Saturday, May 17, 2014

"They're Just After My Money" and Other Enlightening Moments- The Sunday Collage

Many years ago, I used to play poker in Northern Nevada with a cantankerous old millionaire who played a lot of cards. He was frequently very lucky and he'd do stupid things like count the cards in the middle of the table with his index finger, including the two he was holding in his hand, and then announce he had a straight. Of course, he would then bet. Newcomers would always think that nobody would say that out loud and mostly they would just call his bet- a few of the aggressive ones would raise just prior to being introduced to a re-raise.

One time, after a very lucky session, my friend looked over at me and announced he was leaving. He was a big winner. He looked at me and said, "These assholes are just after my money." I replied, "No shit Sheldon- it's a poker game."

In just the last three months, my property taxes have gone up 200 a year, my homeowners and car insurance went up 200 a year, and my cable bill went up 150 a year. I am going to pay a 450 dollar Obamacare penalty. Those 4 things are going to cost me 1000 more dollars next year aside from rising food and energy costs.

Is there anyone out there- anywhere- who believes the Bureau of Labor Statistics 2.5% annual inflation bullshit?

And if you don't- please explain to me how the masters of the universe have stopped the precious metals from soaring which they have a tendency to do whenever inflation hell is breaking out.

I am in absolute awe at what I am seeing. Consumers are being absolutely stripped of what little wealth they have left, while being introduced to lower, crappier wages as the stock market band on the economic Titanic just plays along.

If I didn't know any better, I'd just say that everybody was after my money.

I'll tell you the nuttiest part. I actually bought precious metals thinking that this precise scenario was about to take place years ago but alas, somehow, someone, has reversed  the economic laws of nature which have governed the 53 years that I have been on this rock- forcing gold and silver to trade near three year lows.

I cancelled my Direct TV account last week. I am kind of sick of them arbitrarily raising my monthly charge every year or so which is their trade tactic for getting you to sign a new contract. Each time a contract expires, they gouge me just a little bit more. Six years of this nonsense. This time, I said "no mas." I am gonna save about 900 a year. I very gleefully will box up their receiver, the card, and pay my last payment to these pirates.

I am going to use that money to pay my taxes, insurance, and my Obamacare penalty. 

Now granted, I'm going to be missing out on CNBC telling me how wonderful banks and Wall St. are every weekday morning. I won't be able to see the digger clowns from Montana finding "nectar" in the hole. Or Jeremy Whatshisname catching river monsters. Somehow I am going to just have to make due without all of that "entertainment."

Or not. I bought a Roku from Amazon that actually gives me most of what I watch for 99 bucks, one time. I'm still playing with it but I think it might be a viable alternative to corporate capture. I streamed the Preakness today over Pimlico's site and watched the only thing worth seeing. California Chrome might just break the 40 year triple crown drought. I will finally be able to die in peace.

I've been watching commodity prices rising dramatically over the past two months- well everything except gold and silver- that is. Gas is almost back to 4 bucks a gallon in Boise with two weeks until Memorial Day. Prices on everything from meat to coffee are soaring. They even raised my water bill.

I don't know about you, but I get this sneaking suspicion that our economy is heading for a cliff. Like something very big is about to happen and nobody is talking about it or sees it coming.

This morning, I am thinking about going to Jackpot, Nevada and playing in a poker tournament. Everyone will be trying to get my money while I in fact- will be trying to get theirs. That's kind of the agreed upon premise. At least it's all above board and everyone plays on the same, level, playing field. Nobody can simply extort your chips from you without winning them- fair and square- nor do you have to sign contracts or listen to corporate drones try and entice you into giving them more money. 

I used to see Sheldon, my friend, every Sunday in that tournament. He won his fair share of them. I haven't played in it since he passed away a couple of years ago. Maybe, I will get a straight and count the cards out in the middle out loud (of course) and my two hole cards and say, "I gotta straight" and then bet.

I bet they'll call me. Some things, thank gawd, never change.


