Archive for the ‘Biblical Economics & Money’ Category

Now is the Time- Part 5

Monday, September 5th, 2011

Why now?  An economic famine is coming.  I have been warning about this reality for some time.  If you have been reading this blog you would have known that investments in oil, gas, gold, and silver would yield relatively higher returns.  That fact is that the world currencies are declining in value thus the commodities’ prices are rising to offset the depreciation of currencies.

Do you think the investment banks, community banks, insurance companies, or other financial institutions really care about your future?  It has been reported that Goldman Sachs sold financial instruments to its clients and then bet against those same instruments and made billions of dollars.  Yes, greed is legal in today’s system.

Men and women who love Our Heavenly Father have been prepared in their respective fields for this point in time.  When you look at the journey of each one you find a common thread.  They were moved by Our Heavenly Father to take specific paths often sprinkled with opposition to their calling.  At times they considered giving up but were once again encouraged by the “Word of THE LORD” to continue and persevere through opposition raised up against them.  Many of them relate with Joseph who seemingly against all odds was raised up to acquire and distribute assets for the benefit of mankind.  Their lack of total success during this time of training was by design.  Had they achieved complete success, they would have refocused their attention on the current system and protected it at all costs.  As they matured as Sons, they realize the current system has no future.  Their trust in Our Heavenly Father has grown to the point where they will respond to HIS voice on a moment’s notice.  Jesus endured a time of preparation as did Abraham, Isaac, Jacob, Joseph, and others.  At the time of the activation of their calling, they were no longer moved by what the world had to offer.

Now is the time to come together as a unified Body of Christ.  Our egos must be set aside.  Fear of exploitation must be dealt with and the ego must be placed on the cross once and for all.  The current system is going to be replaced by a counterfeit system or the Kingdom of GOD.  I have been called to the Kingdom.  Come, let us be joined together.

Now is the Time- Part 4

Sunday, September 4th, 2011

The primary motivation for the Treasury of the Kingdom of GOD is Love.  When Joseph was raised up to be second in command over all the treasury of Egypt, the endgame was to sustain all of mankind through the famine.  His training was comprehensive and exhausting.  He was sold by his brothers into slavery but by Love he fed and sustained them through the famine, an example of “Love your enemies”.

The earth is preparing to endure another time of transition.  The globalists have manipulated the masses into unsustainable debt at the same time creating enemies in order to promote war.  On the other hand, the Kingdom of GOD promotes the elimination of enemies by Loving them.  Rather than extract wealth from others, Love promotes productive use of wealth for the benefit of mankind.  Rather than division, Love promotes unity.

Leverage and debt assume control and foreknowledge of the future.  Don’t get me wrong, I have borrowed money in the past.  However in 1981, Our Heavenly Father told me that HE was going to eliminate our debt.  Seventeen months later we were debt free.  For ten years, we had no debt.  In 1992, HE told us to buy another house with a mortgage so we could move my wife’s parents in and reduce the burden of caregiving for my father-in-law.  Since Our Heavenly Father does have foreknowledge, we entered into debt again.  Once again, that debt is gone.

No debt means that you are no longer in servitude to Babylon.  The Kingdom of GOD does not charge interest to its citizens.  Love promotes success and development of gifts and callings.  Interest expense creates a drag on productivity.  I was told once by Our Heavenly Father that money is a commodity to HIM and I should view it in the same manner.  I began to do so.

There will be a transition from Babylonian economics to Kingdom economics.  As the Kingdom Treasury is filled, I expect a process of debt elimination to occur and it will be done in righteousness.  Lawful elimination of debt is a basic Biblical principle.  A jubilee can come in many forms: debt cancellation, forgiveness, and early payoff.  In my case, Our Heavenly Father sent business deals supernaturally that took little or no time and generated substantial cash.  When you are not in debt, you are able to bless others without a creditor looking over your shoulder.

The current economic system encourages debt and promotes leverage with the intent to ensnare the borrower.  The endgame is to extract wealth from the masses and concentrate that wealth among a few.  Kingdom economics supports and blesses all of mankind so that each person can live a life of gratitude and have a focused relationship with Our Heavenly Father without the distraction of hunger pangs or lack of shelter.

