The Forecaster

You lost friends in your life.

You had been betrayed by people.

You had been stabbed one time emotionally

which you don't want even to think about it.

And you had been set up at least twice.

You are not lucky with politicians.

You are not lucky with police people. You are not lucky with army people.

You are not lucky with any person wearing uniform.

That's true. - You are not.

And every time you get closer to these people,

you will find out that the fairy tale turning into a nightmare.

Please shuffle the cards.

And cut the cards.

Cut them, okay.

This is number zero and you are

going for a great period of being exposed and being in front of the public.

You had been in a lonely island for a long time

and you came back ready and you will teach

people things that they never even thought about.

And you are a few minutes away before hitting the jackpot.

And when a person is so profoundly inside the ideas,

he gets hurt.

They feel threatened, I saw they succeeded from...

...until you reach a point where you don't care anymore.

When you reach that, then you take all their power away.

When you don't have nothing to lose.

This is the key for your success.

And that's what it shows, simply.

Moving and shaking this morning.

Martin Armstrong who is responsible for one of the largest Ponzi Schemes in history,

well, he’s back.

He cheated investors out of 700 million dollars

and spent 11 years in prison.

Now he's being praised by followers on the internet for his calls.

Among his fans commodities investor Jim Rogers,

who praises Armstrong for his historical knowledge and insight.

His website gets more then 200,000 views per month.

My dad was a single father.

He did the best he could.

He would take us to school, pick us up.

He would take me horseback riding.

He did all of that.

His work was more than just work.

It was his passion, it was

his purpose in life.

During the nights where we were sleeping, he was working.

He just worked

whenever he could, you know, whenever he had a free moment.

If he was traveling, my grandmother was coming down on weekends,

and take us for a couple days.

When I first came out, I was initially told by one of my former employees,

He says, "Oh Marty, the industry’s changed.

You'd be lucky if 25 people show up."

And I was totally surprised.

People I hadn't seen in a long time flew in from all over the world.

I asked them, I said "Why’d you've come all the way over here?"

A lot of them said,

"I just had to come to make sure it was really you."

He got out, September and he had this seminar.

It was just him, he had no one working for him, it was just him.

And he said, "Yeah, I'm gonna have a seminar."

I'm like, "Do you really think, you're ready for this?

You just got out."

I don't think he ever expected that kind of turnout.

And he brought on Danielle just weeks before.

And honestly, like seeing him on that stage, it was just

like he never skipped a beat.

Good morning everyone.

I would like to warmly welcome Mr. Martin Armstrong.

Martin's first rush of money was while working in a rare stamp and coin collection, as a student.

And this is a passion that created a teenage millionaire.

Now, ladies and gentlemen, I'm very honored to introduce our special guest,

Mr. Martin Armstrong.

Welcome to Philadelphia,

I'm Martin Armstrong.

We all know something is wrong.

You just cannot borrow forever,

with no intention of paying anything back.

The reason we have this crisis,

is because since World War II,

they basically have just had this idea

that they can borrow year after year after year,

never have to pay a damn thing back.

The only country ever actually paid anything,

was Romania in 1980.

That's it, it's the only exception I have found since

going back to 6,000 B.C.

The marketplace's had enough of government debt.

They are the only people that never pay their money.

Government debt is always regurgitated year after year after year.

If you're

ever in Princeton, you wanna stop by our office,

we've got all the bonds from around the world.

All these bonds that defaulted, just to remind you

what a sovereign debt default really is.

I mean, try that yourself, go to the bank and say,

"Okay, fine, I wanna borrow every month 1000 $."

"When you gonna pay it back?" "Well, never."

I mean, good luck.

I mean, nobody would run their business this way or their life.

Now what?

Now we're at the point of a sovereign debt crisis

who’s gonna bail them out?

There isn't anybody left.

This thing just reaches the edge and just goes "boom".

Yes, government exempts themself from the law,

basically assuming,

there’s always gonna be people there to tax.

They just take it from you and give it to somebody else.

Their problem comes when

there are more people to pay than there are to tax.

And our biggest crisis

is that historically these systems always collapse.

When they’re done with Europe,

then they’re gonna look around and say, "Okay, who’s next?"

I suspect,

it probably will be Japan.

And then after that then they’ll turn to the dollar.

It's all gonna come to roost.

Historically, nobody has ever beaten this clock once.

I met Martin

way back in 1980, I attended one of his conferences

in Princeton, New Jersey.

So at the time, he was making some unusual forecasts.

He was actually forecasting

that there would be a crash in the stock markets in 1987.

And he was forecasting that years ahead of time.

And it was outrageous.

Because nobody

was possibly contemplating the kinds of things

that he was talking about.

And in October of 1987 lo and behold the stock markets had one of their worst collapses ever.

And as the market was collapsing, he also put out a report saying that

the markets would recover by the end of 1989

to new highs.

And everybody thought he was nuts.

And by 1989 the stock market in the United States was at new record highs.

It was uncanny.

Now here’s a man

who I believe in my heart did absolutely nothing wrong.

And I can tell you,

even if he did,

he didn't deserve the treatment that he received.

They said in the papers, said they stole so many billions of dollars.

He said, "I didn't do any of that, Mom,

I didn't steal nothing," he said.

When he was young, just going to school,

he decided to save coins.

So every time I would go shopping and he came home from school, he'd say,

"Can I go through your change, Mom?"

And he'd empty my purse and

pick out the coins he wanted.

In a while there he was collecting a lot of them,

so I said this coin collection is gonna belong to you and me.

And then my husband would see how much money he would make on his own.

He didn't want to go to college.

"Why do I have to go, look at the money I can make."

His father said, "You gotta do something,

you’re not just gonna quit school."

So then he enrolled him at RCA computer store.

This teacher I had showed us this monstrous machine

and it was about half the size of this room.

And he said, "Before you're gonna be able to graduate,

you're gonna have to know every part in this whole thing."

And you just looked at it and you said, "No way!"

And I had a history professor,

who one day put on this movie.

And this one really blew my mind.

Jim Fisk manipulating the gold market

in 1869.

And he goes to his girlfriend and he says, "Josie,

gold is 162!"

Josie! - Jim!

Look Josie, 162.5!

And I'm thinking, "Come on, it's 35 bucks."

So I went down to the libraries

and there it is in 1869. Gold 162 bucks.

Obviously, that whole linear idea that I was raised with

wasn't true.

Everything went like this

and even over the centuries.

And my father was a very conservative guy.

Said, "You're speculating too much with those commodity things.

You should put your money into the

stock market."

I listened to my father, I bought

Fidelity Trend at the top at about 54 bucks

and watched it to go about 7 dollars.

And I turned to my father

and said, "Is this the way, conservative people make their money?"

So then I'm really starting to say, "Hmm, what makes that happen?"

Imagine a computer

that actually learns

and remembers.

Suddenly that huge machine

began to make sense.

I thought I could create a system

that stores the knowledge of centuries

and uses it to predict the future.

I met Marty