ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Jun 29 06:53

China-led AIIB development bank holds signing ceremony

China has hosted the signing ceremony of the Asian Infrastructure Investment Bank (AIIB), a new international financial institution set to rival the World Bank and Asian Development Bank.

Delegates from 50 countries signed articles that determine each member's share and the bank's initial capital.

The UK, Germany, Australia and South Korea are among the founding members.

Japan and the US, which oppose the AIIB, are the most prominent countries not to join.

Jun 29 06:52

57 countries set to sign on to China-backed investment bank AIIB

One of China’s biggest foreign policy successes ever will take concrete shape Monday when delegates from 57 countries sign an agreement on the Asian Infrastructure Investment Bank (AIIB) in Beijing.

The founding members of the China-backed AIIB will sign articles of agreement that decide each member’s share and the bank’s initial capital.

The multilateral institution, seen as a rival to the Western-dominated World Bank and Asian Development Bank, was initially opposed by the United States but has attracted many prominent U.S. allies including Britain, Germany, Australia and South Korea. Other founding members include most Asian nations and countries from the Middle East and South America.

Japan and the United States are the most prominent nations not to have any representation in the venture. China has said it has left the door open for them to join.

Webmaster's Commentary: 

This will be a sucker punch to the gut for the US dollar, when things start to flow here; and this may well be an action which will heighten the US government's appetite for a very ill-conceived war against China, allegedly to prevent a positive outcome from happening here.

I am watching the "news" feed coming from "Faux news", and although they covered the Greek banking system and insolvency, albeit briefly, I never saw a word about the coming the Asian age, with China and its new financial friends, potentially leading the world, and this deal, which is huge.

Jun 29 06:48

Greek Banks Shut Down

Jun 29 06:47

The world is defenceless against the next financial crisis, warns BIS

The world will be unable to fight the next global financial crash as central banks have used up their ammunition trying to tackle the last crises, the Bank of International Settlements has warned.

The so-called central bank of central banks launched a scatching critique of global monetary policy in its annual report. The BIS claimed that central banks have backed themselves into a corner after repeatedly cutting interest rates to shore up their economies.

These low interest rates have in turn fuelled economic booms, encouraging excessive risk taking. Booms have then turned to busts, which policymakers have responded to with even lower rates.

Jun 29 06:45

Puerto Rico is on the verge of default

While all the focus is on Greece there is another government that looks like defaulting on its debts: Puerto Rico’s.

Speaking Sunday evening the island’s governor, Alejandro García Padilla, has concluded that the commonwealth could not pay its roughly $72 billion in debts. The admission will probably have wide-reaching financial repercussions, according to the New York Times.

Padilla suggests they will “probably seek significant concessions from as many as all of the island’s creditors, which could include deferring some debt payments for as long as five years or extending the timetable for repayment”.

Puerto Rico, as a commonwealth territory of the U.S., does not have the option of bankruptcy. A default on its debts would most likely leave the island, its creditors and its residents in a legal and financial limbo that, like the debt crisis in Greece, could take years to sort out, according to the Times.

Webmaster's Commentary: 

So, who is going to be forced to pay on this default?!?

The American taxpayers?!?

And out of WHAT, please?!?

Because the American taxpayer is completely tapped out right now, and short of US police and military raids and confiscation of personal property (which may be being considered by those in the bowels of power in DC), there is nothing left.

Jun 29 06:31

Greek Contagion Spreads As Several Italian Bank Stocks Failed To Open

"several Italian banks failed to start trading on Monday as fears over a Greek debt default induced many investors to shed peripheral stocks, including Italian, with banks suffering the most."

Jun 29 06:30

Referendum Week: Market Reaction

Jun 29 04:04

Central Bank of Central Banks Says “The World is Unable to Fight Next Global Crash”

According to the Bank of International Settlements (BIS), the shadowy “central bank of central banks,” the world as it stands is incapable of combating another global financial crash – a crash that there is every reason to think is coming.

The BIS report described the threat of a new bust in advanced economies as a “main risk”... now suffering the costs of persistent ultra-low rates... which could “inflict serious damage on the financial system”

Read more at SHTFplan.com

Jun 29 01:43

Rent A Tent, The Next Silicon Valley Startup

Jun 28 21:47

As it happened – Yanis Varoufakis’ intervention during the 27th June 2015 Eurogroup Meeting

The Eurogroup Meeting of 27th June 2015 will not go down as a proud moment in Europe’s history. Ministers turned down the Greek government’s request that the Greek people should be granted a single week during which to deliver a Yes or No answer to the institutions’ proposals – proposals crucial for Greece’s future in the Eurozone. The very idea that a government would consult its people on a problematic proposal put to it by the institutions was treated with incomprehension and often with disdain bordering on contempt.

Jun 28 21:00

Chinese Stocks Are Collapsing, Despite PBOC Hail Mary

CHINA'S CSI 500 STOCK INDEX FUTURES EXTEND LOSSES TO 5.7%
CHINEXT - China's tech-heavy high beta 'Nasdaq' - is down 7.8% today, 20% in 3 days, and 35% from highs in early June...!