By Love, faith, and hope we are called to give.  The transition is at hand.  The Sons of GOD will respond because it is in their hearts to establish the Kingdom.  The “Fruitfulness in Unity” mandate will draw men to be involved in Our Heavenly Father’s business.  The day of the Lone Ranger is over.

Now is the Time- Part 3

Saturday, September 3rd, 2011

Unity is a prerequisite to establishing the Kingdom.  We all must be in one accord.  Throughout Scripture, we are shown what happens when mankind becomes unified in purpose.  At the Tower of Babel in Genesis 11:6, Our Heavenly Father disclosed a truth: “ And the LORD said, Behold, the people [is] one, and they have all one language; and this they begin to do: and now nothing will be restrained from them, which they have imagined to do.”  Because mankind was focused on “self”, the LORD confounded them with diverse languages so they could no longer be unified in their plan.  When unity is brought forth in righteousness, fruitfulness abounds.

The current economic system is in shambles and its days are numbered.  The current system was built on lies and deception where the elite would temporarily flourish and develop assets and systems to be used to bring forth the Kingdom of GOD.  The earth and its fullness are Our Heavenly Father’s.  Until such time as the Sons of GOD are ready to rule and reign, the assets had to be managed and maintained by somebody.  We must trust that Our Heavenly Father has the full plan for the transfer of assets required to establish HIS Kingdom on earth.  We all have a part in this transfer.

Ten years ago, the Internet was not a reliable means of conducting business worldwide.  Today it is.  In 1987 when Our Heavenly Father first gave me the global vision, I had no idea how to develop any kind of global infrastructure to support the establishment of the Kingdom.  Man has been developing an infrastructure for a one world government and a one world currency.  This is the counterfeit treasury.  People would accept this system out of fear with no other alternative in place.  Those who believe they are in power are promoting this end game.  They want the masses to focus their attention elsewhere.  Amusement is design to preoccupy the masses and it comes in all forms.  In the U.S. with cable TV, you could spend all waking hours being entertained by the hundreds of cable channels.  Information without revelation is preoccupation.  By diverting attention of the masses away from the issues, a counterfeit one-world system could be installed.  As a result of 9/11, frightened Americans were willing to give up rights for safety.  Those in power gained more control.  The ego will create an problem only to  present you with a solution that will further its control.

Are you going to sit around, read your Bible, attend some meetings, and call it good?  Nehemiah was doing his job as a cupbearer and heard the news that the Temple was in disrepair.  He recalled the Word of the LORD to Moses:

Nehemiah 1:9  But [if] ye turn unto me, and keep my commandments, and do them; though there were of you cast out unto the uttermost part of the heaven, [yet] will I gather them from thence, and will bring them unto the place that I have chosen to set my name there.

Nehemiah was activated by Our Heavenly Father to repair the Temple.  He set up the Treasury and called forth the children of Israel to rebuild the Temple.  Our Heavenly Father honored this purpose.

Now is the time to be gathered together in unity.  The globe is heading towards an economic collision point which would result in World War III.  I do not believe that Our Heavenly Father will allow that to happen.  HE has been preparing HIS sons for decades for a time such as this.  HE knows where as the resources are and has withheld those resources until HIS sons have ben sufficiently prepared to bring forth the Kingdom.  We were all dispersed during this training period but now it the time for the Kingdom to come forth in righteousness.

Now is the Time- Part 2

Friday, September 2nd, 2011

The first function of any Treasury is to acquire, store, and protect assets.  The second function is to distribute assets according to the mandate of the owner of the Treasury.  In our case, the owner is Our Heavenly Father, we are simply stewards.  In the Pentecostal church age, the Treasury was tainted by sin.  The five-fold ministry began to believe that they were no longer stewards but owners and began to exploit the people.  They would build larger buildings, buy extravagant houses, cars, and other trappings.  The began to believe they were entitled to such wealth at the cost of their “flock”.  I am not opposed to nice houses or cars.  However, I am opposed to fleecing the sheep in order to obtain things.  Solomon’s Temple reflected Our Heavenly Father’s character and no expense was spared.  At the same time the children of Israel did not go hungry and the aged were cared for.  There was “balance” in the Kingdom.

We are called to “do business”.  In Luke 19:13, the Lord told His servants, “Occupy, till I come”.  The word occupy means “to do business”.  Business is suppose to create some type of production for mankind to consume and is normally classified as goods or services.  We are to take the productive capacity of the earth and sustain ourselves by properly working the laws to produce food, shelter, clothing, energy, and other needs of mankind.

