Friday, July 12, 2013

NYPD releases toxic gases on non-consenting guinea pig citizens in subway 'attack drill'

NYPD releases toxic gases on non-consenting guinea pig citizens in subway 'attack drill'

 (NaturalNews) You may not have heard much of anything about it, but millions of New Yorkers who use the Big Apple's underground public transit system recently become the victims of a major chemical attack -- no, not an attack by some unknown terrorist cell from the Middle East, but one initiated by the New York Police Department (NYPD).

According to new reports, the NYPD, in conjunction with a prominent federally-run laboratory, blasted plumes of a chemical gas known to cause respiratory problems and lung injury into the New York City subway system as part of a coordinated "attack drill." The purpose of the drill, as officially stated, was to assess how terrorists might try to disburse more harmful chemicals into a public place as part of a future biological attack.

After placing a number of air-sampling devices both inside subway tunnels and at ground-level entryways all around the city, NYPD officers working together with officials from the Brookhaven National Laboratory in Long Island proceeded to pump tracer gases known as perfluorocarbons into subway tunnels during people's morning commute. They then tested how the gases spread throughout the day.

NBC New York explains that the chemical gas, which is derived from the waste of aluminum processing plants, was sprayed into subway tunnels at such low concentrations that nobody was expected to become injured by them, at least according to the so-called experts. In fact, most of the mainstream media sources reporting the story have declared the gas to be "safe."

PFCs linked to a host of chronic health problems in humans

But numerous safety data sheets on perfluorocarbons tell a much different story, as do various studies that have evaluated the chemical's effects on mammals over the years. As it turns out, perfluorocarbons have been shown in at least one randomized trial to cause respiratory distress syndrome, acute lung injury, and other health problems when inhaled.

Other studies have linked perfluorocarbon exposure to early menopause in women, as well as endocrine disruption, liver damage, reproductive problems, and cancer in the general population. The chemical is also exceptionally pervasive, and a major contributor to greenhouse gas buildup in the atmosphere.

And yet both the NYPD and the Department of Justice (DOJ), which heavily backed the project, continue to insist that people's worries are unwarranted. Concentrations of perfluorocarbon used in the study were too low to cause harm, they claim. And once the gas mixes with the general atmosphere, it will be virtually undetectable, or so goes the argument.

$3.4 million study conducted for no specific reason, admits police commissioner

Interestingly, funding for the study came from taxpayers in the form of a $3.4 million federal grant, which was apparently given for no specific reason. Police Commissioner Ray Kelly, as quoted by NBC New York, told the media that "there was no specific event" that led up to the study, and that it is just part of the "overall plan to help protect the city."

With massive unemployment and ever-tightening budgets, $3.4 million is quite a bit of money for the federal government to just hand out on a whim to pump fluoride-based chemical gases into subway tunnels. There appears to be a much more sinister agenda at work here, and it is one where the people being exposed to the chemicals involved do not get much of a choice in whether or not to participate.

"I object to the fact that there have not been any public hearings on the health and environmental risks of perfluorocarbons, which are also greenhouse gases," explains an "I Do Not Consent" letter posted at WashingtonSquareParkBlog.com. "I object to the fact that the names of the specific 7 perfluorocarbons to be used will not be made public."

Sources for this article include:

http://www.myfoxny.com

http://www.nbcnewyork.com

http://www.ec.gc.ca

http://washingtonsquareparkblog.com

Thursday, July 11, 2013

Clinton Covered Up Ambassador’s Pedophilia



U.S. Ambassador to Belgium Howard Gutman routinely ditched his security detail in Brussels and solicited prostitutes—this according to a suppressed Inspector General report.  Further, Gutman was alleged to have been engaged in pedophilia—sex with children. When agents discovered that Howard Gutman was having sex with children—underage prostitutes—it was allowed to continue for months! Why? It proved to be too damaging to the State Department. It proved to be too damaging to Hillary Clinton, slated by the Democrat party to run for President in 2016. And if anyone knows Hillary Clinton, she will stop at nothing until she is enthroned in the Oval Office.

http://www.westernjournalism.com/clinton-covered-up-ambassadors-pedophilia/

Horror as patient wakes up in NY hospital with doctors trying to harvest her organs for transplant profits

Horror as patient wakes up in NY hospital with doctors trying to harvest her organs for transplant profits

(NaturalNews) I've warned Natural News readers about this several times over the last decade: Do NOT become an organ donor! Although you may wish to help others out of the goodness of your (literal) heart, the sinister truth is that doctors routinely harvest organs from LIVING patients right here in the USA.

