BALTIMORE – “Brexit aftershocks send global markets tumbling,” says Yahoo Finance.
The Dow fell another 260 points yesterday – or about 1.5% – as central banks pledged to do “whatever it takes” to protect Deep State interests.
But this morning, British stocks have bounced. The FTSE 100, Britain’s main stock market benchmark, jumped about 2% early in the session.
And European stocks have followed suit.
Here at the Diary, we are delighted by the whole thing.
We never saw a line we wanted to wait in… never saw a crowd we wanted to join… and never met a secession movement we didn’t like.
Our loyalties are few… and small.
We favor the underdog, the diehard, and the lost cause.
Yes, we stand shoulder to shoulder with Hannibal at Zama, with Hugh O’Neill in Ireland, and Robert E. Lee at Appomattox Courthouse. We rise at the sound of the bugle and take up arms for the romantic finale – the Last Stand
At least, in theory.
Scotland and Northern Ireland voted to remain in the EU. But the English, along with the Welsh, voted strongly to break out. They dodged the searchlights, the hounds, and the barbed wire.
Now, they are on the loose… and we and others are planning our escape.
“Frexit!” say the French.
“Nexit!” say the Dutch.
“Ciao!” say the Italians.
“Italy may be next,” says the Financial Times, anticipating a crucial vote coming up in October.
And after more than 1,000 years of empire building, even the United Kingdom looks less united.
Scotland is now likely to hold a second referendum on independence from the rest of Britain… which, if successful, would allow it to rejoin the EU.
And Irish republican party Sinn Féin is calling for a vote in Northern Ireland on whether it wants to rejoin the EU by unifying with the Republic of Ireland (which remains in the now 27-country EU bloc).
Here in the U.S., “Texit” – independence for the Lone Star State – has already been proposed.
Maryland’s elders have so far held their tongues. (They remember that the last time they spoke in favor of “Maryexit” Lincoln put them in jail.) But other states must be considering their options.
And with the smell of freedom in our nostrils… wafting o’er the great seas… the spirit of liberty is stirring here at the Diary headquarters, too.
If we had our druthers, we would exit from almost everything. The U.S. would LEAVE the Mideast… NATO… the UN… and all the “foreign entanglements” General Washington warned us about.
At home, we would exit the War on Poverty and the War on Drugs.
Then, Maryland would withdraw gracefully from the United States. And we’re not finished. We don’t share much in common with the people from the West and the North of the state either. So we would encourage Anne Arundel County to break away from the Old Line State and declare its independence.
Finally, our allegiance would be clearer… and dearer…
Yes, we would stand and put our hand over our heart, misty eyed, and sing the stirring words of the Anne Arundel County anthem. (“Oh, AA County… you’re not so bad… with crabs and oysters… it’s never sad…”)
Free again… we would solemnly swear our undying loyalty. At least we would swear our loyalty to the part of the county south of the South River. It would be foolish and presumptuous for us to claim allegiance to anything north of the South River or west of the Patuxent. We don’t know them intimately enough to have any genuine affection for them.
But wait. There… standing at the prison gate… a Taser in one hand and a billy club in the other… is Hillary Rodham Clinton.
“Stronger together” is her new campaign slogan. “And more easily controlled,” she might add.
Hillary is the candidate of the status quo. She is the ultimate insider, the warden, the Deep State champion whose entire program consists of building out the prison system set up by her husband, George W. Bush, and Barack Obama.
Making a getaway is what Brexit is all about. But the British vote is not the end of the process. It is more likely just the beginning.
BY CHRIS LOWE, EDITOR AT LARGE
Because bond yields move in the opposite direction to bond prices, low yields mean high prices… and vice versa.
Today’s chart is of the yield on the 10-year Treasury note.
As you can see, with investors rushing into “safe havens,” it has fallen back to within spitting distance of its postwar low of 1.4%, set in 2012.
Scottish Leaders Push for Independence Vote
Scottish leaders overwhelmingly supported Britain’s membership in the EU. Now, they’re warning of a renewed bid for independence after British voters turned their backs on the now 27-nation bloc.
Now Is the Moment for Gold
One of the world’s foremost currency experts says now is the time for gold to soar. And he explains why any naysayers – including mainstream economists – are just dead wrong.
Will Brexit Lead to a United Ireland?
Brexit means customs barriers for trade with between Northern Ireland and the Republic of Ireland. This has led to calls for a vote on unifying the north and the south of the island once again.
Lots of great feedback on yesterday’s issue, connecting the dots between Brexit and the French Revolution…
The real purpose of all welfare schemes, including Social Security, is to attempt to delay the next French Revolution. Unfortunately, these policies only increase the eventual number of revolutionaries when it comes time to pay the bill.
The members of the Deep State must hope that it happens after their lifetime and leave the bill to their grandchildren.— Tom F.
You write again about the Deep State, and I get it. But I notice in the Brexit results that whites voted overwhelmingly to leave, while British minorities largely voted for the status quo.
I also note that it is whites who traditionally vote Republican, support Trump, and complain about government being too big and too influential. African Americans and other minorities tend to vote Democrat and have less difficulty with your "Deep State".
I wonder if this is because blacks and other minorities, unlike whites, have had to use the government to access their freedom and their civil rights.— Gary M.
1780s France had no Internet, nor any of the other communication abilities we enjoy today. The Deep State relies on misinformation, secrecy, lies, force, and theft to obtain their ends. To do so, they must control the information that is available to the people.
I am surprised they have not shut the Internet down by now.— William C.
Another good letter… and connected observations on 18th century France…— Pete H.
It never gets old reading the sanctimonious feedback from the readers who yell at Bill for daring to have an opinion with which they don’t agree.
The recent column about Hillary and “The Donald” was no different: one lecture about sticking to financial advice and staying out of politics, which would be amusing if it didn’t sadly point out that this reader completely fails to see how the two are connected… and a second from a reader accusing Bill of being biased against Trump and attempting to push subscribers in Hillary’s direction. This after Bill skewered both candidates in equal measure.
It would seem that the long, slow destruction of the American education system is coming home to roost in the form of adults who cannot comprehend what they read and/or have no ability to view an issue from more than one side.— Al D.
Currencies expert Jim Rickards says that gold is on its way to $10,000 per ounce.
But before you buy a single ounce, there’s something Jim says every gold investor needs to know. Listen to his important advice here.