The Italian Chamber of Deputies recently organized the conference called "Italy's public debt in the Eurozone", which saw experts in the restructuring of public debt, academics, journalists and investment fund managers. In a participant's opinion, Jens Nordvig, head of department at Nomura Securities and former banker at Goldman Sachs, "Italy is now the most important country in Europe". The reason is of course, not just the size of its economy, but also the very high level of its public debt, which nobody seems to be able to find a solution for. The latest official data, of April 2017, shows that public debt has reached 2.27 trillion Euros, a new record, after increasing 37.2 billion over last year's similar period. The aggregated budget deficit after the first six months of 2017 was 50.2 billion Euros, 22.5 billion Euros higher YOY, according to Reuters, as over half of the deficit of June 2017, of 8.2 billion Euros, was the "result" of the state's involvement in the liquidation of the two banks in the Veneto region. A new record, once again a negative one, was seen when it comes to Italy's position within Target2 (Trans-European Automated Real-time Gross settlement Express Transfer), the real-time settlement system for payments in Euros. ECB data of May 2017, shows that Italy's deficit within the Target2 system has reached 421.6 billion Euros, way above the level recorded during the sovereign debt crisis, a phenomenon which reflects the acceleration of capital outflows. Under these circumstances, it is not surprising that the European authorities have "allowed" Italy to violate the banking resolution regulations that recently came into effect, even though that represents a new factor "to divide Europe", according to Reuters.
Wednesday, July 12, 2017
Wednesday, February 22, 2017
Relatives of the 12 people killed in December when a truck ploughed into a Christmas market in Berlin have expressed their dismay at the negligent way they say they have been treated by German authorities. About 50 people who lost loved ones in the Islamic State-claimed terrorist attack reportedly told a private meeting called by Germany’s outgoing president, Joachim Gauck, and the interior minister, Thomas de Maizière, they felt abandoned at a deeply upsetting time. Relatives said the first official communication they had with authorities was a bill sent to them by the coroner’s office. The letter reportedly included a warning that if the bill was not paid within a certain timeframe, the recipients would face legal action. One relative told Der Tagesspiegel and Die Welt newspapers that when she received the letter she had thought at the very least it would be a letter of condolence from Berlin’s mayor. Those who were certain that their family members were among the dead said they were prevented by security personnel from entering the Kaiser Wilhelm Memorial church on Breitscheidplatz for a religious service held the day after the attack on 19 December. The reason they were given was that high-ranking German politicians – including Gauck – were among the guests. According to the papers, which reported on the four-hour meeting at Gauck’s Bellevue Palace, the president told the relatives he was distressed to hear they had been unable to enter the church and that he had not known about it at the time.
Wednesday, January 20, 2016
Independent researchers reported detecting elevated methane levels as far as 8 miles from the massive, ongoing leak of natural gas from a storage site in northwestern Los Angeles. A ruptured well at Southern California Gas Co.'s Aliso Canyon underground facility has spewed more than 80,000 metric tons of methane into the atmosphere since the leak was discovered Oct. 23. The release of the powerful greenhouse gas led to the evacuation of thousands of people from the affluent Porter Ranch neighborhood a mile from the leak after reports by residents of nosebleeds, rashes, headaches and nausea.Finding elevated methane levels well beyond the Porter Ranch area raises potential health concerns for people living outside the immediate vicinity of the leak, the researchers said. Inhaling low concentrations of methane, the primary component of natural gas, is generally not considered a health concern, but natural gas often contains trace amounts of other, more harmful gases. "Whatever else may be in the gas-benzene, toluene, xylene -- that is what people may be breathing," said Nathan Phillips, an earth and environment professor at Boston University. "Even though we're not measuring things other than methane, there is a legitimate concern that there is that other nasty stuff in there." The findings challenge assurances from the South Coast Air Quality Management District, the regional air pollution control agency, and the state's Office of Environmental Health Hazard Assessment that the leak hasn't increased residents' exposure to toxic gases. The cumulative methane emissions from the Aliso Canyon facility to date have the greenhouse gas equivalent on the Earth's atmosphere of burning nearly 800 million gallons of gasoline, according to the Environmental Defense Fund. On Wednesday, Los Angeles City Councilman Mitchell Englander called on SoCal Gas to extend its residential relocation program to residents of neighborhoods adjacent to Porter Ranch, according to the Los Angeles Daily News. People in these communities were also reporting similar symptoms related to the leaking gas, according to the paper. SoCal Gas spokeswoman Kristine Lloyd said the gas company is providing temporary accommodation and air filtration for residents within a five-mile radius of the leak, extending beyond Porter Ranch. Democratic US Senators Barbara Boxer and Dianne Feinstein of California sent a letter to the Department of Transportation, the Environmental Protection Agency and the Department of Justice Wednesday calling on the federal agencies to offer further assistance to the State of California in responding to the gas leak. In a mapping effort funded by the Home Energy Efficiency Team, a Cambridge, Mass., nonprofit, Phillips and Robert Ackley of Gas Safety Inc. measured methane emissions for the past several days near the Aliso Canyon leak. Gas Safety Inc. provides natural gas leak detection services to industry, businesses and homeowners. They used a laser-based system mounted to a car. It recorded methane concentrations and plotted the readings on Google Earth. On Tuesday and Wednesday the researchers drove further from the leak and recorded methane concentrations as much as two times higher than background levels, as far as 8 miles away from the site.
