General Stock Ideas

[bigworld]

Financial Intelligence Report

August 14 , 2016

The End?

I was supposed to do a long winded piece concerning which candidate would be better for the US economy. That's going to have to wait, however... I had to laugh out loud the other day listening to Hillary talk about the economy. Most parts of her speech was plagiarized from Trumps speech on the economy back on Monday. All of a sudden she's against TTP. All of a sudden she wants "fair" trade deals. All of a sudden she's going to do all the infrastructure work Trump talked about.

My question is... having been in Government in one form or another for 40 years...why didn't shy try any of that before? Now we're supposed to believe she saw the light and "now" it's time for her to lead the path to prosperity? Give me a break, please.

No folks, I'm not going to rant about which candidate will do better to the economy. What I want to talk about is something I consider much more important right now. I just read the latest stat's out of Chicago.

Nearly 100 people have been shot in Chicago in less than a week, pushing the number of shooting victims so far this year to more than 2,500 - about 800 more than this time last year, according to data kept by the Tribune. The number of shooting victims in Chicago stood at 2,514 Thursday morning. At this time last year, 1,725 people had been shot. The city has not seen this level of gun violence since the 1990s.

I want to ask you a deadly serious question. Of those 2500 shootings, with many many more to come, how many of those guns do you think belong to law abiding people? How many of those guns were bought in a store, after undergoing a detailed back ground check? If you said "probably none", give yourself a gold star.

In a news release Police Superintendent Garry McCarthy said that they had seized over 3,300 illegal guns. Read that number over and over until my point sinks in. They are illegal weapons. Weapons that were stolen, and/or bought on the black market.

Next, consider this...
From Jan. 1 to Sept. 30,2015 there were 2,477 people arrested on gun charges. Of those, more than 600 had been arrested before on weapons charges.

Here's a breakdown:

* Two arrested had five prior arrests on weapons charges
* Six had four priors
* 28 had three priors
* 132 had two priors
* 460 had one prior

So, we have tens of thousands of illegal weapons, and we have a court system like a revolving door, letting felons out, only to commit another crime. Got all that? Good. Now consider this....

This election is for all the marbles, and the biggest one is the second amendment. If Hillary is elected, she's going to dismantle it. She has stated many times of her hatred for the 2nd Amendment. What do you really think she'll do if she's elected president? Well she's left a very easy trail to follow. Let's look....

A couple weeks ago, George Stephanopoulos pushed Clinton twice on whether people have a right to own guns on ABC News' "This Week": She evaded the question the first time and George came back with : "But that's not what I asked. I said do you believe that their conclusion that an individual's right to bear arms is a constitutional right?" Clinton could only say: "If it is a constitutional right..."

Remember that line ..."IF it is a constitutional right"... You'll see why in a few minutes.

Hillary also pushed the idea of making gun makers and sellers liable for guns which end up being used in crimes. As her rival Bernie Sanders, of all people, has explained: "If somebody has a gun and it falls into the hands of a murderer and the murderer kills somebody with a gun, do you hold the gun manufacturer responsible? Not any more than you would hold a hammer company responsible if somebody beats somebody over the head with a hammer." You Go Bernie. you might be a deluded Socialist, but at least you understand basic logic.

Yes that's right folks. Hillary says that if you buy a gun legally from say Smith and Wesson, and it's stolen from you and someone kills someone with it, S&W is liable. That's pretty much insane, yet is her Stance.

Next up "weapons of war". She has stated publicly that NO ONE should have weapons of war. If you're not versed on guns, what she's referring to are "black scary looking guns" like the AR 15. But like most gun grabbers, they display their stupidity, because the "mechanics" of a rifle like the AR 15 can easily be removed and placed in a nice pretty hard wood stock, turning it into a rifle that you might see on your grandfathers mantle. Yet again, make no mistake. If she's President, she'll find some way to make the ownership of damn near any semi automatic weapon...illegal.

Okay, now back to her statement "IF it is a constitutional right....." Make absolutely NO mistake here folks. She is going to appoint a person to the Supreme Court that overturns any and all 2nd amendment rights. The lone voice of sanity on the SC was justice Antony Scalia, and when he passed (murdered??) the anti gun nuts started drooling.

It was indeed Scalia that tipped the scales in the Heller case. Hillary had denounced that ruling, she hates it. There's no question in my mind that she wants nothing more than to get someone on that bench to review the Heller case and overturn it.

Back in April, the Washington Beacon caught Chelsea Clinton's speech and in it she stated...
"Chelsea Clinton said Thursday at an event in Maryland that there is now an opportunity for gun control legislation to pass the Supreme Court since Justice Antonin Scalia passed away."

Are you following the plot here? Okay good, now let me turn this all the way around, right back to Chicago. Let's suppose ALL weapons of ALL types were banned. Do any of you with a firing brain cell think the criminals such as the 2700 folks they arrested for weapons crimes are going to trot down the station and turn in their stuff? Are you on drugs? Of course not. ONLY the already law abiding, wonderful people that have never caused a crime are going to comply.

That means... you're defenseless in your own home? Indeed it does. That means ONLY the bad guys have guns and you don't.

Do I think she'll be able to actually overturn the 2nd amendment? No, at least I hope not. But I can see her continuing to eat away at it. Tax the sale of guns at 25%, limit ammo sales to a few per month, make people show cause to own, etc. Very few people know this, but Obama snuck in a new rule concerning gunsmiths two weeks ago. Take a look...

