BOOM Finance and Economics 30th June 2024 -- a Global Review
WEEKLY -- On Sunday -- All previous Editorials are available on the Substack Archive and (for very long term archive) Visit LinkedIn and/or Wordpress https://boomfinanceandeconomics.wordpress.com/
A REVIEW OF BOOM’S EXPECTATIONS FROM LAST WEEK
THE US PRESIDENTIAL DEBATE – JOE BIDEN VERSUS DONALD TRUMP —
MUCH MORE TO UNDERSTAND HERE THAN DEMENTIA
THREAT IDEOLOGY – WHAT IS THAT? -- AND WHY?
POWER CORRUPTS — STAY SAFE
PROPAGANDA – CAN YOU RECOGNISE IT? -- LIES, LIES, LIES – CAN YOU SPOT THEM?
A REVIEW OF BOOM’S EXPECTATIONS FROM LAST WEEK
In last week’s editorial on Sunday, BOOM expected Nvidia shares to soon weaken. They subsequently fell sharply on Monday, by more than 6.6 % and over the week’s trading they fell by 2.39 %. Here is the Share Chart showing the daily price action.
NVIDIA – Daily Chart over 6 months
BOOM also expected the Crypto market (especially Bitcoin) to begin weakening along with other speculative commodities including Gold, Silver, Uranium, Copper. All fell through the week except for an unconvincing rise by Gold of 0.36 %.
The Grayscale Bitcoin Trust ETF subsequently fell 6.66 % over the week.
The Proshares Bitcoin Strategy ETF fell by almost 7.0 %.
The Van Eck Ethereum Strategy ETF fell by 3.66 %.
Gold managed to hold on to a small gain of 0.36 %
Silver weakened by 0.18 %
Uranium fell by 1.54 %
Copper fell by 1.14 %
BOOM also expected the Swiss Stock Market to begin weakening after the surprise interest rate cut by the Swiss National Bank.
The Swiss SMI Index fell by 0.15 % while the CH20 unconvincingly rose by only 0.61 %. The interest rate cut has not inspired investors in Swiss stocks.
GBTC -- Grayscale Bitcoin Trust ETF – Weekly Chart over 3 Years
BITO -- Proshares Bitcoin Strategy ETF – Weekly over 3 Years
EFUT – The Van Eck Ethereum Strategy ETF – Weekly Chart over 9 months
Gold – Weekly Chart over 12months
Silver – Weekly Chart over 12 months
Uranium – Weekly Chart over 12months
Copper – Weekly Chart over 12months
Switzerland Stock Market CH20 Index – Weekly Chart over 12months
Switzerland – SMI Stock Index -- Weekly Chart over 12months
The Daily Chart for the Swiss SMI Index over 6 months shows more granularity to the weakness
THE US PRESIDENTIAL DEBATE – JOE BIDEN VERSUS DONALD TRUMP
MUCH MORE TO UNDERSTAND HERE THAN DEMENTIA
BOOM was listening to the US Presidential Election debate last week between Joe Biden and Donald Trump on the car radio. Thus, there was no visual impact and BOOM had to listen only to the words being spoken. There was almost no significant difference in what each was saying. “He is the worst President ever” was met with “He was the worst President ever”. On and on it went, with the combatants exchanging insults with little other content. There was no great vision for the future, no defence of any political philosophy, no detailed outline of policies, almost no facts, some incorrect facts, no demonstration of deep Geopolitical insight or great leadership skill. It was simply awful. Even the mainstream media in the US seems to now agree that Joe Biden is suffering from dementia and must not be allowed to continue in office. In comparison, Trump is certainly no great intellectual force. Listening to them on the radio, both men appeared to be well past their prime. Biden is almost 82 years of age. His 82nd birthday will be just after the election. Trump has just passed his 78th birthday. So why are we stuck with this rather strange pantomime of an election debate? Are these two elderly men really in charge of the United States?