Friday, December 18, 2015
There is no jobs growth. The total hours worked in the US economy is the same as 15 years ago and most of the other economic indicators have been going south for months. The Fed is trapped and there is no way they can raise rates other than by a purely token amount without sending the whole thing rapidly to the dogs; in fact a recession next year is odds even if the Fed does nothing. We will get Big Bust 2 within the next 18 months...THERE WILL BE NO RATE RISE! Yellen knows full well you can't taper a Ponzi, so unless Goldman Sachs has massively shorted the markets and ordered its central banker minions to hike rates to crash the markets, Yellen will come up with yet another in her endless list of excuses to punt yet again on a rate hike. THERE WILL BE NO RATE RISE. Period. It's not like the Fed has any credibility left to lose. ..According to some soothsayers, there will be a 0.15% Fed rise BUT....after New Year there will be some more easing, say....$50 Billion. This time around the money printing will be in subsidies for the middle income earners. If the FED does not do this there will be turmoil and public protests. The Obama admin does not want this, not after the California shootings and most probably some more in the Christmas holiday season. The Obama gov needs the support of the public NOW more than ever....The Fed exists solely to further enrich the already super-rich. That means facilitating the looting and asset-stripping of the "middle income earners" (a soon to be extinct class) as part of the Fed's "No Billionaire Left Behind" monetary policy. The Fed will NEVER subsidize or otherwise give a damn about "middle income earners," much less savers, pensioners, and non-speculators, with whom it is in a state of undeclared financial warfare...The whole casino economy is built around perceptions. There are no relations between economic fundamentals and the value of the stock markets or the amount of public and private debt. A simple lack of confidence or misplaced rumor can cause a panic among investors. And then there's the trillions of debts owed in US dollars by entities who don't use the U.S. dollar as there native currency., Yellen will not raise rates in the absence of some exogenous event, i.e. a phone call from Goldman Sachs or the bond market going haywire as "investors" belatedly realize Yellen & her central banker cohorts are going to inflate away all government and TBTF banker debts and liabilities.
