Day 1,419: The Russia-Ukraine Conflict Just Surpassed Soviet War With Nazi Germany

This week has marked another grim milestone in the nearly four-year long Russia-Ukraine war. The conflict has just entered its 1,419th day - which means it has officially surpassed the entirety of the historic Soviet campaign against invading Nazi Germany, which lasted 1,418 days from June 1941 to May 1945.

Red Army forces eventually drove Nazi troops back from the Volga River all the way to Berlin, before seizing the German capital. But in today's war, the 1,419th day is just another in a long one in a tragic and grinding war of attrition, where it is believed each side has lost literally hundreds of thousands.

Source: Cover art from The History of Russia Ukraine War: How Putin & Zelensky reached this stage

Russia definitely has the upper hand and momentum on the battlefield, but it's been a slow and deadly slog, with The Times of London reporting Monday that despite prolonged combat, Russian advances in the Donetsk region amount to roughly 30 miles from their original positions.

Ukraine's armed forces have in large part been propped up by many billions in weapons, training, and funds poured in by NATO and Western backers of Zelensky.

A recent study by the BBC's Russian service and Mediazona - both largely anti-Putin outfits, found that at least 160,000 Russian soldiers have been killed, but the true figure may be significantly higher. It could also be lower, as Western sources have incentive to exaggerate for propaganda purposes (just as Russia would have incentive to underestimate).

At the same time, most international reports and war monitors say Ukraine's casualties could be many times that figure. On both sides, a whole generation of young men is being wiped out.

Efforts to achieve peace by the Trump administration have so far failed, but at least the lines of communications are still open between Washington and Moscow. 

Ukrainian officials have warned that Russian troops are preparing renewed offensives in the north, including areas near the city of Sumy, at a moment the conflict is still only at the legal level of 'special military operation' in the Kremlin's eyes, and not a full state of war which could require societal mobilization.

Over in Ukraine, the war has created the single biggest army in Europe, as recent analysis in The Wall Street Journal detailed: 

When the war with Russia eventually ends, Ukraine will be left with a military larger and with more recent experience than any of its European backers’.

Whether it can outlast Russia’s long-term designs in the event of any peace deal is a question for the entire continent, which now sees Ukraine as a bulwark against Moscow’s ambitions. 

Finding the money and personnel to maintain 800,000 troops and piles of equipment while devising new capabilities will be among the Ukrainian government’s hardest tasks in the immediate aftermath of the war. European Union leaders recently said they would lend Ukraine 90 billion euros, around $105 billion, fending off a looming cash crunch in Kyiv and helping the Ukrainian army keep fighting as Russian leader Vladimir Putin and Ukrainian President Volodymyr Zelensky compete for President Trump’s ear.

Western leaders have meanwhile constantly reiterated their support for Ukraine while accusing Moscow of dragging out the conflict, and yet few have still recognized that Russia is genuine and legitimate in saying constant NATO expansion has led to this.

Trump has at times hinted he understands Moscow's grievances, but has still seemed to escalate behind the scenes, such as authorizing US intelligence assistance to Ukrainian drone attacks deep inside Russian territory.

Tyler Durden Mon, 01/12/2026 - 23:00

Money And Power: Fiat Currency, Monetary Corruption, & The Architecture Of Extraction

Authored by Justin Pak via The Mises Institute,

Money is often described as neutral, technical, or merely instrumental—a passive medium facilitating exchange within an otherwise political society. This view is not only mistaken; it is profoundly misleading. Money is the hidden constitution of every political order. It determines which actions are possible, which institutions survive, which risks are rewarded, and which failures are forgiven. While constitutions proclaim rights and legislatures debate policy, money silently governs outcomes.

For this reason, the structure of a monetary system is never merely economic. It is moral, political, and civilizational.

From the perspective of Austrian and heterodox political economy, the modern fiat monetary system represents not a refinement of earlier monetary forms but a radical departure from them—one whose defining feature is the removal of constraint. Historically, money emerged as a market phenomenon rather than a state creation. Carl Menger demonstrated that money arises organically as the most saleable commodity within an economy, a process driven by voluntary exchange rather than decree. Ludwig von Mises later formalized this insight through the regression theorem, showing that money must originate in a good valued for its non-monetary uses in order to acquire exchange value at all. Gold and silver did not become money because states declared them so; states declared them money because markets already had.

Fiat money reverses this logic. It does not arise from scarcity or market selection but from legal privilege. Its acceptance depends not on earned trust but on enforcement through legal tender laws, taxation, and institutional inertia. What presents itself as sovereign currency is, in practice, state credit circulating as money. This distinction is not semantic. It marks the difference between a system disciplined by external reality and one governed by discretion.

