Sunday, January 25, 2015

EXPLOSIVE Breaking News: This Will All End Bad


TOM HENEGHAN INTELLIGENCE BRIEFINGS
ALL Patriot Americans MUST know with sources inside
American/European intelligence agencies and INTERPOL
reporting what is really going on behind the scenes of the
corporate-controlled, fascist, extortion-friendly
propaganda U.S. media's massive deceptions


Protect and defend   YOUR   Constitution Bill of Rights,

the Supreme Law of the United States

http://www.tomheneghanbriefings.com/
https://twitter.com/Tom_Heneghan


Sunday   January 25, 2015
This Will All End Bad
by Tom Heneghan, International Intelligence Expert
U.S. NAZI PAPERCLIP INSTALLED NEO-NAZI
FASCIST UKRAINE REGIME massacred and burned alive
43 unarmed civilians in Odessa, Ukraine in May of 2014
source  source  source

UNITED States of America   -   It can now be reported that Russian Federation President Vladimir Putin has moved 16 major Russian Infantry Divisions to the eastern border of the U.S. NAZI Paperclip occupied territory of the Ukraine.
Putin has also placed Russia's nuclear arsenal on the highest level of DEFCON.
This action comes after the NAZI neo-con controlled Obama Administration recently sent scalar technology style weapons plus poison gas to the current U.S. installed Ukrainian government.
Note:  These U.S. weapons were flown into Kiev by none other than Japanese commercial aircraft.
It should be remember that Russian now is 70% Orthodox Christian and 20% Evangelical.  Russia historically has never trusted the west remembering the wars with Napoleon and Hitler and now considers itself in a 'Holy War' pitting Christian Russia versus the NAZI-Jew-homosexual-satanist United States.
At this hour, the Ukraine remains the trip wire for everything next to come.


source


source

Ukrainian Secretary for National Security Andriy Parubiy,
a well-known neo-Nazi,
who founded the Social-National Party of Ukraine

P.S.  We can also divulge that U.S. Treasury officials, along with the U.S. Internal Revenue Service, have fingered both former Florida Governor Jeb Bush and former Republican presidential nominee Mitt Romney for engaging in a massive money laundry linking the Mormon Church and secret U.S. CIA proprietary accounts located in both Massachusetts and Utah.
Jeb Bush and Mitt Romney fingered in massive money laundry
photo Reuters / source
The money laundry has been disguised as a FX foreign currency trading operation (another crooked bank ponzi scheme) operating out of the Cayman Islands and the British Isle of Man.
Both former United Nations Ambassador John Huntsman and former British Prime Minister Tony Blair have operated as bag men on behalf of the Bank of England and U.S. Bank of America in this total illegal financial activity.
We can also report that Swiss banks are about to actually issue a margin call against the Bank of Canada, Barclays Bank of England and the Central Bank of Japan who are now hopelessly cross-collateralized to each other in naked short foreign currency positions.
Remember, there is no liquidity or cash left in the system just alleged electronic lines of credit aka I.O.U.s between banks that move around every night with the use of high level technology.
Now you see it, now you don't.
P.P.S.  Stay tuned for future intelligence briefings, which will include an update on the emerging Clinton-Bush under-age sex both straight and gay pedophile scandal.
We can now report that noted attorney Alan Dershowitz has been granted immunity by U.S. attorneys and singing like a canary when it comes to the Bush-Clinton Crime Family Syndicate cabal.
Related

Wayne Madsen
SPECIAL REPORT. Epstein plea deal with feds protected Bill Clinton and the House of Bush

http://www.waynemadsenreport.com/articles/20150123


As we live free or die, Lafayette remains at Brandywine and
Albert Gore Jr. remains the year 2000 DULY ELECTED,
non-inaugurated,  natural born  REAL President of the United States.
Al Gore on Restoring the Rule of Law

http://www.acslaw.org/acsblog/al-gore-on-restoring-the-rule-of-law
...