And here's yet more proof. This true story will astound you.

Waking up on the organ harvesting table...

A woman named Colleen Burns recently opened her eyes to find herself on an operating table in a hospital in Syracuse, NY. Looking around, she noticed that she was the subject of the operation. It turns out doctors were about to harvest her organs and send them to other waiting surgeons who would transplant them into other patients.

This isn't fiction. It was covered by ABC News and several other news sources. It really happened.

And how did it happen? Doctors falsely pronounced her dead by fraudulently claiming she had suffered "cardiopulmonary arrest" and "irreversible brain damage." This gave them the medical justification to start slicing away even while the woman's heart was still beating.

This is a big "holy crap I didn't know that" fact about organ donations: Doctors don't wait until you're really dead. At least not by any normal definition of "dead."

See, you and I think "dead" means your heart isn't beating, your brain isn't functioning, and you're lifeless. But hospitals -- which happen to generate huge profits from the trade of transplant organs -- have a strong financial incentive to declare you "medically dead" long before you're actually lifeless.

They can, in fact, declare you "dead" even when your heart is still beating and you still have brain activity. And they often do. This is how a lot of the organ harvesting in America actually gets done: patients that are on the verge of death (but not yet actually dead) are simply "declared" dead, then their organs are quickly removed, killing them for good.

It's a crime that takes place every day in America, where U.S. hospitals have been caught over and over again engaging in black market organ trafficking.

Read: U.S. Hospitals Secretly Promote Black Market Trading of Harvested Organs for Transplants

A multi-billion-dollar industry

Organ trafficking is a multi-billion-dollar industry. Wealthy people around the world are always in need of new kidneys, new livers, new hearts and other body parts.

And guess who makes the money on all these organ transplants? The doctors, hospitals and drug companies, of course. Organ transplants are a hugely profitable industry -- largely because they get the organs for free. Patients who are killed by these doctors are never paid for their organs. The fact that they "donate" them actually means they are donating their immensely valuable organs to a for-profit system that's going to earn potentially millions of dollars off the organs of a single donor.

So while the donor patient gets murdered for his or her organs, the doctors engaged in organ removal and organ transplants get wealthy. Transplant recipients and health insurance companies pay huge dollars for organ transplant surgeries, and the profits are ongoing because transplant recipients must also pay for a long course of organ transplant anti-rejection drugs, all priced at monopoly prices (of course).

Truth be told, the organ transplant industry is all about money -- at any cost. It's about killing patients who might otherwise survive in order to take their organs and make millions of dollars transplanting them into other patients... patients who typically only have a few months to live even after the transplant.

Read: Global organ harvesting a booming black market business; a kidney harvested every hour.

Transplanted organs are often damaged or infested with disease

Here's another dirty little trick the organ transplant industry will never tell you: The organs that are transplanted into other patients are often fatally damaged and full of infectious diseases.

As yet more proof of this, take the case of Colleen Burns, mentioned above. She tried to commit suicide by taking a toxic combination of prescription medications. According to the doctors, this toxic cocktail of chemicals was fatal, and it killed her (they pronounced her dead).

Yet, simultaneously, they still insisted her organs were healthy enough to transplant into another patient! That's why they almost began harvesting them.

In other words, even organs that doctors know are heavily damaged with toxic chemical cocktails will still be transplanted into other patients! (This is 100% true.)

But it's even worse than that...

Transplant organs often riddled with disease: hepatitis, stealth viruses, mad cow disease and more

There are effectively zero quality standards in the organ transplant industry. If the organ still functions at any level, it's "good enough" to be slapped into a transplant patient even though that organ might actually kill them.

