ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Jan 20 13:43

Dr. Jim Willie and the Global Currency Reset

Jan 20 13:32

The collapse in global yields continues...

Jan 20 13:28

Silver Tops $18, Gold Nears $1300 - Highest in 5 Months

As stocks, copper, crude, and bond yields plunge this morning, gold (and silver) prices are surging. With gold near $1,300 - 5-month highs, and silver topping $18 - 4-month highs; it appears investor demand for non-fiat currency is growing (and not just for China and Russia)...

Jan 20 12:13

World Bank Lowers its Growth Forecast

Jan 20 12:10

Central bank prophet fears QE warfare pushing world financial system out of control

Former BIS chief economist warns that QE in Europe is doomed to failure and may draw the region into deeper difficulties

The economic prophet who foresaw the Lehman crisis with uncanny accuracy is even more worried about the world's financial system going into 2015.

Beggar-thy-neighbour devaluations are spreading to every region. All the major central banks are stoking asset bubbles deliberately to put off the day of reckoning. This time emerging markets have been drawn into the quagmire as well, corrupted by the leakage from quantitative easing (QE) in the West.

"We are in a world that is dangerously unanchored," said William White, the Swiss-based chairman of the OECD's Review Committee. "We're seeing true currency wars and everybody is doing it, and I have no idea where this is going to end."

Jan 20 11:56

The Great 21st-Century Wage Slowdown:

Jan 20 11:29

Russia and China ‘Furiously’ Buying Up Gold

A larger global currency shift is underway.

And it may be happening much more quickly than anyone has realized.

Things are definitely in motion. Call it a game of musical chairs, or an exercise in rearranging chairs on the Titanic, or just that a tilting balance of power. Just don’t make the mistake of thinking this is all routine.

Webmaster's Commentary: 

I invested in gold coins, but I discovered that they lose their value if you eat the chocolate part inside!

Jan 20 10:47

China’s Undisclosed Gold Reserves: A Dagger Pointed At The Heart Of The Dollar

China has a 4-way global gold supply domination strategy. And it’s starting to corner the market.

First, China buys physical gold in world markets, fabricates it where necessary into “good delivery” bars – in Switzerland or the Middle East – then ships the bullion, transparently through Hong Kong or Shanghai (or quietly through Beijing and other ports of entry).

Second, it keeps virtually all domestically mined gold “in house.”

Jan 20 10:32

First It Refused To Bail Out Its Insolvent Banks; Now Iceland Set To Officially Withdraw European Union Application

Iceland may be a small country, but when it comes to dealing with big problems it is truly the modern equivalent of David in the battle against the status quo Goliath. First, it was Iceland, and only Iceland, refusing to bail out its banks, when every other western nation was being held hostage by those who stood to lose the most from a financial collapse, and even going so far as throwing some of its banking executives in prison. And now, as MBL reports, Iceland's con­ser­v­a­tive In­de­pen­dence Party will sup­port a res­o­lu­tion in par­lia­ment to for­mally with­draw Ice­land's ap­pli­ca­tion to join the Eu­ro­pean Union.

Jan 20 10:26

60 U.S. malls on life support

FBN’s Jeff Flock reports on the state of the shopping mall.

Jan 20 10:18

How Do You Unmanipulate a Manipulated Economy?

Rip the bandage off! Let's deal with the festering mess once and for all!

Jan 20 09:58

Obama to gloat over resurgent U.S. economy in State of the Union address

Exactly six years after President Obama took office in the depths of the recession, the economy has finally improved enough for the president to brag about it Tuesday night in his annual State of the Union address.

Webmaster's Commentary: 

Jan 20 09:56

Majority of French Citizens Say Mistral Ships Should Be Delivered to Russia

According to a recent opinion poll, 72 percent of French citizens believe that failure to deliver Mistral-class helicopter carriers to Russia will have direct negative consequences for France's defense sector and affect other contracts.

