As of January 2013 the FDIC stops offering 100% coverage for all insured deposits.
That amounts to $1.6 trillion in deposits, 85-90% deposited with the
TBTF mega banks. Once the insurance ramps back to $250,000 the FDIC
risk amelioration offered to large depositors will cause them to flee
from the insecurity of the much reduced FDIC coverage. This money will
rotate immediately into short term Treasury securities. The treasury,
in order to handle this flood of money, will immediately offer negative
interest rates. This financing will resemble the .5% negative interest
rate offered by the Swiss and Germans on the funds flooding to their
banks from Spain, Greece and Italy. This will be a bank run much larger
that the Euro banks flight to safety.I have noticed two disturbing matters that will most certainly come as a result of the Fed MBS program.
1. The funds from the Fed purchases will rotate to the Too Big To Fail Banks. This debt is already junk bond status due to the nature of the underwater mortgages and delinquencies, hence the reason for the new Fed goon Squad going after borrowers.
This debt will be as bad or worse than the debt of Greece, Spain and Italy, rated CCC-
2. The banks receiving these funds will rotate the money immediately into short term treasury securities that will be priced at NIRP. the reason for that follows:
3. As of January 2013 the FDIC stops offering 100% coverage for all insured deposits. That amounts to $1.6 trillion in deposits, 85-90% deposited with the TBTF mega banks.
Read More @ Silver Doctors
by Darryl Robert Schoon, Gold Seek:
On September 13th, the Fed announced QE3, a policy of open-ended bond purchases which would add $1 trillion annually to the Fed’s balance sheet. The Fed’s decision to provide liquidity ad infinitum, i.e. QE etc, was framed in reasonable and carefully chosen language:
…These actions, which together will increase the Committee’s holdings of longer-term securities by about $85 billion each month through the end of the year, should put downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative…
The measured wording gave the Fed sufficient cover to mask its increasingly desperate condition, i.e. how to keep its fatally-wounded credit and debt ponzi-scheme functioning while searching for a solution that doesn’t exist.
Read More @ GoldSeek.com
On September 13th, the Fed announced QE3, a policy of open-ended bond purchases which would add $1 trillion annually to the Fed’s balance sheet. The Fed’s decision to provide liquidity ad infinitum, i.e. QE etc, was framed in reasonable and carefully chosen language:
…These actions, which together will increase the Committee’s holdings of longer-term securities by about $85 billion each month through the end of the year, should put downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative…
The measured wording gave the Fed sufficient cover to mask its increasingly desperate condition, i.e. how to keep its fatally-wounded credit and debt ponzi-scheme functioning while searching for a solution that doesn’t exist.
Read More @ GoldSeek.com
by Jim Willie, Golden Jackass via, Silver Doctors:
The recent decision by the US Federal Reserve to contaminate the financial body until it responds favorably was the last straw in my book. Witness
a declaration of permanent QE and hyper monetary inflation of the most
virulent strain, unsterilized. The USFed is essentially admitting
failure. The signal serves as the loudest death knell for the USDollar among many in a sequence. The QE bond monetization of USGovt debt has turned viral and entrenched.
It is sold as stimulus, when in fact it acts like a giant wet blanket
on the USEconomy. It is intended as stimulus to businesses, but the
effect is felt on the financial speculation and on Asian direct business
investment. In the past the emergency lever device had been successful
only because it was used on a temporary basis. But now the USFed high priest assures it is a permanent fixture, a sign of their failure.
The money is not finding its way into the USEconomy for further circulation. The plague is insolvency, soaked by endless applications of tainted money from central bank fire hoses.
Read More @ Silver Doctors
The recent decision by the US Federal Reserve to contaminate the financial body until it responds favorably was the last straw in my book. Witness
a declaration of permanent QE and hyper monetary inflation of the most
virulent strain, unsterilized. The USFed is essentially admitting
failure. The signal serves as the loudest death knell for the USDollar among many in a sequence. The QE bond monetization of USGovt debt has turned viral and entrenched.
It is sold as stimulus, when in fact it acts like a giant wet blanket
on the USEconomy. It is intended as stimulus to businesses, but the
effect is felt on the financial speculation and on Asian direct business
investment. In the past the emergency lever device had been successful
only because it was used on a temporary basis. But now the USFed high priest assures it is a permanent fixture, a sign of their failure.The money is not finding its way into the USEconomy for further circulation. The plague is insolvency, soaked by endless applications of tainted money from central bank fire hoses.
