Okay everybody, here we go. It’s me, Gregory Mannarino, Monday, July 8th, 2024 pre-market report. Here we go, people. All kinds of stuff to talk about as usual. Let’s start off with this. There is a lot of fact, an incredible amount of information that’s always hidden in plain sight. And you know that if you follow this blog. I want to start off actually with something that’s just so in our face right now. And we’ll shed a little light on what I have been and what we have discussed here, you and me, for a very very long time.

These distortions that exist in the market. The deep chasm of fraud that exists across actually everything right now. The environment we all live in is unlike anything we’ve ever seen before. Now before we get really into all that, I want to show you something that, again, you’re not going to hear about on the mainstream media. No one’s going to tell you this stuff. But again, it’s one of those things that’s hidden in plain sight. So currently, the S&P 500, which has hit record high, record high, record high, just as you and I had said it would do for quite a long time.

And we are not done by a long shot here. The current multiples that the stock market is trading on are pretty staggering. So let’s talk about this. With regard to the S&P 500, I don’t know if you can see that. Let me just read this to you. The current S&P 500 PE ratio is 28.93. Okay, what does this number actually mean? Well, nothing unless you understand what the average is. The average PE ratio, this is crazy, for the S&P 500 is 16, 16.07. And right now we’re trading at 28.93. We’re nearing, we’re in very dangerous waters right now.

What does this tell us, again, that the market is distorted? There is no price discovery today, not just with regard to the stock market. There is today, I’m going to repeat myself, and I want you to hear, not just listen. I want you to hear what I’m saying, okay? Today, there is not one single asset that has a real price discovery mechanism behind it. It’s all being propped up on oceans, oceans of debt. Now let me show you something else in case you’re not aware. So this is a headline here from MarketWatch. U.S. economy and job market are showing cracks.

Fed rate cuts are not far off. First of all, the Fed is already cutting rates. The Fed is buying the debt in mass, and that is, of course, pushing the entire yield curve down, opening up that doorway for cash to make its way into the stock market. Record high, record high, record high, record high, record high, but there’s something else going on behind here. Not only are debts and deficits ballooning at a pace we’ve never seen before. Global debt ballooning at a pace that we’ve never seen before. This is the Federal Reserve money supply just from February of this year.

Do you notice a trend here? The Federal Reserve is ballooning the money supply in the face of an economy that, even via the mainstream media, has a lot of problems. Look, this should make sense to you, and I’m going to repeat myself. In times where an economy is booming, we do not have that. We have an economy that is slowing at its fastest pace on record in history ever, not just here in the United States. This is a global phenomenon, and who’s responsible for this? Central Banks. So in times of a booming economy, you would expect that any central bank would have to increase the money supply to keep up with the demand.

So what we have here, think about what I’m going to say, is an economy that is contracting very, very rapidly, and it’s accelerating. Meanwhile, the Fed, since February of this year, is ballooning the money supply. Why? It’s multiple fold here. Number one, possibly, is the currency, all of it. These are units of debt. The more debt a central bank can issue, the stronger they become. You all know that. The Fed is buying all the debt right now. We’re seeing bond yields drop. We’re seeing the stock market hit record highs. There’s more to it than that. So if we understand that the currency itself is being deliberately devalued by central banks, central banks have to create more currency to make up the difference because it takes more dollars, in this case, to buy anything.

So this mechanism here is obviously insanely inflationary. With regard to what’s happening here with the Federal Reserve and other central banks buying debt, think about how that works as well. We’ve covered it a million times, but think about it. Central banks, to keep rates at XYZ, wherever they want to keep, rates. They have to get into the market and make it happen. They’re not magical. They have to create debt out of thin air in the form of currency, and they have to buy the debt. It’s a revolving door, massively inflationary. But meanwhile, we, the people, are being told, especially here in the United States, that the Fed is in the fight of their lives.

They’re fighting inflation because remember it was temporary and it was transitory? Never happened, obviously, and we laughed at that right from the get-go. So what central banks are doing here, and again, none more so than the Fed, is creating epic sums of debt out of nothing. Right now, ballooning the money supply, which is obviously massively inflationary. It should be a no-brainer. This is economics 101. All of these extra bills are chasing the same, in this case, a lesser amount of goods creating more inflation. Why is it, in your opinion, that none of our so-called loving, caring representatives, no one running for president, is telling you the truth here? See, it’s all a deception.