Sunday, April 19, 2015
The IMF's World Economic Outlook forecast that rich economies will clock up respectable growth of 2.4pc this year after 1.8pc in 2014 as fiscal austerity fades and quantitative easing lifts the eurozone off the reefs, but there will be no return to the glory days of the pre-Lehman era. "Potential growth in advanced economies was already declining before the crisis. Ageing, together with a slowdown in total productivity, were at work. The crisis made it worse," said Olivier Blanchard, the IMF's chief economist. "Legacies of both the financial and the euro area crises — weak banks and high levels of public, corporate and household debt — are still weighing on growth. Low growth in turn makes deleveraging a slow process." The world will remain stuck in a low-growth trap until 2020, and perhaps beyond. The Fund called for a blast of infrastructure spending by Germany and others with fiscal leeway to help break out of the impasse. The report said markets may have been lulled into a complacency by the lowest bond yields in history and a strange lack of volatility, seemingly based on trust that central banks will always come to the rescue. Any evidence that the fault lines of the global financial system are about to be tested could "trigger turmoil", it warned....The Fund said yields on 10-year US Treasuries had fallen 80 basis points from October to January due to spillover effects from QE in Europe and Japan, but this sets up the potential for an even sharper spring-back once the Fed tightens in earnest. The big worry is what will happen to Russia, Brazil and developing economies in Asia that borrowed most heavily in dollars when the Fed was still flooding the world with cheap liquidity. Emerging markets account to roughly half of the $9 trillion of offshore dollar debt outside US jurisdiction. The IMF warned that a big chunk of the debt owed by companies is in the non-tradeable sector. These firms lack "natural revenue hedges" that can shield them against a double blow from rising borrowing costs and a further surge in the dollar. There has already been a trial run of what can go wrong with the much smaller scale of borrowing in Swiss francs. "The balance sheet shock generated by the sudden large appreciation of the Swiss franc on some countries in central and eastern Europe with sizable domestic mortgage lending in that currency highlights the nature of these risks," it said. The BRICS club is no longer in a fit state to handle the full consequences of a dollar shock, with the exception of India, the lone star with 7.5pc growth this year and next. India will overtake China in 2015 for the first time in modern memory. Russia's economy will contract by 3.8pc this year as the full impact of the oil price crash and Western sanctions both bite deeper. Brazil faces a long slump, shrinking by 1pc in 2015, with barely a flicker of recovery in 2016. While China is expected to avoid a hard-landing, its growth will slow yet further to 6.3pc next year. The Fund hinted that the much-trumpeted reforms so far add up to little and have yet to put the country on a viable course.
Thursday, April 16, 2015
Excerpt from TOWER OF BASEL: The Shadowy History of the Secret Bank that Runs the World by Adam LeBor ... : The world’s most exclusive club has eighteen members. They gather every other month on a Sunday evening at 7 p.m. in conference room E in a circular tower block whose tinted windows overlook the central Basel railway station. Their discussion lasts for one hour, perhaps an hour and a half. Some of those present bring a colleague with them, but the aides rarely speak during this most confidential of conclaves. The meeting closes, the aides leave, and those remaining retire for dinner in the dining room on the eighteenth floor, rightly confident that the food and the wine will be superb. The meal, which continues until 11 p.m. or midnight, is where the real work is done. The protocol and hospitality, honed for more than eight decades, are faultless. Anything said at the dining table, it is understood, is not to be repeated elsewhere. As a result of allegations that the BIS had helped the Germans loot assets from occupied countries during World War II, the Bretton Woods Conference recommended the "liquidation of the Bank for International Settlements at the earliest possible moment". This resulted in the BIS being the subject of a disagreement between the non-governmental U.S. and British delegations. The liquidation of the bank was supported by other European delegates, as well as the United States (including Harry Dexter White, Secretary of the Treasury, and Henry Morgenthau), but opposed by John Maynard Keynes, head of the British delegation.
Fearing that the BIS would be dissolved by President Franklin Delano Roosevelt, Keynes went to Morgenthau hoping to prevent the dissolution, or have it postponed, but the next day the dissolution of the BIS was approved. However, the liquidation of the bank was never actually undertaken. In April 1945, the new U.S. president Harry S. Truman and the British government suspended the dissolution, and the decision to liquidate the BIS was officially reversed in 1948.
One strongly suspects that Roosevelt was assassinated because of this. Cui Bono. Ditto Kennedy, who opposed the Federal Reserve, an unconstitutional abomination, with his famous executive order 11110. Again that was quietly forgotten about after the events in Dallas. One must always analyse subsequent events to understand who benefited from these atrocities... The BIS has the right to communicate in code and to send and receive correspondence in bags covered by the same protection as embassies, meaning they cannot be opened. The BIS is exempt from Swiss taxes. Its employees do not have to pay income tax on their salaries, which are usually generous, designed to compete with the private sector. The general man- ager’s salary in 2011 was 763,930 Swiss francs, while head of departments were paid 587,640 per annum, plus generous allowances. The bank’s extraordinary legal privileges also extend to its staff and directors. Senior managers enjoy a special status, similar to that of diplomats, while carrying out their duties in Switzerland, which means their bags cannot be searched (unless there is evidence of a blatant criminal act), and their papers are inviolable. The central bank governors traveling to Basel for the bimonthly meetings enjoy the same status while in Switzerland. All bank officials are immune under Swiss law, for life, for all the acts carried out during the discharge of their duties. The bank is a popular place to work and not just because of the salaries. Around six hundred staff come from over fifty countries. The atmosphere is multi-national and cosmopolitan, albeit very Swiss, emphasizing the bank’s hierarchy. Like many of those working for the UN or the IMF, some of the staff of the BIS, especially senior management, are driven by a sense of mission, that they are working for a higher, even celestial purpose and so are immune from normal considerations of accountability and transparency....The Bank for International Settlements (BIS), is the bank for central banks. Its current members [ZH: as of 2013] include Ben Bernanke, the chairman of the US Federal Reserve; Sir Mervyn King, the governor of the Bank of England; Mario Draghi, of the European Central Bank; Zhou Xiaochuan of the Bank of China; and the central bank governors of Germany, France, Italy, Sweden, Canada, India, and Brazil. Jaime Caruana, a former governor of the Bank of Spain, the BIS’s general manager, joins them.
