Multiple blows slam Europe. Now comes the hard part.

For many months, we have warned that a series of economic and political eruptions overseas would drive wave after wave of flight capital to the U.S. markets.

We talked about foreign fear money seeking safer havens on our shores.

We explained how it would drive U.S. stock prices higher despite America’s own economic challenges … boost U.S. real estate values despite rising interest rates … and create remarkable new profit opportunities for investors despite new risks.

Now this trend has become a megatrend. And the evidence is everywhere, especially in the European Union (EU).

Exhibit #1 is Italy.

The centrist government, which fully supported the EU and the euro, has fallen. The League and the Five Star Movement, two populist anti-EU parties, have taken over.

At first, they were gung-ho to abandon the euro. Now, for the time being, they have dropped that idea from their high-priority agenda. But their venom and anger at the EU continues to boil. And it's driving a series of unprecedented actions.

Right now, Italy’s new government is refusing to ratify an EU free-trade accord with Canada. This is derailing the union’s most-ambitious commercial deal in history, upending decades of consensus in Brussels, and driving fear up the spine of eurocrats.

Italy’s new government has also promised Italians a flat tax and universal basic income. This will bloat the federal deficit, bring on sanctions by the European Commission, and transform Italy into a pariah state.

As Barry Eichengreen, author of Golden Fetters: The Gold Standard and the Great Depression, 1919-1939, writes in The Guardian …

“Italy could quickly find itself out of the eurozone and ring-fenced by capital controls, regardless of whether the government intended this outcome.”

Economics Nobel Laureate Joseph Stiglitz agrees: “The backlash in Italy,” he writes, “is another predictable (and predicted) episode in the long saga of a poorly designed currency arrangement, in which the dominant power, Germany, impedes the necessary reforms and insists on policies that exacerbate the inherent problems.”

“Italy, he adds, “has been performing poorly since the euro’s launch. Its real GDP in 2016 was the same as it was in 2001.”

Exhibit #2 is Germany.

German economist Claus Vogt, editor of the widely respected Krisensicher Investieren (Safe Investing in Crisis), chronicles and predicts the unfolding crisis from Bonn. “The party in Germany is over,” he declares. “Durable goods orders have fallen for the fourth consecutive month, signaling an economic downturn.”

The German Institute for Economic Research (DIW) has just slashed its growth forecast for Germany due to an unexpectedly weak start in 2018 and the expected fallout from Italy’s new government.

And despite all this impending weakness, Germany’s finance minister has just announced more austerity. He wants to slash investment, cut defense spending, and even lower the country’s contributions to the EU budget. Brussels is in shock. But they can’t do a thing to stop it.

Meanwhile, Germany’s anti-EU AfD Party continues to gain strength.

In elections last September, AfD became the first far-right party to win seats in the Bundestag in more than half a century.

It is now Germany’s leading opposition party.

As such, it chairs the powerful parliamentary budget committee, issues the first response to any government statement, and does everything it can to “split society,” warns German daily Südddeutsche Zeitung.

Exhibit #3 is the eurozone economy.

Just since the dawn of the 21st century, the U.S. economy has suffered a tech wreck, a housing bust, a massive debt crisis, the Great Recession and an unusually weak recovery. But compared to the eurozone, it looks like an oracle of growth.

In the entire eight-year period from 2008 to 2016, the eurozone’s real GDP increased by a meager 3% overall. That’s an average yearly growth of less than 0.4%.

Or consider this stark comparison: Back in 2000, just one year after the euro was introduced, the U.S. economy was only 13% larger than the eurozone. By 2016, it was 26% larger. And now, the eurozone economy is faltering again.

Stiglitz ties it back to the disastrous euro experiment. “If one country does poorly,” he writes, “blame the country; if many countries are doing poorly, blame the system.” As he explains in The Euro: How a Common Currency Threatens the Future of Europe, “the euro was a system almost designed to fail.”

Exhibit #4 is the European migrant crisis.

Just when observers thought it was subsiding thanks to some stricter border controls, the migrant crisis has burst back onto the scene with gale force.

Click image for a larger view.

Bloomberg reports that Europe’s fragile unity is crumbling as migration quarrels spill over: “Three summers after Europe’s biggest migration influx since World War II, the old wounds are reopening.”

Just by sea alone, 9,612 migrants have arrived in Spain, 12,065 have shown up on the shores of Greece, and a whopping 15,316 have poured into Italy from North African countries like Algeria, Tunisia, Libya and Egypt.

Italy’s new interior minister, Matteo Salvini, set off a whole new round of fireworks last week when he refused to allow a migrant rescue ship, the Aquarius, to land in Italian ports with 629 migrants aboard.

German Chancellor Angela Merkel warned that the crisis could tear to shreds any vestiges of European unity.

French president Emmanuel Macron blasted the Italian government’s “cynical and irresponsible” decision to abandon 130 unaccompanied minors and pregnant women.

And many predicted that anti-immigrant fury will turbocharge the already-surging anti-euro movement.

Exhibit #5 is the looming trade war.

Just last Thursday, EU countries approved a new raft of tariffs targeting U.S. goods in retaliation against duties imposed by President Trump on European metals.

This is throwing more fuel on the fire of an escalating transatlantic trade war just days after Trump broke with allies at the G7 summit in Canada, refusing to sign their joint communiqué.

Separately, the U.S. president slapped a new set of tariffs on $50 billion of Chinese exports, a serious escalation of trade tensions between the world’s two largest economies, according to a majority of both Democratic and Republican lawmakers.

China threatens to retaliate immediately.

“This Barely Scratches The Surface of The Crisis”

Tony Sagami, two-time winner of the Thomson Money Manager of the Year Award, reminds us that the perfect storm in Europe is just one piece of the political and economic crisis now spreading globally.

“Martin, everything you’ve talked about so far,” he said in a recent conference call, “barely scratches the surface of the global crisis.

“Emerging market economies are crumbling. Civil wars and regional wars are escalating — or looming — in the Middle East and South Asia. China and Japan are on the brink of their own regional trade war.

“Many U.S. investors typically do not concern themselves with what’s happening overseas,” he added. “Most of the time, they don’t have to. Now, though, it’s a must. It’s urgent. We absolutely have to reach out to them to have a very serious discussion about the impacts on their investments — the good, the bad, the ugly.”

I agree. And I have invited two people to help me. The first is Claus Vogt, whom I mentioned earlier. He’s the only prominent German money manager who warned about the European crisis before it began.

The second is Tony himself, who not only won the Thomson Money Manager of the Year Award twice, but is also the only stock expert who told his followers to sell all tech stocks days before the dot-com bust began.

Claus lives in Europe; Tony in Asia. To show you how to protect yourself from the crisis and even use it to build your wealth safely, the three of us will be meeting online for an urgent video conference this week.

So, mark your calendar: Thursday, June 21^st at 2 PM Eastern time.

Then a few minutes before the hour, just click this link to join us.

Good luck and God bless!

Martin