A Treasury’s assets should be used to develop the productive capacity of the earth for the benefit to all of mankind, not just a few.  In order to do this, “Kingdom” companies must be established.  In the current environment, management of companies are served by the employees and customers tend to be provided with the minimum goods and services to keep them buying.  On the other hand a Kingdom company’s management serves the employees and customers.  Management’s job is to supply the workforce with all the tools needed to provide excellence.  Workers are no longer exploited but are developed according to their gifts and callings.  Customers receive greater value rather than goods and services that barely meet their needs.

An existing business can be purchased and converted to a Kingdom company but it takes money to buy a going concern.  When the children of Israel finally entered into the Promised Land, it was occupied.  Our Heavenly Father will utilize worldly stewards until HE is ready for those that HE has called to possess the land.  As adequate funding is obtained into the Treasury, businesses would be acquired to serve mankind and further the Kingdom.  Men and women who are called to serve mankind and are gifted to manage those businesses would be placed into those entities.

What is the test of success?  Fruitfulness in unity.  We are called to be fruit inspectors and if a business is not productive, we must determine the issue and resolve it.  The Law of the Fruit Trees applies.  We expect Our Heavenly Father to provide knowledge, skill, wisdom, and understanding as we focus on each business and its unique needs.  Our Heavenly Father has been preparing HIS stewards for this time and this focus just as the artisans were already skilled in their  profession when it came time to build the Temple.  We have all been waiting for this time to come.

Wealth is required to build the Kingdom.  Our Heavenly Father has used different means to bring forth HIS Will.  The pattern of financing in Scripture often included tithe and offering.  Tithing began before the Law.  Man’s greed rationalizes why he shouldn’t give into the Kingdom.  My wife and I tithe and give offerings.  It is really pretty simple.  Our Heavenly Father only wants 10% of what HE provided us.  What a deal!  Whatever comes out of the ground should be tithed.  Whatever you create by your own work can be the source of an offering.  We have found over the years that as we cheerfully give, HE is faithful to provide for our needs.  If Jesus walked into your room today and asked for an offering, what would be your response?  If you cannot give cheerfully, don’t give.  We are not interested in receiving funds from people who do not share the vision of the Kingdom.  Only give what you hear Our Heavenly Father directs you to give.

What happens if the recipient does not properly handle the money we sent?  That is not your problem.  When you cheerfully give and are faithful to HIS Word, HE will meet your needs.  Our Heavenly Father has instructed us to give to our adversaries at various times.  We are called to love our enemies and what better way than to plant good seed into their lives.

Kingdom companies should produce a profit.  That profit should be used to further the Kingdom.  A portion should be used to meet the needs of the afflicted.  A portion should be used to fund the Gospel.  A portion should be used to grow the business.  Widows, orphans, the elderly, the sick, and the weak need our help.  There are those who are called to minister life to these people.  In the Scripture, cities of refuge were created for restoration purposes.  Our Heavenly Father is in the restoration business.  The funding of restoration must be integral in any Kingdom infrastructure.

People must be trained (or retrained).  Training centers must be developed to teach the people the methods of the Kingdom.  All Scripture represents the character of Our Heavenly Father.  Biblical Law is part of HIS Character of Love.  Farmers must be trained to grow food according to Biblical principles.  Toxins should be eliminated from our diets.  As mankind is detoxified, overall health will improve.  As we continue to develop and distribute our EDS detoxification technology, we expect people’s health to see dramatic improvements.  This technology does not cure the body but removes toxic interferences that prevents the body from healing itself.  The Sabbath was instituted for mankind, animals, and land to rest.  This rest gives us an opportunity to show our gratitude to Our Heavenly Father.  The Sabbath revitalizes us and allows Our Heavenly Father to bless us more than if we worked all seven days of the week.

Now is the time:

Mal 3:10  Bring ye all the tithes into the storehouse, that there may be meat in mine house, and prove me now herewith, saith the LORD of hosts, if I will not open you the windows of heaven, and pour you out a blessing, that [there shall] not [be room] enough [to receive it].

Mal 3:11  And I will rebuke the devourer for your sakes, and he shall not destroy the fruits of your ground; neither shall your vine cast her fruit before the time in the field, saith the LORD of hosts.

