https://news.yahoo.com/nothing-left-live-evergrande-meeting-174442622.html
The situation on the ground contradicts the reassuring headlines in the US. Evergrande is about to topple and start a chain reaction around the world. Blackrock will be significantly affected.
Before I ever read a Q post, I had concluded it was Trump's protectionist trade policy toward China that triggered the bribed/controlled Democrats and MSM to spaz out and desperately try to impeach him. I now see there were other reasons, but the China policy is still a main one. Evergrande is proof.
Now those policies -- along with anemic supply chains and shutting down illegal income streams from human trafficking and other criminal enterprises -- have resulted in cashflow problems for China. Their aggressive hoarding of real estate and loans has left them asset heavy and cash poor. This is what happened to Lehman Brothers in 2008. If you can imagine cash as the oil in an engine, China's engine is dry and the pistons are locking up.
This, I theorize, was one of the purposes behind the ridiculous $3.5 trillion infrastructure bill. You have to think of infrastructure bills and "stimulus" bills these days as Democrat slush funds. The money is never accounted after it changes hands. As Trump called out before he left office, the covid stimulus sent billions overseas to China and Pakistan. It's likely the infrastructure bill was going to give China the cashflow to get their engine unlocked.
Then consider how an authoritarian regime relies on state corporatism for its economy. In this economic model, insolvency of your largest corporations can leave the state with cashflow problems as well. It'll be interesting to see how woke our corporations and sports will be at after that. Also, when a despotic state has little cash, they eventually will have trouble paying their military. When the military eventually does not get paid, they coup your despotic ass.
Imma take 48 hrs before I make a judgment. This smells like the guy collapsing on the streets video at the outset of the KungFlu. Yea no metal detectors going into a board meeting at this day and age? Don’t think so..also on Yahoo. Gotta think...what do they want you to think? Why would they want you to know there’s an economic collapse coming in China??
See you in 48
China never airs their dirty laundry.
And the Evergrande meltdown has just exposed a more ominous cash crisis for China: They can't fund their own bureaucracy.
Forbes: "...Surging local government debt levels that President Xi Jinping’s men have done their best to hide. The default troubles at the globe’s most indebted property development seem like small embers compared to the $8.2 trillion worth of local government financing vehicles outstanding."
https://www.forbes.com/sites/williampesek/2021/09/30/goldman-flags-82-trillion-threat-worse-than-china-evergrande/?sh=36e651f615cc
This would also explain why China released their bioweapon on us. For their own survival, they had to get Trump out of there. His policies already critically wounded China, as is becoming evident now.
Trump was such a wrecking ball to them. Hillary wasn't supposed to lose, and China wasn't supposed to fail.
We made the bioweapon here. This is a deep state project. To simply blame China lacks vision of the totality of the deep states’ grip on every country.
Yes, but from a geopolitical standpoint, they pulled the trigger and committed an act of war. Whether they colluded with domestic traitors does not change that fact.
1941 saw a "Day of Infamy", 2021 continues to see a year and a half of infamy with no really quick reaction to our attack by the cabal. No surge of patriotism, just the rise of trickle down tyranny extending to neighborhood busy bodies virtue signaling and shaming people with the cause du jour that shifts daily in the cognitive dissonance of the Pod Peeps. History will write of this period and compare it to the outbreaks of rye ergotism in the middle ages.
Ah, modern day 'Dancing Sickness'. Interesting.
https://en.wikipedia.org/wiki/Dancing_plague_of_1518
I agree. China has CIA working for UK crown in control just like every other country...trump released north Korea from their grip and is doing the same in every country.
Have a look at miles Mathis. It's the Phoenicians way. Capture both sides, simulate a fight and steal all the money.
You say blaming China "lacks vision" as if China is not one of the main tools the DS uses to take down the US. No one is ONLY blaming China here friend, just stating that China had a reason to release the Bio-weapon on behalf of the DS.
Oh, they simply need to employ Joe & Nancy's lunaticenomic principles, and $8.2 trillion maginomically becomes zero!
Science!
China is a parasite on the US. They bribe the politicians to sell out money, technology, and manufacturing to them. Once this flow stops, China as an economic entity is on the path to becoming Cuba/Venezuela in less than half a decade. This is why “America First” is an existential threat to them, and why they released the virus.
“China is a parasite on the US.”
Need some Chinamectin
Red October indeed...
I've sat in board meetings like that. It's more common than you think. And that's when things are going well lol.