That discretion is concentrated in the institution of central banking. Central banks are often portrayed as neutral guardians of stability, technocratic referees standing above politics. In reality, they function as cartel managers for the financial system, coordinating outcomes that could not survive under competitive conditions. By suppressing interest rates, guaranteeing liquidity, and acting as lenders of last resort, central banks shield privileged institutions from failure while preserving the appearance of market order. Failure is not abolished; it is postponed. And because it is postponed, it accumulates, growing larger and more destructive with each cycle.

This structure produces an inversion of capitalist discipline. In genuine markets, profit and loss serve as signals, rewarding foresight and penalizing error. Under central banking, profits remain private during credit-fueled expansions, while losses are declared systemic during contractions and transferred to the public through bailouts, inflation, and monetary debasement. Risk-taking is rewarded precisely because it is underwritten; prudence is punished through negative real interest rates and competitive disadvantage. Institutions that restrain leverage are displaced by those that exploit it. What remains is not capitalism but state-protected finance, sustained by political necessity rather than economic viability.

The manipulation of interest rates lies at the heart of this transformation. In classical theory, interest rates coordinate time preferences across society, balancing present consumption against future uncertainty. They are prices, emerging from the interaction of savers and borrowers. In modern fiat systems, interest rates are no longer prices at all. They are policy signals, imposed to achieve macroeconomic targets defined by central planners. This substitution of administrative judgment for market coordination creates a profound monetary hierarchy.

Those closest to the source of money creation enjoy the lowest borrowing costs. Sovereign governments finance deficits cheaply, substituting monetary expansion for taxation. Large banks access central liquidity directly. Major corporations issue debt at compressed spreads, insulated from true risk. As one moves farther from the issuance point, costs rise. Small businesses face higher rates and tighter conditions. Households absorb inflation and credit costs simultaneously. Peripheral nations borrow in foreign currencies, exposed to exchange risk they cannot control. Proximity to money creation becomes a determinant of survival. Access replaces productivity as the primary economic advantage.

Because money enters the economy unevenly, monetary expansion always entails political choice. There is no neutral increase in the money supply. Every expansion selects beneficiaries. The era of quantitative easing made this impossible to deny. Liquidity flowed overwhelmingly into financial assets—equities, bonds, and real estate—while wages lagged and productive investment stagnated. This outcome was publicly justified as a “wealth effect,” the belief that rising asset prices would stimulate broader economic activity. In practice, it functioned as asset patronage, enriching those who already owned capital while widening the gap between financial wealth and earned income.

The productive economy increasingly gave way to financial engineering. Growth appeared robust on balance sheets even as real capacity hollowed out. The illusion of prosperity was sustained by rising asset prices rather than rising productivity. What was described as stabilization was, in reality, a redistribution of claims on future output toward those nearest the monetary spigot.

Creation, however, is only one side of the monetary cycle. Fiat systems must also retrieve money, and they do so through inflation, interest, and dependency. Inflation silently erodes savings, punishing deferred consumption and rewarding leverage. Interest extracts future labor, binding individuals to obligations denominated in a currency whose purchasing power is systematically diluted. Debt concentrates ownership, converting missed payments into asset transfers and accelerating consolidation during downturns. Citizens are increasingly compelled to borrow not to expand opportunity but to survive—to obtain housing, education, healthcare, or even the means to start a business. Debt becomes a mechanism of behavioral control. Default becomes a tool of dispossession.

This system depends on opacity for its survival. Modern monetary regimes are deliberately complex. Emergency facilities are disclosed after the fact. Beneficiaries are obscured. Balance sheets are framed as technical artifacts rather than political instruments. Language is abstracted to discourage scrutiny. Inflation becomes “accommodation.” Bailouts become “liquidity support.” As Murray Rothbard observed, complexity functions as camouflage. A system that cannot withstand transparency relies on obscurity to preserve legitimacy.

The corruption of fiat money does not end at national borders; dollar hegemony globalizes it. Because the US dollar functions as the world’s reserve currency, Federal Reserve policy becomes global monetary policy by default. Foreign states must hold dollars to stabilize trade, borrow in dollars to access capital, and absorb the consequences of US monetary decisions over which they have no control. When the Fed eases, capital floods into emerging markets, inflating bubbles and encouraging dollar-denominated debt. When the Fed tightens, currencies collapse, debts become unpayable, and crises erupt. What appears as domestic stabilization at the center manifests as devastation at the periphery.

