More drama in Washington, DC as the President condemns the Covid-19 “stimulus” bill and says the $600 checks are not enough. Instead, the President wants Congress to authorize checks in the amount of $2,000. The President also criticized the amount of wasteful and overseas spending. The Speaker of the House, Nancy Pelosi, has already stated that she and her fellow Democrats will be happy to take up the bill again and include the $2,000 figure. The question will now be put to the Republicans to see if they can stomach that amount. There was already pushback from some Republicans when it was $600 – so will they be able to tolerate $2,000 or will this bill now get shutdown?
Of course, should this bill in conjunction with the $1.4 trillion spending bill get passed and signed into law, where will all of this money come from to finance these monstrosities? Well the printing press certainly. The latter half of today’s discussion is centered around the Federal Reserve’s balance sheet. As we noted yesterday, the Fed’s balance sheet hit an all-time high last week at nearly $7.4 trillion. With all of this additional spending coming down the pike, it stands to reason that the balance sheet will hit and/or exceed $10 trillion by the end of 2021. This is ridiculous and would be a near 10x fold increase to the balance sheet just since the Great Financial Crisis and would be about 50 percent of US GDP. These numbers are unsustainable and go against everything this country is supposed to stand for. Where are the free-markets, and where are the checks and balances? Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Jobs #Debt #Bailouts #Inflation #Gold #Silver #Liberty #Revolution #EndTheFed #BananaRepublic
Ep. 494 - Biden's Economic Dream Team Is Really A Nightmare
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President-elect Joe Biden released more names today to fill positions within his economic team. These characters are all familiar names as many have held posts within the Obama Administration. As The Kapital News likes to say, “it’s a revolving door down there in Washington, DC.” It is quite remarkable, yet also not surprising, that such people will be filling these positions. Remarkable in the sense that no one seems to have any basic common sense for what is going on in this country. Evidently, the same people who are responsible for past and current economic calamity are now back in the fold – apparently so they can be responsible for the future economic calamity. This makes zero sense. However, what can be deduced is that the incoming Biden Administration must be fine with how things were managed in the past and thinks that’s how things should be managed going forward. This becomes the definition of insanity. And of course, it will continue to be the American people who are responsible for the bill. This will be paid through taxation, inflation, a stagnant economy, higher costs of living, lower living standards, few opportunities, and more debt. Just when you thought 2020 was nearing its close – we have all of 2021 to contend with in the aftermath of all of these flawed policies. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Jobs #Debt #Bailouts #EndTheFed #BananaRepublic #Inflation #Gold #Silver #Liberty #Revolution #USA
Today’s title has a couple of meanings. First, since we’re a first world banana republic, we have no checks to write because there is no balance in the Treasury to cover them. Further, the only way we really show a balance in the general fund is because we print the money like it’s going out of style – because it is. Then of course, the United States government is supposed to be a system of checks and balances. But how can our system truly function as such a system, if there exists a central bank, the Federal Reserve, that is accountable to no one? Presidents, Representatives, and Senators can be voted in and voted out by the people. The President can override Congress with a veto. Congress can override the veto should enough votes exist. Congress can impeach and remove a President. The Supreme Court can rule actions and legislation to be unconstitutional. Yet, if and when central bankers set interest rates and embark upon other policies, there is no one who can overturn their decision. These “officials” are not elected, and thus cannot be voted out by the people. So where is the check and balance to their power? This is exactly the problem.