Read More @ Silver Doctors
Gold Holds As Equity Dead-Cat-Bounce Folds
10Y
Treasuries hit a 1.60% handle as yields fell without a bounce all day.
Equities managed a post-European-close bounce (notably to VWAP and
unable to break above it) off pre-FOMC levels but that faded rapidly
into the close of the US day session as volume and average trade size
picked up. VIX traded over 17% (up over 1.4vols on the
day). Gold held up better than stocks - especially given the strength
in the USD - and remains well above pre-FOMC levels (holding its bounce
into the close). Of the major US equity indices, only the Dow remains green from pre-FOMC as CRAAPL sees its worse 3-day slide in 5 months dragging NDX down (and high-beta Russell dropping fast). MS and GS are down 4.2% from pre-FOMC levels now as Financials are the biggest losers
(just trumping Energy and Industrials) from when Ben opened his book.
Healthcare remains the clear winner. WTI dived into the EU close but
recovered to close at $90 (-3% on the week) but in general risk-asset correlations with US equities are extremely high (with risk suggesting more downside to come).
by Bix Weir, Road to Roota:
Many people have emailed me an article going around the internet about
JPM’s short position being a hedge against physical silver that they
own. A certain bullion banker claims that the banks don’t manipulate
gold or silver although the hedge funds do with computer programed algo
trading. This bullion banker, David R, claims that all the banks do is
arbitrage buying physical while simultaneously shorting COMEX contracts.
Here’s the article that I was sent.My take: NOT A CHANCE IN THE WORLD for the following reasons:
1) There were over 100 BILLION ounces of COMEX silver shorts sold in 2011 according to the CME data. How much silver was physically purchased to counter these shorts when JPM controls over 30% of the short according to CFTC’s own data? Is David R. saying that JPM bought 30B ounces of physical in 2011?! Utterly ridiculous.
2) David R. claims that he can show the physical silver in JP Morgan’s vaults. But wait…JP Morgan is the custodian of SLV which is supposed to hold 322M ounces of the physical silver in Trust for the ETF. If JPM is using the SLV inventory to justify their shorts it’s the biggest fraud in history.
3) If there are grand warehouses of silver stockpiles… who owns them? How many times have they been “rehypothicated”? Is it leased-in silver that must be paid back? Are they part of a silver storage program? Are they “Moly-Bars”?
Continue Reading @ Road to Roota
Simply put: it has no choice
by Alasdair Macleod, Peak Prosperity:
It’s becoming clear that there is only one sensible solution ahead of
us as the Eurozone’s problems evolve: Germany and the other countries
suited to a strong currency should leave. If they do, the European
Central Bank (ECB) will be free to pursue the easy money policies
recommended by Keynesians and monetarists alike. It’s increasingly clear
that Germany has no option but to behave like any creditor seeking to
protect its interests – and do its best to defuse the growing resentment
against her from the Eurozone’s debtors.
However, leaving the Eurozone is a political and legal, even seismic wrench, reversing decades of historical progression towards political and economic union.
The saga of the Eurozone reads like an old-fashioned novel – with a beginning, a middle, and presumably an end. In the beginning we are introduced to the characters, the middle is where the action is, and the end is plainly predictable.
Read More @ PeakProsperity.com
by Alasdair Macleod, Peak Prosperity:
It’s becoming clear that there is only one sensible solution ahead of
us as the Eurozone’s problems evolve: Germany and the other countries
suited to a strong currency should leave. If they do, the European
Central Bank (ECB) will be free to pursue the easy money policies
recommended by Keynesians and monetarists alike. It’s increasingly clear
that Germany has no option but to behave like any creditor seeking to
protect its interests – and do its best to defuse the growing resentment
against her from the Eurozone’s debtors.However, leaving the Eurozone is a political and legal, even seismic wrench, reversing decades of historical progression towards political and economic union.
The saga of the Eurozone reads like an old-fashioned novel – with a beginning, a middle, and presumably an end. In the beginning we are introduced to the characters, the middle is where the action is, and the end is plainly predictable.