Jan 20 09:46

H&R Block: ‘No One Can Understand’ New Obamacare Tax Code

H&R Block, the nation’s largest retail tax preparation company warns that the newly released Obamacare tax code, officially called the Affordable Care Act, is likely to confuse millions of taxpayers who try to tackle their tax returns for 2014.

“Now that the Affordable Care Act has made health care a tax issue, no one can understand it,” H&R Block flatly tells taxpayers in a video that resides on its dedicated Obamacare web site.

A former IRS Commissioner agrees, and cautions that the new tax requirements will be a “shock to the system,” especially afflicting low-income earners who have never itemized on their tax return.

Jan 20 09:44

Are Plunging Petrodollar Revenues Behind the Fed’s Projected Rate Hikes?

Why is the Fed threatening to raise interest rates when the economy is still in the doldrums? Is it because they want to avoid further asset-price inflation, prevent the economy from overheating, or is it something else altogether? Take a look at the chart below and you’ll see why the Fed might want to raise rates prematurely. It all has to do with the sharp decline in petrodollars that are no longer recycling into US financial assets.

Jan 20 09:43

50,000 Wall Street jobs cut

There’s blood on the Street.

In a wild swing of the ax that has shocked many pundits, Wall Street’s biggest banks have slashed nearly 50,000 jobs, and bonuses and expense money are being cut as profit opportunities dry up.

Webmaster's Commentary: 

Awwwww ... let's all feel weally bad for the poo widdle bankers. Boo Hoo Hoo!

Sorry guys. You plundered the American people for a fast buck and it was a hell of a ride, but now that the entire system is coming down because of your antics, don't expect the American people to shed a single tear over your misfortune, because these things are relative and even in your declines, you are living far higher than the rest of the people.

Jan 20 09:38

Currency Wars The Bloodbath Begins

Jan 20 09:37

Gold's New Friend: The Swiss Franc!

While I predicted a huge rally in gold would usher in the new year of 2015 in a spectacular way, the top bank economists have failed again

Most of them predicted, “No rally for gold!” Their dire predictions in 2014 all failed to materialize, and this year they are off to an even worse start.

The bank economists, quite frankly, look ridiculous. They clearly need to reset their thinking about the powerful demand coming from billions of Chinese and Indian citizens, or they risk turning themselves into clownish figurines.

Jan 20 09:25

Release the Kraken!

Thoughts from the Frontline: The Swiss Release the Kraken!
And this was not a painless policy decision for the SNB. Citibank estimates the SNB’s losses to be close to 60 billion Swiss francs. Let’s try to add a little perspective on that. The US is (very) roughly 40 times the size of Switzerland in both GDP and population. At today’s conversion rate, the Swiss lost something like $70 billion if Citibank is right. That’s like the US Federal Reserve’s losing $2.8 trillion. That, my friends, will leave a red mark on any central bank’s balance sheet. Not that the Swiss can’t afford it or that they’re going to be out on the corner with a tin cup, but they do have a considerable quantity of euros that are now much less valuable. And dollars and yen and pounds and renminbi. But then again, they are in the privileged position of having a currency that the rest of the world wants, so much that in order to hold it you will have to take a haircut on your deposits at the SNB, a haircut that is going to increase

Jan 20 09:12

Gold Is Indicating Fear

Gold continues to power higher on safe-haven buying ahead of the ECB’s stimulus announcement on Thursday and the Greek election scheduled for Sunday. Except for palladium, which I believe is not only responding in sympathy with gold but also moving higher on fundamental supply issues, the other industrial metals continue to lag.

Jan 20 09:11

Gold Price Model Says Gold Still Undervalued

In my opinion gold reached an important low in November, and in spite of a rising dollar, has rallied since then in dollar terms, and even more in most other fiat currencies.

However gold is still undervalued by about 16% according to my long-term empirical model. Further, gold has potential to rally far higher and is likely to overshoot the 2014 equilibrium price of $1,527 calculated by the gold model. Gold could easily reach $2,000 by late 2015 or 2016.

