COLLAPSE OF THE DOLLAR, IMMINENT??

Alex Jones published a surprising paper on flexible quantitative (QE3). The information that was exposed is very interesting, and is also somehow telling the world prepare for the worst between the months October-November-December. The paradigm shift is accelerated and has no turning back. The collapse is inevitable. The world will have to replace the dollar. Check here the link:http://www.prisonplanet.com/%E2%80%9Cdollar-index-headed-for-rapid-collapse%E2%80%9D-over-next-3-to-4-weeks.html

My comment:
The Federal Reserve is a secret society illuminati. This system is privately owned and not owned by the government. The system was initiated by the Rockefellers, Rothschilds, with the sole purpose of gaining control of the world economy. The creators of the Federal Reserve are the founders of the Council on Foreign Relations (CFR), which are interconnected with Freemasonry, the Trilateral Commission, the Bilderbergs, the Club of Rome, the Committee of 300 (which controls the finances, insurance, politics , industry, and religion, and leader of this Committee is Queen Elizabeth), G-8, Knights of Malta, Vatican, World Economic Forum; Rosicrucianism, the Knights of the Garter, the Priory of Sion (they believe to be the bloodline of the Holy Grail bloodline of the antichrist) and others.

The Federal Reserve slashed interest rates and loans to lower levels of history. This type of monetary policy triggered the debt crisis, which erupted after an implosion in 2008. Starting from that point on the dollar has become inflationary. Then this money was injected into the U.S. banking system by devaluing the dollar even more, with the prints, fiat money. It is because of that that QE2 failed. And now in 2012, the Fed again, injected the third round of prints fiat money to banks to defend themselves against multiple crises to come. The Federal Reserve is not insane, she knows very well what he is doing. She wants to destroy the dollar and replace it with the AMERO. This is the political illuminati.

As you see, is all part of a plan!!

If there really is an economic recovery, so why the Fed is still keeping interest rates at almost zero after almost three years, and that keeps measures Quantitative Flexible ?

The logic is that this will spill over into a hyper-inflation!!

Alex Jones is right to say that there will be hyperinflation. The collapse of the dollar is inevitable. The probability is very low in saying that the dollar will again rise. This will hurt exports and mainly OPEC. The result will be a currency crisis. The whole world will opt for other reserve currencies, will opt for gold, will opt for various exchange mechanisms, ie, it will not stop, the dollar will fall like a stone.

So what is the solution? AMERO.

The illuminati plan is to present the AMERO, in the world between November-December as shown in some of the articles posted anterios. See the link here:https://www.facebook.com/groups/globalresearch/permalink/10150674124913652/

I think things are going very fast.
The plan is being followed to the letter, the illuminati plan is functioning !!

We have to wait and see how things will unfold. If these changes occur, the AMERO will be the currency that is circulated electronically on the world market. This means that the next step of the illuminati is World War III.

Are you prepared?

Published by       Alexandre Silva

Jacob Rothschild, John Paulson And George Soros All Betting That Financial Disaster Is Coming

http://www.infowars.com


Are you willing to bet against three of the wealthiest men in the entire world? Jacob Rothschild recently bet approximately 200 million dollars that the euro will go down.

Billionaire hedge fund manager John Paulson made somewhere around 20 billion dollars betting against the U.S. housing market during the last financial crisis, and now he has made huge bets that the euro will go down and that the price of gold will go up.

And as I wrote about in my last article, George Soros put approximately 130 million more dollars into gold last quarter. So will the euro plummet like a rock? Will the price of gold absolutely soar? Well, if a massive financial disaster does occur both of those two things are likely to happen.

The European economy is becoming more unstable with each passing day, and investors all over the globe are looking for safe places to put their money. The mainstream media keeps telling us that everything is going to be okay, but the global elite are sending us a much, much different message by their actions.

Certainly Rothschild, Paulson and Soros know about things happening in the financial world that the rest of us don’t. The fact that they are all behaving in a consistent manner right now should be alarming for all of us.

Let’s start with Jacob Rothschild. Apparently he believes that the euro is headed for quite a tumble. The following is from a recent CNBC article….

You know the euro is in deep water when a doyen of the banking industry, Lord Jacob Rothschild takes a £130 million ($200 million) bet against it.

Okay, but the euro has already been falling dramatically. In mid-2011, the EUR/USD was above the 1.40 mark, and right now it is at about 1.23.

Does it really have that much more that it can fall?

If the eurozone ends up breaking apart it sure does.

If there is a Greek default, or if Germany leaves the euro, or if a new currency comes along to replace the euro those currently betting against it will end up looking like geniuses.

Another big name in the financial world that is betting against the euro right now is John Paulson. The following is from a recent Der Spiegel article….

One of these warriors is John Paulson. The hedge fund manager once made billions by betting on a collapse of the American real estate market. Not surprisingly, the financial world sat up and took notice when Paulson, who is now widely despised in America as a crisis profiteer, announced in the spring that he would bet on a collapse of the euro.

And as I noted in my last article, Paulson has also been putting billions of dollars into gold.

So just what are Rothschild and Paulson anticipating?

Could we be on the verge of a massive financial collapse in Europe?

According to the Der Spiegel article mentioned above, a lot of investors seem to be preparing for such a possibility right now….

Banks, companies and investors are preparing themselves for a collapse of the euro. Cross-border bank lending is falling, asset managers are shunning Europe and money is flowing into German real estate and bonds. The euro remains stable against the dollar because America has debt problems too. But unlike the euro, the dollar’s structure isn’t in doubt.

The financial world is starting to wake up to the fact that the globe is absolutely drowning in debt and it is not really good to be holding fiat currencies when a debt crisis erupts.

When men like John Paulson and George Soros start pouring huge amounts of money into gold, it is time to start becoming alarmed about the state of the global financial system.

The amount of money that these men are investing in gold is staggering….

There was also news last week in an SEC filing that both George Soros and John Paulson had increased their investment in SPDR Gold Trust, the world’s largest publicly traded physical gold exchange traded fund (ETF).

Mr Soros upped his stake in the ETF to 884,400 shares from 319,550 and Mr Paulson bought 4.53m shares, bringing his stake to 21.3m.

At the current price of about $156 a share, these are new investments of about $88m of Mr Soros’ cash and more than $700m from Mr Paulson’s funds. These are significant positions.

And the central banks of the world are certainly buying gold at an unprecedented rate as well. According to the World Gold Council, the central banks of the world added 157.5 metric tons of gold last quarter. That was the biggest move into gold by the central banks of the globe that we have seen in modern financial history.

But that might just be the beginning.

