US Economy is on the verge of collapse and most don’t know it.

As early as 2015, some economists predict that 60 million people will be on food stamps, and that our deficit will top $20 Trillion…

As Americans wake up this coming Monday Morning, most who are working will get ready for another week of work…the media showing stories of success and the dow rebounding all the way to almost the 15,000 point mark….mortgage interest rates at an all time low….and all seems to be well under way for a recover to boom in the real estate market….but what lurks in the shadows, and what our ministry has warned others about for now 5 years since the crash of 2008…the worse has not arrived yet, and we see the horizon looking even more catastrophic then the crash of 2008…we see a official Anti-Christ system getting ready to be implemented, and a financial collapse so severe, that most will not recover.

Michael Lombardi, a world and leading economic forecaster puts it this way:

The U.S. economy is slowing again. Job growth in this so called “economic recovery” has been meager. After trillions of dollars the government has pumped into the economy to revive it, corporate earnings growth turned negative in the first quarter of 2013.

What economist like me really like to look at, the underemployment rate (that’s the unemployment rate adjusted to include people who have given up looking for work and part-time workers who want full times work) stands stubbornly around 14% in the U.S.

Banking is still a mess. Europe’s debt crisis is a huge problem for American banks; their exposure is close to $1 trillion.

Many European countries are back in recession and I believe the United States is on the cusp of falling back into a recession. Some will call it a new recession. I will call it “Recession Part II.” But this is not the real problem.

While my colleagues will dance around the issue, while other economists will not utter the words, I will put it in writing:

“The U.S. is technically bankrupt.”

We’ve experienced trillion dollar plus deficits in each of the past four years. Our official national debt is about $16.7 trillion. Our unofficial national debt, when you take into account unfunded liabilities and entitlement to our citizens, is closer to $100 trillion.

By the end of this decade, according to the White House’s own prediction, the official national debt will surpass $20.0 trillion—not including off-balance-sheet items like old-age security, Medicare, and other government promises to its citizens.

And there’s also hidden government guarantees not on the government books…

Fannie Mae and Freddie Mac own or guarantee half the residential mortgages in America. Who owns both of these companies now? Why, it’s the U.S. government. They “censured” both Fannie Mae and Freddie Mac on September 7, 2008.

In effect, the government either owns or guarantees half the outstanding residential mortgages in this country. According to data compiler CoreLogic Inc., some five million home mortgages in the U.S. are either in the foreclosure process or delinquent, exposing our government to even more losses.

Politician after politician has failed to reduce government spending. Their belief is that spending more money will fix the economic problem. Well, they’ve spent trillions since 2008 and our economic problems are about to get worse.

The U.S. government and the politicians that run it are addicted to spending more money than the government takes in. If we look at it conservatively, and only look at the government’s “official” figures, by the end of this decade, our national debt will be about 150% of our GDP—about the same level it was after World War II.

Why we’ll never get out of this hole

After World War II, America became a superpower. Our manufacturing base grew dramatically; the industrialized revolution was so great that the American dollar replaced gold as the reserve currency of other world central banks. There was a U.S. job boom.

Today, what do we have in America to carry us into the next boom? Nothing. The Internet isn’t creating jobs. Manufacturing, it’s gone to Mexico, India and China. I doubt George Washington ever envisioned a future where Americans would be suffering so much. It’s embarrassing, but true: Over 44 million people in this country are using some form of food stamps! (Source: National Inflation Association)

America, the Empire, is history.

Going back in time a little…

In an e-mail blast to thousands of my followers on July 21, 2005, I said,

“The U.S. lowered interest rates in 2004 to their lowest level in 46 years. And what did Americans do with their access to easy money? They borrowed and borrowed some more, investing the borrowed money into real estate. Looking ahead, perhaps the Fed’s actions (of 2004) will one day be regarded as one of the most costly errors committed by it or any other banking system in the last 75 years.”

I was exactly right.

Artificially low interest rates are actually causing us harm

Interest rates have remained so low for so long that inflation will become a serious problem for America in the months and years ahead. With the price of gold having risen 400% in less than a decade, gold is screaming, “inflation ahead!”

How does the government and an economy deal with inflation? Inflation is dealt with via higher interest rates. Mark my words: The artificially low interest rate policies of the past few years will come to hurt us in the future in the form of hyper-inflation and sharply higher interest rates.

It will get worse

My prediction is not only that we are headed into Recession Part II—my prediction is that this next recession will also be much worse than the 2007-2008 recession and that it will hit as deep as the Great Depression.