Jan 20 09:01

Flashback 2009 - Prof. Dr. Robert John Aumann on game theory, incentives and the financial crisis

Born in 1930. Fleeing Nazi persecution, Robert Aumann emigrated to the United States with his family in 1938, settling in New York. He obtained a Bachelor of Science in mathematics from the City College of New York in 1950 and received a Ph.D. in mathematics from the Massachusetts Institute of Technology (MIT) in 1955.

He joined the mathematics department at the Hebrew University Jerusalem in 1956, and has been there ever since. In 1990, he was among the founders of the Center for Rationality at the Hebrew University, an interdisciplinary research center, centered on Game Theory.

. . . Robert Aumann has received numerous prizes, including the Nobel Memorial Prize in Economic Sciences for 2005.

Recorded at the 39th St. Gallen Symposium

Jan 20 08:55

First Schlumberger Fires 9,000; Now Baker Hughes Unleashes 7,000 More Layoffs

Another day, another unambiguously bad announcement from America's bettered energy sector which are bolting down ahead of the crude storm, and firing thousands. Last week it was Schlumberger which announced it would fire 9000, today it is Baker Hughes which just warned it too will hand out about 7000 pink slips in the first quarter. And as a reminder, when it comes to comp: each Baker Hughes job is equivalent to about 10 waiter and bartender jobs, which have been the basis of this "recovery."

Jan 20 08:19

Eric Dubin: ECB QE Imminent?

Jan 20 08:16

Gold running higher on QE expectations.

Jan 20 07:51

ECB (QE) May Deliver $635 Billion

Jan 20 07:41

Why people pay banks to hold their money

Jan 20 06:37

After Israel halts funds transfer, Palestinians pay partial salaries

The Palestinian unity government has paid only partial salaries to its 153,000 civil servants after Israel's freezing of the transfer of taxes it collects for the Palestinians, a West Bank official said on Tuesday.

Abd El Rahman Bayatneh, a spokesman for the Palestinian finance ministry, said the government paid civil servants only 60 percent of their salaries for December. Israel froze more than $100 million a month in taxes after the Palestinians moved to join the International Criminal Court, which could expose Israel to war crimes charges.

Jan 20 06:22

Third-party connections prompt more privacy concerns about ObamaCare site

WASHINGTON – A little-known side to the government's health insurance website is prompting renewed concerns about privacy, just as the White House is calling for stronger cybersecurity protections for consumers.

It works like this: When you apply for coverage on HealthCare.gov, dozens of data companies may be able to tell that you are on the site. Some can even glean details such as your age, income, ZIP code, whether you smoke or if you are pregnant.

Jan 20 06:16

Russia signs military cooperation deal with Iran

TEHRAN: Russian defence minister Sergei Shoigu today signed a military cooperation deal with Iran that his Iranian counterpart touted as a joint response to US "interference".

Shoigu is the most senior Russian military official to visit Tehran since 2002, according to Iranian media, and the agreement comes with both countries facing Western sanctions.

Jan 20 06:10

Proff of a failed economy: Low Cookie Sales Concern Central Ohio Girl Scouts

COLUMBUS ,Ohio - Girl Scout cookie season is here and it’s something 12 year-old Roni Baumgardner knows very well. She's one of the top sellers across central Ohio with over 3,000 boxes worth of sales. She says the sales have helped her mature. “When I was talking, I was really shy,” recalls Roni. “Now, I think I’m better at talking to people since I’ve been in Girl Scouts.”

Jan 19 22:08

Trolling Russia

The edifice of world post-1991 order is collapsing right now before our eyes. President Putin’s decision to give a miss to the Auschwitz pilgrimage, right after his absence in Paris at the Charlie festival, gave it the last shove. It was good clean fun to troll Russia, as long as it stayed the course. Not anymore. Russia broke the rules.

Neither willingly nor easily did Russia break ranks. Putin tried to take Western baiting in his stride: be it Olympic games, Syria confrontation, gender politics, Georgian border, even Crimea-related sanctions. The open economic warfare was a game-changer. Russia felt attacked by falling oil prices, by rouble trouble, by credit downgrading. These developments are considered an act of hostility, rather than the result of “the hidden hand of the market”.

