole shut down the economy to save the banks argument until I hit the “virus doesn’t exist” trope:
“…SARS-CoV-2 – which, by admission of the CDC and the European Commission has never been isolated nor purified…”
Every time I hear this I have to wonder about the sanity of the source. Quite apart from the factual question of whether or not the virus has been isolated, what is the point of this contention?
Does it mean that because it hasn’t been “isolated” it doesn’t exist? So a few million people die from something that doesn’t exist because it hasn’t been “isolated,” and these deaths just happen at a convenient time so that Davos can shut down the economy and blame it on the non-existent thing? Seems rather convenient for Davos. Or maybe Davos actually killed all these people by some undetectable method and then invented the non-existent virus as a cover for their reset.
Regarding the “never been isolated” trope, I researched this is detail more than year ago in response to another blogger. As far as I can tell, the argument is that the SARS-CoV-2 sequence is an invented sequence because of the way modern sequencing is done computationally, and therefore that there is no real unique physical molecule that is the actual virus.
Classical Sanger DNA sequencing requires contiguous overlapping sequences to be isolated and sequenced individually to establish the full genome of an organism such as a virus. It is the gold standard for sequencing.
In next-generation high throughput genome sequencing, the whole genome is fragmented and millions of fragments are sequencing in parallel by some very clever technology. Then, all the little pieces are analyzed by some very clever computational algorithms to assemble a sequence.
The “never been isolated” crowd argues that there has never been a pure SARS-CoV-2 laboratory strain passed through enough cells enough times to ensure a single viral strain. Hence, any sequence data derived from genetic material by parallel sequencing is a computationally invented sequence from multiple genomes, and doesn’t exist in nature.
I suppose they can believe that if they want to, but it doesn’t explain how the invented sequence just happens to code for real proteins such as the spike protein, and how big pharma has put the spike protein sequence into a gene therapy that produces spike protein. And on and on and on….
If someone believes the “never been isolated” theory, they might be just the type to push other ludicrous ideas. The great pandemic shutdown as a banking reset seems to fit a lot of observed facts, but which came first, the idea of the banking reset or the idea of the fake virus?
You may have a typo in this line: The alternatives as Luongo presents them are Jamie Dimon are a Malthusian eugenicist cabal run by the likes of George Soros. I think you mean "or a" versus "are a"
The problem is that there are real forces, the 'invisible hand' if you will, that cannot be negated. Funny FDR is quoted, because the only capitalism he liked was crony capitalism. His buddies made money supplying the Nazis with war materials, against the law. Thanks to government interference the 1929 crash became the Great Depression by 1939. This is probably where we are heading, once again. Our productivity is being lowered, and bad loans are covered by more bad loans. When the Ponzi stock market collapses (Ponzi schemes always collapse) and dollars cannot be put in circulation to replace the trillions lost, there will be pain. Those of us who are not billionaires won't have much to lose. The ultra-smart controlling interests will find themselves bankrupt, and cease to exist as did the monarchies that encouraged the start of the First World War. Those Americans with the virtues of self-reliance, community, family values and a willingness to work will weather the tough times ahead. Those dependent on government will starve. And the big shots engineering all this will find themselves a whole lot poorer.
My suspicion is that what is missing from vighis critique of capitalism is the necessary condition of a decentralized banking system.. what we are seeing, what we are experiencing is in some sense the inevitable result of the disappearance of local /main Street banks. Through very conscious regulation of the banking industry involving very onerous and expensive administrative requirements that favor ever larger banks, our government is chasing small local banks from the field. Hardly a "natural" feature of capitalism per SE. What this does, what theses regulatory policies do is "sovietize " are banking structure, ie take it further and further in the direction of one central bank for the whole economy which inevitably grants access to loans to a limited number of businesses. The further we go in the OTHER direction, ie more and more local banks doing business with and giving access to loans to local mainstreet businesses, the more and more vibrant, resilient, and optimal our economy becomes. Communists everywhere like centralizing control. Their critique of capitalism always involves taking a dire view of allowing citizens to freely associate and freely do business with each other. Communists believe this kind of thing leads to corruption and oligarchical control and monopoly. Competition is bad. It is in the best tradition of conservatism I believe to express faith in the productive potential of human beings to overcome any "problem" presented them. A captured government that controls the process of credit formation and shuts out of participation of the economy all but the elite who have captured it is the problem. Not capitalism.
I’ll drop a longer post at a later date. It’ll be long and meandering, but some underlying problems need to be understood. Primarily this, not one of the financially significant institutions of the EU addressed any of their problem loans, except Cyprus with their “Bail In”, stealing deposits to make the losses whole. This covered up Greek Commerical Bank exposure and their sponsoring EU banks’ liabilities. The ECB has been trying to wallpaper over these problems since 2007.
