Here it is for you. Enjoy:
INTERVIEW TO JIM WILLIE
By “Reymidas” (aka Strongman Shelford)
October 2012-10-07
1)
Jim. Thanks for allowing me to make you this
interview. I would like to start with some details about your career. How did a
PhD in Statistics with solid experience in computer industry and retail
forecasting lead you to financial markets and precious metals analysis?
The marketing research experience with the old Digital Equipment Corp
from 1984 to 1993 was excellent experience in analyzing markets generally. The
methods were very quantitative, but the strategic thinking was essential in a
very fast moving industry with direct and hidden assaults, and significant
multi-lateral competition. Consider the arrival of UNIX, the server computing
platform, modular software, and more. The years from 1996 to 2000 at Staples
doing sales analysis and forecasting was also highly relevant in the office
superstore market. I was for example in charge of seasonal adjustments, which
enables me to detect statistical fraud easily by the USGovt in most reports. In
university, three courses were completed in Economics, enough for a solid
basis. My hobby for years was to read the Wall Street Journal and Barrons,
which served as an informal incomplete graduate school training. They often say
that a side benefit of earning a Doctorate degree is the demonstrated ability
to learn a new field if sufficiently related. My bio states boldly that I am
not encumbered by the limitations of Economics credentials. By that is meant,
my ability to comprehend Economics is not ruined by the pathetic distortions
from bad training at US universities in the Economics field. Few are aware that
30% to 35% of all faculty chair posts in US universities are funded by the US
Federal Reserve, which guarantees heretical theory acceptance. I stopped course
work at Money & Banking, which I perceived in graphic displays as concealed
bond counterfeit and money laundering.
2)
You run a very popular newsletter: The Hat
Trick Letter on the GoldenJackass.com website. How is it going with the client
base?
The Hat Trick Letter began in May 2004. It reached N=1000 soon after my
arrival in Costa Rica in early 2007 in a gradual rise. By January 2010 the
client base peaked at N=2650, after a tremendous rise from N=1400 in summer
2008 to N=2400 in summer 2009 following the financial collapse (Lehman, AIG,
Fannie Mae) that my work fully anticipated, forecasted, and detailed. My work
missed much of the AIG element, but Lehman and Fannie were given coverage with
full frequent advanced warning. The extreme economic decay in the Western
world, combined with the financial corrosion of paper assets, has deeply
affected the many major economies from which the client base comes. Over the
next two years, the client base slid down to N=2300, which was still strong.
Since early in 2012, the client base has risen past N=2400. Perhaps due to
realization that my work has been largely correct in the important big picture
forecasts. Perhaps due to appreciation of a few outstanding connected sources,
each of whom approached me in response to solid analysis and forecasts. Perhaps
due to several competitor newsletters going out of business. Too many other
newsletters focused too much on gold mining stocks. But the Hat Trick Letter
focuses on reasons to invest in gold generally. My call in early 2008 to exit
mining stocks turned out to be solidly correct. I prefer gold & silver bars
and coins, in particular silver. The gains in the silver price will outpace
those of gold by 3-fold.
3)
How has your newsletter changed over the course
of the last 8 years since its launch?
In 2007, the newsletter began a split into two monthly reports, the Macro
Economic Report and the Gold & Currency Report. In October 2008, a new
Crisis Coverage Report was offered. It was discontinued in October 2010, after
the murder of oil expert Matt Simmons by the Halliburton security hit squad. He
revealed significant damaging stories about Halliburton’s role in sabotage of
the Gulf of Mexico that produced the worst ecological disaster event in human
history. The Macro Economic Report was changed in title and emphasis in 2010 to
the Money War Report, since most mega-forecasts related to systemic failure had
occurred. Refer to the insolvent ruin of the US big banks, the insolvent ruin
of the US housing market, and the insolvent ruin of the USGovt finances. No
need to continue to forecast on the USEconomy and its wreckage, after the ruin
of the three main systemic pillars. So each month is produced a Money War
Report that focuses on the competing currency wars, the bond monetization without
end, the slow collapse of the sovereign bond market, the various props to keep
the system going (even if crippled). Also each month is continued the Gold
& Currency Report that focuses on the USDollar and the gold market, both as
counter-weight to the debased currencies and as pursued asset to hedge against
inflation and the actual ruin of money.
