George
Soros, the billionaire investor, has predicted riots on the streets and
global class war as the economic downturn results in a new “age of
fallibility”.
by Rosa Prince, Telegraph.co.uk:
In an interview ahead of a speech at the World Economic Forum in Davos, the 81-year-old said that for the first time in his career he was baffled by the current state of the market, and saw no way to avoid a violent crisis which at its worst could result in the total collapse of the financial system.
Known as the “man who broke the Bank of England” after betting against the pound on Black Wednesday in 1994, Mr Soros plans to use his Davos address to issue a stern warning that he now considers it “more likely than not” that Greece will default in 2012. And unless Europe’s leaders do more to stop it, the euro is likely to collapse with a devastating impact on the rest of the world, he will add.
The financier compared the crisis to the collapse of the Soviet empire and the Great Depression, adding that the old belief in the power of the market to prevent turmoil could no longer be relied upon.
Read More @ Telegraph.co.uk
by Rosa Prince, Telegraph.co.uk:
In an interview ahead of a speech at the World Economic Forum in Davos, the 81-year-old said that for the first time in his career he was baffled by the current state of the market, and saw no way to avoid a violent crisis which at its worst could result in the total collapse of the financial system.
Known as the “man who broke the Bank of England” after betting against the pound on Black Wednesday in 1994, Mr Soros plans to use his Davos address to issue a stern warning that he now considers it “more likely than not” that Greece will default in 2012. And unless Europe’s leaders do more to stop it, the euro is likely to collapse with a devastating impact on the rest of the world, he will add.
The financier compared the crisis to the collapse of the Soviet empire and the Great Depression, adding that the old belief in the power of the market to prevent turmoil could no longer be relied upon.
Read More @ Telegraph.co.uk
by Greg Hunter’s USAWatchdog.com:
The World Economic Forum (January 25-29) in Davos, Switzerland, is probably the most important ever. The world is closer to another financial meltdown that could crush the tenuous global economy. Many experts have said the next meltdown will be bigger than 2008. On top of the list of problems to tackle is the sovereign debt crisis and insolvent European banks. Last year, Davos participants said the world needed $100 trillion to “support growth.” I wonder if that figure will increase this year.
Now, billionaire George Soros is not worried about a financial meltdown but just his “survival!” He thinks things could get so out of hand that there could be great upheavals in societies around the planet. He said he was worried about “danger . . . and evil.” The Daily Beast reported yesterday, “Has the great short seller gone soft? Well, yes. Sitting in his 33rd-floor corner office high above Seventh Avenue in New York, preparing for his trip to Davos, he is more concerned with surviving than staying rich. “At times like these, survival is the most important thing,” he says, peering through his owlish glasses and brushing wisps of gray hair off his forehead. He doesn’t just mean it’s time to protect your assets. He means it’s time to stave off disaster. As he sees it, the world faces one of the most dangerous periods of modern history—a period of “evil.” Europe is confronting a descent into chaos and conflict. In America he predicts riots on the streets that will lead to a brutal clampdown that will dramatically curtail civil liberties. The global economic system could even collapse altogether.” (Click here for the complete Daily Beast story on Soros.)
Read More @ USAWatchdog.com
The World Economic Forum (January 25-29) in Davos, Switzerland, is probably the most important ever. The world is closer to another financial meltdown that could crush the tenuous global economy. Many experts have said the next meltdown will be bigger than 2008. On top of the list of problems to tackle is the sovereign debt crisis and insolvent European banks. Last year, Davos participants said the world needed $100 trillion to “support growth.” I wonder if that figure will increase this year.
