PLATINUM WEALTH PARTNERS - Financial Times, The Guardian, Jim Rogers

PLATINUM WEALTH PARTNERS:

Week Ended July 14, 2013

 DR. PETER G. KINESA'S 
INTERNATIONAL INSIGHTS

"PLATINUM WEALTH PARTNERS"

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PLATINUM WEALTH PARTNERS

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MARKET ALERT

Europe shifts back into the spotlight this week, as Euro bond yields could soar higher and then reverberating around the globe as jittery traders push the button. Bond Vigilante's may be in for an early Christmas Bonus - long before the.summer is over. It is unlikely that equity markets can protect themselves if the bonds decide to take cover. Safety first, and every man for himself.

First Financial Insights
July 12, 2013

Financial Times - Portugal's Bonds Soar 7.9% -  MORE Euro Troubles  

Just add another country to the list of European nations that are seeking "national salvation" as 10 year bonds rose to 7.9% this past Friday, settling back to 7.27% - up 53 basis points. Again the neo-classical economists have no solutions and no plan, other than to print money and provide bail-outs. Nor do they even remotely understand that the underlying issues stem from physical economic constraints - too many people and too few resources. So the economic cancer that came to the forefront in Greece, is masticating around the continent, remember Cyprus just a few short months ago . 

Here's the real problem - as Europe falls apart and bond yields move to 10% and higher in these "thinly traded markets," the fears will begin to take hold and grip the global markets as well. At the same time, the European economies are also starting to slip into one of the profoundest depressions ever to be experienced, as asset prices deflate and consumer disposal spending is over-burdened with huge increases in debt service costs. A One - Two body blow.

This could be the snowball that plunges the bond markets into a long bear-cycle. Expect the turmoil in Europe, to test the nerves of jittery bond traders in Asia and North America this week. And this could also trigger long over due downside actions in the equity markets around the world next week.

Seems like there is no where to run; no where to hide.For now.

INVESTORS INSIGHTS

First Financial Insights

July 11, 2013

Who will pull the trigger?

The Marc Faber Blog : Crude Oil is one of the very few Commodities that look attractive

What is it about these guys? One day, Dr.Kinesa, says oil could go to $500 a barrel because the finite physical constraints are going to cause economic problems, resulting in social disruptions, political turmoil and then geo-political upheaval . What can we say? We read the same articles or fools seldom differ...

Platinum Wealth Partners

First Financial Insights

July 11, 2013

Great Minds Think Alike

A few years back a Canadian economist - Jeff Rubin boldly predicted that oil could reach $200 a barrel sending shock waves through-out the financial world. This tells us a number of things: markets have short horizons, human cognition is flawed, and most folks simply do not understand that exponential mathematics and physics impose hard non-negotiable constraints. We do!

Dr Peter G Kinesa

July 11, 2013

THE JIM ROGERS BLOG - Rogers: More Money has been lost in GOLD Mining Shares than any other industry in America 

We agree for the most part, except JIM you forgot one important aspect of mining, that is many mines are polymetallic, so they extract many other minerals including gold in their process. Should gold gravitate to zero, these mines will treat it as a by-product, and thus only assign the incremental costs associated with the ore or even  possibly leave it unprocessed for a period of time. If gold is a by-product then the full weight of production costs will not be attributed.So even at $50 an ounce, some miners may still be able to produce it on a break-even cash basis  because the cost assignments are arbitrary.

Anyway we are happy you enoyed our article - "Gold is a Psychotic Placebo - NOT AN INVESTMENT." And by the way, we confirm that old story about gold mines - 99% of all stock mining ventures end up being worthless. And yes, it will be very hard for these sociopaths to attract capital in the future. That's one good thing for the greater cause - our future generations!