You have to understand. When you have someone running for president, and they’re not talking about the bigger picture, but they’re pointing at one specific thing, whatever that one thing may be, let’s say immigration or illegal immigration, they want you to focus on that and nothing else. They want your blood to boil over that one thing they want you to focus on, so you don’t pay attention to something like this. You understand? It should be very obvious to you. It’s a game of deception. It’s politics. Not politics. It’s politics. And that’s what’s going on here as well.

Stuff like this will not make it into the minds of the average guy or the average girl, because they’re being told where to look. They’re being told who to hate. They’re being told who to blame. Meanwhile, obviously, this is the central banks who are responsible for the economy, the markets, the financial system, the entire monetary system that’s coming apart. And don’t take my word for it. I mean, even MarketWatch Front Page is telling you this. But it should be very obvious. Now, I want to bring something else to your attention. This is the MMRI, the Manarito Market Risk Indicator.

Again, free to everybody who has even one functioning brain cell enough to use it. Link in the description of this video is free. You notice this trend that’s going lower here. This is the Fed buying debt. This is the currency getting weaker. As the Fed’s ballooning the money supply, you can see what’s going on here. Weaker dollar. Again, the MMRI is a very simple mechanism to understand. It uses the US 10-year yield, which is the benchmark, uses the US dollar or the Dixie, and then puts it into a neat little equation using the golden ratio to come up with a number.

And here you go. This is where we’re at. So I just want you to see this because it’s in your face. And as long as this mechanism continues, we’re going to buy the dips across the board. Not just this distorted stock market, which is now trading at nearly two times its normal mean. I mean, look at these numbers here. We’ll be on now, okay, at the top, and then there’s the median and mean. You see what we’re talking about here? This tells you, again, exactly what you and I have been talking about, the distortions, the mechanism here.

And all this is going to end in a nightmare scenario. We all know that. But for now, we’re taking advantage of it because this is not going to stop. At least up until the presidential selection, more than likely even after that. Because all we’re hearing is about a weaker dollar, currency devaluation, and allowing the Fed to produce even more debt. And unfortunately, people aren’t catching on to what’s going on here. They’re being systematically destroyed, and they’re cheering about it. You can’t make this stuff up, but that’s the truth, unfortunately. People have no idea what’s going on.

This is how they can be duped and lied to and deceived and distracted. Let us move forward here. This is another headline from MarketWatch with a go to the market. Wall Street is feeling better than normal about earnings. Earnings don’t matter anymore, okay? When you have a situation here where the Fed, in this case, is ballooning the money supply, where the Fed is buying all the debt, keeping rates suppressed, earnings, PE ratios, forward guidance, it’s all nonsensical. It doesn’t mean anything, okay? It’s all about easy money. And what did I write here? Oh, yeah, okay, it just makes sense.

So what this is going to do, what this is going to do, okay? Is just increase the multiples on which the S&P 500, again, the broader market, is trading. And what does that mean? Even more distortions across, well, the spectrum of asset classes, but more specifically, the stock market here. And then, of course, what does that mean? When you have a mechanism where cash is being pumped into the system here, you would expect to see commodities, which are priced in dollars, take off, but no. In this kind of environment, you’re more than likely going to see suppression of price with regard to price action, with regard to commodities and cryptocurrencies as well, as cash is forced into the stock market creating a mega bubble.

We’re already at a mega bubble, trading at two times, the S&P 500, two times. It’s mean with regard to its PE ratio. You can’t make this stuff up, but that’s where we’re at right now. But again, look, understanding all of this stuff gives us enormous power. It allows us to understand what we need to do, continue to bet against the debt, become our own central bank, buy everything across the board until, again, look, we don’t have to guess. And there’s so many people that, again, don’t know how to turn their fear into action. Until this trend stops, this is the MMRI, again, free to you, link below, this downward trend.

As long as this goes on, the more the distortions are going to get worse in the market and the more opportunity there is, not just to buy the market on the dips, but to buy assets like commodities that massively, massively suppress prices and even cryptocurrencies too as well. Again, you know my take on all this. The environment of risk, the risk on environment, meaning cash being pushed into the stock market presents opportunities on a grand scale. With regard to commodities across the board, which you need exposure to, like I can’t tell you, especially silver, gold, platinum, palladium, you know all that, crude oil, and of course, crypto as well.

