#BBC Acidic Oceans = Is Life on Venus Possible?

BBC News 
Acidic Oceans

Worst in 300 Million Years? 

 Read More Here

What is the greatest fear of all the threats that could shorten our existence on this planet - Acidic Oceans? 

Life began there and it is pervasive to the existence of all life support systems on the planet. Without it - our planet would become the same as Venus or Mars, having toxic atmospheres that cannot sustain any form of living creature on its surface.

The Oceans and Atmosphere are in a delicate marriage that depends on a balanced relationship amoung all their complex elements, loops and feedback systems. Should positive feedbacks of acidification begin to escalate in an exponential manner, then both the atmosphere and all forms of life are in a heap of trouble. All you have to imagine are the Oceans becoming massive acidic chemical pools covering seventy-five percent of the planet's surface. It is then easy to picture the devastating implications.

As the BBC article points out, there is growing evidence that changes are now occurring more rapidly than ever. Our concerns are many: Who is monitoring the changes? How accurate are the measures? What are the trends, and how do they forecast out? When do we reach the point of no return? Can the acidification be reversed? And many more.

Too many questions to answer - Right? But, without clear substantive answers we are all operating in the dark as to the possibility of a highly accelerated Ocean acidification occurring at virtually overnight exponential rates.

And you think the economy is a problem? Hmm. 

Dr Peter G Kinesa

November 19, 2013

Life on Venus? 

#BBC - Oceans Doomed?

Oceans Doomed?

IPSO Review Reports Decline

(BBC Article)
Read More Here

Here's another report that ties back the declining state of the Oceans to climate change, pollution, over-fishing and CO2 absorption, thus making the Oceans less alkaline and more acidic. Risking the extinction of the largest number of ocean species ever witnessed in human history. It is important to keep in mind that the health of the Oceans also impacts the speed of climate changes. They effectively feed on one another - serving to build into a rapid exponential decline in both systems that are critical to sustaining human enterprise. Fears are growing that the acidity of the Oceans is more rapid than expected, some even expect most will be acidic by the turn of this century.

Not good news!

So again, there are more and more signs that the environment is caving into the pressures of supporting ever-increasing economic activity. There may be a chance that the eco-systems are also set to continue declining, despite all efforts to immediately stop emissions and pollution. And as we know, that stoppage is not going to happen as long as we pursue endless economic and population growth. There is no sense of urgency, despite the traumatic consequences.

As a result, we can expect that natural forces will ultimately take matters into their own hands. There should be a fear that whatever occurs - could happen without much warning. Then all the urgency in the world cannot abate and remedy the deadly outcomes.

Dr Peter G Kinesa 

October 4, 2013        

Jus

Against Crony Capitalism -The gap between rich and poor will continue to grow until we give up on QE

Against Crony Capitalism - The gap between rich and poor will continue to grow until we give up on QE

Let me just say that this is an interesting read, but I do not believe that there is any cause and effect relationship between QE and the wealth gap. This is a gap that has been growing long before QE was a glimmer in Bernanke's eyes. 

American social decay has been going on since WW II and shows no signs of abatement. Look at the disgraceful conditions of their cities, physical infrastructures and superficial cultural Combined suggesting there is little hope in the context of its current frameworks and leadership anything will ever change. In fact even if they wanted to, there is no more pie to pass around and share as humanity is past "peak everything" . 

How really dumb is the situation? Well America continues to encourage more immigration that creates larger ghettos of poor folks, knowing full well the resources needed to feed these tens of millions more; just won't be there in ten years or so. But the Rich do enjoy interim benefits. So, expect a class war leading to a possible reconfiguration of the states into sovereign regional governments - this is starting to look more plausible as the gap between rich and poor grows. Also when you think about Texas's lone star ambitions.

Historically, feeding cake crumbs does not stop the barbarians at the gates. Storms are beyond control when the wealth gap is too big, for too long. Winds of revolution are stirring.

Dr Peter G Kinesa
May  16, 2013 

When will they storm the Bastille?

Marc Faber BLOG: The Market will push Interest Rates Higher

Marc Faber Blog : The Market will push Interest Rates Higher

In this video interview with Marc he suggests that markets could push rates higher regardless of what the FED does. So far, the FED has been winning the war with the markets as it throws liquidity into the banking system. And as Marc observes, little has trickled into the real economy. Raising the question as to whether the bank bail-outs are still on-going?

