Servias Ministries Blog

According to financial expert Jim Rickards, the Federal Reserve Bank’s leverage is currently 80 to 1, a truly insolvent condition.  For each dollar they have, there are 80 dollars of liability.  He expects the dollar to drop 80 to 90 percent in value.  On a relative basis, gold will appear to go up in value.  Silver is expected to do the same.

Jim is adamant that the collapse of the dollar is coming.  This is not the end of the world, just the U.S. Dollar.

The Fed is not transparent so there is no way to predict how severe their situation really is.  The top five banks who were at risk in 2008 are now bigger and riskier than they were then.  There are less community banks now than there were in 2008 thus the system’s risk is more concentrated.  In addition, other major countries such as Russia, are threatening to dump the dollar as their standard payment medium.  You can see why Obama is so vocal about Putin.  I believe it is really about protecting the dollar’s reserve status.  Obama is charged with keeping the party going as long as possible.

All the major central banks have the same problem.  Their rationalization is that they can simply print more money.  The problem is that as they print more money, inflation heats up to a potentially “hyper” state.  Gold keeps everyone honest because you can’t just go create more to accommodate your policy.  $8,000 to $10,000 gold is not an unreasonable expectation.  It isn’t that gold’s value is up, the value of the dollar will go down further.  It is all about protecting purchasing power.

How long do we have before the dollar collapses in value?  What will precipitate the destruction the dollar?  The reality is that we have an unstable complex system.  Only Our Heavenly Father knows the one event that will trigger the domino effect of financial destruction.  Sixty year financial veteran Richard Russell says:

“In the investment world, of course, peace of mind is a particularly rare commodity.  The rise in the stock market since its 2009 low has now exceeded five years.  Common sense tells us that the longer an advance continues, the nearer it is to its conclusion.  In the low area of 2009, fear was the dominant emotion.  As the advance pushes into its sixth year, fear has given way to boldness and greed.  On this thesis alone, I have elected to move out of common stocks.  After long consideration, I have concluded that the area I prefer to be in is pure wealth.

By pure wealth, I mean physical silver and gold.  That’s my best advice for subscribers today. “  To subscribe to his newsletter: https://ww2.dowtheoryletters.com/ServicesOnline.nsf/Subscription+Form?OpenForm

The system is now so unstable that the collapse can occur at any time.  There is no need to be afraid of this event.  Simply prepare as best you can.  Maintain extra food supply and rotate it.  Buy gold and/or silver as you can afford it.  Keep enough cash available in case there is a bank holiday.  Stay liquid.  Revenue producing agri-land is always a good investment if you have sufficient liquidity otherwise.  Minimal monthly obligations will also provide for weathering the coming financial event.  Most of all, be Spiritually prepared.  Those who hear Our Heavenly  Father will be guided through these times in peace.  Others will be looking to you since their world has collapsed.  They will need assurance that they will survive and you will be able to direct their attention to Our Heavenly Father, their Creator.

The globe is financially interconnected, so what happens in other major countries affects you and me.  Many of our cars in the garage are produced in Japan and some of the parts to keep them operational come from their homeland.  Japan has the worst demographics of aging population of all the major countries.  There are not enough young people coming into the workforce to support the elderly.  People are living longer and their are more adult diapers sold in Japan than infant diapers.  Japan’s bond market is getting worse by the day.  Europe and the U.S. are not far behind.

Interest expenses of Japan’s debt (Japanese Government Bonds- JGBs)  as a percentage of total government revenue will reach 56% this year.  What if you personally had to pay over half of your paycheck to the bank for interest?  That is where Japan is at now.  How are they managing that feat?  By printing more money, backed by nothing but perception.  We are moving in the same direction.  Japan is leading the way to show the other nations what will happen shortly.  Japan’s Central Bank is focused on creating mild inflation in a contracting economy.  This will ultimately result in default of sovereign debt.  The bondholders are often large pension funds holding individuals’ future cash payments in their care.  In the end, the average person will be affected.  This should provide you a better understanding why Russia and China are acquiring gold reserves to back their currency as they prepare to depart from the U.S. Dollar reserve currency standard.  At some point, a monetary crisis will occur.  Only Our Heavenly Father knows the day and the hour:

Revelations 18:1 After these things I saw another angel coming down from heaven, having great authority, and the earth was illuminated with his glory.