Now, with President-elect, Joe Biden, beginning his transition into the White House, he is starting to pick his cabinet. Continuing with yesterday’s discussion, we highlight his pick of Treasury Secretary of Janet Yellen. Yellen was the former Vice Chair and Chairman of the Federal Reserve. She was very a much a part of implementing and overseeing quantitative easing. She is also an advocate for granting the Fed the ability and authority to purchase equities outright. While she makes such a claim in a veiled way – make no mistake that she believes this is something Congress should consider doing – granting the Fed such powers. She, like many of her predecessors and successors, are destructive to the United States of America. Their policies are the root of our economic malaise in conjunction with actions taken by our government. It has been and remains to be a great concern that these policies are going to become even more extreme, and thus worsen and add to the damage. It’s a revolving door in Washington, DC and this is further evidence that our elected officials care not about the health of our country. The people need to wake up before it is too late. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Bailouts #Markets #Jobs #Debt #USA #Inflation #Recession #Depression #Gold #Silver #EndTheFed #BananaRepublic #Liberty #Revolution
So here we have it! It’s vaccine Monday once again and right on cue, AstraZeneca comes out and announced the results of their vaccine’s efficacy. This is now three Mondays in a row – Pfizer, Moderna, and AstraZeneca, respectively. However, today’s news was further bolstered by the announcement that former Chairman of the Federal Reserve, Janet Yellen, is getting the nod to become the next Treasury Secretary. Of course she will need to be confirmed by the Senate, but since she has been confirmed before, there’s really no reason to think why she won’t be confirmed again. Now, The Kapital News can come up with trillions of reasons as to why she should not be confirmed, but you get the point.
The stock market loved this news and why wouldn’t that be the case? Equities rose considerably under the Yellen-Obama tenure. This is thanks to record low interest rates, and quantitative easing being the norm for the past decade plus. This monstrosity of a policy continues and now with a one-two punch at Treasury and the Fed – what could possibly go wrong? Again, The Kapital News can provide a trillion scenarios, but you get the point in that the addicts on Wall Street will continue to get their hit and in larger doses. This is destroying, if it hasn’t already killed the patient, with the patient being that of the US economy. For that matter, it’s really the global economy since these actions are being undertaken in an orchestrated manner.
What’s so sad of course, is the fact that tens of millions of Americans are still going to food banks, collecting unemployment insurance, facing eviction(s), and massive uncertainties ahead, yet global equities continue reaching new heights. This is massive fraud and contributing greatly to wealth and income inequality. This is a recipe for political, social, and economic disaster because this is not the result of production, productivity gains, and prudent valuations. No, this is at the hand of easy credit and trillion dollar liquidity injections. In short, this is a first world banana republic and the funny money is inflating financial assets into the stratosphere. Just wait until this is reflected in commodity prices and general consumer prices. The inflation is already here – now await it’s truly destructive force and the coming stagflation and potential hyperinflation. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Inflation #Gold #Debt #Silver #Recession #Liberty #Revolution #EndTheFed #BananaRepublic #Depression #Bailouts #USA
A few days from election day and we still do not have a President-Elect. Many votes are still being counting across several battleground states that will decide this election. A recount will be taking place in the state of Georgia, due to the razor thin margins. A previous large lead held by President Trump in Pennsylvania has now switched to a Biden lead. And with more mail-in ballots to be counted, if the trend continues, it appears that Biden will widen his lead, which currently stands at around 28,000 votes. Should Biden win Pennsylvania, he will have 273 electoral votes, which would be enough to declare him the winner. Biden still has several avenues to get to the 270 electoral vote threshold. However, President Trump is in a situation where he has to win virtually every remaining state. This is a tall order, especially given the fact that Biden leads in all contests, but it can still happen. Until all votes are counted, this race will continue.
In other news, we discuss the initial jobless claims figures. Another 751,000 Americans have filed for unemployment insurance for the week ending 31 October. The previous week’s tally was increased by 7,000 to 758,000. In total, amongst all forms of unemployment insurance, for the week ending 17 October, comes to 21.5 million – a decrease of 1.1 million from the previous week. We also note that the Federal Reserve has decided to keep rates at the zero bound and that the Fed will continue to do whatever it takes to “support” the economy and the markets. Expect the Fed’s balance sheet to continue to increase and to make new all-time highs.