Now, billionaire George Soros is not worried about a financial meltdown but just his “survival!” He thinks things could get so out of hand that there could be great upheavals in societies around the planet. He said he was worried about “danger . . . and evil.” The Daily Beast reported yesterday, “Has the great short seller gone soft? Well, yes. Sitting in his 33rd-floor corner office high above Seventh Avenue in New York, preparing for his trip to Davos, he is more concerned with surviving than staying rich. “At times like these, survival is the most important thing,” he says, peering through his owlish glasses and brushing wisps of gray hair off his forehead. He doesn’t just mean it’s time to protect your assets. He means it’s time to stave off disaster. As he sees it, the world faces one of the most dangerous periods of modern history—a period of “evil.” Europe is confronting a descent into chaos and conflict. In America he predicts riots on the streets that will lead to a brutal clampdown that will dramatically curtail civil liberties. The global economic system could even collapse altogether.” (Click here for the complete Daily Beast story on Soros.)
Read More @ USAWatchdog.com
by Mac Slavo, SHTFPlan.com:
Most Americans would consider the following report to be nothing out of the ordinary. But for those in the know, given what has transpired over the last several years, it raises alarm bells:
Most Americans would consider the following report to be nothing out of the ordinary. But for those in the know, given what has transpired over the last several years, it raises alarm bells:
LOS ANGELES (CNS) – Joint military training exercises will be held evenings in downtown Los Angeles through Thursday, according to the Los Angeles Police Department.
The LAPD will be providing support for the exercises, which will also be held in other portions of the greater Los Angeles area, police said.
Training sites “have
been carefully selected to ensure the event does not negatively impact
the citizens of Los Angeles and their daily routine,” a department
official said.
Read More @ SHTFPlan.comOn Banks Refusing Cash Withdrawals
by J. D. Heyes, NaturalNews.com:
(NaturalNews) There is a saying, “Desperate times call for desperate measures.” Roughly, it’s an expression that’s meant to be reassuring, conjuring up an image of a true statesman-like leader who is preparing to do whatever is necessary to lead the masses out of danger.
Of course, the expression doesn’t have the same connotation when applied to the Obama administration in its futile struggle to balance the nation’s books. Left to fend for itself by a hapless Congress that couldn’t agree on the color of red bricks, let alone pass a budget that actually curbed spending and lowered the national debt, the administration has taken to theft as a way to pay the country’s bills. Specifically, the Treasury Department is stealing cash from federal employees pension funds so the government can obtain more credit to pay its debts.
In a letter to Congress earlier this week, Treasury Secretary Timothy Geithner said he would “be unable to invest fully” the federal employees retirement system, a tactic the federal government has had to employ six times over the past 20 years in order to remain under the statutory debt ceiling limit.
Read More @ NaturalNews.com
(NaturalNews) There is a saying, “Desperate times call for desperate measures.” Roughly, it’s an expression that’s meant to be reassuring, conjuring up an image of a true statesman-like leader who is preparing to do whatever is necessary to lead the masses out of danger.
Of course, the expression doesn’t have the same connotation when applied to the Obama administration in its futile struggle to balance the nation’s books. Left to fend for itself by a hapless Congress that couldn’t agree on the color of red bricks, let alone pass a budget that actually curbed spending and lowered the national debt, the administration has taken to theft as a way to pay the country’s bills. Specifically, the Treasury Department is stealing cash from federal employees pension funds so the government can obtain more credit to pay its debts.
In a letter to Congress earlier this week, Treasury Secretary Timothy Geithner said he would “be unable to invest fully” the federal employees retirement system, a tactic the federal government has had to employ six times over the past 20 years in order to remain under the statutory debt ceiling limit.
Read More @ NaturalNews.com
The Demise of the Petrodollar
from CaseyResearch.com:
The official line from the United States and the European Union is that Tehran must be punished for continuing its efforts to develop a nuclear weapon. The punishment: sanctions on Iran’s oil exports, which are meant to isolate Iran and depress the value of its currency to such a point that the country crumbles.
But that line doesn’t make sense, and the sanctions will not achieve their goals. Iran is far from isolated and its friends – like India – will stand by the oil-producing nation until the US either backs down or acknowledges the real matter at hand. That matter is the American dollar and its role as the global reserve currency.