Read More @ PeakProsperity.com
iNflation: Americans Spend Less On Food, Movies To Pay For Soaring Cell Phone Obsession
As
America's mania with cell phones as an aspirational status fad hits
new records every day, this borderline addiction to "thinner, longer"
mobility and a sub-1 year upgrade cycle, is starting to extract its
pound of flesh: average cell phone bills that have risen by over 10% in
one year (from $1,110 to $1,226), even as total household spending rose
by half, or $67. In a word: iNflation. It gets worse. As the WSJ reports, "spending on food away from home fell by $48, apparel spending declined by $141, and entertainment spending dropped by
$126." Like a true faux status/gadget junkie, Americans don't care
what other discretionary items are cut, even such "American staples" as
eating out and watching movies, just so they can keep up with all the
other Joneses sporting a brand new iPhone X+1, while everyone's credit
card bill just gets larger and larger, and the collective wealth
evaporates.USPS Bailout Imminent: Postal Service Will Miss September 30 'Mandated' Payment
Color us unsurprised by this litte gem (via Bloomberg):- *POSTAL SERVICE SAYS IT WON'T MAKE MANDATED PAYMENT ON SEPT. 30
- *POSTAL SERVICE COMMENTS ON HEALTH BENEFITS PAYMENT IN E-MAIL
- *U.S. POSTAL SERVICE SAYS OPERATIONS WON'T BE AFFECTED
Quote Of The Day: Iran > US, EU
Today's quote of the day award goes to...- AHMADINEJAD SAYS SITUATION IN IRAN `NOT SO DIRE'
- AHMADINEJAD SAYS IRAN ECONOMY `CERTAINLY BETTER' THAN U.S., EU
The Presidency Has Become A Joke
Dave in Denver at The Golden Truth - 2 hours ago
*As heads of government arrived in New York on Monday to attend the opening
of the United Nations General Assembly, President Obama also made his way
to Manhattan but to see a different group of world leaders: Barbara,
Elisabeth, Joy, Sherri and Whoopi...It bordered on scandalous that Obama,
joined by the first lady, would make time to sit down with the women of
“The View” even as he declined foreign leaders’ requests to meet with him
one on one in New York this week*. - Dana Milbank, Washington Post LINK
I get a kick out of everyone who thinks that they can make a difference b... more »
$2 Trillion in New Money (TNM)
Richard Daughty, a.k.a., 'The Mogambo Guru' at Mogambo Guru Report! - 2 hours ago
September 24, 2012
The Mogambo Guru
Ben Bernanke is the panicked and clueless chairman of the evil Federal
Reserve, and he has just shocked the world to announce that, henceforth,
the Federal Reserve will create enough money to buy $40 billion per month
of mortgage-backed securities.
This comes to a cool $480 billion a year in new money right there.
And this does not even mention the additional $1 trillion or so that the
Fed is going to have to create over the next year to buy the tons of new
government bonds necessary to pay for what seems to a terrifying $1.4
trillion bu... more »
Key Comex Dates for Gold and Silver To Year End and Updated 'Shadow Gold Chart'
Is This Why Europe Is Selling Off?
The odd timing of the Fed's QEternity (given macro data, risk, financials conditions, inflation expectations, and equity valuations) provided some impetus for the markets which had anticipated Bernanke's action. The supposed 'safety net' which we suspect has now been used up - by market front-running from a lower than implied Fed Put strike - does however look in question as the US fiscal cliff looms and global growth concerns grow. However, as Deutsche notes, there remain a large number of hurdles ahead for Europe - and while many 'believe' that progress has been made, it seems now that the rubber is meeting the road, that path forward looks a little less clear - and hence risk-wary investors are unwinding peripheral ST exposure and reverting back to the core (or US MBS/TSYs).
3bps To Go Until QE3 Makes Treasuries America's Second Safest Security
We
discussed the unintended consequence of QEternity previously as we
noted the massive front-running of the Fed's MBS buying program that was
occurring as 30Y current coupon mortgage bond yields were tumbling.
