This Weekly News Wrap-Up is featuring a double header of expert guests. Dr. Paul Craig Roberts (PCR), former Assistant Treasury Secretary in the Reagan Administration, and Bill Holter, who is a financial writer and precious metals expert. First up: PCR weighs in on possible nuclear war with Russia and the possibility of a total collapse of the financial system. PCR, who is also an award-winning journalist, says, “Five banks have derivative exposure of $188 trillion. That is twice the Gross Domestic Product (GDP) of the entire world. How can that happen? Where were the regulators that let this type of situation develop? It’s mindless, and no one can know what the consequences are. How are you going to examine these derivatives? . . . . This is just as dangerous, in its own way, as the fact that Putin allows this Ukraine war to drag on and on and on. It’s mindless. Both bets are mindless, and in the mindlessness is the danger. In the Ukrainian danger, it could end in nuclear war, and the financial danger is the entire western world financial system could collapse. . . . Nobody is watching anything. It’s just one stupidity after another.”
Bill Holter also has dire warnings about the ongoing banking crisis. They want the public to think all is under control, but that is not the truth. The idea of control and calm is coming at a very high price. Holter explains, “The U.S. has on-book debt of $31 trillion . . . it has to borrow $1 trillion a year to keep the doors open. . . . That tells you we have already stepped through the door of banana republic land. . . . Now, they are going to take on a $17 trillion obligation to cover the entire banking system (meaning all U.S. bank deposits). That is ridiculous. This is like one drunk trying to hold up another drunk. They have now put the balance sheet of the U.S. Treasury in the crosshairs . . . of speculators, which will destroy the Treasury’s balance sheet.
This is an ongoing collapse, and I think they believe they still have control. . . .This is like a giant 1993 when George Soros broke the Bank of England. That’s where this is headed. It also ends up with the dollar no longer being the world reserve currency.”