Jun 28 20:57

The Greeks for whom all the talk means nothing – because they have nothing

After seven years of a crisis that has left 26% of Greece’s workforce unemployed, 30% of its people below the poverty line, 17% unable to meet their daily food needs and 3.1 million without health insurance, it is hard to see how anything decided in Brussels or in Athens in the coming week will do much to change the lives of a large number of Greeks any time soon.

“Those that were already on the margins have been pushed right to the very, very edge, and those who were in the middle have been pushed to the margins,” said Ioanna Pertsinidou of Praksis, a charity that runs day centres for vulnerable people and offers legal and employment advice.

“So many people – ordinary, low-to-middle income people with jobs and homes and their lives on track – have seen their lives go drown the drain so fast,” Pertsinidou said. “People who never dreamed that one day they would not be able to pay their electricity bill, or feed their children properly.”

Jun 28 19:25

Families pack up as S.F. rents keep rising

Jun 28 19:21

Keynes, The Great Depression And The Coming Great Default

Ideas Have Consequences... In Nazi Germany and Fascist Italy, in Great Britain, in Japan, and in the United States, there was a shift of opinion away from the free market in favor of government economic planning. The supreme mark of this transformation was the acceptance of John Maynard Keynes' unreadable book, The General Theory of Employment, Interest, and Money, which was published in 1936. A new generation of younger economists adopted this book and its outlook, which prevails today. The fascist economic idea of an alliance between government and business became almost universally accepted.

Jun 28 19:18

Here Comes "Prexit": Puerto Rico In "Death Spiral", Debts Are "Not Payable", Governor Refuses To "Kick The Can...

As we noted last night, for a whole lot of time nothing at all can happen under the guise of "containment"... and then everything happens all at once. Because not even two full days after Greece activated the "Grexit" emergency protocol, leading to capital controls, and a frozen banking system and stock market, moments ago the NYT reported that the default wave has jumped the Atlantic and has hit Puerto Rico whose governor Alejandro García Padilla, saying he needs to pull the island out of a “death spiral,” has concluded that the commonwealth cannot pay its roughly $72 billion in debts, an admission that will probably have wide-reaching financial repercussions.

Jun 28 16:29

What Bull Market? 42% Of Stocks Are In Correction

A correction is generally defined as any stock that is at least 10% off a recent high. If we look at a price performance over the past 200-days, 42% of all the stocks in the MSCI World Index are in a correction. Higher than you might have thought, right?

Jun 28 16:26

The ECB Suddenly Has A Huge Headache On Its Hands

As that €126 billion or so of total ECB/Eurosystem claims on Greek banks were "charged off" in case of a terminal Greek "event" then the entire ECB capital buffer would also be wiped out, leaving the ECB with negative equity. Translated: dear Eurosystem members: we need more cash.

Bend over and spread 'em!

Jun 28 16:24

Ahead Of The Open: Deer In Headlight "Traders" Pray For The Plunge Protection Team To Arrive

Reasoned market analysis will have to allow for stop losses getting off-side -- or panic-struck or trying to be prudent -- traders back to neutral, the potential consequences of the markets desks of every major central bank being on high alert and prepared to act (“plunge protection teams,” to use the vernacular of the financial crisis), as well as the frustrating reality of it being Sunday evening, which means markets will open ad seriatim and only slowly.

Jun 28 16:24

Ignoring Tsipras Plea For Calm, Greeks Storm ATMs, Stores, Gas Stations

Just a few hours ago Greek PM Tsipras addressed his nation imploring then to "remain calm" and reassuring them that their "deposits were safe." It appears the Greeks did not believe him. Many were wondering where the Greek bank lines were for the past several months. Turns out the local depositors were merely waiting until just after the last minute to withdraw their funds... horde gas... and stack food. Greece, it appears is Venezuela - the new socialist paradise.

Webmaster's Commentary: 

Jun 28 16:20

Dow Futures Open Down 300 Points, 10Y Yield Tumbles 20bps As EURUSD Plunges Over 200 Pips

Buy-The-Dipping, "Greece doesn't matter", Escape-velocity-forecasting, QE-front-running, Central-Bank-believing asset gatherers everywhere must be salivating at this 'healthy correction' opportunity...

Jun 28 16:19

Dow Futures Open Down 300 Points, 10Y Yield Tumbles 20bps As EURUSD Plunges Over 200 Pips

Buy-The-Dipping, "Greece doesn't matter", Escape-velocity-forecasting, QE-front-running, Central-Bank-believing asset gatherers everywhere must be salivating at this 'healthy correction' opportunity...

As Jonathan Krinsky ( @jkrinskygpa ) noted, this is the world's equity traders right now...

Jun 28 16:19

Ignoring Tsipras Plea For Calm, Greeks Storm ATMs, Stores, Gas Stations

Just a few hours ago Greek PM Tsipras addressed his nation imploring then to "remain calm" and reassuring them that their "deposits were safe." It appears the Greeks did not believe him. Many were wondering where the Greek bank lines were for the past several months. Turns out the local depositors were merely waiting until just after the last minute to withdraw their funds... horde gas... and stack food. Greece, it appears is Venezuela - the new socialist paradise.