2 And he cried mightily with a loud voice, saying, “Babylon the great is fallen, is fallen, and has become a dwelling place of demons, a prison for every foul spirit, and a cage for every unclean and hated bird!

3 For all the nations have drunk of the wine of the wrath of her fornication, the kings of the earth have committed fornication with her, and the merchants of the earth have become rich through the abundance of her luxury.”

These verses describe the coming global events as well as any time in history.  Our Heavenly Father is keeping the masses in a blinded state so the current system will continue while HIS Remnant is being prepared.  Until the firstfruits are ready for inspection and ready to illuminate the earth with HIS glory, the current system will be allowed to operate.  The fruit are ripening now.  We discussed this in our Bible study yesterday.  Due to Internet transmission problems, the Bible study had “live” issues but the “two-part” recordings appeared to be captured without issue and can be watched at:

http://www.ustream.tv/recorded/45262968

and

http://www.ustream.tv/recorded/45263692

The U.S. is threatening to place economic sanctions on Russia over the Crimea annexation.  This republic is about 58% Russian and was once part of the U.S.S.R.  The Russians have a vital seaport there and they are not going to give it up.  Putin and Obama have not been buddies in the past and their various encounters have proven to us that there is a personal issue as well as a public dislike between the two.

The U.S. has slowly placed itself in a position of weakness.  Our economy cannot withstand another economic crisis and the Russians and Chinese know this.  The egos in this arena don’t get any bigger but the Russians hold the “energy” card with Europe.  The Chinese hold the “Dollar Bond Lender” card in the global bond market.  The stakes are high and both countries have been accumulating gold to back a future payment system independent of the U.S. Dollar.  In the meantime, the U.S. has bee trying to move to an all digital currency so that they can exercise full control over everyone.  The natural result of a digitized currency is an RFID chip placed in every person’s body so as to eliminate any question of who they are.  If  you can’t see the writing on the wall, get some good glasses.  Each and every crisis is being used to move the population to submit to a greater level of control.  Every bill in Congress ends up with some hidden control measures under the disguise of names such as “patriot”, “liberty”, or “safety”.  The latest missing commercial airplane could be used for some terrorist event somewhere around the globe.  Who knows?

The manipulation by men in power is reaching epic proportions.  At a personal level, our only defense is to be Spiritually plugged into the Heavenly Father’s perfect plan, will, and purpose.  HE knows what is transpiring behind closed doors.  HE will move on men whom HE has placed in critical positions to act and respond in proper manner to thwart any attempt to subvert HIS plan.  At the highest levels, this is a spiritual battle for the future of mankind.  Our Heavenly Father has everything accounted for in HIS plan.  HE knows the devices and intent of the vessels of dishonor.  Technology does not supersede HIS methods of communication.  Men’s devices are archaic in the strictest sense to HIS processes.  We must trust that the current crisis as well as any other of men’s attempts to control the world will be righteously judged and corrected by Our Heavenly Father.  HE will correct the current crisis as part of HIS plan to bring restoration to all of mankind.  The selfishness of all parties involved will ultimately be exposed.  Ultimately, Love will take command.

