Gerald Celente, publisher of The Trends Journal and founder/director of the Trends Research Institute, has made many bold predictions before, but his latest prognostication is a dark omen for the financial markets. Speaking in a deadpan tone and without blinking an eye, he tells Aaron Task in the attached video that "economic martial law" awaits the world in 2012.
"I believe there will be some draconian measures taken...something like a bank holiday for example," Celente says. "I believe the balance sheets of all of these financial institutions are a lot worse than they are saying they are."
The last time the U.S. declared a "Bank Holiday" was in 1933, when President Franklin D. Roosevelt ordered banks to shut down and suspend all transactions. Originally intended to last just four days, the bank holiday was extended to seven and served its purpose: anxious Americans redeposited more than half of the money they had withdrawn from their accounts after a month-long run on the banks, thus restoring confidence in the U.S. financial system.
Using cliches to describe his dire premonitions, Celente says MF Global's bankruptcy was the canary in the coal mine but Europe's debt crisis will be the straw that breaks the camel's back.
"The economic situation is being papered over," Celente says. "It's a lot worse. What you're seeing going on in Europe is not stopping."
Sounds like a wonderful start to the new year. Tell us what you think!