They Want Your IRA! Markets Getting Dangerous! Update February 13, 2010

Marc's Notes:
The markets temporarily stopped their convulsing and settled down to bouncing around 10,000 DOW and investors breathed a sigh of relief. While the Wall Street cheerleaders spin “all is well’ in Tinsel Town, market students and technicians know otherwise. In a nutshell, market fundamentals are horrible and economic fundamentals are worse.
Unemployment ticked down only thru manipulated figures and consumer confidence is again waning as Joe Sixpack still doesn’t have a job and is beginning to figure out what he is being told by Washington doesn’t seem to ring quite true on HIS block.
What we are seeing and what I have been saying all along is the only “improvement” we are seeing is coming from Government spending, but that is borrowed money.
That’s like charging your bills to pay them. That doesn’t work. You and I and any 12 year old know that. But what is really happening here is Obama and the rest are kicking the can down the road trying to stave off the inevitable. They borrow more and more and bail out everyone under the sun, all while feeding trillions to the banking cartel while you and I get stuck with the bill. Foreign investors incredibly still buy our IOU’s but that is slowing and WILL CONTINUE TO SLOW until the FEDS will have to buy their own debt (called MONETIZING- Listen to Money Matters Show #3).
Once that happens, (actually it is happening now but not on the scale you will see), interest rates will increase even faster and the US Dollar will tank even more then it is now. Washington will look to anywhere it can to grab more money to pay its bills and your IRA will be next.

The IRA grab of 2015.
The year is a guess but here is what is coming. They are already discussing it in Washington!
This IRA grab will start with some sort of GRA or Guaranteed Retirement Annuity, or something like that. They will put it out under the guise of paying back your retirement account from the losses it will incur from the next stock wipe out. They will entice the masses with a payment of a few hundred bucks INTO low income and wiped out investors stock accounts and get THAT payment from higher income earners and those with more then $200,000 in savings) or some magic number. A portion of your IRA will be FORCED to buy US TREASURIES.
YOU ladies and gentlemen will be the BUYER OF LAST RESORT OF US DEBT because NO ONE ELSE WILL. They will exchange part of your IRA with a payment, much like a Social Security Payment. The small percentage that will be forced into buying government debt will increase over time and newly earned monies from your job will be grabbed in part as well. The masses will be in favor of it because their IRA’s will have been wiped out and they will want to be made whole again. The promise to do so by the government will be the typical rally cry that has allowed these grabs throughout history. For the public good.

It’s coming. Our debt is too great. We cannot pay it off. The US DOLLAR will not survive in its present form. As the government spends more, they will need more, and they will get it through any means it can. The masses will clamor for retribution and the Democracy System will allow the 51 % to grab the wealth of the other 49 %. And that means you.

Now, more then ever, move money OFFSHORE and into gold and silver you hold.
Buy property in another country. Get OFF THE GRID as much as you can and slowly over time, do so more and more.
The time is not now but you grabbing your IRA before they do is coming. Think it can’t happen? You just wait. Give them more time to run up more un-payable debt.
Obama hinted to a “required” retirement plan for each American during his State of the Union address.  THAT was your hint. Everyone gets one, forced upon you, but paid for by YOU. And the government begins its take over of the 15 trillion in retirement accounts. They NEED that money and KNOW its there and that is a LOT of money.
They want it. And are putting in the first foundations of spin to get it.
You ain’t seen nuthin’ yet”

Markets:
DOW 10,000 is the line in the sand. Notice we are now going through the machinations of bear market materialization. That is the DOW is making lower LOWS and lower HIGHS. Much like a ball bouncing down the stairs, now the markets look to head lower. 10,000 is the resistance now, but like bouncing a bowling ball on a windshield, it will break soon.

Why the bleak call? Too many reason to list them all but here are a few.

1) Insiders are dumping stock and have been for months.
2) The market rise to 10,750 retraces technical points to the T. Bottom line, the recovery is duplicating past bounces and will fall again as it usually does after this false type of market bounce.
3) Investors are complacent while the big boys are dumping. Typical.
4) The economy basically stinks. Don’t believe the spun numbers.
5) Housing continues to crater. No news there. Look for another 5 to 10 years DOWN. Commercial is the next bailout. Watch for it soon.
6) Retail sales stink if you take out the massaging of the numbers.
7) The “PRICE” of stocks as based on earnings is WAY TOO EXPENSIVE and is NOT historically where they should be in a “recovery”.
8) The FEDS will have to raise rates to defend the US DOLLAR but they cannot as that would CRUSH the current economic markets. They are caught between the rock and hard place we have been discussing for 3 years now.
9) Inflation is coming my friends to a store near you, but you will also see DEFLATION in selective areas. DISTORTED MARKETS make for volatility and uncertainty. Be wary.

I could go on but don’t have the time.

What to do:
Hold and BUY physical gold and silver. There is a contact at the end of this newsletter.
Hold most of your money in US debt. Make sure all monies are FDIC insured or other government insured vehicle. Money Market funds DON’T qualify for the most part.
Hold your dividend payers but PUT STOPS in a 5% below where we are today on a good portion of your holdings.
Add and buy foreign currencies to hedge your US DOLLAR holdings. (See Dream Portfolio) on the website. I will have a new recommendation soon.
Add a Swiss Annuity. This moves money OFFSHORE and can be held in an IRA in trust. (See the SWISS ADVANTAGE BANNER on the right side of the website and click it to get a free book).
Those with over $75,000 or so, schedule a consult with me. (Also on the website or EMAIL us).
Add some interest rate funds to protect against a crashing dollar. A world event or other “BLACKSWAN” event could cause rates to skyrocket at any time. (See Dream Portfolio).
Own some oil and natural gas stocks. Buy on dips. Look into USL, USO, UNG, GAZ and others.
Own some gold stocks and funds.
Own some “contrary” funds to protect what I mentioned above. These are called SHORT FUNDS or BEAR FUNDS or CONTRARY FUNDS, Don’t confuse them with a fund or funds named CONTRA. Those are NOT the funds I am speaking of.
Stay tuned to MONEY MATTERS and this NEWSLETTER.


Markets:
Expect more volatility. Alert is level remains at ORANGE and getting REDDER.
DOW 10,000 is the new line in the sand. If that breaks and consistently remains UNDER 10,000, alert level will go to RED as a new level of “plummet” will be upon us.

Notes of interest:

Here is a link of interest on explaining a bank and housing bailout. Just one of them.

http://www.thinkbigworksmall.com/mypage/player/tbws/23088/1110273.

Take a look at it when you have the time. It is entertaining as well as informative.

Upcoming Show this Thursday at noon, PST  February 18th on KVMR 89.5 or worldwide on the web at www.kvmr.org.

“Should You Stop Paying Your House Mortgage”.   Never thought I would do a show called that!  Now times have changed and I must address it. Tune in.

All for now,
Marc