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Hill 'n Holler Review Columns

Economic Bubbles About to Burst

1989 Phillipines (23)Insider stock selling by billionaires – including Warren Buffett and John Paulsen – this week indicate something big is about to happen, something that may make the 2008 credit crisis seem rather benign.  Last week the governments of Russia and Germany called in their gold being “held” by the New York Federal Reserve.

A couple of years ago the IMF announced that it would begin liquidating its gold holdings- the world’s 3rd largest stash after the US and Germany.  Buyers included the governments of India, Sri Lanka and Mauritius.  Do you think the IMF would be selling gold at a market bottom?  Bubble #1 about to burst – Gold.

Both Venezuelan and Vietnamese governments announced devaluations of their currencies, striking fear into the hearts of Southeast Asian governments, who fear a repeat of the 1997 Asian Crisis.  Vietnam has benefited from the highly speculative dollar carry trade, through which investors borrow US dollars at near 0% interest, then reinvest those free dollars in 12-13% Vietnamese bonds.  Much of the money which we forked over to Wall Street banks via QE 1-3 has made it’s way into these speculative markets, rather than being loaned to US home buyers, for example.  Bubble #2 about to burst – The US Dollar Carry Trade

Another financial shock came out of Dubai, where the overbuilt property sector is reeling.  Dubai is one of five emirates ruled by undemocratic monarchies which make up the United Arab Emirates (UAE).  The UAE only got its independence from Great Britain in 1973.  As the Vietnam War wound down, the Golden Triangle (Thailand, Burma, Laos) heroin trade found a new home in the Golden Crescent (Afghanistan, Pakistan, Iran).  And Afghanistan became a permanent war zone.  Hong Kong had been built up as the banking center for the SE Asian guns/drugs/oil/war reconstruction trade.  Now Dubai serves that same purpose - first for Afghanistan and later for the war in Iraq.

The Dubai financial scene is dominated by the very same two British old money banks who control Hong Kong  – HSBC (the world’s 2nd largest bank also known as Hong Kong Shanghai Banking Corporation) and Standard Chartered.  As discussed in my book Big Oil & Their Bankers…, these banks were launched by proceeds from the British Freemason’s opium wars on China in the mid-1800′s and are controlled by blue-blood British aristocratic families such as Swire, Inchcape, Jardine Mathesson, Keswick and Rothschild.

On September 10, 2001, Mohammed Atta received a $100,000 wire transfer from a Standard Chartered account in Dubai controlled by the head of the Pakistani ISI intelligence service.  Pakistan is home to the Agha Khan Foundation, which was launched by British Intelligence during the partition that same year of Pakistan and Bangladesh from India.  Agha Khan is considered the spiritual leader for Muslim fanatics worldwide, including the Muslim Brotherhood and al Qaeda.

It gets more interesting when you discover that the Agha Khan Foundation is a wholly-owned subsidiary of Crown Agency - a branch of the British Crown.  And that this same Crown Agency also owns Securacom- the company that had the security contract on the World Trade Center.  And that Marvin Bush - Georgie the traitor’s brother - was the CEO of Securacom.  Do you think it is a coincidence that the world’s tallest building is now the Burj Dubai?  Or that Halliburton moved its headquarters to Dubai?

So when Dubai Ports, the emirate’s biggest financial concern announced a couple years ago that it would suspend payments to its creditors- HSBC and Standard Chartered- it rocked the financial world.  The British Crown had trusted their al-Maktoum monarch pals in Dubai, even threatened Americans that they would shift the global second-in-line (let’s not forget London is #1) financial hub from New York to Dubai.  Now the sheiks were broke.  And the British masters of the universe bankers would be left holding the bag. Booh! Hooh!

So why does this matter? Dubai was perhaps the most dramatic attempt by the international bankers to reflate the global economy. It was the old “war is business and business is good” trade. And it is over. With US troops gone from Iraq and the Afghan quagmire winding down, the glittering Rothschild-inspired Dubai - built on of blood, drugs, gold and oil - is set to collapse.  Bubble #3 about to burst – The Global Reflation Trade.

With Dubai’s collapse will go the gold market, the dollar carry trade and the global reflation trade.  Global deflation, Japanese-style, looks set to take hold.  The dollar should rebound sharply.  The housing market will see another leg down.  The stock market will go through the March 2009 lows like a knife going through butter. On the positive side, it could mark the end of a global economy dependent on war profiteering and, if we play our cards right, an end to the global banking monopoly.

Dean Henderson is the author of five books: Big Oil & Their Bankers in the Persian Gulf: Four Horsemen, Eight Families & Their Global Intelligence, Narcotics & Terror Network, The Grateful Unrich: Revolution in 50 Countries, Das Kartell der Federal Reserve, Stickin’ it to the Matrix & The Federal Reserve Cartel.  You can subscribe free to his weekly Left Hook column @

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19 thoughts on “Economic Bubbles About to Burst

  1. I do so admire all of your articles and have taken the liberty to post this on my FB page. Good for you and the good news at the end was most welcome. Down with these bastards = all the way down !!!!