[Message clipped]  View entire message

BOMBSHELL OBAMA VETTING: MUSLIM PURCHASE OF U.S. PRESIDENCY


Bombshell Obama Vetting: 1979 Newspaper Article By Valerie Jarrett's Father-In-Law Reveals Start Of Muslim Purchase Of U.S. Presidency...



The Vernon Jarrett syndicated column of Nov. 6, 1979, that appeared in the St. Petersburg Evening Independent. It originally appeared in the Chicago Tribune on Nov. 2. This image was pieced together from screen shots of the St. Petersburg Independent page available for viewing in the Google Newspaper Archive. Jarrett was the father-in-law of Valerie Jarrett, President Obama's closest adviser.


Why would Muslim oil billionaires finance and develop controlling relationships with black college students? Well, like anyone else, they would do it for self-interest. And what would their self-interest be? We all know the top two answers to that question:

1. a Palestinian state and

2. the advancement of Islam in America. The idea then was to advance blacks who would facilitate these two goals to positions of power in the Federal government, preferably, of course, the  Presidency. And why would the Arabs target blacks in particular for this job? Well, for the same reason the early communists chose them as their vanguard for revolution (which literally means “change”) in America.

Allow me to quote Trotsky, in 1939: “The American Negroes, for centuries the most oppressed section of American society and the most discriminated against, are potentially the most revolutionary element of the population. They are designated by their historical past to be, under adequate leadership, the very vanguard of the proletarian revolution.”

Substitute the word “Islam” for the words “the proletarian revolution,” and you most clearly get the picture, as Islam is a revolutionary movement just like communism is. (Trivia: it is from this very quote that communist Van Jones takes his name. Van is short for vanguard. He was born “Anthony”). In addition, long before 1979, blacks had become the vanguard of the spread of Islam in America, especially in prisons.

Interestingly, in context with the fact that this article was written by her father-in-law, Valerie Jarrett has an unusual amount of influence over Obama (along with personal security that may be even better than his, another unusual and intriguing bit of business here). And equally interesting is that Obama, who may have been a beneficiary of this Muslim money, and may now be in this Muslim debt, has aggressively pursued both of the Muslim agendas I cited above. And, also equally interesting, is that Obama has paid a king’s ransom for court ordered seals of any such records of this potential financing of his college education, and perhaps, of other of his expenses.

Lastly, it’s very important to note that the main source for the article is Khalid Mansour, “the same lawyer who allegedly helped arrange for the entrance of Barack Obama into Harvard Law School in 1988.” (Valerie Jarrett, by the way, was born in Iran. The one country protected by Obama from the sweep of the Arab Spring.) Now all of this may seem sensational, but let’s face facts. What makes it most disturbing is that not only is it all logical, but it suddenly makes a lot of previously confusing things make perfect sense. – Pat Dollard

http://www.redflagnews.com/headlines/obama-vetting-1979



PROTESTANTS NO LONGER THE MAJORITY IN U.S.




Written by Jim Denison


interior of the first Baptist church in America, in Providence, Rhode Island from the back balcony (Credit: First Baptist Church Providence via Facebook)For the first time in our history, America does not have a Protestant majority.  The Pew Forum on Religion & Public Life has released a new study indicating that only 48 percent of adults in the U.S. are Protestants, the first time their numbers have fallen below 50 percent.

Is this because Catholics are growing or Protestants are declining?  Partially: Catholics were up 0.57 percent last year, while most Protestant denominations declined one to three percent.  And it is true that a growing number of Americans consider themselves nondenominational and thus do not count as Protestants.  But the real issue is the number of "nones"—those who say they have no religious commitment of any kind.  Their numbers have risen from 15 percent to 20 percent in the last five years; they constitute the fastest-growing religious demographic in America.

Two factors explain their growth.  First, fewer people who drop out of church are continuing to identify with their denomination.  It seems the stigma associated with not being part of a religious community has declined, making it easier for people to tell researchers that they're no longer religious.