Saturday, February 28, 2015
Eurozone finance ministers have approved reform proposals submitted by Greece as a condition for extending its bailout by four months, officials say. The Eurogroup said it had agreed to begin national procedures - parliamentary votes in several states to give the deal final approval. The measures proposed by Greece include combating tax evasion and tackling the smuggling of fuel and tobacco. The European Commission said earlier they were a "valid starting point". Eurozone finance ministers - known as the Eurogroup - then held a conference call before giving their backing to the Greek proposals. "We call on the Greek authorities to further develop and broaden the list of reform measures, based on the current arrangement, in close co-ordination with the institutions," the Eurogroup said in a statement. The agreement had "averted an immediate crisis", said European Commissioner for Economic Affairs Pierre Moscovici. "It does not mean we approve those reforms, it means the approach is serious enough for further discussion," he added. 'Lack of clear assurances' . However, International Monetary Fund (IMF) head Christine Lagarde was quoted as expressing reservations about the reform proposals. "In some areas like combating tax evasion and corruption I am encouraged by what appears to be a stronger resolve on the part of the new authorities in Athens," she wrote in a letter to the Eurogroup. "In quite a few areas, however, including perhaps the most important ones, the letter is not conveying clear assurances that the government intends to undertake the reforms envisaged."
Friday, February 27, 2015
Bucharest, Romania — Outside the National Anticorruption Directorate in downtown Bucharest, more than a dozen reporters and cameramen stand around chatting. It’s a weekday afternoon, and they know it’s only a matter of time before the next high-profile Romanian shows up to face charges of corruption. Even a few years ago, Romania's powerful and well-connected were able to line their own pockets with impunity, earning the country deserved notoriety as one of Europe's most graft-ridden nations. But today, in a perfect storm of external pressure from the European Union and internal public anger, Romania's crackdown on corruption is almost routine. With an independent and tenacious special prosecutor's office driving the effort, the country is making dramatic strides in holding elites just as accountable as the common man. Yet as part of the country’s ascension into the EU, which they joined in 2007 along with neighboring Bulgaria, Romania – where graft reaches to all levels of society – was required to clean up its act. “It started because we had the right mix of external pressure from the European Commission and internal pressure from the population,” says Laura Stefan, an anticorruption expert and a former director in the Romanian Ministry of Justice. Yet, she adds: “When this started, there was no trust in the state. A lot of people were skeptical, and it took a long time and a lot of strong cases to convince people.” In 2003, the country established the National Anticorruption Directorate (DNA), a specialized prosecutor's office tasked with fighting corruption and graft. Initially the DNA targeted lower-level figures, but within a few years it was aiming far higher, and the number of people convicted of high-level graft of more than 10,000 euros ($11,300) has risen accordingly. Last year 1,138 individuals, including politicians, businessmen, judges, and prosecutors, were convicted of corruption in Romania, up from 155 in 2006. This included 24 mayors, five members of parliament, two ex-ministers, and a former prime minister, not to mention seven judges and 13 prosecutors. Those convicted include politicians of all stripes, irrespective of party lines. This year the headlines have continued to pile up. Last week Monica Iacob Ridzi, a former sports and youth minister, was sentenced to five years in prison for abuse of power and corruption. A few days earlier, a former transportation minister was also jailed, sentenced to two years for taking bribes while in office, including getting a house built for his mother free of charge. These days Romanian news channels are fixated on the rapid fall from grace of Elena Udrea, a glamorous MP, former tourism minister, and recent presidential candidate (she finished fourth) who was arrested in mid-February on charges of money laundering, influence peddling, and taking bribes. Pundits had a field day when Ms. Udrea asked for permission to refurbish and decorate the cell she was being held in under preventive arrest. Some 7 percent of politicians elected in 2012 have been convicted or are currently under investigation for corruption, according to estimates. The DNA’s conviction success rate is over 90 percent. The DNA’s biggest conviction to date has been that of former Prime Minister Adrian Nastase (2000-2004), who was sentenced to four years behind bars in January 2014 for bribery and blackmail. “Right now it is ugly, but it is a sign of progress, it shows willingness,” says Cristian Ghinea, director of the Romanian Center for European Policies, a Bucharest-based think tank. Last November, just days after an anticorruption candidate won Romania’s latest presidential election, lawmakers were once again called to vote on a controversial amnesty bill. This one would have opened the way to releasing any inmate serving up to six years in prison for non-violent crimes – which would have included most of those serving time for corruption. This time the vote was almost unanimously against the bill. If there were clear-cut signs that no one is now safe from investigation, it has been in recent weeks, as first Udrea, the former presidential candidate, was arrested, and then Iulian Hertanu, the brother-in-law of Romania’s Prime Minister Victor Ponta, was detained. Mr. Hertanu was allegedly involved in embezzling funds worth around 1.75 million euros. “The area of untouchables has gotten smaller and smaller with time,” says Ms. Stefan, the anticorruption expert. “People are seeing for the first time, if you steal you go to jail, no matter who you are. This is the way it should be, but we need to keep the momentum.” (source CS Monitor)
Thursday, February 26, 2015
Gold Rush ??? -A few years ago annual production was 13,000,0000 ozs,it is now 10,000,000 ozs worldwide,although figures for Russia and China are vague and possibly unreliable.We do know,however,that they do not export in any volume that which they do mine. I have a friend ,a board member ,of a company ,that produces 1,000,000 ozs per annum.it s no secret that they have enough ore above ground for about two years production,they are ,at the moment,not mining. Now,onto consumption,prefaced by the admission that I reside in Thailand,and I am speaking as I see the situation here and indeed the surrounding countries of S.E.Asia. The general population buy gold to keep for weddings and the rainy day syndrome.They do not buy as an investment or for trading,the spread is too great. The Chinese will,if the coming year is thought to be unfavourable. India,the largest consumer, placed tax on imports a couple of years ago of (I believe) 5%. My question to my self at the time was answered by an Indian who was trying to come to an agreement with the company mentioned above,to no avail of course,when he reminded me of our conversation of sometime before,years in fact,when he predicted that middle class Hindu brides,say five or ten million every year,would swallow world production. The presumption I now have confirmed to myself is that most markets are manipulated,you and I will be allowed to gamble in shares bonds and propery,because they are our decisions and will be our fault.The underpinning we used to enjoy fifteen years ago ,is no more.Good luck and God bless you all ... $1000 dollars of gold stuffed under the mattress a hundred years ago would be more valuable today than $1000 in cash stuffed under the same mattress, so people saying pieces of paper issued by a central bank are a better bet than gold are clearly talking nonsense, how are those Hapsburg thalers, Reich marks or Czarist rubles doing these days? But, and it is a huge but, gold only retains its value in a civilized society, it is spectacularly useless when society breaks down a fact about which many gold buyers seem to be completely unaware. How the heck do you think gold coins will save your neck when the Morlocks are coming over the garden fence? The mere fact of owning gold will mark you out for immediate attack. The first time you go to the market to buy your bag of rice with a gold sovereign is the moment your fate is sealed. Historically Jews and other persecuted groups kept their wealth in gold as they figured it was their passport when the crisis came, all it meant was that the bad guys knew to strip them naked and steal their clothes and luggage after chasing them out while the peasants ransacked their homes looking for the secret stash. Think of those caches of gold dug up by archeologists, which we are told were hidden to keep it safe from the Vikings and ask yourself how much use all that gold was to its original owner.
Sunday, February 15, 2015
The former head of the US central bank, Alan Greenspan, has predicted that Greece will have to leave the eurozone. He told the BBC he could not see who would be willing to put up more loans to bolster Greece's struggling economy. Greece wants to re-negotiate its bailout, but Mr Greenspan said "I don't think it will be resolved without Greece leaving the eurozone". Earlier, UK Chancellor George Osborne said a Greek exit would cause "deep ructions" for Britain. Mr Greenspan, chairman of the Federal Reserve from 1987 to 2006, said: "I believe [Greece] will eventually leave. I don't think it helps them or the rest of the eurozone - it is just a matter of time before everyone recognises that parting is the best strategy. The problem is that there there is no way that I can conceive of the euro of continuing, unless and until all of the members of eurozone become politically integrated - actually even just fiscally integrated won't do it." Following the election in Greece of the anti-austerity Syriza party, Greek ministers have been touring European capitals trying to drum up support for a re-negotiation of its bailout terms. However, there appears little willingness in Berlin, or at the European Central Bank, to alter the terms of its €240bn (£182bn) rescue by the European Union, ECB, and International Monetary Fund. "The [bailout] conditions with Greece were generous, beyond all measure,'' German Finance Minister Wolfgang Schaeuble said last week. He saw not justification for relaxing them further. Euro break-up ... Mr Greenspan said: "All the cards are being held by members of the eurozone." He also warned that trying to hold the 19-nation euro bloc together "is putting strain on everybody". He said as well as Greece leaving the eurozone, there was a real risk of a "much bigger break-up" with other southern European countries forced out. Earlier on Sunday, Mr Osborne told the BBC's Andrew Marr Show that the UK was stepping up contingency planning to prepare for a possible Greek exit. "This stand-off between Greece and the eurozone is increasing the risks every day to the British economy," the chancellor said. A Greek exit from the single currency would create instability in European financial markets and cause "real ructions" in Britain, too, he added.
Saturday, October 25, 2014
Clearly, the IMF and the World Bank have begun to realize that the system is broken. Unfortunately, no-one seems to have a clue what to do - apart from yet more QE and praying that the Banks will start lending. Have they not realized that the real problem lies in the way money is created in the system? As Positive Money have been arguing very coherently for some years, 97% of the money in the economy is currently created out of thin air when Commercial Banks make loans in the form of interest bearing debts. Even the Bank of England has now come clean on this mind boggling fact. Yes, Mr Cameron, there is a magic money tree. There's one in every Bank in the world. That's how our current money system works.
The interest payments generated by this insane debt-based money system are absolutely crippling the entire world economy. 3% of all GDP is currently being used to pay the interest payments on government debt, and in the 28 EU countries, those unjustifiable interest payments have cost taxpayers a total of over €6.2 trillion since 1996 - 54.8% of all government debt. And that is despite the fact that the banks who lend their "money" to governments don't even have the money they lend. What's even more stupid is that since the Basel regulations say that lending to AAA to AA- rating sovereigns has a risk weighting of zero - they don't even need any capital to make the loans. The result is that commercial banks can have thousands of times more assets than capital.
And 3% of GDP is just what tax payers end up paying to the banking system to cover government debt. Add in the interest payments on all the household and business debt and you can see that the entire system is currently set up to transfer the maximum amount of wealth from the people and businesses that do the work, to the people who control the money creation process - namely, commercial banks.
The overall consquence of this insanity is that there is currently about twice as much debt in the world economy as there is money. In other words, there is simply no way to pay of the debt. Osborne's austerity and more bank generated debt can only make things even worse. The system has to change. One simple option is for Central Banks to impose a modest financial transaction tax on all electronic transactions denominated in their currency - wherever they occur in the world. The revenue generated should be reinjected into the real economy as debt free money, either by simply giving the money to governments debt free, or by making direct payments to citizens in the form of an unconditional basic income.
Within a few years, this mechanism would allow the current mountain of debt to be converted progressively into debt free money that can circulate freely within the economy. Taxing financial transactions would also be a very intelligent alternative to the current totally obsolete tax system. With global financial transactions in 2013 running at at least $10 quadrillion a year, even a tax rate of less than 0.1% would easily allow taxes like VAT, Income Tax, or Corporation tax to be scrapped, providing a massive boost to the real economy. There is really no excuse for the IMF and the World Bank to do nothing.