Platinum Wealth Partners

First Financial Insights

July 10, 2013

Faber and Rogers are still building physical gold positions regardless of what is happening - the US dollar is still a powerful medium that can be exchanged for real objects. Moreover, there are strong resource-based currencies offering a greater lon-term mineral diversification. It is still just too easy to get blind-sided by an object that depends upon the bouncing emotional neurons of the collective masses who do not even know how they will think one day to the next. Too buggy for us, when there are just so many better other places to garner safety,income and growth in global purchasing power terms.

Dr Peter G Kinesa
July 10, 2013  

Somewhere Under A Rainbow

The Guardian - SuperFreakonomics is SuperFreakingWrong

The Guardian - SuperFreakonomics is SuperFreakingWrong

 Business Media Protecting our Planet

This article brings out a number of salient points regarding the information propaganda game being played with climate change by the nefarious business press. Never, however, do Canadians forget that "the medium is the massage" - because media has the subtle profound power to define realities that don't actually exist. The list of outright lies built on misinformation with its brutal consequences are endless. Therefore, investors should, as a rule, have little faith in the objectivity of the mainstream business press that is sadly run by so many hidden agendas.  

Climate change as pointed out in this article is being panned or suppressed with the passion of an addict who denies their affliction. The usual media suspects are mentioned, along with other crazies, who are promoting hair-brained schemes* to remedy irreversible damages already facing the bio-sphere. More false PROFITS! 

*(Remember Get Smart? Let's Bring Down the Cone of Silence)

To invest effectively, the planet's hard physical constraints must be considered in any decisions we make. Denial or ignorance could be very costly. Is climate change that serious? The best way to answer the question is with the question: Why is, Mayor Bloomberg, spending $30 Billion on a seawall for New York City? 

That's a serious - REAL Business Agenda...

Platinum Wealth Partners

First Financial Insights

July 9, 2013 

Climate Change - could be bad for Business? 

Reading between  the lines, modern journalism has turned into a propaganda machine. The questions foremost in our minds: is for whom and why? And so, our democracies evaporate and freedoms disappear without a single vote being cast,  nor a voice raised in anger nor a pitchfork held in defiance.  So invisible.

In the end - IKE was Right!

Dr Peter G Kinesa

July 9, 2013 

Sign in Egypt protest: “Wake up America, Obama backs a fascist regime in Egypt.” (Picture) | AgainstCronyCapitalism.org

Sign in Egypt protest: “Wake up America, Obama backs a fascist regime in Egypt.” (Picture) | AgainstCronyCapitalism.org

LANGUAGE TRANSLATION:

 "Feed them meat and potatoes"

What never ceases to amaze us is how everyone thinks this is all about ideology - what label would you like me to wear? Unless my belly is comfy; whatever politics, theology or economics you preach, you will not convince me or anyone else for that matter. Then once it is full. you have the opportunity to tell everyone why your way is the best way, and how it can and will be done forever. Then it becomes hard to fight the eternal benefits you promise with ideology through the narratives of science or logic. Who wants to give up a shot at eternity? So, almost everyone hedges their bets and buys into a label. Such is a simple view of life, from introspective nutshells -

Back to Egypt. Here again we can see that the real issue is "meat and potatoes." Seems as if they don't have enough to feed their ever expanding masses; they thus are prepared to follow anyone with a here-and-now solution, then worry about a bunch of tomorrows at some other convenient time. That makes sense.

Unfortunately, Egypt is on the growing list of Nauru Paradigm Countries, whereby the populations have overshot the delivery capacities of their physical economies - leading to shortages of just about everything needed to survive. Sadly, the WTO, IMF, World Bank, EU and leading economists and politicians have placed all of their bets on the abstractionist's economic models and are thereby insanely stoking the flames. When will they ever wake up?

So add Egypt to our coveted list of countries facing the final stages of the Nauru Paradigm, a nation that will now play out the Animal Farm parody for years to come, as long as incoming revolutionary leaders subscribe to outdated neo-classical economic theories - (Stories?) - they are guaranteed short careers in a shrinking world.



Dr Peter G Kinesa
July 5, 2013 

Egypt or Nauru: More Animal Farms?