Both Russia and China are vocal about any retaliation toward Russia in the Ukrainian turmoil:

China warns of dangerous Russia sanctions ‘spiral’

See: http://www.reuters.com/article/2014/03/13/us-ukraine-crisis-china-idUSBREA2C0PB20140313

Russia issues warning after fatal clashes in Ukraine city of Donetsk

See: http://www.theguardian.com/world/2014/mar/14/russia-warning-fatal-clashes-ukraine-donetsk-protect-compatriots

Meanwhile, the Russians move a reportedly 80,000 troops to the area and the U.S. is threatening to impose sanctions.  See:  http://www.telegraph.co.uk/news/worldnews/europe/ukraine/10699537/Russia-and-the-West-fail-in-last-minute-Ukraine-talks.html

Germany’s Merkel warns Russia of "massive damage" if it persists

See: http://www.reuters.com/article/2014/03/13/ukraine-crisis-merkel-idUSL6N0MA15920140313

This is all about the greed and energy.  The U.S. and Europe want cheap energy so their economies can continue to dominate global finances.  China and Russia are tired of being the “whipping boy” to the western policies.  How much longer will they be bullied by the West?  It appears that Putin may be spearheading a move to break away from the western dominance.  The outright illegal and sustained manipulation of energy prices, interest rates, gold, and silver by the West are seen as lawlessness by the rest of the world and is cause for their response.  The petrodollar will be the target of the Kings of the East.

Cyprus was a direct conflict with Russian finances.  Syria is connected to Russian energy interests.  Now, the Ukraine where the Russian pipelines to Europe reside.

All indications suggest that Our Heavenly Father’s protecting covering over the U.S. has long since been removed.  9/11 was proof of that.  People are getting weary of the status quo and are beginning to respond.  When men get desperate, they do desperate things.  Don’t be caught unprepared.

Gold ended the week on a high note, finally.  Billionaire Eric Sprott is looking into filing a lawsuit against the investment banks who have been manipulating the price of gold.  On January 17th a German regulator came out and said it was possible the manipulation of the gold market could be worse than LIBOR (global base interest rate scandal).  The FDIC is suing those banks for manipulation of interest rates.  See: http://money.cnn.com/2014/03/14/news/companies/fdic-libor-suit/

As you can see, lawlessness is abounding around the globe.  Soon, a standard of Truth and righteousness will be raised by which all of this lawlessness will be judged.

Song of Solomon 2:4 

The Shulamite to the Daughters of Jerusalem
He brought me to the banqueting house,
And his banner over me was love.

A banner is a “standard”.  In the end, a Standard of Love will judge all of mankind.  Is there any other solution to pursue?  Everything else has been tried… and failed.  When men finally come to the end of “self”, they will turn to Our Heavenly Father.

Exodus 17:15  And Moses built an altar and called its name, The-LORD-Is-My-Banner (Jehovah Nissi)

A few years ago, one would not have written that the target price of gold would have a prediction of $10,000 per ounce.  $3,000 was stretching it.  Now, the $10,000 price is not unrealistic.  Why?  The continued printing of fiat currencies around the world are devaluing your bank balances.  Gold isn’t appreciating in value as much as the currencies to purchase an ounce are devaluing.  It is all relative.  You come out ahead when you have a fixed payment on a mortgage denominated in the fiat currency and your investments appreciate in value at the same time, allowing you to pay off the mortgage with devalued currency.  As central banks continue to expand their monetary base in an effort to promote spending and expansion, the price of gold will ultimately respond.  Those of us that have been around a while, remember when hamburgers were 5 for a dollar.  Now, one hamburger runs about 3 to 4 of those dollars.

Ultimately, the value of a fiat currency moves to zero.  When?  Only Our Heavenly Father knows.  Until then, storing value for the future will be the challenge.  You will want to get your wisdom from Above.  Men’s opinions are simply guesses.  What if they wrong?  Will you be able to live at their house if you lose yours due to relying on their guesses?  They will be nowhere to be found.  The U.S. Dollar used to be a safe haven.  Now, the thieves are knocking at the door.

If there is ever a time to focus on Spiritual maturity, now is the time.  I know of no other path that will lead to peace, success and safety.

War takes on many forms.  The purpose of war is to take what does not belong to you by force.  The U.S. went to war in Iraq under false pretenses.  They have long since admitted to no weapons of mass destruction.  The issue was that fact that Saddam Hussein wanted to bypass the U.S. Dollar when selling their oil to other countries.  He wanted to use Euros.  That idea did not work out to well for him.

