ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Oct 09 06:30

Serious Financial Trouble Is Erupting In Germany And Japan

There are some who believe that the next great financial crash will not begin in the United States. Instead, they are convinced that a financial crisis that begins in Europe or in Japan (or both) will end up spreading across the globe and take down the U.S. too. Time will tell if they are ultimately correct, but even now there are signs that financial trouble is already starting to erupt in both Germany and Japan. German stocks have declined 10 percent since July, and that puts them in "correction" territory. In Japan, the economy is a total mess right now. According to figures that were just released, Japanese GDP contracted at a 7.1 percent annualized rate during the second quarter and private consumption contracted at a 19 percent annualized rate. Could a financial collapse in either of those nations be the catalyst that sets off financial dominoes all over the planet?

Oct 09 05:55

Fear of Ebola could have “catastrophic” economic costs, World Bank predicts

A report issued Wednesday by the World Bank forecasts that the total economic impact of Ebola could exceed $32 billion by the end of 2015 if the virus spreads from Liberia, Guinea and Sierra Leone to neighboring countries.

That single dollar amount doesn't fully convey the extraordinary human toll of a virus that kills four in five of its victims and could infect as many 1.4 million people by January. Yet the World Bank's estimate is a reminder that sickness and death are only part of what could be a developing regional crisis.

Oct 08 11:56

Shift to elected officials a smart move in Detroit

The mayor and council will now be running city government for the first time in 18 months

Oct 08 11:53

World Bank issues dire warning about Ebola's economic impact

The economic impact of the Ebola epidemic could reach $32.6 billion by the end of next year if the disease ravaging Guinea, Liberia and Sierra Leone spreads to neighboring countries in West Africa, the World Bank Group said Wednesday.

Oct 08 11:53

Panic Buying Ensues After FOMC Minutes Unleash Weaker Dollar

If you liked King Dollar, you'll love Dumping Dollar... Gold, Treasuries, and Stocks are surging after the release of the FOMC minutes suggested The Fed will keep rates lower longer. The USDollar is dumping - just as The Fed suggested it was worried about a strong dollar. Stocks remain negative on the week and below the levels of the last FOMC...

Oct 08 11:33

Dow jumps to triple-digit gain after Fed minutes

U.S. stocks on Wednesday jumped to fresh session highs after the release of minutes from the last meeting of Federal Reserve policy makers. The Dow Jones Industrial Average DJIA, +1.27% was last up 139 points after showing a gain of just 83 points shortly before the release of the minutes, which indicated that several top Federal Reserve officials wanted to re-write their guidance that short-term interest rates were likely to stay low for a "considerable time" -- but held off.

Oct 08 10:48

FLASHBACK - **LEAKED RECORDING FROM CFR SWINE FLU SCARE MONGERING

Oct 08 09:57

Libya Takes Goldman Sachs to Court to Recover $1.2 Billion from a Series of Derivatives Trades

Libya’s sovereign wealth fund took Goldman Sachs to court in London on Monday to recover $1.2 billion from a series of derivatives trades made during Muammar Gaddafi’s regime.

The Libyan Investment Authority claims that its international inexperience and a relationship of trust with the bank was “exploited” by Goldman Sachs, which disputes the allegations.

The Wall Street bank allegedly made $350 million in up-front profits from the trades, although the deals were rendered worthless for the LIA when they matured in 2011.

Oct 08 09:04

“Voters will remember this”: Scott Walker administration says $7.25 an hour is a “living wage”

Wisconsin Gov. Scott Walker has rejected a labor group’s effort to increase the state’s $7.25 an hour minimum wage.

The Milwaukee Journal-Sentinel reports that a coalition led by the group Wisconsin Jobs Now had seized on a provision in Wisconsin law which states that the minimum wage must be a “living wage” – defined as “reasonable comfort, reasonable physical well-being, decency and moral well-being.” However, the Journal-Sentinel noted, state law also allows governors to weigh such factors as the wage’s impact on the labor market. (Studies show that state increases in the minimum wage don’t harm job growth.)

Citing the living wage provision, the coalition last month urged the Walker administration’s labor department to raise the state’s minimum wage. In rebuffing the effort, the Walker administration isn’t just citing the other factors a governor is allowed to consider – it’s actually asserting that $7.25 an hour is a living wage.

Oct 08 08:59

IMF: China overtakes US as world’s largest economy

Chris Giles at the Financial Times flagged up the change. He also alerted us back in April this year that it was all about to happen.

Basically, the method used by the IMF adjusts for purchasing power parity, explained here.

The simple logic is that prices aren’t the same in each country: A shirt will cost you less in Shanghai than San Francisco, so it’s not entirely reasonable to compare countries without taking this into account.

Though a typical person in China earns a lot less than the typical person in the US, simply converting a Chinese salary into dollars underestimates how much purchasing power that individual, and therefore that country, might have. The Economist’s Big Mac Index is a great example of these disparities.

So the IMF measures both GDP in market exchange terms, and in terms of purchasing power. On the purchasing power basis, China is overtaking the US right about now and becoming the world’s biggest economy.