In the Western world, we are no longer ruled by the promises of political ideologies. Communism, Capitalism, Democracy, Conservatism, Liberalism, Egalitarianism, Socialism, Anarchism, Fascism, Nationalism have all been consigned to the rubbish bin of history.
Those ideologies are no longer of any use in political discourse. Most people don’t really know what they mean, and that includes most politicians. Because of this, conflict between political parties (and nations) based upon opposing ideological positions has been largely dispensed with.
We are left with two old men, who don’t seem to be very talented, arguing over who is “the best” to become President of the United States. At one point, they engaged in an argument over their respective golf handicaps. It was like listening to two young boys arguing in a school yard, exchanging insults. Or perhaps, two argumentative old men in a retirement village or nursing home, exchanging insults.
As far as BOOM can recall, neither of them has ever displayed any in-depth knowledge of the US economy. Neither of them would have any firm idea of how the US government’s budget deficit is financed. Neither of them would have any deep knowledge of history. They specialise in ambition and that ambition serves powerful interests. That is why they have been selected.
Why is this happening?
BOOM’s view is that, in our Brave New World of 2024, almost all the politicians in the Western “advanced” nations and their various political parties have actually joined forces. There are no longer any real differences. The cynical view is that their controllers have simply decided to abandon any pretence of democracy based upon reasoned debate.
Since the beginning of the 21st century, Western politicians have moved more and more towards cementing their group power into an alliance over the people, the voters. To that effect, they have dis-engaged with what was once known as politics. They now seemingly promise only one thing –
“I am better than him/her”.
“He will be worse than me”. “No, I will be better. He will be worse”.
“I will be a better President than him”. “No, he will be worse. I will be better”.
But, it’s not that simple. They actually also share a common, shared strategy -- the strategy of Threat Ideology.
THREAT IDEOLOGY – WHAT IS THAT? -- AND WHY?
What is Threat Ideology and why is it being used?
Beware: BOOM can be cynical when discussing politics.
(Almost) all politicians now use Threat Ideology to subdue and control the voting public. They see the People as the enemy and they seek to control that enemy. Why?
The question is easy to answer. Their goal is to maintain their privileged positions of power and influence, not to mention their lavish life styles, fame and compensation packages. After all, as Lord Acton, the 19th century British politician once observed -- “power corrupts and absolute power corrupts absolutely”.
POWER CORRUPTS
So achieving Power has become the sole motivation, along with the quest to maintain that power or, at the very least, to continue to have significant influence. This applies to politicians, political parties and nation states. Of course, sociopaths and psychopaths interested in power are attracted to politics but that is a subject for another day. Let’s look now at the modus operandus (MO) of almost all politicians in the West today.
The Merriam Webster dictionary defines MO as follows (with BOOM’s addition in brackets) “The meaning of MODUS OPERANDI is a method of procedure; especially: a distinct pattern or method of operation that indicates or suggests the work of a single criminal (or group of criminals) in more than one crime.”
The method of operation in all politics in the Western “advanced” nations is now the use of Fear as a manipulative weapon. Fear is the major component of Threat Ideology, the sine qua non, the means of operation, the driving force.
Why has this happened?
In BOOM’s view, this has happened because politicians who stand for nothing and who have no coherent philosophy of thought and coherent plan for the future must ultimately stand for only one thing and one thing alone – and that is their quest for power above all else. But they must hide this quest because it is too hideous, too embarrassing to admit. They pay lip service to political ideology but that is becoming rarer over time. And so, almost ALL of them have decided that their power is best achieved and maintained by keeping people (the voters) fearful, anxious, uncertain and thoughtless. This is a clever strategy, carefully conceived by their handlers.
Their Modus Operandus is to endlessly identify threats and bring them forward to the public one after another. They do not allow a pause for calm reflection or reasoned debate. They do not want to engage in either of those. And they certainly do not want the people/voters to do so. The mainstream media is complicit in this strategy and thus, it appears to be completely controlled.
Even the Presidential Debate boiled down to just 2 identical claims with implied threats.
“He is a great threat to the nation”.
“No, he is the greatest threat to the nation”.
