Which Civilization Has the Problem?

Dichotomies exist the world over. [The Rude Awakening] October 19, 2023 [WEBSITE]( | [UNSUBSCRIBE]( Which Civilization Has the Problem? - French President Macron alleges Muslim civilization has a problem. - Muslim scholar retorts that it’s not the Muslims who have the problem but the West. - Why do Jewish Americans vote Democrat and get surprised with the results? --------------------------------------------------------------- [Sean Ring] SEAN RING I stayed away from politics for three whole editions, but it pulled me back in. This won’t be incendiary, I promise. But I want to point out some home truths I think Westerners in general, and Americans in particular, need to know. I’ll begin by saying that I’m a Catholic. Sure, I don’t go to church much. But I’m culturally and, more importantly, philosophically, Catholic. That means my sympathies toward Islam go to the practical, worldly level and no further. I love their cuisine, art, architecture, and rule of law. I’ve witnessed all these attributes in Morocco, Tunisia, Egypt, Turkey, Abu Dhabi, Dubai, Malaysia, and Indonesia, the world’s most populous Muslim country. It’s not all great. I also missed two terrorist attacks by a week each. Nevertheless, the Muslim world isn’t as backward as Westerners would think watching the Mainstream Media, especially concerning Gaza. Abu Dhabi, 2019. While teaching in Abu Dhabi in 2019, a student told me that jewelry in Arabia was authentic and that Westerners pay too high a price for brands, not jewelry quality. She recommended I take Pam to the local strip in the city where all the jewelers are. Pam was overjoyed as I felt my wallet lightening before we even got there. While Pam was picking my pocket in the jewelry store, I noticed a black man, who was obviously African American… down to the sneakers, white socks, shorts, Hawaiian shirt, and camera strapped around his neck. We made eye contact and started talking. He told me he was from Universal City, Texas. I said, “My parents live in Cibolo, near you.” As we continued talking, he paused, looked around, and said, as if in a trance, “This place is so… beautiful.” His confusion and cognitive dissonance were apparent. For his whole life, this man was told how this part of the world is inferior, backward, and war-torn. When people ask me what Abu Dhabi and Dubai are like, I say, “Abu Dhabi is what New Jersey would be like if it were clean and corruption-free. Dubai is what New York City would be like if it were clean and corruption-free.” He Said, He Said. Of course, the whole region isn’t so pristine. Right now, the east Mediterranean is a disaster zone. And that’s brought many of the region’s problems to a head. What’s not so obvious is how it’s also knocking Europe for a loop. And what’s even more of a surprise is the American reaction, which isn’t nearly as united behind Israel as one has come to expect. Watch this video. Wall Street Silver originally posted it, but not in its entirety. In the first bit they missed, this imam talks about how Islamic terrorist groups can bank in Western countries but not in Muslim countries! For background, Imam Tawhidi is an Australian Muslim scholar and one of the leading voices in the global movement of Islamic reform. He has dedicated his life to tackling the spread of Islamic Extremism. Warning: your blood may boil, but not for the reasons you think. [Rude]( Credit: [@WallStreetSilv]( Assuming you watched this video, let’s ask the obvious questions: - Why are these extremist entities allowed to bank in Western countries… and why isn’t Israel railing against it (as they rightly should)? - Why did Western countries take in Muslim criminals? - Why didn’t we push back against flimsy charges of racism when trying to protect our borders? - Once we let them in, why are we financing them through our welfare state? - Why are Western governments now not tackling these obvious errors? [Nvidia’s Supplier Reveals “A.I. Crown Jewel”]( A.I. investors…get ready: Because a little-known supplier just received a GIGANTIC order from Nvidia. In short: This supplier is planning to pump out 2,000,000 units of a critical piece of tech which I call… [“The A.I. Crown Jewel”]( [Click here to learn more]( A.I. investors…get ready: Because a little-known supplier just received a GIGANTIC order from Nvidia. In short: This supplier is planning to pump out 2,000,000 units of a critical piece of tech which I call… [“The A.I. Crown Jewel”]( [Click Here To Learn More]( Cheap Labor and Demographic Augmentation. Imam Tawhidi is right. Indeed, cheap labor was a driving force, especially in France and the