From Michael Jenkins......
Titanic Rerun
One hundred years ago this week, the biggest ship ever built that couldn't sink went down
easily without any borrowings from the Chinese. Hitting the Iceberg didn't immediately cause
much of a concern until the hull split in two a few hours later. Most on 'Capital' Hill have
ignored all the warnings that our ship of State has sprung more than a few leaks and Obama
seems content with blaming the last captain rather than putting more lifeboats in the water. In
secular bear markets you usually get an initial bounce of two to three years and in extremely
rare cases like 1932 to 1937, five years, before continuing down with the second leg that almost
always takes out the first low (666 S&P). The FED believes it has learned from the experience
of the 1930's and think they will hyper-inflate our way out just as if all the passengers on the
Titanic had hand water pumps and could just keep pumping until a rescue boat arrived. It may
be time to abandon ship.
In past letters I have emphasized the decennial 10-year patterns and the three 'Masters' of
60, 100, and 120 years. Usually the 100 is quite dominant and this year is in the minority going
up until October before the trip all the way back to the lows takes place. Key now will be the
Biblical cycle of 120 years from 1892 since that one tops in April and is the worst of any with a
complete and devastating collapse for several years. 1892 was a Presidential Election Cycle and
platforms of easy money and silver based monetary expansion as well as the first time a
Socialist Labor Party ran on a Presidential ticket. This one 'feels' like what's going on and
except for the massive FED intervention we might be much lower in the stock market. From the
planetary perspective the cyclic events starting this summer are the worst in over 129 years, and
most were last seen at times of major revolutions and wars (BTW 129 years ago was the death
of Karl Marx). Huge crowds of marching people in the streets are what is expected and very
recent 'race' type anger ties in well with the 150-147 year cycle from the US Civil War. 1864
was a second term Presidential Election and a 'squeaker' victory by Lincoln who was killed only
a month later because of the huge divisions within of the country. Lincoln was a Christian and
his second inaugural address was filled with New Testament quotes in a sincere fashion as
opposed to our modern secular society which derisively questions "What would Jesus do" every
time they spout some far left Marxist doctrine. Our current President recently butchered a Jesus
quote about expecting more from those who are given more, but I wonder if you have moral
authority if you think you can get a passing grade on the Ten Commandants with only six out of
ten (Thou Shalt Not Kill- War, Abortion, Thou Shalt Not Commit Adultery-birth control, sex
education in 5th grade, same sex marriage, Thou Shalt Not Covet Thy Neighbors Goods- top
1% evil doers versus the 99% 'good' doers, Thou Shalt Not Steal- 'Spreading the wealth around'-
taxes. These are only the four obvious violations and there could be a good case made for
violations of the others. The anti-God Marxists who have clearly defined their goals in Marx's
1848 Communist Manifesto of 10 major points have succeeded in making all ten points major
party platform elements for the Democratic Party (look them up if you don't believe it). Now
this may all seem like a religious rant or something but my purpose is to redirect you to our
major cycles coming out in the very near future and demonstrating their creep into modern
society and current 'themes'. This being close to Easter we can start with 2000 years ago and see
the clash of religion and secular society and the acceleration of the fall of Rome. Dividing that
cycle by two gives us 1000 years and in 1009 the Muslims destroyed the Church of the Holy
Sepulcher in Jerusalem and started the initial seeds of what became the Crusades and wars
between Christians and Muslims. (1000 years from that @ 9/11/2001 the Muslims again
destroyed their perception of the secular 'church'- Wall Street and the Trade Towers. Half of the
1000 years is 500 and near 1500 we had the final 'crusade' in 1453, and with Columbus
discovering America in 1492 set up the Pilgrims and other religious groups who fled to
America to make it a new 'freedom of religion' country. Martin Luther in 1517 started the
modern rift between the Catholic Church and the newer sects of Christianity. The Protestant
Reformation to some extant was an attempt to adjust religious practices to the new emerging
Capitalism just as the Muslims today fight the Capitalist infidels, or the Marxists fight the top 1
per centers. 500 divided by two is 250 and near 1750 various religious groups developed the
Americas but the half cycle of this 125 years is where the 'devil' was set loose on the earth in the
form of Marxism. From 1848 to 1873 Karl Marx and Friedrich Engels developed the modern
era secular ideas that religion was 'invented' by man as a fantasy to deal with his ever
despondent state caused by the oppression by the Capitalists. Religion was the opiate of the
masses to help them deal with all the bad things the Capitalists were doing to them.
This culminated of course with the Labor Unions in America and the first major Communist /
Marxist Revolution in Russia in 1917 which is to be a repeat in America 100 years later. All
these cycles come at a time when we will witness tremendous religious strife among traditional
Jews, Christians, and Muslims, and all three being attacked by the Secularists and Marxist
atheist intellectuals. The SEIU unions are already planning 100,000 man marches near the
Communist May Day time frame to fight to destroy the Capitalists, while the Israelis and
Iranians decide who will start the religious War. Obama lies on the cutting edge with a family
tree full of Marxists and Muslims while he belonged to a revolutionary 'Black Liberation
Theology' Church for 25 years which married the concept of white oppression with the newer
idea of Critical Race Theory or the insane idea that individuals did not need to abide by the
constitution if they were black since the document which was drawn up entirely by whites was
inherently racist. This Critical Race component of Obama culminated in Obama's Supreme
court choice of Sotomayer whose infamous quote of 'A wise Latino Women ...could reach a
'better conclusion' than a white male...' indicating perhaps this convoluted idea that the
Constitution needs to be interpreted in light of 'race'. These racist component theories as well as
the recent Trayvon killing are parts of a cycle from the Civil War which saw the rise of the Ku
Klux Klan in 1860. Usually political battles between Capitalists and Marxists and Racists,
results in war or revolution. I suspect it will be a difficult time for stocks until the Capitalists
win the governatorial battle with the Marxists after the next election or two.
Simon B.
maybe - just maybe - he has seen the light 