Webmaster's Commentary: 

This is the reason that we may well be looking at a major war between the US and China; it would be the US government's (ill-advised) attempt to put China's economic growth on hold.

Oct 08 08:13

Sears shares tumble after report of vendor halting shipments

Shares of Sears Holding SHLD, -14.76% tumbled as much as 14%, before paring some losses, following a report that at least one vendor was halting shipments to the department store chain because insurance firms for the suppliers are seeking to reduce coverage.

Oct 08 08:11

Banker Pleads Guilty Over Libor Manipulation, In Secrecy

Oct 08 07:53

Koch Industries Responds to Rolling Stone – And We Answer Back

I find it, frankly, amusing that a company that has been convicted of six felonies and numerous misdemeanors; paid out tens of millions of dollars in fines; traded with Iran, and been so reckless in its business practices that two innocent teenagers ended up dead, attempts to impugn my integrity, and on the basis of my association with Mother Jones — where I worked as an editor in the late 1990s and early 2000s, on a team that was twice nominated and once awarded a National Magazine Award for General Excellence.

Oct 08 07:47

FLASHBACK - DHS Orders Bagpipes? So Much for Sequester Cuts

Apparently the head of the Department of Homeland Security is not even trying to save the government any money. Yesterday DHS ordered a new supply of musical instruments including bagpipes and drums. There is music writing software included in the order as well as the many small parts that go into caring for bagpipes.

I guess Napolitano didn’t get the memo. We are supposed to be saving money here! How exactly are we “securing the homeland” with bagpipes and drums? The problem here is, that Democrats keep saying that the sequester cuts were too much and that we weren’t going to be able to continue life as we know it without this money. Well obviously, that’s just not true.

Webmaster's Commentary: 

"No, no, no, no, NO! You don;t understand. The austerity is for you slaves, not us! You silly!!" -- Official White Horse Souse

Oct 08 07:26

Swiss Move to Back Franc with Gold for Real?

Asking the Swiss National Bank to hold a fixed portion of its assets in gold would hinder monetary policy, the government said today. Switzerland will vote on the initiative "Save Our Swiss Gold" on Nov. 30 that would force the central bank to hold at least twenty percent of its assets in gold. It would also forbid the sale of any such holdings and require all the gold be held in Switzerland. – Bloomberg

Oct 08 07:12

Ebola: Why don't we just ban flights from Africa?

The World Health Organization has said repeatedly it does not recommend travel bans on the countries affected by the Ebola outbreakl because that would leave the countries cut off from the rest of the world, “resulting in detrimental economic consequences, and hinder relief and response efforts, risking further international spread.” http://www.who.int/mediacentre/news/statements/2014/ebola-2nd-ihr-meet...

The key problem in travel bans, says the WHO and others, is that ending flights in and out of affected countries hinders these countries’ ability to receive the new supplies they so desperately need. As well, there are already not enough health workers on the ground in the affected countries. What foreign worker would willingly fly into the epidemic to offer assistance knowing they might not be allowed to fly back out?

Webmaster's Commentary: 

This is about protecting the profits of the airline corporations as we head into the holiday travel season. The fact is that the United States maintains a military airlift capability that is the rival of any commercial airline and can go wherever they need to go. The US Government is still treating Ebola as a political and economic issue. They want people to keep buying airline tickets. They want people to flood into the shopping malls for the Christmas shopping season. They want to make sure everyone shows up to vote next month. And mostly they don't want people to start thinking that maybe it is time to stop waging wars against countries on the other side of the globe and spend the taxpayer's money to protect the US from a major epidemic.

Oct 08 06:35

US lifts sanctions on Turkish arm of Russia’s biggest lender

The US Treasury Department has taken a bank off its “naughty” list, Turkey’s DenizBank, a subsidiary of Sberbank. Russia’s largest bank was placed under sanctions in September, and now DenizBank is no longer blocked from American capital markets.

Istanbul-based DenizBank fell under sanctions because it is more than 50 percent (99.85 percent) owned by Sberbank, which acquired it in September 2012. The Department of the Treasury sanctions apply to any bank that is majority-owned by a sanctioned Russian bank.

Sberbank acquired Denizbank, Turkey’s eighth largest, from Belgium’s Dexia for $3.5 billion, as part of an effort to grow outside the former USSR.

Oct 08 06:33

Russia to force card issuers to use domestic payment system

Two Russian deputies have submitted a bill to the State Duma that would require all foreign and domestic payment card issuers to work exclusively with the new National Payment System in Russia.

"National System of Payment Cards (NSPC) will be an operational and payment center, banks and international payment systems shall interact only with NSPC - we need to understand what processes are happening in the territory of Russia,” Vedomosti quotes Marina Mukabenova, one of two deputies who submitted the bill.

Some countries, like Turkey, are already using such a scheme, Mukabenova said.

Oct 08 06:32

Powerhouse Germany gets own spoonful of austerity

German industry is feeling the most pressure since the peak of the global financial crisis in 2009, putting Berlin in a difficult position as it preaches tough austerity to its neighbors. Russian sanctions are only exacerbating the economic misery.