Second, and far more significantly, the number of young adults who affiliate with a religion is at an all-time low.  While only nine percent of people 65 and older claim no religion, one-third of adults under 30 have no religious affiliation.  Researchers don't expect them to become more religious as they age, indicating that religious commitment in our nation will continue to decline in the years ahead.

This precipitous fall in church attendance among young people coincides with an unprecedented emphasis on "user-friendly" churches, contemporary music, and market-driven growth strategies.  We have more media-savvy ministers and churches than ever, but we're reaching fewer media-savvy Americans than ever.

A deeper problem is at work here.  For reasons that would take much longer than this essay to explain, our culture has bought the lie that truth is subjective and ethics are relative.  Today there's "your truth" and "my truth."  It's conventional wisdom that you can be spiritual but not religious, that denominational creeds and traditions are outdated and irrelevant.  The vast majority of Americans still say they believe in God, but for many, God is whatever they believe in.  (See an essay on postmodernism for an explanation of this phenomenon.)

To paraphrase Voltaire, God made us in his image, then we returned the favor.  What is the one true God doing to reach our post-Christian society?  He is raising up ministries, ours among them, which seek to demonstrate the relevance of his word by speaking biblical truth to contemporary issues.  He is using news such as the Pew report to warn his people that business as usual will not reach our culture.  And he is burdening more Christians to pray fervently for spiritual awakening in our nation.  Will you join us??
 
 

ACROSS AMERICA: STORE SHELVES EMPTYING AND LESSENING AVAILABILITY OF GOODS



ACROSS AMERICA: STORE SHELVES EMPTYING AND LESSENING AVAILABILITY OF GOODS



Posting the following email received this morning from a long time friend in Maryland.  The message is being confirmed by reports received across the nation.  You may want to read and compare her findings with what you are experiencing in your location.

Barry Soetoro's - bozo - or WHATEVER HIS REAL NAME IS - 'speech' concerning the state of the union was ANYthing BUT TRUTH.  All the continuing LIES about the economy, jobs, etc. are misleading Americans who are NOT in the know, who are NOT keeping up with the TRUE conditions being experienced throughout America.

**************************************************************************

ACROSS AMERICA: STORE SHELVES EMPTYING AND LESSENING AVAILABILITY OF GOODS

This morning I was at our local grocery store here Maryland.  We have five dogs, so I went down the dog food isle. At least half of the ALPO brand of canned dog food was selling for 50% off, as it is being "discontinued".

An employee asked if I needed help, so I asked why these were being discontinued?  She said the manufacturer is having a hard time finding the ingredients!!!

We have also noted that leather chews for dogs are becoming nearly impossible to find.  There were NONE at BJ's Club, Petco, - only two very expensive bags at Walmart.  Our grocery store had only one large box of dog treats!!! The other boxes were lined up to look like there were more of them than there really were.

I ordered the last two bottles of generic Benedryl capsules Amazon had, as we can no longer find them at our local stores. Medicare will now only pay for one test strip a day for diabetics, and three test strips a day for diabetics who are on insulin. The doctor's are being asked to jump through hoops even to get this many strips!! This is NOT enough to stay in good blood glucose control!  Also, for Medicare to pay for the test strips, a log has to be kept noting the person's blood glucose level, date of testing, etc., to be turned over to the government at their discretion. Big brother on steroids???

                                                        the ridiculous amount of chemtrail activity

 
Our area is bracing for an oncoming Alberta Clipper, to turn into a full blown "nor'easter" in a day or two.  We are used to this, but I will NEVER get used to the ridiculous amount of chemtrail activity going on as I speak! 

