Shadow Theater

Sat, Mar 1, 2014 - 5:48am

There are some/many who ascribe a high level of incompetency to world leaders and their attendant bureaucratic apparati. While this may be true at the individual figurehead level (the incompetence / weakness / corruptibility / blackmailability of said ‘leaders’ is necessary to make them sufficiently pliable), there is another matter – the world’s largest concentration of capital, hardware, software and human resources in the hands of the MIC, which in turn is beholden to our favorite humanitarians, the banksters, and the owners of both of the above.

Looking upon the current and recent events in world affairs, it may seem like the West is stumbling from one miscalculation into another. Foment, fund and arm insurgency/’popular uprising’ in Syria, threaten war – then back down. Local participants get royally screwed. Foment, fund (and perhaps arm, though we are not here yet) ‘popular uprising’ in Ukraine – then act all aflutter, make noncommittal noises about respecting sovereignty and de-escalation. Then presumably back down.

I would caution against assumptions that the currently unfolding scenario has not been simulated, run and re-run, and on continuous loop since at least the last few days (if not weeks, months and years). There is lots of hardware and ‘humanware’ dedicated to war planning, at by any definition direct involvement in the toppling of a government of a strategic partner of an opposing (subsuper)power definitely falls into that category.


  1. Western leaders did not realize and anticipate the likely response of Russia to the efforts to remove Ukraine from its sphere of influence, and are now scrambling to try to develop a plan to deal with the situation on the ground.
  2. Western leaders decided to ignore the likely detailed projections from the planning and intel teams on likely Russian response, and are now frantically reading through the options developed far in advance for just such a scenario.
  3. Despite the hard time we like to give Western .gov entities about playing checkers on a chessboard against chess pieces, they and their advisors (as well as their ‘life coaches’) knew full well the consequences of creating a situation like the one we are seeing.

There is no way, despite the corruption, nepotism, lack of oversight and rampant abuse of power, dumbing down of society and governmental institutions, that military planners and the intel community could have allowed 1) to take place, in my opinion.

While 2) could potentially still be in play, this merely points to the irrelevance of the specific placeholders installed to be statesmen proxies. This option also requires a strong belief that these 'leaders' are truly acting with autonomy, without direct outside/higher-level control. What the puppet knows, believes or chooses matters little with respect to how the play will be performed.

The question as to whether both/all sides in this performance are equally captured can be raised, but is ultimately not decisive in terms of the fact of the matter – which is that we are all watching a performance.

The real question is the intended effect of the show, and the on-the-ground outcome of the proceedings. A secondary question: what back-room parallel events are being masked by the events on front center stage? Is there something all this smoke is supposed to cover -- besides the potentially very real fire, and the intrinsic incentives involved in the conflict itself vis-à-vis control of Ukrainian society/territory/natural resources and energy infrastructure?

Over the course of the events last summer (and several years, really), the regional geopolitical crises have become a monotonous sequence (yet ever increasing in tempo). While all-out war may not (yet) be to the advantage of the players around the table, there certainly seems to be a perceived need to keep the temperature and tensions high. While the stage limelight focuses on one particular area (Ukraine right now), there are back-up scenarios being set up by the stagehands (on whichever side) in the shadows not illuminated on stage. and , just to name a few:

Venezuela riots: New clashes erupt during protests in Caracas

Though it may very well be that the intended effect is that of financial collapse of the targeted nations, to be ‘rescued’ by the IMF and/or Western donors, there is another consideration. The national debts of the respective countries are held by – Western financial institutions and central banks. Ukraine seems to have approximately 8B of external debt as of October 2013 (though more recent estimates are around 0B). Could the 1.36M troy ounce of gold reserves be a factor to consider? Besides inducing a bail-in upon governmental insolvency, could the implosion of the sovereign debt (vast majority of which is USD denominated) – with the accompanying ripple effects in credit & currency markets and for the holders of the securities and their derivatives be in anyone’s interest at the present time? If the central issue really IS energy (natural gas), why THIS particular timing? The same applies if the direct raw military value of the territory is the driving force.

The newly installed Prime Minister of Crimea has already appealed to Russia for help:

"I appeal to the president of the Russian Federation, Vladimir Putin, to provide assistance in ensuring peace and tranquillity on the territory of the Autonomous Republic of Crimea," Mr Aksyonov said in a statement."

All that remains is for the legal, 'legitimately'* elected Head of State for Ukraine to make the same appeal from Ukrainian soil, if legal cover were really required. Since he has already officially denied having such intentions, this might be an interesting twist to look for.

"He said he had not met Putin since his arrival in Russia.

“When I ended up in Russia, I had a phone call with him,” Yanukovych said. “We agreed once the president of Russia has an opportunity, we will meet, but I don’t know when this will happen.”

It would be adorable to see the delusions of autonomy on the part of these figures, if it were not for the very real consequences of their actions and words.

