Wednesday, December 26, 2012
These predictions weren’t acquired by some esoteric powers to see the future; rather they’re derived from riding the current wave of information and guessing where that flow may lead. They may seem bold to some, while the most aware readers may recognize them as foregone conclusions.
So without further ado, here are our top 10 predictions for 2013:
1. Stock market decline: Many economic forecasters have been predicting a stock market crash every year since the financial crisis of 2008. Yet, it has remained strong and even hit a 3-year high in September, 2012. There are many false reasons for this strength that don’t have to do with real economic growth; devalued dollars, cheap money for Wall Street banks, corporations hoarding cash and investments, etc. It’s a false bull market. That is why we feel comfortable predicting a significant decline in the stock market during 2013.
The Baltic Dry index, which is believed to be the best indicator of our consumer economy, suffered a dramatic loss in December. Some say a new recession is already here and the stock market will soon reflect that with a crash in 2013. Look for the Dow Jones to dip below the 10K mark (around 30% or more) next year.
2. Precious metals rise over 50%: Using the same data points as the previous prediction, we predict gold and silver to rise at least 50%.
As the mass exodus from the stock market and other paper investments takes place, individual and institutional investors will start a new gold rush. Indeed, this is already happening.
Central banks around the world are snatching up new gold and moving to secure their foreign gold, while investment titans like George Soros have been increasing their positions where they previously denounced gold as a viable investment.
3. Schools start to install body scanners: Since these recent shootings actually resulted in horrific deaths of innocent people including children, the public is scared enough to accept just about anything. So we predict naked body scanners will begin to appear in schools and other public venues in 2013. There are several reasons for this prediction. The public is clamoring for protection and many inner-city schools already have metal detectors, so the upgrade will be acceptable if not preferred in suburban areas.
Next, the body scanner companies who lobby the government need more customers, and they usually get what they want. And, finally, the authorities love to remove our rights in the name of security, making this move a no-brainer.
4. European Union announces central Treasury: The Eurozone debt crisis will once again flare up particularly within the PIIGS (Portugal, Ireland, Italy, Greece, Spain), as well as in new countries. Instead of resorting to constantly increasing their “rescue fund” to bail out ailing European nations, the European Central Bank announced unlimited bond purchasing of any member state in need this September. This action of issuing new debt-based money for the sole purpose of buying debt has become known as quantitative easing by the Federal Reserve. The EU has repeatedly stated the need to form a central Treasury that has the power to collect direct taxes from member states, essentially turning the Eurozone into the United States of Europe. Look for this to come into reality in 2013 with possibly the first EU president elected as well.
5. Marijuana legalization sweeps America and the world: After Colorado and Washington voters proved it can be done, marijuana legalization is an idea whose time has finally come. No amount of fear mongering or lies will stop its liberation now. Although 15 states have decriminalized marijuana possession, along with 18 states with legal medical cannabis, this past election will be viewed as the tipping point in the full-scale legalization of weed. The ripple effects are already traveling quickly as at least 7 more states are considering legalization. Meanwhile, Mexico is reconsidering its war on weed and Uruguay is already designing its regulatory rules for legalization, which will make it the first country with full legalization. Expect 2013 and beyond for marijuana legalization to be a foregone conclusion with anyone standing in the way looking extremely foolish.
6. Major cyber attack hits America: All governments and many large corporations want to put more controls on the Internet. However, the general population does not want to see their beloved Internet change, so there must be an event that sways the public to believe that Internet “security” is a priority. This can’t just be some minor attack that hits a small business sector. It would have to be something that inflicts pain on the public; perhaps an extended Internet outage or electric grid crash that’s blamed on cyber terrorists would do the trick.
Many officials have been predicting a cyber 9/11 or “Pearl Harbor” event for some time, claiming it’s not a matter of if but when. That “when” will be 2013. Major antivirus companies such as McAfee are also warning of just such an event in 2013, labeled Project Blitzkrieg. And just like prior to 9/11, there is freedom-crushing legislation sitting on the shelf just waiting to be enacted if a cyber version of 9/11 were to take place.
The level playing field of information on the Internet poses a huge threat to all regimes and their puppet media corporations around the world. They can’t wait much longer before putting a stop to the free flow of information; therefore, this attack will be a classic false flag operation. Mark it down, this will happen in 2013.
7. Syria’s Assad is toppled: Many pundits predicted this would have happened already, but without a NATO no-fly zone (aka massive air strikes on Assad in a Libya-style destruction) the ragtag rebels have proven to be no match for the Syrian government thus far.
However, we have seen that when there is full-scale commitment by NATO, as with Libya, it’s virtually guaranteed. Since the West has increased their support of the Jihadist rebels with training, arms, money, and Patriot missiles in Turkey, their commitment is clear.
Furthermore, the UN has warned of sectarian genocide, and U.S. officials have clearly stated the ultimate line in the sand: Assad’s use of chemical weapons. As if on cue, PressTV and Fars News are reporting that militants have indeed used chemical weapons. Whether or not this particular event is confirmed, expect it to happen at some point in 2013 to be spun as justification to take out the Assad regime — it’s been in the cards for years.
8. West attacks Iran, starts WW3: The toppling of Syria will leave Iran as the only nation in the Middle East not controlled by the West. Besides having vast oil reserves, Iran also has the last strategic public central bank not run by the international banking cartel — and they want it. It is the endgame written about by many think tanks.
The war with Iran has been years in the making and has already technically begun with crippling economic sanctions and strategic military bases surrounding it. Indeed, World War 3 already began as well when America invaded Afghanistan and Iraq, but this decade-plus-long war is about to get much more intense. Additionally, the establishment will need a distraction from the economic crisis of 2013, and only a large new war will effectively serve that purpose.
The West has been goading Iran into an attack for years to justify further aggression. Iran, to their credit, has failed to take the bait. But once Syria falls, the full force of pressure will become too much for Iran to bear and they’ll be forced to defend themselves. The West will portray it as aggression against them and launch their attack. The question will be how other super powers like China and Russia react to this aggression against their ally?
9. Food and oil prices break records, again: This might have the highest guarantee of coming true, since it is mathematically impossible for it not to in an era of unlimited money creation, expanding conflicts in oil regions, and record demand but unstable climates for food production. Some food and commodity prices set new record highs in 2012, while oil is still chasing its 2008 high of $147/bbl.
First, let’s look at oil since it is also a major contributor to the price of food. Oil will have conflicting price pressures in 2013. There will be reduced demand due to a sharp economic downturn, but that will be more than offset by the devalued petrodollar and the fallout of regional conflicts. We predict oil will soar past its previous high to over $150/bbl.
This high price of oil will cause food prices to rise significantly since industrial agriculture is utterly dependent on oil from plowing, fertilizing, pesticides, harvesting, processing, to transport. Couple this very real cost to the rush away from stocks into more tangible assets like commodities that are also traded in rapidly devaluing dollars. This speculation will lead to much higher food prices. Throw in more extreme weather, and we have a recipe for a major food crisis. Food will hit new all-time highs in 2013.
Average citizens will spend a much higher percentage of their salaries on food in 2013 which will put further pressure on the rest of economic output. Most extremely, a large portion of the population may realize starvation for the first time in their lives. Certainly, we can expect food stamp usage to explode even faster than it has in the last five years.
On the upside, bulk food will be one of the best investments for 2013.