While the last week or so has seen Treasury yields reverse their rising
trend, the trend of front-running the Fed has not abated. In what,
quite frankly, stunned us more than Sofia Vergara's wardrobe
malfunction this weekend, we note that today the spread between
the 30Y FNMA CurCpn mortgage bond (at 1.66%) and 10Y US Treasuries has
smashed to incredible all-time lows of around 3bps. The day before QEternity, this spread was 60bps - having been over 100bps at the start of June 2012. The previous low from July 2010 of 54bps has been obliterated
as Bernanke has managed to remove one more market from the lexicon of
risk (and in the meantime, PIMCO's Bill Gross has earned back his 'bond
guru' title by making a killing). Can we see Mortgage yields trade inside of Treasury yields?Presenting Warren Buffett's "Gold Cube"
Recall from Warren Buffett's 2011 letter to investors: "Today the world’s gold stock is about 170,000 metric tons. If all of this gold were melded together, it would form a cube of about 68 feet per side. (Picture it fitting comfortably within a baseball infield.) At $1,750 per ounce – gold’s price as I write this – its value would be $9.6 trillion....You can fondle the cube, but it will not respond. " This is what said gold cube would look like, with distinctions for the various types of gold currently in existence:
Is Uncle Sam The Biggest Enabler Of Private Equity Jobs "Offshoring"?
Lately, it has become particularly fashionable to bash private equity, especially among those workers in the employ of the state. The argument, in as much as capitalism can be summarized in one sentence, is that PE firms issue excess leverage, making bankruptcy inevitable (apparently those who buy the debt are unaware they will never get their money back), all the while cutting headcount to maximize cash flow (apparently the same PE firms don't realize that their investment will have the greatest terminal value to buyer if it has the highest possible growth potential, which means revenue and cashflow, which means proper CapEx investment, which means streamlined income statement, which means more efficient workers generating more profits, not less). The narrative ultimately culminates with some variation on a the theme that PE firms are responsible for offshoring jobs. While any of the above may be debated, and usually is especially by those who have absolutely no understanding of finance, one thing is certain: when it comes to bashing PE, America's public workers should be the last to have anything negative to say about Private Equity, and the capital markets in general. Why? Because when it comes to fulfilling those promises of a comfortable retirement with pensions and benefits paying out in perpetuity, always indexed for inflation, and otherwise fulfilling impossible dreams, who do America's public pension fund administrators go to? The very same private equity firms that have suddenly become outcast number 1.How Bank Of America Destroyed Football
As
the NFL torments it players, coaches, and viewers by playing hardball
over 'real' referee earnings, the truth of Monday's blown call is
coming out. Courtesy of American Banker, we now know that the
referee at the center of the most controversial call of the season so
far is in fact a vice president for small-business banking at Bank of
America in California. Lance Easley - previously at Wells
Fargo, has worked at BofA since June 2011 - (we assume) moonlighting as a
referee in the Santa Barbara area (officiating high school and junior
college football and basketball games). Well done Lance, you have
managed to move from the most-hated occupation (bankster) to the
most-hated individual (outside of Seattle) in one weekend. Is it any wonder Small Business confidence and uncertainty is so high?This Time Is Different As Icarus Blows Up & Burns The Birds Along The Way - Greece Is About To Default AGAIN!
09/26/2012 - 11:29
Huge new First Amendment project arrives this Thanksgiving
by Paul Joseph Watson, InfoWars:
by Paul Joseph Watson, InfoWars:
This Thanksgiving, Infowars.com is giving thanks for
the First Amendment, by getting back in the faces of those who are
attempting to abuse their authority to silence free speech and in turn
conceal flagrant abuses of our rights and our basic dignity – with the
launch of the national Opt Out and Film campaign.
Of course, every week should be First Amendment week,
but we’re picking one week in particular as part of a grass roots
outreach that we hope will contribute towards putting the final nail in
the coffin of what has come to represent the face of big government
tyranny – the Transportation Security Administration.
In November 2010, the national opt out day was a huge
success that generated massive media attention. The TSA was forced to
mothball most of its radiation-firing body scanners for that one day in a desperate attempt to avoid embarrassment - a political act that proved the naked scanners had nothing whatsoever to do with genuine security concerns.
Read More @ InfoWars.com
from PrisonPlanetLive:
Paul Joseph Watson talks to Ashley Jessica about her own grope down horror story at the hands of the TSA as well as the exciting new Opt Out and Film campaign set to take place during Thanksgiving week. It’s time to fight back against TSA tyranny and reclaim our dignity!