The Obama Administration issued an "Executive Order", which inspired the Directorate of Defense Trade Controls (DDTC) to issue new "Policy Guidance" dated July 22, 2016 on the "Applicability of the ITAR Registration Requirement for Firearms Manufacturers and Gunsmiths". (ITAR stands for the "International Traffic in Arms Regulations".)

From WND we read... The Obama administration has announced new regulatory guidelines that will drive thousands of small gunsmiths out of business. This reinterpretation of existing regulations lowers the bar for what constitutes "manufacturing" of firearms and will require that any gunsmith who performs any service more involved than simply cleaning or replacing old parts with functionally identical new parts register as a firearm manufacturer and pay a $2,250 annual registration fee.

See folks? That's how it's done. Inch by inch. A little here, a little there until...it's all gone.
You might hate Trump. You might think he's the biggest blow hard on the planet. You might think he's an orange colored, combed over buffoon who can't control himself. But if you value at all, one of the single biggest things that make this nation "America" you'd best hold your nose and vote for him. Because I can flat guarantee that with Hillary behind the wheel there will be more senseless wars, more US aggression, more nation building and of course MORE very severe gun control. Controls to the point of...outlawing ownership. That's a game changer for me and most of the law abiding folks in the US.
Think hard about it folks.

The Market...

If any of you have been following my thoughts over the past 5 years, you know that I've laid out a path for the US dollar to lose sole Reserve status. I suggested the first time, in 2009 that the big financial crisis was a wake up call to the hundreds of nations that got stuck with our bogus dollars, and that they'd lobby the IMF and World bank to make the monetary system more equitable. While I don't want to spend a full article on explaining it today ( I'll do that in the future) here's solid proof that the plan is coming together exactly as I figured it would.

http://www.worldbank.org/en/news/press-release/2016/08/12/world-bank-approved-as-the-first-sdr-bond-issuer-in-china?cid=EXT_WBSocialShare_EXT

Yes, the world bank will be the first issuer of SDR bonds in China. Just as I predicted 2 years ago when I said China would be included in the SDR basket and I got push back from the main stream. Well, that's to take place this September. I'm not trying to brag about this, it is just that NO ONE seems to be following that angle, and I want you all to understand that indeed... the world is tired of a US reserve currency and the SDR's are the way they're going to get around it.

The market has continued to defy gravity. It doesn't matter if some nut named Bob says it shouldn't be this high. It doesn't matter if Goldman Sachs said this in May...

Goldman Sachs Says Sell in May and Take the Summer Off
Or that Goldman said on August 1...
Goldman Sachs Says Stocks are a Sell

Or that In May we read "George Soros Sells Stocks, Buys More Gold" Or that Marc Faber has been saying that the market is going to take a 50% crash. Billionaire Carl Icahn, for example, recently threw up a red flag on national broadcast when he declared, "The public is walking into a trap again as they did in 2007."

"U.S. stocks are now about 80% overvalued," says Andrew Smithers, the chairman of Smithers & Co. He backs up his prediction using a ratio which proves that the only time in history stocks were this risky was 1929 and 1999. And we all know what happened next. Stocks fell by 89% and 50%, respectively.

Nope, nothing seems to matter, the market just trades sideways and the pops higher. Over and over.

Are all these supposed bright people not so bright? No, it isn't that. It's simply that the rules of investing have been thrown out the window. Stocks aren't bought for their fundamentals of making money. Earnings don't matter any more.

Look at it like this. Let's say you're the XYZ company. You're in bad shape. Your revenues have fallen for 2 years. Your earnings are fading each quarter. You're on the ropes. In "normal" times, investors would look at your balance sheet, and head for the exits. Your stock would fall day after day, month after month.

Now let's say you are that same exact XYZ company. Same exact problems. But while the mom's and pop's of the investing world are selling your stock because it is fundamentally flawed, the Swiss National bank prints up another 60 billion in fake money and buys 5 million of your shares. Then next month it buys another 5 million. Then the Japanese Pension foundation buys 10 million. And so on. Soon, you're stock is at 52 week highs despite your company being days from failure.

THAT is why all the doom and gloom talk hasn't happened in reality. That is why despite knowing how bad things are, the market laughs and goes higher. That is why the brightest of hedge funds are sucking wind. That is why the Soros's and Fabers and Goldman's look stupid. They still think fundamentals matter. They don't.

We are in a time never seen before in human history. A concerted effort by some 55 Central banks around the world to do any and everything to keep markets up. They're doing it by printing money out of thin air and injecting it into the financial centers. The IMF says the world's biggest nations are 60 TRILLION in debt and growing every day.

This is not going to stop until 1) some horrible event takes place. I'm talking an outright shooting/bombing war between two or more major nations, or...2) plans for a global reset are finalized and they "pull the plug" on the current system. As long as Central banks are going to print money and literally buy stocks... how can stocks go down? They can't.

The problem is, we know it can't go on for ever. Yet... we don't know when it stops. It could be tomorrow, it could be 2 years. After rising for 7 years and hitting all time high after all time high, I have to tell you....I'm hard pressed to believe that this just keeps going for a whole lot longer. I still think the evil people are still trying to foment a war with Russia, as that would give the Central banks the perfect cover. "hey things were great until that damned war broke out!"

All we can do is lean long without being too exposed. For instance, in our Insiders Club (pay for membership area) we bought ONCE at 60 and sold half at almost 64. We bought MSFT and we're up. We bought SAND and we're up 27%. We also bought GS, but instead of following the plot, it's red by 50 cents for us. Oh well, you never win them all in this game.

Look folks. I want you to make money. I want you to make gains. I just want you all to know that this is a perverted market and at some point, something strange is going to happen. Be alert, and don't be afraid to take profits. I suspect that one day there's not going to be any.
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