UK. For Germany, demographic augmentation may have been more of a driving factor. I don’t know what the USG was thinking, as it needed neither. But here’s the thing that shocks me. According to a Pew Research Center report titled “[Jewish Americans in 2020]( U.S. Jews are still a largely Democratic and politically liberal group today, as they have been for decades. Overall, about seven-in-ten identify with or lean toward the Democratic Party, including 68% of Jews by religion and 77% of Jews of no religion. Just 26% of U.S. Jews overall identify with the Republican Party or lean toward the GOP. Donald Trump’s son-in-law is Jewish. He inked the Abraham Accords between Israel and the UAE, nearly got the same done between Israel and Saudi Arabia, and moved the U.S. Embassy in Israel to Jerusalem. The report continues: The status of Jews as a predominantly Democratic and liberal group (as well as one that is highly educated and disproportionately concentrated in the Northeast) leaves few surprises in their overall views of Donald Trump. At the time of the survey, about three-quarters of U.S. Jews (73%) said they disapproved of the job Trump was doing as president. By comparison, in a Pew Research Center survey of the general public conducted in January 2020, 58% of U.S. adults said they disapproved of Trump’s job performance. Trump’s approval ratings were low across almost all Jewish subgroups. Substantial majorities of both Jewish women (75%) and men (70%), as well as Jews in all age groups, disapproved of Trump’s performance. Jews with relatively low levels of education (high school or less) were more likely than college graduates to give Trump a favorable rating, but even in this group, a slight majority (57%) disapproved of Trump’s handling of the presidency. The main exception (other than Jewish Republicans) was Orthodox Jews, 81% of whom approved of the job Trump was doing as president. My jaw is on the floor as I type this. Well, I guess they voted for Biden. Dissenting Voices in a Democracy. It’s not for me to claim anyone deserves anything. But I will assert the Jewish American vote didn’t help the Jewish American people. How can Jewish Americans claim to be surprised at the reactions of Harvard and UCLA students, or The Squad’s following, when they voted for the very policies that imported these people? These new Americans are now US citizens. They have a right to free speech, freedom of assembly, and a vote. Those who claimed that America would be “terraformed” and were dismissed as “racists” are being proven correct. America is an entirely different place than it was a mere twenty years ago. From forty years ago, it’s unrecognizable. The great Singaporean statesman Lee Kuan Yew once said, “In multiracial societies, you don’t vote in accordance with your economic or social interests. You vote in accordance with race and religion.” If Jewish Americans vote together (even if I think it’s against their interests), what do you think Muslim Americans will do? In another [Pew study from 2018]( it reads: By 2040, Muslims will replace Jews as the nation’s second-largest religious group after Christians. And by 2050, the U.S. Muslim population is projected to reach 8.1 million, or 2.1% of the nation’s total population — nearly twice the share of today. I’ll repeat a question I asked last week. Will a Muslim Secretary of State allow IDF soldiers based in America to leave to defend Israel? Food for thought. Wrap Up What a mess… and it’s of our own doing. But it’s too late now. I expect more volatility (both political and market) through the year-end. This war won’t end soon. And it may not end with a resounding Israeli victory. However, when we get the time to look back and see how it all happened, the only tool we’ll need is a mirror. All the best… [Sean Ring] Sean Ring Editor, Rude Awakening X (formerly Twitter): [@seaniechaos]( In Case You Missed It… The Name’s Bond… Treasury Bond. There are many intelligent people out there touting the return of the treasury bond. Why? We’ll have to find out. I’m going to approach this from the skeptic’s point of view. I’ve hated treasury bonds for a while. And I don’t think the inflation story is over yet. There’s far too much geopolitical instability, especially in the Middle East, to assume oil prices will moderate. With that said, it’s my job to investigate these things. It may be humbling. It may be confirmatory. In this Rude, we’ll explore why gentlemen prefer bonds again. What Are Bonds? First things first: let's define what a bond is. There are two ways to think of a bond. The first is that it is a promise. My word is my bond: dictum