One of the reasons organ transplant patients often die so quickly after receiving transplants is because the organs they often receive are ticking time bombs of disease.

Introducing a diseased heart or kidney into someone's body, for example, can suddenly infest that person with hundreds or even thousands of viruses and blood-borne illnesses that quickly overcome their weakened immune systems. This is made even worse by the anti-rejection drugs which, by definition, cause extreme suppression of immune function.

So at the exact time that new diseases are being introduced into the transplant recipient's body, their immune system is being undermined by anti-rejection drugs. Not surprisingly, this is a recipe for disaster, and that's one reason why so many patients die so quickly after receiving "donor" organs.

Iraq war veteran killed by cancer-ridden transplant lungs

As an example of what I just described above, in 2009, an Iraq war veteran named Matthew Millington was given a lung transplant using lungs that were riddled with a fast-growing cancer.

Not surprisingly, he died less than 10 months later. Did all the organ transplant doctors and surgeons give him a refund for their botched procedure? Of course not! Organ transplants do not come with warranties, and you're often given a diseased, damaged or heavily infested organ that's going to kill you. (But you still gotta pay up!)

There are roughly 100,000 people waiting for organ transplants in the USA right now. But there are only a fraction of that number of organs available in any given year, so doctors are under intense pressure to 1) harvest organs from people who aren't yet dead, and 2) use ANY organs they can find, even organs that are riddled with disease.

Again, these are the dirty little secrets of the organ transplant industry that you'll never be told by any doctor. Expect to hear nothing but denials if you ask organ transplant doctors about any of this.

More healthy organ donors "need to suddenly die"

The other challenge the transplant industry faces is that healthy people who take care of their organs through nutrition and exercise simply don't tend to die very often. The kind of people most likely to die (and therefore most like to donate organs) are alcoholics, drug addicts and people who are obese and diseased. Therefore, those are the kind of organs that end up being available for transplant: nasty "fatty" livers and cancerous lungs, for example.

Ideally, the organ transplant industry would like to see a lot of young, healthy people getting decapitated in military training exercises or automobile accidents. That would supply a fresh supply of healthy organs that might actually be worth transplanting. In China, of course, this is why Falun Gong members are routinely arrested and imprisoned: they eat super-healthy diets and so have high-grade organs that can be profitably harvested from political prisoners there.

The practice of arresting people, imprisoning them and sometimes even murdering them for their organs is a lot more widespread than you think. How do you suppose Steve Jobs got a new liver so quickly, even while thousands of other people were waiting for one? He bought it. Gee, do you really think Steve Jobs stood in line like everyone else and then magically a liver appeared for him much faster than for anyone else?

Presumed consent

There is a push under way around the world to harvest organs from everyone who doesn't explicitly say no. These laws are called "presumed consent" laws, and they exist only to provide a fresh supply of human organs to generate billions of dollars in profits for the sick, criminal-minded organ transplant industry.

As a 2011 article in the British Medical Journal explains, these "presumed consent" laws mean doctors can start harvesting the organs of your wife, your children or other loved ones without even asking family members for permission!

As the BMJ article explains:

Presumed consent is alternatively known as an 'opt-out' system and means that unless the deceased has expressed a wish in life not to be an organ donor then consent will be assumed. This can be divided into what is known as a 'hard opt-out' where the family are not consulted.

There's even a website about this -- PresumedConsent.org -- which uses a lot of flowery language and feel-good imagery to hide the fact that it's pushing for doctors to pronounce more patients "dead" and take their organs so that the organ transplant industry can make a few billion more dollars each year.

What we're talking about here is coercive organ harvesting in order to feed the organ trafficking and transplant industries.

Think about that the next time some clueless paper-pusher asks you at the DMV, "Do you want to be an organ donor?"

Just answer: "No thanks. I prefer that doctors actually try to keep me alive."

Don't give doctors any incentive to kill you. They already kill enough patients even when they aren't trying.

Trust me on this: say NO to organ donation. If you really want to help people, teach them to protect the organs God already gave them through superfoods, nutrition, exercise and healthy living.

