Collapse: It's Coming! Are You Ready? (Part 2)
by Gerald Celente
by Gerald Celente: Collapse:
It's Coming! Are You Ready?
a June 8th CNN/Opinion Research Corporation poll, 48 percent of
Americans believe that another Great Depression is likely to occur
in the next year the highest that figure has ever reached.
The survey also indicates that just under half of the respondents
live in a household where someone has lost a job or is worried that
unemployment may hit them in the near future.
years of obvious economic hardship experienced by tens of millions
of Americans only when the suffering and pain can no longer
be cloaked in abstractions and cooked statistics does an
emboldened media dare utter the forbidden D word.
Journal readers, alerted to this emerging trend some three years
ago, the prospect of Depression should come as no surprise. Neither
should the idea that, when it hits and can no longer be denied,
a long suffering public will take to the streets.
When I made
this forecast back then it was written off by most of the major
broadcast and print media. Now, however, when one of their own,
belatedly and hesitantly, raises that possibility he is elevated
to sage status and it becomes big news. In early June, Democratic
strategist James Its the Economy, Stupid Carville,
having finally mastered the higher math of adding two plus two,
warned that decaying economic conditions heightened the risk of
As I described
it all those years ago: When people lose everything, and have
nothing left to lose, they lose it.
The wars will proliferate and civil unrest will intensify. As we
forecast, the youth-inspired revolts that first erupted in North
Africa and the Middle East are now breaking out in Europe. Given
the trends in play and the people in power, economic collapse at
some level is inevitable. Governments and central banks will be
unrelenting in their determination to wring every last dollar, pound
or euro from the people through taxes while confiscating public
assets (a.k.a. privatization) in order to cover bad bets made by
banks and financiers.
When the people
have been bled dry financially and have nothing left to give, blood
will flow on the streets.
Learn from history. Do you remember when it first became apparent
that the US economy was in deep trouble and heading toward the Panic
of 08? Not many will. Most people were in a summer state of
mind and in holiday mode. It was late July 2007 when the stock market
suddenly plunged from its euphoric 14,000 high.
Though we had
warned in our Summer 2007 Trends Journal (released that June) that
trends indicators point to a major crisis hitting the financial
markets between July and November, the diving Dow was downplayed
as a mere hiccup
a time to pause between more
mouthfuls of expansion.
mistake in a falling stock market
swings in the Dow are giving investors pause. But taking your
money out of the market now could be the gravest mistake of all.
This past Thursday was the second worst day of the year
for the Dow Jones Industrial Average. But remember, it was just
a week ago today that the Dow closed above 14,000 for the first
(and only) time.
in the market shouldnt get to the 401(k) investor. Keep
in mind your time horizon most of us are going to be invested
in the market until we retire, often decades from now. ~ CNN 27 July 2007
and trillions of dollars in stock and 401(k) losses later, that
typical take a deep breath, stay the course advice looks
tragically misguided. The Dow would eventually lose more than half
its value and now, in June 2011, its fallen below 12,000.
The moral of
this story is to not let your mind take a summer vacation. Conditions
are rapidly deteriorating and it is imperative to remain on high
alert. Another violent financial episode is looming. It may be triggered
by economics (e.g., debt defaults and debt crisis contagion in Europe,
a crashing US dollar, or commodity price spikes); it could be terror
(false flag or real), a man-made disaster (another Fukushima) or
one made by Mother Nature
or any combination of the above.
Note: To excel in any field from gourmet chef to concert
pianist to close-combat warrior you have to practice
endlessly, over and over, until finally the training sinks in and
becomes a part of you.
In that spirit,
I again repeat: preparing for financial survival is a practice.
And it has to be treated as if you are preparing for battle; expect
the unexpected and prepare for the worst, which in these perilous
times could be a declaration of economic martial law. Banks may
close, currencies may be devalued and deposit withdrawals may be
imposed. Remember Gerald Celentes basic survival strategy,
GCs Three Gs: Guns, Gold and a Getaway plan.
with permission from the Daily
is founder and director of The Trends Research Institute, author
2000 and Trend
Tracking (Warner Books), and publisher of The Trends
Journal. He has been forecasting trends since 1980, and recently
called The Collapse of ’09.
2011 Gerald Celente
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