No.
Luongo is now myopic. I don’t know what his sources are but they’re scant. Or someone took one of the lenses from his glasses.
The credit expansion of 2019 had more to do with JPM removing ALL collateral from the repo system in August. Why? I got my suspicions.
Now the RePo tables have been flipped. No longer limited to the Primary Dealer list, which may or may not have flipped supposedly “unencumbered” securities out to the “Friends & Family” Clearing List, Money Market Funds claim most of the ReverseRepo and certainly DO NOT share such securities.
This ends one game, and one game only, cheap collateral to the leveraged trading community. One small loss, due to The Corzine Rule, and the collateral disappears from use into the every hungry, “I’m going to cash!” market.
I’ve said this before to you, Mark. Stay away from the trading stuff. It’s complex, and takes all senses to watch now. You know how to reach me for this, first. As this piece only highlights one leg of the elephant, of course out of perspective.
Very good and healthy things are occurring in the capital markets, right now. The long delayed correction from 2002 you might say.
Love Luongo’s efforts, but I have no idea why he limits his inputs so much.
I guess Dr.? Birx new book out today can explain some of Trump's choices.
On another note, there is an excellent piece on Brownstone Institute by Mark Oshinskie titled, “The Lockdowns Unearthed American Cultural Rot”. Highly recommend and mirror my feelings.
Gotta love this part, “The American people are therefore entitled to share in the benefits and the profits. Banking needs to be made a public utility.” As if
any American would get a share. Please🙄
Vighi - the Italians - always at the vortex of change and conflict, cf the original oligarchs Borggia, Medici and Sforza families in the 15th century, vying with their blood for economic dominance and control and sponsoring the (Renaissance) geniuses Donatello, Michelangelo (Rome): they were the banks! So again, nothing new under the sun, but still we feel the sinister play between pandemic and the economy…thanks again Mark for your digging and understanding!
Ths is actually a positive:
“ I’m not an economist”
Most economists are credentialed, hubristic, fools that drank the Woke Religion.
Dr. Birx did an amazing job of undermining Trump on Covid.
My gut feel is China supported the lockdowns worldwide, as a way to destroy Western Economies.
Small business owners are traditionally a key part of the GOP. Another reason they got targeted. Just like independent Dr’s basically got eliminated by Obamacare.
My theory is big business also has more clout / campaign donations, which kept their operations open.
I have to say Mr Wauck that your posts are the only emails I always open and read. So impressed with the quality and scope of what you are doing. I have the most minimal respect for the FBI, but it did increase when I saw you used to work for them. They got that right at least. Thank you for these vital dispatches. Please don't stop
I've read some of Vighi's other stuff and he always makes well-reasoned arguments backed up by facts. His argument that the pandemic narrative served to continue the current debt-driven global financial system from 2019 on seems to make sense. I mean, everyone knows we have a system now that is both driven and encumbered by debt, and which is stressed by continued automation, where the U.S. economy dog is wagged by the Fed and the leveraged financialized markets. That all fits.
What makes Vighi's argument interesting and brings it into question is what is happening now with the Fed. Their tightening of the money supply and raising of rates hits a few groups of people the hardest: 1) Foreign holders of U.S. debt (primarily Treasury Bonds) and dollars, including our biggest trading partners and a host of emerging market countries; 2) the offshore dollar market (primarily the EU and EBC), and 3) Highly leveraged domestic corporations (aka "Zombie companies"). Now why would the evil Fed be all gung-ho about using COVID to sustain an untenable ponzi-scheme of an economic system but then all of a sudden turn around and now put that system at grave risk and maybe even collapse it?
I would submit that the Fed effectively could not do anything to stop Congress from their spending binges. But it can act independently of Congress to control money supply and lending rates. Still, why is it doing this? Could it be to separate our economy from the EU and emerging market instability and potential collapse? Could it be to spite Davos? Could it be to clear out the corporate dead wood (and dead money) from the system? Could it be to constrain Congressional spending? I think and hope all of these. Yeah they are playing a dangerous game but these are necessary steps to ensure long term viability of the U.S. and world economy.
Also, a point: It seems Vighi has a quite negative view of Capitalism (which seems to obtain from his reading of Marx). I'm not saying he has Marxist leanings but that he is latching on to some of Marx's criticisms, that is all. I would disagree in the sense that what we currently call a Capitalist system and markets in the West are actually controlled by the oligarchs and large corporations and is thus constrained and artificial on many levels - it is not free trade by a long shot. So any criticisms he makes of Capitalism need to (IMO) need to be seen in that context. Thanks Mark for the interesting post!