Welcome to the new normal. In this wonderful game of musical chairs, the only question is – where will the next hotspot be? And at which hotspot will the music ultimately REALLY stop. Perhaps such events really are the last throes of an unstable system. But everything, including time, is relative. In astronomical and geological terms, human history is not exactly a meaningful factor. And even in the history of the rise and fall of human empires, periods are measured in centuries and decades, not years and months. The world can stay irrational longer than individuals can stay alive.

The longer ‘this’ goes on, we can be sure that history is relentlessly moving forward – but what will constitute the ‘end’ of the current period? How will we know we have arrived there, and where is ‘there’? The funnel of the gravity well can be awfully long, especially from the perspective of those traveling within it.

Not to mention – what exactly is the plan for when we finally get to the event horizon?

Keep stacking, and make your preparations multi-faceted. One way or another, it seems we will sooner or later get to see what the other side of the singularity looks like, and I suspect assets, tools, resources and capital of all kinds will be scarcer than they currently are.

About the Author


Mar 1, 2014 - 6:23am


We should take a look at where gold is formed...

Sloshing Star Goes Supernova

"NASA Simulates Supernova Explosion
One of the largest mysteries in astronomy — how stars blow up in supernova explosions and seed the universe with elements like gold and iron — is being solved with the help of NASA's Nuclear Spectroscopic Telescope Array (NuSTAR). This 3D simulation demonstrates how the supernova explosion might look."

Hmmm? Is our world in the "sloshing" stage before going supernova?

Mar 1, 2014 - 6:43am

I believe China is due to

I believe China is due to give its 5 year report on its gold holdings in April................that is all. Carry on.

Mar 1, 2014 - 7:29am

Bankers still need new places

Bankers still need new places they can load up with private debt. Ukraine is one. However, banker countries like EU and USA can not allow a single USD to go down the they would not give money to Ukraine now. They can not afford war, though they would like some war where they could lend to both sides..I do not think Ukraine can play the other side this time, like Georgia could not in 2008. Russians know this.

So i m not sure even what is the game plan of the West? Obviously flower revolutions will not happen any more as People at Power in autocratic systems sense western weakness and non-commitment.West is trying to achieve all for themselves with other hands. Good luck- this phase when people were striving for democracy under bank rule is over. They have got just wise enough to not fall into production free debt trap which Ukraine-EU agreement Ukraine did not sign intended to create. Is it really playing with matches in hope somehow they get a piece of territory to load up with debts?

I think it is rather a part of bigger plan to stoke up instability in order to bring money home and put developing nations in more dependent situation. Did You notice how "currency markets" are punishing Uganda for anti gay laws? Now who exactly is currency market? Same old international bankers that lend to governments to control them.

I know many Ukrainians who really are welcoming Western values culturally, 100%. Problem is , most of these values are direct result of growing debt culture, so they go together. When looked from this point of view, they are not anymore "universal". They are expanding debt values and culture.

That causes a confusion to choose,in my head as well. I am looking for new Western values, not purely Christian (0 usury) , but not purely debt growth (or decline) created either. I am looking for rational and natural, or natures value system that ensures operation of the Universe with minimum necessary evil. Nature is rational, but its rationality in relation to human behavior is hidden from us so far. Somewhere close to Plato and earlier in Mahabharata , and later in Leibniz, but to be nurtured and implemented outside the cave, in the real dimensions of life.

Information is constantly flowing between matter space time humans and God, or One, or eternal world of pure ideas which takes no real space nor experiences real time . The problem not solved is physical mechanism of this exchange, whose energy is enormous ( presumably dark energy). These flows hold the Universe together.

BTW the split of Ukraine is coming closer.

Green Lantern
Mar 1, 2014 - 7:48am
Mar 1, 2014 - 7:59am

i'll take the fifth

cinco de saturday!

Mar 1, 2014 - 8:07am

Hmmmm, gold and silver or bitcoin.....?

If you can't hold it in your hands, you don't own it. Shades of Jon Corzine.

"Thousands of volunteering and self-organizing detectives have been meticulously laying a puzzle that reveals the Gox billion-dollar heist as an inside job. As smoke clears on the implosion of the Empty Gox bitcoin exchange, thousands of people in the community committed to revealing the truth behind the stonewalling exchange. What was claimed first to be a technical problem, then an outside theft, has been conclusively determined that the MtGox management knew too much, too long ago, to have this be an ordinary case of theft...."

Safety Dan
Mar 1, 2014 - 8:28am

Zero hedge compiled an

Zero hedge compiled an amazing list of documentaries that are free to view. These aren't your run of the mill Keynesian economic flicks. This list is filled with hard hitting facts and the cold hard truth.

