Gerald Celente Forecast 2012, FEMA Prepares for Dollar Collapse

Winding down one year ushers in forecasts for the coming year.  And the man many want to hear from most is none other than Trends Research Institute Founder Gerald Celente, whose predictions for 2012 include his most dire one yet.

Speaking with Aaron Task of The Daily Ticker on Dec. 17, the confident and outspoken Celente began the discussion by reminding viewers of his 2011 forecast of mass demonstrations erupting throughout the world.  Sign-up for my 100% FREE Alerts

Celente’s December 2010 prediction came to pass much quicker than even he might have anticipated, as the self-immolation of a Tunisian street vendor Mohamed Bouazizi in December 2010 sparked (certainly no pun intended) the ‘Arab Spring’.

By mid-January 2011, the Bouazizi incident catalyzed riots in the Tunisia capital of Tunis, emboldening watchful citizens of neighboring countries to take to the streets of Algeria, Morocco, Libya, with the main event mushrooming in Cairo, Egypt, symbolically taking center stage at the Mecca of the Arab World throughout the summer, and again, recently, in a Part II of the struggle for liberty.

Then came the Occupy Wall Street (OWS) movement, the first significant uprising from North Africa’s brethren counterparts of the West.  Beginning on Sept. 17, a small gathering of young adults at Zuccotti Park in New York City’s Wall Street district began the protest of growing wealth disparity in the U.S.

So where to now?  Celente said ‘Occupy’ appears to have legs, or in this case, an endless number of tentacles.

“Time Magazine, is, well, not on time,” Celente said, referring to Time Magazine’s, ‘Person of the Year: The Protester’ issue of Dec. 15.  “They’re just calling it protestors.  We’re calling it, ‘The Invasion of the Occtupy’.”

Celente goes on to explain the critical difference between the Occupy movement and another anti-establishment organization, WikiLeaks: Occupy has no leader, which, Celente believes, gives the movement enduring robustness in the fight for an end to the fascist takeover of the ‘Free’ World.

“The very weakness that the people think of the Occupy movement, not having a leader, not having one message, is, in fact, its very strength,” he said.  “For example, you take the WikiLeaks, big news and doing a lot of important information coming.  But it died because they cut the head of the leader off.”

He added, “The Occtupy doesn’t have a head to cut off . . . the tentacles, they’re reaching everywhere . . . You cut off one tentacle and another one grows.  There’s no one base, there’s no one message.  This is huge and it’s just going to continue and spread.”

Celente points to Wall Street bankers and complicit politicians as the cause of the Occupy movement, referring to JP Morgan CEO Jamie Dimon, in particular, as the epitome of Wall Street corruption and arrogance.

“I heard Jamie Dimon, CEO of JP Morgan Chase,” Celente said.  “He doesn’t get it, why people are angry, you know, with people that are successful and making a lot of money.  Guess what?  The greedy never get it.  The gap between the rich and the poor in this country is this widest in any of the industrialized nations.”

“You have an off-with-their-heads moment that’s being generated now,” Celente added, somberly.

Two days later, on Dec. 19, Celente continued the discussion of his 2012 predictions with Eric King of King World News, elaborating to KWN’s more financially-focused and specialized audience on some more sensitive issues he didn’t cover in his interview with The Daily Ticker.

“One of our tends is the technocrat takeover.  Over in Greece or over in Italy, they are all bragging they’re bringing the technocrats,” Celente told KWN.  “It’s not the technocrats, it’s the bankers.  The bankers have taken over the temples of the capitals of the world.”

Instead of applying the concept of a Jubilee Year, founded upon the wisdom of 1750 BC Babylonian King Hammurabi, who canceled burdensome debt levels of his people in order to preserve his kingdom, today’s bankers have set a course for revolution, according to Celente.  (See economist Michael Hudson Dec. 2 article, titled, Hammurabi Knew Better, Debt Slavery – Why It Destroyed Rome, Why It Will Destroy Us Unless It’s Stopped.)

“As the bankers take over, and we’re seeing what’s going on,” Celente added, “they are throwing out democratically elected governments, we are forecasting there is going to be a severe decline in 2012, particularly in Europe.”

“So that brings us to the next trend, get ready for economic martial law,” he continued.  “They are going to call a bank holiday.  So what we are saying is conditions have become a lot worse.  And a bank holiday is no holiday folks.”

Celente speculates that Congress’ passage of National Defense Authorization Act is a tip off to a terrible national event scheduled or anticipated by the U.S. government—an event bad enough to possibly spark a revolution in America.  He calls that trend prediction: Battlefield USA.

“It just became law. The Bill of Rights in the United States has been abrogated,” Celente said.  “They [Congress] passed the new Defense Act and in that Defense Act they have in there, in clear language, anybody can be arrested under the National Defense Authorization Act . . . No judge, no jury, no trial, no rights of habeas corpus.  This is what the United States has become.

