By Brandon Smith and originally published at alt-market.com
In my article 'Brexit: Global Trigger Event, Fake Out Or Something Else?', published before the U.K. referendum vote, I outlined numerous reasons why I believed the Brexit was likely to pass. As far as I know, I was one of very few analysts that stuck to my call of a successful Brexit right up until the day of the referendum instead of slowly backing away as the pressure of conflicting polls increased. My prediction was verified that evening.
In my post-Brexit commentary, which can be read here, I then outlined why so many analysts in the mainstream and even in the liberty movement were caught completely unaware by the referendum results. Today, however, I now see hundreds of analysts using the same talking points I argued before the Brexit, but still missing the first and most VITAL underlying truth. The core reason why I was able to discern the Brexit outcome was because I accepted the reality that the Brexit does not hurt globalists — in the long run, it actually helps them.
Now, I fully understand the excitement surrounding this event. For many people it was a complete surprise because they assumed that international financiers and the ever-pervasive global elites would do anything to stop it from happening. It feels like a kind of revolution; a pointy stick in the eye of the beast. While I applaud the people of the U.K. for their ongoing battle for sovereignty, I can assure you that the Brexit is NOT an obstacle to the plans of globalists.
What is rather amazing to me is the number of people that, before the referendum vote, were arguing that the elites would "never allow" the Brexit to continue and were thoroughly convinced they would use their influence to disrupt it. Now, in the face of a successful vote, those same people now argue that the elites had no influence over the Brexit, and do not benefit from its passage.
I would remind readers that it was actually "pro-EU" globalist puppet David Cameron himself that presented the prospect of a referendum to exit the EU. While some may argue this was bungling on the part of Cameron, I think this is a rather foolish notion. Cameron does what he is told like every other elitist owned politician. Furthermore, the behavior of internationalists leading up to the Brexit was rather strange, hinting to me that they were preparing for a Brexit surprise.
Globalist financiers like George Soros jumped into the markets and bet in favor of stocks going negative, indicating prior knowledge. Hilariously, Soros' advisers are now playing damage control by claiming that Soros "lost money" on bets on the English Pound. While they admit he did "make profits" on all of his other investments due to the Brexit, they will not say what the magnitude of those investments were, nor have they provided evidence supporting any of the information they have given to the media on his losses on the Pound. Truly, a slapdash lazy play at spin control.
The Federal Reserve’s Janet Yellen used the Brexit as the primary reason for the latest rate hike delay, mentioning that such conditions may have influence "for some time to come". This indicates she may have had prior knowledge of its coming passage.
And the world’s central bankers all convened in Basel, Switzerland to take marching orders from their masters at the Bank for Internationals Settlements right before Brexit voting commenced, something they most likely would not do if the Brexit was destined to fail rather than prevail.
Not only did the globalists through David Cameron originally introduce the concept of the Brexit vote, they also apparently knew that the U.K. referendum would succeed.
As I originally stated in my prediction article:
“…the failure of the EU does not necessarily mean a failure for the internationalists. For groups of globalists that promote an ideology of Fabian Socialism, a breakdown of the EU, whether partial or total, can be used as leverage for a larger and more centralized global power structure in the long term. Mark my words, when the system comes crashing down (whether after the Brexit or after another trigger event), internationalists will say that the EU failed not because it was centralized, but because it was not centralized ENOUGH.”
“If the Brexit succeeds, the globalists can allow the market systems they have been inflating for years to finally crash (at the speed they choose). They can then blame those dastardly “far-Right extremists” in the U.K. for triggering a domino effect within the global financial system, conveniently scapegoating British conservatives, moderates and sovereigns for a breakdown that was going to happen eventually anyway. Their solution will once again be to argue for the end of “barbaric” conservative principles and install complete centralization and socialism as the cure.”
Already, this narrative is being presented by internationalists in the aftermath of the referendum.
Bloomberg writes that the Brexit “casts a dark shadow on the world’s great move to openness,” as if globalism is a bastion principle of free markets rather than the murderer of free markets and the outright tyrannical socialization and centralization of everything. European elites are out in droves admonishing the Brexit as a move towards dangerous nationalism and isolationism. The Chinese premier is in the media warning of a “butterfly effect” in global markets caused by instability in “certain countries,” obviously referring to the U.K. and the EU. His solution? He wants even more “enhanced coordination” among all the economies of the world (Interpretation: more centralization).
EU officials only continue to strengthen my predictions by calling for an EU superstate in response to the Brexit; in other words, a completely centralized Europe.
And, Bloomberg has reported on Mario Draghi's recent call for a "new world order" in response to the UK referendum in which central bank policies around the globe are completely coordinated. Bloomberg removed the word "NEW" from the article's title an hour after it was published. Go figure; I guess mentioning the "new world order" was just a little too honest.