The first one on the list is the recent success "Overdose" based on the book "Financial Fiasco". On top of being able to view this amazing film for free, you can view 14 other epic hits from over the years, including I.O.U.S.A and the "Last days of Lehman".

It may take you some time to watch all 15 documentaries fully, but I assure that you will far more awake and knowledgeable about our current financial disaster that we now face.

View all 15 documentaries here:

Mar 1, 2014 - 8:30am
Mar 1, 2014 - 8:32am
Mar 1, 2014 - 9:07am


Thanks. Great article.

Key Economic Events Week of 2/24

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2/27 8:30 ET Q4 GDP second guess
2/27 8:30 ET Durable Goods
2/27 11:30 ET Goon Evans speech
2/28 8:30 ET Pers Income and Spending
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Key Economic Events Week of 2/24

2/25 9:00 ET Case-Shiller home prices
2/26 10:00 ET New home sales
2/27 8:30 ET Q4 GDP second guess
2/27 8:30 ET Durable Goods
2/27 11:30 ET Goon Evans speech
2/28 8:30 ET Pers Income and Spending
2/28 8:30 ET Core Inflation
2/28 9:45 ET Chicago PMI

Key Economic Events Week of 2/17

2/18 8:30 ET Empire St Manu Idx
2/19 8:30 ET Producer Price Idx
2/19 8:30 ET Housing Starts & Bldg Perms
2/19 2:00 ET January FOMC minutes
2/20 8:30 ET Philly Fed
2/21 Fed Goons all day at Chicago Conf.
2/21 9:45 ET Markit flash Feb PMIs

Key Economic Events Week of 2/10

2/11 10:00 ET Job Openings
2/11 10:00 ET CGP Hump-Hawk House
2/12 10:00 ET CGP Hump-Hawk Senate
2/13 8:30 ET CPI
2/14 8:30 ET Retail Sales
2/14 9:15 ET Cap Ute & Ind Prod
2/14 10:00 ET Business Inventories

Key Economic Events Week of 2/3

2/4 10:00 ET Factory Orders
2/5 8:15 ET ADP Employment
2/5 9:45 ET Markit Service PMI
2/5 10:00 ET ISM Service PMI
2/6 8:30 ET Productivity & Unit Labor Costs
2/7 8:30 ET BLSBS
2/7 10:00 ET Wholesale Inventories

Key Economic Events Week of 1/27

1/28 8:30 ET Durable Goods
1/28 10:00 ET Consumer Confidence
1/29 10:00 ET Pending Home Sales
1/29 2:00 pm ET FOMC Fedlines
1/29 2:30 pm ET Powell presser
1/30 8:30 ET Q4 GDP first guess
1/31 8:30 ET Pers Inc and Spending
1/31 9:45 ET Chicago PMI
2/2 10:00 pm ET Chiefs win SB LIV

Key Economic Events Week of 1/13

1/14 8:30 ET CPI
1/14 9:00 ET Goon Williams
1/15 8:30 ET PPI and Empire Fed
1/16 8:30 ET Retail Sales and Philly Fed
1/17 8:30 ET Housing Starts
1/17 9:15 Et Cap Ute and Ind Prod

Key Economic Events Week of 1/6

1/7 8:30 ET US trade deficit
1/7 10:00 ET ISM Services PMI
1/7 10:00 ET Factory Orders
1/8 8:15 ET ADP employment
1/9 8:00 ET Goon Chlamydia speech
1/9 1:20 ET Goon Evans 2:00 ET Goon Bullard
1/10 8:30 ET BLSBS
1/10 10:00 ET Wholesale Inventories

Key Economic Events Week of 12/16

12/16 8:30 ET Empire State Manu Idx
12/16 9:45 ET Markit flash PMIs Dec
12/17 8:30 ET Housing Starts and Bldg Perms
12/17 9:15 ET Cap Ute and Ind Prod
12/19 8:30 ET Philly Fed
12/20 8:30 ET Final guess Q3 GDP
12/20 10:00 ET Pers Inc and Spending
12/20 10:00 ET Core Inflation

Key Economic Events Week of 12/9

12/10 8:30 ET Productivity and Unit Labor Costs
12/11 8:30 ET CPI
12/11 2:00 pm ET FOMC fedlines
12/11 2:30 pm ET CGP presser
12/12 8:30 ET PPI
12/13 8:30 ET Retail Sales
12/13 10:00 ET Business Inventories
12/13 11:00 ET Goon Williams speech

Key Economic Events Week of 12/2

12/2 9:45 ET Markit Manu PMI
12/2 10:00 ET ISM Manu PMI
12/2 10:00 ET Construction Spending
12/4 9:45 ET Markit Services PMI
12/4 10:00 ET ISM Services PMI
12/5 8:30 ET Trade Deficit
12/5 10:00 ET Factory Orders
12/6 8:30 ET BLSBS
12/6 10:00 ET Wholesale Inventories

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