4)
You often cover the extensive Gold market
manipulation. Can you describe the big macro picture and its dynamics as it
pertains to the gold market manipulation?
The mortal enemies to the gold market are desperately hanging on.
Without extreme derivative usage to prop the USTreasury Bonds, and without
extreme usage of naked shorting of futures contracts, the gold price would be
over $4000 to $5000 per ounce right here right now. My forecast has been for an
important divergence between the physical gold price and the paper futures
price discovery that is full of deep fraud. The MFGlobal theft was a seminal
event, whereby investors seeking delivery of silver had their accounts stolen.
Instead of receiving delivery of silver, the silver bars went into JPMorgan
inventory in almost exactly equal quantity. The systems in support of the
USTBonds are collapsing, namely the Interest Rate Swap. The paper futures market
is an amazing Energizer Bunny, running on nothing but fumes of arrogance. The
COMEX and LBMA will eventually go empty in inventory, a day to celebrate.
Remember that no limits are placed on bond fraud, naked shorting, or permitted
thefts. However, there are limits to public tolerance of thefts, especially
when they involve private accounts. The physical gold price will soon rise much
higher than the futures paper gold price, at which time it will no longer be
reported. A market without inventory is a laughing stock, not a market at all.
5)
Where do you expect the first major fractures
to occur within the Gold market and its many extensions?
A significant event occurred in November 2011 with the MFGlobal thefts.
It prompted a powerful response by Asian entities. They are draining the New
York and London banks of their gold bullion. It is an all-out attack that has
yielded 5000 metric tons (five thousand) from Western banks to Eastern banks,
mostly in China. I believe the MFGlobal theft and Chinese drainage of Western
bank gold is directly related. Powerful wealthy entities are seeking the return
of their gold before it is stolen, tied to collateral lines before ruin, and
more.
6)
What are the most important factors behind the
Quantitative Easing by the Federal Reserve? What is their objective in reality?
The objective hidden by the USFed and USDept Treasury is to conceal the
fact that no more broad demand exists for the USTreasury Bond at a time when
the annual deficit to fund in the bond market for the crippled USGovt is over $1.3 trillion. No demand, gargantuan
supply, the prescription for a 10% bond yield or higher, not a yield under
2.0%. A major game is underway to hide the wreckage of the USGovt debt market,
which is no better than Spain or Italy, even Greece. The US sovereign bond
problem is 100 times worse. So the solution has been hyper monetary inflation,
promises of continuing bond purchases forever, precisely as the Hat Trick
Letter forecasted in summer 2009. It has expanded to include the mortgage bond
market, which is intended to conceal the profound bond fraud there also, which
prevents a housing market recovery. There is no exit strategy. The objective is
to prevent a global bond market collapse that would cause a global currency
market collapse, which would result in the collapse of the global banking
system. Regard the monetary policy as bond monetization in unlimited manner
forever.
7)
Does it mean the USA is on the same Weimar road that the old
Germany Reich traveled on?
Exactly. The language is English, not German. The props with derivatives
such as the Interest Rate Swap are heavily relied upon, which did not exist in
the old Germany. Also, the other major central banks did not work in unison,
like they do now. See the Euro Central Bank, England, and Japan, even
Switzerland. Furthermore, this Weimar effect is global, not confined just to
Germany as in the past event. So the wrecked economies and banking systems will
be global.
8)
What other similarities do you see between the United States and the Third
Reich that fell?