The short version of the story is that a 1970s deal cemented the US dollar as the only currency to buy and sell crude oil, and from that monopoly on the all-important oil trade the US dollar slowly but surely became the reserve currency for global trades in most commodities and goods. Massive demand for US dollars ensued, pushing the dollar’s value up, up, and away. In addition, countries stored their excess US dollars savings in US Treasuries, giving the US government a vast pool of credit from which to draw.
Read More @ CaseyResearch.com
from CaseyResearch.com:
The official line from the United States and the European Union is that Tehran must be punished for continuing its efforts to develop a nuclear weapon. The punishment: sanctions on Iran’s oil exports, which are meant to isolate Iran and depress the value of its currency to such a point that the country crumbles.
But that line doesn’t make sense, and the sanctions will not achieve their goals. Iran is far from isolated and its friends – like India – will stand by the oil-producing nation until the US either backs down or acknowledges the real matter at hand. That matter is the American dollar and its role as the global reserve currency.
The short version of the story is that a 1970s deal cemented the US dollar as the only currency to buy and sell crude oil, and from that monopoly on the all-important oil trade the US dollar slowly but surely became the reserve currency for global trades in most commodities and goods. Massive demand for US dollars ensued, pushing the dollar’s value up, up, and away. In addition, countries stored their excess US dollars savings in US Treasuries, giving the US government a vast pool of credit from which to draw.
Read More @ CaseyResearch.com
The True State of the American Union
Stephen Colbert Breaks Character, Endorses Ron Paul
Fox News Immediately Cuts To Break When Ron Paul Exposes Media Bias
from The Economic Collapse Blog:
Over the past couple of weeks, George Soros, the IMF and the World Bank have all issued incredibly chilling warnings about the possibility of an impending economic collapse. Considering the power and the influence that Soros, the IMF and the World Bank all have over the global financial system, this is very alarming. So are they purposely trying to scare the living daylights out of us? Soros is even warning of riots in the streets of America. Unfortunately, way too often top global leaders say something in public because they want to “push” events in a certain direction. Do George Soros and officials at the IMF and World Bank hope to prevent a worldwide financial collapse by making these statements, or are other agendas at work? We may never know. But one thing is for sure – many of the top financial officials in the world are using language that is downright “apocalyptic”, and that is not a good sign for the rest of 2012.
Read More @ TheEconomicCollapseBlog.com
Over the past couple of weeks, George Soros, the IMF and the World Bank have all issued incredibly chilling warnings about the possibility of an impending economic collapse. Considering the power and the influence that Soros, the IMF and the World Bank all have over the global financial system, this is very alarming. So are they purposely trying to scare the living daylights out of us? Soros is even warning of riots in the streets of America. Unfortunately, way too often top global leaders say something in public because they want to “push” events in a certain direction. Do George Soros and officials at the IMF and World Bank hope to prevent a worldwide financial collapse by making these statements, or are other agendas at work? We may never know. But one thing is for sure – many of the top financial officials in the world are using language that is downright “apocalyptic”, and that is not a good sign for the rest of 2012.
Read More @ TheEconomicCollapseBlog.com
“Low-Dose Radiation” Department of Energy Study
Full Text And Word Cloud Of Obama's State Of The Union
SOTU Post Mortem:
The best news possible: "Nothing will get done this year, or next year, or maybe even the year after that." Barack Hussein Obama
The worst news: Everything else.
Here is the text of President Barack Obama’s State of the Union Address as prepared for delivery at 9 p.m. ET. "Jobs"
33 vs. "Fat Cats" 0, Rich 3 vs Poor 1, Hope 2 vs Unicorns 0, Change 9
vs Tooth-Fairy 0, Mortgages 5 vs Apple 0, Main Street 1 vs Wall Street
3, China 4 vs Europe 1; DEBT CEILING 0The worst news: Everything else.