Compleat Patriot said...
This comment has been removed by the author.
Compleat Patriot said...

It's war man. control the metals prices to hide the worthless U.S. dollar and this propped up economy. Hide the collapse which you know they're doing. And control the international community because nations going back to a gold standard blows this dollar the rest of the way down. The U.S. and Europe have a history of suppressing the metals to weaken metals function as an international reserve currency. Thus keeping this con game going with the U.S. dollar as the international reserve currency. Either way we lose as well. You can't eat gold. And when the collapse hits here the most valuable commodity is water and food. I have millions of gallons blue gold over at the ranch. And ten years worth of grub. See ya at the burn barrel. The dollar of course is just about done. Once it's out of the way a new system can be brought forth. Maybe a credits for hours bracelet and then a chip. Refuse this and you're a ghost. Have you noticed it's illegal to feed the homeless? Have you noticed its illegal to live off the land?

PeterE said...

Rising prices you say?

Did I mention the system is broken?

My first real trip to the USA was in 2007. I have returned every year since, for three months at a time. The prices I was paying for anything in the USA back in 2007 were so much cheaper than in Australia. Not so much now. When you spend 9 months away from the USA and then return, you really notice the things that have changed in those nine months. Two things really stand out;

1. Overall prices. Things, all things, ain't as cheap as they used to be in the USA.

2. Vehicle sizes. The average size of vehicles on the road has shrunk. Seems your gas aint as cheap as it used to be.

I'm not saying that inflation is not happening in Australia, but the USA is doing it faster.

Now - let me correct something you said…

"I'll tell you the nuttiest part. I actually bought precious metals thi…."

Let me tell you, Brian, that move was not nutty. Well perhaps the silver part was, but the gold part I believe is sound. I got me some gold a few years back believing the same as you. All of a sudden I see shops pop up buying old gold jewellery. People standing on the side of the road spinning signs that say "We Buy Gold". Makeshift stands in strip malls doing the same. And countries and banks increasing their gold holdings. Why would governments and banks start buying gold after a GFC? I figured if it was good enough for them, it was good enough for me. The gold price is manipulated. They'll smash it to the ground and hope you sell every ounce before it's rightful value is established. Hang on. Tight.

Here we are years later, and the balloon that these fools are blowing still has not exploded. Trillions in QE, numbers that don't add up, other numbers that say things are great, and even more numbers shat show the system is basically The Walking Dead. I'm lost as to how it still has not collapsed. Clearly I'm not smart enough to understand it all.

All that I do understand is this; Things are not getting any better for those who
a) have to pay taxes - many people
b) rely on welfare - everybody else
a) people who have savings in the bank - some people
b) people who owe money to the bank - everybody else

Basically everybody is covered by those two statements above.

The only people who seem to be winning are those who are in the stock market. BUT i believe that their turn will come soon. Rather than get out now while the going is good, they will hang on until the crash, then then they can join the rest of us tax payers or welfare recipients.

Oh, and there are some others who are doing just fine. Politicians and bankers. But lets not go there.

Tighten your belt (good move on cancelling cable). Get ready to hold your breath. And remember one thing - the longer it takes to get here, the worse it will be.

Hopefully I'll see you on the other side. Can't wait to see this unfold.

Anonymous said...

Good observations Peter. Your perspective is obtained by being a periodical visitor to the U.S.S.A.
The final explosion will be the stock market and that should happen before the end of 2014. The people
who have not taken steps to preserve what ever wealth they have left will be wiped out. It is so sad to see our country be destroyed. The game is now one of both financial and physical survival. All the best to you and yours.

Jim at Asylum Watch said...

Things are starting to become interesting, my friend. Russia and China just signed a mega-thirty year gas deal with no dollars exchanged. Next month ( I think it's next month) the BRICS will be meeting in Brazil. No doubt they will be talkkking of more to do business with each other without needing dollars.

Compleat Patriot said...

Hell, I forgot about this pdf. I've had it here for years.