********************************************************************

8 Surprising Benefits Of Pink Himalayan Salt

8 Surprising Benefits Of Pink Himalayan Salt


Jan242015
 
Feb 13, 2014
One of the world’s most potent and powerful “hidden secrets”, pink Himalayan salt is pulled from the world’s most beautiful (and highest) now in range and has been prized for its healing and restorative powers ever since ancient times.
  • CLICK HERE to jump to the 1st benefit in the list.
In fact, it was so prized in ancient times that it was effectively used as a currency system – and even was worth more than its weight in gold thousands of years ago!
MOST Popular Posts In Here:
We are just now starting to rediscover the truly transformative power behind Himalayan salttoday, revealing what the ancients long understood as far as its impact on the human body is concerned.
Hopefully you’ll be able to use the information below to make a decision as to whether or not you should be purchasing this product of nature in the future!

What Exactly Is Himalayan Salt Anyways?

A natural and ridiculously pure mineral substance (the cleanest and purest form found anywhere in the world), pink & gathered from the Himalayan Mountains has been used for thousands and thousands of years as a natural medicine and therapeutic cure.
The ancients understood just how powerful and potent this mineral truly was, and knew – immediately – that it was far different from the typical salts that they were cultivating from mines or from the ocean.
Because it was originally sourced only from a handful of spots tucked away in the Himalayan mountain range, it became amazingly and immensely valuable – and continues to be valuable today. Used effectively as an all-natural remedy at a number of circumstances, there is a real reason why it’s power has spread by words for thousands of years.

Who Should Supplement Their Daily Intake With Pink Salt?

There are a tremendous amount of people that could benefit from supplementing their daily intake and dietary needs with a bit of pink salt. However, those that will be enjoying the best benefits are the ones that are looking to lead the healthiest lives possible.
Because of its unique composition, it’s able to provide those that are looking to optimize their health in any way possible with a number of major health advantages – ones that we are going to tackle below.

What Major Benefits Am I Going To Be Able To Enjoy?

There are almost too many major benefits that you are going to be able to enjoy when you decide to invest in and use this amazing product of nature on a regular basis, though we have compiled the eight most popular ones below.
Though this list is nowhere near complete or comprehensive, it should provide you with a “foundational education” as to why it is so prized, sought after, and valuable as a natural remedy!

1. It Will Provide Your Body With 84 Much Needed Minerals And Other Bio Compounds

photo credit: julajp
photo credit: julajp
As mentioned above, pink salt is widely regarded as the cleanest, purest, and most “mineral dense” version available on the planet.
Partly due to the fact that it is only found in the Himalayan mountain range and partly due to the fact that those who sell it do not “cut it” with lesser compounds.
Therefore you’re going to be able to enjoy an injection of 84 much needed minerals and other bio compounds directly into your bloodstream the moment that you supplement your ordinary white one with a pink solution.
[Also Read: Secrets of Skinny Fiber Exposed With Reviews, Ingredients And Results!!!]

2. It Has Been Used To Effectively Detoxify The Human Body

Salt and water have always played an vital role in our bodies, and they continue to play it on a daily basis for each and every one of us.
Water is of the utmost importance to detoxify the human body, but salt is the “vehicle” that allows you to transfer toxins from healthy cells to the bloodstream – then pushing them out of your systems.
Its pink version is an effective carrier, and has proven to be much more efficient than traditional ones.

3. Benefits Of Lowering Blood Pressure

What is more, it has been proven to help lower your pressure dramatically, while at the same time stimulate better circulation. Having the right amount of salt in your organism can aid you to increase your circulation while lowering blood pressure at the same time.
Because it is absorbed into your bloodstream much more efficiently and more effectively than regular, every day, run-of-the-mill salt, pink version can be used in small doses to help modulate your pressure and stimulate better all-around circulation.

4. Use It To Relax Your Muscle As Well As Your Mind

CLICK ........ https://www.youtube.com/watch?x-yt-ts=1421914688&v=Hr6Rfl7eIL8&x-yt-cl=84503534&feature=player_embedded




The Amazing Himalayan Salt Lamps & Super Healthy Himalayan Table Salt
If you have started to feel a little bit foggy or fatigued, the odds are stacked against you that you are dealing with a loss of electrolytes and salt in your body.
Because of its’s unique composition, its ability to be absorbed into the bloodstream is much more effective and efficient than with traditional salts – allowing you to restore and replenish your organism in a hurry.