Industry orders tumbled 5.7 percent in August from July, the fastest since January 2009 when they dropped 7.7 percent, the Germany Economy Ministry in Berlin said Monday. The drop was much higher than economists at Bloomberg (1.5 percent) and Reuters (2.5 percent) forecast.

Germany factory orders, adjusted for seasonal swings, were 4 percent less in August than in July, the biggest drop since 2009.

Oct 07 11:17

Walmart Cuts Health Care Coverage For Most Part-Timers In Wake Of Obamacare

Wal-Mart Stores Inc. plans to eliminate health insurance coverage for some of its part-time U.S. employees in a move aimed at controlling rising health care costs of the nation's largest private employer.

Wal-Mart told The Associated Press that starting Jan. 1, it will no longer offer health insurance to employees who work less than an average of 30 hours a week. The move affects 30,000 employees, or about 5 percent of Wal-Mart's total part-time workforce, but comes after the company already had scaled back the number of part-time workers who were eligible for health insurance coverage since 2011.

"We had to make some tough decisions," Sally Welborn, Wal-Mart's senior vice president of benefits, told The Associated Press.

Webmaster's Commentary: 

And what do you want to bet that starting 1 January 2015, NO ONE WILL BE WORKING OVER 30 HOURS AT WAL-MART?!?

Sometimes, workers may have pre-existing conditions which may make it impossible to find adequate health insurance, particularly with what Wal-Mart pays them.

Corporations, in their lust for profitability over everything else, tend to have the morals of a trout; this decision makes that painfully clear on the part of to Board of Directors at Wal-Mart.

Oct 07 11:11

The new AIG lawsuit should enrage every American taxpayer

Imagine you have a friend who drinks a lot and often.

Until now, they always seem to have a good time. He tells the best stories, gets all the girls. He’s the life of the party.

Then, one day, he wrecks his car. And you and some buddies, who happened to be in the neighborhood, see your pal trapped. Of course, you rush to the rescue. You try to break open the door with a tire iron. Ultimately, you smash the window and pull the poor fellow out. And just when you’d think this guy would sober up and see the recklessness of his ways, he looks you in the eye and says without blinking: “You need to pay for my door and windshield.”

This is the story of American International Group Inc. AIG, -2.10% and its longtime leader, Maurice “Hank” Greenberg.

Webmaster's Commentary: 

And THAT is real Chutzpah!

Oct 07 09:55

The new subprime is in auto loans: One third of all new auto loans are of the subprime variety. Repossession are up 70 percent.

Leave it to Wall Street to resurrect the subprime loan. This time, subprime has found a comfortable home in the automotive industry. In the car addicted US culture, subprime debt is back in a massive way. Subprime auto debt is the new risky debt product. This is a big deal. $924 billion in total auto debt is rummaging around the economy. What is even more disturbing is that delinquencies on auto debt are surging. Repossessions are up 70 percent because people simply can’t make their auto payments. What do you expect when you are pumping out subprime debt trying to churn more sales on marginal buyers? Most Americans are living paycheck to paycheck so taking on another debt payment isn’t necessarily a wise move. How big is this market? The latest data shows that a stunning one third of new auto loans are in the form of subprime debt. This is telling given that FICO is planning on being more lax with credit scores.

Webmaster's Commentary: 

The problem is not people who do not have credit. The problem is people who cannot find jobs to pay those car loans!

Oct 07 07:17

False Flag Warning: Khorasan Terrorist Group Is Back And A US Attack Is Imminent

Germany orders plunge to new lows. Euro zone sentiment falls in October. HP laying off 5,000 employees and the company could be split up. UK, US and Turkey attacking free speech on the internet. More cases of Ebola which might trigger more advanced screenings at airports. Hong Kong protests seems to be losing steam. New Islamic State document found implicating Russia in its plan. 5,000 paid mercenaries being trained in Saudi Arabia. Russia blamed for attacking JP Morgan. China implicated in cyber attacking companies. FBI director says Khorasan terrorist group is planning to attack the U.S. Be prepared for a false flag.

Oct 07 06:50

Europe's Triple-Dip Recession Arrives: German Industrial Production Crashes Most Since February 2009

Yesterday it was German manufacturing orders which cratered 5.7% in August following a freak, 4.9% rebound in July, prompting Goldman to warn that "the underlying dynamic has weakened further at the end of Q3" ...

... And then a few hours ago we finally got undeniable confirmation that Europe is once again in recession, its third since Lehman, only this one is worse: it is led by the "core" countries, with Germany in the forefront, a Germany which just reported industrial output which suffered its biggest monthly decline in more than five years in August.

Oct 07 06:45

Retired CUNY Professor Gets $560k/Year Pension: 'Darn Right I Deserve It'

McManus, who has written groundbreaking books on slavery, retired in February 2012 after teaching history and constitutional law for more than 50 years. His final salary was $116,364. “They don’t pay you much when you’re working, but the pension is certainly good,” McManus told The Post. “Darn right I deserve it.”