The USGovt is run by Nazis in disguise. The Bush Family is nazi, with
grandfather Prescott an avowed nazi who attempted to overthrow President
Roosevelt. The Nazis began to control the power levers after the 911 events of
September 2001. It was a well disguised coup d’etat event, a bloody coup by the
US Intelligence agencies, the Wall Street bankers, a wing of the USMilitary,
and a key small ally on the Southern Mediterranean Sea that looks northwest to
Italy. The US Press networks are subservient stooges. The world will be very
fortunate to avoid a global war, just like what happened after the Weimar
German destruction spread in its effect across Europe in the 1930 decade. A
closer look shows most of the Nazi Playbook methods were used on the World
Trade Tower attacks on 911. My life was threatened for revealing the easy
comparison with nazi methods used in the past, marked by false flags and broad
deceptions.
9)
Can QE3 be successful? What are the risks? What
is the timeframe for benefits?
The QE was not successful. Nor was QE2 successful. In no way will QE3 be
successful. But the central bankers have no choice. The risks are to raise the
cost structure worldwide, for industry (like energy and materials) and
households (like food). The risk is to continue the ruin of banking systems,
and to push the USGovt into a debt default. The bond monetization tool can
never be kept in place indefinitely, since it is highly destructive. Only
competent analysts realize this fact.
10)
Would you regard the central bank franchise
system a failure? Can it recover?
Yes, clearly a failure. Their solutions are for more debt and a better
quality of bond to repay older toxic bonds. Debt cannot solve debt problems. The
clowns running the central banks are busily producing more elaborate bonds with
more seniority in subordination. The current wreckage of Spanish banks is a
clear testimony to the non-solution by the Draghi Long-Term Financial Operation
bonds should alert observers to the absence of solution. Draghi put the new
super-bonds into circulation in late 2011, but with zero positive effect. He is
revered anyway, but the public is full of morons. His new Open Market
Transactions solution is equally stupid, vacant, and will accomplish nothing.
11)
Recently you have written that the Cartel has
raided Allocated Gold accounts. How can these schemes keep going according to
your view?
They will continue to raid the Allocated Gold accounts until the owners
demand the redemption of the bullion bars. The process is being tested in two
places right now. In London, a massive drain has occurred by Eastern entities.
I believe the owners realize their gold is at risk of theft or collateralized
usage. In Switzerland, some major class action lawsuits are in progress in the
multiple $billions. They are kept quiet, my belief since part of non-disclosure
during the lawsuits. The Swiss banks have some very strange laws, the details
of which I do not wish to discuss.
12)
What more can be said on the hidden mechanics
of the Allocated Gold?
My source has told that in London, the margin calls are being enforced
by powerful people. They are demanding that physical gold bars are handed over
to relieve the margin calls. A detective (like me) has concluded that the
leveraged bond and currency positions were initially made with improper illegal
usage of Allocated Gold accounts. Now the London bankers are caught in a
squeeze. Margin calls always are of the same type as initially set up in
contract form.
13)
What major events are near for coming next to
the Gold market?
Very hard to tell. The enemies of the Western bankers make a long
growing list. I believe some events will occur soon in the gold market where metal
deliveries will go into default. The JPMorgan types will not be able to steal
any more accounts soon, since their opponents are on alert as a result of past
thefts. So look for a delivery default event or string of events. The bankers
will attempt to conceal the default. They must tap the Bank of England and the
Bank For International Settlements in Switzerland for the gold, or else face a
default that will cause great embarrassment and tremendous publicity. Be on the
lookout for a strange event, where the US Federal Reserve will approach a point
where they wish to shut down. They face greater ruin each year, the buyer of
last resort to take more and more toxic scheiss (mierda) into possession.
14)
What other risks should gold investors consider
when investing in gold and silver?
Risks of having your gold stolen by your government or by your own
bankers. Very few places in this world are safe to keep your gold. Surely not
the United States or Western Europe or Switzerland. I do not believe Singapore
is as safe as claimed. Hong Kong and Dubai are safe locations, but the entire
Persian Gulf area has turned unstable. Look for new laws for citizens to turn
in their gold for low redemption prices. Only idiots will comply, as vast
disobedience could result. That might be why the USGovt might not try to
confiscate. It would ignite a civil disturbance of national proportions.