Are Bonds in a bubble? Let's try some simple calculations assuming that in ten years rates will normalize back to 6.4% and inflation averages a modest 4.2% over this period. We will use 30 year treasuries that are currently yielding 3.2% on a simple interest basis.

Cash yield from $10,000 Bond @ 3.2% =    $320
Inflationary cost of holding @ 4.2%       =    $420   
Principal loss due rate mean reversion =    $500 

EXPECTED LOSS HOLDING IN 10yrs =  $600?

Wow! This means on a simple interest basis, the bonds pay a negative 6% a year, assuming a modest inflation rate and a return of interest rates to normal levels. This may be a best case calculation, as higher inflation rates are more likely to occur, with the pundits expected shortages in key raw industrial materials along with the climatic impacts on food and water costs. 

Anyway, something to think about along with using shorts on Bonds as an inflation hedge. Hmm.

Dr Peter G Kinesa
March 15, 2013

When will it Burst?

It’s not like the Republicans are much better, Dems complain of “Debt Clock” in Congressional hearing room

It’s not like the Republicans are much better, Dems complain of “Debt Clock” in Congressional hearing room

This number is much worse, and getting worse.

Many times we have mentioned that the actual debt number exceeds over $100 trillion.That number comes from Bill Gross; PIMCO, who also includes contingent and off-balance sheet liabilities in the total. If this number doesn't scare you, maybe the trend chart  in the linked article will - shooting straight upwards? What you don't see is the other side - that is the resource assets required to repay this debt running in the inverse direction.

So here's a question for those high IQ types - how do you repay all this debt when the resource side is depleted? Realistically, major problems will start to occur long before complete resource exhaustion occurs.

Sleep well, while you can.

Dr Peter G  Kinesa

February 28, 2013

INVESTORS' INSIGHTS - Marc Faber - 2013 Gold Price Prediction

INVESTORS' INSIGHTS - March 1, 2013

When the staffers over at First Financial Insights sent me this post before its release earlier today, I almost died from the laughing. I don't know what is funnier: seeing ole Bernie in his new digs or the idea that Mr Faber has painted himself into a golden corner. We now expect regular updates on his holdings, along with an audit report from one of the Big Firms, this time.

Anyway, I got such a big kick out of it - I wanted to be fair by sharing it with my fellow "Kinesanites."

Dr Peter G Kinesa
March 1, 2013

P.S.  Thanks to the staffers over at  FFI for the laugh - keep it coming. Pete.

Laughing Kinesanite.

Marc Faber - 2013 Gold Price Prediction

Now this video gives us a little insight into why he is carrying so much Gold in his own portfolio -25%. So now, you can see why he is so eager to have us buy more and protect his position. Otherwise, if we do the opposite and sell all our holdings - then our poor Mr. Faber faces unkind losses and embarrassment. All this could also lead to a career change for our dearest unbiased advisor.

By the way, will you tell us Marc when you decide to sell or reduce this position before you actually do? Hmm...

Madoff get back in the cage -

First Financial Insights
March 1, 2013 

"Believe me, I told you 25% is in Gold"

Home Sweet Home

Marc Faber : Buy Gold To Protect Against The Next Crisis

Marc Faber : Buy Gold To Protect Against The Next Crisis

Oh My Gosh! Why all the Bugginess over Gold? It does nothing for our real economy, nothing to assure our on-going subsistence and expends currency from the real wealth of the planet. A net negative to planetary wealth.

Marc in this telephone interview is again taking on a senior role at the Pearly Gates, by saying or suggesting two things. Gold is insurance against systemic risk. And investors should hold up to 25% of their portfolio assets in gold. There is no way on earth that he can predict or state this just based on past events. The future is filled with a vast number of permutations, as regards the possibilities and possibilities of outcomes. One is that the price gold collapses more that everything else for any number of reasons. To say gold is some form of insurance against anything is - JUST PLAIN STUPID!

That said,obviously the 25% gold allocation is also not so wise for non-speculative portfolios.

When the crap really hits the fan, folks are going to be thinking more about gas, water, food and medicine. Things get pretty basic.
But let's not get into the prediction game here.

Dr Peter G Kinesa
February 26, 2013

" Peter, Gold Is Insurance Against Systemic Risk!" - GOD

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?  

INVESTORS' INSIGHTS -Marc Faber Interview with MoneyControl.com

INVESTORS' INSIGHTS - February 12, 2013

Markets at Tipping Point of Funny Money Games

There is little doubt that the inflation and bond market funny money game will come to an end sending the teetering bond and equity markets into a free fall. The yellow flags are out because interest rates have been too low for too long, and inflation is dramtically higher than reported. 