Guest Post: The Loan: An Exchange Of Wealth For Income
As the title of this essay suggests, a loan is an exchange of wealth for income. Like everything else in a free market (imagine happier days of yore), it is a voluntary trade. Contrary to the endemic language of victimization, both parties regard themselves as gaining thereby, or else they would not enter into the transaction. In a loan, one party is the borrower and the other is the lender. Mechanically, it is very simple. The lender gives the borrower money and the borrower agrees to pay interest on the outstanding balance and to repay the principle. As with many principles in economics, one can shed light on a trade by looking back in history to a time before the trade existed and considering how the trade developed. It is part of the nature of being a human that one is born unable to work, living on the surplus produced by one’s parents. One grows up and then one can work for a time. And then one becomes old and infirm, living but not able to work. If one wishes not to starve to death in old age, one can have lots of children and hope that they will care for their parents in their old age. Or, one can produce more than one consumes and hoard the difference.Brevan Howard Made Money In 2011 Betting On Market Stupidity, Sees "Substantial Dislocation" In 2012
While Paulson's star was finally setting in 2011, that of mega macro fund Brevan Howard was rising, and has been rising for years by never posting a negative return since 2003. The $34.2 billion fund, now about double the size of John Paulson's, returned 12.12% in a year marked by abysmal hedge fund performance. But how did it make money? Simple - by taking advantage of the same permabullish market myopia that marked the beginning of 2011, and that has gripped the market once again. "The Fund’s large gains during the third quarter were due predominantly to pressing the thematic view that markets were ignoring clear signs of economic slowdown and were not correctly pricing the probability of central bank accommodation, particularly the reversal of the ECB rate hikes in April and July." Not to mention the €800 billion ECB liquidity accommodation that started in July and has continued since. So yes: those betting again that the market correction is overdue, will once again be proven right Why? Because "we are about to witness an unprecedented policy move. In the US, Eurozone and UK, fiscal austerity is being prescribed as the cure following the bursting of the credit bubble and to overcome the malaise following a balance-sheet recession. Unfortunately, there is no historical example of when this approach has been successful." As for looking into the future, "we continue to believe that markets remain at risk of substantial dislocation."
Jim Sinclair’s Commentary
The risk of conflict with Iran lies here.
Jim Sinclair’s Commentary
At first it was a trickle. You read it here, but really did not make that much of it. Then it became a quiet unnoticed stream.
Get ready to the torrent in the second half of 2012. The real range of gold this year will be $1700 to $2100
The demise of the dollar
In a graphic illustration of the new world order, Arab states have launched secret moves with China, Russia and France to stop using the US currency for oil trading By Robert Fisk
Tuesday 06 October 2009
In the most profound financial change in recent Middle East history, Gulf Arabs are planning – along with China, Russia, Japan and France – to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar.
Secret meetings have already been held by finance ministers and central bank governors in Russia, China, Japan and Brazil to work on the scheme, which will mean that oil will no longer be priced in dollars.
The plans, confirmed to The Independent by both Gulf Arab and Chinese banking sources in Hong Kong, may help to explain the sudden rise in gold prices, but it also augurs an extraordinary transition from dollar markets within nine years.
The Americans, who are aware the meetings have taken place – although they have not discovered the details – are sure to fight this international cabal which will include hitherto loyal allies Japan and the Gulf Arabs. Against the background to these currency meetings, Sun Bigan, China’s former special envoy to the Middle East, has warned there is a risk of deepening divisions between China and the US over influence and oil in the Middle East. "Bilateral quarrels and clashes are unavoidable," he told the Asia and Africa Review. "We cannot lower vigilance against hostility in the Middle East over energy interests and security."
This sounds like a dangerous prediction of a future economic war between the US and China over Middle East oil – yet again turning the region’s conflicts into a battle for great power supremacy. China uses more oil incrementally than the US because its growth is less energy efficient. The transitional currency in the move away from dollars, according to Chinese banking sources, may well be gold. An indication of the huge amounts involved can be gained from the wealth of Abu Dhabi, Saudi Arabia, Kuwait and Qatar who together hold an estimated $2.1 trillion in dollar reserves.