meum pactum in Latin. That’s been the motto of the London Stock Exchange since 1801. This saying goes back at least to 1500 when a Scottish source has "O kingis word shuld be o kingis bonde" (A King's word should be a King's bond.) The second way to think about it is as a tradable loan. The issuer, such as the US Treasury, will issue the bond to investors. Later, investors may choose to trade these bonds with each other to, say, free up cash for a higher-yielding investment or transfer risk. The ability to trade securities (stocks and bonds) is one of the greatest inventions ever. You’re not stuck with investments anymore. The big caveat is that you may have to sell the securities at a dramatically different (lower) price than you bought them for. Different Types of Bonds. U.S. Treasury Bonds U.S. Department of the Treasury issues treasury bonds (T-bonds), the quintessence of government debt instruments. They come with varying maturities, extending from 20 to 30 years. Investing in T-bonds is the same as lending money to the federal government, which promises to pay periodic interest and return the principal amount at maturity. The principal is also known as face value. The coupon on the bond is fixed. Advantages: Safety: T-bonds are considered among the safest investments as they are backed by the "full faith and credit" of the U.S. government. Predictable Income: The fixed interest payments provide a steady income stream, making them appealing to risk-averse investors and retirees. Disadvantages: Low Yield: Safety comes at the cost of lower yields than other bond types or equities, although yields have increased considerably lately. Interest Rate Sensitivity: Longer-term bonds like T-Bonds are susceptible to price fluctuations when your Fed Chairman goes overboard during a hiking cycle. U.S. Savings Bonds A notch down in complexity are U.S. Savings Bonds, another product of the Treasury Department. These non-marketable bonds can't be sold on the secondary market. There are two primary types: Series EE and Series I, with the latter protecting against inflation. Advantages: Affordability: They can be purchased for as low as $25, making them accessible to a broad spectrum of investors. Tax Advantages: The interest earned is exempt from state and local taxes. Disadvantages: Low Yield: Like T-bonds, the returns (yields) are modest. Lack of Liquidity: A secondary market is necessary to maintain liquidity. U.S. Investment Grade Corporate Bonds Shifting the focus to the corporate sphere, corporations with high credit quality issue investment-grade corporate bonds. Rating agencies like Moody's and S&P assess creditworthiness, categorizing bonds as investment grade if rated BBB- or higher. Advantages: Higher Yield: They offer better returns compared to government bonds. Diversification: Adding corporate bonds to a portfolio can provide diversification benefits. Disadvantages: Credit Risk: There's a risk that the issuing corporation may face financial hardship, affecting its ability to pay back its debt (and perhaps even the interest payments). U.S. High Yield Bonds High Yield Bonds (or junk bonds) are the opposite of investment-grade bonds, bearing a rating of BB+ or lower. Corporations with questionable credit quality issue these bonds, which entail a higher risk. Advantages: High Potential Returns: The riskier nature commands higher yields. Diversification: They can also be a diversification tool, albeit for the more risk-tolerant investor. Disadvantages: Credit Risk: The high yield comes with a higher likelihood of default. Market Risk: These bonds are more susceptible to market fluctuations and economic downturns because they act similarly to equities. Now that we’ve distinguished between the different types of bonds, let’s look at T-bonds specifically. [New Biden Bucks Follow-Up Available Now]( Since posting the original Biden Bucks presentation online, millions of people have viewed it. Snopes and the Associated Press have even attempted to “fact check” and claim some warnings are false: [Click here to learn more]( Point being, the message has raised a storm and caused a lot of controversy. But in the time between the message and now, a lot of new developments have come to light. That’s why an update to the original prediction was just released… one which will likely be even more controversial. [>> Click here now to access the new 2023 Biden Bucks follow-up](. [Click Here To Learn More]( Why T-Bonds Are Making a Comeback. I don’t expect to convince anyone who’s a Doomsday Prepper. But if you think the sun will rise in America in the next few years, you may want to consider this