Mal 3:12  And all nations shall call you blessed: for ye shall be a delightsome land, saith the LORD of hosts.

We must be in unity to be fruitful.  The infrastructure of the Treasury has been established for five years.  We have been prepared for this time.  HIS called out ones have been scattered about in training.  They have been outside the camp in direction communication with Our Heavenly Father.  Now is the time to become unified and fill the earth with righteousness.

Send your tithes and offerings to:

Servias Ministries, Inc.

PO Box 1471

Bethany, OK 73008

Now is the Time- Part 1

Thursday, September 1st, 2011

The Global Economy is heading towards a cliff.  The current economic system has exploited the masses and greed has run rampant among those who think they are in control.  Change is upon us and with it will come pain to many.  As a Christian one might ask, “What is our Heavenly Father doing about all this?”  Throughout history HE has called out men and women to deliver the people from certain death and destruction.  Noah, Moses, Joseph, and Esther were all called to rise up and walk in a calling that seemed impossible at the time.  The odds were stacked against them yet Our Heavenly Father performed those miracles required to deliver the people from their then-current failed system.  Sin and corruption had prevailed to the point where the average person was acting in a manner “right in his own sight”.  Society was at the point of calling right wrong and wrong right, a truly perverted society.  We are there once again.

The Word of THE LORD came to me early last month and said “Now is the time!”  Now in this ninth month of the year and it is time to come forth and speak to the “called out ones”.  Most of us have exited the current church system.  Some were hurt, some were financially exploited, and some simply left because Our Heavenly Father moved upon them so that HE could speak to them directly without an intermediary at the pulpit.  Some left years ago and some left recently.  Each and every person has a calling and that calling is important to the Body of Christ.  Each calling was uniquely given and is needful to the Body to do its part.  My calling came in a vision twenty-four years ago, in 1987.  I would lead a group of Christian businessmen to fund the end-time Gospel (Good News).  I was excited about it then and was working on a multi-million dollar deal that I thought would usher in this vision.  The deal had delay after delay until it had been watered down to just a miniscule deal compared to the original opportunity.  That was frustrating!  I was set to do my part for the Kingdom and the money did not come in the amount to make a difference.  Little did I realize that I was now in a training program.  My background in banking, finance, and information technology provided the competency to fulfill my calling but the time was not at hand.

Since 1987 I  have had literally hundreds of prophetic words and visions given to me about my calling from prophets and prophetesses who knew nothing about me at the time of initial contact.  I would get excited but no manifestation yet.  The training continued as well as the prophetic words to keep me encouraged.  In 1998, I was asked to be part of a “Biblical Law” project, to apply those 613 Commandments and Statutes to today’s needs and understanding.  Of the twelve men called, only myself and my assigned partner completed the project.  This is not meant to be critical of the other ten but circumstances did not allow the others to finish the project.  It is clear that Our Heavenly Father wanted me to have full exposure to HIS Law which came out of HIS character and nature.

In 1996, Our Heavenly Father told me that I would have a significant event occur in 2005.  That seemed like forever back then.  The revelation of the Baptism of Love was that event.  I was to study about HIS Love and that all other things would pass away but Love would abide forever.  I began to immerse myself in this study as it became self-evident that this was the key to ushering in the Tabernacles age.  It became clear to me that David understood this when he became known as a man after GOD’S own heart.  During the 1996-2005 timeframe I made several trips overseas to pursue international financing deals.  I was thrust into this arena and fully expected the funding of the vision to occur.  I preferred this method at the time because it did not require anyone else to be involved in raising the funds.  After having been “fleeced” by the church, I was adverse to being classified in the same manner by seeking funds for the vision.  Each international deal failed to materialize due to one common issue- greed.  At least one player in the deal would try to renegotiate once they saw the size of the deal and without fail, the deal would collapse.  I saw firsthand what Timothy meant when he shared that greed is the root of all evil.  Once again the vision of funding seemed to be delayed.

Something else happened in 1996.  It was Spring and I received a phone call from Carl Petty in Minneapolis.  He wanted me to meet a man from Arkansas who was there with a group of men for a prayer meeting.  When Carl handed the phone to him, I said “Hello”.  The man could not speak for the anointing of the Holy Spirit prevented it.  After the third attempt, he finally regained his ability to speak and asked me what my calling was.  He and his wife had been praying for the last eighteen months for the LORD to show them the “treasurer of the Kingdom”.  He was now satisfied that I was the one and his prayer had been answered.  Once again I was excited but only to find that the time had not yet come to serve The Body of Christ in this office.  The training continued.