The Promise of the political class is to deliver the audience to a state of “safety”, protected from THE THREAT (or threats) -- whichever is currently fashionable.
Their suggestion is that they can somehow, magically manage all the numerous threats and deliver “safety” to the people. There are military overtones here. Threat identification. Adversarial identification. Planning responses. States of Emergency.
For well over a decade now, you have been prepared for these messages by being endlessly bombarded with “STAY SAFE” messages. The mainstream media plays a large part in producing heightened anxiety as each “threat” is identified, exagerated and planned against.
Readers will all be familiar with the following (incomplete) list of commonly used political threats presented in no particular order. Everyone has heard these.
The “China Threat” (“in the South China Sea”), the next “Dangerous Virus Threat”, the “Communist Threat”, the “Cybersecurity Threat”, the “Russia Threat”, the “Bird Flu Threat”, the “Global Warming Threat”, the “Climate Change Threat”, the “Wildfire Threat”, the “Global Boiling Threat”, the “Nuclear War Threat”, the “Extreme Weather Threat”, the “Nuclear Energy Threat”, the “Climate Action Failure Threat”, the “Biodiversity Threat”, the “Inflation Threat”, the “Threat of ‘excessive’ Global Debt”, the “Infectious Diseases Threat”, the Lack of Climate Action Threat”, the “Peak Natural Resources Threat”, the “Peak Oil Threat”, the “Food Shortage Threat”, the “Global Poverty Threat”, the “Asset Bubble will Burst Threat”, “Peak Oil”, the IT Infrastructure Breakdown Threat”, the “Migration Threat”, the “Banking Crisis Threat”, the “Social Security Collapse Threat”, the “Hyperinflation Threat”.
Just today, BOOM saw reference to two new “threats” in the mainstream media. Yes – The Three Toed Sloth Virus is coming to get you – STAY SAFE. And, if that doesn’t get you, the Zika Virus will.
Health officials panic as human cases of deadly 'three-toed sloth virus' explode
The Zika-like virus found in sloths is spreading to humans as scientists fear it has the potential to be the next big outbreak that could overwhelm the stretched healthcare system
Two Zika virus cases reported in Pune: Health experts warn of long-term infection risks
“The Zika virus has emerged as a global health concern in recent years. While the immediate symptoms of Zika infection may be relatively mild, the long-term effects of the virus are now becoming more apparent, particularly in relation to pregnancy and child development.”
Politicians use Emergency Planning, States of Emergency and Emergency Services to keep your anxiety levels high. They enlist non-democratic, unelected, Non Government bodies (NGO’s) such as the World Health Organisation, the United Nations, the IMF, the World Bank, the WEF (World Economic Forum) as authoritarian, “independent” references.
This appeal to Authority takes advantage of the well known Cognitive Bias which exists in most humans, known as (you guessed it) the Appeal to Authority. “Scientists say this … “, and “The Science is clear” and “Follow the Science”.
Of course, they have no idea what the scientific process is but neither does their audience.
Fear must be maintained at all times and as much as possible, combined with a comfortably numb, (safe) state of the audience.
STAY SAFE
The term “Stay Safe” has been used as a suggestible command for some years now. BOOM first noticed its emergence about a decade ago. Such a suggestion is combined with the identification of many consecutive threats that create tension and conflict within the induced state of safety, comfort and numbness.
Why is that? The answer lies in the induction of Alpha Brain Wave States and then the application of anxiety. You see, Alpha Brain Wave States increase the audience’s level of suggestibility. And that allows the politician to achieve control over the population of voters.
In other words -- “Lull them into a state of brain numbness and comfort, urge them to “stay safe”, apply some anxiety and then make suggestions that you can remove or alleviate that anxiety”. That is a powerful mix.
Such Control does not have to be total. Oh no. 51 % is completely sufficient within a “democracy” or perhaps much less, depending upon the electoral process being used.