Oct 06 11:41

Obama Threatens More Sanctions Against Zimbabwe Over Russian-Platinum Deal

As Martin Armstrong exclaims, Obama is out of control. According to NewZimbabwe.com, Washington has said it will accelerate sanctions imposed against Harare in 2003, due to the Robert Mugabe-led government's closer ties with Russia over the US$3 billion Darwendale platinum project. Herald columnist Nathaniel Manheru (who is thought to be Mugabe's spokesman), reported, Washington explained its expectations on Zimbabwe, namely that Zimbabwe was expected (read required) to support those sanctions by avoiding any association with companies sanctioned by the Americans and their Western allies, or their subsidiaries or affiliates. Manheru said "it was ridiculous for the US to refuse to lift sanctions against Harare and then demand support for its measures against Moscow... This is where I am tempted to tell the American government to go and hang, hang on a banana tree, bums up."

Webmaster's Commentary: 

"Well, looks like we just found ISIS is Zimbabwe, if you understand what i mean!" -- Official White Horse Souse

Oct 06 11:29

Looting Operation: Corporate Elite Divvies up Detroit as Bankruptcy Plan Confirmation Looms

As the Detroit bankruptcy moves into its final stage, it becomes ever more clear that the corporate-financial oligarchy is implementing the wholesale privatization of an entire US city.

With the full backing of a federal court acting on behalf of powerful corporate and financial interests, a cabal of capitalist politicians and legal and financial bagmen are looting virtually all of Detroit’s basic public infrastructure—including street lights, garbage collection, the water and sewerage department, as well as the city’s world class art museum, the Detroit Institute of Arts (DIA).

Oct 06 09:38

War! What Is It Good For? (Hint: These 4 Companies)

Led by Lockheed Martin, the biggest US defence companies are trading at record prices as shareholders reap rewards from escalating military conflicts around the world.

Oct 06 09:37

US Government Debt Jumps by $1.1 Trillion in Fiscal 2014

When it comes to the Federal deficit, reliable numbers are as elusive as unicorns. Not that there aren’t plenty of numbers out there, but they don’t match reality. And reality is ultimately the change in the gross national debt which shows in its unvarnished manner just how much money the federal government actuallyhad to borrow to fill the fiscal holes.

Regardless of what has been proffered by the White House, the Congressional Budget Office, and others, the total gross national debt outstanding of the US of A hit $17.824 trillion in fiscal 2014 ended September 30. A jump for the fiscal year of $1.086 trillion.

Oct 06 09:15

Young and not buying into the American dream: Homeownership among young households is simply not picking up and shifting demographic trends.

If the American dream means owning a home, many younger Americans are opting out of that dream. Part of the reason may be a generational shift in having smaller families and a growing number of dual income no kid (DINK) households. That is part of it but a bigger reason is many younger Americans are financially in poor shape and unable to buy. Many are now part of a growing renter class. The recent Census data shows no reversal in this trend. Why would it? Many young Americans are also carrying high levels of student debt and in high cost areas like California, 2.3 million young adults are living at home with their parents because of financial challenges. This change has also impacted home builders since there is less of a need for large new homes when the demand is more for affordable rentals. Builders are keen to see this and that is why multi-family building permits are way up. What impact will this trend have on the housing landscape of America?

Oct 06 09:03

Biden's Speech Might Backfire on Washington: Former Assistant Secretary of Treasury

Speech of the US Vice President Joe Biden can backfire on Washington, as it embarrasses the European Union members and demonstrates the US has intimidated them, Paul Craig Roberts, former Assistant Secretary of the Treasury, believes.

"One of the possible consequences is that his speech embarrasses European governments by showing that Europe is Washington's vassal," Roberts told RIA Novosti on Friday. "The other is that by pressing Europeans to act against their own interests, Washington might have been too much of a bully and hurt its future influence in Europe."

US Vice President said Thursday that the United States and US President Barack Obama, in particular, had forced the European Union members to "take economic hits to impose cost" on Russia.

Oct 06 08:29

Surging dollar may be triple whammy for U.S. earnings

The suddenly unstoppable U.S. dollar is posing a triple threat to American companies' profits: driving up the costs of doing business overseas, suppressing the value of non-U.S. sales and, perhaps most worryingly, signaling weak international demand.

Oct 06 08:27

Hewlett-Packard to split into two public companies, lay off 5,000

Hewlett-Packard Co (HPQ.N) said it would split into two listed companies, separating its computer and printer businesses from its faster-growing corporate hardware and services operations, and eliminate another 5,000 jobs as part of its turnaround plan.

HP said its shareholders would own a stake in both businesses through a tax-free transaction next year, the details of which still needed to be worked out.

Oct 05 06:58

Consumers 'picking up bill'

Consumers have been left to pick up the bill for "poorly conceived and managed" contracts worth £16.6 billion for renewable energy, MPs have warned.

Oct 05 06:58

Dancing with The Bride of Dracula at the Ebola Debutante's Ball.