Investors can only tolerate negative real returns for so long before they seek higher ground. Finding the higher ground is the gist of their challenge.

Dr Peter G Kinesa

February 13, 2012  

Marc Faber Interview with MoneyControl.com

Marc believes markets are topping out and points to Apple's 30% decline as to how stocks can rise then fall back again. So short term, he thinks that a 10 to 30% reversal is still in the cards. He points to the sell off that occurred in 1987, when stocks collapsed 40% in two month after a preceding 44% run up.

We concur with Faber, that the risks are high in the short-term, but we know that markets can climb the wall of worry, despite rational fundamentals. It has its own mind; perhaps abetted by the flash- traders dance, thereby becoming more of a casino. However, as there is no strong rational for any long-term positive sentiment, we are biased towards short positions particularly in US Banks, Brokers and Treasuries. Tech companies should also see valuations punished more than the broader market. Facebook and Apple are still high on the list.

The turning point will be the collapse in Bond Market that is long over due, as everyone knows that the inflation figures are being rigged by Washington to keep rates low. This game cannot last, as sooner or later the market sees through such things; albeit the FED can continue to prop it up by printing more money.

These are times to be extra careful. Period

First Financial Insights
February 12, 2013

Funny Money Games: When Seven is Eleven?

Jim Rogers: How to Become a Multi-Billionaire

Jim Rogers: How to Become a Multi-Billionaire  (Click Here for Video)

Everyone who invests, saves, manages money or is in some way affected by the markets should watch this video clip and garner solid insights from one of the best in the business. Jimmy is great. Colourful, sharp and a sparkling character that you would just love to take home forever - a cuddly puppy dog.

But be careful. Remember Rogers, Buffet, Bogle, Soros and all the rest made their money and wealth in the very best of economic times. It was comparable to shooting fish in a barrel when measured against present investment, market and economic circumstances. Those days are long gone. Long gone. 

Why? When these guys made their fortunes the world population stood around two billion, while today it stands at over seven billion, adding another one billion every ten years. This spells disaster ahead in a few short years as the real wealth generating capacity of the planet collapses under the weight of the resource demands of this untenable population load. A major war can be expected as history proves itself again.

Moreover, this exploding population is drying up all the critical resources needed to drive the consumer-industrial-military complex including arable farmlands. Climate chaos is also expected to affect most of the US bread basket in the next twenty-five years according to official US agricultural agencies. Add to this the fact most non-renewables will be economically depleted in less than fifty years - the outlook spells out a collapse in the "Real Economy" by mid-century, if not much sooner.

Why much sooner? Well remember currencies are abstracts - merely symbols that convey the idea that a some point they may be converted into a real usable object. Also remember that conventional economics is an utter farce and fraud, that promotes a ponzi scheme creating these abstracts or fiats exponentially without any regard or relationship to the underlying "Real Economy". When the planet can no longer produce real usable objects because all it resources are exhausted these currencies, abstracts and fiats become absolutely useless and meaningless. 

And there's more. The ponzi schemer's greed has created a valuation trap, whereby they cannot raise global interest rates. Because if they do asset valuations will collapse by 50% or more across the board sending the global economy into its final "Dark Ages" prior to the outbreak of hostilities. The point here is interest rates will rise at some point soon because hyper-inflation is guaranteed, inevitable, unavoidable and inescapable when you have more and more people and declining resources and food stocks created by flawed economic beliefs perpetrating a ponzi scheme.

A scheme premised on the infinite creation of abstract and fiat currencies with an exponential weight of false promises that will collapse the global financial system faster than the wildest of predictions of any of the doom and gloom gurus. In the end - its just the MATH of it all.

NOTHING WILL ADD UP!

So buy Jimmy's book as a keepsake, highlighting the beginnings of the great economic fraud, of times when clever game players could exploit the weaker, when abstractions and fiats were the operative reality, when Mother Earth didn't matter, but did. And in the end, we will learn that we ultimately had to play by her rules - and for so many; it will be all too late. Indeed quite sadly, all too late.

Better yet, buy a cute cuddly puppy and take him home forever...

Dr Peter G Kinesa
February 12, 2013

What is it about Books, Guru's and Puppy dogs?

Jim Rogers : I have my money invested mainly in natural resources and currencies

Jim Rogers : I have my money invested mainly in natural resources and currencies

Jim what happened to your farms in Iowa? Noticeably there is no mention of stock and bonds. 

