China’s Brilliant Silk Road And The Lure To Europe…Economics Psyops–More of the REAL Story….Biden Bribe Treason…Debt Jumps 359 Billion In One Day!…Pistol Brace Owners Tell ATF To Shove It

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RAT-A-TAT-TAT

CHINA OUR ENEMY

CORRUPTION

ECONOMY

FAMILY SAFETY

June 15, 2023

A Pause Like Nonother

The Bank of Canada paused its rate hiking cycle in January but then hiked rates at its last meeting. The Royal Bank of Australia paused in April but then had to start hiking again in June. The Fed also paused at its June meeting or at least skipped a rate hike. This was the case even though core inflation rose 0.4% month over month from April to May and was still up 5.3% from a year ago.

While temporarily pausing in June, Jerome Powell also indicated that there would be two more rate hikes this year. The Fed’s dot plot shows the terminal rate is now 5.6% by the end of 2023 and will be reduced to only 4.6% by the end of 2024 instead of the 4.3% predicted at the last meeting. So, if Powell is now trying to convey to the market that the Fed is leaning more hawkish, then why pause at all?

But that well-anticipated pause, which has already helped boost equity prices so far this year, is now predicted to bring another rally in the equity market, much like previous Fed pauses. In fact, there was a recent Tweet from Steno research and Bloomberg titled: Fed pause = Melt up. And, that indeed has been true most times in the past. For example, the Fed paused in June of 2006, and the equity market did not top out until the late summer of 2007–for a gain of 20%. This was true even though the global economy was careening towards the worst financial crisis since the Great Depression. Of course, the Pavlovian Pigs on Wall Street are trying to convince investors that Fed pauses will always equal an equity market rally–and this time around will be business as usual. But let us not keep our eyes closed to what is materially different this time around as opposed to previous periods when the Fed Funds Rate (FFR) reached a substantial apex.

The last time the Fed paused hiking the FFR anywhere near 5.25% was not coincidentally during the prelude to the Great Recession & Financial Crisis, which began in December of 2007. But as mentioned, the market still was able to rally for another year. However, this time around, the Fed is pausing with a quantitative tightening program in place, a significantly inverted yield curve, the Index of Leading Economic Indicators is crashing along with the National Federation of Independent Business Optimism Index, the Institute for Supply Management’s Manufacturing Index is in contraction territory, the M2 money supply is plunging, the net percentage of banks tightening lending standards is soaring, commodity prices are falling, and we are in the middle of an earnings recession now as well. None of those conditions were in place during the 2006 pause.

Here are some important details about those vital indicators: An inverted yield curve is one of the most reliable recession indicators. In June of 2006, the yield curve was inverted by just 1 bp; today, it is inverted by 90 bps—the most in over 40 years. The Index of Leading Economic Indicators was barely below zero in ’06. It is now down by a negative 6%. The NFIB small business optimism index was around 100 in ’06. Now it is at the recessionary figure of 89.4. The ISM Manufacturing sector’s diffusion index is currently 46.9, which is below the expansion/contraction line of 50. This diffusion index was in expansionary territory back in June of ’06. The M2 money supply is now contracting for the first time in modern history. It is down 4.6% from last year. Of course, during 2006, the money supply was increasing. The net percentage of banks tightening lending standards back in June of ’06 was -12.3%, meaning most banks were loosening lending standards back then. Today, 46% of banks are tightening lending standards. Weak demand for goods, as represented by the CRB Index, is down 15% year-over-year.

In contrast, commodities were up 20% from June 2005 thru June 2006. Finally, we now have two consecutive quarters of an earnings decline in S&P 500 stocks. Whereas earnings were growing by 14% back in 2006.

In other words, the economy was much stronger back in 2006 when the Fed paused hiking rates at 5.25% than it is today. Therefore, that should significantly shorten the timeframe between when the pause occurs and when the economic recession begins. Instead of having a brief EPS recession that rebounds sharply in the coming quarters, as is predicted by Wall Street, the current mild EPS recession should morph into a full-blown plunge soon and last longer than anticipated. That means this very narrow stock market rally should falter in the near term.

Now, I know some of you are frustrated that asset prices have not collapsed yet in 2022—I am surprised too. I guess that happens when M2 money supply surges by 42% in two years and the Fed prints $400 billion during two weeks in March to bail out the banking system. It just takes more time for those consumers and businesses to eat through that savings cushion. Nevertheless, the facts are clear that the economy is heading for a recession and not a soft landing.

From March 2000 through the fall of 2002, the NASDAQ lost 83% of its value. However, during that timeframe, the Nasdaq had four rallies that ranged between 28% and 49%. Markets do not move in a linear fashion and getting caught up in chasing those rallies were lethal to your financial future. Patience should be well rewarded this time around as well. 

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Michael Pento is the President and Founder of Pento Portfolio Strategies, produces the weekly podcast called, “The Mid-week Reality Check” and Author of the book “The Coming Bond Market Collapse.”

GUN CONTROL


After months of fighting for the Second Amendment, H.J. Res. 44 PASSED out of the House with bipartisan support and is now headed to the Senate.
H.J. Res. 44 is the congressional disapproval of Biden’s unconstitutional ban on pistol braces for firearms.
Thanks to your activism, it successfully passed the House by a vote of 219 – 210.