This arrangement constitutes a form of seigniorage imperialism. The issuing state acquires real goods, labor, and assets in exchange for liabilities it can expand at will. The costs are exported through exchange-rate volatility, debt crises, and externally imposed austerity. Fiat corruption thus scales globally, transforming monetary dominance into an instrument of geopolitical power.

History offers abundant confirmation. From the credit expansion of the 1920s and the deepening of the Great Depression through intervention, to the abandonment of gold convertibility in 1971 and the explosion of debt that followed, to the 2008 financial crisis and its aftermath of bailouts and consolidation, the pattern repeats. Each crisis is framed as exceptional. Each intervention becomes precedent. Each rescue increases fragility. The pandemic-era monetary expansion merely accelerated a trajectory already in motion, normalizing levels of creation once reserved for war.

From a Rothbardian perspective, such a system cannot be reformed. Monopoly over money inevitably produces abuse, not because individuals are uniquely corrupt, but because unchecked discretion always is. The problem is not mismanagement; it is structural. Fiat money—insulated from competition and constraint—transforms money from a medium of exchange into an instrument of hierarchy.

A free society cannot rest on a monetary foundation that requires ignorance to function. Constraint is not the enemy of prosperity; it is its precondition. Without it, prices lie, capital misallocates, and responsibility dissolves. Fiat money does not merely finance power. It becomes power. And when money itself is corrupted, everything built upon it follows.

The ultimate question, then, is not how to manage fiat money more skillfully, but whether liberty can coexist with a monetary order insulated from consent, competition, and consequence. History suggests it cannot.

Tyler Durden Mon, 01/12/2026 - 22:35

Behind The Utter Failure Of Russian Anti-Air Systems In Venezuela

There are reports that during the Trump-ordered military raid on Venezuela to oust and capture President Nicolás Maduro, at least one US helicopter was hit by surface fire or possibly small missile, but the chopper managed to keep flying - with the pilot wounded - and the damaged aircraft made it back from the mission safely.

But this raised the question: what happened to Venezuela's Russian-supplied anti-air defenses, including S-300 and Buk-M2 surface-to-air missile systems purchased in 2009?

While at this point it is well understood that the US military and CIA had help from inside the Venezuelan government - making it essentially a US-backed coup topped off with a special forces nab and grab against Maduro and his wife, there's still the question of whether the entire Venezuelan armed forces were ordered to stand down, or else that their defense systems simply didn't work or were inactive.

S-300VM system, file image

The New York Times says it was actually more the latter scenario - Russian-built air defense systems stationed in Venezuela were mostly inoperable and did not react to the major initial US strikes which paved the way for the ground operation in Caracas.

When American military aircraft entered Venezuelan airspace on Jan. 3, the missile systems were not even linked to radar, according to US officials privy to the mission to The New York Times.

The publication further explained the systems were not integrated with one another and may have actually been unusable for several years. Satellite imagery and photographs further suggest that critical elements of the air defense systems were being kept in storage rather than deployed.

Interestingly the Ukraine war has played a role, after early in the conflict US defense officials said they would support and supply the Zelensky government in order to 'weaken' Russia by bogging it down in a proxy war.

US officials explained to the Times that Venezuela (and presumably other Russian defense allies) has faced ongoing difficulties maintaining its Russian-made air defenses because of limited access to Russian technicians and spare parts - all of which have had to be diverted to support Russia's 'special military operation' in Ukraine.

Much of the initial US strikes appeared to focus on areas where Buk missile systems had been positioned or stored, and locations close to the capital.

"The Venezuelan armed forces were practically unprepared for the U.S. attack," Yaser Trujillo, a military analyst in Venezuela, told The New York Times.

"Their troops were not dispersed, the detection radar was not activated, deployed or operational. It was a chain of errors that allowed the United States to operate with ease, facing a very low threat from the Venezuelan air defense system," Trujillo added.

And a separate source concludes: 

Venezuela’s much-touted antiaircraft systems were essentially not connected when U.S. forces entered the skies over Venezuela’s capital, and they may not have been working for years, former officials and analysts said.

"After years of corruption, poor logistics and sanctions, all those things would have certainly degraded the readiness of Venezuela’s air defense systems," said Richard de la Torre, a former C.I.A. station chief in Venezuela who now runs Tower Strategy, a Washington-based lobbying firm.

The below OSINT account predicted this outcome back in mid-November:

For some context to those who haven’t been following for a while.
This is Venezuelas S-300 system and its storage at Captain Manuel Rios airbase in Guarico.
The missiles for the unit are stored just 100m away from the vehicles in a hangar.#Venezuela https://t.co/ka06CDPnVt pic.twitter.com/PqlCOZurqS

— CNW (@ConflictsW) November 15, 2025

The report throws open another interesting possibility, with two former US officials stating their view that Moscow may have permitted the systems it sold to Venezuela to fall into disrepair in order to avoid escalating tensions with Washington.