In 2006, Our Heavenly Father told me to establish Servias Ministries to serve mankind.  I was called to finance the cost and had no problem with that since HE knew of my adversity to asking others for money.  Even though I had plenty to do without managing an additional entity, I cheerfully set up the charitable organization.  Just as Daniel was called to live peaceably in Babylon, I am called to do the same.  My goal is conform to the system knowing that Our Heavenly Father will provide any necessary funds to accomplish that which HE has called me to do.  After all, we should render unto to Caesar that which is Caesar’s.

Finally, let us get to the Summer of 2011.  Since mid-June, I have been in an unprecedented “repairs and maintenance” cycle.  If it could break, it did.  The record heat in Oklahoma has had some impact but this cycle was of a spiritual nature.  My wife and I inquired, “Are we under judgment?”  The answer was “No”.  That was good news.  It turns out that this cycle was all about a test on whether my focus could be diverted from my calling.  In late June, a brother in Christ from Canada called me and requested that I travel to British Columbia to meet another man called to the financing of the Kingdom.  His wife had received a Word the THE LORD to call me.  Over the years I had made several trips of similar nature without seeing any manifested results.  I indicated that other commitments would prevent a trip for a few weeks.  I love this couple but I wasn’t thrilled about making yet another trip for I had plenty to do at my house.  I received another email.  This time Our Heavenly Father had made it clear that I should inquire about the trip.  HE told me that if I didn’t go, a counterfeit treasurer would be raised up and deceive the people and HE did not want this to happen.  I went.

I arrived in the valley of fruitfulness and unity.  I was to make the connection in Canada as the first step to expand Servias Ministries into the international arena.  This was the activation of the office of Treasurer of the Kingdom, a statement I do not make lightly.  I have been reluctant in the past to state this as my calling because of all of the claims by men who have attempted to exploit the brethren.  “Now is the time” to come forth and express it publicly.  It is also the time for the Body of Christ to begin functioning in unity and bring forth good fruit.  We have all been acting as individuals protecting ourselves from those who would exploit us for their personal gain.  To a degree, many of us have become cynical of those who have called us to give.

I’m not asking you to give to me but to join me in giving into the Treasury of THE LORD.  My wife and I have faithfully given under the direction of Our Heavenly Father.  Our recent IRS audit of our charitable contributions support that reality.

In the Book of Nehemiah, the Temple was in disrepair.  Nehemiah was called to rebuild the Temple and gained favor.  He set up a treasury to receive funds so that they could be distributed for the needs of the Kingdom.  Servias Ministries was established for that very function.  The one hard-fast requirement of a treasurer for the Kingdom is that he or she must have a revelation of Love.  For without that revelation, greed will enter in and divert the funds away from the perfect plan, will, and purpose of Our Heavenly Father.  Other qualifications are good but Love is required.

Over the next several days, I will share additional understanding.  A Kingdom requires a currency, a medium of exchange.  A currency requires a treasury.  A treasury requires a treasurer.  It’s that simple.

Market volatility ahead for Gold & Silver

Wednesday, August 24th, 2011

Gold was down $104 at the time of this writing and this correction was not unexpected.  As the market jitters increase, I expect large dollar moves in both directions.  I also expect those in power over trading account regulations to increase margin requirements on gold and silver traders in an attempt to lower market moves upward.  The Gold Barometer may work against Ben Bernanke once he discloses his plans at Friday’s Jackson Hole speech.  I suspect details will surface after the markets close on Friday.  Another round of quantitative easing is sure to come forth during this election season.  Politicians will not hesitate to start the money printing presses to get reelected.

My next intermediate target for gold is at $2,400 now that $1,600 has been passed.  Today was a good day to add to positions on the mining stock side for those who understand the risk of investing.  I have a great concern for those who are unprepared for the storms ahead.  Many of us will be called to minister peace during the expected economic turbulence.  A transfer of wealth differs from a transition of wealth or power.  Those who lose the wealth will not be happy campers.

