Tuesday, August 23, 2016

Craig Hemke: "All Markets Are Broken"
Greg Hunter interviews precious metals expert Craig Hemke who contends, “What people have to understand here is what you think of as a market, two rational people exchanging goods at a certain price that works for both of them, is not what happens here. The price is discovered for the paper derivative itself, and it is determined by electronic high-frequency trading. All this is machines taking ques from other things that seem totally unrelated. So, it sounds like these are markets that are broken. I think that is a safe assumption to make. . . . The speculators trading the paper derivative is what is allowed to set price, and that is absolutely breaking everything. For my specific purposes, it is going to break the derivative paper pricing scheme, as well. We can’t wait for that to come because the price is not going to be discovered to be $1,360 per ounce at that point. . . . I know how this is going to end. Tolstoy in ‘War and Peace’ said ‘time and patience are the greatest warriors,’ and that’s exactly right. I have time and patience on my side because I know how this ends.” .. 29 minutes

1 comment:

Anonymous said...


The Collapse of Rome: Washington’s $6.5 trillion Black Hole

This is no minor book-keeping bureaucratic snafu. It exposes the rampant corruption at the heart of the world’s largest military Leviathan, the Pentagon. The Pentagon report goes on to declare, “In addition, DFAS Indianapolis did not document or support why the Defense Departmental Reporting System-Budgetary (DDRS-B), a budgetary reporting system, removed at least 16,513 of 1.3 million records during third quarter FY2015…the data used to prepare the FY2015 AGF third quarter and year-end financial statements were unreliable and lacked an adequate audit trail.” (emphasis added)

Translated into plain English, the US Army–and that’s only one branch of the US Armed Forces–destroyed accounting documents, did not provide an audit trail for accountability of funds allocated by Congress, and made apparently arbitrary, unverifiable accounting year-end adjustments that made it look like the books balanced, adjustments of $6.5 trillion worth. In other words they not only cooked the books, they Dixie-fried them, as in…trillion…trillion…trillion…

Interesting to know there are two mammoth institutions with government ties or government agencies which never have submitted to an independent audit. One is the privately-owned but Government linked and supposedly Congressionally monitored (hardly) Federal Reserve. The second institution never to have been audited is the Pentagon. Never.

The day before September 11, 2001 then US Defense Secretary Rumsfeld announced, “According to some estimates, we cannot track $2.3 trillion in transactions.” The story vanished the next day in the panic of 911 events.

Finally, under the pressures of exploding Federal Budget deficits, Congress demanded that the Army achieve “audit readiness,” for the first time ever, by Sept. 30, 2017. No one in Washington believes that will happen.

The corruption, falsification, probable fraud and embezzlement is so huge and so endemic that it will destroy any effort at transparency, buried under the cover of bureaucratic ineptitude. It’s symptomatic of the rot of Washington and a nation that only a few decades ago held a tradition of honesty and integrity in public service. If we want to give a name to a faceless bureaucracy responsible for accurate reporting of that unaccountable $6.5 trillion, his current name is Colonel (retired) Robert M. Speer, Assistant Secretary of the Army Financial Management and Comptroller, formerly with PwC, one of the mega accounting firms. Presumably he understands how to do basic accounting.

Whom the gods would destroy…
http://journal-neo.org/2016/08/22/the-collapse-of-rome-washington-s-6-5-trillion-black-hole/