This Is Not Good (Jamie Dimon Knows Whats Coming) | The Economic Ninja
Summary
Transcript
Good. And Jamie Dimon knows better than anyone how bad the situation really is. In 13 days, the bank lifeline that has been put in place for the last four years by the Federal Reserve is being pulled. Not only that, they’re going to have to start keeping reserves in their bank for the first time in four years. Jamie Dimond is one of the smartest bank ceos in the world.
And the reason why is because he runs one of the largest banks in the world. He’s preparing by selling some of his stock for the first time ever. The question is, are you preparing? What are you doing to get ready for this event? Now, is anything going to happen big on the day of March 15 or March 11? No, it signifies the first day that these banks are going to have to do business not as usual.
Even though in the last year we have seen one of the greatest banking crisis in our country’s history. Even after it was papered over and hidden by the mainstream press, the FDIC also tried to hide it. Yet it caused the FDIC to become insolvent by July. This is not a joke. What’s coming, and what I want you to do is to be prepared and to see these time points and as they happen, like so many of these time points in the past when I started talking about inflation will start in August of 2021, how the lumber price would come down because of food prices and energy prices going up.
I want you to use these time points to get you fired up and confirm what you know in your gut. But you can’t put it together in your mind. Then you go out and you crush it by getting ready, getting prepared for this crash. Elites and wealthy people are getting ready for this, but the common man and woman don’t see it coming, and we intend to change that.
There’s a story out of fortune that I want to go over with you because I think it’s very important. It’s very poignant for today, as we see the stock market at all time highs, I want you to think about what Jamie Dimon is telling you, because secretly what he’s telling you is to get ready, get out, be prepared, because after all this happens, he will be known as the guy that knew it all.
He was the one that was not causing pain, but at the same time warning you to be prepared. Here we go. This is out of fortune. It’s entitled. Before any crash, it felt great, and it does feel pretty great for so many people right now with the stock market being at all time highs, crypto just crushing it right now. It feels good, says Jamie. Dimon isn’t sold on the good news coming out of the US economy, saying it may prove a precursor of a recession.
And I want you to understand, a recession sometimes can be very mild, and other times it can be great. Yet even the great recession of 2008, many people have put it out of their minds. Why? Because they’ve already went through bankruptcy, they already lost their home, they lost their job, and then they found a new home, they found a new job, and everything’s great. Everything’s awesome. But since 2008, we have less freedom in our life because there’s more laws, especially after 911, and we have less money in our pocket.
Even though people may feel rich, everything costs more. They have income and their debt levels are at all time highs. The public does not understand market cycles and the timing of such. Yet people like Warren Buffett do. That’s why Berkshire Hathaway is sitting on the largest cash hoard of its entire lifetime lifespan ever. Why they did this in 2006 to 2008 as well. But it’s larger this time because this crash is larger.
People don’t understand that. How many of you understand that? Says here J. P. Morgan Chase CEO Jamie Dimon is rarely among the most optimistic voices on Wall street. And despite the rosy data coming out of the american economy, he’s not convinced. Well, I’ll tell you right now, I’m absolutely not convinced. I think the government is working overtime to deceive us and confuse us by changing numbers, having you look over here when there’s something really bad over there.
Matter of fact, in the last four years, we’ve all learned of a lot of dark secrets that the government has been up to. And it’s good because you can’t expose darkness unless it’s right out there in the mainstream, says here analysts have been buoyed by better than expected labor reports. The resilience of, and let me stop and say it’s because the government is now calling a part time job a job.
How many people watching this video are working two or more jobs right now to make ends meet? I’d love to hear your comments. And the reason why is because it’s important for others to look and go, what is going on? It doesn’t feel right. It doesn’t feel right. All of our gut feelings are going off like the alarms inside. But how many people are actually doing something about it? It says here the resilience of the consumer and hints by federal chairman Jerome Powell that rates may begin this year.
Those are not hints. That is a bluff. This may suggest a Goldilocks scenario, some economists believe, where the data is neither too hot to lead, too rampant inflation, nor too cold to grind corporate profits to a halt. While some bearish voices have been forced to admit they were too negative, diamond isn’t satisfied by bullish arguments that the market will sail through the next few years without a hitch.
Already, the top paid banking boss has sounded the alarm on the level of government debt, agreeing it’s the most predictable crisis currently facing the US economy. This eventually is some way off, diamond told the bipartisan Policy center last month, but this week suggested there may be other bumps in the road in the shorter term. At JPMorgan’s high yield and leveraged finance conference in Miami this week, diamond said 2024 has been so far so good, chatter increasing and confidence continuing to grow.
But markets change their mind pretty quickly, diamond told CNBC’s fast money halftime report. He added, remember in 1972 you felt great too. And before any crash you felt great. Then things changed. It’s very interesting that he brings up 1972 because to my students in my was it the bear market course? I go over the four times the Federal Reserve raised rates and then they did a quick short bluff.
As a matter of fact, I think it’s actually in that course. That lesson is in how to prepare for the real estate crash, which I think we may bring back a sale, just so you guys know. But my point being is four times in 1972 was the first time it started. Federal Reserve ran rates up and then they said everything’s good and they’re going to back down and they backed down a certain percentage and then they shot it to the moon because it wasn’t good.
The data was wrong and it’s happened four times since 1972. And the percentage of it rising and the percentage of drop and then the percentage of rise are all the exact same. I get way more technical in those classes because obviously people are paying me for them. But it’s very important to know these time points, these cycles. Very important. But it says here. But markets change their mind pretty quickly.
Indeed. Although the 1970s began with some positive stories about growing employment levels and fiscal stimulus, it swiftly gave way to rampant inflation, a recession and interest rates being hiked to more than 16% by 1981. Now, I have been on record ever since this channel started saying that what we are about to experience is the late 70s inflation boom and bust cycle. And Jamie Dimon, talking to very, very successful bankers, is citing the exact same that I’ve been saying almost for four years now.
And it is playing out perfectly. See, I don’t have to have a crystal ball to be able to see into the future. I just need to be able to look into the past and look at the different cycles and see what happened now. Ironically, this 100 year cycle is following perfectly what happened in 1918, when the spanish flu started and started the depression of 1920, a small depression, but it led to rampant money, growth in spending, and then that turned into the crash of 29 and the Great Depression.
We’re inside of that bigger wave. But what’s really important for people to understand right now is that that wave is going to repeat itself. Okay? Now he says, you’ve got to look ahead, continued diamond, who paid a record 36 million for his work in 2023. I do think there are things out there which are kind of we’ve got an eye on the Wall street titan has been open about which factors he thinks may prove a surprise.
Inflation being stickier than expected. What he’s telling you right around, what, 2. 93. 1%? It’s not going down to that 2%. The Federal Reserve will be forced to raise rates. And when they do, please understand this, when they raise those rates, it’s going to shock the nation and it’s going to put them into a downward word spiral because commercial mortgage backed securities are going to get even worse.
Mortgage backed securities are going to get bad because people are going to stop buying homes. That’s why I’ve been preparing you for this next real estate crisis, to grow true wealth as you dive into real estate. Look, I don’t want to go too long, and I thank everyone for watching these videos and supporting this channel. You’re such a blessing to me, but I want this to be a blessing to you.
And being prepared and not scared is where we need, need our middle class to be during this next cris. The only question is, are you going to be one of those people? Are you going to be the ones in a safe space with a chalk circle freaking out? I hope you choose the first one. The economic ninja is out. .
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