If the initiators expected Russians to be mad at Putin, they miscalculated. The Russian public is angry with the American organizers of the economical warfare, not with its own government.

Jan 19 20:56

Oxfam says richest one percent to own more than rest by 2016

Wealth accumulated by the richest one percent will exceed that of the other 99 percent in 2016, the Oxfam charity said on Monday, ahead of the annual meeting of the world`s most powerful at Davos, Switzerland.

"The scale of global inequality is quite simply staggering and despite the issues shooting up the global agenda, the gap between the richest and the rest is widening fast," Oxfam executive director Winnie Byanyima said.

Jan 19 20:51

J.C. Penney is resurrecting its catalog

Jan 19 19:06

Germany repatriated 120 tonnes of gold in 2014

The Germans see the writing on the wall...

Stay tuned as the ECB is expected to announce massive QE (quantitative easing) on Thursday.

Jan 19 18:28

Swiss Shocker Triggers Gigantic Losses For Banks, Hedge Funds And Currency Traders

The absolutely stunning decision by the Swiss National Bank to decouple from the euro has triggered billions of dollars worth of losses all over the globe. Citigroup and Deutsche Bank both say that their losses were somewhere in the neighborhood of 150 million dollars, a major hedge fund that had 830 million dollars in assets at the end of December has been forced to shut down, and several major global currency trading firms have announced that they are now insolvent.

Jan 19 18:08

Global unemployment to rise to 212 million, says ILO

The global jobs market will continue to deteriorate in the coming years,, while rising income inequality and high youth unemployment will stoke more social unrest, a new report warns today.

The International Labour Organization (ILO) says a slowdown in economic growth means more jobs will be lost this year with young people again bearing the brunt of the financial crisis and its aftermath.

Releasing its latest forecasts, the ILO said the challenge of bringing unemployment back to pre-crisis levels “now appears as daunting a task as ever”.

Jan 19 18:03

Tempers Fray As Argentine Tampon Squeeze Extends To 20 Days

While Venzuelans line up for hours every day to garner staples such as soap and toilet paper, the Argentinians have a potentially more explosive problem. As Reuters reports, the country's 20.6 million women couldn't find their favorite tampons earlier this month - during the height of summer - "for 20 days, we simply couldn't source any tampons from wholesalers." The government vowed to keep the supply chain filled with tampons as media talk of a "run on tampons" stoked peoples' fears that Argentina is rapildy heading down the same socialist utopia track as its neighbor.

Jan 19 18:00

Germany's Bundesbank Resumes Gold Repatriation; Transfers 120 Tonnes Of Physical Gold From Paris And NY Fed

A month ago we asked the following question: who in addition to the Netherlands has been quietly withdrawing their gold from the NY Fed. Was it Belgium? Or did the Dutch simply decide to haul back some more. Or did Germany finally get over its "logistical complications" which prevented it from transporting more than just a laughable 5 tons in 2013? And most importantly, did Germany finally grow a pair and decide not to let "diplomatic difficulties" stand between it and its gold? We now know the answer, and it was, indeed, the latter with confirmation coming from the Bundesbank itself. As the German Central Bank announced earlier today, after withdrawing an embarrassing 5 tonnes of gold from New York in 2013, its rate of repatriation soared, and in what appears to have been just the past two months, has transferred a whopping 85 tonnes of gold from 80 feet below street level at Liberty 33 back to Frankfurt!

Jan 19 17:59

Obamacare penalty may be larger than expected

Those Americans who didn’t get health insurance last year could be in for a rude awakening when the IRS asks them to fork over their Obamacare penalty — and it could be a lot more than the $95 many of them may be expecting.

Jan 19 17:38

Denmark acts over fallout from Swiss currency turmoil

Denmark cut its deposit rate to minus 0.2% from minus 0.05%. The lending rate was cut from 0.2% to 0.05%.

It makes the krone less attractive to investors, and eases pressure on the central bank to keep buying euros.

Denmark pegs its currency to the euro to help the country's exporters and maintain stable inflation.