Tyler Durden Mon, 01/12/2026 - 22:10

10 Commandment Displays Became Law In Texas, Then The Lawsuits Came

Authored by Darlene McCormick Sanchez via The Epoch Times (emphasis ours),

Melissa Martin, a veteran Texas educator with some 30 years of experience, was thrilled when the state passed a law in 2025 that required the state’s 9,000 public schools to post the Ten Commandments in classrooms.

Lorne Liechty poses with a copy of the Ten Commandments in Rockwall, Texas, on Jan. 8, 2026. Bobby Sanchez for The Epoch Times

For Martin, it was a bright spot—a swing back toward classical education rooted in Western civilization in an otherwise liberal teaching environment.

Her excitement quickly turned to disappointment at the Houston-based public charter school in which she works.

“I was real surprised when they didn’t jump at putting the Ten Commandments up,” she told The Epoch Times.

​Texas’ Senate Bill 10 has sparked the nation’s largest state-led effort to put the Ten Commandments into schools—and it is facing concerted legal challenges. A hearing on the constitutionality of the new law is scheduled before the Fifth U.S. Circuit Court of Appeals this month.

The Ten Commandments, fundamental to both Judaism and Christianity, are credited with influencing Western values and are the basis for laws against killing, theft, adultery, and perjury.

Martin believes public schools have ignored the significance of foundational works such as the Ten Commandments and their role in preserving “our democratic Republic for future generations.”

She said she is retiring this month, fed up in general with a public education system that she feels has failed students.

As a board member of Innovative Teachers of Texas, an alternative to liberal teacher unions, Martin hopes to spend her time establishing a Christian classical school.

Christopher Rhoades, a minister and math teacher in the Alvin Independent School District south of Houston, told The Epoch Times he believes the law is a positive change but worries it could open Pandora’s box.

“I mean, it definitely returns us to a point of values,” he said. “You know, my concern is always with whatever precedent is set. What does it open the door to that I wouldn’t like if someone else was in power?”

Melissa Martin, a veteran educator and board member of Innovative Teachers of Texas, supports displaying the Ten Commandments in classrooms, citing their influence on Western civilization. Courtesy of Jessica Tucker

The law says public schools “shall display” a poster or framed copy of the Ten Commandments in a conspicuous place in each classroom. Schools must accept donated posters that meet the law’s specifications but aren’t required to purchase them.

Critics of the law argue that requiring the Ten Commandments to be hung in every classroom violates the separation of church and state and offers little educational value.

Teacher Rachael Preston testified against the bill in Austin last spring.

“I’m curious about how displaying the Ten Commandments … is relevant enough to the teaching of mathematics to be displayed in a math room,” she told state lawmakers.

Sarah Morrison, who taught in public school for 15 years before becoming a math instructor at Paris Junior College, told The Epoch Times via text that she believes the law is unconstitutional.

“As both a Christian and an educator, I believe that requiring the Ten Commandments goes against the First Amendment of the United States Constitution and treats Christian faith as the state’s preferred religion instead of recognizing the diversity I see in my classroom every day,” she said.

The American Civil Liberties Union (ACLU) and its Texas chapter quickly challenged the law by filing two lawsuits. Two federal district judges blocked the 25 school districts named in the lawsuits from displaying the posters.

The civil rights organizations filed a third lawsuit in December 2025. This time, the federal class-action lawsuit names another 16 districts and seeks to block all Texas school districts from displaying the Ten Commandments.

Sarah Morrison, math instructor at Paris Junior College in Texas, said she believes the law requiring the Ten Commandments to be hung in every classroom is unconstitutional. Courtesy of Skyler Wilkins

Legal observers believe the issue will likely end up before the Supreme Court.

A case related to a similar Louisiana law and one of the Texas cases are scheduled to be heard by the full Fifth U.S. Circuit Court of Appeals on Jan. 20, according to the ACLU.

Wider Efforts

The Texas law is part of a larger state effort that has focused on putting God back into schools—a move grassroots conservatives in the red state applaud.

Texas passed a law in 2021 requiring public schools to display the national motto, “In God We Trust.” In late 2024, the Texas State Board of Education approved the “Bluebonnet Learning” curriculum, which integrates Bible stories and Christian values into K-5 language arts lessons.

In the town of Rockwall, just east of Dallas, attorney Lorne Liechty and his family purchased Ten Commandments posters for their local school district, which serves some 19,000 students. The posters were hung in classrooms before the ACLU filed its lawsuit; they now sit in storage as the issue winds its way through the courts.

