Yellen at Little Bighorn

Little Big Man – “You Go Down There”

In a June 25, 1863 letter from the Rothschild Brothers, they informed Messrs. Ikleheimer, Morton and Vandergould that John Sherman has advised them not to fear: few will be able to understand the financial hocus-pocus of the National Bank Act. [1]

And, noted the Rothschild Brothers, “the few who do understand will themselves be more interested in profiting from it than in opposing it.” [2]

Few will be able to understand the significance of last week’s Chinese yuan devaluations. And the few who do understand it will be more interested in profiting thereby than in explaining it to the uninitiated. The “sporting men” will read the “hot sheets” and will place their bets. All others be damned.

Coincident to last week’s Chinese surprise yuan devaluations there was a series of explosions, some beyond enormous, at a container storage station at the Port of Tianjin in the Binhai New Area of Tianjin, China. As of yet, no definite cause has been conclusively determined. Initial reports say it was an industrial accident. The story being promulgated is that there was a fire, fire fighters responded to the fire, they began to douse the fire with water, and the water, reacting with chemicals stored at the site, caused massive explosions. [3] And maybe that’s what happened. But maybe a thermobaric weapon, a “fuel-air explosive”, was responsible for a particularly huge explosion at Tianjin. (Background: Tianjin Explosion and China’s Yuan Devaluation, Ersjdamoo’s Blog, August 15, 2015.)

There is something called “the Baltic Dry Index.” The BDI is an economic indicator and is not limited to Baltic Sea countries. BDI indirectly measures global supply and demand for the commodities shipped aboard dry bulk carriers. [4] In 2008, the Baltic Dry Index fell 94 percent between May and December. The BDI drop was thought to have predicted the financial crash of 2008. [5]

A sharp drop in commodities prices, as measured by the Baltic Dry Index, presaged the financial crash of 2008. This was recalled by Stacy Herbert on Episode 797 of the Keiser Report. Published August 15, 2015, the Keiser Report was on location outdoors, by Chicago’s Lake Michigan. Because the Keiser Report is carried by the Russia Today network, a bike-riding heckler cruised past and yelled, “RT hates America!” Max Keiser, co-host of the financial program, laughed it off. But my reading is that the goons are being mobilized. We already know that John Kerry, U.S. Secretary of State, in 2014 called Russia Today a “propaganda bullhorn”. [6] Now the cadres of connected loudmouths are being deployed.

In 1864 the Chicago Board of Trade (CBOT) started the first exchange-traded foreign contracts which were called futures contracts. The Commodities Futures Market grew up in Chicago, a town to which all the trains went and which connected with Lake Michigan and sea routes. The 1980s saw the beginning of financial futures, which have dominated the commodities futures market. This has resulted in an enormous amount of paper wealth being created during the last 25 years. The futures market in commodities and its paper wealth has been a key driver for stock market highs. [7]

But people are now fleeing Illinois, location of the commodities speculation in Chicago. Stacy Herbert tried to explain it by baby boomers moving to warmer climates, yet it was admitted this was only a partial explanation for the flight from Illinois. Detroit also had a massive flight of population prior to its collapse. [7]

Corn futures and other commodities have been brutalized. Since July 14th corn has dropped 14 percent. Going back to since 2012, corn has taken a beating. A chart given on the Keiser Report episode showed how bad of a drop there has been. The crash of commodities at this time is worse than 2008 when the Baltic Dry Index went hugely down. The  Commodities Index is now down to where it was in 2001-2002. [7]

Pharaoh had two dreams, both featuring the number seven: multiply the two dreams by seven and you get 14. It has been 14 years now since the crash of the dot.com bubble. The Commodities Index is now down to where it was at that time. It has been 7 years since the crash of the housing bubble. (Further background: Where Have You Gone, Abby Martin?, Ersjdamoo’s Blog, August 13, 2015.)

Max Keiser stated we are now entering a global deflationary Armageddon-like period. States more reliant on farming and mining (36 percent of Wyoming’s output, e.g., depends on mining and agriculture) have been disproportionately hit. Overall it is not a pretty picture of what they keep calling an “economic recovery.” Carlyle Fund Walloped in Commodities Rout. “Brutalized”, “Walloped” – these are the words being used for what has happened to commodities. The drop in a Carlyle hedge-fund flagship has reportedly been from about $2 billion to less than $50 million. [7]

Janet Yellen, “poster girl” for whomever really runs the “Federal Reserve” is approaching Greasy Grass, better known as Little Bighorn. In mid-September the “Fed” will announce whether it is raising a key interest rate. In the movie, Little Big Man, Jack Crabb (Dustin Hoffman) advises General Custer (Richard Mulligan) to yes, go down there into the valley of Little Bighorn.

GENERAL CUSTER: There are no Indians there, I suppose.

JACK CRABB: I didn’t say that. There are thousands of Indians down there. And when they get done with you, there won’t be nothing left but a greasy stain. This ain’t the Washite River, General, and them ain’t helpless women and children waiting for you. They’re Cheyenne braves, and Sioux. You go down there, General, if you’ve got the nerve.

Jack Crabb’s advice is paradoxical. You’d have to have seen the movie, Little Big Man, to fully understand the nuances. General Custer thinks Jack Crabb is using reverse psychology and really does not want the General to proceed into the valley. So Custer, in the movie, takes this as the sign of an easy victory. We all know what happened then.

Max Keiser may be the Jack Crabb in the present situation. He advises “General Custer” (Janet Yellen) to yes, raise the rates. This will be good for the economy, says Keiser. [7] But if RT “hates America”, as the bike-riding goon said, Max Keiser might be doing a Jack Crabb when he urges Yellen to raise the rates. Then again, Keiser maybe is being honest in his opinion about benefits of raising rates. Is it reverse psychology, or is it double-reverse psychology? Says General Custer to Jack Crabb: “Still trying to outsmart me, aren’t you, mule-skinner. You want me to think that you don’t want me to go down there, but the subtle truth is you really don’t want me to go down there!”

——- Sources ——-
[1] “Civil War Between Currencies”, Ersjdamoo’s Blog, August 6, 2015. https://ersjdamoo.wordpress.com/2015/08/06/civil-war-between-currencies/
[2] “Evil Doings of the Salmon”, Ersjdamoo’s Blog, July 31, 2015. https://ersjdamoo.wordpress.com/2015/07/31/evil-doings-of-the-salmon/
[3] “2015 Tianjin explosions”, Wikipedia, August 16, 2015. https://en.wikipedia.org/wiki/2015_Tianjin_explosions
[4] “Baltic Dry Index”, Wikipedia, August 16, 2015.
[5] “Is Architecture the New Shipping?”, by David Cottle. The Source (Wall Street Journal Blogs), March 23, 2012.
[6] “Russia’s Propaganda Channel Just Got A Journalism Lesson From The US State Department”, by Brett LoGiurato. Business Insider (online), April 29, 2014.
[7] Keiser Report, Episode 797. Published August 15, 2015. http://www.rt.com/shows/keiser-report/312522-episode-max-keiser-797/

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About ersjdamoo

Editor of Conspiracy Nation, later renamed Melchizedek Communique. Close associate of the late Sherman H. Skolnick. Jack of all trades, master of none. Sagittarius, with Sagittarius rising. I'm not a bum, I'm a philosopher.
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