Oct 05 06:55

Manipulated Unemployment Rate Drops As The Economic Collapse Accelerates - Episode 483

Oct 05 06:43

WHY HAVEN'T LAWMAKERS BEEN INDICTED AND CHARGED FOR THIS?

"The Federal Deposit Insurance Corporation is encouraging banks to sign up illegal aliens in the banking system, calling the growth of the market "a compelling incentive for U.S. banks to enter this largely untapped market." And the FDIC program demonstrates that unbanked Latin American immigrants can be brought into the financial mainstream.

Webmaster's Commentary: 

Setting aside the illegality of this,. what is going on is that the bankers are trying to build a new bottom layer for their financial pyramid by offering loans to illegals, from which they can create new money out of thin air to keep the pyramid going. But that only works if there are new jobs for these new borrowers, which there are not. There are already 90 million legal Americans unable to find work. Every illegal that takes a job takes it away from a legal American. That legal American, in turn, is no longer able to pay back their loans to the banks. So the system will collapse anyway. This is the sort of mess one sees the nation get into when the government starts to believe its own propaganda, such as the claim that unemployment is below 6%!

Oct 04 06:56

Exclusive - G20 finalising flexible 'bail in' bond deal for big banks: sources

The world's biggest banks may be able to count surplus capital towards new buffers of special bonds being imposed by regulators, two sources familiar with draft proposals said.

In order to secure a deal the regulators have agreed to a more flexible approach to cater for differences in banking models across the world, both sources said.

The proposed new rule for the world's biggest banks is part of a wider plan for making banks safer after governments had to shore up lenders during the 2007-09 financial crisis.

Webmaster's Commentary: 

The banks will be made safer by transferring the risk onto the customers!

Oct 04 06:24

Biden says US 'embarrassed' EU into sanctioning Russia over Ukraine

“We’ve given Putin a simple choice: Respect Ukraine’s sovereignty or face increasing consequences,” Biden told a gathering at the John F. Kennedy Jr. Forum at Harvard University's Institute of Politics on Thursday.

The consequences were the sanctions which the EU imposed on Russia, first targeting individual politicians and businessmen deemed responsible for the crisis in Ukraine, then switching to the energy, defense, and economic sectors.

“It is true they did not want to do that,” Biden admitted.

“It was America’s leadership and the president of the United States insisting, oft times almost having to embarrass Europe to stand up and take economic hits to impose costs,” the US vice president declared.

Oct 03 16:08

Who Are Politicians Truly Representing? Russell Brand The Trews

Oct 03 14:32

German Push to Accelerate Bank Bail-Ins Joined by Dutch

Germany, the Netherlands and Finland want to speed up European Union plans to force losses on senior bondholders of failing banks, three European government officials said.

The three AAA rated euro-area states last week called for regulators across the EU to gain so-called bail-in powers as soon as 2015, rather than in 2018 as currently proposed, said the officials, who declined to be identified because the talks are private. The European Central Bank has warned that 2018 is “far too far away” for the new rules, which seek to insulate taxpayers and the euro area’s firewall fund from rescue costs.

Oct 03 13:46

Why Ben Bernanke Can’t Refinance His Mortgage

An employee of a think tank owns a house in the Capitol Hill neighborhood of Washington. He wants to refinance his mortgage, but the bank won’t give him a loan.

It is perhaps not the most shocking story in the world, but it becomes so when you learn that the think tank employee is Ben S. Bernanke, who was until earlier this year the chairman of the Federal Reserve, charged with setting the course of interest rate policy for the United States economy.

And it seems downright absurd when you consider that he now makes a reported $250,000 for giving a speech and has signed a book contract that is surely in the seven figures. His income this next couple of years will surely dwarf the value of his house (he and his wife bought it for $839,000 in 2004, and it is currently assessed at $815,000, according to District of Columbia property records).

Oct 03 10:20

Labor Participation Rate Drops To 36 Year Low; Record 92.6 Million Americans Not In Labor Force

While by now everyone should know the answer, for those curious why the US unemployment rate just slid once more to a meager 5.9%, the lowest print since the summer of 2008, the answer is the same one we have shown every month since 2010: the collapse in the labor force participation rate, which in September slid from an already three decade low 62.8% to 62.7% - the lowest in over 36 years, matching the February 1978 lows. And while according to the Household Survey, 232,000 people found jobs, what is more disturbing is that the people not in the labor force, rose to a new record high, increasing by 315,000 to 92.6 million!

And that's how you get a fresh cycle low in the unemployment rate.

Oct 03 09:55

‘Obama to be remembered as someone who betrayed his supporters’

President Obama has turned out to be another failed big government president, who put America into a new war, spied on its own citizens, and made a disastrous health care reform, Executive Director of the Libertarian Party Carla Howell told RT.

RT: The US strikes on ISIS have already cost it around $780-930 million, which is not pleasant news for the American taxpayers but makes a profit for the industries involved. Does President Obama even know about discontent among his citizens?

