Category Archives: Uncategorized

A sure sign of deflation: 9 bailed-out banks report declines in new lending.


As the pool of credit worthy borrowers and worthy inestment projects dwindles in a deflationary environment so the lending declines. It is no surprise that in still democratic USA, unlike the communist China, the Government cant just mandate its banks to lend. It can provide interest free credit lines, it can embark on a massive Qunatitative Easing and public relations campaings, but if banks are scared to lend and the borrowers are not interested in borrowing nothing will get the lending machine going. At least, not until the bad debts are liquidated through defaults, which are, of course, deflationary. And so the lending contracts.

U.S. is in deflation as a nation. Shooting at the Pentagon. Revolt is brewing.


Now that the social contract has been torn up and stamped upon by the rich and the powerful elites of the USA, now that the trillions have been stolen from the millions in broad day light with smiles on their faces, now that tens of millions of jobs have been shipped off shore and tens of millions of immigrants have been allowed to pour into into America (even now in this difficult economic time) and take jobs that many US Citizens so desperately need, now that the mere dissent and opposition to the government policies is suppressed and government statistics are shamelessly falsified, the USA as a nation is deflating not only economically, but also sociall and politically.

We the People are damn f###ing tired of this disgraceful spectacle that the political establishment and their puppet masters are forcefeeding us.

May that is why the People of the USA are losing their patience (finally) and beginning to fly planes into privately owned tax collection agencies such as IRS and go on shooting sprees near buildings of other anti-American organizations, And oh by the way the Epic Beard Man is so popular, because he represents revolt and resistance to the government forced policies of tolerating crime and violence for the sake of diversity and multiculturalism.

Porn deflation.


In a punny way of things the pron industry is deflating in unison with the rest of the US economy.

Bank excess reserves with Federal Reserve signal coming loan losses.


This latest chart from November 5, 2009 release of the privately owned Federal Reserve’s report on the excess reserves is showing a sharp increas even over a few months of suppossedly “recovery” and economic “growh”. This sharp increase in excess reserve levels in a seemingly improving economic environment signals that banks know of something else. That something else is causing them to hoard cash and keep it in safest place possible, i.e. accounts at Federal Reserve banks themselves. This menacing something is likely to be huge loan losses that are result of defaults and bankruptcies by debtors. This is, of course, very deflationary.

Citigroup is deflating.


In a sign of deflation Citigroup is closing without warning random consumer credit card lines. It has suffered consumer credit losses to the tune of $ 8 Billion in the third quarter of 2009 alone, that is deflation by any definition. And acting responsibly, trying to stay afloat, Citibank is cutting its losses or potential losses. This is what deflation looks like. Creditors are unwilling to lend while customers are unwilling to borrow and no infusions of liquidity by the privately owned Federal Reserve Corporation will change this.

Q2 2009 private sector credit collapsed at – $2.2408 Trillion annual rate.


The just released privately owned Federal Reserve’s Flow of Funds report for September 17th, 2009 shows that the second quarter of 2009 brought the greatest credit collapse of all time (http://www.federalreserve.gov/releases/z1/current/z1r-3.pdf).

Canada experiences 2nd month of deflation.


Canadian people have been fortunate to have experienced the wornderful feeling of seeing lower prices for a second month now. Deflation is there and looks like it likes it in Canada. Oh Canada. United Press International. August 19, 2009. Canada experiences 2nd month of deflation. OTTAWA, Aug. 19 (UPI) — Consumer prices in Canada fell […]

Deflation is here and now and everywhere.


If one were to listen to the policy makers and news media, one might think that deflation may still be averted and has not yet arrived. But if one reads the official economic statistics from around the world one will see that deflationary spiral has already arrived and is beginning its whirlwind motions in earnest.

Robert Prechter: Expect “Deflationary depression”.


The president of Elliot Wave International Robert Prechter explains why we are headed towards “Great Deflation” and new “Great Depression”.

Elliot Wave International: “Does This Look Like INFLATION To You? We Didn’t Think So.”


The logic is simple, yet somehow it escapes the great minds of those that are in charge of the US Economy. Deflation it is.