“So they are putting the soldiers in place.  I used to think they were nuts talking about the FEMA camps, now I don’t anymore.”  Sign-up for my 100% FREE Alerts

WikiLeaks Exposes Germany’s Euro Exit, Gold, Diamonds, Oil to Soar

It’s the German way or the highway in the eurozone, according to the latest hot cable released by WikiLeaks.  Sign-up for my 100% FREE Alerts!

U.S. ambassador to Germany, Philip Murphy (Goldman Sachs alumnus), issued cable 10BERLIN181 to Washington on Feb. 12, 2010, which essentially states that Germany leadership’s reluctance to backstop the PIIGS’s profligate spending of the past centers upon its sense that, in the end, Germany’s political and economic survival would be placed in jeopardy.

It appears Germany has no intentions of running a U.S.-style print-and-spend economy, nor does it want to hand over decades of productively earned savings to a bunch of layabouts from Club Med, either, especially those in Greece, where a Greek civil servant is able to retire at age 50, and, while employed, can take 14 months pay for 12 months work, for, presumably, spending-money during vacations.

Approximately 40% of the population of Greece works for the public sector. In comparison, nearly 20% of U.S. jobs come from U.S. tax dollars—a bloated number even by U.S. standards.

Gross inequity.  That’s the predominate mood in Germany, according to German news organization Die Welt (translated to English), which published a poll revealing that 71% of Germans insist upon a referendum on further steps taken regarding German’s obligations under the euro currency block.  Sixty-three percent of Germans want Greece to leave the euro.

One can only wonder about the rational of the other 29% and 37%, respectively, who agree to pay for early retirements and lucrative government jobs for so many Greeks.

Moreover, it’s no secret that Greeks don’t even want to pay for their own government’s spending habits.

CNN reported, “Greece is renowned for its history of tax evasion, estimated last year as worth 4% of GDP—$11 billion.”  That amount equals to approximately $560 billion to the U.S. Treasury derived from a $14 trillion economy—per year.  But the UK Telegraph suggests the amount of tax payments evaded is much higher. Greece loses €15bn ($20.5bn) a year to tax evasion, is the headline by the Telegraph.  Now, we’re talking nearly 7% of Greece’s $304 billion GDP (World Bank statistic).

And the New Yorker Magazine writes, “Greeks . . . see fraud and corruption as ubiquitous in business, in the tax system, and even in sports.”

So Germans, who’ve prided themselves as the most productive workers of the most extraordinary products for centuries, are now asked to pay into a broken system that the Greek people, themselves, don’t have confidence in?

In all, the WikiLeak’ed cable doesn’t add much new to what is already known, but it’s an interesting note that Washington has been bantering around the German question for some time, and has probably added fuel to the fire in Europe, too, in the hopes Treasury can skate a little while longer with its dollar debasement program of scare tactics, herding fund managers into the ‘safety trade’ of the U.S. dollar—another grotesque excuse for a currency.

Little attention by the U.S. media has been paid to the U.S. dollar’s noticeably weak response to the circus-like atmosphere in Europe—with no qualms, either, from the rumor mill of the Financial Times of London, as the Anglo-American tag team place center stage each and every sideshow act, as well, though Berlusconi’s narcissistic behavior can be quite amusing and compelling to report.

If the outrageous situation between the Germans and Greeks isn’t enough to crash the euro experiment in a heap with the Ford Edsel, the best tidbit within the Murphy cable briefly outlines the most difficult bolder to roll in the effort to force Germany to bailout Europe (which it mathematically cannot anyway): the legal one.

“In 1990, Germany’s Constitutional Court ruled that the country could withdraw from the Euro if: 1) the currency union became an ‘inflationary zone,’ or 2) the German taxpayer became the Eurozone’s ‘de facto bailout provider,’” Murphy stated in the cable to Washington.  “Mayer [Thomas Mayer is Chief Economist of Deutsche Bank Group] proposes a ‘Chapter 11 for Eurozone countries,’ which would place troubled members under economic supervision until they put their house in order.”

Under these bizarre circumstances, a blog entry by Pippa Malmgren, former economic adviser to President George Bush (George II), has been given some traction since her post about her thoughts on the euro, in September.

She believes that the Greeks will default, the euro will fall, the Germans will walk, and gold, oil as well as other commodities will soar.

She writes, “Greece defaults. . . The Germans announce they are re-introducing the Deutschmark. They have already ordered the new currency and asked that the printers hurry up.”

As a result, she add, “Gold, diamonds, agricultural assets, energy prices and mined asset prices will rise. Default reduces the debt burden and allows growth and inflation to return.  If central banks (other than the ECB) throw huge liquidity out into the market because of this event then the liquidity is going to lean away from paper financial assets other than the most trusted and liquid (U.S. Treasuries), and lean toward hard assets.”

Anyone wondering how the U.S. Treasury intends to come up with $628 billion by Mar. 31, 2012, to keep the illusion of the U.S. dollar alive without herculean efforts by the Fed’s balance sheet may see the crisis in Europe as possible or partial answer.  As German protects itself from another Weimar, the U.S. needs a solution to its own reichsmark.  So far, the dying PIIGS have provided Treasury a temporary one.

