Questioning the economic collapse meme? Wondering when the current system implodes under the combined weight of global debt, geopolitical instability, and massive overproduction? Wait no longer! The collapse is not a singular event. It is a process of disruption and dissipation occurring as economic conditions around the world disintegrate. Risk is spiking and financial markets have been thrown into turmoil. Far from being the “fiction” that liar-in-chief President Obama would have you believe, the economic collapse is happening before your very eyes, if only you choose to see it.Emerging Markets are a Harbinger
The first place to look is in emerging markets like Nigeria. Keep a close eye on events in this formerly wealthy oil state of 170 million souls. Defaults in Nigeria have risen dramatically thanks to spiking interbank lending and borrowing rates. Coupled with the rising the risk of Credit Default Swaps (CDS) that are tied to Nigerian banks who have a deep hand in the petroleum trade, and you have all the hallmarks of a looming currency collapse. Nigeria will not be alone.
What is the cause of this instability? Why, plummeting oil prices, of course. Every oil producing country on the planet is feeling the pressure of falling prices and its concomitant effect – the rising cost of U.S. dollars. Exactly what is driving down oil prices remains unclear in the minds of some. Is Saudi Arabia driving down the price of oil to destroy more expensive productive capacity in the U.S. or has the U.S. and its globalist proxies, especially Saudi Arabia, embarked upon a scorched earth policy to destroy Russia? In The Guerrilla’s mind the evidence is clear – the U.S. and the corrupt Wahhabis of the House of Saud are engaged in a price war against Vladimir Putin’s Russia to see whose economy can survive underwater the longest.
We are witnessing a contest in the financial realm similar to that which brought down the old Soviet Union. The difference this time is that the combatants are far more equal. Russia’s strength is rising while the West’s is declining. Russia has no debt. The West is awash with debt. Russia owns hundreds of tons of gold, a hoard that it grows with every passing month. The West, including the U.S. in particular, is shipping its gold to the East as fast as it can to defend its collapsing monetary system. Yes, my friends, the opponents are far more evenly matched in Cold War, Part 2. Russia is healthy and well-led. The nations in the West are corrupt and have pneumonia in their lungs.
Monetary respiration in the West is seizing up as liquidity disappears and monetary velocity drops like a stone. Many bank analysts are now calling for $20 per barrel oil, a clear financial trigger that will send the House of Saud into a final catastrophic tailspin. The Guerrilla once said that the American dream is built on Saudi pipelines. Nowhere is this more true than in the Saudi Riyal’s peg to the U.S. dollar. The rising strength of the dollar is crippling the Saudis. Throw in two failed proxy wars in Syria and the Saudis’ sovereign wealth fund is collapsing to the point that the kingdom is facing bankruptcy in 5 years or less.
The Guerrilla’s sources have confirmed that the situation in Saudi Arabia is going from bad to even worse, with budget deficits already approaching 20% of GDP and not the 13% being reported. If this is true, the House of Saud will likely collapse within the next 18 to 20 months!!! In this context, is it not convenient that the Saudi Arabian-AMERICAN Oil Company (ARAMCO) is suddenly floating the notion of an IPO to shore up the cratering Riyal? The announcement of an IPO, however, has not spurred the investor interest that was anticipated. This plan too has blown up in the faces of those who would sow pandemonium in the world for their benefit.
The Saudis are playing a two-faced game that is sure to backfire. They entered the oil devaluation fray intent on destroying not only Russian oil competition, but also American and Canadian production. In this way they planned to retain control over the oil market for the future and, with the Riyal pegged to the U.S. dollar, their currency would benefit. It was a win-win situation, they figured. The U.S. benefitted from maintaining the predominance of the petro-dollar while they, the Saudis, continued to benefit from providing the liquid backing for that dollar. They figured they could sustain even $12 to $15 per barrel oil prices temporarily, so the pedal was put to the metal. But look at the impact this policy has had! The world is now staring the potential for $7 to $9 per barrel oil in the face. Karma is a b***h.
