The Retail Detail: Get your financial market crash helmets out!

The markets are halted this weekend.  The halt is scheduled to end on Sunday, June 17th, 2012.  Could this lead to another “bank holiday?”  You be the judge.

Not Good. Chart shows the Euro falling off a cliff, and staying low.Here’s where I got the charts from: http://fxtrade.oanda.com/why/spreads/recent – select only the Euro involved markets on the major markets section (it should be the far left column of options) and you should see what I got.

Market charts this week are absolutely frightening.  It looks like retailers may need to prepare for higher prices from risk-adverse suppliers as a cover-buffer for a possible Euro-based disaster.

http://www.zerohedge.com/news/due-extreme-volatility-some-market-analysts-foresee

Due to the extreme volatility some market analysts foresee could result in the coming days, OANDA fxTrade will not accept any trading activity from 6:00 AM EST until approximately 3:00 PM EST, on Sunday, June 17, 2012. OANDA believes the convergence of a major market event during off-market hours represents a potential trading risk and has taken this rare step to protect traders from excessive rate fluctuations.

While this blog is not a doom-and-gloom blog, I have this feeling of impending doom when a financial market shuts down trading…  Particularly a 24-7 shop like OANDA fx.

It may be time to haul out the financial crash helmets – and prep up for some higher commodity prices – and get out of the Euro (better yet, out of the banks completely!) as FAST as you can.

When the Euro was doing better, I switched over and avoided 44% losses from US stocks like many of my co-workers had sustained.  If I wasn’t unemployed, I would have already been back into the USD and into private company stock.  Better yet, I would have been completely out of the banks, just in case of a “bank holiday,” as the markets all appear to be linked in performance.

Click the “More…” tag to see my original article rejected by Yahoo staff:

Get Your Financial Crash Helmets Out: OANDA FxTrade Releases Shut-down Notice

Volatile Market Conditions Create “trading Shut-down” – Are Bank Holidays Next?

Amy Barnes, Yahoo! Contributor Network

Market conditions are downright frightening, especially for the Euro, commodities, and Forex markets. I advise that people start putting away some emergency cash.

A trading shut-down has just been declared on the OANDA fxTrade market, which is a real-time 24-7 shop. It’s possible (it’s slim, but it’s still a possibility) that a bank run may happen – all the major the markets appear to be closely tied in performance, prices have been rising, and a market trade holiday due to “volatile market conditions” may also signal a Bank Holiday coming up as people withdraw money to have extra on hand for both the weekend and/or emergencies that may arise, such as card system shut-downs.

Commodities prices may be a signal of another recession (although I wonder if we’ve even LEFT the last recession).

Never mind the fact that half of Atlanta looks to me like it’s been hit with a neutron bomb – there are completely empty apartment buildings and the shopping centers are half-empty for several blocks. And the local malls here in Cobb County are scary-empty – these are the same kind of malls shown in zombie movies – empty in a creepy sort of way. There were shops but no one was in them; merchandise was on the shelves and the lights were on with the doors open for business, but nobody was home. I witnessed this when I was touring two malls to check out local market conditions, and I was honestly scared to be there. The market has slaughtered businesses and the malls are closing right and left because there is no money for businesses to meet payrolls, which forces lay-offs, which kills the discretionary spending.

It’s bad enough that you can look on grocery shelves and see coffee has risen around 50-100% over the last two years. It’s horrible when you can see people bumming for scrap metal just to cover cigarettes, which probably have tripled in costs over the last few years (I’m merely guessing, because I do not smoke). The market really must be at its worst right now because the banks have started a practice of surprise sales and sheriffs have started 3am evictions of a household currently in Federal litigation.

We may be up for a “banking holiday.” The Fed announced a support for the Euro (bad idea!), which means that, as of 2008, FactCheck.org says 38% of banks are tied to the Fed which means these banks are tied into the disaster that has happened after the Fed has supported the Euro. And these banks are NOT small institutions. The Move Your Money project was created to urge people to move money out of the big banks and into local institutions, because bigger banks invest less locally than local banks and credit unions. Simply put, bigger national banks are empowered to play with your money without giving back on a local level.

Here are the sources I am using to back myself up:
1. You can see the live condition of the Euro market here: http://fxtrade.oanda.com/why/spreads/recent – select the seven day period and you will see how far the Euro has fallen or risen over a rolling 7-day period. A posting of this week is available in the story photos section.
2. The Emergency Banking Relief Act was designed to block people from running their money out of the banking system during times of crisis. It also allegedly prohibits banks other than Fed-approved ones from operating in the United States.
3. And, of course, the Zero Hedge article on the OANDA trading shutdown:
http://www.zerohedge.com/news/due-extreme-volatility-some-market-analysts-foresee

Want to do something? Here are some ways to avoid the immediate impacts of a crisis:
0. Pack a “go” bag with IDs, extra medicines, and contact information on paper.
1. Save some cash. It’s best to have a minimum of a one-month supply on hand.
2. Keep a stash of non-perishable groceries in case the stores are closed.
3. Buddy up with neighbors – nearby residents might need to share supplies.
4. Learn a skill that can be used anywhere: accounting, motor repair, roofing, etc.
5. Hoard a supply that is expensive – like coffee – I bought a one-year supply of $6 coffee and was able to use it when I became jobless. It saved me over two hundred dollars. I am *still* using $1 deodorant when prices are now $3-$6.
6. Manage your money, and goods, wisely. Consider extreme coupon use paired with bartering.
7. Learn how banks operate – and learn how to say “no” and when to play hardball.
8. Thoroughly research your options and ask to see ALL the fine print before signing a contract.
9. Best of all, bring an objective friend along who will veto a bad financial decision.
10. Invest in a freezer and several airtight coolers containers – stash flour and other grain-based goods such as spaghetti to avoid pest infestations. The Indian Meal Moth can destroy entire pantry stocks.
11. Consider pre-paying as long as a full year of rent or mortgage with large tax returns.

Want to learn more? Here are recommended resources & stories that gave me insight:
1. An excellent guide for preparation for emergencies – one of the best resources I have seen:
http://72hours.org/build_kit.html
2. Quiz app on the Great Depression – facts you might not know about:
http://quizlet.com/10895537/the-great-depression-1st-100-days-flash-cards/
3. If you have ever wanted to pretend-play the Forex market, OANDA offers a demo account:
http://fxtrade.oanda.com/trade-forex/demo/?srccont=promo_link
4. Here is an article about the Occupy Wall Street’s plans to fight Bank of America via a money run:
http://moveyourmoneyproject.org/why-you-should-move-your-money
5. One couple got a FREE HOUSE – because of a Securitization error.
http://www.dailyfinance.com/2011/04/01/court-busted-securitization-prevents-foreclosure/
6. Here is an article that details how property rights problems are created through fraud:
http://www.ritholtz.com/blog/2011/10/fraudclosure-errors-destroying-americans-property-rights/
7. Here is a blog entirely dedicated to foreclosures and fraud:
http://4closurefraud.org/

Comments are welcome, no spam please.

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About Amy Barnes

Author has extensive experience in Retail, including two years as a supervisor. Educated in Psychology, Financial Accounting, Criminal Justice, and Programming. Work experience in Law Enforcement, Security (IT), Programming (REALBasic, SQL, VB, JAVA), Retail.
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