More…
Jim Sinclair’s Commentary
"Selective default" sounds to me as a credit event that will be deemed not a full default. Because it is not a full default, default credit swaps will not need to function.
If default credit swaps ever have to perform, they cannot, and will not, without a massive rescue of the five major US banks.
What a hell of a mess.
S&P says likely to declare Greece in default Posted 2012/01/24 at 8:59 am EST
NEW YORK, Jan. 24, 2012 (Reuters) — Standard & Poor’s will likely downgrade Greece’s ratings to "selective default" when the country concludes its debt restructuring, but that will not necessarily destroy the credibility of the European Union, an official with the ratings agency said on Tuesday.
"It’s not a given that Greece’s default would have a domino effect in the euro zone," John Chambers, the chairman of S&P’s sovereign rating committee, said in an event organized by Blooomberg Link.
More…
Jim Sinclair’s Commentary
A war risk more likely to be started by election polls rather than an international incident.
Bomb-Bomb-Bomb, Bomb-Bomb-Iran? By BILL KELLER
Published: January 22, 2012
O.K., Mr. President, here’s the plan. Sometime in the next few months you order the Department of Defense to destroy Iran’s nuclear capacity. Yes, I know it’s an election year, and some people will say this is a cynical rally-round-the-flag move on your part, but a nuclear Iran is a problem that just won’t wait.
Our pre-emptive strike, designated Operation Yes We Can, will entail bombing the yellowcake-conversion plant at Isfahan, the uranium enrichment facilities at Natanz and Fordo, the heavy-water reactor at Arak, and various centrifuge-manufacturing sites near Natanz and Tehran. True, the Natanz facility is buried under 30 feet of reinforced concrete and surrounded by air defenses, but our new bunker-buster, the 30,000-pound Massive Ordnance Penetrator, will turn the place into bouncing rubble. Fordo is more problematic, built into the side of a mountain, but with enough sorties we can rattle those centrifuges. Excuse me? Does that take care of everything? Um, that we know of.
Civilian casualties? Not a big deal, sir, given the uncanny accuracy of our precision-guided missiles. Iran will probably try to score sympathy points by trotting out dead bodies and wailing widows, but the majority of the victims will be the military personnel, engineers, scientists and technicians working at the facilities. Fair game, in other words.
Critics will say that these surgical strikes could easily spark a full-blown regional war. They will tell you that the Revolutionary Guard — not the most predictable bunch — will lash out against U.S. and allied targets, either directly or through terrorist proxies. And the regime might actually close off the vital oil route through the Strait of Hormuz. Not to worry, Mr. President. We can do much to mitigate these threats. For one thing, we can reassure the Iranian regime that we just want to eliminate their nukes, not overthrow the government — and of course they will take our word for it, if we can figure out how to convey the message to a country with which we have no formal contacts. Maybe post it on Facebook?
To be sure, we could just let the Israelis do the bombing. Their trigger fingers are getting itchier by the day. But they probably can’t do the job thoroughly without us, and we’d get sucked into the aftermath anyway. We might as well do it right and get the credit. Really, sir, what could possibly go wrong?
More…
Jim Sinclair’s Commentary
The epic debt problem of Great Britain is rarely mentioned in MSM. Financial practices in Great Britain make the euro look as conservative as the myths of Honest Abe.
2012 is the year that the euro takes back page to the currency problems of other countries.
UK debt passes £1 trillion for the first time
The UK Treasury has blamed "unsustainable" levels of spending by the last Labour government for public debt rising above £1 trillion for the first time. By Szu Ping Chan
3:20PM GMT 24 Jan 2012
Public sector net debt excluding financial interventions, such as bank bail-outs, rose to £1.004 trillion in December, as the Government borrowed nearly £14bn last month despite its continued austerity drive.