5. Banish Sinus Issues And Respiratory Conditions

When mixed with hot water and dissolved, it can clear up sinus issues and improve any respiratory conditions you have been dealing with (including asthma).
[Make Sure To Read: The Beginner’s Guide To The Leptin Diet]
Because these pink crystals emit negative ions, you’ll be able to attack your sinus issues with full force – without ever compromising your respiratory system (or any of your other bodily systems, for that matter).

6. It Can Dramatically Improve The Condition Of Your Sleep

When your mind is at ease and your muscles are relaxed, your sleep is going to become healthier and more regular.
By supplementing with pink salt, you’re not only going to be improving the condition of your body and mind, but you’re also going to be giving yourself everything you need to replenish and restore overnight.

7. Balancing Out Your Body’s Acidity And Alkaline Levels

CLICK...... https://www.youtube.com/watch?v=ecxVzBJzUCs&x-yt-cl=84503534&x-yt-ts=1421914688&feature=player_embedded



Himalayan Salt Bath
If you are looking to promote a true balance between your acidity and alkaline levels in your organism, preparing a pink salt bath (about 2 pounds of this mineral in a single warm bath should do the trick) is the way to go.
The ancients used this approach to detoxify and renew themselves on an almost weekly basis, and you can too!

8. It Heals Your Arteries

This compound can help you to eliminate all damage to your arteries, damage that can lead to the creation of varicose veins or “spider veins”.
As mentioned above, this natural product is tremendously effective at clearing up your arteries and improving blood circulation across the board – which will eliminate the potential for varicose or “spider veins” from ever popping up in the first place.

Final Thoughts

Those that are smart and savvy about all-natural remedies rant and rave about pink Himalayan salt, and for good reason.
It’s relatively inexpensive today, and may be one of the best decisions you end up making excavation point

Further Resources

Source:  http://skinnywithfiber.org/8-surprising-benefits-of-pink-himalayan-salt/#List

Paul Craig Roberts – The Whole World Is Staring Down The Barrel Of A Gun As Global Collapse Looms

Paul Craig Roberts – The Whole World Is Staring Down The Barrel Of A Gun As Global Collapse Looms



Paul Craig Roberts – The Whole World Is Staring Down The Barrel Of A Gun As Global Collapse Looms

In the aftermath of last week's black swan announcement by the Swiss and on the heels of the ECB's announcement that they are going to inject $1.3 trillion of stimulus into Europe's beleaguered banking system and bond market, today former U.S. Treasury official, Dr. Paul Craig Roberts, warned King World News that the whole world is staring at the barrel of a gun as global collapse looms.
Eric King:  “The ECB just made the announcement that they are planning to inject $1.3 trillion in stimulus into the European banking system and bond markets.  What is this really all about?”
Dr. Paul Craig Roberts:  “Eric, we now have the yen being printed in vast quantities.  The Fed has supposedly stopped printing the U.S. dollar but it really hasn’t because during the period of quantitative easing the banks received $2.6 trillion.  All that money is available and will continue to be used to buy bonds.  Of course the Fed itself has $4.5 trillion on its balance sheet and as it receives interest payments it will also continue to buy bonds.
So you have quantitative easing in Japan, in the United States, and now we have it once again in Europe.  So the three large currencies — yen, dollar, and euro — are being created at an alarming rate….
Continue reading the Dr. Paul Craig Roberts interview below…

Advertisement
To hear what billionaire Eric Sprott & Rick Rule are doing with their own
money and which $7 billion company John Embry &
Dr. Marc Faber oversee
 click on the logo:
Sprott_Asset_Management_LP