With respect to the election – please be patient and civil as all valid votes are counted. This is a record turnout in terms of total votes cast – this is something to be proud of. While it may be easy to chase conspiracy theories and/or to claim fraud or other illegal activity because the vote counting is taking a while – please refrain from going down this path. It’s more important to be accurate than it is to be fast. Each vote is someone’s voice, and their voice deserves to be counted and to be heard. So respect this and pass the message along. Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #Vote #Jobs #USA #Economy #Gold #Silver #Liberty #Revolution
One day removed from election day and Americans and people around the world are awaiting the final tally of votes. At this moment, Joe Biden has 253 electoral votes, to President Trump’s 214 electoral votes. Despite Biden’s lead, there are still avenues for Trump to win re-election. However, these pathways are narrowing and Biden is currently in the lead in Arizona and Nevada. If these two states hold to Biden, then he will squarely hit the needed 270 electoral votes and he will become the President-Elect. The outstanding states that remain to be called are, AZ, NV, GA, NC, and PA. Biden has several pathways to victory with these remaining states. President Trump on the other hand would need to carry at least four of the remaining five, assuming one of them was PA, but not with an AZ and NV combo being two of those four, or carry all five. This remains a possibility – but it’s a steep uphill climb. A 269-269 tie is also a possibility. Both Arizona and Georgia are supposed to have further results this evening – and dependent on such results, decision desks, may be able to call these states (FOX and AP, have already called AZ for Biden). Other states may take an additional day or two, and North Carolina may not have a total count until next week. Please remain calm and allow people’s votes to be counted. Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #ElectionDay #Vote #USA #Liberty #Revolution #Economy
It’s near midnight and we’re discussing the current state of the election, some potential outcomes, and more importantly the structural issues plaguing this nation – that have led to the economic, political, and social decay of this country. Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #ElectionDay #Vote #USA #Liberty #Revolution
One day to go until election day and the scene on the streets of some of the largest cities across the country is one where business owners are boarding up their storefront windows, as if preparing for a hurricane. Well they’re not preparing for a hurricane, they’re preparing for an election in the United States of America – a truly tragic and embarrassing moment in this nation’s history. A country as torn as it has ever been, perhaps only bested by the Civil War and the 1960s social and equal justice, and anti-war movements, and at the helm sits a President of the United States that seeks to divide the country even further. Placing the blame solely on the Democratic party and using fear to motivate his base as to how the Democrats will destroy your cities, suburbs, economy, and Constitutional rights. However, he offers no concrete policies – just campaign slogans with the mixture of airing his grievances to anyone who will listen. This is not leadership – this is more of the problem. President Trump did not start this division. He is rather a symptom of the structural underlying problems plaguing this nation. But as previously noted, he is making things worse, not better. There is plenty of blame to go around with both political parties. And there is plenty of blame that lies at the feet of the American people for allowing such political, economic, and social decay to surround this country – eternal vigilance is the price of freedom. Put down the partisanship and raise the truth!
So we’ll have our election in this 1st world banana republic and it’ll be spectator sport for the world as they watch this former beacon of light continue to crumble and lose its standing in the world. It’ll also serve as a tremendous opportunity for adversaries to take advantage of the situation, should they so choose. We are far from out of the woods economically speaking with respect to the pandemic lockdowns and restrictions and also the natural flow of the business cycle that was turning down prior to the onset of the pandemic. This places us in the greatest depression, and the people don’t even fully realize it yet, as we’re blinded by the political circus, and easy money printing from one central bank after the next – with not a major or serious discussion about the ramifications. Tomorrow isn’t the time to vote. Tomorrow is the time to start the revolution! Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #Vote #ElectionDay #USA #Economy #Liberty #Revolution
With two days to go until election day, 3 November, both Presidential candidates and their surrogates are zig-zagging the country to motivate their respective bases, and to drive as much voter turnout as possible. Well as of this evening, 93.3 million Americans have already cast their ballots. This represents nearly 67 percent of the total vote turnout in 2016! The in-person vote tallies to 34 million and mail accounts for 59.3 million – with more to come. It’s still either man’s race, but with the last of the polls coming in over the weekend, and perhaps some more on Monday, it does not appear that there is any significant tightening. Thus meaning that Biden still holds a good lead, both nationally, but more importantly, in some of the key battleground states.