Why? Despite what John Bogle from Vanguard professes, stocks and bonds are set for an unprecedented collapse in values once the inflation demons and rising interest rates ravage their valuations back to never never land. John has no touch with the physical realities of our times and cannot see the onset of a market collapse that few investors may ever recover from. 

So John stick to your charts, trends and speculations and we will bet on the existential realities that determine the real values required to sustain the human enterprise. Values that operate under the governing laws of physics and mathematics. Laws that cannot be negotiated, regulated or speculated away by Vanguards, Buffets or Goldman Sachs. Laws that will dictate the few winners and many losers.

Oh yeah, by the way, we like Jim's approach; but where's the farm?

Dr Peter G Kinesa
February 7, 2013 

Vanguard to launch new FARM FUND?

 

FIRST FINANCIAL INSIGHTS: Invisible Genocide; Fallacy of Economic Growth

FIRST FINANCIAL INSIGHTS: Invisible Genocide; Fallacy of Economic Growth: 
 We don't need no education...all and all you're just another brick in the wall MOST IMPORTANT SPEECH EVER Letter t...

This letter to Mr. Paul Krugman, New York Times continues to draw world-wide readership even though it was posted more than one and half years ago. Why? Many people I believe are beginning to wake up to the predicament that humanity faces on many fronts. A situation that will not only affect the on-going viability of the financial system, but also the eco-system and other life-supporting structures that make human existence possible on this planet.

Our excessive use of the finite resources of the planet and resultant destruction of the bio-sphere will short-change some future generation. And by many accounts it may even be today's current generation as the economic growth doctrine promoted by conventional economic theory leads us to a premature extinction. Is it possible to reverse this inertia? Most argue that the present systems of politics, economics and infrastructures are so embedded, that only a major global engagement could put an end to the unsustainable use of a fragile planet's renewable and non-renewable resources. History will again repeat itself reflecting our failure to ever learn from past mistakes.

Even if the geo-political collision is avoided, many scientist state that the climatic feedback systems are now in a self-perpetuating mode that could take thousands of years to remedy, if ever. So it is a good time to take stock of ourselves and how foolish abstract theories pushed us into a head-on battle with nature and the very life forces of this small island in the vast universe(s). Into a battle that we can never win.

And in the end, " what will be, will be"

Dr Peter G Kinesa
February 5, 2013

End This Depression Now? Why Not End the Insanity First?

Marc Faber : Sometimes I am so concerned about the world I want to jump out of the window

Marc Faber : Sometimes I am so concerned about the world I want to jump out of the window

Marc if you just started being concerned about the world; you are a little late to the game. How about a thousand or so years late. Our decline as a species can be related to a host of contributing factors that have created an unsustainable global system. How much longer we have is any one's guess - but if we make it to the next century - I would expect that it is because we received help from alien forces.

Here's my  short list of concerns that support Marc's view:

Unbridled growth promoted by neo-classical economic theory that is scientifically flawed and corrupt.

Exhaustion of critical resources required to facilitate global growth in production and consumption.

Rapid deterioration in bio-sphere conditions that are now self-perpetuating and irreversible. 

Overpopulation that adds further to the issues noted above.

Geo-political stresses that are certain to breach and cause a global resource conflict.

And on, and on, and on...

So you see that is why I recently built an igloo - I don't have to worry about windows.


Dr Peter G Kinesa
February 2, 2013  

See Marc, "NO WINDOWS"

FIRST FINANCIAL INSIGHTS: The New York Times -The Fog of Economics

FIRST FINANCIAL INSIGHTS: The New York Times -The Fog of Economics:


The New York Times ROOM For DEBATE Human Longevity or Unbridled Growth - The Fog of Economics Posted Facebook, The New York T...

Given the preponderance of scientific evidence, mathematics and logic that tells us that the growth thesis takes us down the road to our certain demise, there are still many who are its absolute advocates - Why? We could spend years investigating and analyzing this question and never get much closer to a truth or understanding - it is what it is. Period.

Still we press on, as long as there is the smallest glimmer of hope, and that is what makes all the difference.

Peter G Kinesa
January 24, 2013

It is what it is.

Where Marc Faber Sees Apple (AAPL) Going

Where Marc Faber Sees Apple (AAPL) Going

Apple without Steve Jobs is like the church without the Pope. Rarely, over the course of business history have the Management MBA Types been able to recreate the synergy, spirit and vision of a great business leader. These leaders are the Picasso's, Mozart's, Beatles, Dylan's and Hemingway's of their craft, that no amount of management study or device could ever replace, just like the artistic creative icons mentioned. For above all, Steve too was an artist - and all those who try to replicate his creative artistic drive, face a task not ever repeated in the history of our species. They are simply up against one of the great mysteries of our kind.