Overcoming Obstacles

Tuesday, August 23rd, 2011

To be an overcomer, you must overcome something.  Most people don’t want any obstacles in their lives but want a life of “smooth sailing”.  Accomplishment requires us to deal with a challenge and enjoy the satisfaction of completing the challenge.  Complaining does not improve success but lets you know that you have not reached sufficient maturity in dealing with the tests of life.  Our Heavenly Father in His infinite Love placed each of us here on this earth at this particular time to be subject to all of His laws which originated from His character of Love.  When we break of dismiss those laws, there are consequences.  Abiding by those laws does not guarantee a life without challenges but it does insure us that as we face those challenges, we will be comforted that Our Heavenly Father will be with us to guide us through to success.  As we look at the obstacles as an opportunity to grow rather than as a severe judgment, we will understand this growth is to prepare us for greater things that lie ahead.

The aspiring overcomers as a group have been dysfunctional to a degree.  Many have come out of Pentecost somewhat disenchanted with organized Christianity.  Many were hurt, maligned, and/or ridiculed for their revelation of Tabernacles.  The church did not want to lose control of the people and thus removed any people who had revelation that challenged their perceived authority.  Jesus was sent to the cross by men who were operating under this illusion.  This very obstacle provided the way for all men to receive salvation.

Isn’t it time for the Sons of GOD to cease being a number of individuals isolated and self-insulated?  Isn’t it time for there to be a greater unity among the brethren?  Organization is a good thing when the purpose is to serve and not control.  I see an awakening of a Kingdom structure for doing business, for impacting lives, and becoming a unified body to bring forth the Kingdom of Our Heavenly Father to earth.  Babylon is in the midst of crumbling and there will be obstacles ahead.  But with each obstacle comes a Kingdom-based solution.  Do I have all the answers?  No, but I serve THE MOST HIGH GOD who does.  As we focus on becoming a unified body of believers, the doors will open to us and Our Heavenly Father will provide the “glue” needed to make us a functioning body.  Selah!

$12,500 Gold, $200 Silver???

Friday, August 19th, 2011

My Panera Barometer is on the move.  Let me explain.  A colleague and I have periodic lunches at the same Panera Bread café located half way between our two offices.  We both order similar lunches each time and thus are accustomed to the total amount of the ticket.  Panera  has just increased their prices by 5% across the board and other local restaurants are doing the same.  This is occurring all over the product spectrum.  As a matter of fact, John Williams’ Shadowstats.com reports July’s Annual Inflation: 3.6% (CPI-U), 4.1% (CPI-W), 11.2% (SGS).  SGS’s (Shadowstats Government Statistics) 11.2% is based on the pre-1990 government method of calculating inflation.  They continue to report the raw numbers that allows John Williams to calculate an accurate comparison.

Because of the interconnectedness of the global financial network, money flows in microseconds around the world.  Lately, the Swiss Franc has gained favor among investors for safety reasons.  The problem is that the demand for their currency causes the currency price to go up making their exports more expensive and reduces demand.  This forces the Swiss central bank to print more Francs to lower the exchange rate.  Nobody wants their currency to be too expensive.  The result is a currency war.  Since there is no international gold standard, central banks can simply fight it out with money printing, flooding the market with more dollars, francs, yen, etc.  However, the commodity prices will reflect this inflationary spiral with gold being the primary barometer.  This is why there is such focus by governments to manipulate the price of gold, and to a lesser degree the price of silver.

If we took the amount of gold the U.S. Government claims to have and calculated the ratio of U.S. Dollars to gold reserves. gold would need to be at an official exchange rate exceeding $12,500.  This in turn would pull the silver price up with it.  Underlying precious metal stocks would appreciated in value as well.  On the way up, the average investor would finally enter into the precious metal investing space.  Result?  A parabolic rise in prices and return on investment for those who invested early.  What could keep this from happening?  A global depression.  Investors would sell anything (including gold and silver) to eat and survive.  When the market drops, leveraged investors have to raise cash by any means including selling their good investments such as gold and silver.

This decade is going to be a wild ride for investors and those with heart problems will be stress-tested.  Maalox stock should go up due to the high demand.  Investors may find “religion” soon.