Read more:
http://www.ncbi.nlm.nih.gov/pmc/articles/PMC3363073/
http://www.naturalnews.com/028497_organ_transplants_kidneys.html
http://www.naturalnews.com/028994_organ_transplants_black_market.html

Sunday, July 7, 2013

Stinging nettle promotes a wide range of health benefits

Stinging nettle promotes a wide range of health benefits

 (NaturalNews) Stinging nettle has a long history of being used in herbal medicine. It has a wide range of health benefits to either prevent or help cure various health issues. This perennial plant grown in a temperate environment is definitely gaining a well deserved reputation within the scientific community, especially in Europe and more specifically in Germany where tests on men have shown conclusive results about stinging nettle's ability to help maintain healthy prostates.

So what else can it do for you? The question should probably be more along the lines of what can't it do for you. You may want to consider adding this great medicinal herb in your regular diet, considering it has displayed promising results with numerous other health conditions such as Alzheimer's disease, arthritis, asthma, bladder infections, bronchitis, bursitis, gingivitis, gout, hives, kidney stones, laryngitis, multiple sclerosis, PMS, sciatica and tendinitis. Topically it has also been used to enhance the appearance of hair on one's head, therefore considered as a possible remedy against oily hair and dandruff.

Dr. Andrew Wiel, the author of Natural Health/Natural Medicine, claims there simply is nothing more efficient than stinging nettle at relieving allergies. His belief is substantiated by past studies made at the National College of Naturopathic Medicine in Portland, Oregon. It is known that decongestants, antihistamines, allergy shots and even prescription drugs similar to Allegra and Claritin only work on the symptoms of allergies, plus they seem to lose their potency over a certain period of time. These prescription medications may also cause drowsiness, dry sinuses, insomnia or high blood pressure. Stinging nettle on the other hand doesn't induce any of these potential side effects.

Research shows that it protects your prostate gentlemen

Stinging nettle is particularly helpful for men as it directly helps to maintain a healthy prostate as well as a healthy urinary tract. Nettle root extracts have shown to steadily ease any symptom compared to the placebos used in research. The nettle root has many active chemicals that play an important role in reducing the effects of an enlarged prostate.

Essen's Medical University in Germany confirmed how efficient the nettle root can be when treating an enlarged prostate. Back in 2000, it was published in the Planta Medica Journal that scientists witnessed that nettle extracts inhibit the problematic prostate cells from multiplying and thus came to the conclusion that the nettle root has certain active compounds that definitely provide assistance in retaining a healthy prostate.

Another study conducted in Poland had 134 people involved with each presenting symptoms of BPH. For eight weeks, they were all given 300 mg of nettle root extracts combined with a minimal dose of pygeum africum bark extracts. After only 28 days from the start of the clinical study, the patients already experienced important changes in urine flow, residual urine and nycturia.

Sources for this article include:

http://www.superfoods-scientific-research.com

http://www.herbwisdom.com/herb-nettle.html

http://www.naturalnews.com

About the author:
After spending several years working in property management and being a web consultant for PS Communications, P. Simard is now on his way to becoming a naturopath in the province of Quebec. Always searching for the truth with an open mind, his innate passion for knowledge and overall health matters has finally led him to Natural News.

Every picture you take is secretly encoded with your GPS location

Every picture you take is secretly encoded with your GPS location

 (NaturalNews) If there is one thing you need to remember at all times in the Electronic Age, it is that privacy no longer exists. Every electronic device, every electronic communication, every electronic anything betrays your sense of privacy in every imaginable way, and that is also true of a seemingly innocuous item - the photo.

If taken with a smartphone - as many photos these days certainly are - then the government, as well as ordinary folk (including those who mean you harm) can use metadata embedded in that photo you just tweeted or posted on Facebook to find out your exact coordinates. That includes where you live, if that's where you sent or posted the photo from, according to a new investigative report by McClatchy Newspapers:

The GPS location information embedded in a digital photo is an example of so-called metadata, a once-obscure technical term that's become one of Washington's hottest new buzzwords.