15)
Do you believe that gold market manipulation is
about a Strong Dollar Policy backed by the US government or is
it only about business for big banks in Wall Street?
The Strong Dollar Policy enabled the United States to pursue its
suicidal path of a dominant financial sector. It opened the doors for
tremendous historically unprecedented bond fraud. The policy required the
suppression of the gold market and even the drainage of the entire Fort Knox
supply of USGovt gold. Never should a finance sector dominate. It is a tool for
capital formation, a servant to the business sector, not its master. Instead,
in the US the policy became a prescription for disaster. Imagine an economy
dependent upon rising home prices in a bubble. What insanity. What an
incredibly easy forecast call by the Jackass for a housing market wreck and
near permanent collapse. The ongoing housing market is a direct consequence of
the Strong Dollar Policy that smothered the gold market.
16)
What do you think about the fake gold case in New York City. Is it a global
phenomenon? What are you advising to your readers?
I suspect the US Intelligence agencies are the actual source. They have
begun to release fake gold. When they stole the Fort Knox, my source clearly
tells the story that much of it was replaced with fake bars before
distribution. The motive is to tarnish legitimate demand and slow it down. It
will not succeed. They will only cause more careful certification, and
responsible contracts for replacement if the bars of whatever size are proven
fake. Look for stronger certification techniques, which might cost the buyer
extra.
17)
What more can be said about the fake gold bars
and how it relates to the missing 8000 tons of gold bullion no longer located
in Fort Knox?
The distribution routes for the stolen and counterfeited (fake) bars is
the same as for the US Intelligence agency narcotics. The paths go through
Arkansas and Panama, the home of Clinton and the site of huge presence by the
CIA.
18)
One of the most interesting things about your
newsletters is your access to insider information. Could you tell us about your
sources and their background? What are they telling you about what is going to
happen for the markets and precious metals?
The most important source is a German man who has worked in the gold
industry for 30 years. He has vast contacts. He has very wealthy clients on
several continents, including the Chinese Sovereign Wealth Funds, and numerous
Arab royals. He has some important Swiss banker enemies, which in my book is a
stamp of approval for legitimacy and honesty. He is fluent in several
languages. He first approached me in early 2008. We met in 2009 at a
conference. He is a trusted friend, and a strong arm to hold an umbrella.
19)
How much do your sources tell you, which you
are not permitted to divulge?
Every several months, something is shared that is juicy which I must sit
on for a few months. He is clear with instructions. At one time the Panama
narcotic routes for the fake gold bars was a secret to be kept. But no more. One
recent shared item is the nature of the new transaction settlement system for
global trade. Since many months have passed, let it be known that certain
financial instruments will be required in trade settlement, which are to be
backed by actual gold bullion in certain banks. Some formal gold notes will
come into the picture. That is right, gold backed trade settlement, no longer
in USDollars. Watch the crude oil market for hints.
20)
Where do you think precious metals investors
should obtain their gold and silver? Where best to store the precious metals?
Honest sources like Gold Money in Jersey Isle off the English coast,
also Gold Core with London and US offices. Also the Bullion Management Group in
Toronto Canada. Many other reputable sources, but I am not an expert. My
province is analysis more than gold sources.
21)
Do you believe that China may back the Yuan with
gold to replace and provide a death blow for the US dollar?
Yes, the process has begun. The next step will be for the Yuan currency
to be fully convertible. That means it will be convertible to British Pounds or
Euros or Aussie Dollars or Japanese Yen or whatever currency. I expect when the
global trade settlement system arrives, it will be atop the Chinese Yuan. Then
the Yuan will gradually become gold-backed, all in time.
22)
How would you describe the coordinated Chinese
approach to removing the USDollar from its prestigious perch?