And the industry Apple is in requires on-going vision and creative spark. Something that MBA's, just don't have a flair for. In fact if Apple were run by a poet, its prospects would be ten fold improved.

The short of all this is: I wish Apple and its employees, management and stakeholders all the best, yet like Faber it is not an investment I favour going forward for the longer-term. I should also mention that Steve Job's biography is the only one on our list of recommended business books. In so many ways, he was the Dylan of his craft - a rolling stone; but not a complete unknown. Simply, a hero for our times.

Dr Peter G Kinesa

January 17, 2013

Missing You...

SHARKBUSTERS - Mack the Knife

"anybody going on this year's march?"  

 Work Journal: KinesaDate, January 13, 2013

It is 6:22 am Sunday morning. The air lingers cool and crisp yet breathes  into my mind the start of the new day. No work. Peace and serenity . Just a day for those personal dillies and dallies - that relax the soul looking to stir new dreams for the road ahead. My coffee chirps with its own lost dreams  - and where have the Penguins gone?  What else is there to know?

Suddenly, the ringing phone disturbs the symphony of penguins musing  my mind.

I  answer.

Oh dear, it’s the boss.

How could he be calling now? We have been grinding all week? What is so important?

“Peter” he moans in his soft sincere voice. Now I know  this is his set up for a pitch.


"Good Day, Good Day, Chief" jumps from my lips in a stuttered early mornng Polish fashion.


"Last night the media guys finally polished off the Group Video. I think we should go all out and release it on Monday"


"But Chief, this is the first.."


"Listen Peter;" he interupts, "We build into this as a long-term touchstone for everyone. A sort of historical moment."


"Yeah, but Chief... "


So we banter back and forth for another ten or so minutes - it actually seemed much longer. In the end all I can say is we're back - and Macky is definitely back in town. And maybe that's why it is so much fun working here.

But then again there's the Penguins,- and what else is there to know?


All the Best Sharkbusters,



Dr. Peter G Kinesa
January 14, 2013  

SHARKBUSTERS

Mack the Knife

We're Back!

Our media team had at last revitalized our Group's corporate video on the weekend. Once they did, we had everyone on staff scrambling to put something together for release Monday. Like troopers they pulled it together, despite the fact this was supposed to their first weekend off since the holidays. To them, we owe a great debt of gratitude.

Our message is pretty clear; "Bad Guys Beware" cause ole Macky's back in town. And our unconventional maverick approach will expose and pursue with a vengeance those who work against the better interests of the human condition, particularly in areas concerning economics, investments and finance. At the same time, giving you the top world leading insights in these areas. We will take no prisoners!

We had the media guys also dig up the lyrics; we posted them below so you could sing along as you watch. One of those team spirit deals - that brings a tear to the heart.

Anyway, without further blathering. " Oh the shark babe, has such teeth, dear..."

Sharkbusters

January 14, 2013

Mack the Knife

Lyrics - Bobby Darrin's version

Oh, the shark, babe, has such teeth, dear

And it shows them pearly white

Just a jackknife has old MacHeath, babe

And he keeps it, out of sight

Ya know when that shark bites with his teeth, babe

Scarlet billows start to spread

Fancy gloves, THOUGH, wears old MacHeath, babe

So there's never, never a trace of red

Now on the sidewalk, huh, huh, whoo sunny mornin', uh huh

Lies a body just oozin' life, eek

And someone's sneakin'round the corner

Could that someone be Mack the Knife?

There's a tugboat, huh, huh, huh down by the river don'tcha know

WITH a cement bag just droopin' on down

Oh, that cement is just, it's there for the weight, dear

FIVE'll get ya ten old Macky's back in town

Now d'ja hear 'bout Louie Miller? He disappeared, babe

After drawin' out all his hard-earned cash

And now MacHeath spends just like a sailor

Could it be our boy's done somethin' rash? 

Now Jenny Diver, ho, ho, OH, Sukey Tawdry 

Ooh, Miss Lotte Lenya and old Lucy Brown

Oh, the line forms on the right, babe

Now that Macky's back in town

I said Jenny Diver, wow, Sukey Tawdry 

look out Miss Lotte Lenya and old Lucy Brown

Yes, that line forms on the right, babe

We're Back!