This is a HUGE VICTORY for gun owners everywhere – and it was all thanks to the millions of grassroots Americans like YOU who fought by our side.
But our work is NOT over…Now, we need your help flooding the Senate with letters urging them to pass H.J. Res. 44 to STRIKE DOWN Biden’s ban on 40,000,000 pistols with attached stabilizing braces.
Please add your name to our prewritten letter urging your two Senators to OVERTURN Biden’s pistol ban by passing H.J. Res. 44 now that it’s before the Senate.
ADD YOUR NAME
Joe Biden and the ATF abused their authority by circumventing the legislative process to ban 40,000,000 legally owned firearms.If allowed to stand, it would be the largest gun ban in American history.But unfortunately for anti-gunners, Congress has the power to make laws, not the ATF.
By voting to overturn Biden’s pistol ban, the House of Representatives has already sent a strong message to the courts about the intent of Congress.
That will make our legal case against the ATF even stronger as we ask a federal court to STRIKE DOWN this illegitimate infringement on your God-given rights.
However, nothing would send a powerful message – and strengthen our legal case – more than a bipartisan vote in both chambers of Congress to STRIKE DOWN this tyranny.
TELL THE SENATE: OVERTURN BIDEN’S PISTOL BAN
Biden has already threatened to veto any action from Congress that repeals his pistol ban.
He’s a tyrant who’s violated his oath to defend the Constitution of the United States of America and is an embarrassment to the office he holds.
But his veto threat doesn’t diminish the need for congressional action. The Senate CANNOT back down in the fight to defend the Constitution.
A pistol brace is NOT a firearm. It isn’t dangerous and it isn’t the “boogeyman” of the Second Amendment.
These stabilizing braces allow millions of Americans – including many service-disabled veterans – to exercise their Second Amendment rights.
No American should be made into a felon for owning a piece of plastic that enables them to exercise their constitutional rights and which has been legal in the United States for a decade.
It’s also important to note: Biden is not going to stop with pistol braces. His ultimate goal is to dismantle the Second Amendment and disarm the American people.
This ban on 40,000,000 pistols is only the first step towards implementing even more brazenly unconstitutional assaults on your right to keep and bear arms.Reid, as the battle shifts to the Senate, your two Senators need to hear from you. Due to the nature of this particular resolution, it can’t be filibustered and therefore could likely pass the Senate very quickly.
Grassroots support from millions of law-abiding gun owners like you is the cornerstone of our lobbying efforts in Congress.
Nothing is more compelling to lawmakers than hearing the angry voices of their constituents in the background as they weigh these critical decisions.
So please, add your name to our prewritten letter urging your two Senators to OVERTURN Biden’s pistol ban by passing H.J. Res. 44 now that it’s before the Senate.
In Liberty,
Erich Pratt

Senior Vice President
Gun Owners of America

MILITARY

PSYOPS

TREASON

The Legal Persecution of Trump Will Backfire on Biden and the Deep State if We Take Action Now!

The Legal Persecution of Trump Will Backfire on Biden and the Deep State if We Take Action Now!  Introduction: Alarming events have unfolded that demand our immediate attention.The legal persecution of former President Donald Trump is not just an attack on a single individual; it is an assault on the principles of justice, fairness, and the very foundation of our nation.We must recognize the dangerous implications of these actions and take a stand to protect our rights and the integrity of our institutions. The Biden administration and the deep state may think they can act with impunity, but the consequences of their actions will reverberate far beyond their intended target.  Misuse of Authority: The manner in which the Justice Department sought a subpoena to enforce the Presidential Records Act raises serious questions about their authority and motives. There was no legal basis for their actions, as the Act grants the president the discretion to determine what constitutes presidential records versus personal records. The request for a warrant, approved by a judge without a good faith basis, highlights an alarming abuse of power. It is evident that this was a deliberate attempt to harass President Trump and prevent him from seeking the presidency again.  Lack of Transparency: Despite engaging in such flagrant abuse of authority, the Biden administration has shown no interest in acknowledging or disclosing these wrongful actions. This lack of transparency only further fuels suspicions of political motivations and corruption. We, the people, deserve to know the truth and hold our government accountable. Our nation cannot thrive in an environment of secrecy and unchecked power.  Selective Enforcement: The double standards applied by the Justice Department are deeply troubling. We have seen former Senator and then Vice President Biden illegally keep classified documents in his garage, of which he had no authority to do so.. We have seen former Secretary of State Hillary Clinton illegally keep a server containing highly classified sensitive documents pertaining to national security in the bathroom of her home without consequence. We have seen previous presidents, such as Bill Clinton, Barack Obama and others former presidents, retain their records after leaving office, including classified presidential records. However, when it came to targeting Trump, the rules suddenly changed. This selective enforcement of the law undermines the principles of equal justice and exposes the true nature of the persecution.Lack of Trust: The erosion of public trust in the Biden administration, the Justice Department, and the FBI is a direct result of the corruption and abuse of power that we are witnessing. The American people should be able to rely on these institutions to uphold justice, protect our rights, and act impartially. However, recent events have shattered this trust and left us questioning their motives and credibility. We must demand accountability and restore the faith that has been lost.  The Battle for Transparency and Equal Justice: Now is the time to take action. We cannot allow these abuses to go unchallenged. We must urge our elected representatives to conduct thorough investigations, hold those responsible accountable, and to enforce the law equally. This battle for transparency and equal justice has just begun, and we must stand united in defense of our nation’s values.  Conclusion: The legal persecution of Donald Trump is not an isolated incident; it is indicative of a larger problem within our government and justice system. If we fail to act now, we risk setting a dangerous precedent where political motivations outweigh the principles of justice. We must rise above partisan divisions and demand accountability from our leaders. The future of our nation depends on it. 

WOKE

WOMEN

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