But the country's central bank has been forced to intervene to defend the peg as the krone appreciated.

Jan 19 17:36

How Propaganda Conquers Democracy

snip: Self-serving politicians and parties compete for funding in election campaigns run by the advertising industry, to give political investors the most corrupt President, administration and Congress that money can buy, while courts uphold new corporate and plutocratic political rights to ward off challenges to the closed circle of wealth and political power.

Oligarchic corporate control of the media is a critical element in this dystopian system. Under the genius of inverted totalitarianism, a confluence of corrupt interests has built a more effective and durable propaganda system than direct government control has ever achieved.

Jan 19 17:07

Can You Just Surrender In A Currency War?

Jan 19 17:00

SOTU address: Obama to bash the wealthy as Iranians and Russians sign deal

As President Barack Obama prepares to give his highly-anticipated State of the Union address in which he's expected to target the people he believes are America's real enemy -- the American people who possess wealth -- the nations of Iran and Russia plan to sign what is a significant memorandum of understanding (MOU) on increasing the two nations' military cooperation.

Jan 19 16:52

The 18% Recession Threshold

Jan 19 16:36

Report: Richest 1% to Own More Than Rest by 2016

Wealth accumulated by the richest 1 percent will exceed that of the other 99 percent in 2016, the Oxfam charity said Monday, ahead of the annual meeting of the world’s most powerful at Davos, Switzerland.

Jan 19 16:16

If the Fed Has Nothing to Hide, It Has Nothing to Fear

Since the creation of the Federal Reserve in 1913, the dollar has lost over 97 percent of its purchasing power, the US economy has been subjected to a series of painful Federal Reserve-created recessions and depressions, and government has grown to dangerous levels thanks to the Fed’s policy of monetizing the debt. Yet the Federal Reserve still operates under a congressionally-created shroud of secrecy.

Jan 19 15:28

Christine Lagarde Calls For World To Embrace "New Multilateralism" Order In 2015

As 2015 begins, policymakers around the world are faced with three fundamental choices: to strive for economic growth or accept stagnation; to work to improve stability or risk succumbing to fragility; and to cooperate or go it alone. The stakes could not be higher; 2015 promises to be a make-or-break year for the global community. For starters, growth and jobs are needed to support prosperity and social cohesion in the wake of the Great Recession that began in 2008. Six years after the eruption of the financial crisis, the recovery remains weak and uneven. Global growth is projected at just 3.3% in 2014 and 3.8% in 2015. Some important economies are still fighting deflation. More than 200 million people are unemployed. The global economy risks getting stuck in a “new mediocre” – a prolonged period of slow growth and feeble job creation.

Jan 19 13:23

'Francogeddon' sends German cities' debts soaring

Following the shock move last week to unpeg the Swiss Franc (CHF) from the Euro, estimates suggest that debt in German municipalities has gone up by €2 billion, it was reported on Monday.

Jan 19 13:19

"Next Time Around The Feds Are Going To Have To Confiscate Stuff"

In short, enjoy the $2.50-a-gallon fill-ups while you can, grasshoppers, because when the current crop of fast-depleting shale oil wells dries up, that will be all she wrote. When all those bonds held up on their skyhook derivative hedges go south, there will be no more financing available for the entire shale oil project. No more high-yield bonds will be issued because the previous issues defaulted. Very few new wells (if any) will be drilled. American oil production will not return to its secondary highs (after the 1970 all-time high) of 2014-15. The wish of American energy independence will be steaming over the horizon on the garbage barge of broken promises. And all, that, of course, is only one part of the story, because there is the social and political fallout to follow.

Jan 19 13:14

Chinese Stocks Crash Most Since Feb 2007, Futures Limit-Down After Regulatory Crackdown On Margin-Trading

*SHANGHAI COMPOSITE HEADS FOR BIGGEST LOSS SINCE FEBRUARY 2007
*CHINA CSI 300 INDEX FUTURES FALL BY 10% LIMIT

Jan 19 12:53

A Critical Shift: How the Swiss Just Screwed the ECB

We have just witnessed a very significant event; one that suggests our world is about to rapidly change. This change will bring a lot of grief and a lot of destruction.
But it may be the necessary evil first step to bring order back to the world’s financial system. If we are lucky.