The £1 trillion figure was the highest since records began in 1993, and represents 64pc of GDP. The Treasury has not recorded an annual surplus since 2001/02, when it repaid £243m into the nation’s coffers.
The Government has forecast that servicing Britain’s debt will cost £47.6bn in the current financial year, rising to £65.5bn in 2016/17.
A Treasury spokesman said: "That our national debt has reached more than £1 trillion simply shows the unsustainable level of spending this country built up over the past few years, and shows why it is critical for our nation’s future that we deal decisively with the deficit."
The Office for National Statistics (ONS) said it expected the figure to ease back in January due to tax inflows, but to rise again in February.
More…
The risk of conflict with Iran lies here.
Jim Sinclair’s Commentary
At first it was a trickle. You read it here, but really did not make that much of it. Then it became a quiet unnoticed stream.
Get ready to the torrent in the second half of 2012. The real range of gold this year will be $1700 to $2100
The demise of the dollar
In a graphic illustration of the new world order, Arab states have launched secret moves with China, Russia and France to stop using the US currency for oil trading By Robert Fisk
Tuesday 06 October 2009
In the most profound financial change in recent Middle East history, Gulf Arabs are planning – along with China, Russia, Japan and France – to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar.
Secret meetings have already been held by finance ministers and central bank governors in Russia, China, Japan and Brazil to work on the scheme, which will mean that oil will no longer be priced in dollars.
The plans, confirmed to The Independent by both Gulf Arab and Chinese banking sources in Hong Kong, may help to explain the sudden rise in gold prices, but it also augurs an extraordinary transition from dollar markets within nine years.
The Americans, who are aware the meetings have taken place – although they have not discovered the details – are sure to fight this international cabal which will include hitherto loyal allies Japan and the Gulf Arabs. Against the background to these currency meetings, Sun Bigan, China’s former special envoy to the Middle East, has warned there is a risk of deepening divisions between China and the US over influence and oil in the Middle East. "Bilateral quarrels and clashes are unavoidable," he told the Asia and Africa Review. "We cannot lower vigilance against hostility in the Middle East over energy interests and security."
This sounds like a dangerous prediction of a future economic war between the US and China over Middle East oil – yet again turning the region’s conflicts into a battle for great power supremacy. China uses more oil incrementally than the US because its growth is less energy efficient. The transitional currency in the move away from dollars, according to Chinese banking sources, may well be gold. An indication of the huge amounts involved can be gained from the wealth of Abu Dhabi, Saudi Arabia, Kuwait and Qatar who together hold an estimated $2.1 trillion in dollar reserves.
More…
Jim Sinclair’s Commentary
"Selective default" sounds to me as a credit event that will be deemed not a full default. Because it is not a full default, default credit swaps will not need to function.
If default credit swaps ever have to perform, they cannot, and will not, without a massive rescue of the five major US banks.
What a hell of a mess.
S&P says likely to declare Greece in default Posted 2012/01/24 at 8:59 am EST
NEW YORK, Jan. 24, 2012 (Reuters) — Standard & Poor’s will likely downgrade Greece’s ratings to "selective default" when the country concludes its debt restructuring, but that will not necessarily destroy the credibility of the European Union, an official with the ratings agency said on Tuesday.
"It’s not a given that Greece’s default would have a domino effect in the euro zone," John Chambers, the chairman of S&P’s sovereign rating committee, said in an event organized by Blooomberg Link.
More…
Jim Sinclair’s Commentary
A war risk more likely to be started by election polls rather than an international incident.
Bomb-Bomb-Bomb, Bomb-Bomb-Iran? By BILL KELLER
Published: January 22, 2012
O.K., Mr. President, here’s the plan. Sometime in the next few months you order the Department of Defense to destroy Iran’s nuclear capacity. Yes, I know it’s an election year, and some people will say this is a cynical rally-round-the-flag move on your part, but a nuclear Iran is a problem that just won’t wait.