Carla Howell: I’m sure he is fully informed; he has got an enormous staff to keep him informed of what is going on. Clearly, what he is trying to do is take credit for ending the war in Iraq, and yet at the same time he is beholden to the military industrial complex in America, their special interests, that want more military funding regardless of whether our Generals even want it or not. So he is trying to walk that line.

Webmaster's Commentary: 

This President has been an epic fail on everything in which he has intervened.

On immigration; wars in the Middle East; Obamacare; Ebolagate; IRSgate, APgate, and NSAgate, he continues to to undercut working Americans, and makes life worse for most American people.

But you have to understand that such behaviour is completely predictable for a man beholden to the large corporations (including the banks) which have funded the election cycles in which he was (allegedly) elected and re-elected.

Large corporations love illegal immigration, because it cuts the cost of doing business; large corporations love wars, because wars mean profit, for so many companies; and large pharmaceutical corporations love illness, because treatments - rather than cures - are far more profitable.

His faux populism is just an act, and not a terribly convincing act at that; no more, no less.

At the end of the day, this man is a slave to all those who put him in power for one reason, and one reason only; profit.

And he has, and continues, to deliver that for them.

Oct 03 08:18

U.S. factory orders post record decline on aircraft payback

New orders for U.S. factory goods posted their biggest decline on record in August, payback for an aircraft-driven jump a month earlier.

Oct 03 08:18

Fannie And Freddie Shares Are Collapsing, And That's Bad News For Some Big Hedge Funders

Shares of Fannie Mae and Freddie Mac opened down about 40% respectively after investors lost a suit to change who collected the profits from the two mortgage insurers' dividends.

Since the financial crisis, the U.S. Treasury has been collecting almost all of Fannie's and Freddie's profits as part of the government's bailout deal with the companies.

Oct 03 06:48

Ebola Virus Hammers Airline Stocks, Boosts Pharma Stocks

The Ebola virus has become the unlikely arbiter of the latest winners and losers in stocks.

The first diagnosis of an Ebola patient in the U.S. may be driving airline stocks lower, while shares of pharmaceutical companies move higher.

It's not the first time an international health concern has led to fears that people will travel less frequently around the world.

"I think airlines are down for reasons beyond just Ebola, but people may remember that SARS was quite negative for air travel," Neal Dihora, Morningstar senior equity analyst, told ABC News.

Oct 03 06:35

BEX ALERT - US jobless rate falls to 6-year low of 5.9 pct.

U.S. employers added 248,000 jobs in September, a burst of hiring that helped drive down the unemployment rate to 5.9 percent, the lowest since July 2008.

Webmaster's Commentary: 

And JUST in time to help the Democrats in the mid-term elections next month!

This claim of 5.9 unemployment is about as real as Saddam's nuclear weapons. Looking at the labor participation rates at the US Bureau of Labor Statistics, we find that the labor participation rate for September 2014 is actually 62.7%. That is the percentage of Americans willing and able to work who actually have a job. That means the real unemployment rate, Americans willing and able to work but who don't have a job, is actually at 37.3%, and even this number is suspect due to various manipulations under the rubric of "seasonal adjustments". The Bureau of Labor Statistics counts a part time job as a job, and one person working three part-time jobs as three jobs for the purposes of this calculation. Looking at the charts, it is clear that the labor participation rate has been in a decline all summer long.

Oct 02 13:04

No Obamacare Bailouts for Insurers Without Congressional Approval, Says GAO

y forcing Americans to buy their products, President Obama's signature Affordable Care Act is widely seen as a winning proposition for health insurance companies. Conscripted customers! What more could a well-connected business want? But the law's complex rules require insurers to cover the costs imposed by older and ailing customers with the payments from young and healthy customers. Potentially, a company could end up with a disproportionate ratio of sick customers drawn by the promise of subsidized coverage—drowning the seemingly winning proposition in red ink. If that happens, says the Government Accountability Office (GAO), the administration can't bail out insurers without permission from Congress.

Oct 02 12:28

Toxic finance: Reckless payday lender Wonga wipes mountain of debt

Thousands of customers who took loans with controversial pay day lender Wonga are to have their debts written off, in an action expected to cost the ‘legal loan shark’ more than 200 million pounds.

The company will wipe the debts of 330,000 customers who are trapped in arrears of 30 days or more, while a further 45,000 customers will get to repay their loans exempt from interest.

Webmaster's Commentary: 

If Wonga can do it, so can the FED!

Oct 02 12:20

Send them to Plum Island with Hannibal Lecter.

There will be no peace. There will be no harmony of social equilibrium. There will be plenty more conflict, an increase in plagues like Ebola and continuously intensifying Stasi type police composed of moronic thugs and this last you will have UNTIL you strip the 1% of their money and influence and the central bankers are rendered obsolete.

Oct 02 09:54

Federal Judge: Stockton pensions can be cut in California bankruptcy

Public-employee pensions are not protected when a city goes belly-up, according to a ruling Wednesday by the judge overseeing Stockton’s much-watched federal bankruptcy case. Judge Christopher Klein’s few words have re-energized the state’s disheartened pension-reform movement – and left the nation’s most-powerful pension fund reeling.

