East Coast Economic Update Jan 23,2009

I received an email from the Trends Research Institute. I wanted to share this with you.

Federal Reserve will buy US Treasuries, Bloomberg: http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aPU2954I9XUw

Trends Institute email:




CODE RED: Economy in Collapse -
Drastic Actions Will Be Taken


KINGSTON, NY, 22 January 2009 -- President Barack Obama will use his poll shattering popularity to swiftly enact policies that will prove to be among the most costly and potentially destructive in America's history, predicts Trends Research Institute Director Gerald Celente.

"We are forecasting dramatic measures will soon be taken by the Obama Administration that will worsen the credit crisis and severely damage the nation's economic system," says Celente.

According to The Trends Research Institute Director, the new President who swept into the White House on a tidal wave of unprecedented enthusiasm and the blessings of a strong majority, will have free reign to take whatever actions he deems necessary.




"Whatever Obama wants, Obama gets. Desperate, scared and not knowing what to do to survive the economic storm, people are seeking a messiah to save them, and Obama is their man," said Celente. "When fear rules, reason and logic are ruled out." (According to an AP poll, 71 percent of Americans believe the economy will improve during the first year of the Obama presidency.)

The 332-point stock market decline that greeted Mr. Obama into office (a record breaker for Inauguration Day) and today's 105-point market decline will be followed by a steady stream of worsening economic news and major financial calamities, Gerald Celente forecasts. Just as President Bush exploited 9/11 as a pretext to wage the War on Terror, invade Iraq, abrogate the Constitution and exert broad Executive powers (with bipartisan and majority public support), President Obama will be given even greater latitude to fight a war on economic terror, predicts Celente.

For example, Timothy Geithner, President Obama's nominee for Treasury Secretary, has pledged to expand and prolong government intervention in the financial markets. He said his economic team would take "forceful" and "substantial action" on a "very dramatic scale" to "forge an integrated strategy on how best to achieve currency realignment."

Celente advises to closely read the signals that have been clearly telegraphed by Mr. Geithner. "From proclaiming a bank holiday, confiscating gold to backstop devaluing currencies, mega-bailouts for the too-big-to-fails ... to nationalizing public firms and dollar devaluation ... whichever of these or other actions are taken, the financial burden will fall on the American people," Celente forecasts.


Blame the Little People
In his inauguration speech President Obama warned Americans of tougher times ahead and for the need to make greater sacrifices. In doing so, the President placed equal blame for the global financial crisis on the public's "collective failure to make hard choices," along with the "consequences of greed and irresponsibility on the part of some."

"The President is correct. Many have spent beyond their means, borrowed themselves into debt, took risks playing the markets, and speculated on real estate," said Celente. "But comparing Main Street's financial missteps to the large scale corruption and criminality of the banks, brokers, insurance companies, hedge fund operators, mortgage companies, rating agencies and buyout firms that cooked the books, enriched executives, ripped off clients and rigged the numbers, is further evidence that Obama is a Wall Street man.

Trendpost: Do you know where your money is? Is it safe? Will you be able to get it when you need it? What will you do if trading is temporarily suspended on Wall Street? Will you be able redeem your CD's?




The new Treasury Secretary promises "a very dramatic scale" of action that may in turn require you to take very dramatic counter measures to protect your assets. We forecast with great confidence that whatever actions Washington takes to save the "too big to fails," they will prove very costly for the "too small to saves" who will be forced to foot the bills and eat the losses.

© MMIX The Trends Research Institute ®

Category:

Education

Tags:

• Gerald Celente
• US Economy

[earstohear12]

People are to blame for this. I am a poor idiot but I was intelligent enough to realize 4 or 5 years ago when home values were skyrocketing, and every dumb hick and factory worker was refinancing their houses and buying new cars and toys, that wages weren't growing enough to sustain the price of homes.What happpened? A short period of booming sales for businesses, which gave the false idea that it would never end. Then home prices fell, ARMs rose, commodities rose, sales stopped, now jobs gone.

[Kittenkattan]

I started back in 1992. When J. Reno stated a terrorist is someone " who believes in a messiah, the bible, goes to church regularly, and tithes". I knew the end was near. I am just happy, that like Noah, I had time to build my "Ark".

Peace.

K.K.

[Arginine88]

Bloomberg is good stuff. If America's economy was anything like Hitlers Germany than we would all be living in luxury. Hitler never wanted to go to war! he just new it would come to that because of the Zionist movement in France and England and the Communist/Bolshevist tyranny in Soviet Russia. Hitler gave more freedoms to his people than they would ever have today or in the future! Yes he killed traitors but we do too.

[Kittenkattan]

Socialism, whether it is National Socialism or Fabian Socialism is destructive to an economy. No matter where Hitler's Heart was. It just doesn't work.

Peace.

K.K.

[sailfished]

when your children have not eaten in 3 days and you are looking at the next day being the same as the previous 3 you will remember when you comforted your children with the words of ,dont worry ,I love you, I will not let anything bad happen to you , that is when the impossible will become necessary. For years I have described our economy as as a bucket brigade who through maximum effort is able to contain the inferno. All it would take for conflagration is for one bucket passer to stumble.

[Kittenkattan]

Sailfished,

Though emotional, I agree many people are going to fell this way. But only the unprepared. We (youtubers)make up less than 1% of the total population of this country. We are the future, not sheeple. Peace.

[Michigansnowpony]

I too went to the grocery store today for another "run". I get the stares when my cart is loaded with canned goods and such. And then I notice no one else seems to be shopping the way I am, even when things are on sale and a good deal.

I also canned more chicken today. . . about 100 pints more to go. Sigh.

[sailfished]

Fell/feel, freudian slip? lol anyway I wasnt trying to scare anyone, I think that human nature is fairly predictable,thanks for the invite,Peace,shalom!

[gnrisinmyblood1]

WELL IN MY OPINION AFTER THIS CRISIS THERE WILL EITHER THE GREAT WAR OR WORLD WAR lll IM CANADIAN SO I AM NOT SO CONCERNED ABOUT THIS CRISIS IM ONLY A CHILD TOO BUT IM STILL EXTREMELY CONCERNED

[sapins68]

that why we need protectionism bring back pride to this nation

[MihiLibertas]

America is the Most corrupt nation in the World. unless you take back control you will live on your knees.