According to a recent Marketwatch article, there are persistent rumors that China has plans to buy thousands of metric tons of gold….

Within the gold market, there is unconfirmed speculation that China plans to buy up to at least 5,000 to 6,000 metric tons of gold and that it will start to buy during this year, according to Kevin Kerr, president of Kerr Trading International.

If China buys this much gold, that would exceed annual, global production of gold, he said. “We do not have enough gold for China to buy that much, and it will take China time to purchase this amount of gold.”

So what comes next?

Nobody is quite sure.

Another major financial crisis could erupt in Europe at any moment.

A major war in the Middle East could start literally at any time.

Renowned investor Jim Rogers believes that things are really going to get “bad after the next election“.

Others believe that the action could start even sooner than that.

The truth is that even though we have not seen a “Lehman Brothers moment” yet, things in Europe just continue to get progressively worse. The following is from a recent article by Mark E. Grant….

Whether you turn your attention to Greece, Spain, Italy, Portugal or even Ireland; it is getting worse. Nowhere on the Continent are things improving and even in France and Germany the financial strains are beginning to show. It is not a question of Euro-bear or Euro-bull; it is just the numbers as they come rolling out month after month.

There is a growing realization in Europe that the euro simply does not work. Italy is absolutely drowning in debt, the Spanish economy has basically descended into a depression, and Greece has been experiencing depression-like conditions for years at this point.

The euro is doomed. The only question is who is going to blink first.

Nobody wants to be the first to leave the euro. There are rumblings that it could actually be Finland that leaves the euro first, and that would please Germany just fine because they don’t want to look like the bad guys in all of this.

But that doesn’t mean that Germany won’t eventually pull the trigger if nobody else does. The German public is sick and tired of bailing out the weak sisters of southern Europe, and at this point it looks like it would take perpetual bailouts just to keep the euro together.

And recently there have been lots of little signs that Germany is starting to move slowly toward the exit doors.

In fact, I found it quite interesting that a giant euro sculpture was recently removed from the Frankfurt International Airport….

A massive € sculpture (identical to the one in front of the European Central Bank) was dismantled and removed from the Frankfurt International Airport in Germany Thursday.

The official explanation is ‘the plastic parts are getting weak after 11 years and the terminal needed the space‘.

Does € sculpture’s removal from the Frankfurt Airport indicate Germany is preparing for a surprise return to the Deutsche Mark?

Sure that might just be a coincidence, but it also could be a harbinger of things to come.

Sadly, most average people living in North America and Europe have absolutely no idea what is coming. Most of them just want to be able to get up in the morning and go to work and pay the bills and take care of their families.

Unfortunately, millions upon millions of those hard working individuals are in for a very rude awakening.

A lot of people are about to have their current lifestyles totally turned upside down.

But it doesn’t have to be all bad.

In fact, I found it very interesting to read about how some young people are responding to the depression in Greece….

In the spring of 2010, just as the Greek government was embarking on some of its harshest austerity measures, 29-year-old Apostolos Sianos packed in his well-paid job as a website designer, gave up his Athens apartment and walked away from modern civilisation.

In the foothills of Mount Telaithrion on the Greek island of Evia, Mr Sianos and three other like-minded Athenians set up an eco-community.

The idea was to live in an entirely sustainable way, free from the ties of money and cut off from the national electricity grid.

The group sleeps communally in yurts they have built themselves, they grow their own food and exchange the surplus in the nearest village for any necessities they cannot produce.

I think there is a lesson to be learned there.

When the system fails, it is going to be important to be able to live independently of the system.

Governments and big banks all over the world have been rapidly preparing for the coming financial collapse.

Perhaps the rest of us should be too.

If you can believe it, 77 percent of all Americans live paycheck to paycheck at least some of the time.

If another major economic crisis comes along, many of those people are going to be totally wiped out.

And there are already signs that the U.S. economy is basically on life support at this point.

Just look at the velocity of money.

In an economy that is growing and healthy, money tends to circulate very, very quickly.

But when an economy is sick, money tends to circulate very slowly.

And that is exactly what is happening right now. In fact, the velocity of money is currently at the lowest level in modern U.S. history….

This is exactly what happened back in the 1930s. The velocity of money absolutely plummeted. When people are scared, credit is tight and times are hard, money does not exchange hands as rapidly.

But this is just the beginning.

What we are experiencing right now is rip-roaring prosperity compared to what is coming.

Jacob Rothschild, John Paulson and George Soros are preparing themselves for the tremendous chaos that is coming.

Are you getting prepared?

77 Percent Of All Americans Live Paycheck To Paycheck At Least Part Of The Time

Published by

The Truth

If a major economic crisis hit us right now, the vast majority of Americans would be extremely vulnerable.  According to a recent CareerBuilder survey, 40 percentof all Americans live paycheck to paycheck all of the time, and 77 percent of all Americans live paycheck to paycheck at least part of the time.  This is why there was such a problem with foreclosures during the last recession.  When millions of Americans suddenly lost their jobs many of them quickly found that they were unable to pay their mortgages because they had no financial cushions.  For decades, Americans have been trained that it is okay to get into debt up to their eyeballs and live paycheck to paycheck because times will always be good and jobs will always be easy to get.  Unfortunately, times have changed and many Americans do not realize that what has worked in the past is not going to work any longer.  Our economy is completely and totally falling apart, and economic success is no longer defined by whoever is able to accumulate the most toys.  In this economic environment you could lose your job at literally any moment.  Anyone that does not have a sizable emergency fund is flirting with disaster.

So how did we get here?

Why are 77 percent of all Americans living paycheck to paycheck at least part of the time?

Not Enough Jobs

Well, the truth is that the U.S. economy simply does not produce enough jobs anymore.

Everyone that wants a job is not going to be able to have one.

Many were hoping that once the last recession ended that we would see a huge rebound in the employment numbers but that has not happened.

In fact, the percentage of working age Americans that have a job is actually lower now than it was at the end of the last recession….

There are lots of reasons why this is happening.  One of them, of course, is thatmillions of jobs are being shipped out of the country.  When you consider how fast our jobs are being outsourced, it is actually a miracle that things in this country are not even worse.

When you total up all working age Americans that do not have a job in America today, it comes to more than 100 million.  Yes, many of them are parents that want to stay home with the kids or students that are enrolled in college, but still that is an absolutely staggering number.

And even the official unemployment numbers are starting to look quite gloomy again.

For example, the unemployment rate in New Jersey has risen to 9.8 percent, which is already higher than it was at any point during the last recession.

