If you have not yet read Part 1: The Hard Truth, available free to all readers, please click here to read it first.

The larger part of this story concerns the effects that excessive financialization has had on the globalization of markets.

One very large part of this has involved the explosion of carry trades — i.e., borrowing in one place to invest in another.

An example would be borrowing US dollars to buy New Zealand government bonds. The “carry” part of that trade is that borrowing in US dollars might cost you 2% per year, but New Zealand bonds are paying out 5% — providing you with a 3% ‘carry.’ Lever that up, and do that trade all day long, with as much volume as your lenders will allow.

In the past, it made a lot of sense for a Japanese pension fund to sell its yen (where the local 10-yr government bond is sporting a negative yield) and buy euros to plow into Italian 10-year debt which has a positive yield. Easy money, right?

Well, it’s all fun and games until you get clocked by a currency reset that wipes out all your positive carry.

The trend up until now has been one of increasingly large bets denominated in US dollars spread out all over the globe.

But the hugely concerning warning sign of a massive reset is now flashing, and it’s…   (Enroll now to continue reading)

If you have not yet read Part 1: Do You Truly Have Free Will?, available free to all readers, please click here to read it first.

I don’t need to pull any punches here among Peak Prosperity’s paid subscribers; as you all know this well: humans are at a very dangerous juncture of history.

We might decide to be smart and create a brilliant future for ourselves. But the current odds favor our species defaulting into oblivion.

The Earth won’t care. It’s got an entire museum warehouse filled with failed species, all for one reason or another.  Evolution is busy solving the most complex of problems, and failure is one of its most commonly employed tools.

But even if the Earth won’t miss us, as a resident of it with the capacity to operate consciously, I happen to care a lot about the human experiment and that it carries on. I trust you do as well.

In the end, the Earth will be fine.  I am certain of that.  Humans?  Maybe not so much.

If we’re going to shift our collective destiny, we first have to shift our own personal destiny, and that means being aware of the true complexity of the (brain) systems involved and then using the best and most powerful tools and techniques we can bring to bear.

The good news is that we now have…(enroll to keep reading)