Liechty, who had two children attend Rockwall schools, said that besides being good rules to live by, the Ten Commandments are foundational to America and its history.

Liechty, also a Rockwall County Commissioner, said prayer was allowed in school until the early 1960s; and he vividly recalls when his third-grade teacher told him it was outlawed.

“The Ten Commandments, Bible verses, and prayer were taken out of the schools,” he told The Epoch Times. “So I had a chance to try and restore them. I wanted to do that.”

Lawsuits Either Way

The Ten Commandments controversy has left some Texas schools in a quandary.

School districts outside Austin, Dallas, Houston, and San Antonio were named in the lawsuits and have been forced to remove Ten Commandments posters.

Meanwhile, Texas Attorney General Ken Paxton sued school districts in Galveston, Leander, and Round Rock for failing to display donated posters.

“America is a Christian nation, and it is imperative that we display the very values and timeless truths that have historically guided the success of our country,” Paxton said in a news release.

North of Houston, Shepherd Independent School District, which serves about 2,000 students, didn’t need an extra push to post the Ten Commandments.

Rebecca Nix, an administrator with Shepherd schools and a former teacher, said the posters have sparked classroom discussions.

“It’s been good fodder for conversation in some of the high school English classes,” she told The Epoch Times.

Read the rest here...

Tyler Durden Mon, 01/12/2026 - 21:35

New Documents Detail Jack Smith's $20K Bribe To Informant

In 2023, then-Special Counsel Jack Smith’s office approved a shady $20,000 payment to a confidential human source for information in the controversial FBI probe, code-named Arctic Frost, which investigated efforts by President Donald Trump and his supporters to challenge the 2020 election results, according to documents FBI Director Kash Patel turned over to Congress this week.

The documents outline the scope and methods of the investigation. An email shows that prosecutorial approval was communicated by Counselor to the Special Counsel, Raymond Hulser, on June 2, 2023. 

The memo states the payment "was discussed by Raymond Hulser and Assistant Special Counsel Julia Gegenheimer with Special Counsel Jack Smith." An FBI agent reached out to Smith's office that same day, writing: "As discussed, request your office's concurrence in our proposed payment of $20,000 for CHS' provision of information in support of the investigation." Hulser's response was brief: "Concur, thank you."

Patel told Just the News that the revelation of the shady payment is the latest proof that the Arctic Frost investigation was an “egregious abuse of power and violation of the law.”

The records show the FBI went all-in trying to make Trump himself a “subject” of the Arctic Frost probe, though that plan was ultimately shot down. The documents also reveal the bureau leaned heavily on liberal media reporting to build its case.

The number of people in Trump’s orbit that were targeted by the investigation is also staggering. Phone data analysis extended to nine Trump allies in Congress, plus his lawyers and outside advisers. TV host Steve Bannon made an FBI list of at least 16 Trump associates whose long-distance phone records underwent scrutiny. Bill Stepien, Sidney Powell, Jenna Ellis, Cleta Mitchell, and the late former NYPD Commissioner Bernie Kerik also appeared on that list. Kerik had led a team of investigators focused on alleged irregularities in the 2020 election.

One memo shows the FBI analyzed calls from "more than 50 White House-issued cell phones," not counting Trump's and Vice President Mike Pence's personal devices. Arctic Frost secured an order from U.S. District Judge Boasberg allowing Smith's office to obtain phone records of eight U.S. senators and one congressman. That same order swept up information from hundreds of conservative figures and groups, expanding the scope far beyond the initial targets.

At least two members of Congress have vowed to sue the Justice Department. Sen. Lindsey Graham of South Carolina and Sen. Marsha Blackburn of Tennessee say the investigation violated their congressional privilege and privacy protections under the separation of powers. Other Republican lawmakers describe Arctic Frost's data collection as overly broad and insufficiently tailored. Critics in Congress say the probe resembled a fishing expedition rather than a narrowly targeted investigation, raising Fourth Amendment concerns.

FBI Director Kash Patel explained that the document release is part of a broader FBI effort to make public and available to congressional oversight evidence of law-enforcement misconduct and weaponization, after years of being withheld by previous directors.

"Under my leadership, the FBI is producing documents at record speed to get the facts straight to the American people. What occurred in the Arctic Frost matter was an egregious abuse of power and violation of the law. This FBI is committed to restoring accountability and public trust," he said.

Two former Trump lawyers called the revelations disturbing. Jenna Ellis said the government’s targeting of private citizens for representing Trump “blatantly ignores the Fourth Amendment” and accused Jack Smith’s Arctic Frost probe of crossing a constitutional red line, calling for accountability. 

