Around mid morning on Friday August 15, we heard news that the Ukraine had “destroyed part of a Russian convoy”. The stock market immediately dropped nearly 200 points, Treasury bonds were bid 10 basis points lower, oil was higher and gold which had been hammered $20 lower earlier ran back to unchanged.
I do want to mention that “the sale” which knocked gold down was some $2 billion worth of COMEX futures. $2 billion, this would amount to a little more than 1 week’s production from ALL mines in the ENTIRE world. Again, “who” would ever sell their product in this fashion where they receive THE worst price of the week? The real laughter is that this was not even “gold” which was sold, the sale was merely COMEX futures.
This game however will shortly end as the Shanghai exchange comes on line which will be a 100% physical exchange. China has a history of meting out harsh and should I say “physical” penalties for financial crimes, selling something that does not exist would fall into this category. This further display of naked short selling is not what I’d like to write about today.
The “announcement” of the destruction of a Russian convoy had all the makings of being the spark for WWIII. As soon as I heard the “news” and saw the markets react, my first thought was “this is the beginning”. Were it true, the situation would have already escalated in every fashion. The escalation would have certainly been militarily but also financially. What really happened? Anything?
Here it is more than a day(s) later and what do we really know?
Was there a Russian convoy destroyed?
Was there even a Russian convoy on Ukrainian soil?
Was anything at all destroyed? According to The Telegraph on August 14, the headline clearly stated “Ukraine destroys part of Russian military convoy”.
First, two British journalist “saw firsthand” the military convoy cross the border.
Do we have any pictures?
Did they not have cameras with them?
This is possible but not probable, but surely they had cellphones right? So where are the pictures? I haven’t even seen any pictures showing destroyed vehicles in the light of day after the alleged attack. Russia denies having any vehicles on Ukraine soil nor having anything destroyed. Yet the president of Ukraine himself swears to it? What really happened if anything? Zerohedge even speculated the Ukraine may have even fired on their own units.
I have to ask again just as I did after the Malaysian airliner was brought down last month, where are the satellite images? Russia says they don’t have any because there are none, the White House tweeted “can’t confirm convoy destroyed”. Who is going to come forward with proof one way or another as to what happened? Was this just another false flag to start war which went sour and failed? I hope you understand just how serious this is.
Sadly, I will give you my opinion on what “is happening”. In my opinion, Washington is doing anything and everything possible to start a war. This war of course will end up being against the interests of China and Russia. Is this war “winnable”? No it is not and the danger is we end up in a nuclear conflict.
But why? Why does it seem the U.S. is hell bent on war?
There are several reasons all of which turn back to the U.S. dollar itself and the power involved in issuing the reserve currency. First, it is my opinion that Washington knows the game is about over. The economy has not and cannot be kick started because there is too much debt weighing it down. I also believe we are at the end of the road where it comes to keeping a lid on gold and silver, I believe the metal to deliver has just about run out. I also believe the realization that there is very little good collateral left to be lent or borrowed against has sunk in. Even outright lies about economic numbers are no longer supporting confidence which is waning. Remember, “confidence” is what holds up fiat money. It is the failure of confidence that Washington is trying to hide or misdirect your attention from.
It is my opinion that we have come to the point where a scapegoat is needed and dirty tracks must be covered. The dollar system is a Ponzi scheme which cannot just fall apart on its own without having something to point at as the “cause”. The thought process I am sure is if a war is started and “we win”, the dollar can then be “forced” upon the world. If we lose?
This will be pointed to as the reason the economy is in shambles, the markets collapsed, your bank closed and your dollars cratered in purchasing power. Never mind the fact we ran wild deficits, printed money and have done everything that history has shown us was imprudent and reckless. A war will (they hope) act as a distraction from the financial chaos. I believe the thinking here is the public will be so involved with their own problems that the perpetrators of the grand fraud might get a pass. Whether this would/will work or not is another question.
It is my opinion the world knows all of the above and is in the process of isolating the U.S.. Our actions to start a war have eaten away at the trust in our currency.
“Trust” was all we had left and we have lived off of it for years. It seems the more we lost it, the more we “pressed” to keep it using bullying tactics which only served to eat further away at the remaining trust. As I wrote last week, we are “kicking the table over” because there are no other options. Starting a war will do this.
The above was written over the weekend. Here we are Monday morning [August 18] and “it never happened”. Nothing happened so please move along and just forget about it! Actually, Friday’s news has already been completely forgotten. What you should not forget personally is the fact that you were given “news” on Friday which was completely false. What will you believe “next time”? There will be a next time, you can count on it. There unfortunately will be “next time’s” until one gets the desired end which results in the war called for by the script.