“The effect of this  is that it forces other countries to print money so that their own currencies don’t soar in value relative to the yen, dollar, and euro, which would undermine their export markets and economies.  One country has already broken ranks from these insane policies.  The Swiss realized that they could not possibly keep the peg intact, so they abandoned that last week in the announcement that shocked the world.
King World News - Roberts 1:22:2015
Whole World Staring Down The Barrel Of A Gun
So we have a situation where the United States, the EU, and Japan have the whole world staring down the barrel of a gun.  They are forcing inflation on the entire world.  You have to ask yourself:  Why do the United States, Japan, and the EU have a right to do this and who benefits?  Well, the answer is that the elite benefit from this policy.  This a way of further enriching a tiny amount of people at the expense of everybody else in the world.  This is all about enriching the elite.  That’s all this is about, and the rest of the population in the world is paying for it.”
Terrifying Warning
Eric King:  “Today Egon von Greyerz, the man who predicted collapse of the euro against the Swiss franc just 52 days ago, made the frightening prediction of total global collapse.  Greyerz said that all of the central banks are bankrupt and that’s why the world’s financial system will not survive and a total global collapse is in front of us — your thoughts on this ominous warning from Greyerz.”
Dr. Roberts:  “He is right that we are facing a global collapse.  Central banks have paid 100 cents on the dollar for assets that may not even be worth one cent on the dollar.  What’s also driving the world to economic collapse is the fact that the central banks are recklessly printing unprecedented amounts of fiat money to keep their global Ponzi scheme going.
Horrific Situation
So you have these unprecedented amounts of fiat paper money hanging over the global economy.  This vast amount of paper money has not been matched by real economic production.  It’s the implication of that horrific circumstance that will also cause the global collapse.  
What would it have meant if Switzerland had continued to hold the currency peg?  It would have meant the Swiss would have ended up with a much larger money supply then the entire annual Gross National Product of Switzerland.  The implications of that are hard to fathom.  It would have meant that there were more Swiss francs in existence than could be used to buy up all the annual goods and service produced by Switzerland.
Mega-Catastrophe To Destroy Average Citizen
And there is a complicity by the elite who are caught up in this unprecedented global money printing scheme.  They are all caught up in the corruption.  But at some point people will realize this is worse than a Ponzi scheme.  They will realize this insane policy has the world headed for collapse.
All of this corruption is overwhelming to sensible people.  So the central banks are only serving the interests of the elite and that is where the collapse will come from.  There is no connection between the monetary policy in the United States, Europe, and Japan, and the people.  In fact, the elite have the entire world headed for a mega-catastrophe that is sure to financially destroy the average person and send the world into total chaos.” ***ALSO JUST RELEASED: Man Who Predicted Collapse Of Euro Against Swiss Franc Makes Second Terrifying Prediction CLICK HERE.

CDC's Own Data: Vaccine-Infant Death Link


Friday, January 23rd 2015 at 1:45 pm
Written By:
Sayer Ji, Founder
The CDC's own research has found that the long denied vaccine-SIDS link is real.
If you believe the official pronouncements of top governmental health agencies like the CDC and FDA, all the vaccines in the present day schedule are a priori safe and effective.
Not only are you told that they can't harm you, but that not taking them can kill you.
Parents are under even more pressure. They are told that refraining from vaccinating their infants or children will greatly increase their risk of dying or being disabled. Worse, they are increasingly labeled as 'crazy' and 'irresponsible' anti-vaccine zealots who are putting the lives of others in danger.
But what happens when the actual evidence from the scientific and clinical literature produced by these very agencies contradicts their own vaccine policies?
This is exactly what has happened with the publication of a new study in the Journal of Pediatrics titled ,"Adverse Events following Haemophilus influenzae Type b Vaccines in the Vaccine Adverse Event ReportingSystem, 1990-2013," wherein CDC and FDA researchers identify 749 deaths linked to the administration of the Hib vaccine, 51% of which were sudden infant death linked to the administration of Hib vaccine.
The CDC has boldly denied that there is any evidence supporting a causal link between vaccines and infant death, despite the fact that their own webpage on the topic acknowledges that "From 2 to 4 months old, babies begin their primary course of vaccinations. This is also the peak age for sudden infant death syndrome (SIDS)." Written off as coincidence, the CDC suggests that stomach sleeping is the primary modifiable risk factor.
SNIP READ MORE