    Posted by Nancy Terrell | February 11, 2013, 3:12 pm
  2. I hope it is that easy.

    Posted by Michael F. Hughes | February 11, 2013, 4:41 pm
  3. Hi Dean, can you explain why the gold market will go down? thanks!

    Posted by debbie | February 11, 2013, 4:52 pm
    • That is not a serious or meaningfull answer Dean!

      They can sell it there noticeably, and while on the otherhand they can be buying it somewhere else without you even having any idea! When the markets are rigged and indirectly controlled, normal and basic financial relationships do not hold any more.

      As for gold, it is the only tangible and `always` historically accepted forms of payment and savings. Hence, its forcefully held-low price (anyone can check out various forms of real-price calculation for gold based on different means of `realness` and then can understand that gold price is currently in fact much lower than what it should have been under normal unrigged circumstances given the bizarre amount of hidden inflation waiting all the major currencies in some closet somewhere!) can not and should not go down `too much` -meaning significant price volatility is always expected and may last several months as it happened after 2008 Summer- except for the moment of confusion or some other sort of `lets bang’em all keep the goodies for us play` by the market controlllers during a time of expected or unavoidable crash.

      In short, gold is not a bubled commodity, because there is no other worldly accepted means of hard-times currency/commodity that anyone is aware of. If you are or anyone else is aware of another meaningfull alternative I really and sincerely would like to know about it. So let us not count on Gold to crash for good. Paper money is in reality and obviously a piece of paper not worthed any more than the piece of used paper it actually is. Gold on the other hand is both a jewellery and means of payment/storage loved and accepted by hundreds of millons of people , if not billons, throughout our human history that we are at least partially aware.

      Kind Regards.

      Posted by Orhan | February 11, 2013, 10:52 pm
    • And Russia and China are buying along with the central banks.

      Posted by George Reichel | February 12, 2013, 9:14 am
    • Bankers are selling paper gold while at the same time repatriating the metal. When markets and currencies and bonds go belly up there will be a surge in the price of gold (the Metal) because it will represent a real asset that has proven to retain value throughout all fiat collapses in history. Dean, you’re not getting your head around the matter. Where else will real wealth travel to when it leaves the market and bonds? While the world bankers figure on a new system of exchange, gold and commodities will be the best place to hold and preserve wealth.

      Posted by greenback | February 12, 2013, 10:02 am
  4. Gold is the next bubble to pop?

    Posted by greenback | February 11, 2013, 5:18 pm
  5. Thanks for the article, We post links from your site OFTEN!

    We are covering Global and Western Corruption from both the inside and outside. As a former Army Intel and Employee of the Federal Reserve Bank and 4 others (U.S. & E.U.)in an IT Security (With DIRECT access to much of what you are hearing about) capacity I had some extremely eye opening and direct personal FIRST HAND experiences (No second hand conjecture here). Before the full extent of the corruption comes to light (As more whistle blowers come out of the darkness) the powers that be are frantically taking away our rights and placing Drones in American Skies and building massive spy and databases of people that speak up for their Constitutional rights. YOU may be on “The List” already.

    We have some great insight into this Global Economic Corruption that is finally being exposed being that we have worked in the establishment… KEEP THE HEAT ON THEM!

    Follow us please for more info like this that all ties together in one location. Please contribute knowledge as well as strategy as we are the FEW willing to stand up and end corruption. We have been divided and conquered long enough. L vs R etc… to keep us fighting eachother and distracted from the REAL THREAT! It is time to no longer be a Debt slave to this current corrupt financial system. Let US all stand together and ignore the plots to divide us further.


    FB Site:

    Posted by CoreyG/Texas | February 11, 2013, 6:02 pm
    • Corey, I refuse to deal (open an account) with Facebook.

      Do you have any alternative ways of keeping people in the loop with you?

      Here are two interesting (and privacy centric) alternatives to Facebook:

      With these two alternatives, there are no lengthy and spaghetti “Terms of Use” Agreements to negotiate.

      Hey … I am not American. Me-thinks we need to organize Overseas Brigades. Rats-child owns my country and has done since 1812. I want to bring that b*stard in myself, along with his entire bloodline. It’s over for them. I can feel it a commin’. No mercy will be given.

      Posted by Anglo Saxon | February 12, 2013, 1:40 am
  6. This is very disturbing the selling has been going on now for well over a month. Yes the main stream news is reporting everyting is looking great. It will hit us like a theif in the night. problem reaction and their solution, the pope just resigned as well. There is only one pope left according to prohets and it won’t be pretty. Rick if you believe in God I encourage all my family to come to him with a humble heart and pray for forgiveness.