And if you do lose your job in this economic environment, it may be a long time before you are able to get another.  Today, the average duration of unemployment in the United States is nearly three times as long as it was back in the year 2000.

The Quality Of Our Jobs Is Declining

Not only is our economy not producing enough jobs for all of us, the quality of the jobs that are being produced continues to steadily decline.

At this point, only 24.6 percent of all jobs in the United States are good jobs.

That is a shocking figure.

The number of low paying jobs continues to increase, fewer jobs are offering health insurance and other benefits, and very few private sector jobs offer retirement benefits at this point.

In America today, one out of every four workers makes ten dollars an hour or less.

But you can’t support a family on 10 dollars an hour.

You can’t even come close.

Sadly, these low paying jobs continue to become a larger part of our economy.

30 years ago, less than 30% of all jobs in the United States were low income jobs.

Today, more than 40% of all jobs in the United States are low income jobs.

That is the wrong direction.

And those just entering the workforce are being hurt the worst.

As I wrote about a while back, approximately 53 percent of all U.S. college graduates under the age of 25 were either unemployed or underemployed last year.

Ouch.

Declining Wealth

As the quality of the jobs goes down, so does the wealth of average American families.

Back in 2007, 19.2 percent of all American families had a net worth of zero or less than zero.

By 2010, that figure had risen to 32.5 percent.

And when you look at median net worth, it also tells a story of declining wealth for American families.

According to the Federal Reserve, the median net worth of American families dropped “from $126,400 in 2007 to $77,300 in 2010“.

Rising Poverty

Needless to say, the middle class in America is being shredded.

Millions are dropping out of the middle class every single year.

So what is happening to them?

Well, they are joining the ranks of the poor and are becoming dependent on the government.

If you can believe it, right now more than 100 million Americans are enrolled in at least one welfare program run by the federal government.

Yes, that is actually true.

Remember, more than 46 million Americans are enrolled in the food stamp program right now and more than 54 million Americans are enrolled in Medicaid.

And those are just 2 of the almost 80 different “means-tested welfare programs” that the federal government runs.

An Increasingly Angry Population

It turns out that most Americans don’t like to be poor.

In fact, most Americans are desperately wanting things to go back to the way they used to be in this country.

The American people are steaming mad right now, and a whole host of recent polls and surveys have shown this.

For example, at this point Congress only has a 10 percent approval rating.  That matches an all-time low set earlier this year.

That is a crazy number.

And most Americans expect the economy to continue to decline.  According to a recent Gallup survey, 61 percent of all Americans believe that the U.S. economy is getting even worse.

But what can the U.S. government do?

It is already spending more than a trillion dollars more than it brings in.

We are stealing billions of dollars from our children and our grandchildren every single day and yet that is still not enough to get our economy going again.

We are now basically 16 trillion dollars in debt, and our debt is now more than 37 times larger than it was when Nixon took us off the gold standard.

We desperately need to change course, but neither major political party has any intention of doing that.

So we are headed for disaster.

The following is what renowned investor Jim Rogers had to say during a recent interview….

As far as I’m concerned, the election is irrelevant. One [candidate] happens to be from Boston and one from Chicago, and whoever wins, their friends are going to do well, but other than that America is not going to do well. There’s very little difference in any of these guys. None of them understands the problem. These are the guys that got us into trouble. You expect them to get us out?

And he is right.

We are living in the greatest debt bubble in the history of the world and we are suffering from a complete and total lack of leadership at the top.

Recently, a team of top economists and analysts carefully studied the global economic system, and what this team of experts discovered is quite chilling….

And according to these experts – who have presented their findings to the United Nations, the UK Parliament and a long list of world governments – the catastrophe may happen well before Americans hit the polls in November.

“What this pattern represents is a dangerous countdown clock that’s quickly approaching zero,” said Keith Fitz-Gerald, the Chief Investment Strategist for the Money Map Press, who predicted the 2008 oil shock, the credit default swap crisis that helped bring about the recession, and the Greek and European fiscal catastrophe that is still wreaking havoc until this day.

“The resulting chaos is going to crush Americans.”

Other members of the team were extremely alarmed by what was discovered as well….

Another member of this team, Chris Martenson, a global economic trend forecaster, former VP of a Fortune 300, and an internationally recognized expert on the dangers of exponential growth in the economy, explained their findings further:

“We found an identical pattern in our debt, total credit market, and money supply that guarantees they’re going to fail,” Martenson said. “This pattern is nearly the same as in any pyramid scheme, one that escalates exponentially fast before it collapses. Governments around the globe are chiefly responsible.”

“And what’s really disturbing about these findings is that the pattern isn’t limited to our economy. We found the same catastrophic pattern in our energy, food, and water systems as well.”

Most Americans do not realize this, but we are heading for an economic disaster of unprecedented proportions.

It is going to be extremely painful and it is going to shake millions of Americans to the core.

Get ready while you still can, because time is running out.

Jacob Rothschild, John Paulson And George Soros Are All Betting That Financial Disaster Is Coming

Published by

The Economic Collapse

Are you willing to bet against three of the wealthiest men in the entire world?  Jacob Rothschild recently bet approximately 200 million dollars that the euro will go down.  Billionaire hedge fund manager John Paulson made somewhere around 20 billion dollars betting against the U.S. housing market during the last financial crisis, and now he has made huge bets that the euro will go down and that the price of gold will go up.  And as I wrote about in my last article, George Soros put approximately 130 million more dollars into gold last quarter.  So will the euro plummet like a rock?  Will the price of gold absolutely soar?  Well, if a massive financial disaster does occur both of those two things are likely to happen.  The European economy is becoming more unstable with each passing day, and investors all over the globe are looking for safe places to put their money.  The mainstream media keeps telling us that everything is going to be okay, but the global elite are sending us a much, much different message by their actions.  Certainly Rothschild, Paulson and Soros know about things happening in the financial world that the rest of us don’t.  The fact that they are all behaving in a consistent manner right now should be alarming for all of us.

Let’s start with Jacob Rothschild.  Apparently he believes that the euro is headed for quite a tumble.  The following is from a recent CNBC article….

You know the euro is in deep water when a doyen of the banking industry, Lord Jacob Rothschild takes a £130 million ($200 million) bet against it.

Okay, but the euro has already been falling dramatically.  In mid-2011, the EUR/USD was above the 1.40 mark, and right now it is at about 1.23.

Does it really have that much more that it can fall?

If the eurozone ends up breaking apart it sure does.

If there is a Greek default, or if Germany leaves the euro, or if a new currency comes along to replace the euro those currently betting against it will end up looking like geniuses.

Another big name in the financial world that is betting against the euro right now is John Paulson.  The following is from a recent Der Spiegel article….