Cleta Mitchell condemned the use of confidential informants against her and the election integrity movement she has led for five years. She called the surveillance “absolutely shocking” but unsurprising, saying Biden officials repeatedly showed disdain for the Constitution and its protections, and insisted the actions merit investigation.

Ellis and Mitchell urged Attorney General Pam Bondi to launch an immediate investigation. 

President Trump responded to the revelations on his Truth Social platform. "Deranged Jack Smith should be sitting in prison for all that he has done to disgrace our Country!" he posted. 

Thank God this isn't the Epstein files or we'd never know about it! 

Tyler Durden Mon, 01/12/2026 - 21:00

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Peter Schiff: Printing Money Is Not the Cure for Cononavirus



In his most recent podcast, Peter Schiff talked about coronavirus and the impact that it is having on the markets. Earlier this month, Peter said he thought the virus was just an excuse for stock market woes. At the time he believed the market was poised to fall anyway. But as it turns out, coronavirus has actually helped the US stock market because it has led central banks to pump even more liquidity into the world financial system. All this means more liquidity — central banks easing. In fact, that is exactly what has already happened, except the new easing is taking place, for now, outside the United States, particularly in China.” Although the new money is primarily being created in China, it is flowing into dollars — the dollar index is up — and into US stocks. Last week, US stock markets once again made all-time record highs. In fact, I think but for the coronavirus, the US stock market would still be selling off. But because of the central bank stimulus that has been the result of fears over the coronavirus, that actually benefitted not only the US dollar, but the US stock market.” In the midst of all this, Peter raises a really good question. The primary economic concern is that coronavirus will slow down output and ultimately stunt economic growth. Practically speaking, the world would produce less stuff. If the virus continues to spread, there would be fewer goods and services produced in a market that is hunkered down. Why would the Federal Reserve respond, or why would any central bank respond to that by printing money? How does printing more money solve that problem? It doesn’t. In fact, it actually exacerbates it. But you know, everybody looks at central bankers as if they’ve got the solution to every problem. They don’t. They don’t have the magic wand. They just have a printing press. And all that creates is inflation.” Sometimes the illusion inflation creates can look like a magic wand. Printing money can paper over problems. But none of this is going to fundamentally fix the economy. In fact, if central bankers were really going to do the right thing, the appropriate response would be to drain liquidity from the markets, not supply even more.” Peter explained how the Fed was originally intended to create an “elastic” money supply that would expand or contract along with economic output. Today, the money supply only goes in one direction — that’s up. The economy is strong, print money. The economy is weak, print even more money.” Of course, the asset that’s doing the best right now is gold. The yellow metal pushed above $1,600 yesterday. Gold is up 5.5% on the year in dollar terms and has set record highs in other currencies. Because gold is rising even in an environment where the dollar is strengthening against other fiat currencies, that shows you that there is an underlying weakness in the dollar that is right now not being reflected in the Forex markets, but is being reflected in the gold markets. Because after all, why are people buying gold more aggressively than they’re buying dollars or more aggressively than they’re buying US Treasuries? Because they know that things are not as good for the dollar or the US economy as everybody likes to believe. So, more people are seeking out refuge in a better safe-haven and that is gold.” Peter also talked about the debate between Trump and Obama over who gets credit for the booming economy – which of course, is not booming.