One can’t go a day in Sacramento without hearing about a “historic” piece of legislation or a “groundbreaking” decision, but the Stockton case – held in a downtown Sacramento courthouse – could change everything on the pension front. Klein said in the verbal ruling that pensions are just another contract: “Impairing contractual obligations – that’s what bankruptcy is all about.”

Oct 02 08:52

Russia, Iran to boycott US dollar in bilateral trade

Russia and Iran have agreed to use their own national currencies in bilateral trade transactions rather than the U.S. dollar.

Iran’s IRNA news agency reported that the plans were announced in a meeting on Tuesday in Tehran by Iranian business magnate and head of the Iran-Russia Joint Chamber of Commerce, Asadollah Asgaroladi.

An original agreement to trade in rials and rubles was made earlier this month in a meeting between Russian Energy Minister Alexander Novak and Iranian Oil Minister Bijan Namdar Zanganeh.

Similarly, Russia and China also agreed to trade with each other using the ruble and yuan in early September, following a Russian deal with North Korea in June to trade in rubles.

The move away from the U.S. dollar is yet another reaction to Western sanctions placed on Russia since it annexed Crimea from Ukraine in March.

Webmaster's Commentary: 

For the zillionth time: Russia did not "annex" Crimea; after the duly elected Ukrainian government was overthrown in a coup, Crimea voted, in what was generally described as a free and fair election, to join the Russia Federation.

Annexation of Crimea never, ever happened, and that is the truth.

Whoever wrote that last paragraph should have someone manifest in their dreams, and sing badly to them...for the rest of their miserable life!!

But this is making Western sanctions harder on those who imposed them, rather than on the countries upon which they were imposed.

And neither Iran nor Russia will be hurting from this move.

Oct 01 14:54

Century of Enslavement: The History of The Federal Reserve

Webmaster's Commentary: 

This is a full-length feature film documentary. Bookmark and save for when you have an hour and a half to watch it!

Oct 01 14:16

FLASHBACK - James Traficant - Americans are Prisoners of the Fed

American Patriot, Congressman James Traficant, left, died Saturday at age 73. He represented Youngstown Ohio from 1985-2002 - re-elected eight times. He was framed for "corruption" in 2002, expelled from Congress and spent seven years in prison.

In a 1993 speech (below), he explained that Americans had lost their freedom because their personal property and wealth are pledged against the national debt. No doubt, this is the rationale behind the emergence of the US Police State. The international bankers are ensuring they can collect. Terrorism is just a pretext. Just two months ago, Traficant began a grassroots campaign "Project Freedom USA" to put people pressure on Congress to get rid of the IRS and "divorce" the Federal Reserve.

Oct 01 13:02

Goldman Global Leading Indicator Drastically Revised, Collapses Into "Confirmed Slowdown"

Just 2 short weeks ago, Goldman nervously admitted that possibly perhaps maybe their Global Leading Indicator was indicating a "slowdown" was coming, but remained hopeful that the rest of the month would see data pick up and prove them wrong. Now that the final data has been released for the various components of the index, the 'exuberant' recovery of the last few months has been massively revised lower. As Goldman itself notes, the September Final GLI came in at 2.6% YoY, providing a clear signal of "Slowdown", with the data now in hand further suggesting that the GLI first may have entered the ‘Slowdown’ phase back in July.

Oct 01 13:01

Russia’s second biggest lender reduces dollar loans

Russia’s second biggest bank VTB has reduced its US dollar lending, Andrey Kostin the bank’s head said on the sidelines of the Russia Calling! forum on Wednesday.

Oct 01 11:34

Specter of Russian Capital Controls Puts Market on Edge

Holders of Russia’s ruble-denominated bonds, stung by the worst losses in emerging markets in the third quarter, are weighing the consequences of possible capital controls as the currency sinks.

“It would be very negative for your investments in the local currency,” Peter Schottmueller, who helps manage $17 billion as head of emerging-market fixed income at Deka Investment GmbH in Frankfurt, said by e-mail yesterday. Foreign ownership of ruble bonds has dropped and any curbs on capital flows would further “increase the investment risk,” he said.

Russia removed its last restrictions eight years ago after imposing them in 1998, when the ruble’s drop led to a default on sovereign local-currency debt. Implementing the curbs again risks further damaging President Vladimir Putin’s ambition of turning Moscow into a financial hub at a time when escalating U.S. and European Union sanctions over the Ukraine crisis are already limiting access to global capital markets.