WikiLeaks drops Bombshell on Gold Market; GATA right again!

With an avalanche of ever-tantalizing news stories and upcoming nail-biting scheduled officialdom events in both Europe and the U.S. all hitting the gold market at once in September, discerning the story that could propel some distance from Jim Sinclair’s exosphere target of $1,764 in the gold price weighs heavily in favor of the WikiLeaks story and its potential explosive impact on the price of gold from today $1,900 print to Sinclair’s ultimate target of $12,000+.

Though the European financial crisis soap opera moves from Greece and Portugal to, now, Italy and Germany, shifting temporarily away from France, with Belgium’s dirty laundry on deck in case there’s a lull in the action, the WikiLeaks release of a U.S. State Department internal cables on the subject of Beijing’s plan for undermining the U.S. dollar through the gold market even trumps the Israel/Turkey potential gray-swan military conflict brewing in the Mediterranean (could ex-CIA operative Robert Baer be right about an Israeli attack in the region by the fall?).

The leaked State Department U.S. embassy cable – 09BEIJING1134, published by WikiLeaks exposes both the clandestine operations at the Fed/Treasury as well as reveals who’s been sleeping with the enemy.

According to China’s National Foreign Exchanges Administration, China’s gold reserves have recently increased. Currently, the majority of its gold reserves have been located in the United States and European countries. The U.S. and Europe have always suppressed the rising price of gold. They intend to weaken gold’s function as an international reserve currency. They don’t want to see other countries turning to gold reserves instead of the U.S. dollar or euro. Therefore, suppressing the price of gold is very beneficial for the U.S. in maintaining the U.S. dollar’s role as the international reserve currency. China’s increased gold reserves will thus act as a model and lead other countries toward reserving more gold. Large gold reserves are also beneficial in promoting the internationalization of the renminbi.

And now we all know that Beijing knows of the gold suppression scheme, and that Washington knows that Beijing knows of the scheme.  So what does that mean for the gold price?

Zerohedge wrote:

Wondering why gold at $1,850 is cheap, or why gold at double that price will also be cheap, or, frankly, at any price? Because, as the following leaked cable explains, gold is, to China at least, nothing but the opportunity cost of destroying the dollar’s reserve status. Putting that into dollar terms is, therefore, impractical at best and illogical at worst. We have a suspicion that the following cable from the U.S. embassy in China is about to go not viral but very much global, and prompt all those mutual fund managers who are on the golden sidelines to dip a toe in the 24-karat pool.

So, out of the raft of news coming out from across the globe, the WikiLeaks story trumps them all.  And, of course, you won’t see this breaking story run on CNBC.

And now for the story behind the story.  A score between GATA and Jeff Christian of CPM Group needs to be settled once and for all.

Now that this smoking gun evidence of the gold suppression scheme has been entered atop an already sky-high stack, thanks to WikiLeaks, can there now be any doubt left as to who has been spewing filthy misinformation (some say malicious lies) between the combatants of a two-year-long battle between former Goldman Sachs gang member Jeff Christian of CPM Group and Bill Murphy and Chris Powell of Gold Anti-Trust Action Committee (GATA) surrounding GATA’s accusations that the COMEX has been the center of a gold price suppression scheme—a scheme which in still in progress?

But if you’ve already been following GATA’s Yeoman’s work of exposing the gold cartel’s borderline-treasonous gold suppression scheme in addition to exposing the cartel’s no. 1 apologist Jeff Christian for his errant ways, this weekend’s leaked cable should come as no real surprise—which brings us to the question of Christian’s credibility as a gold market analyst and, maybe, ultimately, of his character.

If Christian has positioned himself as an authority on the gold and silver market, how did he not draw the conclusion that something fishy was (still is) going on in the gold futures market between two banks which held monstrous-size paper short positions?  With the pile of evidence backing GATA, coming from so many credible and official sources, we wonder whether Christian had ever heard of the term Occam’s razor?  Or does he suffer from the dreaded “normalcy bias”?  Can he, truly, be that naïve?

Are we to believe that Christian actually could be waiting for an admission of guilt by a pack of sociopath white-collar criminals, or is he that unsophisticated or incompetent? or worse?

Read his Caine Mutiny’s Lt. Tom Keefer testimony at the CFTC hearing of March 2010.

Christian’s sophomoric assumptions on several key issues discussed at the CFTC hearing smacks of either a serious case of Dennis Gartman-itis, or demonstrates the dangers of relying upon the judgment of a public-school graduate deficient in his knowledge of basic ancient and medieval philosophy.  The principle of Occam’s razor, in this case, points to serious questions to Christian’s loyalty to the gold community, its hard-money advocates and the U.S. Constitution itself.

But don’t be surprised if Christian is still asked to appear on Bloomberg or CNBC as a gold “expert” who stands ready to offer his advice for protecting your money.

However, to gain insight into the core issues surrounding gold (and silver) and the reasons why its price must be suppressed by the Fed, GATA’s Web site, www.gata.org, offers the explanations as well as provides a treasure trove of information to help you navigate the ongoing collapse of the West’s fiat currencies.