Lyle's Blog

Our fractional reserve banking system creates new money in two ways; it prints it or borrows it into existence. I am not a financial advisor so any remarks are purely my personal understanding or observation. When new money is borrowed into existence it gives the illusion of growth. Being that debt incurs interest, as time passes the return on borrowing to attain growth is less and less productive.

Notice how much more the FED is printing/borrowing now compared to the 2008 collapse. Our national debt went from just over 10 trillion in 2008 to almost 12 trillion in 2010. As a percentage of GDP, 68% to 82%. 2021 sees almost 30 trillion in debt and 124% of GDP. Growth has become so anemic that the incurred debt can’t be covered.

We are reaching a tipping point where our debt can destroy the whole financial system, to put it bluntly, collapse. Once defaults are the normalcy the FED will have to print more instead of its current threat of raising rates.

The only way out is a return to honest money. Some think gold and silver and other precious metals and I do believe some commodity ownership is wise. However, I think cryptocurrency, after much attempted sabatoge, will become the medium of exchange. It’s already a two trillion dollar market and young people are more inclined to use something digital, safer, and less bothered by government intrusion. For a while the market will be choppy and remain the rollercoaster ride it is today.

But as stable coins offer a “middle” ground, safer if you will, and NFT becomes more common, then Bitcoin and the like will start replacing the world’s failing currencies. Governments will try to stop it but as players like Russia use it vs the U.S. dollar it’s usage will become commonplace.

I believe Bitcoin will trade in a sideways pattern for sometime. For those quick on their trade, there’s money to be made. The next phase of the card- house building by the FED make for a very risky trading time.

Buy endurables, things you need, things of real value. We knew the FED scam would bring us to this point and God help us to grab the reigns of power from the grubby mits of those who think they’re better than we.

I listened to the U.N. Global Tyranny Plan (Climate Change) and the drones have it well planned on how to take away the liberty of every man, woman, and child on earth. Boris, the leader of the British Climate Tag Team, spoke clearly about the urgency of doing away with our good life and getting back to basics. He says the big problem is that governments don’t have enough money to “make the change” so governments need more money.

More money, isn’t that what governments have always needed. We’ve given them a huge percentage of our income but grandiose goals need the big bucks. He doesn’t mention the little guy paying although I didn’t listen to the whole thing (couldn’t find my barf bag). Corporations, private business have got to flood the cookie jar coffers which of course is how they tax us for this crap. We buy the products the corporations produce and the cost for government nonsense passes to us schmucks who allow these idiots to empty our pockets.

In the end we will pay. We breathe in the good stuff and guess what horrible stuff comes out? Yes, the dreaded, life-on-earth-ending CARBON. When the planet doesn’t head south they will claim their actions are having a huge effect in the salvation of the planet and thank God (which is them) that they are in power and the charade is legitimate and let’s have a double portion.

Looking over history there doesn’t seem to be much hope of reversing accepted stupidity. Hope in the wisdom of clowns is not only foolish but reflects poorly on your love for others.

I can’t wait for six dollar plus gasoline. That is the only thing that will grab the attention of the average shmuck.

Tesla has been ordered to pay 137 million dollars in hate crime related damages. The “N” word was used on the floor of the Freemont California plant and apparently most of the time by anti-Americans of African ancestry. Racism has become the worst crime anyone anywhere can commit. This is, of course, more of the nonsense that “civilized’ society is supposed to accept hook, line and sinker.

This verdict was handed down by a federal jury in San Francisco. Enough said there. If you think about it, blacks suing whites will be the way blacks will obtain reparations for crimes that were never committed against them. This case is the model for punishing white people for being alive.

We should take note that Tesla sells about a million cars a year probably mostly to white folks. That’s an extra $137 a car that the end buyer must pay for their vehicle. It’s simple theft.

Punishing Tesla for a crime that shouldn’t be a crime puts us on the verge of judicial collapse. There’s a laundry list of what’s wrong with the judicial system but in short it’s all about protecting the edicts of the state and punishing the law abiding citizen.

Murder, rape, assault, robbery, extortion, theft are all way down the list of crimes of importance. We would think that all crimes would be crimes of hate. Does one kill or do any of the above for love? It’s all hate. The problem we have is that prosecuting perceived hate crimes has become so lucrative politically and now financially.

The hate crime boys hate whites and unfortunately hate doesn’t go unrewarded. I for one am tired of being the hated one, the outcast, the one who must be drained of value and worthy of death. When hate comes to my door I don’t have much to give the thugs with thin skin. This won’t end well; it never does.

At the end of January 2019, China boosted its gold reserves by 12 tons. That’s a total of U.S. $79.319 billion dollars. Gold prices surged on the news. Their foreign exchange reserves rose by over $15 billion U.S. with the yuan hitting its high against the dollar in a six months period. Much of this rise was driven by imagined progress in the U.S./China trade talks.

The central banks of the world have also been on a gold buying binge, Russia was the lead nation buying gold in its bid to reduce reliance on the U.S. dollar.

What are governments up to? By purchasing gold they are taking more of it out of the hands of the public as the price is driven up. On top of that, gold is purchased with “printed” money, fiat currency, which lowers the value of the rest of paper assets in circulation. The private sector (main street) should hold the bulk of gold available, not the government. When crisis comes, which it always does, I believe the banks are preparing best they can for the next crisis. We must prepare too.

The central banks of the world won’t get as much of a bailout next time and because FED rates are low, it will be hard to reduce rates to stimulate the economy. However, banks will be allowed to confiscate a percentage of customers funds as banks in Greece did. This is known as a bail-in. For twenty years I’ve kept about 20% of my funds in gold and silver. Stocks will crash again and this ratio blunts the effect of the crash because gold and silver surge when the market crashes.

As an example, if one has $10,000 invested, the ration would be $8000 in stocks and $2000 in gold. If stocks fall like they did in the “Great Recession”, I would lose $3200 on stocks, but gain about $1000 in gold. My loss is cut by 30% because I owned gold. And if I purchase gold at dips when I accumulate it, I would possibly lose nothing. I’m not a financial adviser so don’t take this as gospel. I only comment on what I’ve observed in the past.