Paul Joseph Watson talks to Ashley Jessica about her own grope down horror story at the hands of the TSA as well as the exciting new Opt Out and Film campaign set to take place during Thanksgiving week. It’s time to fight back against TSA tyranny and reclaim our dignity!
from The Extinction Protocol:
RUSSIA – Russian authorities temporary suspended the import and sale of
Monsanto’s genetically-modified corn after a French study suggested it
may be linked to cancer. The Russia’s consumer-rights regulator
Rospotrebnadzor asked scientists at the country’s Institute of Nutrition
to review the study. The watchdog has also contacted to European
Commission’s Directorate General for Health & Consumers to explain
the EU’s position on GM corn. The report prepared by France’s University
of Caen and published last week, claimed that rats fed over a two-year
period with Monsanto’s genetically modified NK603 corn, developed more
tumors and other pathologies than a test group fed with regular corn.
The NK603, sold under the Roundup label, is genetically engineered to
withstand glyphosate weed killer. The company criticized the study,
saying it “doesn’t meet minimum acceptable standards for this type of
scientific research” and the data was incomplete. Monsanto also said
Russia’s ban will have little effect on its business as the country
import small volumes of corn from the US. Besides that, the Russian
government doesn’t permit farmers to plant GM crops. “Russia is a net
exporter of grain, so the actual impact of their temporary suspension,
if any, is likely to be small,” the spokesman said in a statement.
Meanwhile, France announced it will uphold the ban on genetically modified crops in the country. It has asked the national food-security agency Anses to examine the study of Monsanto’s corn. If other countries follow the examples of Russia and France it could be a severe blow to the major US biotech.
Read More @ TheExtinctionProtocol.wordpress.com
As NATO desperately attempts to cover up a botched false flag operation in Benghazi, Libya which left a high-ranking US diplomat dead, France has urged a repeat performance in Syria. That is, arming and providing air support for the very terrorist battalions now operating in Syria that have ravaged and overrun Libya, leaving it a perpetually wrecked, destabilized terrorist epicenter.
The announcement made by French President Francois Hollande came on the heels of a deadly terrorist bombing in Damascus targeting a school rebels claim baselessly claim was being used by Syrian security forces.
RUSSIA – Russian authorities temporary suspended the import and sale of
Monsanto’s genetically-modified corn after a French study suggested it
may be linked to cancer. The Russia’s consumer-rights regulator
Rospotrebnadzor asked scientists at the country’s Institute of Nutrition
to review the study. The watchdog has also contacted to European
Commission’s Directorate General for Health & Consumers to explain
the EU’s position on GM corn. The report prepared by France’s University
of Caen and published last week, claimed that rats fed over a two-year
period with Monsanto’s genetically modified NK603 corn, developed more
tumors and other pathologies than a test group fed with regular corn.
The NK603, sold under the Roundup label, is genetically engineered to
withstand glyphosate weed killer. The company criticized the study,
saying it “doesn’t meet minimum acceptable standards for this type of
scientific research” and the data was incomplete. Monsanto also said
Russia’s ban will have little effect on its business as the country
import small volumes of corn from the US. Besides that, the Russian
government doesn’t permit farmers to plant GM crops. “Russia is a net
exporter of grain, so the actual impact of their temporary suspension,
if any, is likely to be small,” the spokesman said in a statement.Meanwhile, France announced it will uphold the ban on genetically modified crops in the country. It has asked the national food-security agency Anses to examine the study of Monsanto’s corn. If other countries follow the examples of Russia and France it could be a severe blow to the major US biotech.
Read More @ TheExtinctionProtocol.wordpress.com
by Tony Cartalucci, Activist Post
As NATO desperately attempts to cover up a botched false flag operation in Benghazi, Libya which left a high-ranking US diplomat dead, France has urged a repeat performance in Syria. That is, arming and providing air support for the very terrorist battalions now operating in Syria that have ravaged and overrun Libya, leaving it a perpetually wrecked, destabilized terrorist epicenter.
The announcement made by French President Francois Hollande came on the heels of a deadly terrorist bombing in Damascus targeting a school rebels claim baselessly claim was being used by Syrian security forces.
Western propagandists are now calling the school a “security building.”
Reuters reported in their article, “Syrian rebels bomb security building in Damascus:”
Read More @ Activist Post
Read More @ Activist Post
by Dan Denning, Daily Reckoning.com.au:
What a big, chaotic, sprawling place. How does it work? São Paulo is
huge… stretching out in all directions. It has some of the world’s
richest people – with two Ferrari dealerships and countless private
helicopters – and some of the world’s poorest people, too.
The rich live in guarded communities. The poor live in ‘favelas’ – or slums. And the girls from Ipanema are not here in the streets of São Paulo… or at least, they’re not wearing bikinis.
