Martin Armstrong flags WW3 risk in his latest eye-catching piece entitled, “Capital Flows War Is Coming.”

The crux of Martin Armstrong war’s coming view is based on studying unusual changes or anomalies in capital flows.

Just follow the money, and you will find the truth. The well-heeled are well connected with access to privileged information, and they have a lot of loot to shift.

So the study of capital flows could be the holy grail of future asset prices, and even predict future events which often are policy-driven.

“The crux of Martin Armstrong war’s coming view is based on studying unusual changes or anomalies in capital flows”

WEALTH TRAINING COMPANY

Is Martin Armstrong flags WW3 risk eye-catching view clickbait?

When the collective minds of top world geopolitical macro investors concur that an event is likely to unfold, then there is a high probability of that event happening at some future date.

“The Russian Invasion of Ukraine has already triggered WW3,” wrote George Soros recently in Project Syndicate.

“The Empire is weak and vulnerable to rising external rivals, who seeing this domestic weakness, are more inclined to mount a challenge. This raises the risk of external conflict, especially if the rival has built up a comparable military. These conflicts are resolved through the test of power,” wrote Ray Dalio in Principles for Dealing with the Changing World Order.

In other words, the current hegemonic power has two choices: either back off or fight back.

But the fightback does not necessarily mean a kinetic war with the challenger. So proxy wars instigated by a major power that does not themselves become involved and cold wars are examples of how nuclear power fights without going down the mutually assured destruction MAD path.

 

Economic destruction, cutting the economy off the international payment system, disrupting the economy, triggering bankruptcy and economic depression and severe hardship, and civil disorder internally are other ways of winning without fighting.

 

 

The Empire is weak and vulnerable to rising external rivals, who seeing this domestic weakness, are more inclined to mount a challenge

RAY DALIO

In other words, bleeding the challenger to the hegemony throne slowing, militarily, economically enough to weaken but not too much that it provokes a MAD path. Give hope, then bleed, repeat rinse until objectives are complete.

“The supreme art of war is to subdue the enemy without fighting,” by Sun Tzu, The Art Of War, a two thousand year book written for nuclear superpowers today.

Our models have confirmed that Biden’s sanctions against all Russians have undeniably destroyed the global economy” – Martin Armstrong

Martin Armstrong flags WW3 risk, but it does not have to take the path that Albert Einstein was referring to

“I do not know with what weapons World War III will be fought, but World War IV will be fought with sticks and stones.” – Albert Einstein.

So a new cold war based on what existed between the Soviet bloc countries and the Western powers from 1945 to 1990, which are characterized by threats, propaganda, and other measures short of open warfare, could be the way out of a nuclear confrontation with Russia, a global existential threat.

Perhaps capital flows are realigning to this new world order reality, a type of western globalism with China strategically striding both bloc countries.

But Martin Armstrongthinks otherwise.

“Our models have confirmed that Biden’s sanctions against all Russians have undeniably destroyed the global economy, unfortunately precisely on time from its birth in 1950. Our capital flow models have confirmed that there has been an unprecedented cash outflow from China following Biden’s sanctions. Not only are we witnessing a withdrawal of Western capital from China, realizing that the US has no interest in peace and China will be next, but we are also looking at collapsing confidence in globalization continuing from here on out. ,” wrote Martin Armstrong.

Martin Armstrong’s advice has been sought by numerous governments. He uses his own created Economic Confidence Model (also called the “pi” cycle) in his forecasting.

“Our models have confirmed a highly unusual change in direction of global capital flows, which is even showing up in the emerging markets. China saw investors pull out from its share markets over concerns that we are heading into World War III. Historically, the capital flowed to the dollar during world war under the assumption that tanks will not be landing on the beaches of Virginia or California,” added Martin Armstrong.

These sanctions are not going to cause regime change and the overthrow of Putin with Russians running into the arms of the West. This is outright hatred of Russians as a people, and they will have no choice but to bond with China in an all-out war against this outrageous tyranny” – Martin Armstrong

As Martin Armstrong flags WW3, how will it impact the USD?

If investors can figure out where the USD is heading, they can work out where commodity prices are likely to be next. 

Moreover, the USD trajectory can give a clue to where inflation will be, on a global scale.

“This will tend to support the dollar, but not long-term. Biden’s sanctions attacking individual Russians have turned into a nightmare. Besides the Czech Republic seizing ALL assets of any Russian based upon their ethnicity as they were doing to the Japanese during World War II in the United States, now even Switzerland is doing the same thing,” wrote Martin Armstrong.

Martin Armstrong is against Russian sanctions, which he believes will escalate tensions and is also why Martin Armstrong flags WW3 risks

“These sanctions are not going to cause regime change and the overthrow of Putin with Russians running into the arms of the West. This is outright hatred of Russians as a people, and they will have no choice but to bond with China in an all-out war against this outrageous tyranny,” he wrote.

Martin Armstrong then drops what he believes to be a truth bomb.

“These Neocons are bringing the entire world to destruction which some argue is all part of their plan to enable the world to BUILD BACK BETTER which necessitates the destruction of the current energy system and reduction of population to make Bill Gates sleep easy at night. So the next season of BUILD BACK BETTER may be the climax,” he added. “They want WAR for the demands of Putin are reasonable – Ukraine remains neutral, surrender Donbas and Crimea which are all ethnic Russians when Zelensky passed the language law that Russian is no longer to be an official language in Ukraine. That is the same as telling all Spanish if you do not speak English – get out,” he added.

See Martin Armstrong flags WW3 risk here.