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Validation of Saturation Macroeconomics: The CRB's Incipient Devolution After 19/48/48 Week Maximum Saturation Growth :: x/2.5x/2.5x

May 10, 2011 11:26 AM ET1 Comment
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The CRB's Incipient Devolution After 19/48/48 Week Maximum Saturation Growth :: x/2.5x/2.5x  :: World Central Bank Money Creation and Maximal Asset Growth Progression

Money continues to flow into the bond market with 9 more weeks of growth expected to take the US long term debt instruments to 150 year low interest rates.

The CRB, gold, and silver began their crash devaluation last week with Goldman Sachs and the Financial Trusts skimming money from the long positions that their controlled news agencies have hawked and fostered just like their earlier covert shorting on the long positions their hawkers encouraged in the 2007 and 8 real estate market.

The world central banks' ZIRP and money fabrication policy was and is needed to continue a system that is at a global macroeconomic saturation point. This saturation point has been made so much more extreme by a d facto collaboration of central banking,poor monetary policy, Wall Street owned politician promotion of a valueless added Frankenstein Wall Street money skimming industry, continued  politician massive deficit spending money which at a global saturation point is money that will never be produced by real economic activity tax related revenue; politician promised entitlements which are fiscally impossible to deliver; underwater mortgage debt which will be walk away from; paycheck to paycheck credit card debt producing greater vulnerability for bankrupt banks; and massive college sudent debt that  in a saturated economy will produce life long serfs to the private loan that have bought the original federally funded debt. 

The byproducts of central bank money creation are yet greater disparities in wealth and debt distribution:  The bond holders and financial industries' counterparties have been made whole while wage earner taxpayers without bank policy representation have been further enserfed with center banker  calls for austerity, diminished services, and benefits.  Speculation in the  equity and commodity markets is now mandatory as citizen's on fix incomes and with traditional bank savings deposits are scalped by the zero interest rates and 19/48/48 week maximum growth inflation caused by the money printing and zero offer on savings..

From March 2009 the CRB in this facilitated environment  with the US central bank buying ex nihilo 50 billion dollars a month of US debt had a maximum Lammert growth fractal expansion of 19/48/48 weeks x/2.5x/2.5x - then on the 49th week of its third fractal  began its collapse with a nonlinear gapped lower low breaking the third fractal 48 week trend line.

Equities too had an averaged 19/48/48 week x/2.5x/2.5x expansion.from the 6 March 2011 low.

For the Wilshire 10 March 2011 completes a 8/19/16 day x/2.5x/2x fractal with 3 days from the preceding decay fractal.

Using the integration element of saturation macroeconomics where growth begins in the preceding decay and is captured by longer time units the fractal series from  

1982 to 1990  is: 34 quarters  
From 1990 to present the fractal progression is 17/34/34 quarters or 83 quarters with 2 quarters available for a final low.

Expect the expected.. Central banks will continue their monetary expansion to stabilize the system as possible. Debt retrenchment in the private sector will occur. The Wilshire and CRB have reached their maximum averaged 19/48/48 week expansion. The great crash of 2011 for the CRB has already began. 

The great crash for the global equities will proceed in lower low gapped fashion on 11 May 2011.

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