How the UN Is Confiscating American Homes and Controlling All Food and Energy

In times of crises, the government has proven, time and time again, that it cannot be counted on to adequately protect the American people. As the American people have not prepared for the coming dark days, they will be vulnerable to starvation, dehydration, cholera, pandemics and attacks from resource-deficient looters. Will the government be there to save them? History has already answered this question in the negative. Events such as Hurricane Katrina, Hurricane Sandy, L.A. Riots, and the Ferguson riots have repeatedly demonstrated that when trouble comes, the American people will be on their own. 
 Read more at http://freedomoutpost.com/2015/01/un-confiscating-american-homes-controlling-food-energy/#0XOcQQFjchjAYQa5.99

admiralty law, common law and the sovereign

VIDEO: Christians Bloodied by Stone-Throwing Muslims… In Michigan

http://conservativetribune.com/christians-stoned-by-muslims-in-america/?utm_source=feedblitz&utm_medium=FeedBlitzEmail&utm_content=936184&utm_campaign=0

The Natural Law as a Restraint Against Tyranny | Judge Andrew P. Napolitano......

The Natural Law as a Restraint Against Tyranny | Judge Andrew P. Napolitano......


Jan242015
   


CLICK..... https://www.youtube.com/watch?x-yt-cl=84503534&v=dZalFNXzNVc&x-yt-ts=1421914688&feature=player_embedded


FinanceAndLiberty.com
Published on Jan 23, 2015
Recorded at the Mises Circle in Costa Mesa, California, 8 November 2014. This seminar examines the institutions of a stateless society and explore topics such as private defense, private police, privately produced money, the role of markets, and how stateless legal systems would work.
—————————————-­­—————————————­-­————————-­————­————-­—–
SUBSCRIBE (It’s FREE!) to “Finance and Liberty” for more ►http://bit.ly/Subscription-Link