In 2001, Venezuela’s ambassador to Russia spoke of Venezuela switching to the Euro for all their oil sales. Within a year there was a coup attempt against Chavez, reportedly with assistance from the CIA.  History continues to repeat: Do not try to replace the U.S. Dollar as the reserve currency.

Now we have Russia in the spotlight.  The Ukraine’s strategic importance is due to their natural gas pipelines from Russia to Europe.  The U.S. has been actively promoting natural gas development in other areas to reduce Russian gas to Europe from 90% to 60% of the supply.  Do you think Russia will just sit around and let the U.S. dismantle the Russian economy again?  Do you think they will allow an interruption in the revenue from European gas sales to be interrupted?

Vladimir Yakunin, the former senior diplomat that now heads the Russian rail system, said:

“We are witnessing a large geopolitical game in which the game is the destruction of Russia as

a geopolitical opponent of the United States, or of its global financial oligarchy.”

See: http://www.ft.com/cms/s/0/2b508fa8-a558-11e3-8070-00144feab7de.html#axzz2vNT1ulZB

(This link had response problems.  I wonder why?)

What is an oligarchy?  It is defined as a small group of people having control of a country, organization, or institution.  In this case Yakunin is speaking of the globe and the Fed’s control of global finances, aka, Mystery Babylon.

A small group of men and women behind the scenes will use trade, currency, and energy to achieve their quest to control the globe’s resources.  This is in full opposition to the revelation of Love.  Thus Our Heavenly Father will ultimately intervene and expose this small group for all the world to see.  Truth will ultimately prevail and these leaders who would have us all in a perpetual state of war will be removed in HIS time.  As the heathen rage, we should continue our pursuit toward walking in the fullness of Love.  It is the only solution to all these types of warfare being conducted around the globe.  Your best investment is to focus your time in this area of study.  It has a excellent “return on investment” in the long run.

It appears that the tide is turning for those who have been lawless.  Their tricks and manipulative actions are now being brought to light.  This would lead us to believe that the central planners are concerned the populace is quickly moving toward a tipping point where they will no longer tolerate stark abuse against them.  In the past, the people have been predisposed with their IPads, IPods, IPhones, Facebook, Twitter, etc., but how many tweets will one send before they are finally tweeted out?

It has been well established that the price of gold was being manipulated for an extended period of time.  Numerous studies have shown this reality.  Does the NY Fed still have Germany’s gold, or did they lease it all out in an effort to manipulate the price down?  Does the U.S. have any of its gold reserve left?  Most of it may be sitting in China’s vaults now.  Who knows?  At any rate, bankers are now finding that their vocation may be hazardous to their health… or life.  Currency traders are also among those who have mysteriously died.  There appears to be a concerted effort to eliminate anyone who can testify to the massive fraud being conducted in the financial markets.  The housing market may be down, but the “assassin” demand appears to be booming.

London Gold-Fix Banks Accused Of Manipulating Benchmark Used In $40 Trillion Metal Market

Read more: http://www.businessinsider.com/r-london-gold-fix-banks-accused-of-manipulation-in-us-lawsuit-report-2014-05#ixzz2vBeIOlbs

Country’s most senior judge calls for radical reform of laws on fraud so City bankers can be tried and punished

See:  http://www.dailymail.co.uk/news/article-2573239/Countrys-senior-judge-calls-radical-reform-laws-fraud-City-bankers-tried-punished.html

London Gold Fix study suggests decade of bank manipulation

See:  http://business.financialpost.com/2014/02/28/london-gold-fix-study-indicates-decade-of-bank-manipulation/

Another "Successful Banker" Found Dead

See: http://www.zerohedge.com/news/2014-02-24/another-successful-banker-found-dead

One way or another, Our Heavenly Father makes sure the Truth surfaces.  Men can attempt to hide the Truth but the enforcement of the Laws pertaining to life and death still prevail.  Judgment results from the choice of taking the path toward death and destruction.  The Truth continues to be revealed.  We must just give it time.

