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Business/Finance See other Business/Finance Articles Title: Move Over Monopoly What’s this? Have Jim Rickards and our daily reckonings inspired a board game… in England? Allow us to backup, for just a second. By now, you’ve seen the image in these reckonings... Warning The warning comes via our own Jim Rickards, who wrote two best selling books on the coming monetary collapse. You can read his entire warning, and his supporting evidence, right here. It seems, in fact, that English board game makers have done much... Market Meltdown Boardgame The game is called Market Meltdown… and apparently it’s a hit with an area of England that’s home to bankers and hedge fund managers. “[P]layers start rich” explains a game description in the Guardian, “and try to stay solvent in the face of defaults, spiralling debts and bonus caps. “Flying private jets round the board, they bet on the stock market (represented by a roulette wheel), and can “go rogue” by borrowing up to £1bn to cover losses should their trades go awry. Players can be fined for market manipulation or wiped out when the price of oil plummets.” Apparently each time you circle the board, the interest rate goes up. Though, you can land on a square and draw a card that triggers quantitative easing from the central bank, making the board awash in cash. “That’s a move expected from the European Central Bank in 2015” the article adds as if surprised, saying the “the game has uncanny similarities with the recent travails of real-life investment banks” Yeah. Or… the recent travails of real-life investment banks have uncanny similarities with a board game. A perfect segue to bring us around to this week... “Noisy and sudden”. That’s how Jim Grant described the surprise Swiss National Bank announcement on Thursday. Or, that’s how he described what happens when central bankers stop manipulating markets. Either way we agree. Markets are more powerful than central banks -- even the Fed, as you’ll see if you stay tuned to these reckonings long enough. For a currency peg to work, central banks have to keep their promises. But for a central bank to work, central banks need to break their promises. Ergo, currency pegs don’t work. England taught this lesson to world in 1992. Maybe that’s why they make board games about it. They abandoned their peg under something called the “European Exchange Rate Mechanism”. Soon after, the pound sterling went reeling. Investor George Soros made $1 billion shorting it. Not too shabby... If you have no idea what we’re talking about, don’t worry. But please do pay attention. Robert Wenzel, of the Economy Policy Journal, wrote an informative article about Swiss franc’s action this week. He not only explains what happened in Switzerland but leans forward to explain the impact it might have throughout 2015. We’ve republished it for you below. If you asked us to summarize the whole essay in one word, we’d say: “bloodbath”. Or, if you permitted us to use two words, we’d say: “Market Meltdown”, if only to share Rickards’ letter with you one more time. Check it out if you haven’t. And if you have, get your fill of Bill Bonner… Addison Wiggin… Jim Rickards… and Robert Wenzel, in our five must-reads, below... Enjoy your weekend, Pete for The Daily Reckoning P.S. We’ve started publishing a new alert service called Jim Rickards’ Currency Wars Alert. The idea is for Jim to help you turn unprecedented currency moves, like the SNB’s, into unprecedented profits. You couldn’t ask for a better guide, either (he literally wrote the book on currency wars). We’ll have more information about the service in our reckoning on Monday. Tune in for more... Poster Comment: The global elite is preparing for a market collapse right now. ;) Post Comment Private Reply Ignore Thread
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