Investment Research Dynamics is pleased to present another guest post by Stewart Dougherty. I wanted to preface Stewart’s formal essay with some thoughts he shared with me in our email exchanges leading up to his latest essay:
I haven’t shared with you one of the most important tenets of Inferential Analytics … namely, that the universal human condition is addiction. Addiction comes in hundreds of forms. Two of the most powerful are to money and power. HRC is addicted to both. She simply cannot let go of her presidential ambition, or her greed.
I must admit, when I saw her interviewed the other day regarding Syria, she looked terrible. Her legs looked as if they were about explode out of her pants, which were stretched to snapping. She looked like a human sausage. I thought her doctors would have been reversing her obesity by now, but apparently not. Among her other addictions, she is addicted to food, and is a glutton [IRD: she’s also an alcoholic]. Mentally, she is a complete mess. So I could be wrong … if she cannot get her gluttony under control, she cannot get to 2020. She simply will not have the required stamina, and could croak at any time.
My assumption is that when she smells Trump’s blood in the water, she will become so galvanized that she will get the gluttony under control, even if it’s only to get through the election. They will make Obama her running mate, if that’s what’s required to get her across the finish line. Then he can effectively have a third term, while she vegetates in a food coma.
We believe the 6 April 2017 Tomahawk missile attack on Syria indicates that Donald Trump has concluded that the fiscal, economic and political situations in the United States are beyond repair, and that without continued, massive military interventionism and spending, U.S. GDP will plunge, taking all of his campaign commitments down with it. Therefore, he has capitulated to the agenda of the Deep State looters and war profiteers. Trump’s capitulation has profound personal and financial implications for the citizens of the United States and the world.
The strikingly weak March employment report issued on 7 April 2017 demonstrated that rhetoric, no matter how well-intended, does not produce jobs or growth. Only genuine confidence, conviction and belief can do that, and after eight years of Obama’s colossal and deliberate “Hope and Change” lie, the people are not inclined to believe in political rhetoric at this time. We regard it as no coincidence that the attack on Syria occurred mere hours before the release of the March jobs report, the details of which would have been available to the President and his senior advisers in advance. Trump and his team knew that the news was bad, and that a course change and distraction were needed.
Increasingly, it appears that the American people will get a 21 ½ month Trump presidency (late January 2017 through early November 2018). Republicans are backing away from the Obamacare campaign promises they made to the people by merely substituting one massive government bureaucracy and socialized redistribution scheme for another. Far more troubling, they are now signaling that while corporate tax reform remains on the table, personal tax reform might have to wait. Which is their way of saying that personal tax reform will never happen at all, or it will be a deceptive shell game where a tax reduction to the left is completely neutralized by new or increased taxes to the right. Everywhere the people turn, they see the elites being further enriched while they sink further into an inescapable financial morass.
Accordingly, the 2018 mid-term election is shaping up to be a bloodbath for Republicans, with betrayed and disgusted Republican voters staying at home in droves, or voting Democrat out of spite and revulsion against the politicians who have betrayed them yet again. November 2018 will therefore mark the end of the Trump presidency, with the Deep State firmly running the show from then on as it prepares for 2020. There is no one on the bench at this time that the Deep State can rely on as fully as Hillary Clinton, try as they must and do to widen their options.
For her part, Clinton is taking a page out of Madonna’s book by remaking herself. In a recent speech in San Francisco, gone was the campaign era, pastel-colored pant suit, replaced by a dark leather outfit reminiscent of what one would see at a bikers’ convention. Apparently, there is going to be no more Mrs. Nice Guy. She is making it clear that she will no longer even attempt to appeal to the “deplorables,” now broadened to include the “misogynists,” whom she blames for her election loss. Instead, she is now 100% focused on her traditional, high-potential, core-constituencies, while she also eyes a developing vote bonanza: the growing cohort of Trump supporters who feel deceived, are furious about it, and will be out for revenge.
Clinton’s addictions to power and control make her enormously valuable to the Deep State. They know that she will effectively advance their agenda and enforce their mandates. Her addiction to money assures them that she will do exactly what she is well-paid to do. The problem, as before, is her health. Her 6 April 2017 interview at the Women in the World conference, during which she was seated the entire time, showed that she remains obese. And her walk across the large stage to the interview site was slow and measured, undermining the credibility of her repeated comments about taking “long walks in the woods” to find solace after her election loss. Nonetheless, on several occasions during the 48 minute interview, she spoke as if she were a presidential candidate. We believe her addictions to power, control and money will overcome, at least temporarily, her addiction to consumption.