That’s about all we know about São Paulo. We just got here and have been in meetings all day.
So, let’s go back to the markets and the post-’all you can eat’ QE boom.
Wait… where’s the boom? The Dow fell. The price of gold dropped. Shouldn’t both be headed for the sky…the moon…the stars?
Read More @ DailyReckoning.com.au
What a big, chaotic, sprawling place. How does it work? São Paulo is
huge… stretching out in all directions. It has some of the world’s
richest people – with two Ferrari dealerships and countless private
helicopters – and some of the world’s poorest people, too.The rich live in guarded communities. The poor live in ‘favelas’ – or slums. And the girls from Ipanema are not here in the streets of São Paulo… or at least, they’re not wearing bikinis.
That’s about all we know about São Paulo. We just got here and have been in meetings all day.
So, let’s go back to the markets and the post-’all you can eat’ QE boom.
Wait… where’s the boom? The Dow fell. The price of gold dropped. Shouldn’t both be headed for the sky…the moon…the stars?
Read More @ DailyReckoning.com.au
from, Bullion Street:
Turkey bought 44.7 metric tons of gold in July while Russia, South
Korea and Kazakhstan also boosted their gold reserves in the same month.
According to an IMF data, Turkey’s bullion holdings totaled 288.9 metric tons at the end of July while Russia’s reserves stood at 936.6 tons.
Turkey has decided last year to accept gold as collateral from commercial banks and Russia remained a regular buyer in its domestic market, analysts said.
Emerging markets’ central banks have bought gold in reaction to the sovereign-debt crises affecting traditional reserve currencies such as the dollar and the euro.
This has become an important support for gold prices, as it not only absorbs supply but boosts investor sentiment toward the metal, market participants say.
Read More @ BullionStreet.com
Turkey bought 44.7 metric tons of gold in July while Russia, South
Korea and Kazakhstan also boosted their gold reserves in the same month.According to an IMF data, Turkey’s bullion holdings totaled 288.9 metric tons at the end of July while Russia’s reserves stood at 936.6 tons.
Turkey has decided last year to accept gold as collateral from commercial banks and Russia remained a regular buyer in its domestic market, analysts said.
Emerging markets’ central banks have bought gold in reaction to the sovereign-debt crises affecting traditional reserve currencies such as the dollar and the euro.
This has become an important support for gold prices, as it not only absorbs supply but boosts investor sentiment toward the metal, market participants say.
Read More @ BullionStreet.com
by Stewart Thomson, Silver Gold Bull:
The gold consolidation may already be over. Please click here now.
On this one month chart, you can see that since QE3 was announced
on September 13, gold has essentially moved sideways. That “trading box” is likely a consolidation pattern.
• Please click here now.
You are looking at a two day chart for gold. A small but
significant head & shoulders pattern has formed, implying that
the gold price will rise above $1800, before a correction occurs.
• Many technical indicators and oscillators
are overbought on the daily chart, but they can stay that way,
while gold marches higher.
• Investors who hold solid core positions in
gold, silver, and gold stocks should stand their ground. Traders
could lighten up a bit, in the $1775-$1825 price area.
• Please click here now. A beautiful channel has formed on the GDX daily chart. A “non-confirmation” is highly likely now; GDX could move higher, while the technical indicators move lower.
Read More @ SilverGoldBull.com
The gold consolidation may already be over. Please click here now.
On this one month chart, you can see that since QE3 was announced
on September 13, gold has essentially moved sideways. That “trading box” is likely a consolidation pattern.
by Pater Tenebrarum, Acting-Man.com:
A Deficit Worse than Greece’s?
We have occasionally mocked the UK version of ‘austerity’ in the past, but have just come across a news item that clearly demands a reiteration of the mocking.
Morgan Stanley apparently reasons that the UK budget deficit could soon surpass that of Greece, which of course is currently the deadbeat in Europe.
According to a CNBC summary:
A Deficit Worse than Greece’s?We have occasionally mocked the UK version of ‘austerity’ in the past, but have just come across a news item that clearly demands a reiteration of the mocking.
Morgan Stanley apparently reasons that the UK budget deficit could soon surpass that of Greece, which of course is currently the deadbeat in Europe.