There’s going to be a moment where this just flips. You understand? Where it flips, risk on, cash being forced into the market turns risk off, cash seeking other places to go again. Cash doesn’t fly away to money heaven, doesn’t grow little cute little money wings and just fly away. No, it just moves from one set of assets into another. Very, very understandable. I think we’re on the same page here. I hope so. So what we have, people, is a fraudulent system across the spectrum, which is only going to get even worse. The deceptions, the look here, the look there, all the talk about more currency devaluation, and it’s happening right before our eyeballs, and no one’s calling it out.

Why is it, in your opinion, that we don’t have a presidential candidate that’s calling this out right now? That’s explaining to people that this needs to stop, but we are hearing about more currency devaluation. Oh, the dollar is too strong. Oh, the Fed’s, you know, we got to cut rates more, which is going to happen anyway. It’s all being set up. If you think that anything happening right now is by accident, it’s not. It’s all deliberate, and whoever they select as the next president should literally have trader tattooed across their forehead, whoever it is. I think we already know who it’s going to be.

It’s pretty obvious. There’s just no doubt about it, because this mechanism is not going to stop. It’s going to empower the central banks, none more so than the Fed, and suck it right out of you. Let’s move on to one last thing. I ran a poll yesterday. This is 4,500 people who responded to this. Let me read this to you. In your opinion, do central banks have your best interest in mind? Five percent of you said yes. Central banks are looking out for me. Five percent of the people here are insane. Ninety-five percent of you said no.

Central banks do not have my best interest in mind. Central banks are the enemy of the world. Public enemy number one, they have a mission to destroy you. Of course, the one in two percenters are loving this, but if you’re a member of the middle class, you have a tattoo on your face. It’s been tattooed on. Very hard to get off. Nearly impossible. And central banks are coming after you, not just for what you have or what you think you have, but they’re coming after your very life. That’s the truth, just in case you don’t know.

But again, pay attention to the propaganda and the lies and the distractions and the deceptions here, and believe that there’s going to be some kind of utopian society created after this presidential selection. It’s only going to get much worse. And I mean so much worse, people. Anyway, I hope you get what’s going on. So let’s just sum this up. We have an S&P 500 trading at two times its mean with regard to its P-E ratio. These distortions are going to get much worse, in my opinion, before they get better, because the Fed’s pumping the system with more debt.

And that mechanism alone is going to prop up the stock market until it doesn’t. And again, having such a tool as the MMRI, when we see this trend stop and reverse and go higher, that is a very bad sign. But now that we have this, we know exactly what we have to do. There’s no guesswork. Again, I created this tool for myself, so I can utilize this to put myself in a better spot. But now this is free to everybody. And if you’re not taking advantage of this, again, it’s free. Free. There’s no signups. There’s no anything.

There’s a link below. You’re not taking advantage of this and understanding the dynamics behind this. You’re missing out on the whole lot. We will continue to buy the dips until this changes. And then at that point, we’re going to be the first people out the door. You know, be first, be smarter, or cheat. We don’t cheat you and me. We don’t need to cheat. You understand? We’re too smart. Period. So we’re smarter, and we’re going to be out first before anybody else in this market. And we have our safety net. Gold, silver, platinum, palladium, crude oil, and yes, crypto currencies.

So again, let them play their games. Because we are way smarter than they are. All right, people, look, that’s going to be it for this morning. I hope you got something out of this video, and I want to hear from you. Make sense to you what I’m saying here? Hey, Greg, you know what? You’re on target, or Greg, you’re way off. If you think I’m way off, look, I’m not too old to learn a new trick. Explain to me where I got it wrong. And if you’re on my side so far, you think I got it right? Hey, Greg, you got it right because of XYZ.

All right, look, I want to hear from you. I love all of you from the heart. We’re a family here. When we got each other’s backs, always. And this guy will never, ever let you down. It’s just never going to happen. You understand? All right, so I will see all of you later. 4.05 p.m. Eastern for the live stream. I really hope to see you there. And I have some questions ready for me as well. All right, I will see you later. Until we see each other again, what am I going to tell you? Take care of yourselves and, of course, each other.

All right, that’s it. [tr:trw].

See more of Gregory Mannarino on their Public Channel and the MPN Gregory Mannarino channel.