Good point. I still think Evergrande is doomed. If we're not bailing them out, who will?
Oh yeah I think they are fucked too.
The Chinese spies in the legislative branch of the US Government appear to push the $3.5 trillon infrastructure bill as a pretext for a bailout of China. Think about the green energy contracts given to bidders using materials "Made in China." Think about the Chinese funding the pensions of public works monopolies like Caltrans in California at the state level. Government contracts whether state or federal spend tax revenue for infrastructure projects reliant on Chinese imports. China needs passage of the infrastructure bill to prevent an economic collapse similar to the one experienced under the first term of Barack Obama.
Very good points. Thanks for posting.
TARP 1 under Bush unfroze credit and prevented a meltdown. TARP 2 under Obama was a slush fund for bribing unions and funding Dem PAC's. "Shovel ready jobs" was the lie Obama used to associate it to infrastructure. It created no construction jobs and was a trillion dollar scam.
I hate thinking about the Obama years. It was a slow but incessant assault against the middle class, and you were racist for calling it out.
I can still hear him saying " this is not who we are" CONSTANTLY badgering Americans about being "better".... Give him more money. Give away your guns. Don't bible thump. Blah blah. He was terrible.
An updoot for this astute observation -- every time I hear Black Jesus utter the words, "this is not who we are," I want to scream at the top of my lungs that he has NO F*CKING IDEA what "we" or this country are about. I'd like to say I'm glad he's "gone," but I don't really think he is. Hope I live long enough to see his traitorous ass in an orange jumpsuit.
Obama would secretly stir up problems, then pretend he was above it all, then condescend to us to a prick. I hate that Marxist scumbag.
Sure, we can bail them out with our Monopoly money. We'll just have them print more for us.
Your views are well taken.
There is another side to currency you have not mentioned. There is a currency was going on, or rather, CCP and US are enthralled in a war that is fought in the financial arena (among others).
It is not so much CCP could not up the liquidity. It is a simple matter of printing it/ creating it. Let's consider one asset:
Asset 1 is the basis on which paper currency is produced. Let's say, a hundred paper yuan's. These go into circulation and change hands over and over again. This means that asset 1 can push a multitude of transactions.
On each transaction taxes are due, so in the end, the amount of currency decreases over time and ends up where it originated: with the CCP who created it. And if more currency is needed, Because without currency, trade stops when no currency is available, , it is a simple push on a button to create more. Asset 1 then can be burdened with several rounds of currency creation, without anyone noticing.
Asset 1 can be many things. Buildings, persons, a right to tax, a right to lease. Coincidentally, the CCP owns all the land on the mainland. People can only lease their plot. Infrastructure increases the value of land.
It is easy to see how currency creation and investment fuels the next round of what is now called quantitative easing (neologisms always tell you what the lie is!), or in short: flushing the market with cash.
However, the more currency comes into circulation, due to demand and supply, the value of the currency will suffer changes. Access to this currency can be restricted, to artificially keep the value higher. Or, access to it can be loosened, causing the value to drop, meaning, the amount of goods and services that can be bought with a unit of currency changes over time, up and down.
How can you wage a war against your major opponent via a currency war? Especially, when you try to maintain a peg to the currency of your opponent?
Enter the bought and paid for rinos and dems. IF they create 3.5 trillion extra in currency, it is easy to see, in order to maintain the peg, where the room to create 25 trillion yuan comes from.
When Trump said, the CCP was manipulating it's currency to maintain the peg, the CCP is forced to dance with the devil due to the peg. IF it wants to increase it's value against the currency of the opponent, it must follow a restrictive currency policy.
So, how do you increase the value of your own currency? By soliciting of the dems and the rinos to create vast amounts of currency in their denomination. Hence, the 3.5 trillion. And let's be fair, more is to come.
Meaning, that the CCP can look forward to upward pressure on the Yuan. WIth this pressure it gives the opportunity to create more liquidity to ease the markets.
This ties in with the political system. When one section of the financial market goes bad, the government has the liquidity to move in and stabilize.
Here is where it get's interesting. Despite the vast amounts of currency already created by the FRN crowd, the 3.5 trillion is on top of that. And the amazing part is, we see the EUR/FRN relation as now 1: 1.16. Not so long ago it was 1: 1.18. And in the beginning of the year: 1:1.23
Meaning, with the currency creation by the FRN crowd, we see the Euro losing steam. The only reason that can happen is when the Euro is creating more euro's for the financial system.