Once prosperous oil producing nations like Nigeria and Venezuela are blowing up because of oversupply. Forget peak oil! We have entered Peak Gloom, the mother of all bear markets in oil thanks to U.S.-Saudi machinations. The experiment has backfired in a big way. Saudi Arabia will be forced to de-peg the Riyal from the rising U.S. dollar to combat deficits that are rising off the charts. They are issuing bonds that no one wants to buy. They must support their own deficits by devaluing their currency. This will result in massive price inflation that is already creeping in. The poor in Saudi Arabia, which is 25% of the population, will revolt as the pressure builds. They will hang the royal family from lamp posts if nothing changes.
The chaos extends to Europe. Do you realize, dear readers, that not a single Eurobond has been sold since we entered the new year? This is shocking, to say the least. (add Eurobond Slump Chart) Thanks to the dollar crisis in emerging markets foreign reserves are falling, resulting in less being spent on European debt. Now the ECB has to make room for buying its own bonds in conjunction with playing the part of “bolt hole” for dumped U.S. dollars,. How long do you think this can continue?
Everyone in the world except for brain dead Americans knows that ISIS is a U.S. proxy group in the Middle East. Thanks to Russia, Iran, and the Syrian Army, that group is being destroyed. It has lost its base of operations in northern Syria, its supply lines have been cut, and its petro-narco funding has been strangled. ISIS can barely keep its payroll going, its Twitter and Facebook accounts manned, and its Hollywood video budget well-padded.
Greater revelations have come out as well that not only are petro-narco funds being used to fund ISIS, there are also connections that go right up to the Oval Office. Obama’s half-brother received non-profit status for his business in less than 30 days thanks to the illegal backdating (by 38 months!) of his filing documents by the now infamous Lois Lerner.
Worse yet, the funds for Malik Obama’s business are run through the Swiss banks, UBS and Credit Suisse, as well as through Mexican banking subsidiaries. Key here is the recent “beef” between the Sinaloa Cartel and ISIS. Sinaloa’s Joaquin “El Chapo” Guzman, a known CIA asset, fell out of favor for threatening ISIS leaders over stolen narcotics that belonged to the Cartel. Why did Guzman make his threat? Simple, the CIA threw him under the bus so they could route Sinaloa funds to cash-starved ISIS fighters!
Disillusionment among the members of NATO is also growing. France and Germany are chomping at the bit to follow Russia’s lead in destroying ISIS. I’ll bet very few of you know that David Cameron, the Prime Minister of Britain, recently met with Francois Hollande to throw the UK’s hat into the war against ISIS. All of this is being done very quietly because to make it public would be embarrassing to the floundering criminal establishment in Washington DC. The petro-narco network that powers the Empire of Chaos runs from Afghanistan through Turkey, Tunisia, and Libya. It traverses Ukraine too, where it joins the flow of human sex trafficking. This is the financial conveyor belt that sustains the bankrupt West. It is being exposed and two of the main cogs in the machine, Saudi Arabia and Turkey, are about to be transformed forever. Then the true evil empire will be laid bare for all the world to see.
The Swiss have missed many of the signs of the coming financial apocalypse. Recently, the head of the Swiss army recommended that “all Swiss citizens should arm themselves” against what many in the media are calling an immigrant invasion. To The Guerrilla this is a joke. The Swiss have been complicit in some of the world’s worst crimes since the days when they allowed the Third Reich to launder money through their banks. Where did the gold stolen from Europe’s murdered Jews end up? That’s right – in Swiss vaults alongside thousands of priceless works of art. Now the Fourth Reich dominates Swiss banks (See UBS & US bullying) and its gold vaults (ViaMat) are owned by the Mossad/CIA proxy corporation, Securitas, which so effectively ran airport security in New York City on 9-11. Modern economic warfare is run by proxy and executed asymmetrically.
The concept of Switzerland as a safe haven is a myth.
2016: The Road Ahead
As The Guerrilla forecast, 2015 saw the complete undermining of the dollar. The pace of change now promises to accelerate in 2016 as we enter the terminal phase of narco-petro-dollar hegemony. If you put your ear to the ground you can almost hear the old world order trembling on its foundation. Prepare yourselves mentally, physically, and above all spiritually for the change that is upon us because the anarchy sown by the Empire of Chaos is returning as a whirlwind and when it strikes it will blow everything apart.