Jun 28 16:13

Euro plunges as traders head for safe havens

The euro has plunged nearly 2 per cent against the US dollar in the first signs of the market turmoil about to be unleashed by Greece's failure to agree the terms of a bailout package with its European Union and International Monetary Fund creditors.

Jun 28 16:13

Euro Drops as Tsipras’s Referendum Call Stokes Greek Exit Risks

The euro dropped more than 1 percent as trading opened in Asia Monday after Greece’s government moved the nation a step closer to leaving the currency bloc by effectively asking voters to decide on its membership.

Jun 28 16:09

Euro drops below US$1.1 as Greek exit risks grow

The European single currency dropped below US$1.1 in early Asian trade on Monday amid growing concern Greece was headed for financial collapse and a possible eurozone exit.

Jun 28 16:09

Wave of contagion expected after dramatic weekend raises ‘Grexit’ chances

Global financial markets are braced for a wave of contagion from Greece on Monday, with expected heavy losses for southern European government bonds and regional stock markets as investors scramble to discount a possible “Grexit” that most had still assumed was unlikely as late as Friday afternoon.

Greece will keep its banks closed on Monday and implement capital controls after international creditors refused to extend the country’s bailout.

“That is going to have a real big impact on markets and that will generate increased volatility,” said Ian Stannard, European head of FX strategy at Morgan Stanley in London.

Jun 28 16:08

Markets brace themselves for bumpy opening

European markets are braced for a wave of contagion from Greece on Monday, with heavy losses for southern European government bonds and regional stock markets expected as investors scramble to discount a possible “Grexit” that most had still assumed was unlikely as late as Friday afternoon.

Jun 28 15:33

Euro Exchange Rate To Dive As Greeks Rush Banks And Government Says, ‘No Cash’

The euro exchange rate is set to its one of its all-time historic lows against the United States dollar as the possibility of Greece exiting the European Union becomes more and more of a reality.

Webmaster's Commentary: 

The Asian FOREX markets just opened and the Euro is getting pounded.

Jun 28 13:04

‘We don’t need EU permission’: Greek parliament ratifies bailout referendum

As an equal member of the EU, Greece does not need to ask permissions from anyone to let the Greek people speak and have their voices heard, PM Tsipras told his parliament, promising that the state’s sovereignty and future will be decided via referendum.

Jun 28 12:47

Obama: Rockefeller’s man in the White House close to total victory

By Jon Rappoport

Tutored and mentored by David Rockefeller’s intellectual flunkey, Zbigniew Brzezinski, Barack Obama is close to winning his two gold stars for victory — and make no mistake about it, these were his two assignments from the First Globalist Family of Rockefeller:

Obamacare and Obamatrade...

Jun 28 12:31

Varoufakis: If Europe Wants to Humiliate Greece, Do We Need Such Europe?

If Europe is going to stop its bailout program for Greece in order to humiliate the country’s government, a question remains open whether Athens needs such a Europe, Greek Finance Minister Yanis Varoufakis said in an interview with the German newspaper Bild.

Jun 28 11:54

Greek debt crisis: Banks to stay shut, capital controls imposed

Greek banks will be closed and capital controls will be imposed, Prime Minister Alexis Tsipras says.

Jun 28 09:58

‘The American Century’ has Plunged the World Into Crisis. What Happens Now?

U.S. foreign policy is full of corruption and has not done the world well. Continuous war is inevitable if we continue to follow these same policies. Can we change this for the better?

Jun 28 09:35

A humanitarian tragedy imposed on Greece

The austerity program imposed on Greek society is a humanitarian tragedy.

Greece has lost more than 25 per cent of its GDP over the last five years. This is without historical precedent.

Even the Great Depression more than 85 years ago was not this bad.

Jun 28 09:32

Hearing Former IRS Official Lois Lerner's Emails

The House Oversight and Government Reform Committee gets an update from the Treasury inspector general

Jun 28 09:27

Greek Crisis Moving Fast as Emergency Measures Considered

The European Central Bank (ECB) began discussions on Sunday to extend emergency financial support for Greece as the country moves forward with a referendum on a proposed bailout, at the same time as its current bailout speeds to a June 30 expiration.

Jun 28 09:15

FX Brokerages Move To "Close Only" Ahead Of Monday Open

Upcoming risk - Instruments moving to 'Close Only' mode

Due to the uncertainty surrounding the ongoing Greek debt negotiations, and ahead of a potential announcement over the weekend that could lead to high volatility on the market, please be informed that we have decided to decrease your risks by temporarily moving all Instruments to 'Close Only' mode, from 22:30 GMT+3 on Friday the 26th of June 2015, until 00:30 GMT+3 on Monday the 29th of June 2015, trading terminal time.

Please take this information into consideration whilst making your trading decisions.

