Johnnie Ellington II August 20, 2015 SPOKEN POST PASS LOOK INTO PRESENT ,STOCK COMMENTS AND OVERALL VIEW WHEN ASK

Johnnie Ellington II

August 20, 2015 · 

I will explain more fully why I'm expecting the market to rally post 2015.75 while at the same time the economy turns down. Is it merely capital flows domestically as the international economy worsens further, which will ultimately wash up on the shores of the US? At that point should we expect to see more sovereign defaults and a move to a global currency?

That is certainly part of the crisis. The dominoes begin to fall from the outside inward, so the dollar will be pushed higher as more and more governments hunt cash and move into default. Deflation expands as the economic demand declines and taxes rise contracting net disposable income. China was consuming almost 50% of all commodities so the contraction there is pushing the emerging markets off the cliff where we have $9 trillion worth of new debt created since 2007 in dollars. They assumed the trend would never end and then borrowed in dollars since rate were artificially low. It was like someone winning the lottery and most end up broken within a few years.

We have problems with many pension funds who bought emerging market debt at higher yields in local currency to try to offset losses domestically. That will not work out very well. And then we have the shift from public to private. It seems whatever can go wrong is going wrong from many angles. This part is how even hyperinflation takes place within a single domestic economy. It is the shift in confidence from the government to the private. Tangible assets making the transition to what comes after the crash and meltdown.

The gold promoters are at it again claiming everything will crash and go to zero and gold will soar in just weeks. That has never happened even once in history. It is a sales pitch with no basis in historical fact. The new currency in Germany after the end of the hyperinflation was still paper and it was backed by real estate, not gold. ALL assets made the transition from real estate, stock, commodities, and foreign currency along with foreign bonds. This time, the flight to quality will be initially to the USA. With Hillary or Bush in office in 2016, can you really see avoiding this mess? Things will not play out as many people are assuming. This shift comes around perhaps once every 300 years, so without an extensive database, it is impossible to see what is even possible other than pure speculation. This will not be the typical event. We have a collapse in liquidity and a rise in regulation that is far from stable. Every action government takes has played a role in what is coming.

What I will say is this the immediate target 2015.75 happens to be very critical. In fact, the target date is the birth of a whole new wave of capitalism that began in 1706. The British might recognize that date as two major events were set in motion. This began the movement toward creating the United Kingdom with the merger of England and Scotland following the defeat of the French on May 23, 1706 at the Battle of Ramillies where the English, Dutch, German, Swiss, and Scottish troops led by John Churchill, 1st Duke of Marlborough, joined forced. That led to July 22, the Treaty of Union between Scotland and England in London for ratification by the national legislatures. Then on September 7, 1706, the War of Spanish Succession began with the Battle of Turin where the forces of Austria and Savoy defeated the French.

The second major event was when the English Parliament established the first turnpike trusts, which began road construction under the privatization and the control of trustees drawn from local landowners and traders. The turnpike trusts borrowed capital for the road maintenance using the security of future tolls to be collected. For the next 150 years, this became the common method to build infrastructure based upon private investment rather than taxation.

If we flip back 309.6 years before 1706, we come to the birth of capitalism when the Black Plague wiped out about half the population, initiating a return to wages and the end of serfdom (not in Russia). So this is the third wave, and the rule of three is the reaction wave. This should be an interesting shift, which will not make things exactly normal. We will need CESAR to look at this whole mess objectively and without bias.Hopefully, if enough people begin to understand the process, we just may be the check against going too far to a Mad Max event. If we can just for once learn from the past, perhaps we can make one step forward. So yes the CRASH WILL BE IN GOVERNMENT not STOCKS the MARKETS WILL RALLY LIKE WE NEVER SEEN.2015.75. Now i'm putting this out now it seems others will tailor there later. MOST EXPECT THE MARKET TO CRASH. I never said the markets will crash i said coming in 2015.75 we will go from PUBLIC TO PRIVATE. Others said we will crash. No, money from around the has no PLACE TO GO BUT TO US Market..