The Calm Before The Storm

Monday, September 21, 2015, the SHEMITAH – the 7 year cycle started its reign.

Yesterday, Tuesday, September 15, 2015, The US Treasury market suffered a steep sell-off.   This was primarily due to the fact for the first time in 9 years The FED is going to raise its benchmark interest rate.

The Fed must pull the trigger on a rate hike tomorrow, or it will lose all credibility.  It will risk “negative interest yields” on more of their trading securities in the US Securities Market as currently in place in Europe. The yield of the two-year Treasury had jumped by 8 basis points to a new four-year high of 0.8 per cent and the 10-year Treasury climbed 10bp to a six-week high of 2.29 per cent.  The fear and reality of the downturn in liquidity have unfortunately spread to what was before considered the most liquid bonds in the world.

bondliquidity

NYSE MKT Stocks - ISHARES 20 YEAR TREASURY BOND ETF - 16-Sep-2015 02:42

NYSE MKT Stocks – ISHARES 20 YEAR TREASURY BOND ETF – 16-Sep-2015 02:42

Every seven years is a Sabbath year also called a Shemitah year.  This is a year of rest, just as the seventh day of the week is a day of rest.  Every seventh Shemitah (7×7=49) is followed by a Jubilee year, a year of celebration. This Shemitah of Shemitah’s has also had a Tetrad of four Blood Moons all occurring on Jewish feast days, which has not happened in 2000 years!

During a Shemitah Year, God can raise up nations or tear them down. These raising up or tearing down effect all sectors of a country.  It can effect a countries’ economy and wealth, its military preparedness, its leaders, and the health and wellbeing of its people.

 

Elul is the last month of the Jewish calendar year.  During this month of a Shemitah year, God declares all debts must be forgiven: the financial ledger wiped clean. This forgiving of debts often causes the Stock Market to fall.  The first week of Elul (Aug. 17-21, 2015) the Stock Market dropped 1061 points.

 

Sept. 28, is the last Lunar Eclipse of this Tetrad which occurs on a Jewish feast day.  This Blood Moon will also be a Super Moon meaning it will appear at its largest possible size in the sky. The Eclipsed Super Moon ends setting in the west as seen in Jerusalem, Israel in the early morning of Sept. 28, 2015.
In early October 2015, Brazil, Russia, India, China, and South Africa, The BRICS Nations, will have an economic summit where they plan to set up an alternative monetary standard to the U.S. petro-dollar.  Shanghai, China will be the location of the headquarters of this new banking system.  If the Chinese Yuan becomes the new world standard of exchange, it will have disastrous effects on the U.S. economy.

 

This Shemitah of Shemitah’s year could change the economic global power causing greater shifts in our future.  China has toppled America to become the biggest economy in the world.

 

The US has been the global leader since it overtook Britain in 1872, but has now lost its status as the #1 global economy. The Chinese economy is worth £11 trillion compared with £10.8 trillion for the US.

 

You certainly do NOT want to miss a day without our market updates.  I will do it slowly so you can follow along. This is barley the tip of the Iceberg.