You see…

Our government has no money left to bail us out during the next recession. The government is over-extended—if it was a business, it would be bankrupt right now.

The Federal Reserve has kept the economy alive the past four years by keeping its printing presses running overtime. About $3 trillion in new money has been created out of thin air by the Fed.

Let’s face two important facts.

The Fed can’t lower interest rates below the zero they are at today. The more money the Fed prints, the greater the risk of inflation, and the higher long-term interest rates will eventually move, stifling the economy.

Let’s move to the stock market

Did you know there is a striking similarity between the years 1934-1937 and 2008-2012?

Look at these facts:

The stock market crashes in 1929. Eighty years later, in 2008, it does the same thing.

The bear market rally that started in 1934 lasted until 1937—and took the Dow Jones Industrial Average from a level of 90 to 185, a gain of 106%. The Dow Jones then plummeted and didn’t recover until seven years later, 1944.

So similar it’s frightening: The bear market rally that started in March 2009 has lasted almost four years so far and has resulted in the Dow Jones Industrials rising about 120%.

If the current bear market rally follows the same path as the bear market rally of 1934 to 1937, we have only a few more months left before the next phase of this bear market gets underway, ultimately bringing stock prices below their March 2009 lows.

You see, courtesy of an unprecedented multi-trillion dollar money-printing program by the Federal Reserve, the Dow Jones Industrial Average has regained all its losses.

But at the same time that investors are “feeling good” again as the market has been rallying, we have:

Corporate insiders selling stock in the companies they work for at a record pace;
Stock advisors more bullish today than they have been in years;

The Chicago Board Options Exchange Volatility Index, often referred to as the “fear index,” sitting fairly close to where it was in 2007, just before one of the worst market sell-offs in history;

Last year we saw more stock buy-back programs than we’ve ever seen in history with 70% of the S&P 500 companies buying back stock—a clever way for companies to prop-up per share earnings; and

The percentages of assets mutual funds have invested in the stock market are near multi-year highs.

Remember, investors and stock advisors are usually wrong when the majority of them have the same opinion—in this case, an extreme bullishness for stock prices.

And the reality is corporate earnings growth is expected to be negative this quarter—only the second time that’s happened since 2009!

The stock market has become a bubble again and it’s only a matter of time before it collapses again.

This time around, for reasons I’ve just explained, the after-effects of the next leg of the bear market could be much worse than the Great Depression.

At this point, I assume you are sitting there, watching and listening to this audio-video presentation and saying, “Okay, Michael, what you say is stark and frightening. But it makes sense, the way you’ve laid out the facts.”

“So what do I do as an investor and
consumer to protect myself?”

The good news is that you could protect yourself from the economic devastation headed our way over the next six months. The better news is that, if you position your portfolio properly, starting today, you could actually make money during the next devastating down leg of this economy, while others struggle like never before.

Here are my five core beliefs about what’s headed our way and how I plan to actually profit from them.

1. The devaluation of the U.S. dollar that started in early
2009 will accelerate as the U.S. economy deteriorates.

After World War II, our government did a masterful job at convincing foreign central banks they should have U.S. dollars as their reserves instead of gold bullion. Today, 62% of world central banks have adopted the U.S. dollar as their official reserve currency.

Right now, as investors run away from the euro because of the financial crisis in Europe, they are running to the false “security” of U.S. dollars. But as the value of the greenback erodes under a mountain of debt and coming rapid inflation, courtesy of too many dollars in the financial system (thank you, Federal Reserve), foreigners will be dumping dollars (as fast as they dumped euros) and moving away from a system where the greenback is the official reserve currency.


Chart courtesy of www.StockCharts.com

Look at it this way. Since President Obama took office four years, the U.S. national debt has increased by about $6 trillion dollars—60%. At the same time, the Federal Reserve has increased the size of its balance sheet to about $3 trillion.

Where are all these trillions coming from? In the end, I believe the U.S. dollar will collapse under a mountain of unsustainable debt.

Shorting U.S. dollars is too risky and complicated for most of my readers. But there is a simple, easier way to make money as the U.S. dollar continues to devalue. There is an ETF you can buy that goes up when the U.S. dollar declines in value.

This ETF is in the currency that I believe will rise the most against the U.S. dollar over the next two years. No, it’s not gold. It’s a currency of one of the economically strongest countries in the world… A currency that actually rallied after the 2008 credit crisis hit.