Jun 28 09:11

‘Tory ‘right to buy’ policy threatens UK homes’

British media reports suggest the Conservative government’s ‘right-to-buy’ policy threatens mass selloffs of Britain’s council homes.

During last month’s election campaign, PM David Cameron promised to give 1.3 million people living in council houses the right to buy their homes.

Jun 28 08:55

Could this be YOU? Everyday Americans, including trained professionals and bosses, reveal how easily they fell into masses of debt - and have been left with no escape

They are Americans from all walks of life and every corner of the country - but are united in debt.

The people pictured in the portraits below have all laid bare their personal finances - revealing the sometimes-crippling amounts of money they owe.

One business owner borrowed $250,000 to fund a laundromat, and is now struggling to shift it - while others have been struck by illness, fraud and what they admit is 'frivolous spending'.

Others owe more modest amounts - often from college fees and credit cards - but have varying levels of optimism about how they will ever pay it back.

All are featured in The Debt Project, a series of photographs by artist Brittany Powell, aiming to investigate how people come to borrow and owe such life-changing amounts of money. Each is accompanied by a hand-written note.

Jun 28 08:53

TPP Trade Agreement Sleight of Hand: It Was Soooo Easy to Distract The American People With A Confederate Flag Flap and then Sell Us Into Slavery Again!

while America was distracted by a contrived, pre-planned Confederate flag distraction, the U.S. Congress forfeited the entire American economic future by quietly passing so-called “fast-track authority” which will allow President Obama to approve the TPP “free trade” agreement.

The TPP, as you may have heard, outright surrenders U.S. sovereignty to multinational corporations, handing them total global monopolies over labor practices, immigration, Big Pharma drug pricing, GMO food labeling, criminalization of garden seeds and much more. In all, the TPP hands over control of 80% of the U.S. economy to global monopolists, and the TPP is set up to enable those corporations to engage in virtually unlimited toxic chemical pollution, medical monopolization, the gutting of labor safety laws and much more.

Webmaster's Commentary: 

Jun 28 08:41

The Money Myth Exploded

“Mr. Oliver, as our banker, your only occupation on this island will be to look after our money; no manual labour.”

“I shall, like every other banker, carry out to complete satisfaction my task of forging the community's prosperity.”

“Mr. Oliver, we're going to build you a house that will be in keeping with your dignity as a banker. But in the meantime, do you mind if we lodge you in the building that we use for our get-togethers?”

“That will suit me, my friends. But first of all, unload the boat. There's paper and a printing press, complete with ink and type, and there's a little barrel which I exhort you to treat with the greatest care.”

They unloaded everything. The small barrel aroused intense curiosity in our good fellows.

“This barrel,” Oliver announced, “contains a treasure beyond dreams. It is full of... gold!”

Jun 28 08:34

‘We don’t need EU permission’: Greek parliament ratifies bailout referendum

As an equal member of the EU, Greece does not need to ask permissions from anyone to let the Greek people speak and have their voices heard, PM Tsipras told his parliament, promising that the state’s sovereignty and future will be decided via referendum.

Referendums have been used all across Europe as a way for people to directly express their will and have their voices heard, and Greece is fully in its right to conduct one PM Alexis Tsipras said during a late-night debate in parliament.

Jun 28 08:31

Greferendum looms: Greeks rush to ATMs, EU saddened, closes door

After months of tense negotiations with its European creditors, Greece is letting the people decide what to do next.

Jun 28 08:28

Armenian president suspends increase in electricity prices

Armenian President Serzh Sargsyan has suspended an increase in household electricity prices in a bid to end protests in the capital Yerevan.

Webmaster's Commentary: 

Scaring the politicians can actually work! :)

Jun 28 08:27

ECB Says "Greek Bank Holiday Now Necessary"

Earlier this morning we noted that the ECB has now frozen the ELA cap for Greek banks in the wake of PM Alexis Tsipras' move to call for a euro referendum and the Greek parliament's vote to allow the poll to go ahead.

Jun 28 08:25

“Assholes ruin everything”

Most people just want to improve their lives, but some aren’t happy unless everyone else is miserable.

Jun 28 08:16

Greeks Line Up at Banks and Drain ATMs as Tsipras Calls Vote

Greece’s banks may need an injection of fresh emergency funds to operate Monday as people rushed to pull out money after Prime Minister Alexis Tsipras called a referendum that could decide his country’s fate in the euro.

Jun 28 08:16

More than a third of Greek ATMs run dry for a while on Saturday

More than a third of automated teller machines across Greece ran out of cash on Saturday before they were replenished as Greeks pulled out money on fears their country was set to crash out of the euro, three banking sources said.

Jun 28 08:15

Shock vote on terms of bailout pushes Greek banks to the brink of meltdown as long queues form at country's cashpoints

Greek banks were on the brink of meltdown last night after the shock announcement that its crisis-hit government would hold a referendum on the terms of a fresh international bailout.

Webmaster's Commentary: 

The referendum will include the option of leaving the EU.