The word first sprang from the lips of pundits and politicians earlier this month, after reports disclosed that the government has been secretly accessing the telephone metadata of Verizon customers, as well as online videos, emails, photos and other data collected by nine Internet companies.


In the wake of revelations that the NSA has been collecting all of that metadata, President Obama has sought to assure us that "nobody is listening to your phone calls." Other government officials compared the collection of such data to - no kidding - "reading information on the outside of an envelope, which doesn't require a warrant," McClatchy reported.

Sure. But privacy experts say these are not reassurances at all. They say that anyone who knows how to mine metadata understand it can reveal so much more about us and how we live our daily lives than other forms of communication.

Metadata is, essentially, all your information

What is metadata, exactly? McClatchy explains:

Simply put, it's data about data. An early example is the Dewey Decimal System card catalogs that libraries use to organize books by title, author, genre and other information. In the digital age, metadata is coded into our electronic transmissions.

"Metadata is information about what communications you send and receive, who you talk to, where you are when you talk to them, the lengths of your conversations, what kind of device you were using and potentially other information, like the subject line of your emails," Peter Eckersley, the director of technology projects at the Electronic Frontier Foundation, a digital civil liberties group, told the newspaper group.

He went onto say that powerful computer algorithms are capable of analyzing metadata to profile individuals and learn their patterns.

"Metadata is the perfect place to start if you want to troll through millions of people's communications to find patterns and to single out smaller groups for closer scrutiny," he told the newspaper group. "It will tell you which groups of people go to political meetings together, which groups of people go to church together, which groups of people go to nightclubs together or sleep with each other."

How's that for breaching your privacy? So government doesn't have to listen to your conversations; it can learn pretty much all it wants to learn from the pics you post, tweet or otherwise send out over the invisible wireless networks.

"That's certainly enough to know if you're pregnant or not, what diseases you have, whether you're looking for a new job, whether you're trying to figure out if the NSA is watching you or not," said Eckersley, the latter a reference to the NSA. That kind of info provides "a deeply intimate window into a person's psyche," he noted.

So, the more we rely on our smartphones, the more metadata we make available to build our profiles.

Metadata can identify gun owners too

Here's another constitutional concern.

Karen Reilly, the director of development for The Tor Project, an American non-profit group that makes technology designed to provide online anonymity and skirt censorship, said metadata can even identify you as a gun owner.

"Never mind background checks, if you bring your cellphone to the gun range you probably have a gun," she said.

"People don't realize all the information that they're giving out," she added. "You can try to secure it - you can use some tech tools, you can try to be a black hole online - but if you try to live your life the way people are expecting it, it's really difficult to control the amount of data that you're leaking all over the place."

Think about this the next time you snap a pic with the iPhone or other smart device and send it out to a friend. You're actually sending it out to a world of metadata thieves, a group that includes, as we now know for certain, the federal government.

Sources for this article include:

http://www.mcclatchydc.com

http://www.guardian.co.uk

http://www.newyorker.com

Thursday, July 4, 2013

Unapproved genetically-modified rice trials in U.S. have contaminated the world's rice supply

Unapproved genetically-modified rice trials in U.S. have contaminated the world's rice supply

(NaturalNews) New evidence has emerged suggesting that the entire global supply of rice may have already been contaminated by unapproved, genetically-modified (GM) rice varieties manufactured by the American multinational corporation Bayer CropScience. A recent entry in the GM Contamination Register explains that between the years of 2006 and 2007, three different varieties of illegal GM rice, none of which have ever been approved for cultivation or consumption anywhere in the world, were identified in more than 30 countries worldwide.

Once again, field trials conducted by Bayer back in the mid-1990s appear to have been the cause of this widespread and irreversible genetic pollution. Though all official field trials of "Frankenrice" supposedly ended in 2002, the three GM rice varieties detected somehow made their way into the general rice supply, which has had a major negative impact on U.S. rice exports. Similar contamination involving both GM wheat and GM flax was also recently discovered in the food supply, and both a result of biotechnology company field trials.

