North Korea Intensifying War Cycles

Earlier this week, North Korea fired four missiles into Japan’s exclusive economic zone. This was the second missile test in the last month.

Perhaps more alarming are reports that the missiles were aimed at U.S. military bases in Japan.

Larry spoke about rising geopolitical risks and war cycles last month. And unfortunately, just like Larry predicted, the situation is escalating quickly.

But don’t just take my word for it.

Military specialists in the region indicate that tensions with North Korea are at their worst. This comes on the heels of two missile tests in the last few weeks and on reports that North Korea used chemical weapons in an airport.

On one side of the divide, you have the U.S., Japan and South Korea – all condemning North Korea’s nuclear ambitions. On the other side of the equation are North Korea and, to a lesser extent, China.

North Korea’s nuclear and missile capabilities are improving and becoming more difficult to predict. Their missiles are also landing closer to Japan, a key U.S. ally.

What’s fueling tensions?

It’s no coincidence that these test launches come as the U.S. and South Korea conduct joint military drills, just like they’ve done in each of the last seven years.

Meanwhile, North Korea’s leaders are becoming more incendiary in their remarks, calling the wargames an “invasion rehearsal” and charging the exercises are “driving the region toward nuclear disaster.”

North Korean leader Kim Jong-Un has been looking for trouble by firing missiles toward our ally Japan.

Don’t be shocked to see more test launches from North Korea, as the joint U.S.-South Korea military drills are scheduled into April.

Adding even more fuel to the fire: Recent actions from China.

China has opposed American plans to deploy a missile-defense system in South Korea – referred to as THAAD. Regardless, construction began this week.

China views THAAD as an unnecessary and provocative military escalation. They also view the system’s powerful radar, which is used to track incoming missiles, as a threat to their own defense.

And China’s retaliating against South Korea economically. In just the last week, they’ve …

  • Stopped local tour agents from selling packages to South Korea.
  • Suspended business at four Lotte Mart supermarkets in Dandong.
  • Purged South Korean shows from the platforms of major Chinese streaming companies.

Where do we go from here?

We all know that sanctions against North Korea don’t work.

In fact, a recent U.N. report concluded that North Korea evaded international sanctions with help from a far-reaching network of front companies and governments.

Sure, China began to flex its economic muscle against North Korea after the February missile launch. It vowed to bar the import of products made with North Korean copal, a highly prized, aromatic resin.

This would be a good step because China represents 70% of North Korean trade. Unfortunately, China’s already walked back that promise.

Furthermore, North Korea is defiant and views U.N. sanctions as having no legal basis whatsoever.

Worse yet, North Korea threatens that more sanction pressure will result in “stronger self-defensive counter measures” and the “U.S. will bear all the responsibility.”

U.S. Response

There is no question that this puts the Trump administration in a bind, especially in the wake of the president vowing to deal with North Korea “very strongly.”

A U.S. Strategic Command spokesman said: “U.S. forces remain vigilant in the face of North Korean provocations and are fully committed to working closely with our Republic of Korea and Japanese allies to maintain security.”

Conclusion

This is important to you because these regional conflicts are going to do two things:

First, they are going to unleash the full fury of heavily armed, increasingly authoritarian governments — new Big Brother states all over the world — that now track nearly everything we write, say, buy or do.

Second — and most surprising of all — this new cycle of warfare will also coincide with the last stock- and commodity-market booms of our lifetimes, booms that too many ordinary investors will miss out on due to bad advice and even blind panic.

So, don’t be blindsided: Sign up for Real Wealth Report today.

Best wishes,

Wayne

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Comments 17

  1. John Cunningham March 8, 2017

    THANKS WAYNE. Keep it coming.

    Reply

  2. David Ecklein March 8, 2017

    Wayne-

    You refer indirectly to the Sea of Japan (where the recent DPRK missiles landed) as “Japan’s exclusive economic zone”. I believe that unless they struck within 12 miles of Japan’s coast, they landed in international waters. Koreans, both north and south, usually refer to that body of water as the East Sea, and often consider the designation “Sea of Japan” as a bit of left-over Japanese imperial hubris.

    It is regrettable that the North Koreans seem to feel compelled to launch these missiles; but where else should they aim to land them but in international waters? I suppose they could take a chance with their own small land territory, but maybe that is a risk they would like to avoid. If something goes wrong, a national or even international disaster could occur.

    The situation could improve if the US and the Republic of Korea would consider signing a formal end of the war as the North Koreans (DPRK) have repeatedly requested. As far as the DPRK is concerned, a state of war still exists, distorting normal relationships, with US forces (also missile equipped) stationed along the border. China removed their forces in the 1950s.

    As a very small dog, the chihuahua tries to bark loudly in an effort to discourage being attacked. Considering the forces against the DPRK, these missiles (and atomic tests as well) may the most effective barking they think they can do.

    Reply

  3. BRIAN LADAH March 8, 2017

    “The art of the deal must be applied” , enough blood shed. It is time for our president to go visit North Korea with open arms , love, acceptance and forgiveness. It beats the nuclear destruction of mankind. Wake up, LOVE THY NEIGHBOR.
    Next war will be the last war…
    Conciousness is our only salvation.