Our pre-emptive strike, designated Operation Yes We Can, will entail bombing the yellowcake-conversion plant at Isfahan, the uranium enrichment facilities at Natanz and Fordo, the heavy-water reactor at Arak, and various centrifuge-manufacturing sites near Natanz and Tehran. True, the Natanz facility is buried under 30 feet of reinforced concrete and surrounded by air defenses, but our new bunker-buster, the 30,000-pound Massive Ordnance Penetrator, will turn the place into bouncing rubble. Fordo is more problematic, built into the side of a mountain, but with enough sorties we can rattle those centrifuges. Excuse me? Does that take care of everything? Um, that we know of.
Civilian casualties? Not a big deal, sir, given the uncanny accuracy of our precision-guided missiles. Iran will probably try to score sympathy points by trotting out dead bodies and wailing widows, but the majority of the victims will be the military personnel, engineers, scientists and technicians working at the facilities. Fair game, in other words.
Critics will say that these surgical strikes could easily spark a full-blown regional war. They will tell you that the Revolutionary Guard — not the most predictable bunch — will lash out against U.S. and allied targets, either directly or through terrorist proxies. And the regime might actually close off the vital oil route through the Strait of Hormuz. Not to worry, Mr. President. We can do much to mitigate these threats. For one thing, we can reassure the Iranian regime that we just want to eliminate their nukes, not overthrow the government — and of course they will take our word for it, if we can figure out how to convey the message to a country with which we have no formal contacts. Maybe post it on Facebook?
To be sure, we could just let the Israelis do the bombing. Their trigger fingers are getting itchier by the day. But they probably can’t do the job thoroughly without us, and we’d get sucked into the aftermath anyway. We might as well do it right and get the credit. Really, sir, what could possibly go wrong?
More…
Jim Sinclair’s Commentary
The epic debt problem of Great Britain is rarely mentioned in MSM. Financial practices in Great Britain make the euro look as conservative as the myths of Honest Abe.
2012 is the year that the euro takes back page to the currency problems of other countries.
UK debt passes £1 trillion for the first time
The UK Treasury has blamed "unsustainable" levels of spending by the last Labour government for public debt rising above £1 trillion for the first time. By Szu Ping Chan
3:20PM GMT 24 Jan 2012
Public sector net debt excluding financial interventions, such as bank bail-outs, rose to £1.004 trillion in December, as the Government borrowed nearly £14bn last month despite its continued austerity drive.
The £1 trillion figure was the highest since records began in 1993, and represents 64pc of GDP. The Treasury has not recorded an annual surplus since 2001/02, when it repaid £243m into the nation’s coffers.
The Government has forecast that servicing Britain’s debt will cost £47.6bn in the current financial year, rising to £65.5bn in 2016/17.
A Treasury spokesman said: "That our national debt has reached more than £1 trillion simply shows the unsustainable level of spending this country built up over the past few years, and shows why it is critical for our nation’s future that we deal decisively with the deficit."
The Office for National Statistics (ONS) said it expected the figure to ease back in January due to tax inflows, but to rise again in February.
More…
Gold and Equities, Gold Wins This Cycle CIGA Eric
Gold and global equities will move higher together. Those that have not succumb to short-term fear understand that this move will not be equal. Gold’s surge relative US large cap stocks (equities) is not done. Chart 1 and 2 provide an indication of both duration and magnitude of the move yet to come in this cycle.
Chart 1: U.S. Large Cap Stocks Capital Appreciation Index (LCSCAI); S&P 500 to Gold Ratio and Z Scores from Secular Trend
Chart 2: U.S. Large Cap Stocks Capital Appreciation Index (LCSCAI); S&P 500 to Gold Ratio and Z Scores from Secular Trend
More…
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/gold/t24_au_en_usoz_2.gif)
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/t24_ag_en_usoz_2.gif)
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