NIA Report: S&P Downgrades US Debt Rating

 

S&P just announced late this evening that they have downgraded the U.S. debt rating from AAA to AA+ with a negative outlook.

 

NIA is absolutely shocked by this. What shocks us is just how long it took them to make this downgrade. Just like how S&P and Moody's didn't downgrade subprime CDOs until the mortgage-backed bonds they held were practically worthless, S&P waited for U.S. debt obligations to reach five times GDP and for the U.S. dollar to lose 84% of its purchasing power over the course of a single decade. The U.S. was a hair away from defaulting on its debt this week if the debt ceiling wasn't raised, yet it still had a AAA rating.

America's Oil Price Inflation Crisis is Yet to Come

NIA is very disturbed by President Obama's decision to sell off oil from the U.S. emergency oil reserve, in an attempt to drive down oil prices. One week ago it was announced that the U.S. and other oil-consuming nations that are a part of the International Energy Agency (IEA) will begin releasing 60 million barrels of oil from their reserves, with 30 million barrels coming from the U.S. government-owned reserve. They hoped that by flooding the market with excess supply, they would cause an artificial forced liquidation of oil futures contract holders who bought using leverage.

 

Bernanke to Invent New Term for Printing Money

When the U.S. Bureau of Labor and Statistics (BLS) reported their latest consumer price index (CPI) inflation data last week, everybody in the mainstream media worked tirelessly to spin the data in order to proclaim that U.S. price inflation is not a problem. Most articles in the media reported that inflation slowed in May due to falling gas prices. The truth is, gas prices rose last month and U.S. price inflation is spiraling out of control.

College Conspiracy: College Education is a Scam Says New Documentary

NIA has officially released the most comprehensive documentary ever produced about higher education in the U.S. NIA's hour-long documentary called 'College Conspiracy' exposes the facts and truth about America's college education system. 'College Conspiracy' was produced over a six-month period by NIA's team of expert Austrian economists with the help of thousands of NIA members who contributed their ideas and personal stories for the film. NIA believes the U.S. college education system is a scam that turns vulnerable young Americans into debt slaves for life.

Food and Energy Inflation is Not Transitory

Federal Reserve Chairman Ben Bernake on Wensday held his first press conference in history. The press conference took place shortly after the Fed announced its decision to leave the Fed Funds Rate at a record low of 0% to 0.25%, where it has been for an unprecedented 28 months. The U.S. economy is flooded with U.S. dollars and is close to overdosing on excess liquidity. The fact that our financial markets are not falling on the possibility of the Fed not unleashing QE3 immediately at the end of QE2, shows that we could be on the verge of hyperinflation with or without QE3.

Geithner Should Resign as Treasury Secretary

April 20, 2011

The biggest headline in the news so far this week has been S&P's decision to downgrade their U.S. credit outlook to negative. After S&P made their announcement, almost everybody in the mainstream media proclaimed it to be a "wake up call" for the U.S. government, saying that if they don't make a real effort to cut the budget deficit, a fiscal disaster awaits. Despite lowering the U.S. credit outlook to negative, S&P left the U.S. credit rating at AAA.

The Truth About Silver and Inflation

Silver futures surged today to a new 31-year high of $42.80 per ounce. Silver is up 146% since NIA declared silver the best investment for the next decade on December 11th, 2009, at $17.40 per ounce. All we need is for silver to rise by another 15.5% and silver will reach its all time high set in 1980 of $49.45 per ounce.

The Federal Reserve Must Implement QE3

April 6, 2011

Gold prices surged today to a new all time high of $1,463.70 per ounce, while silver prices soared to a new 31-year high of $39.785 per ounce. Silver is now up 129% since NIA declared silver the best investment for the next decade on December 11th, 2009, at $17.40 per ounce. The gold/silver ratio is now down to 37, compared to a gold/silver ratio of 66 when NIA declared silver the best investment for the next decade. This means that not only is silver up 129% in terms of dollars since December 11th, 2009, but silver has also increased in purchasing power by 1.78X in terms of gold.