One of these warriors is John Paulson. The hedge fund manager once made billions by betting on a collapse of the American real estate market. Not surprisingly, the financial world sat up and took notice when Paulson, who is now widely despised in America as a crisis profiteer, announced in the spring that he would bet on a collapse of the euro.

And as I noted in my last article, Paulson has also been putting billions of dollars into gold.

So just what are Rothschild and Paulson anticipating?

Could we be on the verge of a massive financial collapse in Europe?

According to the Der Spiegel article mentioned above, a lot of investors seem to be preparing for such a possibility right now….

Banks, companies and investors are preparing themselves for a collapse of the euro. Cross-border bank lending is falling, asset managers are shunning Europe and money is flowing into German real estate and bonds. The euro remains stable against the dollar because America has debt problems too. But unlike the euro, the dollar’s structure isn’t in doubt.

The financial world is starting to wake up to the fact that the globe is absolutely drowning in debt and it is not really good to be holding fiat currencies when a debt crisis erupts.

When men like John Paulson and George Soros start pouring huge amounts of money into gold, it is time to start becoming alarmed about the state of the global financial system.

The amount of money that these men are investing in gold is staggering….

There was also news last week in an SEC filing that both George Soros and John Paulson had increased their investment in SPDR Gold Trust, the world’s largest publicly traded physical gold exchange traded fund (ETF).

Mr Soros upped his stake in the ETF to 884,400 shares from 319,550 and Mr Paulson bought 4.53m shares, bringing his stake to 21.3m.

At the current price of about $156 a share, these are new investments of about $88m of Mr Soros’ cash and more than $700m from Mr Paulson’s funds. These are significant positions.

And the central banks of the world are certainly buying gold at an unprecedented rate as well.  According to the World Gold Council, the central banks of the world added 157.5 metric tons of gold last quarter.  That was the biggest move into gold by the central banks of the globe that we have seen in modern financial history.

But that might just be the beginning.

According to a recent Marketwatch article, there are persistent rumors that China has plans to buy thousands of metric tons of gold….

Within the gold market, there is unconfirmed speculation that China plans to buy up to at least 5,000 to 6,000 metric tons of gold and that it will start to buy during this year, according to Kevin Kerr, president of Kerr Trading International.

If China buys this much gold, that would exceed annual, global production of gold, he said. “We do not have enough gold for China to buy that much, and it will take China time to purchase this amount of gold.”

So what comes next?

Nobody is quite sure.

Another major financial crisis could erupt in Europe at any moment.

A major war in the Middle East could start literally at any time.

Renowned investor Jim Rogers believes that things are really going to get “bad after the next election“.

Others believe that the action could start even sooner than that.

The truth is that even though we have not seen a “Lehman Brothers moment” yet, things in Europe just continue to get progressively worse.  The following is from a recent article by Mark E. Grant….

Whether you turn your attention to Greece, Spain, Italy, Portugal or even Ireland; it is getting worse. Nowhere on the Continent are things improving and even in France and Germany the financial strains are beginning to show. It is not a question of Euro-bear or Euro-bull; it is just the numbers as they come rolling out month after month.

There is a growing realization in Europe that the euro simply does not work.  Italy is absolutely drowning in debt, the Spanish economy has basically descended into a depression, and Greece has been experiencing depression-like conditions for years at this point.

The euro is doomed.  The only question is who is going to blink first.

Nobody wants to be the first to leave the euro.  There are rumblings that it could actually be Finland that leaves the euro first, and that would please Germany just fine because they don’t want to look like the bad guys in all of this.

But that doesn’t mean that Germany won’t eventually pull the trigger if nobody else does.  The German public is sick and tired of bailing out the weak sisters of southern Europe, and at this point it looks like it would take perpetual bailouts just to keep the euro together.

And recently there have been lots of little signs that Germany is starting to move slowly toward the exit doors.

In fact, I found it quite interesting that a giant euro sculpture wasrecently removed from the Frankfurt International Airport….

A massive € sculpture (identical to the one in front of the European Central Bank) was dismantled and removed from the Frankfurt International Airport in Germany Thursday.

The official explanation is ‘the plastic parts are getting weak after 11 years and the terminal needed the space‘.

Does € sculpture’s removal from the Frankfurt Airport indicate Germany is preparing for a surprise return to the Deutsche Mark?

Sure that might just be a coincidence, but it also could be a harbinger of things to come.

Sadly, most average people living in North America and Europe have absolutely no idea what is coming.  Most of them just want to be able to get up in the morning and go to work and pay the bills and take care of their families.

Unfortunately, millions upon millions of those hard working individuals are in for a very rude awakening.

A lot of people are about to have their current lifestyles totally turned upside down.

But it doesn’t have to be all bad.

In fact, I found it very interesting to read about how some young people are responding to the depression in Greece….

In the spring of 2010, just as the Greek government was embarking on some of its harshest austerity measures, 29-year-old Apostolos Sianos packed in his well-paid job as a website designer, gave up his Athens apartment and walked away from modern civilisation.

In the foothills of Mount Telaithrion on the Greek island of Evia, Mr Sianos and three other like-minded Athenians set up an eco-community.

The idea was to live in an entirely sustainable way, free from the ties of money and cut off from the national electricity grid.

The group sleeps communally in yurts they have built themselves, they grow their own food and exchange the surplus in the nearest village for any necessities they cannot produce.

I think there is a lesson to be learned there.

When the system fails, it is going to be important to be able to live independently of the system.

Governments and big banks all over the world have been rapidly preparing for the coming financial collapse.

Perhaps the rest of us should be too.

If you can believe it, 77 percent of all Americans live paycheck to paycheck at least some of the time.

If another major economic crisis comes along, many of those people are going to be totally wiped out.

And there are already signs that the U.S. economy is basically on life support at this point.

Just look at the velocity of money.

In an economy that is growing and healthy, money tends to circulate very, very quickly.

But when an economy is sick, money tends to circulate very slowly.

And that is exactly what is happening right now.  In fact, the velocity of money is currently at the lowest level in modern U.S. history….

For much more discussion on this, please check out this article.

This is exactly what happened back in the 1930s.  The velocity of money absolutely plummeted.  When people are scared, credit is tight and times are hard, money does not exchange hands as rapidly.

But this is just the beginning.

What we are experiencing right now is rip-roaring prosperity compared to what is coming.

Jacob Rothschild, John Paulson and George Soros are preparing themselves for the tremendous chaos that is coming.

Are you getting prepared?

