Category 5 Financial Hurricane on the Horizon

Just Printing More Money Never Worked Before; Why Did the U.S. Government Think It Would Now?

I feel like Cassandra, the priestess of Apollo in Greek mythology who was cursed to utter true prophecies that were never believed. I already know that nobody will listen to me now.

Jamie Dimon at JP Morgan is predicting a financial hurricane. I've seen it coming for a long time. The U.S. printed money from February 2020 to the end of 2021, growing the total cash supply by 38.6 percent. Big mistake. Just printing more money to keep an economy going has been tried before by many countries, with predictable disastrous results.

Sanctions against Russia has also been a mistake. It's sped up the dedollarization of the global economy that I've been writing about for the past ten years or so. I've known that when that happens, the U.S. will lose its unlimited credit.

The U.S. has waged economic warfare on a large number of countries, not just Russia, with sanctions. The sanctions against Russia have been unprecedented in scale. And the unintended economic consequences of the proxy war in Ukraine against Russia will also be unprecedented in scale.

I don't care if billionaires lose their fortunes and Wall Street firms like JP Morgan go broke. What I do care is about working people absorbing the brunt of what's coming. I care about being able to continue receiving my Social Security check. I care about the impact that the upheaval and instability of the collapse of the U.S.'s financial infrastructure will have on other countries.

This won't be just a stock market crash. It is going to be far worse than that. What happened in 2008 will look like a hiccup in comparison. A hurricane is actually a good metaphor for the financial storm on the horizon; it's going to slam the U.S. economy hard, like the category 5 Hurricane Katrina that hit New Orleans.

Commodities will be more important in international trade, displacing the use of fiat currencies like the U.S. dollar, which isn't backed by gold or anything of value. At this point, the U.S. dollar is mainly backed by the U.S. military, and its willingness to use it to coerce other countries into doing what it wants and giving it favorable terms.

I'm not an economist. I have no idea to what extent this will happen. I do understand foreign currency reserves because I have studied this issue for years, and I've watched China create its own bourse in Shanghai and the efforts it has made continuously to trade in a basket of currencies, not just U.S. dollars.

The U.S., NATO and Western countries thought that they were destroying Russia's economy, without realizing that they were destroying their own economies. The day of reckoning is coming. It's going to hit the world hard, but nowhere as hard as it will in the United States.