As Euro Slides, Strategists Cut Forecasts


Some Investors See Single Currency Falling to Parity With U.S. Dollar

Rip up your euro forecasts.
A day after the European Central Bank unveiled its bond-buying program, the single currency still was in free fall, blowing past analysts’ expectations for how low the euro can go.
Some investors now say the euro could fall to the point where it is on equal footing with the U.S. dollar for the first time since it climbed above the buck in late 2002.
“If you would have asked me a few months ago, I would’ve said that parity could be in the cards in the years ahead. Now, we can’t rule it out anymore even by the end of this year,” said Thomas Kressin, head of European foreign exchange at Pacific Investment Management Co., or Pimco, which has $1.68 trillion under management.
Late Friday in New York, the euro fell 1.4% against the dollar, to $1.1206, on top of a 2.1% slide the day before. It is now down 7.4% against the dollar since the turn of the year and is at its lowest point in more than 11 years.
Morgan Stanley cut its estimate of where the euro will end 2015 to $1.05 from $1.12 previously. Bank of America Merrill Lynch sees the euro now falling to $1.10 by the end of the year, from $1.20 in an earlier forecast, while HSBC Holdings PLC analysts cut their year-end expectation to $1.09 from $1.15.
The downgrades have echoed Wall Street’s failure to predict outsize pullbacks over the past year in global government-bond yields and oil prices. Those declines have increased investor unease over the risks facing the global economy.
Advertisement
Under the bond-buying program, known as quantitative easing, central banks create new bank reserves to buy assets from financial institutions. Central banks get bonds, and banks get money that they can in turn use to extend new credit to households and businesses. Such expansionary monetary policies usually weaken a country’s currency in part because lower interest rates make a currency less attractive to hold. In turn, a weaker currency makes exported goods more competitive overseas, which could benefit Germany’s export-driven economy.
A day after the ECB’s move, European stocks and bond prices soared. The Stoxx Europe 600 climbed to a seven-year high, ending the session up 1.7%. Germany’s DAX index rose 2.1% to another record, while the U.K.’s FTSE 100 gained 0.5% and France’s CAC-40 advanced 1.9%. Government bond prices from Spain, Italy, Portugal, Germany and elsewhere hit records, pushing yields lower.
The euro has held to a relatively lofty level in recent years, peaking at $1.60 in 2008 and trading close to $1.40 as recently as last May, in part because the ECB arrived late to the world of quantitative easing. The Federal Reserve, Bank of Japan and the Bank of England, meanwhile, have implemented stimulus efforts. The ECB’s bond-buying plan—to the tune of €60 billion ($68 billion) a month until at least September 2016—combined with record-low interest rates is meant to spur growth and stoke inflation.
“The ECB has effectively said this will go on until we see a significant adjustment in the path of inflation. That tells us [quantitative easing] is going to be with us for quite some time,” said Nick Gartside, chief investment officer for fixed income at J.P. Morgan Asset Management, which oversees $1.7 trillion of assets.
The flood of easy money and the fact that some central banks are charging banks to hold overnight deposits “will make sure capital continues to be pushed out of the euro area,” said Pimco’s Mr. Kressin, who is betting the euro will continue to weaken against the dollar. This combination means the euro “is a hot potato that everyone tries to get rid of,” he said.
The ECB’s asset-purchase program aligns the eurozone’s monetary policy more closely with Japan’s against that of the U.S. In October, the Fed closed down its large-scale asset-purchase program and is moving closer toward raising interest rates. Many Fed officials have signaled they expect to stick broadly to their plan to start lifting their benchmark short-term rate from near zero around the middle of the year.
Investors predict the euro will fall faster against the greenback than the yen in the near term because it has more pressing factors driving it lower.
“The euro area stands to be a winner of the currency wars in 2015,” said Jonathan Baltora, inflation-linked bonds fund manager at AXA Investment Management, which oversees €607 billion of assets, referring to the possibility that a weaker currency would make European goods cheaper than those produced in Japan and elsewhere.


U.S. Bank Wealth Management, which manages $126 billion, said the falling euro is causing eurozone sovereign bonds to lose their allure. U.S. Bank has positions in almost all eurozone sovereign bonds. But the low yields and dim prospects for the euro have the asset manager considering reducing them, particularly in German bunds, said Jennifer Vail, its head of fixed-income research.
“We have projections for the currency and balance them with projections for the debt,” Ms. Vail said. “Add a weak euro, and it’s not attractive a bet at all…the market needs to get its head around the implications [of the ECB’s move]. The euro definitely has more room to fall.”
AllianceBernstein LP, which manages $473 billion, added to its bearish euro currency bets one week ago in expectation of a bold move by ECB President Mario Draghi at the central bank’s meeting this past Thursday, said Scott DiMaggio, director of global fixed-income investments. The move surpassed the asset manager’s expectations.
“Capital will continue to leave the euro area,” Mr. DiMaggio said. “We think there will continue to be pressure on the euro. They haven’t even started to buy the assets yet.” For now, though, AllianceBernstein is holding its positions steady.
Write to Tommy Stubbington at tommy.stubbington@wsj.com


 

Why Won’t Walmart’s Ice Cream Sandwiches Melt?

Earlier this summer, a woman in Cincinnati noticed that her son’s Walmart-brand ice cream sandwich didn’t melt when he accidentally left it outside for 12 hours, in 80-degree F weather.
Understandably surprised by the seemingly unmeltable ice cream sandwich, she tried the “experiment” again, with the same result. While other brands melted completely, the Walmart ice cream remained eerily intact. She then called a local news station, who conducted a test of its own, which you can watch in the video above