. January 1, 2009 SouthAmerica: My crystal ball is very foggy these days, and I would be lying to you if I told you that I understand how the new economic system adopted by the United States in 2008 works. It is very hard to make any intelligent predictions when today we have a new economic system adopted here in the United States based on stock market manipulations, massive U.S. government intervention and nationalization of major sectors of the US economy, and we have a U.S. government acting as if itâs in complete PANIC because the entire US economic system is spinning completely out of control in a downward spiral and as a result the US government is resorting to print money as fast as they can in a major last effort to avoid the First Great Depression of the 21st Century. It is scary to see the US government today following the Zimbabwe economic model of last resort before a total economic chaos and collapse - print money as fast as you canâ¦. Anyway there are few trends that you can bet it will continue in 2009 and 2010. 1) Real Estate prices will continue to decline at least another 20 or 30 percent or even more in the next 2 years. 2) The US dollar should be declining at a much faster pace right now, and at one point we should reach the meltdown point for the US dollar â but itâs very hard to predict when people from around the world are going to take a good look at the US dollar using common sense â most central bankers and people in general from around the world still under the illusion that the US dollar is the only sound currency in time of massive global economic and financial crisis. But today if we were using good common sense then we would realize that we can compare the US dollar with the âTitanicâ â this great ship, powerful, impressive, unsinkable, and that a lot of wealthy and influential people wanted to be aboard it. What is interesting and ironic is that today the new âTitanicâ already hit the iceberg and the magnificent ship is sinking fast and the central bankers and money masters still are thinking that this ship is safe and sound and they still investing and are placing their bets on the future of this ship. The Fed run out of bullets and the Fed funds rate is away below the current rate of inflation in the USA. And the Fed balance sheet has been turned into a massive toxic financial wasteland. I wonder if many of these central bankers and money masters understand what is happening to the âintrinsic value of the US dollarâ and what a policy of printing money as fast you can and running massive deficits year after year can do to the value of the currency. Only one world can describe the end result of this fiasco â MELTDOWN â a massive US dollar meltdown, and the total collapse of the current international monetary system based on the US dollar. 3) Stock Market Averages I would not be surprised to find out in the future that the US government is trying to manipulate the stock market here in the USA today. (Possibly even with the help of a few major market players.) The current US stock market averages (Dow, S&P and Nasdaq) reflect manipulated information, and is being kept up by artificial means. These averages should be down at least another 20 or 30 percent if the Hedge funds start letting people redeem their investments, and if people start trading based on the reality of coming company earnings and a fast declining US economy with fast increasing unemployment, and new levels of financial crisis as many companies file for bankruptcy, and new financial scandals come to the publics' attention. The averages closed for the year of 2008 at: Dow = 8,776.39 S&P 500 = 903.25 Nasdaq = 1,577.03 The new Obama administration canât produce economic miracles overnight, and during the next 2 years at any point the averages should reach a new low along these ranges: Dow = 7,000 to 6,000 S&P 500 = 750 to 650 Nasdaq = 1,250 to 1,100 In a Nutshell: As the Obama administration replaces the worst government the United States had since 1776 (the Bush administration 2001 to 2008) â this new administration is going find out very fast that they have inherited the Perfect Storm as the U.S. economic and financial system descends step by step into the New First Great Depression of the 21st Century.. New First Great Depression of the 21st Century â Made in the USA. .