Financial Sense Newshour
Jim welcomes back Evelyn Browning Garriss, editor of the Browning Newsletter. Evelyn notes that the extreme temperatures of 2013 are continuing, along with extremes in precipitation and drought. Recent rains have reduced the severity, but not the extent of the western US drought. Drought conditions have expanded north and east this summer. Expect the dry conditions to continue through the winter. The hurricane season should be milder this year, given less severe wind factors. Also, hurricanes are more likely to drift into the gulf this year than up the eastern seaboard.
In response to listener feedback, this week Jim and Cathlyn look at the subject of life insurance and offer some guidance as to when you should consider it, what type you may want to purchase, and what level of coverage you might need. They start with a discussion of if you even need life insurance, and look at various scenarios where it could be beneficial. They also discuss the various types of life insurance as well as things to consider when purchasing life insurance. The guest this week is Gary Thomas, current president of the National Association of Realtors. They will discuss the current real estate environment and what it looks like going forward.
Jim welcomes noted technician Charles Nenner this week. Charles sees the markets going nowhere, on balance, over the next eighteen months, and advises investors to stay in cash and come back later.
In this special edition of the Big Picture, Jim and Erik discuss how the next major financial crisis may unfold. They talk about the types of crises that could occur, from a stock or bond market crash, to a currency crisis to severe inflation etc. They discuss how it would likely unfold, and what extraordinary measure might follow, such as capital controls or a new global currency. They will look at the social, as well as investment implications of a financial crisis, and offer ways for the individual to protect his or her assets. Lastly, how will the world change as a result of the crisis, should it occur? And while Jim and Erik do not foresee any crisis in the near to medium term, they discuss possible timing scenarios.
Jim is pleased to welcome back Martin Armstrong of ArmstrongEconomics.com. Martin sees a near-term corrective phase in the market into later September, but doesn’t think we are near a market top. He notes that tops are marked by spike highs and investor euphoria, which we are not seeing at present. Martin doesn’t see a dollar crash ahead, as the US, and the dollar, are now beneficiaries of foreign crises around the globe. The key is international capital flows, something the bears are overlooking. Martin doesn’t see a significant rally in gold until 2015, when he expects another major debt default to launch gold higher.
Jim welcomes Mark Nestmann, President of The Nestmann Group, Ltd., an international consultancy specializing in wealth preservation and international tax planning solutions. Mark discusses the rising risks and government intrusion in the US, and suggests some wealth protection strategies. Mark is an expert on helping clients internationalize their assets and even their citizenship. He reviews where we are, where we’re headed as a country, and importantly, what we can do to protect our wealth and our freedom from the “rising tide”.
Jim welcomes Kathy Fettke, CEO and Founder of Real Wealth Network. Based in Walnut Creek CA, it is an organization dedicated to helping its members get the most current and cutting edge education and information they need to succeed as real estate investors. Kathy tells Jim that the very low mortgage rates have helped bolster the real estate market, and banks have stopped most of the foreclosure activity. In addition, institutions such as hedge funds have bought large swaths of homes in many states, which has helped stabilize the local real estate market. As to where to invest, Kathy says follow the demographics, and particularly to the regions that are creating jobs. She sees a large outflow of people and businesses from California, which will lead to trouble for real estate values in the years ahead.
Jim welcomes journalist Adam LeBor, author of “Tower of Basel”, a very unauthorized history of the Bank for International Settlements (BIS) in Basel, Switzerland. For many decades it has stood at the center of a global network of money, power and covert global influence. LeBor and others call it the most important bank the world. The BIS predates both the IMF and the World Bank, yet very few have heard of it or knows what it does. The BIS helped finance the Nazi war machine before, and during, WWII. It also hosted much of the planning and technical preparation for the Euro. LeBor believes without the BIS, the Euro would likely not exist. The bank is also immensely profitable, making over a billion dollars tax-free in 2012, from a very small number of important customers. The BIS continues to host the world’s most powerful central bankers every year in Basel.
This week on the Lifetime Income Series, Jim and John talk about the importance of a retirement plan from the perspective of choosing a financial planner or investment advisor. They begin by discussing what you need to know and what you need to ask in choosing a professional to help you.
Jim welcomes David Nicoski CMT, Director of Research at Vermilion Technical Research, LLC. Dave still sees weakness in the emerging markets, believes Europe is putting in a low and sees China as starting to improve.