Jan 19 11:56

Richest 1% Percent To Have More Than Rest of Humanity Combined

In less than two years, if current trends continued unchecked, the richest 1% percent of people on the planet will own at least half of the world's wealth.

Jan 19 11:40

Former White House Official – Europe In Danger Of Mega-Bank Runs That Jeopardize The World

former White House official and Plunge Protection Team member warned King World News that Europe is now in danger of mega-bank runs that will destabilize the entire global financial system.

Jan 19 11:14

Jim Grant on Money vs. Air.

Jan 19 11:01

Would forgiving Greece’s debt really be that bad?

"A debt is a debt and it is a contract," IMF Managing Director Christine Lagarde told The Irish Times in an interview on Monday when asked about the general idea of holding a debt conference. "Defaulting, restructuring, changing the terms has consequences on the signature and the confidence in the signature," she said.

Webmaster's Commentary: 

The instant Greece's debt is forgiven, every other EU member will demand the same. That is the reason for Christine Legarde's hard line.

Jan 19 09:58

"De-Dollarization" Deepens: Russia Buys Most Gold In Six Months, Continues Selling US Treasuries

The rumors of Russia selling its gold reserves, it is now clear, were greatly exaggerated as not only did Putin not sell, Russian gold reserves rose by their largest amount in six months in December to just over $46 billion (near the highest since April 2013). It appears all the "Russia is selling" chatter did was lower prices enabling them to gather non-fiat physical assets at a lower cost. On the other hand, there is another trend that continues for the Russians - that of reducing their exposure to US Treasury debt. For the 20th month in a row, Russia's holdings of US Treasury debt fell year-over-year - selling into the strength.

Webmaster's Commentary: 

Worth a repeat

Jan 19 09:53

Switzerland May Be Preparing for the End of the Euro

If you haven’t been paying attention in the last 24 hours, the currency and equity markets have been rocked by a surprise move to delink the existing currency peg between the Euro and the Swiss Franc. This move has set off what many are calling a “financial tsunami” that could leave behind a path of destruction across the continent.

Webmaster's Commentary: 

This is a "Bash the Swiss" article, but the reality is that with the ECB about to launch QE across Europe, the Swiss saw the losses from the resulting inflation as too great to accept.

Jan 19 09:04

The Drug War, Asset Forfeiture, and the Cycle that Funds the Police State

“You follow drugs, you get drug addicts and drug dealers. But you start to follow the money, and you don’t know where the f*** it’s gonna take you.”

Jan 19 08:48

27 Facts That Show How The Middle Class Has Fared Under 6 Years Of Barack Obama

During his State of the Union speech on Tuesday evening, Barack Obama is going to promise to make life better for middle class families.

Jan 19 08:47

Boston City employee fired after being charged in relation to I-93 protest

“Mayor Walsh strongly respects the right to protest and the right to free speech, however

Jan 19 08:23

Rents and housing prices unaffordable to middle class in Los Angeles: The typical LA renter needs to earn $33 an hour just to afford a basic apartment.

Last year there was a report highlighting that LA and Orange County ranked number one in being the bubbliest housing markets in the US. The report essentially found that people in the area lagged in income relative to housing values compared to folks in New York or San Francisco and most in SoCal basically funneled a large portion of their net income into housing. LA and OC are also expensive to rent in.

Jan 19 08:14

Richest 1% to have more than rest of humanity combined

New Oxfam report shows the scale of global inequality is 'simply staggering'

Jan 19 08:05

Netanyahu says Europe's 'Islamization' pushing Israel to expand Asia trade

Israeli Prime Minister Benjamin Netanyahu said on Sunday that a wave of anti-Semitism and what he called “Islamization” in Western Europe are factors in the government’s push to expand trade with Asia.