If the Deep State does, in fact, tap her for 2020, it will spend millions on her medical and psychological care throughout the election process, to ensure that she appears to the populace to be sound of body and mind. There will be no more fainting spells or mental fade-outs, and she will be buoyed up by the best doctors and drugs that money can buy. To the greatest extent possible, her campaign will be conducted electronically, to keep the wear and tear of physical campaigning to a minimum.
We expect that HRC will raise more money for her 2020 bid than was spent by every single presidential and Congressional candidate in 2016; $7.5 billion, at a minimum, which will shatter the previous, 2016 record for presidential campaign spending. Given the trillions of dollars that can be looted from the United States economy during a 4 year presidency, donors can generate an astounding Return on Investment from their contributions, which is exactly why they spend so much to buy politicians. Republican donations will collapse.
Numerous reports indicate that Bill Clinton’s health is failing. His marked weight loss is obvious, as are several other observable symptoms of decline. Unfortunately, none of us can live forever, particularly those who have led “full,” pedal-to-the-metal lives.
Running to become both the first woman and first widowed president, HRC will uncork a vast, additive sympathy vote that will sweep her to victory. Millions of previously non-HRC voters will feel that she deserves the presidency, at long last, after everything she has been through. The people will be told that she lost her beloved husband due, in large part, to the toll taken by his profound sadness over the surprise outcome of the unfair, “Russian-rigged” 2016 election. USA!, USA!, USA! She will be cast as a brave, determined fighter who has persisted against all odds to bring the people to the Promised Land of government-manufactured utopia.
HRC’s victory in 2020 is critically important to the Deep State because the United States will be entering the advanced looting phase by then. It will be clear that the deficits are endemic and non-containable; that the nation’s debt is propulsive and non-payable; that the systemic economic drags cannot be ameliorated; that the health care system has spun out of control; that the public and private pension systems are collapsing; and that the dollar is failing, portending systemic, punishing inflation for the people. The people will be desperate for salvation, and will be putty in the hands of professional prevaricators who smother them in soothing lies.
In the fast-disintegrating economy, the Deep State’s best and possibly last opportunity to loot the nation will be to go straight for the people’s money, which they will do with a vengeance. In the process, the Crony Communist overthrow of the United States that was started by Obama and Soros will be finalized. Crony Communism is where the serious money is for the Deep State, which explains why this is the track on which the country is traveling.
As we have previously pointed out, all Life Forces seek to evolve and expand, and communism is no exception. Crony Communism is the most virulent, destructive, ruthless and evolved form of communism ever developed, exponentially intensifying the absolute worst aspects of cronyism and communism. Crony Communism will result in communistic impoverishment and misery for the people, while awarding epic wealth and power to its orchestrators and thugs.
For maximum effectiveness and control, Crony Communism requires gun bans and cash elimination. The delay in the enactment of these agendas is the primary reason why the Deep State Crony Communists are so infuriated by HRC’s 2016 loss. For them, time is big money. And delays carry risks, such as the populace finally waking up to what is happening to them, and resisting their newly perceived enemy with all their might.
Now that Trump has capitulated to the Deep State, we can expect the cash elimination engine to go full power. Gun confiscation will be more difficult to implement at present, given Gorsuch, and will be substituted by continued, massive militarization of federal, state and local policing agencies. The United Airlines customer assault shows how this process is swiftly metastasizing throughout the nation. One way or another, the Deep State will be well prepared when they launch their war against the people’s money.
On 7 April 2017, in total defiance of fiscal, monetary and economic logic given Trump’s military action plus the clear economic degradation reflected by the March employment report and the Atlanta Fed’s revised 1Q GDP forecast, which printed at an astoundingly poor 0.6%, gold closed $18 per ounce below its daily high, while silver suffered a $0.68 per ounce intra-day flash crash, and closed $0.48 below its daily high.
Taken together, the Global Market Capitalization of owned physical gold and silver was smashed down by more than $120 billion ($120,000,000,000.00) on a day when it should have surged.