We are living in crazy times. I have a hard time believing that most of the general public is not awake, but in reality, they are. We've never seen anything like this; I mean not even under Obama during the worst part of the Great Recession." Now the Fed is desperately trying to keep interest rates from rising. The problem is that it's a much bigger debt bubble this time around , and the Fed is going to have to blow a lot more air into it to keep it inflated. The difference is this time it's not going to work." It looks like the Fed did another $104.15 billion of Not Q.E. in a single day. The Fed claims it's only temporary. But that is precisely what Bernanke claimed when the Fed started QE1. Milton Freedman once said, "Nothing is so permanent as a temporary government program." The same applies to Q.E., or whatever the Fed wants to pretend it's doing. Except this is not QE4, according to Powell. Right. Pumping so much money out, and they are accusing China of currency manipulation ? Wow! Seriously! Amazing! Dump the U.S. dollar while you still have a chance. Welcome to The Atlantis Report. And it is even worse than that, In addition to the $104.15 billion of "Not Q.E." this past Thursday; the FED added another $56.65 billion in liquidity to financial markets the next day on Friday. That's $160.8 billion in two days!!!! in just 48 hours. That is more than 2 TIMES the highest amount the FED has ever injected on a monthly basis under a Q.E. program (which was $80 billion per month) Since this isn't QE....it will be really scary on what they are going to call Q.E. Will it twice, three times, four times, five times what this injection per month ! It is going to be explosive since it takes about 60 to 90 days for prices to react to this, January should see significant inflation as prices soak up the excess liquidity. The question is, where will the inflation occur first . The spike in the repo rate might have a technical explanation: a misjudgment was made in the Fed's money market operations. Even so, two conclusions can be drawn: managing the money markets is becoming harder, and from now on, banks will be studying each other's creditworthiness to a greater degree than before. Those people, who struggle with the minutiae of money markets, and that includes most professionals, should focus on the causes and not the symptoms. Financial markets have recovered from each downturn since 1980 because interest rates have been cut to new lows. Post-2008, they were cut to near zero or below zero in all major economies. In response to a new financial crisis, they cannot go any lower. Central banks will look for new ways to replicate or broaden Q.E. (At some point, governments will simply see repression as an easier option). Then there is the problem of 'risk-free' assets becoming risky assets. Financial markets assume that the probability of major governments such as the U.S. or U.K. defaulting is zero. These governments are entering the next downturn with debt roughly twice the levels proportionate to GDP that was seen in 2008. The belief that the policy worked was completely predicated on the fact that it was temporary and that it was reversible, that the Fed was going to be able to normalize interest rates and shrink its balance sheet back down to pre-crisis levels. Well, when the balance sheet is five-trillion, six-trillion, seven-trillion when we're back at zero, when we're back in a recession, nobody is going to believe it is temporary. Nobody is going to believe that the Fed has this under control, that they can reverse this policy. And the dollar is going to crash. And when the dollar crashes, it's going to take the bond market with it, and we're going to have stagflation. We're going to have a deep recession with rising interest rates, and this whole thing is going to come imploding down. everything is temporary with the fed including remaining off the gold standard temporary in the Fed's eyes could mean at least 50 years This liquidity problem is a signal that trading desks are loaded up on inventory and can't get rid of it. Repo is done out of a need for cash. If you own all of your securities (i.e., a long-only, no leverage mutual fund) you have no need to "repo" your securities - you're earning interest every night so why would you want to 'repo' your securities where you are paying interest for that overnight loan (securities lending is another animal). So, it is those that 'lever-up' and need the cash for settlement purposes on securities they've bought with borrowed money that needs to utilize the repo desk. With this in mind, as we continue to see this need to obtain cash (again, needed to settle other securities purchases), it shows these firms don't have the capital to add more inventory to, what appears to be, a bloated inventory. Now comes the fun part: the Treasury is about to auction 3's, 10's, and 30-year bonds. If I am correct (again, I could be wrong), the Fed realizes securities firms don't have the shelf space to take down a good portion of these auctions. If there isn't enough retail/institutional demand, it will lead to not only a crappy sale but major concerns to the street that there is now no backstop, at all, to any sell-off. At which point, everyone will want to be the first one through the door and sell immediately, but to whom? If there isn't enough liquidity in the repo market to finance their positions, the firms would be unable to increase their inventory. We all saw repo shut down on the 2008 crisis. Wall St runs on money. . OVERNIGHT money. They lever up to inventory securities for trading. If they can't get overnight money, they can't purchase securities. And if they can't unload what they have, it means the buy-side isn't taking on more either. Accounts settle overnight. This includes things like payrolls and bill pay settlements. If a bank doesn't have enough cash to payout what its customers need to pay out, it borrows. At least one and probably more than one banks are insolvent. That's what's going on. First, it can't be one or two banks that are short. They'd simply call around until they found someone to lend. But they did that, and even at markedly elevated rates, still, NO ONE would lend them the money. That tells me that it's not a problem of a couple of borrowers, it's a problem of no lenders. And that means that there's no bank in the world left with any real liquidity. They are ALL maxed out. But as bad as that is, and that alone could be catastrophic, what it really signals is even worse. The lending rates are just the flip side of the coin of the value of the assets lent against. If the rates go up, the value goes down. And with rates spiking to 10%, how far does the value