You put your money in this ETF, sit back, do nothing, and watch the value of the U.S. dollar fall as inflation and the national debt rise, and just watch this investment rise in value as the months go by.

My analysts have recently completed a research report called The ETF Set to Skyrocket in Price on the Devaluation of the U.S. Dollar. We have hundreds of hours invested in researching, compiling and writing this report. My company plans to sell this report for $95. Later in this presentation, I’ll show you how to get this report for free when you try my Lombardi’s Crisis Profit Alert.

2. Gold prices will continue to rise.

When we look at the price of gold bullion today in inflation adjusted terms, it would need to be trading at $2,250 an ounce to be equal to its January 1980 price high of $850 an ounce.

But my public predictions about where gold prices are headed have been much higher. I’m expecting gold to trade at $3,000 before the bull market in the yellow metal is over.


Chart courtesy of www.StockCharts.com

Here’s an important fact I want you to be aware of:

After reaching an all-time record high of $1,921 an ounce on September 6, 2011, gold bullion prices have fallen back.

But we’ve been down this road many times before! In early 2003, the price of gold bullion fell 16%; in the summer of 2006 the price of gold fell 21%; from the spring to the fall of 2008 gold prices fell 28%; in the spring of 2009 gold prices fell 15%– and each time the price of gold bullion recovered and moved higher by year’s end.

In fact, for 11 years running the price of gold bullion has closed each year higher in price than it started the year. The recent weakness in gold bullion prices (more like a correction in an ongoing bull market) is a tremendous opportunity for smart investors.

I’m a big bull on gold. Rising inflation, a debasing U.S. dollar, out-of-control government spending, and a currency printing press that never seems to stop will continue to push the price of gold higher.

But when I look at gold, if it moves from $1,600 or $1,700 to $3,000 an ounce over the next five years, as I expect it to, my gain will be close to 100%—as an investment, that’s not enough for me. I’m gunning for much bigger profits than that.

The big winners of the gold bull market will ultimately be the gold mining stocks. Look at this way. If a gold company’s cost to produce one ounce of gold is $900, at a price of $1,800, they are making a 100% profit. But, at price of $3,000, they are making a profit of 233%—and the stock market will reward the stock by multiples of 233%.

I’ve found a security that goes up in value when the stock prices of junior and senior gold producers rise. We started following it at $20; it trades at $36 today. If gold bullion prices go to only $2,500, this security could triple in price to $150.

My analysts have recently completed a research report called Single Best Leveraged Play for the Gold Bull Market. We have hundreds of hours invested in researching, compiling and writing this report. My company plans to sell this report for $95. Later in this presentation, I’ll show you how to get this report for free when you try my Lombardi’s Crisis Profit Alert.

3. The euro is done.

I’m blessed to be able to visit Europe once or twice a year to check on the economies of various European countries. Let me tell you firsthand, things are much, much worse in Europe than we read in the mainstream media.

Greece has technically defaulted on its debt. I believe Spain and Italy are not far behind.

Austerity measures are a difficult sell in Europe. On the same day Greece passed its most severe austerity measures, 100,000 Greek citizens took to the street in protest. A 5,000-man police army was not enough to stop the protestors from setting fires to buildings.

2013 will bring stronger citizen protests in Europe thanks to even more severe austerity measures that will be introduced this year.

The next level of austerity I’m talking about is taking money directly from the banks accounts of depositors.

If investors knew this action was only limited to Cyprus (where the government took 40% of deposits in excess of 100,000 euros), they are kidding themselves. What happened in Cyprus was just the beginning!

Every morning, I wake up and ask this one question: when will Germany come to its senses and pull out of the euro? After all, Germany is the only real engine of the European Economic Community. Greece’s GDP…it’s less than 10% of Germany’s GDP.

The euro has declined steadily against the U.S. dollar. I actually envision a time when the richer European countries will tire of bailing out the poorer European countries (it’s actually happening right now), when each country will just go back to its own currency. Ultimately, the euro will die, and with it the economies of the weaker European countries: Greece, Spain and Italy.

There’s a stock you can buy that goes up in value as the euro declines in value. The stock currently trades under $18—I see a $30 price tag on it in 12 months.

My analysts have recently completed a research report called Making Money from the Sovereign Debt Crisis: How to Achieve Massive Profit from the Collapse of the Euro. We have hundreds of hours invested in researching, compiling and writing this report. My company plans to sell this report for $95. Later in this presentation, I’ll show you how to get this report for free when you try my Lombardi’s Crisis Profit Alert.