In other words, $120 billion was stolen from citizens worldwide by the Deep State plunderers who operate with impunity out of Wall Street, the City in London and several dark trading posts immune to visibility, supervision or regulation. We estimate that the criminals who conducted this latest price raid netted on that day at least $900 million in profits in the precious metals futures, options on futures, ETF and equities markets. While a one day $900 million profit (much of it made in seconds) might not sound like much in today’s multi-trillion dollar financial trading world, please keep in mind that this EXACT method of crime has been perpetrated literally thousands of times over a period of 37+ years, without any criminal prosecutions whatsoever. It is a crime of historic proportions, as we explained in a previous article on the subject. (“Gold and Silver Price Manipulation: the Biggest Financial Crime in History.”)
The Deep State looters are mono-maniacally focused on regularly smashing precious metals prices for two primary reasons: 1) It provides them with a vast, recurring, no-lose, totally-illegal-but-never-prosecuted profit source; and, 2) it is an extremely effective way for them to scare everyday citizens away from metals, which is a key DS objective. If the people ever figure out, en masse, that they would greatly benefit by transferring their money into physical precious metals, as opposed to keeping it in digital bank accounts that can be seized at any time and under any pretext, the Deep State’s looting opportunity will be reduced. The Deep State works 60x60x24x365, or every second of every day to prevent the people from having that “Aha Moment” of personal financial clarity and sanity.
If the people fully understood how resilient precious metals prices have been despite the constant, multi-year, 24 hour per day, criminal, full-spectrum Deep State manipulation campaign, they would gain a new-found respect for precious metals as assets. Greed-fueled frauds always collapse in time, and when the precious metals price manipulation fraud fails, gold, silver and platinum’s reflexive revaluation will almost certainly be historic.
The Deep State agenda is to eliminate cash as soon as possible and force the people’s money to become nothing but electrons housed in digital currency prisons euphemistically called banks. Next, they will deactivate the precious metals dealers’ bank accounts, making it extremely difficult for citizens who have not already done so to acquire precious metals. This action will be taken under the totally dishonest pretext of combatting drugs, crime, terrorism and other fake, so-called dreaded threats. When people get wind that this is coming, a precious metals buying stampede will break out, much the same way that the ammunition buying frenzy developed when rumors spread that Obama was going to sharply control, turbo-tax or even prohibit bullet sales. Time and time again throughout history, people have exhibited a passionate desire to buy the things they expect will be taken away from them. When the precious metals buying stampede is triggered, people throughout the west will learn in a hurry that the quantity of physical precious metals actually available to them is extremely limited and quickly vanishing. Supplies will completely disappear in a day or two, if not before, just as ammunition disappeared from the shelves, nationwide, during that buying explosion.
We fully realize there will be risks to metals ownership, such as possible government prohibition. But if it ever comes to that, the people will know for an absolute fact that capitalism and freedom have been murdered and will not be coming back to life anytime soon, if ever again in the citizens’ lifetimes. It will be every person for him or herself going forward from there. With physical precious metals, at least a person will have a chance; with a digital bank balance controlled by Deep State looters, a person will not. The more mainstream media propaganda you hear about the wonderful virtues of cash elimination, the less time you have to prepare, because they will be closing the window of opportunity on you.
Only a short five years ago, there was virtually no one in Venezuela who could even have imagined the total collapse of society and quality of life that was headed straight at them like the equivalent of a nuclear bomb. As we see, Maduro and his communist cronies are as rich as ever and living in sheer luxury, while citizens die in the streets and scavenge like rodents for scraps. History proves beyond any doubt whatsoever that it is NEVER any different when predatory politicians plunge a nation into communism to feed their lust for power and loot their way to wealth. And it will be no different in the United States when Obama and Soros’s Crony Communist revolution is handed off to the First Widow, for its consummation.
We believe that 2017 is a gift from God that provides thinking citizens an extraordinary, and perhaps last opportunity to seriously prepare for what is coming, and to push back with fury against the indescribably evil Deep State agenda that is methodically being crammed down the people’s throats. We urge readers to take to heart this gift of time, and use it for all it’s worth.
April 10, 2017
Stewart Dougherty is the creator of Inferential Analytics, a forecasting method that applies to events proprietary, time-tested principles of human instinct, desire and action. In his view, forecasting methods not fundamentally based upon principles of human action are unlikely to be reliable over time. He is a graduate of Tufts University (BA) and Harvard Business School (MBA). He developed expertise in strategic analysis and planning during a 35+ year business career, has traveled to and conducted research in over 25 countries and has refined Inferential Analytics into a reliable predictive instrument over a period of 16+ years.