Jan 19 08:03

Middle class decline looms over final years of Obama presidency

Barack Obama enters the final two years of his presidency with a blemish on his legacy that looks impossible to erase: the decline of the middle class he has promised to rescue.

Jan 19 07:59

ECB Stimulation: The Trap Closes

European Economy ... No More Excuses for Draghi ... For months, European Central Bank President Mario Draghi has hinted that he's ready to announce a full-blown program of quantitative easing. [Now] the EU Court of Justice's advocate general cleared away a possible legal obstacle.

Webmaster's Commentary: 

... which triggered the Swiss unpegging.

Beyond that, there is a simple process at work here. In a world using a debt-based currency issued by private central banks, the process of QE is how those bankers, using just ink and paper and numbers in a computer, come to own all the hard assets of planet earth.

Jan 19 07:37

Liars’ Remorse -- Democrats have second thoughts about Obamacare

Half of the 60 Democratic senators who voted for the Affordable Care Act in December 2009—the exact number needed to prevent its being filibustered to death, since all Republicans opposed it—are no longer in the Senate.

Jan 19 07:35

BODY OF MISSING AIG EXECUTIVE FOUND IN GOLF COURSE POND

A body found floating in a pond on a golf course in California has been identified as the AIG executive who disappeared two weeks ago while attending a work conference in the area. The Riverside County Coroner’s Office confirmed that it was the body of Omar Meza on Friday, according to KESQ. The cause of death is under investigation and it is not clear how long Meza was in the pond.

Jan 19 07:29

Who Benefits When Bubbles Burst?

Jan 18 22:40

US Supreme Court Retroactive Tyranny Justification

So not just an echo chamber where they admit corporations have the most money to afford multi-year cases but also a way to justify whatever the government does anyway

Jan 18 22:15

"De-Dollarization" Deepens: Russia Buys Most Gold In Six Months, Continues Selling US Treasuries

The rumors of Russia selling its gold reserves, it is now clear, were greatly exaggerated as not only did Putin not sell, Russian gold reserves rose by their largest amount in six months in December to just over $46 billion (near the highest since April 2013). It appears all the "Russia is selling" chatter did was lower prices enabling them to gather non-fiat physical assets at a lower cost. On the other hand, there is another trend that continues for the Russians - that of reducing their exposure to US Treasury debt. For the 20th month in a row, Russia's holdings of US Treasury debt fell year-over-year - selling into the strength.

Jan 18 22:14

Hedge Fund Manager Who Survived Five Debt Crises Wiped Out Overnight on Swiss Franc

Marko Dimitrijevic, the hedge fund manager who survived at least five emerging market debt crises, is closing his largest hedge fund after losing virtually all its money this week when the Swiss National Bank unexpectedly let the franc trade freely against the euro, according to a person familiar with the firm.

Jan 18 22:12

Will China be the next forex peg to break?

The surprise move by Switzerland to scrap its currency ceiling against the euro EURCHF, +0.76% last week is a reminder there can be unexpected collateral damage from central banks waging currency wars. As markets digest last week’s turmoil, expect focus to turn to other fault lines on the global currency map.

Here China stands out, as like the Swiss, it runs an implicit currency peg that is becoming increasingly painful to maintain.

Jan 18 19:45

What We Can Learn From The Richest Man In Asia

In 2013 when he started dumping his Chinese property holdings he was being ridiculed and criticized. Everyone was bullish on China’s real estate market... and we know what happened next. It turns out you don’t want to bet against a man with a track record like Li Ka-shing's - the richest man in Asia. So when Li gets a second passport and creates a Plan B by restructuring his investment companies, moving his money and his assets far away to safe, stable locations so that no single government has control over him, it is perhaps time to pay attention.

Jan 18 19:13

One per cent holds half the world's wealth

The combined wealth of the world's richest 1 per cent will overtake that of the remaining 99 per cent by 2016 unless action is taken to curb "shocking extremes" of inequality, a new report warns.

The richest 1 per cent currently own 48 per cent of all global wealth, Oxfam says. Next year that figure is forecast to exceed 50 per cent for the first time.