    Posted by dongrinde | February 11, 2013, 6:43 pm
  7. No matter how much gold, or silver, is put on the market, there will be buyers ready to snap it up. I hope it goes back down to $300 per ounce, I would back up the truck. Paper money, especially un-backed fiat that the world is awash in, will always return to its intrinsic value, which is about a nano particle above zero. Let the “bubble” burst !!!

    Posted by R. Simms | February 11, 2013, 8:37 pm
  8. These are rich people bubbles – working people bubble burst over a decade ago and real unemployment is still at record levels.

    Posted by abinico warez | February 11, 2013, 10:49 pm
  9. Personally, I think you’re wrong about gold for the reasons given, although with you on all the other points. The one thing that can be used to stuff the gold market is lack of confidence in the metal. If you believe TPTB will do anything to protect fiat currencies, esp the dollar, then that’s where tungsten bars come in. That is bars of gold with a tungsten core, deliberately created and used in international trade, current whereabouts unknown, except for those shipped to China, which were drilled & discovered after a tip-off.

    Posted by Ferret Files | February 12, 2013, 2:32 am
  10. Please tell us what you think silver will do.

    Posted by naturuallaw | February 12, 2013, 7:25 am
  11. Dean Henderson thank you for your astute knowledge of what’s going on…am going to read your books.. there are so many people in the dark about what’s happening all around us today or else they prefer not to know? Keep up
    the good work..”knowledge is power!!”

    Posted by joan migneault | February 12, 2013, 8:10 am
  12. Dean is not wrong, but if I was being pedantic, on the issue of Gold he is not entirely right either. But this discrepancy is due to a technicality. Most readers don’t seem to appreciate that there exists artificial gold markets and that these dominate.

    What I mean is, there are two gold markets (three if you include the counterfeit gold bars with tungsten interiors).

    There is real “physical” gold, and there is paper gold. More artificial or paper gold is traded daily than there could ever be traded, real, physical gold. This dates back to the origins of “gold certificates”, bonds and the original sleight of hand exhibited by the Rothschilds (Bauers!) when they were still living in Frankfurt.

    Paper gold is traded on the New York COMEX. Another trade is called “GLD”. These are bogus markets, and it is precisely these that are being used by HSBC and (possibly also) Deutche Bank to manipulate the global price of gold.

    Gold is being held artificially low in order to prop up the value of the Federal Reserve Notes you mistakenly keep calling “Dollars”. They are NOT Dollars! The USA’s currency is actually the FRN, followed by the IMF’s “Special Drawing Rights” (SDRs). Pull a couple out of your wallet or purse and read the words printed on them properly!!

    In other words, the price of gold for the physical stuff bears no relationship to its demand in the real world, nor to its physical rarity. The reason is that the “market price” is being determined by the Talmudic jokers operating the paper markets: COMEX and GLD.

    If all holders of paper gold woke up one day and demanded delivery from the COMEX vaults in NYC and Chicago then the entire paper market would collapse overnight, and the real price of gold would then be reflected in a hyperbolically rising gold price worldwide.

    As for Silver, that too is being manipulated using paper instruments. JP Morgan is playing that game on behalf of the International Cabal. Look up the SLV market! That is another paper con.

    Silver should be a good bet because it is rarer than gold, and it also has more industrial uses. Within 5 to 10 years, Silver will likely make a return as a globally recognized issue of currency (i.e., one amongst several new forms).

    Remember that the US Constitution (the original) is predicated upon the legal use of Silver!

    No offence to anyone intended. Keep ‘em comin’ Dean. You’re doing a great job Matey.

    Posted by Anglo Saxon | February 12, 2013, 8:54 am
  13. It sounds like a game of musical chairs with cake & cordial for refreshments, & move your big foot over & out of the way will ya. !
    No champagne & cocktails & excuse me please & all the finer things in life at play ?

    It looks like we are going to ( have to got ) to war with China !
    We gave them our manufacturing – cheap.
    We sold them our minerals.
    We imported their products cheap.
    We borrowed their money.
    They were supposed to be our cheap service industry.
    And instead they got rich & powerful the ungrateful turds.
    We must have borrowed heavily from them & they may want a repayment or 2, hey.
    What a useful tool NATO can be .
    If you were a cute little baby we’d kiss you for your excellent efforts – but as things stand we will forgo the mushy stuff.
    Stay cool.

    Posted by R Davis | February 12, 2013, 12:43 pm
  14. I have been thinking.
    They either print it up or put it up on a computer screen.
    And the governments borrow with interest.
    It is their product – If it is worthless / has no value neither does the BANKING SYSTEM AT LARGE.
    weird or what ?

    Posted by R Davis | February 13, 2013, 2:38 pm

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