What do Vietnam, Iraq, and Afghanistan have in common?  The U.S. did not win these wars.  The military-industrial complex grew financially however.  The latest confrontation with Putin where he “blinked” due to the Russian currency rapidly depreciating, was not a victory of war.  Instead, I would suggest that he will regroup and fulfill his agenda in a more subtle means.  He will buy some time to shore up his economic weakness so the West will be unable to successfully wage economic war.  The use of the global financial system to enforce your will on other countries will come to an end at some point.  In the meantime, those victims of economic abuse will continue implementing their long-term plan of disconnecting from the U.S. Dollar.

We have bankers committing suicide, banks under price-fixing investigations, our allies questioning whether we lost all of their gold reserves, and a divided government with the lowest approval rating on record.  The total liabilities far exceed our ability to ever pay them off.  How much longer can the U.S. maintain control of global finances?   The other countries’ leaders are not stupid.  The only thing that has kept them from dealing with the financial imbalance of power has been their lack of unity.  Slowly but surely they will come to the same conclusion: they must unify and become stronger than the current U.S. centric infrastructure.  It is clear that China is moving in that direction.  Their continued purchases of gold reserves as well as encouraging their population to own gold is a good indication that they will, at some point, challenge the current status quo.  Putin will surely side with them.  Other countries will follow.

Instant gratification is a primary reason for the U.S. pursuing the path of economic destruction.  The previous generation was known for its discipline of saving, a sacrifice of the “now” for future benefit.  The current generation is the opposite- satisfy yourself now, who cares about tomorrow!  This is what the Scripture calls “lust”. “I want it now!”  Americans are mortgaging their future in order to live for today.  This will only last as long as the rest of the globe tolerates it.  When the rest finally decide they have had enough, America will lose the war.  Only then will the question be asked: “What were we thinking?”

Putin’s response to the West:

Russia cancels Ukraine’s gas discount and demands $1.5bn 

See:  http://www.telegraph.co.uk/finance/newsbysector/energy/oilandgas/10676228/Russia-cancels-Ukraines-gas-discount-and-demands-1.5bn.html

The war is not over.

A game of global chess is at hand.  It is the BRICS countries against the West.  Things could get dangerous quickly.  You are dealing with super-sized egos and self-preservation is at the heart of the matter.  Both sides have nuclear capabilities and the Russians still remember Ronald Reagan’s bluff of the SDI “Stars Wars” ploy that brought the Soviet Union to its knees.  Recently, Dr. Paul Craig Roberts openly admitted: “Reagan kept threatening to put on them of a new arms race, of SDI (Strategic Defense Initiative) — you may remember Star Wars — none of this actually happened.  It was all Reagan propaganda to make the communists in the Soviet Union agree to negotiate to end the war, rather than to be drawn into an arms race that their economy, at the time, was no longer able to sustain.”

Reagan lied and manipulated to end the cold war.  That is what leaders do in the modern era.  After all, he was an actor.  Reagan used economic means to end the cold war, not win it.  Only Our Heavenly Father knows what was best for the globe and the ramifications of the actions of those leaders.

Today, the current systems are based on perception and force.  The Kingdom of Our Heavenly Father is based on Love and attraction.  In the end, Love will win out over the current system.  Today’s news would have you believe half-truths in order to move sentiment in the direction of the central planners.  There are rumors of a global reset to occur on Tuesday of this week.  I personally think any reset would occur on the first day of a long weekend myself, time for the emotion to wear off before markets open.  At any rate, this year is sizing up to be a tumultuous year.  I suggest you get your spiritual house in order first.  It is better to be a year too early than a minute too late.

I have spoken of Black Swans in past blogs.  These are unexpected events that the market does not consider or plan.  Western planners would like to tap into the energy underneath soil in the Ukraine.  Russia does not want to give up its influence either.  One should keep a watchful eye on how all of this unfolds.