case. [Rude] My goodness, it certainly isn’t the technical picture. That chart is uglier than an SBF booty call. According to my friend and colleague [Zach Scheidt]( Now that long-term interest rates have moved sharply higher, investors like you and me can get great discounts buying long-term Treasury bonds. Most brokerage platforms allow you to buy individual Treasury bonds at current market prices. He continues: In the short term, the trend for bond prices is lower. And I don't know how long that will last. Full disclosure, I personally have a bearish position on long-term bonds as part of my Income Alliance trading program. This position has been profitable so far as bond prices have been trending lower. But at this point, we're likely getting close to the end of rate hikes. And sometime in the next two years, we're likely to see rates cut, especially if the broad U.S. economy weakens. Keep in mind, the U.S. can't afford to keep piling on debt as interest rates rise. So at some point (and relatively soon), there will be political pressure to drive interest rates lower. My recommendation for a long-term retirement play is to start accumulating some long-term Treasury bonds. Again, Zach is talking about a long-term play. That means it’s about the income (coupons) you’ll receive and the capital gain you’ll earn over time as the bond “pulls to par.” Pulling to par is what bonds do when they approach maturity. Say you bought a 30-year t-bond today at a discount (below par) price of 87. You’ll receive the full face value of 100 at maturity in 2053. That means your capital gain over the next 30 years will be 13. Of course, you must believe the USG will still be able to pay its debts by then. But the ability to pick up 60 coupon payments (US t-bonds pay semiannually) and get your principal back is attractive to certain investors. Also, if Jay Powell decides to cut rates over the next few years, which he almost certainly will, your bond price will increase in the short term. Bond yields and prices have an inverse relationship: when one goes up, the other goes down. In fact, the longer you go out on the yield curve - and 30 years is the farthest you can go - the more sensitive your bond’s price will be to moves in yield. Wrap Up Zach isn’t the only one who thinks this way. Lance Roberts of Real Investment Advice has published similar pieces. It’s nice to think you can “set it and forget it.” But I’d caution you about the assumptions you must have to buy 30-year bonds this way. You’ve got to believe the USG will still be around then. You’ve got to believe we’re at or near the top of the hiking cycle. You’ve got to believe this is the best alternative for your cash. Food for thought! I’ll be following up on this in the coming weeks. In the meantime, have a great day! All the best, [Sean Ring] Sean Ring Editor, Rude Awakening X (formerly Twitter): [@seaniechaos]( [Paradigm]( ☰ ⊗ [ARCHIVE]( [ABOUT]( [Contact Us]( © 2023 Paradigm Press, LLC. 808 Saint Paul Street, Baltimore MD 21202. By submitting your email address, you consent to Paradigm Press, LLC. delivering daily email issues and advertisements. To end your Rude Awakening e-mail subscription and associated external offers sent from Rude Awakening, feel free to [click here.]( Please note: the mailbox associated with this email address is not monitored, so do not reply to this message. We welcome comments or suggestions at feedback@rudeawakening.info. This address is for feedback only. For questions about your account or to speak with customer service, [contact us here]( or call (844)-731-0984. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized financial advice. We allow the editors of our publications to recommend securities that they own themselves. However, our policy prohibits editors from exiting a personal trade while the recommendation to subscribers is open. In no circumstance may an editor sell a security before subscribers have a fair opportunity to exit. The length of time an editor must wait after subscribers have been advised to exit a play depends on the type of publication. All other employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of a printed-only publication prior to following an initial recommendation. Any investments recommended in this letter should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company. Rude Awakening is committed to protecting and respecting your privacy. We do not rent or share your email address. Please read our [Privacy Statement.]( If you are having trouble receiving your Rude Awakening subscription, you can ensure its arrival in your mailbox by [whitelisting Rude Awakening.](