Israel’s New Oil Weapon

http://www.americanthinker.com/


Seemingly out of nowhere, geopolitics have been all but turned upside down in the Middle East, thanks to the discovery of massive energy resources in Israeli territory. As a nascent Oil Power, the Jewish State is only beginning to contemplate the new dynamics of influence available to it.

The world knows Vladimir Putin as President of Russia; however, to Putin’s official title, allow me to suggest a second appellation, unofficial, but no less descriptive: Israel’s New Best Friend. Until recently, one could characterize Russia’s position vis-à-vis Israel as, at best ambivalent: cordial relations with Jerusalem on the one hand, while supplying weapons, nuclear technology and other assistance to her enemies on the other.

But Putin’s late June visit to Israel signaled, and was meant to signal, a sea-change in Russia-Israel relations — “sea” as in Mediterranean sea, where in 2009, 50 miles off the Israeli coast, geologists discovered “an estimated 8.3 tcf (trillion cubic feet) of highest-quality natural gas,” to be surpassed just a year later with the discovery of a second field, named Leviathan, of an additional 16 tcf, “making it the world’s biggest deep-water gas find in a decade” and causing Israel to go from “a gas famine to feast in a matter of months.” Other estimates put the Leviathan reserves as high as 20 tcf.

Needless to say, these discoveries could not be more timely, coming at about the same time as the Muslim Brotherhood‘s ascension to power and acts of sabotage in Egypt jeopardize the reliability of natural gas supplies to Israel from that country. Who says that God does not retain a special place in his heart for His Chosen People?

But of more earthly, and material, concern than the Almighty’s mysterious affection for an ancient tribe of itinerant sheepherders, is Russian energy giant Gazprom’s love of lucrative gas extraction contracts with the Jewish state. After all, oil and gas discoveries of such magnitude are about as rare as the sight of Vladimir Putin, praying at the Western, wall in a yarmulke. Or taking the Palestinians’ side against the Israelis’ as energetically in the future as he has in the past.

For, as Jerusalem Post columnist Isi Leibler notes, while Putin “heads a country which has ties and provides weapons to some of Israel’s greatest enemies including Iran and Syria” and “tends to support the Palestinian position, both as a member of the Quartet and at the UN”, Putin’s visit to Israel unquestionably sends clear signals.

Even recognizing major divergence of policies in relation to Iran and Syria, and that Putin’s tensions with the United States and interests in the Arab world preclude Israel from considering him a partner, it sends a message to the Arabs that Russia is not an enthusiastic ally in their efforts to undermine the Jewish state.

Or at least not while the rubles are flowing into Gazprom’s coffers, anyway. Both countries share ambivalent and sometimes strained relations with Turkey; concerns about the dark side of the Arab Spring, the rise of the Muslim Brotherhood and Islamic fundamentalism; and concerns about events in Syria.

Some of Israel’s European critics might also want to rethink their anti-Israel stances and the barely disguised anti-Semitism that inspires them, or at least tone it down a bit should they want, at some future time, a piece of the Israeli oil-pie. As Victor Davis Hansen asks, “Will Europe still snub Israel when it has as much oil, gas, and money as an OPEC member in the Persian Gulf?”

Well, I’m pretty sure they’ll want to, but as De Gaulle famously said, “France has no friends, only interests.”

I suppose we’ll find out soon enough whether France has no enemies, either. In the meantime, Walter Russell Mead simply states the obvious when he says that “regardless of the simple economic impact, in different ways and different degrees the Gulf countries and Russia are going to lose a lot of the political advantages that their energy wealth now gives them.

They will have less ability to restrict supply and to manipulate prices than they have had in the past. Oil and gas are going to be less special when supplies are more abundant and more broadly distributed.

To which this writer would only add: especially when a major source of these “more abundant and broadly distributed” supplies is a stable, democratic friend and ally.

And finally there is America. For Russia, it’s the traditional East-West rivalry. But for Israel, it is not so much America the country as it is her current, and hapless, president, Barack Obama and the Israel-hostile fellow travelers who populate his administration.

For the first time since, perhaps, the Eisenhower administration, Israel has good reason, at least while Obama is in power, to question our reliability as an ally.

And Putin has an obvious incentive to exploit Jerusalem’s doubts by moving closer to Israel in the hope of creating a concomitant distance between Israel and the U.S. Indeed, he may already be doing so:

Putin’s arrival in the region must be viewed in contrast to President Obama, who has yet to visit Israel…. President Putin’s visit was clearly calculated to be the mirror image of Obama’s last visit to the region. In a similar manner, while Obama chose to talk to Palestinian Authority President Mahmoud Abbas in his first overseas telephone call as president, Putin and Israeli Prime Minister Netanyahu spoke on the phone immediately after Putin’s return to the presidency in May..

What’s more, not only did Putin begin his tour of the Middle East in Israel, he also made a point in visiting holy Christian and Jewish sites, while entirely skipping the Muslim shrines.

He met with Christian and Jewish religious leaders but avoided meeting any Muslim clergy. Even when visiting the Palestinian Authority, Putin chose to come to Bethlehem — a Christian site — rather than Ramallah.

Whereas Obama chose to reach out to Islam and the Palestinians during his famous 2009 speech in Cairo, Putin chose to appear as the defender of Christianity in the Middle East, outreaching to Judaism and playing down the Palestinian case.

Indeed, when Putin insisted on negotiations instead of unilateral steps as the right path towards the resolution of the Israeli-Palestinian conflict, he practically endorsed Israel’s stance on the matter.

I mention the above as a cautionary note. Israel has a lot more than oil to offer Russia — and China, and India — than oil. She also has brainpower and all the technological prowess that goes along with it, and here I mean, especially, military technology, which, I think we all can agree, our competitors and enemies would very much like to have.

What Israel does not have a lot of, is money. But Russia, India and, especially, China, have oodles of the stuff, much of it formerly ours. And I would not count the Israelis themselves out, either: as more and more Israeli energy exporting infrastructure comes online, and the revenues start flowing in, Israel might, one day, have substantial funds of her own to put in the pot.

Yes, Israel loves us — but do they love us enough to commit national suicide for us? Israel is a tiny country, surrounded by enemies both potential and real, and like any country in such a situation, relies on alliances and partnerships with larger ones.

Which country, or countries, one allies with, however, is of considerably lesser importance when survival is the issue and let’s be brutally honest, here. If you were Benjamin Netanyahu, and Barack Obama were your ally, would you want to put all of your alliance eggs in one basket?