Using data from Credit Suisse's latest global wealth report, the charity warns that rising inequality is holding back the fight against global poverty at a time when more than a billion people still live on less than US$1.25 a day.

The report warns that global wealth "is becoming increasing concentrated among a small, wealthy elite".

Jan 18 17:49

Housing bubble 2.0 just met Pin 2.0

Jan 18 15:01

Helicopters Don’t Pay for Themselves

Why Eric Holder’s civil forfeiture decision won’t stop civil forfeiture abuse.

Jan 18 14:48

RadioShack prepares to file for bankruptcy

Troubled electronics retailer is considering selling its assets out of bankruptcy to a private equity firm.

Jan 18 14:38

RT - "Debt Meteor Approaching Earth"

Jan 18 14:03

How The Oligarchs Spend Your Money

Jan 18 13:09

BAML: Dr. Copper Is Shouting 'Sell'

Jan 18 12:45

Obama's Phony MIddle Class Tax Relief Plan by Stephen Lendman

snip: Poverty is a growth industry. A race to the bottom reflects official bipartisan policy. Human suffering is real.

America's middle class is targeted for elimination. Heading for history's dustbin. The nation increasingly becoming a ruler/serf society.

Obama is a serial liar. Breaking every major promise made. Expect his latest to be no exception.

His annual state of the union addresses reflect beginning-to-end doublespeak duplicity. Empty rhetoric concealing business as usual.

Jan 18 12:24

Middle class decline looms over final years of Obama presidency

Barack Obama enters the final two years of his presidency with a blemish on his legacy that looks impossible to erase: the decline of the middle class he has promised to rescue.

Jan 18 11:43

Dead Bankers: Missing Hawke's Bay man's body found in UK

Tributes are flooding in for a Hawke's Bay man who was found dead on a mountain in northern England this week, after he had been missing for four days. United Kingdom police yesterday confirmed a body found on Helvellyn, a mountain in the English lake District, was that of 45-year-old Michael Flanagan, originally from Napier.

Jan 18 10:40

Postal Service proposes small price increase

Jan 18 10:00

Life after an Economic Collapse: The same… only Worse Part I

link to part II http://ferfal.blogspot.com/2015/01/life-after-economic-collapse-same-o...

Read these and see how many parallels have already occurred

Jan 18 09:37

Neocons: The ‘Anti-Realists’

This neocon madness – this “anti-realism” – has been playing out in the real world on a grand scale, destroying real lives and endangering the real future of the planet.

The primary distinction between the neocons and the liberal interventionists has been the centrality of Israel in the neocons’ thinking while their liberal sidekicks put “humanitarianism” at the core of their world view. But these differences are insignificant, in practice, since the liberal hawks are politically savvy enough not to hold Israel accountable for its human rights crimes and clever enough to join with the neocons in easy-to-sell “regime change” strategies toward targeted countries with weak lobbies in Washington.

Jan 18 09:32

Berlin in constant fear ECB will be lender of last resort

The European Central Bank faces another moment of truth as its governors debate whether to buy up the sovereign bonds of euro zone countries to avert a deflationary spiral. At issue still is the attitude of the German faction in the bank, which is resolutely opposed to such moves. But what explains this stance?

The stock response is that German hypersensitivity over the use of central bank printing presses can be traced right back to the country’s painful encounter with hyperinflation in the 1920s, when the Weimar Republic printed more and more banknotes to finance expenditure.

Jan 18 08:52

Everest Macro Hedge Fund Blows Up After Nearly $1 BIllion In Swiss Franc Losses

We also added that "We have yet to find out just which hedge funds were blown up yesterday", for the simple reason that unlike public banks who have an obligation to reveal news, especially bad, to their shareholders, hedge funds PMs hope to avoid the LP firing squad until the last second. Alas, there is only so long that the day of reckoning can be delayed.

One such fund is the Everest Capital Global macro fund, which went from just shy of a billion to zero in milliseconds as a result of a near wipe out due to a massive CHF-short position.

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