Jun 28 08:13

'Plan B' looms after Greece and Europe fall out

With Greece's creditors refusing to extend its bailout, attention has turned swiftly to preventing massive capital flight as worried Greek citizens pull cash from ATMs.
Related Stories

Fears that the banks may not open Monday have prompted the European Central Bank to meet but officials say it will be up to Greece to stem an outflow that has already reached dangerous levels.

Webmaster's Commentary: 

Not to put too fine a point on it, but that money in the banks is the property of the Greek people and neither the banks for the government have any right to say they cannot have it!

We are seeing the latest chapter in what has become a global repeating pattern. Private central banks crush a nation with artificially created debt, and when the system collapses, as it always must, they stick the people with the losses!

Jun 28 08:12

Bill Gates’s Idiocy (or Is It Psychopathy?)

Bill Gates was interviewed in the Thursday June 25th Financial Times, about global warming investments, and he said some remarkably stupid things, but explaining what he said requires a lot of intelligence; so, maybe what he said isn’t actually that stupid. Might he be an idiot savant? Perhaps there’s a deeper truth here.

Jun 28 08:02

The Biggest Con Job in World History - Wall Street!

Webmaster's Commentary: 

This is a very long documentary, three hours, but worth bookmarking and watching later.

Jun 28 08:00

Draghi Freezes Greek ELA, Varoufakis Tells BBC "Looking At Imposing Capital Controls, Closing Banks"

With Greece having gone past the point of no return, things are now escalating very rapidly, and moments ago the BBC's Nikc Sutton tweeted that the BBC's Mark Mardell was told the Greek government will be "looking overnight at imposing capital controls and closing banks on Monday."

Webmaster's Commentary: 
Jun 28 07:49

'Nein Danke' - smaller German firms see U.S. trade deal as threat

Martina Roemmelt-Fella, who owns a small, family-run turbine manufacturer in Bavaria, should be a cheerleader for a trade deal between Europe and the United States that promises to ease the flow of goods and services across the Atlantic.

But instead she fears the Trans Atlantic Trade and Investment Partnership (TTIP) being hammered out between Brussels and Washington will give too much power to big multinationals at the expense of small companies like hers.

"The proposals are being negotiated behind closed doors with the help of 50 or 60 big corporates," said Roemmelt-Fella, whose firm is one of the thousands of small and medium-sized companies known as the 'Mittelstand' that account for 89 percent of Germany's exporters and form the backbone of the economy.

Jun 28 02:57

Old people are deflationary...

Jun 27 18:15

The Market Detonation You’re Ignoring: “The Chinese Market Is In An All-On Crash”

It's a scary proposition and one from which escape for the general population of the world seems impossible.

Jun 27 17:18

The Delphi Declaration – Paul Craig Roberts

The Delphi Declaration asks the European peoples, especially the Germans, to do the right thing and object to the plunder of Greece by the One Percent.

This appeal to goodwill is likely to fall on deaf ears even though the pillage of Greece will create a precedent that can then be applied to Italy, Spain, France, and even Germany.

European governments, European institutions and the IMF, acting in close alliance, if not under direct control of big international banks and other financial institutions, are now exercising a maximum of pressure, including open threats, blackmailing and a slander and terror communication campaign against the recently elected Greek government and against the Greek people.

Jun 27 15:56

Charter-Time Warner Cable Filing Shows Huge Deal Payoffs For CEOs And Bankers

Sometimes it pays to come in second: Time Warner Cable CEO Rob Marcus stands to collect a whopping $91.9 million if the deal to sell his company to Charter Communications goes through, according to a 700-plus page preliminary proxy filed at the SEC today. He might see $21.8 million in cash, $67.1 million in equity, $396,156 in benefits — mostly for financial planning — and $2.6 million in other awards including a special bonus TWC gave execs for increasing video subs in Q1.

That last bonus is unusual, and seems to give TWC brass a special reward just for doing their jobs: The company agreed to give execs 5% of their 2015 target cash bonus if in any quarter this year the cable company “experienced a net increase in residential video subscribers.”

Jun 27 14:13

Food Security: a Hostage to Wall Street

In October of last year, World Food Day celebrated ‘Family Farming: Feeding the world, caring for the earth’. According to the UN Food and Agriculture Organization’s website, the family farming theme was chosen to raise the profile of family farming and smallholder farmers. The aim was to focus world attention on the significant role of family farming in eradicating hunger and poverty, providing food security and nutrition, improving livelihoods, managing natural resources, protecting the environment, and achieving sustainable development, especially in rural areas.

Jun 27 14:12

And you wonder why the markets are crazy?

Jun 27 14:11

In Case You Are Still Confused About Who Is In Charge

The spectacle is astonishing. The European Central Bank, the EMU bail-out fund, and the International Monetary Fund, among others, are lashing out in fury against an elected government that refuses to do what it is told.

Webmaster's Commentary: 

What is essential for everyone to understand is that banking is not a science. It is a religion with a bunch of made-up rules to benefit the clergy, meaning the bankers. It only works because we have all been brainwashed into believing that banking is as sacrosanct as any other church, and those ink and paper tickets represent something real.

