I believe today’s interest rate increase announced by the Federal Reserve Bank is the fulfillment of the first part of a dream I had on July 7 2014. If this interpretation is correct, the implications are enormous and coming soon.
I shared the details of that dream in my previous post, Warning: Sudden Economic Collapse Coming in 2015. Then on November 20 2015 I shared how the Lord gave me a dream showing me a one-month delay, Prophetic Dream Announces One Month Delay.
Not only did the Fed increase rates today, but they also indicated more rate increases are planned for 2016. So they sent a very clear signal to investors, which translates into a very strong stand for the dollar.
Here is an excerpt from my original post describing the first part of the dream, which I believe was fulfilled today:
Then I saw the table for the United States. There were about six or eight representatives seated on one side of the table, but I could not see any of the representatives seated across from them on the other side. Then all of the U.S. representatives that I could see stood up at the same time. This caused a great commotion throughout the whole hall as the representatives from other nations began shouting at the U.S. table and at each other. There was a lot of confusion and yelling throughout the hall. The other countries were demanding that the U.S. representatives sit back down but their demands were ignored and the U.S. delegates kept standing.
The U.S. representatives standing up symbolized a stand taken by the United States, but I was not shown specifically what that was. I saw the impact of it caused increased tensions throughout the world because representatives from other nations seated at their tables were yelling across the hall demanding the U.S. representatives sit back down, but they would not. The whole hall was filled with great commotion after the U.S. representatives took their stand.
Then I saw unseen figures seated across the table push the U.S. table over knocking those who were standing to the floor with the table pinning them down. Then I saw a certain ETF shooting up like a rocket. The stock symbol for this ETF is FAZ, which is an indexed based ETF designed to move in the opposite direction as the financial sector, three times as fast. So if FAZ shoots up like a rocket, that means the financial sector is crashing. So the dream revealed a coming crash in the stock market.
Based on another dream I received last year, which I shared in Final Four Seasons of the U.S. Dollar, I have interpreted the table getting knocked over to mean not only the collapse of the stock market, but also the sudden devaluation of the dollar. I have had some doubts about that interpretation, but a new dream received last week confirmed the table getting knocked over is all about the dollar getting devalued.
The same dream also answered another question I have had, which is revealing what was the stand taken by the U.S. representatives. I saw the price of USD/CHF going way up, which means either the dollar is about to soar or the franc is about to be devalued. I saw the price of USD/CHF moving up to 1.35 compared to where it was last week at .988, which would be an unprecedented new high for the dollar. I shared the details of this dream last week in my post, Wild Volatility Coming in Currency Markets. I believe today’s interest rate hike will bring about the fulfillment of what I saw in this new dream, including the stronger dollar and the wild volatility. So I am now convinced the stand taken by those U.S. representatives was symbolic of the strong dollar, which will come about as a direct result of the Fed’s rate hike today. These men represent the dollar so when they stand up the dollar stands up strong against all the other currencies of the world. Later on, when they get knocked down and pinned to the floor, the dollar gets knocked down and pinned to the floor.
If that is true, then today’s interest rate hike is soon going to cause the following seven events:
- The dollar is about to soar to new record highs.
- Currency markets are about to see unprecedented volatility.
- The strong dollar is about to cause tensions to increase throughout the world.
- Shadow figures are soon going to cause a sudden devaluation of the dollar that will leave the dollar pinned to the floor, helpless, and unable to get up.
- The sudden devaluation of the dollar will cause a sudden collapse of the stock market.
- China is going to be very angry with the United States and even threaten to declare war.
- FAZ is going to shoot up like a rocket.
Unless the Lord extends the time again, we could see all of the above events fulfilled by the end of January 2016.
Event Before the Event:
The Lord also showed me a sign to watch for to let us know we are very close to the sudden crash. The sign will be President Obama authorizing a proposal for $1.2 billion in military aid. I shared the details about this sign in my previous post, The Event Before the Event.
This event will mark a turning point in the markets as they will turn down at that time and continue moving down until the big drop. So this is something to watch for in the coming weeks.
After I see this event happening, my plans are to take a short position in the forex market for USD/CHF. I am also planning to buy call options for FXF, which is an ETF that tracks this currency pair. FXF moves in the opposite direction as USD/CHF.
Big Trouble Ahead:
Could the Fed’s rate hike really cause increased tensions throughout the world? The evidence for this goes beyond the prophetic dream because we can actually see it happening in the world. I will attempt to explain how and why this makes sense.
The global economy has been on life support ever since the 2008 collapse of the housing market. Central banks have done their best to mask this reality by injecting large amounts of money into every market including stocks, bonds, housing, currencies, and precious metals. They have sought to create the illusion of normalcy, but this is not a sustainable solution.
Our leaders failed to implement any of the changes needed to address the causes of the 2008 collapse because they no longer work for the American people. The majority of them work for the bankers, which explains why so many of our regulatory laws over the past two decades have been written by the bankers and for the bankers. Meanwhile the majority of the American people are no longer represented and are not even aware of what has been stolen from them, which is why we fully deserve what is coming.