KEYSTONE XL PIPELINE - How Dumb Are WE?

Keystone XL pipeline would have little impact on climate change, State Department analysis says

Good Question!

The Keystone XL Pipeline Causes NO Environmental Problems???

The State Department should just give up - NOBODY - but beer-guzzling rednecks from the Southern Bible-Belt believes anything these guys say. That's a land where higher education meets the standards set by the Fartobebug Monkees, where you take your sister to the prom and the village's chief would be its idiot anywhere else in the world, including Alaska. And worse, they think Sarah Palin and Abe Lincoln have comparable talents, skills, insights - and get this - Notable Quotes.

Yep, so there you go - the truth. Not even the Pope, Steve Colbert, Michael Moore and Zawbootu tribe of South-East Nauru, believe the State Department anymore. Why? Here's a real quick and short list we put together; starting around 1865, detailing some of the supposedly true statements that the State Department and its affiliates, agents and other assorted allies would have or like us to believe.

C''mon, who really shot Lincoln?

Pearl Harbor - We had no idea what East or West wind blowing meant? But, Sleeping Giants do.

Russians are coming? All Russians are actors? Russians own, run and live in Hollywood? Russians, in Tennessee, talk loudly about some gal named Stella; they have many desires.

The Dominoes Theory? Sorry wrong war game - then blame it on the fog.

The Warren Commission - what does that have to do with Katrina?  

One small step for man - was not a giant step for mankind.

I am not a crook - dreamed  I saw a child of God walking along the road that missed Kent State.

"Tell the United Nations, those turnip trucks are moving all the Weapons of Mass Destruction around the country.",

Remind me again, Why are we in Afghanistan? Poppies? 

Patriots' Act. Who, Hmm?

The War on Terror? On Drugs? On Poverty? On LIES...On OWS? How's about - The War on Wars - for PEACE?

Land of the Brave - Home of the Free - REALLY!

As you can plainly see, the list is as long as Santa's. Hey, but they actually think that we believe them. May be we should just send our response to.their truths. "WE were all born late at night - but it just wasn't last night". Then we all follow the road less travelled and,  

STOP THE KEYSTONE XL PIPELINE.

Then, let them know. Then let them know our truths. Let them know, of our true Heroes. Those who dare, and will dare greatly again and again; standing tall on the shoulders of giants - in the arena holding the true torch of  LIBERTY. Let them know! 

For Freedom, 
Carry On Bravehearts,


Dr Peter G Kinesa
May 3,  2013 

"Noam Chomsky"  

American Hero

"Click Here"

"Liberty Stands On These Shoulders; Inspiring its Torch, its Light, and its Journey to Destiny's Shores, Beyond the Last Eternity."

First Financial Insights, March 2, 2013

"WE ARE NOT THAT DUMB"

STOP KEYSTONE!

FIRST FINANCIAL INSIGHTS: TOP TEN INTERNATIONAL FINANCE AND ECONOMIC BLOGS

FIRST FINANCIAL INSIGHTS: TOP TEN INTERNATIONAL FINANCE AND ECONOMIC BLOGS:

TOP TEN INTERNATIONAL FINANCE AND ECONOMIC BLOGS "journeying to co-existing realities" Less than two years ago we s...

Sustainable? Longevity? The issues we face are common sense, but have been ignored for too long. Perhaps the problem with common sense it is that it is just not that common. Or we live in different co-existing realities. Pick your reason.

Dr Peter G Kinesa
April 16, 2013

Ever wonder who's right? 

The Boston Globe - Chief of US Pacific Forces Calls Climate Biggest Worry

Chief of US Pacific Forces Calls Climate Biggest Worry 

click above

When the US military realizes and states that climate change is one of the greatest threats to security we should be very concerned. Particularly, when we considered that often coined oxymoron " Military Intelligence" . Think about how much it takes these guys to figure things out, after all these years?

