As I write to you the global financial and geopolitical winds are shifting at an ever-increasing pace. In one moment the Federal Reserve capitulated and held interest rates constant, throwing renewed doubts onto the narrative of a strong domestic economy. The markets were moving lower with vigor and gold cracked above $1,300 again. Then earlier today (06.16.2016) Jo Cox, a member of Parliament for the Labour party who strongly supported Britain remaining in the EU, was attacked and killed. It was reported that the killer yelled “Britain first” before initiating the attack. Immediately the political campaigns concerning the Brexit – the referendum to decide whether or not Britain will remain in the European Union – were suspended. The vote was originally supposed to take place a week from today on 06.23.2016, but now there is doubt that the vote will occur at that time.
Reading between the lines this event reeks of a desperate attempt to reshape public opinion and influence the timing and outcome of the vote, but rather than speculate further I will simply say that my prayers and condolences are with her family at this time. It is a sobering reminder that when the stakes are high enough unscrupulous people are capable of drastic measures and are willing to disregard the intrinsic value of every human life in the process.
What followed in financial markets was nothing short of mind-boggling. With the headlines about the Brexit vote potentially being postponed hitting the wires, the high frequency trading algorithms began to buy stocks as a major potential source of uncertainty for the markets had been potentially ameliorated. On top of that, the Plunge Protection Team and the Exchange Stabilization Fund were able to jump in and lift stock markets in the US back to positive in a dramatic reversal. Moreover, after gold was poised to break out it was hit with a $40 smackdown for no specific catalyst other than the need to avoid a spike in the asset that would put additional severe stress on the financial system.
This continued dramatic manipulation of paper precious metals prices was by no means unexpected. Something had to be done or else the entire structure would be at risk. For proper perspective, this massive dumping of gold erased less than 24 hours of gains. I will be watching the gold price even closer than normally tomorrow, because if this move down doesn’t stick and we get back above $1,300 quickly then it might be game on for real by the time we open next week.
The world is getting more and more bizarre with each passing day. The only way that I can stay sane and avoid breaking my computer monitors is the Holy Spirit. I thank God for the hope, patience, calm, and joy that seem to increase as the tumult grows stronger and the desperation of those running the system who want to retain their power waxes increasingly pungent and obvious.
When these people are cornered they will do whatever they believe is necessary to keep hold of their control. They don’t care about us and are willing to make dramatic sacrifices. Yet their desperation to maintain the narrative betrays their weakness. I pray that God brings confusion into their camp and exposes them for who they are so that we can see the truth and choose to unify in order to change the direction we are being driven in. There is strength in unity and love. We must be prayerful, obedient, informed, courageous, truthful and loving if we are to restore peace and order in our lifetimes.
Remember, if confidence in the financial system vanishes then the system will follow. Our ways of life are set to change in ways that nobody can fully predict or understand, but we have a role to play in shaping our world and it is our responsibility to stand in the gap and make a difference. Stand up or stand down. As for me and my house, we will serve the Lord. (Joshua 24:15)