I had a meeting on Monday with some clients who usually spend up to 6 months in Brazil. They just returned a few weeks ago and we got to talking about the corruption that has taken place there. They hit me with quite a bombshell. While they were there they witnessed first-hand that people were dying because of a lack of medical supplies and food. This is certainly not being reported anywhere here in the USA that I am aware of. I think we are all aware of the catastrophe taking place in Venezuela but I was quite surprised to hear the extent of suffering even in Brazil.

This is what can happen when there are “sweetheart deals” that benefit a few at the expense of many.

A few weeks ago I wrote about how many firms are changing the dynamics of money. Money can now be sent virtually anywhere globally, virtually instantly and at a cost that is a fraction of what transfer payments at banks cost. I also mentioned that this would be a drag on bank’s profits because the oversized fees that they are collecting on making these transfers will likely become extinct shortly.

In the short-term I believe this will help the little people by lowering fees. However, I am not so sure that this will last as the banks could be positioning themselves to profit from these changes.

It appears that the brokerage industry just may be getting the same type of treatment as Goldman Sachs has just won a patent for a proposed “SETLcoin” cryptocurrency, according to Coindesk. This technology is supposed to be able to house positions and will likely cut out the middle men in transferring shares from person to person or account to account. “The US Patent and Trademark Office published Goldman’s patent on July 11, 2017”.

Of course, since Goldman has the patent, they will likely get a piece of every trade using this technology.

In my opinion, this technology likely already existed but it pays to have connections.

It appears that everywhere you look there is a war on cash and privacy. It also appears that these major banks are well aware of what is going on and are trying to get ahead of the oncoming changes.

It is reported by Ted Butler that JP Morgan is hoarding silver and it has been reported in numerous sources that not only central banks but banks like HSBC and Goldman Sachs are loading up on gold by the TON as I have commented on in previous articles..

What do these people know that we don’t?  I can’t answer that question directly- if I knew I could be a billionaire too!

What I do believe is that this whole economy, economic statistics, asset prices, etc. all appear fake. Those that are aware of what is really happening are positioning themselves for an entirely new paradigm going forward.

So where are they getting their information from? Let’s just examine a SMALL piece of this puzzle and look at Goldman Sachs and where many of their former employees and partners call home today.

Let’s call this Goldman Sachs executives in government positions today…

William Dudley-President of NY Federal Reserve and vice chair of FOMC (Investopedia).

Steve Mnuchin- Treasury secretary (The Hill).

James Donovan- Deputy to Treasury secretary (NY Times).

Stephen Bannon- White house chief strategist (The Hill).

Gary Cohn- Director in White House National Economic Council (The Hill).

Dina Powell- Senior counselor for economic initiatives (The Hill).

Anthony Scaramucci- Chief strategy officer of the Export-Import Bank (NY Post).

Jim Himes- Democratic representative for Connecticut’s 4th district (NY Post).

Josh Bolten- White House chief of staff during Bush administration (White House Archives).

Mario Draghi- Head of ECB (European Central Bank) (Investopedia).

Malcom Turnbull- Prime Minister of Australia (Investopedia).

Mark Carney- Governor of the Bank of England (Investopedia).

Ben Broadbent- Deputy Governor of Monetary Policy at the Bank of England (Investopedia).

Romano Prodi- Prime Minister of Italy in 1996-1998 and in 2006-2008 (Investopedia).

Olusegun Olutoyin-Nigeria’s Minister of industry, trade, and investment from 2011 to 2015 (Investopedia).

Erik Asbrink-Served as Swedish Finance Minister from 1996-1999 (Bloomberg).

Ziad Ahmed Bahaa-Eldin- Egypt’s Social Democratic Party (Upclose).

Petros Christodulou- Deputy chief executive officer for the Greece National Bank (Investopedia).

Michael Cohrs-Court member in the Bank of England (Investopedia).

Mark Patterson- Chief of Staff for Obama administration (opensecrets).

Gary Gensler-Chairman of Commodity future trading commission for Obama administration (NY Times).

This is just a short list of the many people who have called major banks home and have moved on to positions where they can have an influence on public (and possibly private) affairs.

Is it likely that these people just stop communicating with their cronies after they “leave”?

Left out of this list is Henry Paulson who was CEO at Goldman and also US Treasury Secretary when TRILLIONS were handed out to save the banks on a global basis.

It is also not surprising that while Gary Gensler was the Chairman of the CFTC they appeared to look the other way while billions of dollars of naked shorts kept the price of gold and silver suppressed while their corporate masters were shorting them and purchasing the real assets with the profits.1 (This is my opinion that they used the profits- I have no proof of that but it is all that makes sense to me since there are many reports of Goldman Sachs purchasing tons of gold, HSBC purchasing tons of gold and JP Morgan possessing 1/3 of the above ground supply of silver-again Ted Butler).

How much better of a trader would you be if you had connections in these positions?

As I have said numerous times- don’t pay any attention to what they say- many times it is meant to deceive. Watch what they Do- it is much more telling. Get ready for electronic cash, major disruptions and likely a lot of chaos while this all plays out.

Time appears to be running short- get your plans in place and … Be Prepared!

Mike Savage, Financial Advisor

2642 Route 940 Pocono Summit, Pa 18346

(570) 730-4880

Securities are offered through Raymond James Financial Services, Inc. Member FINRA/SIPC. Investment Advisory Services are offered through Raymond James Financial Services Advisors, Inc.

Any opinions are those of Mike Savage and not necessarily those of RJFS or Raymond James. Expressions of opinion are as of this date and are subject to change without notice. The information contained in this report does not purport to be a complete description of securities, markets or developments referred to in this material. The information has been obtained from sources considered to be reliable but we do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.

Commodities are generally considered speculative because of the significant potential for investment loss. Commodities are volatile investments and should only form a small part of a diversified portfolio. There may be sharp price fluctuation even during periods when prices are overall rising. Precious metals, including gold are subject to special risks, including but not limited to: price may be subject to wide fluctuation, the market is relatively limited, the sources are concentrated in countries that have the potential for instability, and the market is unregulated.

  • Paul Craig Roberts- Former Asst. Treasury Secretary for Ronald Reagan on King World News