Enough said,  and let's have Admiral Samuel Locklear tell us about their profound "Ah Ha" moment -  I don't want to rain on their parade.

Dr Peter G Kinesa
April  15, 2013   

"Folks, you will never believe what I am about to tell you... " 

China Feels Inflation, CPI Spikes

China Feels Inflation, CPI Spikes

Before getting into the deeper issues - the first thing to put on the table is the CPI number itself. Who believes any financial number coming out of China?
Who believes that an economy can grow at 5,7 or 10% without experiencing any inflation? Who believes that an economy with excessive liquidity can hold prices down? Then there's the growing need to import more and more commodities... well, you can decide this one.

The real concern is whether currency games are going to become the new form of protectionism - a new form of trade war. With so many countries debasing their currencies - global inflation is certain to follow as more funny sovereign paper will be needed to buy real things. Now if we take the abstracts out of all this and remember that we are past peak everything  - prices of all commodities are sure  to climb dramatically. Some will be more intense than others.

Chinese inflation - you can bet the farm on it. But it is the new protectionism we are most concerned about and the trade of cheap, oppressed labour for scarcer resources. Who will level the playing field now?

Dr Peter G Kinesa
April 14, 2013

How's about a level playing field too?

  

Marc Faber Blog - Worried about a Deflationary Collapse

Marc Faber Blog -Worried about a Deflationary Collapse

What Deflation Looks Like

Flint, Michigan - 2013 

A deflationary collapse in asset values is 99% certain, because at some point markets will begin to demand real positive returns on market securities. But while an unprecedented asset value collapse is occurring, inflation will overtake the pricing of consumer goods. Things will cost more, assets will be worth less, currency debasement will accelerate, and shortages of key goods and services will be everyday occurrences. Confidence dies - creating social and political upheavals

Faber comments regarding why societies collapse demonstrates a lack of historical and scientific understanding. Very foolish. The collapse of societies has very little to do with fiscal and monetary policy, rather collapses can be attributed to a sudden disruption in physical economic inputs. This includes water, climate, food, or minerals and resources critical to physical survival. 

Great Empires also rise and fall, when their store of wealth and infrastructures have expired, largely because the return of physical goods from far flung colonies is less than the related physical investment and maintenance inputs needed to preserve a presence abroad. This starts a contraction process back to the originating country - that also finds, sooner or  later, it does not even have enough resources to preserve its indigenous population. These former Great Powers are now shifting into the later stages of the Nauru Paradigm.

Need examples? Soviet Union, Roman Empire, British Empire, Spain and so on. Also the list of societies that have collapsed due to an expiry in the resource inputs is also endless, ranging from the Mayans, Easter Island examples to small mining or manufacturing towns in Pennsylvania, Northern Ontario and England.  

Then, there is Flint, Michigan


Dr Peter G Kinesa
April 12, 2013

Marc, here's why societies really collapse.

  

Never too late to learn...

JIM ROGERS BLOG: The World's Savers Are Being Wiped Out, And History Says That Leads To Very Bad Things

JIM ROGERS BLOG: The World's Savers Are Being Wiped Out, And History Says That Leads To Very Bad Things

When it comes to social phenomena you cannot apply the disciplines, logic, devices, rules and observations of science - these are concrete constructs. Social phenomena deals with abstract constructs but uses scientific methods to create stories (a.k.a. Theories) about what reality is - whereby, those who are most persuasive will form the accepted consensus of a perception that is the social reality. But, it has nothing to do with what reality actually is.

So Jimmy is right, the US dollar wins by default until the social perception changes and we move to a more persuasive perception of what reality is - and that change in perception can happen at any moment. 

So, its always far better to be lucky than to be smart. A dose of reality?

Dr Peter G Kinesa
March 11, 2013

P.S. You see what us smart guys know is that all currencies eventually gravitate to a debasement of zero, as their underlying geographical resources and infrastructures expire. That is deterministic physics. However, quantum physics now overrides this theory, with its random coexisting realities - so it is again; logically, still all about luck. Science? PK.  