For those who seek more information, here is a recent Paper on the subject matter:
Higher hypnotic suggestibility is associated with the lower EEG signal variability in theta, alpha, and beta frequency bands
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7145105/
YOU ARE VERY COMFORTABLE, NUMB, IN A DOMINANT ALPHA BRAIN WAVE STATE AND IT’S A SCARY, FEARFUL WORLD – LISTEN CAREFULLY TO OUR SUGGESTIONS
Theta and Delta Brain Wave States dominate in the brain when you are asleep.
They range from 0.5 – 8 Hz (electrical wave Frequencies).
Beta and Gamma Waves dominate when you are fully awake, alert and able to concentrate.
The electrical frequencies range from 12 Hz to 100 Hz
And in between – is where Suggestions take hold in the Sub-Conscious --
Alpha Waves lie between these Brain Wave States. Between Alertness and Sleep.
From 8 – 12Hz Frequencies
If you want more detailed, expert information on this subject, here is a recent review discussing the impact of external Electromagnetic waves on the Human Body --
Microwave Radiation and the Brain: Mechanisms, Current Status, and Future Prospects
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9409438/
An article in MIT News may also help. It discusses how humans can train their dominance of Brain Wave States to improve their attention.
Controlling attention with brain waves
Study shows that people can boost attention by manipulating their own alpha brain waves.
“There are billions of neurons in the brain, and their combined electrical signals generate oscillations known as brain waves. Alpha waves, which oscillate in the frequency of 8 to 12 hertz”
https://news.mit.edu/2019/controlling-attention-brain-waves-1204
If you are rendered Comfortably Numb, you will inevitably spend most of your time in an Alpha Brain Wave State. You will not be asleep. You will not be alert or hyper alert. However, you may be in a state of heightened suggestibility at least some of the time. Watching television is an example, especially watching shows that do not engage the mind in much activity but contain contrived conflict between characters. Does that ring a bell? Has anyone heard of “reality TV”?
Some people watch television up to 10 hours per day so they will be moving in and out of Alpha Brain Wave State all day long and maybe into Theta Wave State (almost asleep). Some have the television on all day in the background while doing household chores or working. Of course, there are wide individual differences in hypnotisability and suggestibility. So BOOM is generalising here. After all, this is not an academic discourse or review of these subjects.
However, Pink Floyd, the British rock band, understood this. Here are some of the lyrics to their famous song Comfortably Numb – with BOOM’s addition in brackets
“Hello, Hello …... Is there anybody in there?
Just nod if you can hear me
Is there anyone at home?
Relax …….. I'll (you’ll) need some information first …… Just the basic facts”
When in that State, the repeated suggestion to “Stay Safe” and be safe is a powerful command to your sub-conscious. The next command is obvious especially when a state of anxiety is heightened by a figure of Authority and who says or implies – “Follow my instruction to Stay Safe”. “Nobody is safe until everybody is safe”.
Classically, these Brain Wave frequencies have had specific associations:
gamma is linked with states or tasks that require more focused concentration
beta is linked with higher anxiety and more active states, with attention often directed externally
alpha is linked with being very relaxed, and passive attention (such as listening quietly but not engaging)
theta is linked with deep relaxation and inward focus
and delta is linked with deep sleep.
Alpha waves are the ‘frequency bridge’ between our conscious thinking (Beta) and subconscious (Theta) mind. They are known to help calm you down and promote feelings of deeper relaxation and content.
Another Pink Floyd song, Us and Them, is worth remembering here
“Us, and them ………. And after all we're only ordinary men.”
PROPAGANDA – CAN YOU RECOGNISE IT? -- LIES, LIES, LIES – CAN YOU SPOT THEM?
If you think all of this discussion is fanciful, BOOM suggests you watch this very short video.
It is a masterpiece. It documents people using Fear and Suggestion. All these journalists, scientists and politicians did this to exert control over the public. Joe Biden gets the final say.
Warning: It is shocking.
“Nobody is safe until everybody is safe”
https://x.com/goddeketal/status/1804559102028206377
In economics, things work until they don’t. Until next week, make your own conclusions, do your own research. BOOM does not offer investment advice.
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By Dr Gerry Brady
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