The Illusion is being challenged

Tuesday, August 9th, 2011

On 11/11/10, I shorted the market with “bear”  leap call options.  Don’t worry about understanding the trade but understand if the market goes down, I generate a profit.  I closed out my position yesterday with a handsome return.  Unlike most investors, I slept like a baby last night.  Gold blasted through new highs and is up again as I write this blog.  Our investments have no debt attached and we have been simplifying our lives and eliminating our debt.  The U.S. on the other hand has been doing the opposite.  More debt, more complexity, and nobody to control the runaway train.  Two major drops in the market within days looks ominous for many of the baby boomers hoping to retire.  Where is that Walmart application?

Gold is coming to the forefront of the mainstream media… at last.  I tuned into CNBC to catch the market opening for the first time in years and the fireworks started early:  Market down, Gold up.  Silver is a laggard but will catch up as investors start looking for safety on a large scale.  Many junior gold & silver producers were down with the market yesterday thus I was a buyer with my profits from the option trade.  By the way, that trade was down 80% at one point so it is not for the feint of heart.  I simply held tight to my convictions that the economic illusion could not keep the market propped up forever.

Inflation is running at over 10% according to SGS-Alternate CPI (John William’s Shadowstats.com).  This number is based on the 1990 U.S. Government calculation method.  This means that if you had $10,000 of purchasing power one year ago, it will only purchase $9,000 of equivalent value today.  Uh-oh.  If the government used this number in calculating Social Security payment increases, the recipients would be smiling with bigger checks but the fund would go bankrupt sooner.  Interest rates would be at 7-10% and the National Debt would be growing faster due to higher interest payments.  Get the picture?

Investors are getting anxious about whether to ride out this market or cash out and take the losses.  There is no win-win scenario.  They can see the edge of the cliff and fear is gripping them.  What’s the answer?  Busting the illusion bubble and dealing with the reality of where we are at.  We must repent of our sins and seek Our Heavenly Father who has the solution to our national woes.  Love must be at the forefront and must be the motivating factor of our actions.  The lies and manipulations must cease.  The blindness of the masses must be replaced by  revelation and only then will the healing of the nations occur.

Are there thunderstorms ahead?

Sunday, August 7th, 2011

Thunderstorm

Is the current economic system starting to look like the above picture?  The debt super cycle no longer works and has ended for consumers.  It will soon come to an end for governments.  10  Years ago, the official U.S. Government debt was just below $6 Trillion, today it is at $14.6 Trillion.  This additional $8.6 Trillion failed to produce full employment and with unemployment at 9.1%, there is no good news in sight for those who are looking for jobs created by economic expansion.  Both personal and public debt have supported a national lifestyle that is no longer sustainable.

The current model is of consumers spending money at 70% of GDP and this model is broken.  They are no longer increasing debt, the stock market has reduced wealth, and job growth is not occurring.  These three factors are negatively impacting the current paradigm.  Americans are reducing the discretionary spending due to lower home equity value, greater energy costs, and state/local governments are cutting back services and increasing taxes when possible.

We are now in an era of austerity.  Consumption will be replaced with savings and investment, the standard of a half century ago.  A crisis of confidence is ahead for all politicians.  Their unemployment numbers may soar in November, 2012, elections.

Corporations are building cash on their balance sheets but the uncertainty is forcing them to hold their cash until some sort of stability is seen.  Corporations are being thrown under the bus to divert attention from the politicians.  When government creates uncertainty and instability, they eliminate the incentive for corporations to invest in long term capital programs thus jobs are not created.

Europe’s economic stability is in question.  Italy’s 10 year bond rate is above 6% which reflects the risk of default whereas Germany’s bond rate is hovering around 3-3 1/2%.  Greece’s rate is much higher.  European investors may head to the door soon and if they decide to cash out, the U.S. market will suffer another record drop in the Dow Jones Industrial Average.

The coming storm is setting up the next move for gold and silver.  Now that gold has surpassed the $1,600 level,  I suspect we could see a parabolic move upward.  Within 5 years we could see $10,000 gold and $250 silver.  However, this would be accompanied by gut-wrenching corrections that could trigger your adrenalin flight response.  Emotions play an important part in the market.  Fear trumps greed in one’s core survival instinct.  A 40% correction in stock prices would not be unexpected.  Economic instability will create a lot of noise as the thunder rolls though.  Now is the time to seek Our Heavenly Father’s voice to guide you through the coming storm.  Man’s opinion and $5 will buy a Cinnamon Dolce Latte right now, that is, until inflation brings forth another price increase