Reality Is The Destination

How can you explain to people that the markets are fake?

I’ll tell you a fact that cannot be denied me because I participated in its realisation.

Ten years ago I bought a small stockpile of Egyptian Nile cotton balanced weave fabric. Since then, the NASDAQ commodity quote for cotton showed a relatively big spike in 2011 about four times the usual average price and then a rush back downwards to pretty much the same usual standard bale price.

Rubbish. What kind of rubbish do these guys deal in?

Something real, something real...

The price of real Nile Cotton has gone up twenty times and stayed up and it will keep on going up even from here and it will never come down not for decades. Oh sure you can buy what you suppose is expensive ‘Egyptian cotton’ sheets in premium stores but they are all fakes. You think you are paying top dollar at six hundred dollars a set; you will be paying 3 - 4,000 dollars for the real thing and you generally won’t get it in the US anyway.

See this is the problem we have today - you will just not get this story told anywhere publicly. The Germans are the biggest buyers of Nile cotton and they take the fabric and add more value and then buy it back in their own domestic market. And now we are talking more than a hundred times cost realised in the marketplace.

So what ‘cotton’ are these clowns on Wall Street dealing in? American cotton.

There is a difference between trading for real and trading through commodities exchanges.

Why is the house name of some actual business that physically deals in the goods themselves less of a trading entity or expert than some commodities brokerage in Chicago?

If you look at the main ideas of the genius W. Edwards Deming, every single one of them is a rule broken by the businesses, the banks, the brokerages, and the government of the modern era USA.

If you look at the story of someone like a Jim Thompson, or a Howard Hughes, you will observe the key elements required to make money trading and in production and manufacture particularly: the logic of the output chain is essential and it rests on real demand, or at least the reality of it. It’s not ever about the currency value, or the rate of interest obtaining.

Pure dye silk 

Today a lot of commentators are concerned about the currency value and the potential for a currency collapse or a stock market shock.

But it has already occurred. No ordinary middle class consumer can afford Egyptian Nile cotton even though they are helping sustain the most extraordinary foreign policy in the history of Mankind. Meanwhile, the middle class assumes it is seeing a record high Dow - all utter rubbish. It’s the same thing as going down to some supposed up-scale gallery and purchasing Egyptian cotton sheets ‘made in China.’ It’s simply a fraud.

Lime acid phosphate is a soda fountain drink made from actual lime syrup and acid phosphate and it tastes different to what you get now in a bottle.

The Merry Widow ice cream is a sundae created around 1908 after the huge success of Franz Lehar’s opera of that name. The real one has ingredients in it that in spite of assumptions about the internet, are still held secret among real chefs and you will not find them exposed anywhere on the internet even till now.

And those who know about the real thing will only laugh and shake their heads whenever ‘experts’ rattle on about what they presume to know.

A real Merry Widow ice cream from Conrad's

It’s so attractive to hope that investing, or leveraged investing through exchanges, or shorting when the time comes, will deliver a profit to the ordinary individual trader. The market regulators and the main branded bankster players have stymied themselves by using pretend money they have credited themselves with. ‘Dark pools’ simply mean that there is an artificially high price for put options because of the pretend money being allowed to be used by the main players. Dark pools mean that the Dow is at unprecedented highs for the consumption of the domestic voter.

I’m afraid I’m with Sinclair on this. A real exchange is betting that gold is $50,000 an ounce.

It will definitely not happen quickly. But it will happen. And it will happen in our lifetimes. Before it does though, you will start to see gold physically trickle out of the country. And when it turns into a flood that’s the end.