Once human-kind realizes that banking is a manufactured fantasy world designed to exploit humans as slaves (as are the other religions), we take an important step towards freedom.

Jun 27 13:44

Panicking Greeks withdraw billions from cash machines amid fears of exit from euro

Banks in Greece will remain open and people should stay calm, a senior Greek politician said today.

He was speaking hours after Prime Minister Alexis Tsipras announced a surprise referendum to be held on July 5 on the bailout terms offered by foreign creditors.

Jun 27 13:30

Greece on the Edge: Bailout Extension Rejected, But Referendum Still On

The Eurogroup has refused to extend Greece's current bailout deal, which is set to expire on June 30, days before a referendum is set to take place on the financial aid package currently being negotiated.

Greek Prime Minister Alexis Tsipras reportedly called European leaders, including German Chancellor Angela Merkel and French President Francois Hollande on Saturday to tell them, "Democracy is of the highest order in Greece and the referendum will take place regardless of the Euro group decision."

Jun 27 13:24

Thousands of jobs lost in UK

Thousands of workers are losing their jobs across all sectors of the UK economy.

The losses belie the latest figures, hailed a miracle achievement by Prime Minister David Cameron, registering unemployment as dropping to a seven-year low of 5.5 percent. The figures only register the growth in low-paid, part-time, temporary and zero-hours contract jobs as the government drives people into cheap-labour employment in welfare to work programmes.

Jun 27 13:17

The Delphi Declaration - On Greece and Europe

Many readers of the European and American press must be confused about what actually is happening in the negotiations between Greece (Alexis Tsipras and Yannis Varoufakis). The European Troika (the IMF, European Central Bank and European Council now object to the name and want to be called simply “the Institutions”) have stepped up their demands on Syriza. What is called “negotiation” is in reality a demand for total surrender. The Troika’s demand is to force Syriza to go back on the campaign promises that it made to voters who replaced the old right-wing Pasok (“socialist”) and Conservative New Democracy coalition, or else simply apply the austerity program to which that coalition had agreed:cutbacks in pensions, deeper austerity, more privatization selloffs, and a tax shift off business onto labor. In short, economic suicide.

Jun 27 13:16

The Rich Keep Getting Richer

Jun 27 11:45

China’s central bank cuts lending, deposit and reserve ratios

China's central bank cut its benchmark lending rates by 25 basis points to 4.85 percent on Saturday, the fourth reduction since November, as it gears up to lower borrowing costs and support a slowing economy.

The People's Bank of China (PBOC) also reduced one-year benchmark deposit rates by 25 basis points to 2 percent, it said in a statement on its website, adding that the reductions would take effect on Sunday.

Jun 27 11:23

Why I Moved Out Of CA

Jun 27 11:14

Which Pin Will Prick The Bubble(s)?

Jun 27 10:36

The Seeds of the Next Economic Boom

Jun 27 09:57

Riot Police Deployed in Armenia as Protests Over Electricity Hike Rage On

The protests have been ongoing for the past week in a society riddled with low wages and unemployment. At a cabinet meeting Thursday, Prime Minister Hovik Abrahamyan said demonstrators were violating the country's constitution and that the government would not change its decision. He did, however, offer the possibility of providing compensation as relief for those unable to afford the price hike.

Jun 27 09:46

Gazprom building global alliance with expanded Shell

Gazprom is building a global strategic alliance with energy major Royal Dutch Shell that will include asset swaps and allow the Russian gas giant to penetrate new markets, its chief executive told Reuters.

Gazprom, the world's top gas producer, said on Thursday that Shell and its long-time gas buyers in Europe - Germany's E.ON and Austria's OMV - had agreed to build two new Nord Stream gas pipelines under the Baltic sea to Germany.

In a rare interview, chief executive Alexei Miller said the agreement with Shell also foresaw an expansion of the firms' joint $20 billion liquefied natural gas plant on the eastern island of Sakhalin as well as global upstream asset swaps.

Webmaster's Commentary: 

Oh, yes, the US and European sanctions are working brilliantly....in terms of building Russia's energy sector, that is!!!

Jun 27 09:44

Lady Rothschild: Capitalism Should Be Socialism

Lynn Forester de Rothschild (60) who is married to Sir Evelyn Robert de Rothschild (83) has a problem with concentrated wealth. It is apparently, though, just a "theoretical" problem, since she never mentions giving any significant portion of the wealth controlled by her and her husband.

Jun 27 09:23

Rejecting 'Blackmail' Deal, Greece Calls Referendum on Bailout

Greek Prime Minister Alexis Tsipras this week called for a referendum on the financial aid deal that is currently at a standstill in negotiations, putting the future of the bailout package to a popular vote at the last minute as he rejected another austerity-heavy plan from creditors.

Jun 27 09:20

Greek debt crisis LIVE UPDATES

Greece and its lenders have been gridlocked in talks over its €240-billion debt for about six months. Fears of Greece defaulting are causing a run on the banks, with people withdrawing record amounts of deposits. RT will report on the latest developments.