4. Inflation will become a real problem in America.

While few are talking about it, inflation is a real problem in America.

In fact, the U.S. Producer Price Index is running at an alarming rate of 8.4%!

Thanks to years of monetary policies that promoted artificially low interest rates and printing presses churning out dollars in overtime mode, hyperinflation and American sovereign debt issues will become the biggest obstacles for the United States for the remainder of this decade and well into the next decade.

After falling for 30-years, short-term interest rates are bottoming out. The long-term 10-year U.S. Treasury, it’s yielding around 1.70% — near a 60-year low. All cycles come to end. And I believe we are near the end of a long-term down cycle in interest rates.

While it may difficult to see today, and as crazy as it may sound, the government will be forced to raise interest rates to fend off inflation—just like it did in the early 1980s..

Higher interest rates will also put the proverbial remaining nails in the coffin known as the U.S. housing market.

Now you see why I said at the very beginning of this presentation that it’s not for the faint of heart. Imagine our government, the economy, housing prices and the stock market all collapsing at the same time?

But, for smart investors, there is more than just hope. As history has shown us, where there is fear, there is also profit.

We’re just putting the finishing touches on a special report that reveals an ETF that rises in value when interest rates rise. It’s called Inflation Hedge: Serious Profits from the New Multi-Year Trend of Higher Interest Rates. We have hundreds of hours invested in research, compiling and writing this report. My company plans to sell this report for $95. Later in this presentation, I’ll show you how to get this report for free when you try my Lombardi’s Crisis Profit Alert.

5. The stock market will ultimately test its lows of March 2009,
bringing the Dow Jones down 55% from where it sits today.

Yes, this is my final core belief: The bear market rally in stocks will lose steam somewhere in the next few months and move straight down to test its March 2009 lows.

Phase One of a bear market brings stock prices down sharply. That’s what happened when the Dow Jones Industrial Average fell from 14,164 in October 2007 to 6,440 on March 9, 2009—a tumble of 54%.

Phase Two of a bear market is when the bear lures investors back into stocks. The bear gives investors and analysts the false sense that the economy is improving and it’s okay to own stocks again. That’s where we are today. The bear did a masterful job at convincing investors to own stocks again…and, presto, the Dow Jones got back to over 14,000.

But the bear market is getting old and “long in the tooth” as they say. If I compare this bear market rally to the bear market rally of 1934 to 1937, we have a few months left before Phase Three of this bear market gets underway—ultimately bringing stock prices below their March 2009 lows.

As I said earlier in this presentation, the Dow Jones Industrial Average has regained all its losses.

Investors are “feeling good” about the stock market again.

But the fundamentals for the market are terrible:

Corporate insiders selling stock at a record pace;

Stock advisors are excessively bullish;

The VIX “fear index” sits close to where it was in 2007, just before the market collapsed;

Stock buy-back programs—one way companies prop-up per share earnings—hit a record last year;

The percentage of assets mutual funds have invested in the stock market is near a multi-year high which means investors are blatantly bullish.

And corporate earnings growth is expected to be negative this quarter—only the second time that’s happened since 2009!

The stock market has become a bubble again and it’s only a matter of time before it collapses again.

Prophecies Of The End Times believes that the United States secretly has been preparing for this collapse. From ammunition in the billions purchased, to gun control, immigration, the decay of the moral code of our country by government intervention..it’s all coming in to play to widely introduce a Anti-Christ system that will ultimately be tied to the world Anti-Christ. Each event is carefully planned and manipulated to bring about the maximum decree of influence upon a culture of people that are so desensitized, they have no clue whats going on, and what will ultimately hit them.

As Christians, we must first remember that we are to LOVE people, the lost, our brother and sister in Christ, and reach out in love to help those in need as God blesses us, even during a time of recession or collapse. Our brother Mike Bradford, in Webb City MO is one such example. The body of Christ and believers need to rally behind our brother and help his family in their time of need. Mike has been recovering from heart surgery, and is in need of food, basic necessities, and help with financial donations.

You can donate to this cause by clicking on our donation button on any of our ministry websites. We ask you to prayerfully give towards this, and show your support financially for our brother in Christ Mike Bradford and his family. God bless you in advance for doing so, and be prepared…soon you will be called upon to help literly thousands of people in your own communities who need help…and God will provide the manna..you just have to ask and have faith..

 

Post your comments

%d bloggers like this: