Betting on the end of the world - gold  




Black Swans From New Normal
By: Jim Willie CB 





Is the US Dollar Predicting Another Deflationary Collapse?

Posted by: Phoenix Capital Research

Post date: 06/22/2011 - 11:44

I want to be clear here. The US Dollar is ultimately a doomed currency. But it remains the “flight to safety” trade amongst global currencies (along with the Yen and most of all, Gold). Europe is far worse off than the US. And China’s now seeing a liquidity crisis of its own. With that in mind, we need to consider that the US Dollar may in fact be predicting another deflationary collapse. 

 

 

 

 

Fraudclosure | Sunny Sheu Murdered? Judicial Corruption Activist Dead Weeks After Posting Video About His Fears

Posted by: 4closureFraud

Post date: 06/22/2011 - 15:50

"Sheu, an optimistic and philosophical man, often compared the United States with his original home in communist China. He told his associates and others that while in China whistleblowers were usually killed or imprisoned, he was certain that in the United States of America those pursuing justice would ultimately prevail. With this philosophy, Sheu was confident that if his story were known by the press and authorities, no one would dare harm him." It appears he was wrong...

 

 

 

 

Boots On Throats, The Long, Hot Summer

Posted by: Stone Street Advisors

Post date: 06/22/2011 - 15:33

Imagine being told that you need to do something in life and you attempt to do it, but the person that’s very insistent that you do X takes his other hand and actively goes out of his/her way to prevent you from attaining X while each passing moment in time said person begins to label you as “lazy” or not trying hard enough?

 

 

 

 

Full Transcript Of Ben Bernanke's "I Have No Idea Why The Economy Will Get Better But It Will" Speech And Q&A 

Submitted by Tyler Durden on 06/22/2011 15:30 -0400

As noted in the title, for all those who wish to reread how Bernanke justifies the fact that he has no idea why the economy will improve, but it just will, damn it, here it is, complete with the full Q&A. 

 

 

 

 

 

Here It Comes: Democrats Considering "Tax Repatriation Holiday" Economic Massacre 

Here comes the headless horseman cavalry:

• SCHUMER SAYS SENATE DEMOCRATS WEIGH TAX REPATRIATION HOLIDAY
• SCHUMER WOULD USE REVENUE FROM HOLIDAY FOR INFRASTRUCTURE JOBS

How the second sound bite makes any sense, we will need to ask someone with a full frontal lobotomy. What revenue? Where it is coming from? Doesn't Schumer have some Chinese currency manipulation bill he has to be submitting to Senate for the nth time instead of boosting multinational EPS through buybacks, while killing even more US jobs? Luckily it was just yesterday that we discussed that this whole process will do nothing at all to boost jobs as captured best by Kristin J. Forbes, an MIT economics professor who was on the Bush team back when the Homeland Investment Act in 2005 was enacted, who said: "For every dollar that was brought back, there were zero cents used for additional capital expenditures, research and development, or hiring and employees wages." Another economic disaster in the making, brought to you by the clueless captain of this country.

Godman Sachs' Take On Bernanke's Press Conference 

From Goldman's Jan Hatzius, who was probably typing while he was being interviewed by CNBC: "Fed Chairman Bernanke’s press conference included many details but few major surprises. On activity, he expressed relatively low conviction, saying “We don't have a precise read on why this slower pace of growth is persisting” (note that quotes come from the real-time transcript, which may be revised slightly). However, consistent with the FOMC’s forecasts (see below), he emphasized that he thought that some factors restraining growth were temporary." 

 

 

 

 

 

Guest Post: Pocket-Change SEC Fines: Barely A Bark And No Bite 

Submitted by Tyler Durden on 06/22/2011 16:27 -0400

There's a reason yesterday's announcement that JPM Chase would 'settle' for a fine of $156.3 million, while neither admitting nor denying any wrong-doing, thereby forking over the whopping equivalent of a normal person's weekly grocery budget, pisses people off. Because it's a marginal fleabite on the teflon hand of the nation's second largest bank in terms of punitive pain, and absolutely meaningless in altering the grand scheme of toxic securities creation or complex financial institution business as usual. 

 

 

 

 

 

Investors Pull The Most Money From Domestic Mutual Funds Since September As Margin Debt Deleveraging Begins 

Submitted by Tyler Durden on 06/22/2011 18:04 -0400

Two notable observations in market technicals: first, from the NYSE, May margin debt declined for the first time since the May 2010 flash crash, and after peaking at $320.7 billion in April, the May sell off saw hedge funds and other levered investors modestly contract their gross leverage to $315.4 billion. Additionally, net leverage, or total net credit aka investor net worth, increased modestly from an all time record low of ($75) billion to ($67) billion. Still, leverage is at very precarious level should the ongoing drop in asset prices be met with an actual cash outflow in the form of redemption's. Which brings us to the second observations: according to ICI, domestic equity mutual funds, saw an 8th straight week of outflows in the week ended June 15, with the mount hitting $6.9 billion, or the highest in not only 2011, but the highest since September of 2010. Year to date nearly $10 billion in redemption requests have hit funds, meaning the only saving grace to an all out liquidation would be an increase in asset prices, which however now that additional monetary easing is off the table, will be a very difficult accomplishment. Incidentally, since the beginning of 2010, equity mutual funds have seen total withdrawals to the tune of $108 billion: not a great amount in the great scheme of centrally planned things, but quite substantial nonetheless.

Guest Post: "Growing Your Way Out of Debt" Is A Fantasy 

Submitted by Tyler Durden on 06/22/2011 18:16 -0400
The Status Quo consensus is that "kicking the can down the road" a.k.a. "extend and pretend" will work because "Greece, Spain, Ireland et al. are going to "grow their way out of debt." That is a fantasy. Once a household or nation is burdened with stupendous debt loads and stagnating earnings, "growing your way out of debt" is impossible. The E.U. may succeed in strong-arming Greece into swallowing even more debt, more austerity and higher interest payments, but that will only speed up the self-reinforcing dynamics of insolvency, and guarantee the losses kicked down the road for a few months will be even more devastating. 

 

 

 

 

 

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