Of course, Draghi does not mention that all central banks are ALREADY coordinated through the Bank for International Settlements, which is why numerous central bank heads were at the BIS when the Brexit vote was underway. What Draghi is pushing for is open centralization among the world's central banks - the next step towards a single global central bank and a single global currency system.
For more information on why the elites desire an economic crisis and what they hope to gain from it, read my article 'The Economic End Game Explained'.
In my prediction article I also stated in part reference to the Jo Cox murder:
“…the goal may only be to perpetuate a longer term narrative that conservatives in general are a destructive element of society. We kill, we’re racists, we have an archaic mindset that prevents “progress,” we divide supranational unions, we even destroy global economies. We’re storybook monsters.”
“The murder of Jo Cox has had a minimal effect on Brexit polling numbers. In the end, the elites may find Thomas Mair more useful as a mascot for the Brexit after the vote, rather than before the vote.
So now the Brexit movement, which is conservative in spirit, is labeled a “divisive” and “hateful group”, and if the referendum is triumphant, they will also be called economic saboteurs.”
The concept of a dangerously volatile and destructive populist movement for sovereignty is being heavily pushed in the mainstream media. The racist angle is now being implemented, with the MSM warning that racism is on the rise in the U.K. due to the Brexit campaign.
Most if not all of the developments I warned of when I predicted the Brexit are also coming true. So, if I am as correct about the motives behind the Brexit as I was correct about the outcome of the Brexit, here is what will probably happen in the coming months as the drama unfolds.
Federal Reserve Catch-22
All eyes will soon be on the Fed to see if the central bank behind the world reserve currency will take some kind of action to mitigate the possible negative effects of the Brexit. The problem is, the Fed has created a catch-22 scenario here; not for them, they are happy to instigate an equities crisis as long as the timing is right. Rather, they have created a catch-22 for the markets.
If the Fed raises rates to prove they can, stock markets will see this as a shock move and initiate a sell-off. If the Fed lowers rates or institutes negative rates, the public will see this as an act of desperation and a loss of credibility. Really, the only safe measure the Fed can take from now on is to do nothing. I highly doubt that they will do nothing. In fact, even in the face of the Brexit I still believe the Fed will raise rates a second time before the end of the year. Why? This is what the Fed has always done as recession takes hold. Historically, the Fed raises rates at the worst possible times. As with the Brexit, I am going to have to take the contrary position to most analysts on this.
The globalists have conjured an interesting paradox with the UK referendum. Look at it this way; even if you believe that the globalists were "caught off guard" by the Brexit, one must admit that it is still in their best interest to initiate a crash.
First, the elites spent so much time warning of the doom that would befall the world if a Brexit vote succeeded, they must now fulfill their own prophecy or appear foolish and impotent.
Second, if globalists and the central banks they control act too aggressively to stall a market plunge, they are sending a message to all other EU nations that they should not worry about seeking their own referendums, because the central banks will save the day if they do. More referendums mean exponential crisis in equities. So, markets will crash if the central banks don't act, and they will crash if central banks do act.
This is all an academic discussion, though, because central bankers fully intend for the existing system to at least partially crash. They simply want to decide the pace of the implosion. Most will do this through jawboning and minor policy maneuvers, but not much else. The Federal Reserve is the only wild card in this equation.
Slow Grind Towards The U.S. Elections
While the Brexit vote is a considerable shock to global markets, and there is a likelihood of referendums in other European nations, I do not believe the Brexit alone is enough to cause the kind of economic crisis the elites are seeking. There needs to be a one-two punch combo here, and the second punch has not arrived yet.
What form will it take? I have no idea. I do believe that with the Brexit drama in full swing, the timing is perfect for certain unstable EU banks, including Deutsche Bank, to announce insolvency. This could be the next moment of shock. That said, there are hundreds of possible trigger events ready and waiting to be exploited.
So far it would appear that equities markets in particular are in for a slow grind down (with sporadic but short lived rallies) going into the U.S. elections. I would not expect much to happen until the Fourth of July holiday has passed and I would expect low trading volume to persist until then. I believe that by the time November arrives the global economy will be in a clear and visible recessionary mode. This does not mean a "collapse" in the Hollywood sense will be in full swing, but our fiscal structure will be visibly worse off to even the most oblivious citizens.
A Trump Presidency
In light of the Brexit I’m going to have to call it here and now and predict that the most likely scenario for elections will be a Trump presidency. Trump has consistently warned of a recession during his campaign and with the Brexit dragging markets lower over the next few months, he will probably be proven “prophetic.”