So as he continues to lambaste Israel on the one hand, while schmoozing Israel’s rivals and enemies on the other, and assuming that an Israeli-designed anti-missile missile could shoot down an American missile as well as it can an Arab — or Chinese, or Russian — one, President Obama might wish to ponder the geopolitical implications of the day, if it ever comes, that the Israelis decide that they don’t need us anymore.

But we were talking about oil, about how the new Israeli discoveries make Israel, for the first time in her history, both energy-independent and an increasingly desirable ally and partner for any number of rich, powerful and above all, energy-hungry, countries. So let’s look at the military implications of Israel’s emergence as an “energy superpower” and how her energy independence can benefit not just her, but us, too.

Many of us older folks remember well the Arab oil embargo of 1973, Sheik Yamani, a sweater-clad Jimmy Carter turning down the thermostat in the White House and, above all, the breathless anticipation with which the world would await the result of each price-setting meeting of the then-all powerful (or at least so it seemed) Arab oil cartel.

Fortunately, we haven’t heard from the cartel in a while and with an oil-rich Israel more than happy to help her Western friends — and hurt her Arab (and Venezuelan) enemies — by ramping up her own production to offset any lost production from production reductions elsewhere, we may never hear from them again.

But of course, any introduction of new supply will push oil prices down everywhere and reduce revenues for everyone. Including, of course, Iran. So if you’re Israel, with an enemy as implacable — and oil-revenue dependent — as Iran, why wait for an embargo? Why not flood the world with as much oil, as fast, and as cheaply, you can? Need oil, mister? Oy, have I got a deal for you….

And finally, regarding Iran, there is the military application: Iran’s nuclear facilities are hidden deep underground, but her oilfields are not. Most, if not all, of Iran’s oil production infrastructure is above ground, vulnerable to attack and, oh, by the way, oil is extremely flammable.

By impairing Iran’s oilfields, which the Israeli air force probably could do, Israel could bring the Iranian economy, and the Mullahs who rule it, to its and their knees.

Indeed, one can only assume that the only reason the Israelis haven’t already done so is the predicted effect on oil prices and the predictable cries of outrage from the “international community” guaranteed to arise therefrom. But with Israel ready, willing and able to replace any lost Iranian oil in quantities sufficient to keep world oil prices stable or even lower…?

Since the destruction of the First Temple by the Babylonians in 586 B.C., through centuries of conquest, revolt and exile, Jews have dreamed of — and fought for, and died for — the day when a restored, militarily strong, truly independent Israel would rise and resume her rightful place among the nations of the world.

With Israel’s newfound energy supplies, and the will and wisdom to exploit those supplies to her advantage, that day may not be far off.

20 Signs That A Horrific Global Food Crisis Is Coming

In case you haven’t noticed, the world is on the verge of a horrific global food crisis.  At some point, this crisis will affect you and your family.  It may not be today, and it may not be tomorrow, but it is going to happen.  Crazy weather and horrifying natural disasters have played havoc with agricultural production in many areas of the globe over the past couple of years.  Meanwhile, the price of oil has begun to skyrocket.  The entire global economy is predicated on the ability to use massive amounts of inexpensive oil to cheaply produce food and other goods and transport them over vast distances.  Without cheap oil the whole game changes.  Topsoil is being depleted at a staggering rate and key aquifers all over the world are being drained at an alarming pace.  Global food prices are already at an all-time high and they continue to move up aggressively.  So what is going to happen to our world when hundreds of millions more people cannot afford to feed themselves?

Most Americans are so accustomed to supermarkets that are absolutely packed to the gills with massive amounts of really inexpensive food that they cannot even imagine that life could be any other way.  Unfortunately, that era is ending.

There are all kinds of indications that we are now entering a time when there will not be nearly enough food for everyone in the world.  As competition for food supplies increases, food prices are going to go up.  In fact, at some point they are going to go way up.

Let’s look at some of the key reasons why an increasing number of people believe that a massive food crisis is on the horizon.

The following are 20 signs that a horrific global food crisis is coming….

#1 According to the World Bank44 million people around the globe have been pushed into extreme poverty since last June because of rising food prices.

#2 The world is losing topsoil at an astounding rate.  In fact, according to Lester Brown, “one third of the world’s cropland is losing topsoil faster than new soil is forming through natural processes”.

#3 Due to U.S. ethanol subsidies, almost a third of all corn grown in the United States is now used for fuel.  This is putting a lot of stress on the price of corn.

#4 Due to a lack of water, some countries in the Middle East find themselves forced to almost totally rely on other nations for basic food staples.  For example, it is being projected that there will be no more wheat production in Saudi Arabia by the year 2012.

#5 Water tables all over the globe are being depleted at an alarming rate due to “overpumping”.  According to the World Bank, there are 130 million people in China and 175 million people in India that are being fed with grain with water that is being pumped out of aquifers faster than it can be replaced.  So what happens once all of that water is gone?

#6 In the United States, the systematic depletion of the Ogallala Aquifer could eventually turn “America’s Breadbasket” back into the “Dust Bowl“.

#7 Diseases such as UG99 wheat rust are wiping out increasingly large segments of the world food supply.

#8 The tsunami and subsequent nuclear crisis in Japan have rendered vast agricultural areas in that nation unusable.  In fact, there are many that believe that eventually a significant portion of northern Japan will be considered to be uninhabitable.  Not only that, many are now convinced that the Japanese economy, the third largest economy in the world, is likely to totally collapse as a result of all this.

#9 The price of oil may be the biggest factor on this list.  The way that we produce our food is very heavily dependent on oil.  The way that we transport our food is very heavily dependent on oil.  When you have skyrocketing oil prices, our entire food production system becomes much more expensive.  If the price of oil continues to stay high, we are going to see much higher food prices and some forms of food production will no longer make economic sense at all.

#10 At some point the world could experience a very serious fertilizer shortage.  According to scientists with the Global Phosphorus Research Initiative, the world is not going to have enough phosphorous to meet agricultural demand in just 30 to 40 years.

#11 Food inflation is already devastating many economies around the globe.  For example, India is dealing with an annual food inflation rate of 18 percent.

#12 According to the United Nations, the global price of food reached a new all-time high in February.

#13 According to the World Bank, the global price of food has risen 36% over the past 12 months.

#14 The commodity price of wheat has approximately doubled since last summer.

#15 The commodity price of corn has also about doubled since last summer.

#16 The commodity price of soybeans is up about 50% since last June.

#17 The commodity price of orange juice has doubled since 2009.

#18 There are about 3 billion people around the globe that live on the equivalent of 2 dollars a day or less and the world was already on the verge of economic disaster before this year even began.