"No GM rice has ever been grown commercially in the U.S. and the source of the contamination is believed to be field trials of herbicide tolerant rice conducted between the mid-1990s and early-2000s by Bayer CropScience (or its precursor companies Aventis CropScience and AgrEvo)," explains the GM Contamination Register entry. "At the time of discovery only one of the contaminating varieties (LLRICE62) had approval for cultivation in the U.S., the other two varieties (LLRICE601 and LLRICE604) had not."

A U.S. Department of Agriculture (USDA) investigation into the matter was unable to verify whether or not contamination was the result of cross-pollination, also known as gene flow, or mechanical mixing. But in either case, vagrant GM rice planted in open fields for "testing" purposes definitely escaped, and now American rice farmers are suffering the consequences as the European Union (EU), Japan, South Korea, the Philippines and others have placed strict limitations on GM rice imports. Both Russia and Bulgaria, on the other hand, have completely banned all rice imports from the U.S.

"The contamination episode has also affected seed producers," adds the report, which is buried deep within the annals of the consumer watchdog group's website, completely untouched by the mainstream media. "[A]n entire non-GM rice variety Clearfield 131 was banned by U.S. regulators in early 2007 when it was found to be contaminated, costing producer BASF billions of dollars in losses."

American agriculture, the pale horse of the coming food apocalypse

So as the four horsemen of the apocalypse come galloping in on the world scene in the very near future, you can be sure that the pale horse, which symbolizes famine, was born and bred in the U.S. Yes, the world's most aggressive and malicious purveyor of GMOs and all the horrors that come with their consumption will be the primary driving force behind the complete destruction of the global food supply via the Trojan Horse that is GMOs.

"Scientific studies confirm that GM contamination is unavoidable once GM crops are grown in a region," explains the Earth Open Source report GMO Myths and Truths: An evidence-based examination of the claims made for the safety and efficacy of genetically modified crops. "'Coexistence' rapidly results in widespread contamination of non-GM crops ... through cross-pollination, spread of GM seed by farm machinery, and inadvertent mixing during storage."

Be sure to check out the complete Earth Open Source report on GMOs here:
http://earthopensource.org

Sources for this article include:

http://www.gmcontaminationregister.org/index.php?content=nw_detail2

http://www.realfarmacy.com

http://earthopensource.org

The Federal Reserve Is Paying Banks NOT To Lend 1.8 Trillion Dollars To The American People