How many coexisting realities are there? 

We are not sure...

Marc Faber - US is in 50-100 trillion worth of Debt!

Marc Faber - US is in 50-100 trillion worth of Debt!

(Click Above)

This is exactly what I said two days ago - is Marc reading our posts? - You betcha he is. 

Anyway whether its Faber, Gross or Kinesa making this somewhat obvious statement of fact, the main point I believe that needs to be emphasized, is the value of the liability in physical terms. Using OIL as a surrogate for dollars, there is 1.200 trillion known barrels of reserves, globally. Using $90 a barrel as the unit value, then the  total reserves equates to nearly $108 trillion. Meaning to repay all the US'$s debts today, would require the use of nearly all physical global oil reserves,;this does not include provisions for any interest carrying charges,increased demand or new debt. 

Now you can see the big problem we got  here. What's left over to run the economy now and tomorrow, once all this US debt is repaid. NOTHING. Moving to another planet is not a solution, nor should we expect a Santa Claus magic invention to save the day. This is not a movie. Thus, we can either make drastic cuts in demand -even 2% a year compounded could get us there - or we face a future, where global hostilities and unrest will dominate every waking moment.

Sleep and anti-depressent drugs offer  counter market opportunities.

Dr Peter G Kinesa
March 3, 2013  

US Debt Repayment - A Staggering Physical Need

What could go wrong with the housing recovery in 2013?

What Could go Wrong with the US Housing Recovery in 2013?

Lots. Read and analyze these charts for yourself in the linked blog. Housing bubbles, particularly like the kind leading up to 2008 meltdown, do not correct themselves in just a few short years. This is at least a decade long struggle, that will be further hindered by increases in rates at some point, collapsing all asset values. And hence, all forms of construction.

Then there's the ripple effects on renovations, big box retail, industry employment and so on. This is a huge hangover for Main Street, caused by he biggest party of drunken Wall Street sailors in history. Yet, NO ONE WENT TO JAIL...

Ain't that America. Little pink houses for you and me.

Dr Peter G Kinesa
February 25, 2013

Ain't that America, for you and me?

Marc Faber: Invest Overseas, The Fed Party Is Over

Marc Faber: Invest Overseas, The Fed Party Is Over

What's in a number anyway? Faber says the FED balance sheet is over $3 trillion. However, the US government owes about $14 trillion, thusly, putting the total US government balance sheet at $14 trillion number. Does it include the FED's balance sheet? Actually, I don't know right now.

But, I can report what the legendary fixed income guru - Bill Gross; PIMCO, estimates. He puts total US government debt at a figure of  over $100 trillion. His number also includes all future payments and contingencies on a present value basis. Put another way, this is the value of all known oil reserves that are set to exhaust in about 40 years.

Ever wonder if this debt can ever be repaid ? Do not spend a lot of time thinking about it.

Dr Peter G Kinesa
February 20, 2013

What do you mean we're broke?  

Walmart says February month to date sales are “a total disaster.”

Walmart says February month to date sales are “a total disaster.”

Bad, bad, bad news. And not just for Chinamart (sic) but for the "Chinamerica" economy. It means that things are tightening up all around, so there is bound to be an effect on all sectors of the economy, including unemployment levels. Following this back to Chinese manufacturing you can expect some easing in commodity prices as their manufacturing demand and output slows.

This will also give the Fed more reasons not to fool around with its easing policies or change rates. The real big question now is: what lies ahead? Was February just an anomaly or is it the start of a trend? I suspect that the US consumer is pretty much tapped out so there is more in the offing.

This type of news is likely to trigger a sell-off in stocks, particularly if the trend continues into ensuing months. Here's a kicker. What if prices continue to rise regardless due to shortages in raw materials? We should all pay attention to this early warning signal and heed its implications - there is a smell of troubles to come.

I will be watching...

Dr. Peter G Kinesa
February 19, 2013 

Why are the people so upset?