#19 2011 has already been one of the craziest years since World War 2.  Revolutions have swept across the Middle East, the United States has gotten involved in the civil war in Libya, Europe is on the verge of a financial meltdown and the U.S. dollar is dying.  None of this is good news for global food production.

#20 There have been persistent rumors of shortages at some of the biggest suppliers of emergency food in the United States.  The following is an excerpt from a recent “special alert” posted on Raiders News Network….

Look around you. Read the headlines. See the largest factories of food, potassium iodide, and other emergency product manufacturers literally closing their online stores and putting up signs that explain, due to overwhelming demand, they are shutting down sales for the time being and hope to reopen someday.

So what does all of this mean?

It means that time is short.

For years, many “doom and gloomers” have been yelling and screaming that a food crisis is coming.

Well, up to this point there hasn’t been much to get alarmed about.  Food prices have started to rise, but the truth is that our stores are still packed to the rafters will gigantic amounts of relatively cheap food.

However, you would have to be an idiot not to see the warning signs.  Just look at what happened in Japan after March 11th.  Store shelves were cleared out almost instantly.

It isn’t going to happen today, and it probably isn’t going to happen tomorrow, but at some point a major league food crisis is going to strike.

So what are you and your family going to do then?

You might want to start thinking about that.

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Saudi Arabia And China Team Up To Build A Gigantic New Oil Refinery – Is This The Beginning Of The End For The Petrodollar?

The largest oil exporter in the Middle East has teamed up with the second largest consumer of oil in the world (China) to build a gigantic new oil refinery and the mainstream media in the United States has barely even noticed it.  This mammoth new refinery is scheduled to be fully operational in the Red Sea port city of Yanbu by 2014.  Over the past several years, China has sought to aggressively expand trade with Saudi Arabia, and China now actually imports more oil from Saudi Arabia than the United States does.  In February, China imported 1.39 million barrels of oil per day from Saudi Arabia.  That was 39 percent higher than last February.  So why is this important?  Well, back in 1973 the United States and Saudi Arabia agreed that all oil sold by Saudi Arabia would be denominated in U.S. dollars.  This petrodollar system was adopted by almost the entire world and it has had great benefits for the U.S. economy.  But if China becomes Saudi Arabia’s most important trading partner, then why should Saudi Arabia continue to only sell oil in U.S. dollars?  And if the petrodollar system collapses, what is that going to mean for the U.S. economy?

Those are very important questions, and they will be addressed later on in this article.  First of all, let’s take a closer look at the agreement reached between Saudi Arabia and China recently.

The following is how the deal was described in a recent China Daily article….

In what Riyadh calls “the largest expansion by any oil company in the world”, Sinopec’s deal on Saturday with Saudi oil giant Aramco will allow a major oil refinery to become operational in the Red Sea port of Yanbu by 2014.

The $8.5 billion joint venture, which covers an area of about 5.2 million square meters, is already under construction. It will process 400,000 barrels of heavy crude oil per day. Aramco will hold a 62.5 percent stake in the plant while Sinopec will own the remaining 37.5 percent.

At a time when the U.S. is actually losing refining capacity, this is a stunning development.

Yet the U.S. press has been largely silent about this.

Very curious.

But China is not just doing deals with Saudi Arabia.  China has also been striking deals with several other important oil producing nations.  The following comes from a recent article by Gregg Laskoski….

China’s investment in oil infrastructure and refining capacity is unparalleled. And more importantly, it executes a consistent strategy of developing world-class refining facilities in partnership with OPEC suppliers. Such relationships mean economic leverage that could soon subordinate U.S. relations with the same countries.

Egypt is building its largest refinery ever with investment from China.

Shortly after the partnership with Egypt was announced, China signed a $23 billion agreement with Nigeria to construct three gasoline refineries and a fuel complex in Nigeria.

Essentially, China is running circles around the United States when it comes to locking up strategic oil supplies worldwide.

And all of these developments could have tremendous implications for the future of the petrodollar system.

If you are not familiar with the petrodollar system, it really is not that complicated.  Basically, almost all of the oil in the world is traded in U.S. dollars.  The origin of the petrodollar system was detailed in a recent article by Jerry Robinson….

In 1973, a deal was struck between Saudi Arabia and the United States in which every barrel of oil purchased from the Saudis would be denominated in U.S. dollars. Under this new arrangement, any country that sought to purchase oil from Saudi Arabia would be required to first exchange their own national currency for U.S. dollars. In exchange for Saudi Arabia’s willingness to denominate their oil sales exclusively in U.S. dollars, the United States offered weapons and protection of their oil fields from neighboring nations, including Israel.

By 1975, all of the OPEC nations had agreed to price their own oil supplies exclusively in U.S. dollars in exchange for weapons and military protection. 

This petrodollar system, or more simply known as an “oil for dollars” system, created an immediate artificial demand for U.S. dollars around the globe. And of course, as global oil demand increased, so did the demand for U.S. dollars.

Once you understand the petrodollar system, it becomes much easier to understand why our politicians treat Saudi leaders with kid gloves.  The U.S. government does not want to see anything happen that would jeopardize the status quo.

A recent article by Marin Katusa described some more of the benefits that the petrodollar system has had for the U.S. economy….

The “petrodollar” system was a brilliant political and economic move. It forced the world’s oil money to flow through the US Federal Reserve, creating ever-growing international demand for both US dollars and US debt, while essentially letting the US pretty much own the world’s oil for free, since oil’s value is denominated in a currency that America controls and prints. The petrodollar system spread beyond oil: the majority of international trade is done in US dollars. That means that from Russia to China, Brazil to South Korea, every country aims to maximize the US-dollar surplus garnered from its export trade to buy oil.

The US has reaped many rewards. As oil usage increased in the 1980s, demand for the US dollar rose with it, lifting the US economy to new heights. But even without economic success at home the US dollar would have soared, because the petrodollar system created consistent international demand for US dollars, which in turn gained in value. A strong US dollar allowed Americans to buy imported goods at a massive discount – the petrodollar system essentially creating a subsidy for US consumers at the expense of the rest of the world. Here, finally, the US hit on a downside: The availability of cheap imports hit the US manufacturing industry hard, and the disappearance of manufacturing jobs remains one of the biggest challenges in resurrecting the US economy today.

So what happens if the petrodollar system collapses?

Well, for one thing the value of the U.S. dollar would plummet big time.

U.S. consumers would suddenly find that all of those “cheap imported goods” would rise in price dramatically as would the price of gasoline.

If you think the price of gas is high now, you just wait until the petrodollar system collapses.

In addition, there would be much less of a demand for U.S. government debt since countries would not have so many excess U.S. dollars lying around.

So needless to say, the U.S. government really needs the petrodollar system to continue.