Thursday, August 7, 2014
I imagined the U.S. GDP will be going up a bit more since Israel will have used up lots of ammunition and shooty things and will have to replace them. Bombing things works wonders for GDP. As do car accidents, fires, natural disasters of all kinds and human suffering in general, all of which will induce people to go out and buy stuff to cheer themselves up. Even better, create an atomized society of really sad, lonely people who will consume lots and lots of trash to convince themselves that their empty lives have meaning. Oh no, hang on, we've already done that. Back to bombing things thenThe US is facing economic disaster...all the indicators are there. First of all the College debt stands at 800billion and is shackled around the neck of college graduates before they even start their working career. Its a scam, education should be the first priority of a government not some ponzi scheme, it should not be a power that shackles people into enslavement at no cost to the corporate juggernauts.(coming to the UK soon)
They made a poll some time ago on doctors in the US and 40% said they would have done something different if they had known the hassle of the death and the years of hard work it took to get to a break even point. Watching the US news they seem to be praying on another upswing in the property market for economic recovery. Yes because property bubbles have proven to solve all problems...and now you can also get subprime loans to buy cars(GMs favourite tactic)another disaster in the making. Then you have the serious economic issues linked to climate change which is really knocking the GDP with all the repair costs and knock on effects. The state of California and Nevada are bone dry, the armageddon coming from the water shortages are going to have massive repercussions for the rest of the US especially when you consider that California is the bread basket of America. And then lets not talk about the Fed who have been printing money like nobodys business...the only way thats sustainable is if the Dollar remains the default currency of the world any seismic shift to that thinking would tank the US economy immediately.
Monday, February 25, 2013
“it was only 'a failure of animal spirits' (to use Keynes' description of the loss of confidence) that caused the 1930s economic depression.” ...It was the same economic measures of calling in their loans (as they are doing to Greece, Spain, etc.) and tightening the money supply as well as raising interest rates that caused the FED orchestrated “Great Depression” of 1929. This is what precipitated the Stock Market Crash – and then they used that as the excuse for further controls on the money supply, instead of doing what Keynes wanted: flow more money into the system to stop the growth of unemployment so as to kick-start the economy again. This time though they used the “bad debt trading of derivatives on the housing bubble” to orchestrate this upcoming depression. If the people of Ireland, Greece, Spain, Italy etc. were given a fair paper ballot referendum (not computers so easily manipulated as the Bush elections showed us in America) then I believe they would get out of the Euro. Argentina managed it, and now the IMF and the FED are seething and frothing at the mouth and taking them to court or rather suing them because they had the audacity to want their national sovereignty back! Check out "fractional reserve" lending on "The Money Masters" on You Tube to get a clear picture as to how the whole civilized world is being fleeced for the gain of a few private individuals. It is not a conspiracy theory, it is simple fact. Another of their goals is to have us fight amongst ourselves, instead of trying to solve the real problem which is “fractional reserve lending.” The German taxpayers, for example, are rightly angry but for the wrong reasons! The ECB is pulling the wool over their eyes just like the FED is pulling the wool over the eyes of America. The ECB is making out that they need money to bail out Greece, Spain, etc. when they have really lent out far more than they have in their vaults already! They are also being backed by the FED with “fractional reserve” dollars to the tune of 85% of their assets. The whole Ponzi scheme is based on thin air dollars – so in effect there is no need to fleece the German taxpayer as well. But it does serve to divert attention from the real culprits: private banking in the form of the ECB, the FED and the IMF! In this way the Greeks are seen as lazy, no-good for nothings to the Germans and the Germans are seen as “Nazis” by the Greeks. Divide and conquer is an age old adage and it is diverting attention from the real culprit: Private Banking in the form of the FED and the ECB and they are getting away scot-free when they are causing this depression in the first place. Since everything anyway is based on “fractional reserve lending” or “thin air” debt, then why are interest rates up and money tight in both America and Europe? This is the cause of the economic crisis – not because some Greek café owner didn’t give out a receipt to a customer! The FED did it in 1929 to cause the Great Depression: raise interest rates and tighten the money supply just when they should be doing the opposite according to Keynes to get out of this slump. Private banking is orchestrating this depression and it is getting worse and worse every day leading to more nations slowly falling under their total control. It is ironic that Greece is the first victim of this multi-headed Hydra from Greek Mythology composed of the IMF, the FED, the ECB, the NCBs, and others! Even Hercules would have a hard time with this one as there are too many heads working in concert this time to enslave the world in debt. Whenever nations or empires printed or coined their own money that was debt and interest free the world prospered. The Romans with their bronze coins, England with her Tally Sticks, and Lincoln with his “Greenback Dollars” printed directly by the US Treasury. Many would argue that money would be worthless if we cut out private banking to print our money, but just the opposite would happen. If a country can issue a debt-laden interest bearing bond on good faith to a private bank to print its money, it can also issue a debt-free paper note to the public directly!