NIA Responds to Harvard Economics Professor About Inflation

Harvard economics professor Gregory Mankiw wrote an article that was published in the NY Times yesterday entitled, "It’s 2026, and the Debt Is Due". In this article, Mankiw gave a hypothetical Presidential address the President of the U.S. might make in the year 2026 after a failed bond auction. Mankiw's hypothetical Presidential address takes place in a scenario where in the year 2026, the U.S. Treasury "tried to auction its most recent issue of government bonds" but "almost no one was buying." According to Mankiw's hypothetical speech, during this 2026 crisis the President will admit, "The private market will lend us no more."

12 Warning Signs of U.S. Hyperinflation

One of the most frequently asked questions we receive at the National Inflation Association (NIA) is what warning signs will there be when hyperinflation is imminent. In our opinion, the majority of the warning signs that hyperinflation is imminent are already here today, but most Americans are failing to properly recognize them. NIA believes that there is a serious risk of hyperinflation breaking out as soon as the second half of this calendar year and that hyperinflation is almost guaranteed to occur by the end of this decade.

NIA Addresses Latest BLS CPI Inflation Data

The U.S. Bureau of Labor Statistics (BLS) reported their latest consumer price index (CPI) inflation data this past Thursday. According to the BLS, U.S. consumer prices for the month of February 2011 were up 2.11% on a year-over-year basis compared with February 2010.

Tsunami of Inflation to Hit U.S. with Japan Crisis

The earthquake, tsunami, and nuclear disaster that hit Japan this past week and the destruction that it caused is nothing compared to the tsunami of inflation that will soon hit the U.S. as a result of this crisis. A tsunami of inflation in the U.S. will mean a complete collapse of our monetary system, which could lead to millions of deaths due to a lack of food and heat. 44 million Americans are now dependent on food stamps, but when the U.S. dollar becomes worthless as a result of hyperinflation, the government will no longer have the power to support these Americans and many of them will simply starve to death.

U.S. Dollar Collapse Could Occur at Any Time

China this morning reported 4.9% price inflation for the month of February, exceeding analyst expectations of 4.8%. With China now mimicking the U.S. Bureau of Labor Statistics and taking steps to artificially manipulate their consumer price index (CPI) numbers as low as possible, it is likely that real price inflation in China is now closer to 10%. China was at least smart enough to raise interest rates last month by 25 basis points to 6.06%, while the Federal Reserve continues to leave interest rates near zero with there being absolutely no talk of the Federal Reserve ever raising interest rates again. China will be successful at containing inflation, as U.S. inflation spirals out of control and becomes the greatest economic crisis in American history.

The Day the Dollar Dies ** Video **

The first 12 hours of a U.S. dollar collapse!

The NIA released this video to give you a glimpse of how things might play out when the dollar finally crashes. The question is, will you be prepared when this day arrives?

Media Misleading Americans About Inflation

The National Inflation Association (NIA) believes that every time the mainstream media focuses its attention on the weak Euro, it is trying to trick the world into going long the U.S. dollar, when the U.S. dollar will win its race with the Euro to zero. Not only were eurozone countries first to implement austerity measures (something the U.S. is still showing no signs of even considering),

U.S. Inflation Caused Algeria, Tunisia, Egypt, and Libya Unrest

The National Inflation Association (NIA) announced in its November 5th, 2010, food price projection report that food inflation would take over as America's biggest crisis in calendar year 2011, surpassing the mortgage crisis and high unemployment, which were the top economic concerns of Americans in 2010.

U.S. Government Lying About Inflation and Jobs Market

The U.S. Government claims 1.5% price inflation and 36,000 jobs gained last month when real price inflation is already north of 5% and over 50,000 jobs were lost last month! Watch this latest video from the National Inflation Association now!

Americans Will Flock Into $5,000 Gold and $500 Silver

NIA Update
February 4,2011



Egypt's rioting and civil unrest will spread worldwide as competitive currency depreciation sets up a 2015 financial catastrophe. Americans, who are currently living in multimillion dollar homes rent free watching American Idol and Jersey Shore, will soon flock like sheep into $5,000 per ounce gold and $500 per ounce silver.

Egypt: Preview of America in 2015

 http://inflation.us
February 3, 2011

The rioting and looting currently taking place in Egypt is primarily a result of massive food inflation and shows what all major cities in the United States will likely look like come year 2015 due to the Federal Reserve's zero percent interest rates and quantitative easing to infinity.

National Inflation Association Update 1/28/11

NIA discusses the upcoming death of the McDonald's Dollar Menu and other important inflation news topics.