Remember, eventually, the BIS (Postal) is behind all of it, and orchestrates in collusion with the IMF to move closer to an SDR financed world.
And since the UPU is making sure every person is hooked up to their postal system for access to internet, government services, commerce and birth certificates it is easy to see why the need arises to stiffle competition and make the world a bit more predictable.
And being unpredictable is the most important accusation leveled against Trump. Unpredictable in a "rules based international order". What exactly these rules are, they do not tell you, but they become clear once you look at the moves of the UPU since 1871.
One other aspect needs to be taken into account: Money creation fuels inflation. However, industrial production fuels specialization and production maximization, or streamlining the process to it's optimum. This means that products over time decrease in value. Because optimization leads to a larger number of products in the market and thus, by supply and demand, a lower value.
You can appreciate from this that inflation is not easily achieved by money creation alone. And why is inflation important? Well, not to the average user. As an average user, you want prices to go down, or deflation, because with the same amount of money, you can buy more.
However, when you have a debt of say a 100 and every year inflation is 2%. In 30 years, how much is left of those 100? 2% times 30 is not the real answer, because inflation builds up over time. it is 2% over 2% over 2%, etc. It is called compounding. Meaning in the first year that 100 decreases in value of 2%. Nominally it still remains 100, but what you can buy with it decreases with 2%. The buying-power of the currency deceases. So, in the first year 100 -2% = 98. In the second year, 2% of 98 = 96.04. In the third: 2% of 96.04 = 94.12 etc.
In the total of those 30 years of 2% inflation a debt of 100 decreases to 54,54. Almost 46% decrease.
It can be easily appreciated how huge government debt over time is not a problem for the government, as it's value in the present is eroded over time. This is why you hear Central banks insist on creating inflation.
It is also easy to understand why deflation is a horrific idea to those governments in debt. In such a scenario, the debt would INCREASE in buying power.
It is also easy to see that the more you start to tinker with the concept of a free market where prices are set by the market, the more you need to control. Because now you want to "guide" the spending habits. First they will try this by regulation and taxation, excises, etc. By increasing the taxation, people will make different choices. Consider the imposition of taxes on fuel.
A second way for a government to impose itself on the habits of people, is by subsidy.
A third is by outright mandate or prohibition.
Now the circle is square and you are looking at the world of today. Welcome to 1984. .
Mind defining those acronyms?
You mean, you do not know what CCP, FRN EUR and US are?
I would wager that it is one or more of those.
BIS = Bank of International Settlements.
IMF = International Money FUND = special UN agency.
SDR = Special Drawing Rights = IMF currency = basket of currencies.
UPU = Universal Postal Union = established 1871 = special UN Agency.
EUR = Euro = currency used in Euro countries/ EU countries.
FRN = Federal Reserve Note = currency issued by the Federal Reserve posing under the name of USD.
Of course you can always consult wikipedia for a primer.
I think it’s more for BIS, SDR, and UPU
Nah I figured out the currency/country ones from context. You're an asshole if you think I don't know what CCP is lmao. It's mostly the stuff that got answered below. I'm no finance specialist. I'm not exactly in that tax bracket.
Very well written. Thank you.
It sounds like China would be in big trouble if the Dollar collapsed.
Interesting view. Why would you think that?
He stated that China is attempting to encourage/bribe the US into printing more money to coincide with China's printing more money so China has more room to print even more money to prop up their economy artificially. So if the Dollar falls, China won't be able to use this crutch anymore.
Just a side note: the summer before CV, I took a tour of the Fed Reserve in SF. They said at any given time 2/3rds of the cash in circulation is outside of the US. Part of this is because a number of countries accept US currency ad legitimate barter, but I wonder how much is where. It is one thing if you are Belize.
Only in relation to the Dollar. The trick in currency war is to allow your opponent to overextend itself.
Please, check what an SDR is, and what currencies are in there. Should the USD collapse against the other currencies in that basket, it would make only a splash, as it would be removed and replaced.
Then there is another dimension:
It is true China is holding around 1Trillion USD in bonds. In case of a collapse of the USD, that trillion is worthless.
However, all debts denominated in USD in China would be worthless as well. SO .... I dunno, it cancels each other out I guess.
That leaves the question of markets. In case of a collapse of the currency, chances are that such markets will not be available, unless more secure payment methods can be exacted. Under UCC there are ways to exact that. As a matter of fact: Germany, as a country, as in soil, was put a lien on in 1944, just prior to D-day.