Friday, December 21, 2012
The police are becoming frequent guests at Deutsche Bank headquarters in Frankfurt. For the second time in a week, authorities raided the bank in connection with an ongoing investigation, this time looking for evidence of witness collusion relating to court testimony in a high-profile case pitting Deutsche Bank against the family of the deceased German media magnate Leo Kirch.
The raid took place on Wednesday, but only became public early on Thursday afternoon, partially because it was not nearly as disruptive as a raid conducted a week ago Wednesday, when authorities showed up with 500 armed police and secured the bank's lobby. Nevertheless, the new search and seizure operation underlines yet again the dark cloud of suspicion that hangs over Deutsche Bank despite its stated desire to turn over a new leaf.
Police confiscated documentation and data on Wednesday, but did not make any arrests, according to a spokesperson for the public prosecutor's office in Frankfurt. The visit marks the second such raid in connection to the Kirch proceedings, the first having taken place in November of 2011.
At its heart, the Kirch case is a civil suit. The family accuses former Deutsche Bank supervisory board head Rolf Breuer of hastening the demise of Leo Kirch's media conglomerate by voicing doubts in an interview about the company's creditworthiness. Last Friday, a court in Munich decided in favor of the Kirch family and indicated damages Deutsche Bank would be forced to pay would be somewhere between €120 million and €1.5 billion.
Latest Low Point
But prosecutors also believe that several senior bank executives and board members, including Breuer, former CEO Josef Ackermann and two others, may have illegally coordinated their testimony prior to initial hearings in that case. They deny the charge. Officials on Wednesday were looking for information that could provide clues as to whether the quartet had indeed acted illegally.
Wednesday's raid marks just the latest low point in a 2012 full of them. The investigation relating to the emissions certificates directly implicates current co-CEO Jürgen Fitschens and it led to five arrests last week, though all suspects have since been released from pre-trial detention. Still, it could prove a difficult corner for the bank to wriggle out of. Fitschens is said to have signed a questionable tax declaration for the year 2009 which included refund claims on fraudulently traded emissions certificates. The investigation has been ongoing since 2010, but authorities seem to believe that Deutsche Bank's criminal intent was greater than the financial institution is willing to admit.
The bank, Germany's largest, also stands accused of having played a role in the LIBOR scandal, which saw prominent international banks collude to manipulate the key international lending rate. On Wednesday, the Swiss bank UBS was fined $1.5 billion for its role in the ploy by US, British and Swiss regulators. Furthermore, a former bank employee has also accused Deutsche Bank of having cooked its books during the peak of the financial crisis in order to avoid being forced to accept a government bailout. There are several additional legal proceedings pending as well.
According to the Süddeutsche Zeitung, in a story which will appear in the paper's Friday edition, this week's raid is linked to last week's. In a pre-publication press release, the Munich daily reported that investigators confiscated information last week that was also linked to the Kirch case and decided to come back for more. It is unclear for how long the investigation will last.(source...der spiegel)
Friday, January 21, 2011
Mămăliga din Orientul Mijlociu" ("Middle East Polenta") that is the title chosen by Shachar Shaine, the former head of Tuborg Romania, for his speech delivered at the luxury Loft restaurant in Bucharest, held by a businessman closely connected to the beverage industry, Pepe Berciu, on Wednesday night. Shaine, 42, said goodbye to his co-workers, as well as to competitors in a relaxed atmosphere, pointing out that Romania was definitely "the country worth living and investing in". The manager who spent the last six years at the helm of United Romanian Breweries Bereprod (URBB), the bottler of Tuborg and Carlsberg, says he decided to stay in Romania, despite propositions from shareholders for whom he had worked to take over similar businesses in other countries. "I will stay and develop business here," Shaine said without providing further details. He is one of the managers with the longest-standing career in the beer industry, having worked for the same company for the last eleven years. Israeli-born Shaine has repeatedly said he loves Romania and even became a Romanian citizen six months ago.(Z.F.) BCE,ECB,IMF,Germany,France,Euro,currency,forex,investments,bucharest,Romania,cluj,