However, what is so unsettling to The Kapital News, is that despite who wins, it’s likely going to be a contentious battle in the courts. Also, none of the structural issues that are and have been plaguing this nation for generations are being addressed, and thus the problems associated with said issues, will continue to rot this country from within. Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #Vote #USA #Economy #Liberty #Leadership #Revolution
A lot of data came over the wires today – economic and political. In today’s podcast we discuss the common Thursday topics of initial and continuing jobless claims, the Federal Reserve’s balance sheet, and M2 money stock. Today was also the release of the initial reading for Q3 GDP, which came in at a record print of +33.1 percent. Such a large increase is no surprise to The Kapital News, and in fact, we have been discussing this for months. When you have the worst reading of GDP in Q2 at -31.4 percent, it’s not so difficult to come back with a big number in the subsequent quarter. This is especially more so the case when the federal government and Federal Reserve throw trillions of dollars (that we did not have), into the system. The question now is what happens moving forward? And also, do not forget that Q1 GDP contracted -5 percent. And the lockdowns and restrictions did not take hold until March on a large scale. So most of Q1 2020 was in the books prior to the COVID-19 actions. Again, this is something The Kapital News had been arguing throughout 2019 – that the economy was rolling over, and a recession was on the horizon – even before the onset of the pandemic. We also continue our coverage of early voting and the electoral college as analyzed by Real Clear Politics and Five Thirty Eight.
Initial jobless claims for the week ending 24 October were 751,000, maintaining a figure below that stubborn 800,000 mark for the second consecutive week. However, this is still a heartbreaking number, as before the pandemic, this statistic was in the low 200,000 range, week-to-week. So despite all the fiscal and monetary efforts, still seven/eight months into this downturn, we are still witnessing several hundred thousand layoffs per week. Continuing claims for the week ending 17 October are continuing lower and are now at 7.756 million, which is a week-over-week decline of 709,000. In aggregate, for all persons claiming a UI benefit, for the week ending, 10 October, 22.6 million Americans remained jobless.
The Fed’s balance sheet rolled over slightly from it’s all-time seen last week. The balance sheet gave back about $31 billion and now sits at $7.146 trillion. This roll off is part of the natural process of assets expiring that the Fed is holding – think the duration of a Treasury note, bill, or mortgage-backed security. Nonetheless, The Kapital News remains steadfast in our analysis that the Fed’s balance, along with other central banks, will continue to grind higher. The M2 money stock continues to make new all-time highs and now rests at $18.815 trillion. This is a year-over-year increase of over 24 percent. In the 40 years of data provided for this figure, there is only one time the year-over-year figure was higher, and that was two months ago in early September! The next closest figure was around 13 percent back in the early-to-mid 1980s. This is extremely worrisome and will prove detrimental to the system.
Early voting is now 81.3 million, with 52.9 million being mail ballots, and 28.4 million in-person. This continues to break records and is simply a staggering figure. This represents 59 percent of the total 2016 voter turnout, and if estimates for 2020 are correct, we’re likely at the 50 percent mark on the high range, should 160 million votes be cast in 2020. With a few more days to go and depending on the state, early voting can still take place tomorrow, and of course mail-in ballots will continue to make their way into election offices over the weekend and into election day. With such high turnout, we may very likely know who wins the election within a couple of days of 3 November. To the electoral college – should Biden win Florida, then it’s likely an early night, as this would greatly diminish the chances that Trump could win re-election. With more polls coming in across the wires, Real Clear Politics now gives Biden 356 electoral college votes to Trump’s 182. The biggest changes since yesterday were switching both Florida and Georgia into the Biden column. With respect to Five Thirty Eight, they are now giving Biden an 89 in 100 chance of winning to Trump’s 11 in 100. Their model is also awarding Biden the battleground states of PA, AZ, FL, NC, GA, OH, and even both single districts in ME and NE. Such a turn out gives Biden 347 electoral college votes to Trump’s 191. Yet despite this, it is still either man’s race and there are a few more days of campaigning to go. Stay diversified, stay vigilant, and stay with The Kapital News. #Election2020 #Debates2020 #Vote #USA #Economy #Jobs #Bailouts #Gold #Silver #Liberty #Revolution
