XCode buggily loading images that aren't in my project folder

XCode buggily loading images that aren't in my project folder

For some reason, XCode is acting up really oddly. I have been testing
XCode's ability to load images with the -hd suffix, and realized that
Xcode will load a file "welcomeBackground.jpg" regardless of whether it is
actually in my project folder.
See, this code below will not crash when compiled. And this is the first
screen that is displayed when the app loads. I deleted the file
"welcomeBackground.jpg" from my project folder, and XCode still loads the
file as if it were there.
This is really freaking me out. Please help?

I am 200% sure I deleted the file from my project folder even and yet
Xcode does not crash on line 35.
I've tried cleaning the project, duplicating it and re-running it on my
iPhone 5, I've tried deleting the app from my iPhone 5 and re-running it
from Xcode but nothing is making this program crash. Please help? How the
heck is XCode loading welcomeBackground.jpg when it simply is not there?