Through global trade and its settlement, whose heart is crude oil. Watch
for further developments and events in the crude oil market. The Iran sanctions
have been a true disaster for the USGovt. It has caused a global coordinated
response to circumvent the USDollar. In the void, the Chinese Yuan currency
will enter. The Chinese have built the foundation for the Yuan to serve in
global trade settlement by virtue of numerous bilateral currency swap
agreements. These are essentially barter agreements, with their Yuan currency
at the center. Think of the Yuan as providing numerous islands from which to
connect later, as a new standard is built like a platform atop the islands. The
platform will cover the entire globe, and isolate the United States. It will
then fall into the Third World, but not be recognized for several months
afterwards.
23)
You have written in your forecasting that Germany may seek a
Eurasian alliance with Russia and China to end the Petro-Dollar
regime. Can you give us an update on your view on the currency crisis?
Step by step, the connections from Germany to the East are being made. The
nation of Germany is critical as the coordinator and center. See vast railways
and energy pipelines from Germany. No further update really. The recent deal
with China and Russia on oil delivery and payment is significant. They will not
use the USDollar. The nation of Russia is the #2 oil producer worldwide. The
Chinese bilateral swap facilities are expanding into the crude oil market,
directly in conflict with the Petro-Dollar led by the Saudis. By the way, the
Saudi regime is suddenly very unstable.
24)
What can you say about the Iran sanctions and the
reported threat that has been a mainstay in the world news? What is the real
battle going on concerning Iran?
The Iran story is almost a comedy. Iran is doing on a wider scale what
Iraq did under Saddam Hussein. Iran is selling crude oil and natural gas
outside the USDollar. So the desperate toothless USGovt claims Iran is a
terrorist nation. If terrorism is searched for, start with the USDollar and its
merchants. The Iran sanctions doubled the speed at which non-USD solutions are
being pursued. They have resulted in numerous nations approaching China to be
part of the next chapter and its trade based solution. The US has lost a great
deal of credibility with the nonsensical stated Iran threat. The bigger threat is
the USDollar.
25)
Will the USDollar decline over a long stretch
of time, or will something else occur in your opinion that results in its
demise?
Hard to tell. Right now, or at least over the last few months, all the
major currencies are showing a stable exchange rate value. That is because all
major central banks are debasing their currencies together. Call it Global QE,
as the Jackass has been calling it for several months. Therefore the gold price
is given upward pressure. Think of the major currencies circling the toilet.
However, if certain events occur, the USDollar will suddenly be isolated. Like
if the trade settlement system is put into place, the USDollar will not be
required in global banking systems to settle trade. All major currencies would then
fall in value suddenly. Conversely, the gold price will rise sharply since the
new trade payment system will be in gold denomination for stability and
security.
26)
One popular comment made by you regards Morgan
Stanley and its role in market manipulation. What is the current status on
Morgan Stanley? And what is the additional risk for extending the timeframe?
They are buying time. With a recent $48 billion deal with Citigroup,
they not only gained more cash reserves and access to funds, they extended their
reach to the millions of Citigroup private accounts. They are in talks to sell
off a business unit, likely a good one that can fetch some money. They cannot
sell dead business units. So they will weaken over time. They are buying time,
but by exposing more private accounts to potential theft. The big dead banks
are content in stripping citizens of wealth in order to continue their
dominance.
27)
What are your targets for Gold & Silver price
for short term and long term?
Short-term gold price like January 2013 of $1800-1850. Silver in that
timeframe $38-40. Neither is aggressive, since the devices are unlimited to
keep them down. Long-term like year 2016, gold at $5000 and silver at $200. All
prices per ounce.
28)
Some pro-USDollar analyst claim that since there
is no real competition for the USDollar, its role as a reserve currency will
stay for years. What do you think?
I think that analyst is a moron, or else a paid system tool.
29)
How much of the perceived USDollar strength is
derived merely from the Euro currency weakening? Will the Euro survive the
crisis in Europe?
The rising USDollar is often on the back of the falling Euro currency.
It is nothing but the theater of the Competing Currency War, a tragic comedy of
sorts. The problems of Europe are very much identical in the United States.
Both the Euro and USDollar will vanish together. The trade payment system will
be the catalyst.
30)
What would happen if Greece exited the Euro?
What would happen if suddenly Spain was forced to
leave the Euro?