But in the end, it is Saudi Arabia that is holding the cards.

If Saudi Arabia chooses to sell oil in a currency other than the U.S. dollar, most of the rest of the oil producing countries in the Middle East would surely do the same rather quickly.

And we have already seen countries in other parts of the world start to move away from using the U.S. dollar in global trade.

For example, Russia and China have agreed to now use their own national currencies when trading with each other rather than the U.S. dollar.

That got virtually no attention in the U.S. media, but it really was a big deal when it was announced.

A recent article by Graham Summers summarized some of the other moves away from the U.S. dollar in international trade that we have seen recently….

Indeed, officials from China, India, Brazil, Russia, and South Africa (the latest addition to the BRIC acronym, now to be called BRICS) recently met in southern China to discuss expanding the use of their own currencies in foreign trade (yet another move away from the US Dollar).

To recap:

  • China and Russia have removed the US Dollar from their trade
  • China is rushing its trade agreement with Brazil
  • China, Russia, Brazil, India, and now South Africa are moving to trade more in their own currencies (not the US Dollar)
  • Saudi Arabia is moving to formalize trade with China and Russia
  • Singapore is moving to trade yuan

The trend here is obvious. The US Dollar’s reign as the world’s reserve currency is ending. The process will take time to unfold. But the Dollar will be finished as reserve currency within the next five years.

Yes, the days of the U.S. dollar being the primary reserve currency of the world are definitely numbered.

It will not happen overnight, but as the U.S. economy continues to get weaker it is inevitable that the rest of the world will continue to question why the U.S. dollar should automatically have such a dominant position in international trade.

Over the next few years, keep a close eye on Saudi Arabia.

When Saudi Arabia announces a move away from the petrodollar system, that will be a major trigger event for the global financial system and it will be a really, really bad sign for the U.S. economy.

The level of prosperity that we are enjoying today would not be possible without the petrodollar system.  Once the petrodollar system collapses, a lot of our underlying economic vulnerabilities will be exposed and it will not be pretty.

Tough times are on the horizon.  It is imperative that we all get informed and that we all get prepared.

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THE COLLAPSE OF THE DOLLAR – THE FINAL PHASE TRANSITION FROM THE NEW CURRENCY (AMERO)

“And When say, peace and safety, there will, sudden destruction”
(I Thessalonians 5:3)

Be firm. Be strong. Force Fear not, the Lord will be with us.

Last month, we show that the collapse of the dollar is representative. We also show that governments will simply abandon the dollar for the creation of new currency that will replace the dollar. See the link here: https://www.facebook.com/groups/globalresearch/permalink/10150875374878652/


In another article, we show that Obama has a plan in place (to kill the dollar in November). The word “Keys.tone” is “oil key,” ie, put the petroleum pegged to dollar. See the link here:https://www.facebook.com/groups/globalresearch/permalink/10150836274853652/

The goal of the illuminati is to keep the dollar pegged to oil, that is, international investors will lead central banks to divest themselves of U.S. Treasury securities. The chaos that is happening in the Middle East (Arab-war-phase 1), this provides a smokescreen for the destruction of the dollar inflation. The U.S. is now, at this moment, on the verge of collapse due to the embargo of Iranian oil, and also due to dollar depreciation and debt that is rapidly spreading in Europe and the Americas (North and South), and incredible it seems, is also spreading in Asia. See the news:http://worldnews.msnbc.msn.com/_news/2012/07/06/12592667-japan-to-go-broke-by-october-standoff-threatens-to-collapse-budget?lite

The IMF said the world is “very, very bad,” leading to a complete derailment of the global economy. See the news here: http://www.bloomberg.com/news/2012-07-06/lagarde-says-imf-to-cut-global-growth-forecast-as-crisis-lingers.html

If the public debt spread to other countries, and the war-Arab-phase 1 spread to Saudi Arabia, we have a problem in the oil issue. If the oil crisis continues for more than a few months, will be the effects of economic decline. In this case OPEC will have to unleash the oil of the dollar. From there, it is possible yes, the U.S. dollar collapse. There will be a lack of liquidity in local markets and panic among those who are unprepared financially. Then, when the AMERO is presented to the public, investors will receive an economic good news of peace, which they quickly take advantage of the opportunity, in replacing the U.S. dollar’s AMERO. Therefore, there is no global collapse, only a changeover of currency!

Remember, the Illuminati has a peace plan to be declared in December. See the link here:https://www.facebook.com/groups/globalresearch/permalink/10150661612048652/

The Word of God says that when peace is declared, there will be sudden destruction!!

JESUS CHRIST said: “Why will come as a snare on all those who dwell on the face of all the earth. Watch therefore, at all times, praying, that ye may be accounted worthy to escape all these things that shall come to pass, and to stand before the Son of man. ” [Luke 21:35-36].

Dow tumbles 251 points: market shaken by second worst day of the year

June 21, 2012 – ECONOMY - Global growth worries slammed stocks, triggering a bearish recommendation from Goldman Sachs that accelerated declines and helped drive major benchmarks to their second-biggest losses of the year. The Dow Jones Industrial Average dropped 250.82 points, or 2%, to 12573.57, while Standard & Poor’s 500-stock index fell 30.18 points, or 2.2%, to 1325.51. The Nasdaq Composite shed 71.36 points, or 2.4%, to 2859.09, pacing to snap a five-session streak of gains. The Dow inched higher at the open, but quickly turned red after Mid-Atlantic manufacturers said that business conditions deteriorated sharply this month, according to the Federal Reserve Bank of Philadelphia. Another sour reading from the jobs market also weighed. The number of Americans filing for jobless benefits fell slightly last week, though the prior week’s figure was revised higher, indicating the labor market is sputtering. “What we’re seeing is the job market slowing to a crawl,” said Saira Malik, head of global equity research for TIAA-CREF in San Francisco.  Stocks slid to session lows after analysts at Goldman Sachs recommended that clients set up short positions in the S&P 500. The analysts set a short target for the benchmark index at 1285, or more than 5% lower than Thursday’s close, writing that Thursday’s soft U.S. reports “provides further evidence that weakness has extended into June.” Short sellers borrow shares from other investors and sell them in the hope of buying them back at a lower price later. Traders also cited rumors that the tab for Spain’s bank bailout may be higher than previously reported. Energy and materials stocks led all 10 of the S&P 500′s sectors lower after reports showed that business activity in the euro zone and manufacturing activity in China each contracted in June. Additionally, traders cited lingering disappointment that the Federal Reserve held off on announcing more aggressive stimulus measures on Wednesday. -WSJ