According to a CNBC summary:
„Bad news for U.K. politicians clinging to the notion that the nation’s AAA debt rating indicates a clean bill of financial health. Morgan Stanley expects the British budget shortfall to earn the dubious distinction as Europe’s largest in 2013-14, surpassing even the deficit in troubled Greece.Read More @ Acting-Man.com
The investment bank has reduced its UK growth forecasts for the coming fiscal year, leading to a deficit of just under eight percent of gross domestic product. “This would leave us with the highest projected European deficit — higher even than Greece, Spain, Ireland and Portugal,” it said in a research note.
Spain’s
recession is deepening with economic output sliding at a “significant
pace” in the third quarter of this year, the Bank of Spain warned on
Wednesday.
by Szu Ping Chan, The Telegraph:
“The available data for the third quarter of the year suggest output
continued to fall at a significant pace, in an environment in which
financial stress remained at very high levels.” the Bank said in its monthly report.
Spain’s borrowing costs edged back past 6pc on Wednesday as investors sought safer havens. The yield on benchmark ten-year government bonds rose 26 basis points to 6.01pc, the biggest increase since August 31, while the IBEX 35 in Madrid slid 3pc to 7,926.20.
The eurozone’s fourth largest economy tumbled into recession in the last quarter of 2011, less than two years after emerging from the previous crisis.
Read More @ Telegraph.co.uk
Total Donations over the last 3 1/2 years. approx $165.00 (Thank You).
Donations will help defray the operational costs. Paypal, a leading provider of secure
online money transfers, will handle the donations. Thank you for your
contribution. by Szu Ping Chan, The Telegraph:
“The available data for the third quarter of the year suggest output
continued to fall at a significant pace, in an environment in which
financial stress remained at very high levels.” the Bank said in its monthly report.Spain’s borrowing costs edged back past 6pc on Wednesday as investors sought safer havens. The yield on benchmark ten-year government bonds rose 26 basis points to 6.01pc, the biggest increase since August 31, while the IBEX 35 in Madrid slid 3pc to 7,926.20.
The eurozone’s fourth largest economy tumbled into recession in the last quarter of 2011, less than two years after emerging from the previous crisis.
Read More @ Telegraph.co.uk
from SmartKnowledgeU:
… How the mainstream media has been usurped by the banking industry to spread misinformation & propaganda and keep people misinformed.
… How the mainstream media has been usurped by the banking industry to spread misinformation & propaganda and keep people misinformed.
by Brian Sylvester, Gold Seek:
Worldwide monetary creation today has implications for the watchful
investor in gold and silver. In this exclusive interview with The Gold
Report, Leonard Melman, publisher and editor of The Melman Report,
explains why.
The Gold Report: Now that the curtain has been raised and we can see the Federal Reserve’s much-anticipated program of a third round of quantitative easing (QE3), what are your thoughts? How do you expect QE3 to affect your portfolio?
Leonard Melman: There are two portions to the QE3 program. First, there’s the open-ended agreement to buy $40 billion (B) of mortgage assets every month. The second is the commitment to hold and extend short-term interest rates to near zero through mid-2015. What this tells me is that the Fed is essentially throwing in the towel and abandoning conservative economic policies. It is going to stimulate the economy as long as necessary.
The Fed’s pledge of virtually unlimited money creation will almost certainly have a negative impact on the U.S. dollar, which in turn should have a tremendously positive effect on gold, silver, other precious metals and, to some extent, all other commodities.
Read More @ GoldSeek.com
Worldwide monetary creation today has implications for the watchful
investor in gold and silver. In this exclusive interview with The Gold
Report, Leonard Melman, publisher and editor of The Melman Report,
explains why.The Gold Report: Now that the curtain has been raised and we can see the Federal Reserve’s much-anticipated program of a third round of quantitative easing (QE3), what are your thoughts? How do you expect QE3 to affect your portfolio?
Leonard Melman: There are two portions to the QE3 program. First, there’s the open-ended agreement to buy $40 billion (B) of mortgage assets every month. The second is the commitment to hold and extend short-term interest rates to near zero through mid-2015. What this tells me is that the Fed is essentially throwing in the towel and abandoning conservative economic policies. It is going to stimulate the economy as long as necessary.
The Fed’s pledge of virtually unlimited money creation will almost certainly have a negative impact on the U.S. dollar, which in turn should have a tremendously positive effect on gold, silver, other precious metals and, to some extent, all other commodities.
Read More @ GoldSeek.com
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