Those who read my articles regularly know that I do not trust Trump and that I think his behavior signals that he is controlled opposition, but this is really beside the point. Even if Trump is a legitimate anti-establishment conservative, his entry into the Oval Office will seal the deal on the economic collapse, and will serve the globalists well. The international banks need only pull the plug on any remaining life support to the existing market system and allow it to fully implode, all while blaming Trump and his conservative supporters.
If Hillary Clinton, a clear establishment puppet, is the chosen one, and markets crash after her inauguration, then the establishment gets the blame. However, if Trump becomes president, and markets crash, then conservative and freedom movements get the blame.
The mainstream media has been consistently comparing Trump supporters to Brexit supporters, and Trump himself has hitched his political wagon to the Brexit. This fits perfectly with the globalist narrative that populists and conservatives are killing the global economy and placing everyone at risk.
Sovereignty Is The Villain
Imagine that the economic and political events of our world are for the most part a cleverly staged piece of cinema. The globalists are writing a screenplay for that cinema and we are all supposed to believe that the movie we are watching is real life rather than an engineered fantasy. The Brexit in our story is an act of “evil sovereignty activists” and “right wing extremists” who lure ignorant people away from the light of globalism using “emotion” rather than logic.
These conservatives and populists promote barbaric principles of nationalism that no longer serve humanity in our age of “reason” and multicultural “civility.” Globalism is the future and pro-sovereigns are holding the world back from “progress.”
This will be the narrative pressed in politics and social discussions from now on. The story the globalists are writing is one of the terrorism of selfish freedom movements, how they brought the planet to the verge of complete collapse, and how globalism and collectivism finally “triumphed” and saved humanity.
Divisions Between Young And Old
An interesting and very manipulative propaganda campaign being put in motion around the Brexit is the idea that the U.K. referendum represents a division between older generations and younger generations. The mainstream media argues that older generations in the U.K. that have already benefited from the EU are now “taking it away” from the younger generations and essentially screwing them out of their futures.
Anyone who understands the root failings of the EU and the fact that it has been on the edge of collapse for the past several years knows that such arguments are patently ridiculous. The EU has been beneficial to no one except in minor part to perpetually insolvent nations and peoples. The EU aids these folks by stealing from solvent nations and peoples. The Scottish were extremely anti-Brexit, for example, exactly because they have become a welfare dependent society and they know where their bread is buttered. Most Muslim refugees aren’t flooding into the EU on the premise that they plan to start from scratch and work their way towards prosperity. They march into the EU on the promise of free goodies.
Yes, according to recent polls around 73% of voters 18 to 24 years old supported the EU, but around 27% did not. Does this 27% not count? People aged 25 to 34 voted 38% in favor of Leave. Anyone over age 35 was increasingly more likely to vote Leave. Are people in their late 30's now considered "old"? This is hardly an example of the "old" destroying the precious collectivist futures of the young.
To claim that the Brexit was about young versus old is clearly a lie, but we should expect that this narrative will be pushed further. The globalists need to own the minds of the next generation, and they hope to do so by blaming all their future economic woes on the kinds of sovereignty movements that voted for the Brexit. The young are often desperate to believe that they are wiser than the old, desperate to assert their place in a world they don't yet understand because they have little experience in it, and desperate to prove that new ideas (usually old failed ideas rehashed) are better than traditional ideas. The elites know this, and are quick to con the young with the concepts of futurism.
The Long Game
The great weakness among economic analysts and many independent analysts is their refusal to examine the long game of the elites. They become so obsessed with the day to day parade of stock tickers and the month to month central bank policy meetings that they miss the greater trends. We can focus intently on each drop of water that makes up a tidal wave and forget that we are at the edge of the beach staring down death.
The Brexit is part of a globalist long game that is designed to finally and completely demonize sovereignty movements.
Think about it for a moment — what better way to remove the only obstacle in their path? The globalists create an economic crisis and then foster conditions by which their primary opponents (liberty activists) get BLAMED for it. They then swoop in as the heroes of their little cinema after the damage is already done and offer their solution: complete globalization. With enough people destitute from a global financial calamity, they may very well be begging the elites for help. This is not to say that the elites will ultimately succeed (I believe they will fail), but that does not stop them from making the attempt.
I realize this is not what many in the liberty movement want to hear, but this is reality. This does not diminish the value of a British movement for sovereignty, but it does demand that we temper our celebration and recognize when we are being targeted with fourth-generation warfare. If we accept the fact that the Brexit is an event the elites plan to exploit for their own ends, then we can identify the threat and deal with it. If we continue the delusion that the Brexit is some kind of slap in their face when it is not, then we allow them yet another weapon in their arsenal of propaganda.