fall? Enormously! And if banks had to actually mark down the value of the assets to reflect 10% interest rates, then my god, every bank in the world is insolvent overnight. Everyone's capital ratios are in the toilet, and they'd have to liquidate. We're talking about the simultaneous insolvency of every bank on the planet. Bank runs. No money in ATMs, Branches closed. Safe deposit boxes confiscated. The whole nine yards, It's actually here. The scenario has tended to guide toward for years and years is actually happening RIGHT NOW! And people are still trying to say it's under control. Every bank in the world is currently insolvent. The only thing keeping it going is printing billions of dollars every day. Financial Armageddon isn't some far off future risk. It's here. Prepare accordingly. This fiat system has reached the end of the line, and it's not correct that fiat currencies fail by design. The problem is corruption and manipulation. It is corruption and cheating that erodes trust and faith until the entire system becomes a gigantic fraud. Banks and governments everywhere ARE the problem and simply have to be removed. They have lost all trust and respect, and all they have left is war and mayhem. As long as we continue to have a majority of braindead asleep imbeciles following orders from these psychopaths, nothing will change. Fiat currency is not just thievery. Fiat currency is SLAVERY. Ultimately the most harmful effect of using debt of undefined value as money (i.e., fiat currencies) is the de facto legalization of a caste system based on voluntary slavery. The bankers have a charter, or the legal *right*, to create money out of nothing. You, you don't. Therefore you and the bankers do not have the same standing before the law. The law of the land says that you will go to jail if you do the same thing (creating money out of thin air) that the banker does in full legality. You and the banker are not equal before the law. ALL the countries of the world; Islamic or secular, Jewish or Arab, democracy or dictatorship; all of them place the bankers ABOVE you. And all of you accept that only whining about fiat money going down in exchange value over time (price inflation which is not the same as monetary inflation). Actually, price inflation itself is mainly due to the greed and stupidity of the bankers who could keep fiat money's exchange value reasonably stable, only if they wanted to. Witness the crash of silver and gold prices which the bankers of the world; Russian, American, Chinese, Jewish, Indian, Arab, all of them collaborated to engineer through the suppression and stagnation of precious metals' prices to levels around the metals' production costs, or what it costs to dig gold and silver out of the ground. The bankers of the world could also collaborate to keep nominal prices steady (as they do in the case of the suppression of precious metals prices). After all, the ability to create fiat money and force its usage is a far more excellent source of power and wealth than that which is afforded simply by stealing it through inflation. The bankers' greed and stupidity blind them to this fact. They want it all, and they want it now. In conclusion, The bankers can create money out of nothing and buy your goods and services with this worthless fiat money, effectively for free. You, you can't. You, you have to lead miserable existences for the most of you and WORK in order to obtain that effectively nonexistent, worthless credit money (whose purchasing/exchange value is not even DEFINED thus rendering all contracts based on the null and void!) that the banker effortlessly creates out of thin air with a few strokes of the computer keyboard, and which he doesn't even bother to print on paper anymore, electing to keep it in its pure quantum uncertain form instead, as electrons whizzing about inside computer chips which will become mute and turn silent refusing to tell you how many fiat dollars or euros there are in which account, in the absence of electricity. No electricity, no fiat, nor crypto money. It would appear that trust is deteriorating as it did when Lehman blew up . Something really big happened that set off this chain reaction in the repo markets. Whatever that something is, we aren't be informed. They're trying to cover it up, paper it over with conjured cash injections, play it cool in front of the cameras while sweating profusely under the 5 thousands dollar suits. I'm guessing that the final high-speed plunge into global economic collapse has begun. All we see here is the ripples and whitewater churning the surface, but beneath the surface, there is an enormous beast thrashing desperately in its death throws. Now is probably the time to start tying up loose ends with the long-running prep projects, just saying. In other words, prepare accordingly, and Get your money out of the banks. I don't care if you don't believe me about Bitcoin. Get your money out of the banks. Don't keep any more money in a bank than you need to pay your bills and can afford to lose.











The Financial Armageddon Economic Collapse Blog tracks trends and forecasts , futurists , visionaries , free investigative journalists , researchers , Whistelblowers , truthers and many more













The Financial Armageddon Economic Collapse Blog tracks trends and forecasts , futurists , visionaries , free investigative journalists , researchers , Whistelblowers , truthers and many more

The FBI released a summary of its file from the Hillary Clinton email investigation on Friday, showing details of Clinton's explanation of her use of a private email server to handle classified communications. The release comes nearly two months after FBI Director James Comey announced that although Clinton's handling of classified information was "extremely careless," it did not rise to the level of a prosecutable offense. Attorney General Loretta Lynch announced the next day that she would not pursue charges in the matter. "We are making these materials available to the public in the interest of transparency and in response to numerous Freedom of Information Act (FOIA) requests," the FBI noted in a statement sent to reporters with links to the documents. The documents include notes from Clinton's July 2 interview with agents, as well as a "factual summary of the FBI's investigation into this matter," according to the FBI release. Throughout her interview with agents, Clinton repeatedly said she relied on the career professionals she worked with to handle classified information correctly. The agents asked about a series of specific emails, and in each case Clinton said she wasn't worried about the particular material being discussed on a nonclassified channel.