Both nations are propped so as to prevent the London banks to collapse.
Actually, numerous big banks across all of Europe, including in Germany, would
collapse. An exit by Greece would make for a sudden wrecking of the big
creditor banks, which hold their debt and would suffer massive devaluations. An
exit by Spain would be five times larger in its effect. Both nations must leave
the Euro common currency union if they expect to recover. So must Italy,
Portugal, Ireland, and France. The showcase is Greece, which is burning to the
ground. They cannot devaluate their currency in order to begin recovery. The
big bankers prevent the first step to recovery. In an ugly game, the big banks
are saying that they wish for Greece to be destroyed, rather than their own big
banks. One must die, so let the debtor die in a stranglehold with handcuffs
firmly in place.
31)
How will the major fiat paper currencies fare
when a new more viable system is put in place? Will it be put in place?
The major fiat paper currencies will suddenly be made less relevant
except within their own local domestic economies. The major fiat currencies
will be forced to bid up the currency for trade in order to receive delivery at
ports. Namely, they must bid up gold and let their own paper currencies seek
their proper value, much lower. The new system will come when the current
system collapses further. China is helping the process along, with numerous
bilateral swap deals and crude oil deals. The current system becomes weaker
with each passing month. The recent QE3 decision for unlimited bond
monetization should accelerate the process to put into place the new system.
The current system is being declared a Weimar monster on the global stage,
dependent directly upon toxic vats of acidic paper.
32)
Finally could you tell us about your preferred
asset classes in the current financial storm? How much you own of precious
metals as a percentage of your portfolio?
I recommend 95% silver, 5% gold, in physical bars or coins, but not
mining stocks. Other preferable assets are farmland for those who have the
skill and experience, and energy deposits for those also with experience. Do
not focus on paper instruments with gold ore or energy backing, since the
global financial crisis is centered on paper assets. Art works and collectibles
will also be good, provided the price tags are not very high.
33)
Do you still dislike the mining stocks as a
group?
Yes, I dislike mining stocks for 20 reasons. Higher costs, difficult
deposits, heavy stock share dilution, shortage of engineer labor. Also,
powerful hedge fund and Wall Street suppression like with the Goldman Sachs GDX
fund. Also, significant new labor strikes and a new trend toward confiscation.
My expectation is that one mining stock in 20 will rise significantly, maybe
one in 10. Look for many mining stocks to be acquired by the major firms for
pennies.
34)
How do you prefer to describe the current
financial crisis? Given that it has persisted for over 4 full years, it has
gone beyond the description of crisis, correct?
It is more a global monetary war to preserve the dominance of the
USDollar and its merchants in positions of power. All paper assets are at great
risk, since they are USD-dominated for value. The US bankers will possibly
cause a world war in order to escape the responsibility for bond fraud and
dollar counterfeit in legal prosecution. The US bankers will possibly cause a
world war in order to preserve their power. Your personal ruin is a small price
to pay to preserve their lifestyle of privilege and luxury without work, and to
preserve their power base.
35)
What is your view of the US elections coming
in November?
Romney should win, if a fair election. But the pieces are in place to
rig the election and steal a victory for Obama. His masters in the US
Intelligence agencies are in charge of the vote count. Their methods to create
a fraudulent victory are better known this time around.
36)
Any special items to look for when monitoring
the elections?
Look for vast discrepancies again between the Exit Polls and the
precinct level final votes. In 2004 and 2008, discrepancies occurred in Florida
and Ohio, evidence of vote rigging and vote count fraud. Look for Virginia to
join the list of so-called swing states to be subjected to vote fraud. The
clear signal is the mismatch between the Exit Polls and final precinct
(district) votes. Historically the correlation between the two has been over
90%. In the last two elections they showed a negative correlation.
37)
Is the integrity of the US presidential
election much different from the tainted election of Chavez in Venezuela?
Not very different in my view. The United States uses methods that are
more hidden. The Chavez methods are more in full view.
Thanks for this great opportunity,
Jim.