    Reply

    • Rich September 27, 2017

      Oh contrare Brian. Love thy neighbor is of course good advice if indeed thy neighbor has not threatened to nuke you simply to defy all convention and send the nukes your way. Sure you can try the Obama technique of open srms tell him you are sorry because we didn’t realize how upset you were. But Obama’s weasel wording, bowing and scraping and shuffling only served to give our enemies confidence we had no heart nor were we serious about anything.

      Reply

  4. Marc March 8, 2017

    First of all I wish to express my condolences to the Edelson family on the passing of Larry. I liked reading his columns. He was good for humanity. A tragic departure. I did not know him but I am a fellow Jew and so we lost a good man. A menche.
    Secondly, when someone has very little to lose they are the most dangerous kind of person. They often act recklessly. This is North Korea. As part of the western world alliance I strongly suggest you stop fighting among yourselves as Americans and start concentrating on other opponents that you might not see coming in your divided state at the moment. I am Canadian and I have always liked my southern brothers. No one is perfect but the US is still better than most other countries. Be aware of strikes you may not see coming.

    Reply

  5. Rex March 8, 2017

    “But don’t just take my word for it.”

    As a long time follower of Larry I am pleased that you will help continue his legacy. The quote from todays article is troubling to me. I am going to take your word for it and I would appreciate you also having confidence in what you are saying and sharing with us as subscribers.

    I do realize that it is sadly common today for people to write or say “don’t take my word for it” and go on to talk or write about others who are stating what the person is trying to convey. The people who do this however are clearly saying to all of us that what they say should NOT be believed. OUCH !!!

    Again please share confidently in the future.

    Thank you again, Rex [7 plus years of subscribing to Larry’s services]

    Reply

  6. David March 8, 2017

    “It’s no coincidence that these test launches come as the U.S. and South Korea conduct joint military drills, just like they’ve done in each of the last seven years.” Unless there was a break in annual drills, they have been going on a lot longer than 7 years. I was there back in 1986 and know that they had been going on long before then.

    Reply

  7. Mike March 8, 2017

    North Korea’s expertise in missiles and atomic bombs is about where the Germans and the US were in 1945. In 1905 the most powerful Nation on earth launched the most powerful battleship of its time. It could hurl over one ton of high explosive devastation 10 miles. The United States of 1977 could hurl 1,000 million tons of thermonuclear devastation to anywhere on earth. We should be as afraid of North Korea today as we would have been afraid of the England of 1905 in 1977. As to North Korea being able to hit us with a missile, I have lived my whole life with the Soviet Union able to hit us with 1,000 million tons of thermonuclear destruction and haven’t wet my pants once. Someone needs to get a grip and not spend $10,000,000,000,000 to defend us from a Nation that is 72 years behind us in military capability.

    Reply

  8. John Carolla March 8, 2017

    Someone needs to stick a missile up the young leaders behind and push the button. He is found of killing his loyal followers in that fashion. Why give him the same warm experience.

    As for China bitching about the missile defense system going into South Korea, as a defense against its lunatic from the north, they can stick it themselves. They created the problem by not winding back the North Koreans in the first place.

    Reply

    • William Henderson March 9, 2017

      Amen, Brother.

      Reply

  9. Virginia March 8, 2017

    Wayne….I am glad you are going to continue Larry’s services. Thank you for your hard work. I will be praying for you and the rest of the team in this transition…Sincerely, Virginia Young

    Reply

  10. William Henderson March 9, 2017

    Thank you for keeping the information as Larry Edelson predicted coming our way.

    Reply

  11. Michael J. Batista March 9, 2017

    Thank you for information and I think the USA should take very-strong actions against North Korea by eliminating their nuclear ambitions before it’s to late and they attack Japan or a USA territory.
    Kim Jong-In only understands a extremely strong response or he will continue to grow his military until it will be to late for any country to take reasonable action.

    Reply

  12. Marina March 9, 2017

    Thank you Wayne for keeping and continuing Larry’s traditions. When tensions rise internationally, so will the gold.

    Reply

  13. Mark M. March 9, 2017

    Wayne, I participated in joint military exercises called “Team Spirit” when I was stationed in Uijeongbu, South Korea as a young Army officer in 1988. Kim Il-sung, the current leader’s grandfather, was in charge then and they expressed the same complaints about the exercises. Today, Kim Jong-un has to have a boogeyman to fight to keep his people in check. I don’t think he ever intended to have those missiles reach their targets in Japan. He enjoys being the Supreme Leader with all its trappings too much. He probably knows that he would be taken out if he committed such an overt act of war. However, he is a nut job and Seoul, a city of 10 million people is just 35 miles south of the DMZ. It is a very vulnerable target and does need sophisticated air defense systems. The situation is very unfortunate because if they could unify that peninsula under a democracy with the natural resources in the North and the agriculture and technical know-how in the South, they would be an unstoppable economic power.

    Reply

  14. Bud Thompson March 9, 2017

    Is this saying that China is “siding” with North Korea? seems like they’re allies now.

    Reply

    • Mark M. March 14, 2017

      Bud, they’ve always been allies.

      Reply