The following lists some of the problems we can expect to see in the weeks ahead.
Increased Risks from Derivatives:
As long as interest rates hold steady, investors can easily predict future rate movements. However, when rates start moving it gets much harder to predict. Increased volatility creates a dangerous environment for financial institutions due to their heavy exposure to derivatives, which are financial products that have no real value, but derive all of their value from underlying assets.
In their never ending quest for more profits, financial institutions have succeeded in getting lawmakers to rewrite laws allowing them to take greater risks, literally gambling, with money they should never be allowed to risk because it is not their money. They are using our bank deposits to create more and more derivatives. As a result, the derivatives market has grown exponentially since the legal restraints were removed in 1999 with the repeal of the Banking Act of 1933 (also known as the Glass Steagall Act). It is estimated at $1.2 quadrillion, which is ten times bigger than the total world’s annual gross domestic product (GDP). (Source: Investopedia)
Since derivatives prices are almost always tied directly or indirectly to interest rates, anyone owning them is exposed to greater risks as interest rates become more volatile. Even a small miscalculation in forecasting future interest rate movements could cost financial institutions more money than they can afford to lose. In this environment, we could see the failure of Too-Big-To-Fail institutions, especially those carrying large amounts of derivatives, such as Germany’s largest bank, Deutsche Bank.
Higher Borrowing Costs:
Higher interest rates are not a big problem if we are not in debt and don’t need to borrow any money. Unfortunately, that is not the case. Since the 2008 collapse of the housing market, sovereign debt levels have increased dramatically in almost every nation. Today’s interest rate hike raises the price of dollars, which raises the price of borrowing for anyone using dollars. With nearly 19 trillion in sovereign debt and record high levels of corporate debt, higher interest rates make the U.S. government’s enormous debt burden even bigger. We survived the 2008 crisis because the government bailed out the failing financial institutions, but who is big enough to bail the government out? The Fed’s move just put our entire financial system in great danger with higher borrowing costs.
Currency Wars Spinning Out of Control:
With governments buried in debt and out of control spending, central banks have helped fuel the insanity with money printing and interest rate cuts, both designed to devalue the currency, which allows governments to effectively reduce their debt by repaying creditors with money that is worth less than what they borrowed. It is nothing more than a giant shell game designed to buy just a little more time before the gig is up. The problem with this strategy is other nations are doing it too, so the net impact keeps getting zeroed out and now time is running out.
The reckless actions of central banks have ignited a global race to the bottom to see who can devalue their currency the most. After year’s of devaluations, today’s rate hike makes the dollar stand out like an oasis in the desert, which is sure to attract more investors, way too many investors. The increased demand for dollars will drive up the value of the dollar relative to other currencies beyond anything we have seen in the past.
As the world’s reserve currency, a stronger dollar impacts the whole world causing all sorts of other problems, which is why currency wars can quickly spin out of control and escalate into military wars.
For example, a strong dollar can cause price inflation in other countries. This happens because the dollar is the world’s reserve currency, which means governments around the world are required to use dollars when purchasing oil and other commodity imports. A stronger dollar will temporarily increase their purchasing power, until they are forced to replenish their supply of dollars. Then they will get fewer dollars in exchange for their currency, which in effect means they will be forced to pay more for any basic necessities they import from other nations. This puts added pressure on nations already loaded with debt forcing them closer to the point of defaulting on their debt. Higher prices are passed on to the people, making it harder for them to afford basic necessities, which effectively lowers their standard of living and leads to civil unrest, protests, and riots.
Declining U.S. Exports:
A stronger dollar also hurts U.S. businesses that export their products to other countries. Their sales will decline because prices for their products will be less competitive.
Downward Pressure on Stocks:
Fluctuating interest rates and currency values cause uncertainty and volatility in markets. Investors don’t like either of those, which means they will be looking to protect their wealth by pulling out of risk assets like the stock market and moving into traditional safe havens, such as U.S. treasuries. Pulling funds out of the stock market puts more pressure on debt strapped corporations in need of liquidity. Moving funds into U.S. treasuries increases demand for dollars even further.
All the evidence points to the same conclusion. The stand I saw in my dream began today with the Fed rate hike. We are now very close to seeing the rest of the dream fulfilled.
Some people have complained prophetic dreams and visions are too vague and incomplete, but there is a good reason why they are that way. God only reveals pieces of the picture because He wants us to rely on Him rather than ourselves or anyone else. He also wants us to come together as a body, each of us bringing something to share. By putting all of our pieces together we come up with a clearer picture than we could ever get by ourselves. Each of us only knows in part, sees in part, and prophesies in part (1 Corinthians 13:9). Only God sees the whole picture, so He is the one we should keep our eyes on.
Author: James Bailey
James Bailey is a blogger, business owner, husband and father of two grown children. In 1982, he surrendered his life to the Lord Jesus Christ. In 2012, he founded Z3news.com to broadcast the message of salvation by reporting end time news before it happens.
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