Webmaster's Commentary: 

Jun 27 08:54

European Ministers Deny Greek Request to Extend Debt Talks

Eurozone finance ministers on Saturday rejected Greece’s request to extend its debt negotiations beyond next week’s deadline, seeming to bring a bitter end to months of discussions of how or whether to continue providing bailout loans to Athens.

The rapid turn of events came only hours after the Greek prime minister, Alexis Tsipras, surprised Europe by calling for a national referendum on whether his country should accept bailout aid under terms he bitterly opposes.

Jun 27 08:42

Former Red Light Ticket Cam CEO pleads guilty to bribing elected officials in Columbus OH,

including council president Andy Ginther

Karen L. Finley, guilty to bribing Columbus elected officials through the Ohio Democratic Party
Columbus OH still really wants Red Light Cameras
Like some other Ohio cities, Columbus has sued the state to bring back the cameras

Jun 27 08:24

Paul Craig Roberts Warns Greek Government May Be Assassinated In This Crisis If They Pivot East To Stop World War III

Dr. Paul Craig Roberts: “The Greek people and the Greek government have before them the unique opportunity to prevent World War III. All the Greek government needs to do, if the Greek people will get behind the government, is to default on the loans, resign from the EU and from NATO, and accept the deal that the Russians have offered them….

“This would begin the unraveling of NATO. Very quickly Spain and Italy would follow. So southern Europe would desert NATO and so would Austria, Hungary and the Czech Republic. NATO is the mechanism that Washington uses to cause conflict with Russia. So as the EU and NATO unravel, the ability of Washington to produce this conflict disappears.

Webmaster's Commentary: 

The money-junkies have forgotten something very important about the Greek people (the same thing the Nazis forgot).

Thermopylae!

Clearly, the Greek people remember it well!

Sadly, it appears I am not alone in my expectation that the money-junkies will likely attempt either a coup or outright assassination to keep the Greek people enslaved to their private central bank system.

Jun 27 08:13

Deutsche Bank CEO May Have Lied To Bundesbank About Rate Rigging, BaFin Says

Germany’s financial regulator says departing Deutsche Bank co-CEO Anshu Jain may have lied to the Bundesbank about LIBOR manipulation when he apparently denied having any knowledge of rumors that the fixes may have been fixed (so to speak) even as his inbox told a different story.

Jun 27 08:02

The US & Europe Will Collapse Regardless Of Economic "Contagion"

We cannot forget that crisis is in itself a distraction as well. Whatever pain we do feel tomorrow, or the next day, or the next decade, remember who it was that caused it all: the international banks and their globalist political counterparts. No matter what happens, never be willing to accept a centralized system. No matter how reasonable or rational it might sound amid the terror of fiscal uncertainty, never give the beast what it wants. Refuse to conform to the dialectic. This is the only chance we have left to get back to true prosperity. Once we cross the line into the realm of worldwide institutionalized interdependency, we will never know prosperity or freedom again.

Jun 27 08:01

A Desperate China Cuts Key Policy Rates After Stock Market Crash; "It's Just Like 1987"

For the first time since October, 2008, China cuts both the benchmark lending rate and RRR on the same day, in a frantic attempt to sustain the country's equity bubble after stocks collapsed to the edge of bear market territory on Friday.

Jun 27 07:54

Greek Officials Warn "Some Banks May Not Open Monday"

Following Tsipras' surprise referendum decision (and subsequent pulling of proposals by the institutions), Greece's bank jog has turned into a full sprint. ATM lines began to form at 2am, minutes after the announcement and now many ATMs are out of money and, as Bloomberg reports, some Greek banks are drastically limiting cash transactions. Despite all the reassurances that "banks will open Monday," two senior bank executives have warned that some lenders will not be able to open Monday (unless more emergency liquidity is released). Crucially, this is not just about banks being in trouble - drained of deposits electronically - this is running out of physical banknotes, there is literally no more 'real' money left in Greek banks.

Jun 27 02:19

S&P 500: Even the Bottom 5% Is Overpriced!

Jun 27 01:13

Greece to hold national referendum on debt deal

The Greek PM has announced a national referendum on July 5 on the conditions of the debt deal with international creditors. It’s up to the Greek people, Tsipras said, to make a fateful decision on the country’s sovereignty, independence and future.

“These proposals, which clearly violate the European rules and the basic rights to work, equality and dignity show that the purpose of some of the partners and institutions was not a viable agreement for all parties, but possibly the humiliation of an entire people,” Greek Prime Minister Alexis Tsipras said in a televised address to the nation.

Webmaster addition: The referendum will include the choice whether to stay or leave the EU.

Jun 27 00:49

The Myth of Global 'Free' Trade

The key to TTIP is the so-called Investor-State Dispute Settlement mechanism that essentially gives corporations free reign to sue governments using a “failure to implement” provision, if state policies or legislation interfere with profits. But is this all about trade?

Jun 27 00:40

Greece – The Way Out

Troika Involved in “Financial Terrorism”. It’s “Economic Waterboarding”.