Michael Snyder
Economic Collapse
July 2, 2013
Did you know that U.S. banks have more than 1.8 trillion dollars parked at the Federal Reserve and that the Fed is actually paying them not to lend that money to us?  We were always told that the goal of quantitative easing was to “help the economy”, but the truth is that the vast majority of the money that the Fed has created through quantitative easing has not even gotten into the system.  Instead, most of it is sitting at the Fed slowly earning interest for the bankers.  Back in October 2008, just as the last financial crisis was starting, Federal Reserve Chairman Ben Bernanke announced that the Federal Reserve would start paying interest on the reserves that banks keep at the Fed.  This caused an absolute explosion in the size of these reserves.  Back in 2008, U.S. banks had less than 2 billion dollars of excess reserves parked at the Fed.  Today, they have more than 1.8 trillion.  In less than five years, the pile of excess reserves has gottennearly 1,000 times larger.  This is utter insanity, and it will have very serious consequences down the road.
Posted below is a chart that shows the explosive growth of these excess reserves in recent years…
Excess Reserves
This explains why all of the crazy money printing that the Fed has been doing has not caused tremendous inflation yet.  Most of the money has not even gotten into the economy.  The Fed has been paying banks not to lend it out.
But now that big pile of money is sitting out there, and at some point it is going to come pouring in to the U.S. economy.  When that happens, we could very well see an absolutely massive tsunami of inflation.
Posted below is a chart that shows the growth of the M2 money supply over the past several decades.  It has been fairly steady, but imagine what would happen if you took the hockey stick from the chart above and suddenly added it to the top of this one…
M2 Money Supply
The longer that the Federal Reserve continues to engage in quantitative easing and continues to pay banks not to lend that money out to the rest of us, the larger that inflationary time bomb is going to become.
In a recent article for the Huffington Post, Professor Robert Auerbach of the University of Texas explained the nightmarish situation that we are facing…
One reason that the excess reserves grew to an extraordinary level is that in October 2008, one month after the financial crisis when Lehman Brothers went bankrupt, the Bernanke Fed began paying interest on bank reserves. Although it has been 1/4 of 1 percent interest, this risk free rate was not low compared to the Fed’s policy of keeping short-term market rates near zero. The interest banks received was and is an incentive to hold the excess reserves rather than lend to consumers and businesses in the risky environment of the major recession and the slow recovery.
The Bernanke Fed is now facing a $1.863 trillion time bomb, they helped to create, of excess reserves in the private banking system. If rates of interest on income earning assets (including bank loans to consumers and businesses) rise, the Fed will have to pay the banks more interest to hold their excess reserves.
If interest rates move up dramatically (and they are already starting to rise significantly), banks will have an incentive to take that money out of the Fed and start lending it out.  Professor Auerbach suggests that this could cause an “avalanche” of money pouring into the economy…
Eighty five billion a month will seem tiny compared to the avalanche of the $1.863 trillion excess reserves exploding rapidly into the economy. That would devalue the currency, cause more rapid inflation and worry investors about a coming collapse.
So the Fed has kind of painted itself into a corner.  If the Fed keeps printing money, they continue to grossly distort our financial system even more and the excess reserves time bomb just keeps getting bigger and bigger.
But even the suggestion that the Fed would begin to start “tapering” quantitative easing caused the financial markets to throw an epic temper tantrum in recent weeks.  Interest rates immediately began to skyrocket and Fed officials did their best to try to settle everyone down.
So where do we go from here?
Unfortunately, as Jim Rogers recently explained, this massive experiment in financial manipulation is ultimately going to end in disaster…
I’m afraid that in the end, we’re all going to suffer perhaps, worse than we ever have, with inflation, currency turmoil, and higher interest rates.
The Fed and other global central banks have created the largest bond bubble in the history of the planet.  If the Fed ends quantitative easing, the bond market is going to try to revert to normal.
That would be disastrous for the global financial system.  The following is what Jim Willie told Greg Hunter of USAWatchdog.com
Everything is dependent on Fed support. They know if they take it away, they’re going to create a black hole. The Treasury bond is the greatest asset bubble in history. It’s at least twice as large as the housing and mortgage bubble, maybe three or four times as large.
But even if the central banks keep printing money, they may not be able to maintain control over the bond market.  In fact, there are already signs that they are starting to lose control.  The following is what billionaire Eric Sprott told King World News the other day…
It’s total orchestration. And it’s orchestration because they might have lost control of the bond market. I find it such a juxtaposition that central banks on a daily basis buy more bonds today than they ever purchased, and interest rates are going up, which is almost perverted. I mean how can that happen?
They’ve lost control of the market in my mind, and that’s why they are so desperately trying to get us all to forget the word ‘taper.’ In fact, we probably won’t even hear the word ‘taper’ anymore because it has such a sickening reaction to people in the bond market, and perhaps even people in the stock market. They will probably do away with the word. But the system is totally out of control. And then we’ve got this quadrillion dollars of derivatives. It just blows blows my mind to think about what could really be going on behind the scenes.
Sprott made a really good point about derivatives.
The quadrillion dollar derivatives bubble could bring down the global financial system at any time.
And remember, interest rate derivatives make up the biggest chunk of that.  Today, there are 441 trillion dollars of interest rate derivatives sitting out there.  If interest rates begin skyrocketing at some point, that is going to create some absolutely massive losses in the system.  We could potentially be talking about an event that would make the failure of Lehman Brothers look like a Sunday picnic.
We are moving into a time of great financial instability.  People are going to be absolutely shocked by what happens.
Our financial system is a house of cards built on a foundation of risk, leverage and debt.  When it all comes tumbling down, it should not be a surprise to any of us.
This article was posted: Tuesday, July 2, 2013 at 5:40 am