I was buying the whole shut down the economy to save the banks argument until I hit the “virus doesn’t exist” trope:
“…SARS-CoV-2 – which, by admission of the CDC and the European Commission has never been isolated nor purified…”
Every time I hear this I have to wonder about the sanity of the source. Quite apart from the factual question of whether or not the virus has been isolated, what is the point of this contention?
Does it mean that because it hasn’t been “isolated” it doesn’t exist? So a few million people die from something that doesn’t exist because it hasn’t been “isolated,” and these deaths just happen at a convenient time so that Davos can shut down the economy and blame it on the non-existent thing? Seems rather convenient for Davos. Or maybe Davos actually killed all these people by some undetectable method and then invented the non-existent virus as a cover for their reset.
Regarding the “never been isolated” trope, I researched this is detail more than year ago in response to another blogger. As far as I can tell, the argument is that the SARS-CoV-2 sequence is an invented sequence because of the way modern sequencing is done computationally, and therefore that there is no real unique physical molecule that is the actual virus.
Classical Sanger DNA sequencing requires contiguous overlapping sequences to be isolated and sequenced individually to establish the full genome of an organism such as a virus. It is the gold standard for sequencing.
In next-generation high throughput genome sequencing, the whole genome is fragmented and millions of fragments are sequencing in parallel by some very clever technology. Then, all the little pieces are analyzed by some very clever computational algorithms to assemble a sequence.
The “never been isolated” crowd argues that there has never been a pure SARS-CoV-2 laboratory strain passed through enough cells enough times to ensure a single viral strain. Hence, any sequence data derived from genetic material by parallel sequencing is a computationally invented sequence from multiple genomes, and doesn’t exist in nature.
I suppose they can believe that if they want to, but it doesn’t explain how the invented sequence just happens to code for real proteins such as the spike protein, and how big pharma has put the spike protein sequence into a gene therapy that produces spike protein. And on and on and on….
If someone believes the “never been isolated” theory, they might be just the type to push other ludicrous ideas. The great pandemic shutdown as a banking reset seems to fit a lot of observed facts, but which came first, the idea of the banking reset or the idea of the fake virus?
I wonder if Trump or his advisors are aware of this scenario? If so, why advocate vaccines?
You may have a typo in this line: The alternatives as Luongo presents them are Jamie Dimon are a Malthusian eugenicist cabal run by the likes of George Soros. I think you mean "or a" versus "are a"
The problem is that there are real forces, the 'invisible hand' if you will, that cannot be negated. Funny FDR is quoted, because the only capitalism he liked was crony capitalism. His buddies made money supplying the Nazis with war materials, against the law. Thanks to government interference the 1929 crash became the Great Depression by 1939. This is probably where we are heading, once again. Our productivity is being lowered, and bad loans are covered by more bad loans. When the Ponzi stock market collapses (Ponzi schemes always collapse) and dollars cannot be put in circulation to replace the trillions lost, there will be pain. Those of us who are not billionaires won't have much to lose. The ultra-smart controlling interests will find themselves bankrupt, and cease to exist as did the monarchies that encouraged the start of the First World War. Those Americans with the virtues of self-reliance, community, family values and a willingness to work will weather the tough times ahead. Those dependent on government will starve. And the big shots engineering all this will find themselves a whole lot poorer.
My suspicion is that what is missing from vighis critique of capitalism is the necessary condition of a decentralized banking system.. what we are seeing, what we are experiencing is in some sense the inevitable result of the disappearance of local /main Street banks. Through very conscious regulation of the banking industry involving very onerous and expensive administrative requirements that favor ever larger banks, our government is chasing small local banks from the field. Hardly a "natural" feature of capitalism per SE. What this does, what theses regulatory policies do is "sovietize " are banking structure, ie take it further and further in the direction of one central bank for the whole economy which inevitably grants access to loans to a limited number of businesses. The further we go in the OTHER direction, ie more and more local banks doing business with and giving access to loans to local mainstreet businesses, the more and more vibrant, resilient, and optimal our economy becomes. Communists everywhere like centralizing control. Their critique of capitalism always involves taking a dire view of allowing citizens to freely associate and freely do business with each other. Communists believe this kind of thing leads to corruption and oligarchical control and monopoly. Competition is bad. It is in the best tradition of conservatism I believe to express faith in the productive potential of human beings to overcome any "problem" presented them. A captured government that controls the process of credit formation and shuts out of participation of the economy all but the elite who have captured it is the problem. Not capitalism.