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My ‘Perspective’ on the Global Markets!

February 13, 2014

What a world we live in today! We now have some 7 billion human beings occupying space on our planet. There are now some 200 countries attempting to survive on our planet. And some 5 billion person’s now have mobile phones of some type. We can now communicate with practically anyone on our planet (in real-time) irrespective of location on the planet. I can call from the U.S.A. to China and vice versa in real-time and 24/7. Our vast communication technology and our global internet has allowed this new dimension to occur. This reality (our global internet) has also allowed investors, traders, lenders, savers, and speculators to transact financial deals internationally and 24/7. Let’s think about some of the implications which our new global financial system has created for all of us!

Our New World of Global Communication and Global Financial Markets!

I read in yesterday’s Wall Street Journal that investors are now planning to connect all the major stock exchanges in North America via a new laser technology which will allow traders near speed of light transactions between the connected exchanges. Speed is important to traders now that computers and algorithms are the tools used to trade most types of financial securities. The trend in motion is to get as near to the speed of light as possible. Our fiber optic cables have created speeds that approach the speed of light but the new laser technology is touted as an even a faster process. This means that traders can trade on all the connected exchanges at the same time using multiple trading strategies and in real-time. What a world this has become.

New Laser Technology to connect stock exchanges for faster execution of trading strategies!

Today, our ‘money’ consists of bits/bytes of digits which ‘flow’ from computer to computer and appear as images within our computer screens. Historical money which was physical in nature (paper and coins) is being rapidly replaced with a digital economy and a cashless society. The new term within trading is:  ‘money flows’. Money (really imaginary digits) ‘flows’ via photon frequencies from sender to receiver with the click of a computer mouse. Central banks can now create these imaginary digits by merely ‘typing’ digits into the computer screen. Yesterday, I asked American Express for an increase in my credit card limit. I made a call to customer service and within 15 minutes I had my credit limit increased. How could this happen?

All that is necessary today is for the banking authorities to ‘type’ into the computer the dollar increase for my new credit limit. It’s all so easy and my ‘money’ (now new digits to spend) appears in my account within 15 minutes from the time of my call. I now can ‘spend’ new money up to my limit for whatever I choose. This same process is used by our Central banks as they increase ‘money’ flows within our economy. The process of QE is merely a ‘typing’ of digits into the official Fed account (called the SOMA) and then purchases can be made by the Fed for whatever ‘assets’ they desire to purchase. All Central banks and most commercial banks can now create digits (which we call dollars, euros, yen, pounds, etc.) from their authority (given to them by our fractional reserve banking rules).

Money derives from Consciousness and then gets ‘typed’ into the Computer screen!

Money appears like a heavenly gift to those who are connected to/with the select Authorities which ‘type’ in the digits. The well-connected and the elite borrowers can now receive digital ‘money’ via transfers from the banking sources at near zero interest rates. What a great game for the well-connected and for those who receive first crack at the new digits. Today, our ‘money’ is imaginary and derives from the CONSCIOUSNESS of select banking AUTHORITIES. Those with inside knowledge and political heft can usually obtain their digits for whatever purpose they might desire. Is any of this new technology and the digital ‘money’ flows leading to a more fair and prosperous world for the average working slave on this planet? What about all the favoritism which the select elites receive under this centralized ‘money’ system?

Why don’t we ask where all this imaginary ‘money’ and debt is leading? Yesterday, our elected representatives increased the Debt Ceiling for our National Government for another year. Our National Debt is now some $17.3 trillion and there is no plan to reduce this debt. Our Public Debt is now over $22 trillion and our Private Debt (when added to the Public debt) means that we have over $60 trillion to repay. If we want to add the entitlements to this number we get over $200 trillion of additional debt. And if we add the Derivative obligations we can not count the total. So can we continue this Debt and Deficit game indefinitely? Is there a tipping point to all this Debt? When could this tipping point arrive?

As long as the greater market participants remain CONFIDENT and positive (with ignorance of any consequences) then the GAME could continue for a while. My sense is that this game of confidence will not change much until some ‘black swan’ event hits the markets with a game changer. What might some of these game changers be? WAR might be one option. If a major WAR were to develop in the Middle East this could bring all the major political players into the picture. This could be a major game changer in 2014-15. Another game changer might be a major ‘run’ on a major International Banking Institution. We could witness this type of event within any of a number of emerging countries. Argentina, Brazil, Turkey, Italy, Spain, Portugal, or even the USA or England could create this type of event. What else might create this ‘Black Swan’ event…leading to a major change in market psychology?

A country like China could upset everyone in the West with a new demand for a NEW GLOBAL RESERVE CURRENCY (to replace the dollar). As surplus exporting countries recognize the unfairness of the Dollar standard and the advantages which it provides the U.S. consumer, they may refuse to export their products to us without some assurance of a fair trade value. This type of thinking is now ubiquitous within many Asian countries and the new policy of ‘tapering’ by our Fed may set off even more angst within the emerging markets. These types of issues are unlikely to disappear in 2014-15 and the growing demand for change may reach a crescendo soon. Now may be a great opportunity to get yourself educated on all the changes which have recently occurred. At some point we will need to restructure our global economic system!

Following are a few websites which you might find interesting and educational going forward. Check them out and keep current on events happening on the World Stage. Enjoy! I am:

1. (great site for events happening on Wall Street)

2.  (great site for potential collapse of the dollar)

3.  (great site for what Europe is thinking)

4.  (great site for new developments in Global Governance)

5. (the logic of a Global Currency)

6. (forum for Select Elites who desire change)

7. (China calls for New World Reserve Currency)

Report from California Investment Conference, February 7-8, 2014:

A small group of investors and followers attended the above conference in Indian Wells, Ca. Some 200 were in attendance and I found the following reports meaningful:

Michael A. Berry (Discovery Investing): Serious deflation on the horizon. Debt kills growth. The M-1 money multiplier continues down. Velocity of money the problem. There is no way out of the Keynesian liquidity trap.

Gregory T. Weldon (Weldon Financial): Deflation crisis coming. Bernanke’s reflation amounted to some $22 trillion. It didn’t work. Home prices now in deflation mode.

Mike Maloney ( Big deflation within next 2-3 years. We could get hyper-inflation after deflation. Our Fed is a major problem for freedom and growth ( 

2 Comments leave one →
  1. February 14, 2014 8:57 am

    Hi Don

    Can I repost these articles on my blog. The mission of is to promote leadership through Christian media.

    Your friend Ray Morse Jr 207-323-4207

    Sent from my Verizon Wireless 4G LTE Smartphone


  2. February 14, 2014 1:17 pm

    Yes, Christian. You can post. D


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