In short, such "currency wars" are carefully scripted and nothing happens without the approval of the Post-office and the BIS. And China as the CCP is just as much a part of the Postal system as is the US.
Postal = banking = judicial = shipping = commerce. There is no denying that.
China grew accustomed to spending our money that the Cabal had been helping them get for decades. They began to feel entitled to that money. Friends, imagine the sheer horror when Trump was elected and they were informed, with no room for confusion, that they old arrangements were no longer going to be upheld. China already had big plans for the money that the next 4 years at least were to bring them.
The old arrangements were no longer going to be held in place...This is the same type of meeting that the Pope got and he couldn't hide the fact that his feelings were hurt while Trump grinned ear to ear. It wasn't supposed to be like this for any of them.
The horror that set in for China? The had already spent based what the old deals in place were. Why wouldn't they, it was a sure thing that Hilary was going to win, right? LOL. "We need Covid on deck, STAT!"
Before the election last year Pelosi mentioned several times that China would prefer that Joe win. I'm sure they would. Like I, or any of you, give a fuck what China wants. The deal had already been changed.
Rothschild owns the global money system, via organisations such as The Federal Reserve and the Bank of England as the 2 senior organisations with the other "national" banks all working together as a single, global cabal.
During 2020, the Fed was taken away from Rothschild and restored to the US Treasury, same thing happened to the BOE, it is now a UK Treasury property.
The Rothschild dollar is what is being printed and used by the cabals.
At some point soon, the Fed Res Dollar will be declared dead and finished, leaving the Roths with a very large and unpayable bill to settle.
The US Republic will have it's own currency, free from the onerous interest rates that have exploited the Planet for hundreds of years.
Covid is just one of the weapons being used to attempt to bring victory to the crime Cabals, they need to win this war of good vs evil, to restore the money system back under Rothschild, else they are all bankrupt.
Thank you for that outstanding analysis, Mr Winston.
So we should start calling it what it is - a 3.5 trillion dollar China bailout
Otherwise known as taxpayer-funded Communism.
I have an unhealthy idea that evergrande was planned to fail (or plan b) to start the global crash on purpose as soon as their tyranny covid passport push started spluttering. In effect this will cover up their covid misdeeds around the world and while the world is distracted, they can start their digital curency and cashless society while destroying our present oil/gas economy.
If what I speculate is correct then gov of the world have an excuse to use their security forces to enforce their 'great reset' under cover of 'see, told ya, capitalism is bad, oil and gas is bad'.
Let's hope I'm wrong.
P.s love your idea that the dems 3.5 pork bill could be a way to keep China going
What is happening to the shipping industry right now is like a reverse blockade where nothing is moving into the U.S., and if all, or a majority, of the ships are carrying Chinese goods, the ramifications are massive in terms of exchange of goods/money. I would not be surprised if the total value of the blocked goods is a trillion dollars. The plot thickens...
Sounds a lot like what happened in Mr Robot with ecoin becoming a stronger value than the usd. Lots of stuff in that show are eerily close to reality when you've started paying attention.
Line of the day!
Why does MSM lie about stuff that is so easy for anyone involved to see as untrue. Zoom out on bitcoin's 1 year chart and tell me with a straight face that Evergrande has impacted it in any way.
They lie because some people won't check to see if they are lying!
Good read, thanks! NCSWIC!
...wintson as in..serpentezza..?
Does all the cargo stacking up offshore have anything to do with this?
Evergrande is a Red Herring. China needs to devalue just like every evil empire. Fiat Currency world wide has reached the end of its usefulness. Th US is the Reserve Currency so that is where it matters.
END THE FED/ END THE WARS!!!
Perhaps The CCP is getting the justice due for covid and the slave labor and human rights atrocities again the Uighurs.
Yes I recall we sent a lot of money overseas for gender studies…very interesting 🤔 taxpayers money…
mitch mcconnell will see that chyna gets the aid package you will pay dearly for -- his is consistent at putting it to us/we the people.
I guess "Chaos" means something different to me.
Sounds way too dramatic
You're asking why we should care about the possible shutdown of the government that used a bioweapon against us?
When China runs out of cash, let see how woke our corporations will be. Let's see how many team owners Lebron admonishes for criticizing China. I happen to think it's a big deal that a foreign adversary has captured our entire political and elite classes.
FYI, I bought short positions on Goldman Sachs, Blackrock, and Vanguard.
The Big Short part deux comin down the pike... Tranche warfare me hearties!!
If China is about to fail who stops them from launching nukes in spite