Economic forecaster Martin Armstrong, who is known for having accurately predicted major events like the Savings & Loan crash, the collapse of Japanese financial markets and the destruction of the Russian economy almost to the day, says that a major turning point is coming to the global paradigm this October. While stopping short of calling for an all out crash, Armstrong’s cyclical turning point of 2015.75 suggests that very big changes are set to take place.
But how do you prepare for the uncertainty of what’s to come?
Armstrong says you’d better have some cash on hand for short-term disruptions, just in case your financial institution shuts down like they did in Greece:
Also, keep in mind that cash could come in handy in a computer failure, whereas you cannot access a bank, exchange, etc. just to survive for there could be a scenario where not even plastic credit cards or debt cards would offer any help.
Source: Armstrong Economics
If America goes the way of Greece and the government enacts capital controls you can fully expect hours-long lines at ATM machines and banks just to get your daily allotment of $50 – $100. That, of course, is not enough for the majority of Americans to cover their most basic expenses including mortgage payments, food, and other necessary expenditures.
In such a scenario, having a one to three month reserve of cash will come in handy.
And though Armstrong says that gold and silver will likely not be accepted at your local super market, he has also previously noted that gold itself is an asset of last resort to preserve wealth in a situation where the public has lost confidence in their governing bodies. Thus, while you may not be able to hand a pre-1965 junk silver quarter to your grocery clerk in the immediate aftermath of a financial emergency, barter markets will likely emerge just like they did in Greece following the initial collapse of that country and at that point trading directly with gold, silver or other physical assets like liquor, cigarettes and food may become commonplace.
It should be clear that something is very wrong in financial markets. There is a wide body of evidence confirming this assessment, but most recently we learned that China has dumped over half a trillion in dollar-denominated assets and many of the same scenarios we saw in 2008 are playing out all over again.
While forecasters like Armstrong understand that the system under which we currently operate is set to fail, what’s difficult to predict is exactly how such a collapse may play out.
Thus, preparing for a wide range of potential scenarios is in order and that means positioning yourself to survive a short-term disruption to the regular flow of commerce, as well as longer-term scenarios that affect the credit markets and the systems that depend on them.
Should the system buckle we can expect widespread rioting, panic and confusion, something for which the government has been actively training personnel to handle on a mass scale.
Significant changes are coming. Be ready for them.Facebook, Google Plus, & Twitter. You can also get Freedom Outpost delivered to your Amazon Kindle device here.