What the troika is doing to Greece these days is the pinnacle of financial terrorism. It is economic waterboarding. It is blackmailing of the first degree. These people are neoliberal fascists, putting the Greek government before a dilemma – ‘either you present us with an acceptable list of austerities, or we will prepare one for you’ – literally. An austerity plan you better accept, lest you may default and being expulsed from the European monetary union and maybe even the EU. That is their threat. That is what Brussels does to a brother; to one of theirs. There is not a shred of solidarity left in this miss-called ‘Union’. This ‘Union’ doesn’t deserve existing.

Jun 27 00:01

Ugly: France is Collapsing; Pelted with Eggs in a Paris Riot…

“Why not just work for cash?” we suggested, drawing on our experience as a scofflaw in Argentina.
“It’s not allowed. I would pay a fine… about 5,000 euro. And the person who gives me the money would pay a fine of 35,000 euro. And could go to jail.”

“How would anyone know?”
“Are you kidding? This is France. A neighbor would denounce me. He’d see me happily working. He would say I was taking a job away from someone else.

Jun 26 18:34

It's 2 In The Morning And Greeks Are Lining Up At ATMs; Alpha Limits Online Banking

Because correlation does not equal causation, we present the following with no comment other than to note that according to Goldman's estimates (shown below), Alpha Bank, which has announced that web banking will "operate with limited functionality" over the weekend, happens to have the smallest ELA buffer of the four major Greek banks.

And of course, Greek PM Alexis Tsipras has just called for a referendum on euro membership to be held next Sunday.

Draw your own conclusions.

Jun 26 18:28

Greece Invokes Nuclear Option: Tsipras Calls For Referendum

Greek PM Alexis Tsipras has announced a referendum in a televised speech to the nation after another day of fractious negotiations with creditors closed without a deal.

The dramatic move comes after Athens rejected a proposal from the troika aimed at delivering some €16 billion in aid to Greece as part of an extension of the country's second bailout program.

Protothema now says the Greek parliament will meet on Saturday and a referendum will be called as early as next week. Whether this is simply a last minute attempt to put pressure on EU finance ministers ahead of Saturday's Eurogroup meeting remains to be seen, but one thing is for sure: Tsipras is playing a dangerous game with the ECB ahead of a difficult week that could very well see the imposition of capital controls.

Webmaster's Commentary: 

UPDATE: In looking through tweets and comments, plus information on financial services such as Bloomberg, Tsipras' announcement has triggered a major panic among the heads of the too-big-to-fail financial institutions, who were eager to rake in profits selling credit default swaps against Greece's debt, and now face a derivatives exposure many times the volume of the Greek debt itself. The derivatives losses will be enough to sink many of these institutions in a firestorm of paper that will make 2008 look like a speed bump in comparison.

It is already clear from the many protests in Greece which was the Greek people will vote. From now to the 5th is insufficient time to get vote riggers into place in Greece or to mount a propaganda campaign that the Greek people are evenly divided on the issue, to conceal another stolen election. Nobody is going to believe a claim that the Greek people will vote themselves back into the slavery of the ECB and the IMF.

I would not be surprised to see an orchestrated effort to get Tsipras out of office next week, if not an outright assassination attempt. The money-junkies have a long history of murdering uncooperative heads of state, and from their point of view they have no choice.

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WRH breaking
Jun 26 16:10

Imperialism and the Control of Agriculture -- Food Security: a Hostage to Wall Street

in many places, small farmers are being criminalised, taken to court and even made to disappear when it comes to the struggle for land

Jun 26 15:42

Everything Is In a Bubble – Marc Faber

Jun 26 15:00

The Last Time This Happened, The Bull Market Ended

In a somewhat stunning reality check for the new normal, companies in the S&P 500 have started paying out more money to shareholders than they produce in operating earnings. The last time spending on buybacks-plus-dividends exceeded operating profit was Q2 2007... that did not end well...

Jun 26 14:59

What Electricity Consumption Tells Us About The State Of The US Economy - An Update

Looking at electricity consumption, adjusted or otherwise, things are definitely looking very sluggish in the US economy right now.

Jun 26 14:56

America Is A Dangerous Flailing Beast

"When I think of America’s place in the world today, the image that comes to mind is of a very large animal, perhaps a huge bull elephant or even prehistoric mammoth, which long roamed as the unchallenged king of its domain but has become trapped by its own missteps, as caught in a tar pit or some quicksand, and it is violently flailing about, making a terrifying noises in its effort to free itself and re-establish its authority. Any observer immediately knows the animal ultimately cannot succeed but certainly is frightened by the noise and crashing that it can sustain for a considerable time."

Jun 26 14:54

Greece Rejects Bailout Extension: Tsipras Calls For Referendum, Will Convene Parliament On Saturday

“[I will defend] democracy, solidarity, equality, mutual respect. These principles were not based on blackmails and ultimatum, and especially in these crucial times no one has the right to put in danger these principles. The Greek government will continue decisively to give the fight in favor of these principles, to continue to give the fight on behalf of the European people and of course on behalf of the Greek people."

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