Oct 01 10:30

Most Prestigious Financial Agencies Say Global Economy Is In Real Trouble

Bad Government Policy Has Made It Likely We’ll Have a New Financial Crisis

Oct 01 07:13

The FED (Federal Reserve Bank) is a Commercial Privately Owned Bank

Let's start with a quote from U. S. Congress Representative Louis T. McFadden, Chairman of the Committee on Banking and Currency for 12 years, quoted from the Congressional Record:

"The Federal Reserve Board has cheated the Government of the United States and the people of the United States out of enough money to pay the national debt, Our people's money, to the extend of $1,200,000,000 has within the last few months been shipped abroad to redeem Federal Reserve Notes and to pay other gambling debts of the traitorous Federal Reserve Board and the Federal Reserve Banks ... "

Below is the list of the owners of the 12 Central Banks:
- Rothschild Bank of London
- Rothschild Bank of Berlin
- Lazard Brothers of Paris
- Israel Moses Seif Banks of Italy
- Warburg Bank of Amsterdam
- Warburg Bank of Hamburg
- Lehman Brothers of New York
- Kuhn Loeb Bank of New York
- Goldman, Sachs of New York
- Chase Manhattan Bank of New York

Oct 01 07:07

60 Percent of Voters Want Obamacare to Be Repealed

A new poll finds that three-fifths of likely voters support the repeal of Obamacare. A large plurality — 44 percent — wants to see Obamacare repealed and replaced with a conservative alternative. A much smaller group —16 percent — wants to see it repealed but not replaced. Less than one in three respondents — 32 percent — would like to keep Obamacare, whether in its current form or in amended form. So, with a conservative alternative in play, 60 percent of Americans support repeal, while only 32 percent oppose it.

Sep 30 12:55

THE WRH BANKER ARTICLES: ALL IN ONE CHUNK

I have received many emails regarding the various articles I have written about the problems with the current economic system of being forced to borrow all currency at interest from a privately-owned central bank. This is, of course, the very system of banking the United States fought a revolution to be free of, only to be sold back into said banker slavery not just once, but three times by corrupted congresses and corrupted presidents.

I have been asked to collect all those articles into a single page to make it easier for people to send to their friends, and this collection is the result.

Optional Banner: 
WRH Exclusive
Sep 30 12:15

Joe Biden and the Ghost of Shylock

Napoleon once famously remarked that “in politics, stupidity is not a handicap.” In few cases does this seem more apt than in that of Vice-President Joe Biden, perennial lapdog to the ADL’s Abraham Foxman. Biden has recently added to last year’s faux pas by recently committing the egregious sin of using the word “Shylocks” to describe mortgage lenders. The slip came in a speech to the Legal Services Corporation, which provides lawyers to Americans who could not afford them otherwise. In his remarks, the Vice-President described the experience of his son, Delaware Attorney General Beau Biden, who was deployed for one year in Iraq:

People would come to him and talk about what was happening to them at home in terms of foreclosures, in terms of bad loans that were being — I mean, these Shylocks who took advantage of these women and men while overseas.

Sep 30 10:34

Russia could ditch US dollar in 2-3 years – head of Russia's #2 bank

Two to three years would be enough time for Russia to switch to international settlements to the ruble, Andrey Kostin, head of Russia’s second-biggest bank VTB, said.

“Two to three years is enough, not only to launch [settlements in rubles], but also to complete these mechanisms. But much will depend on how banks will cope with the task,” Kostin said in an interview with Izvestia newspaper.

Kostin first put forward the idea of switching to national currencies in international settlements about a decade ago, which means a move to the ruble shouldn’t be considered a counter-sanction measure.

"I did not find understanding in this matter with the previous leadership of the Central Bank [10 years ago ] They believed that since the [US] dollar works, we shouldn’t do anything, and settlements in rubles will just bring additional risks. Under the new leadership the position of the Central Bank changed. I think that soon we will achieve a major breakthrough,” Kostin said.

Webmaster's Commentary: 

With the ever growing frailty of the US economy (except for the already super-rich), I frankly doubt that it will take quite as much time for this to happen as Mr. Kostin postulates.

Sep 30 10:29

Strip private banks of their power to create money - Martin Wolf (Financial Times)

“Printing counterfeit banknotes is illegal, but creating private money is not. The interdependence between the state and the businesses that can do this is the source of much of the instability of our economies. It could – and should – be terminated.”

Sep 30 10:20

Raising minimum wage reduces poverty while increasing GDP in Brazil

The Center for Economic and Policy Research (CEPR) released a research paper today that looks at social and economic indicators, as well as policy changes that have occurred since 2003 in Brazil.

“The lives of tens of millions of Brazilians have been transformed by the economic and social policy changes of the past decade,” said CEPR Co-Director Mark Weisbrot, lead author of the paper. “A sharp increase in economic growth, combined with increased social spending, large increases in the real minimum wage, and increased bargaining power for labor allowed for greatly reduced poverty and unemployment, as well as declining inequality.”

“These changes appear to be durable, having mostly withstood the world recession and the slowdown in worldwide economic and trade growth of the past few years.”

Webmaster's Commentary: 

"No, no, no, no, NO! WE are supposed to have all the money! We are doing God's work! You wanna go up against GOD! Huh? HUH??" -- Gold in my Sacks

Sep 30 10:04

Did The Winter War Just Begin? Russian Gas Supplies To Europe Plunge 15%, Ukraine Transit Slashed 54%

Just a week ago, the Russian energy minister made the first public 'threat' of gas supply "throttling" disruptions to Europe but judging by the data that has just been released, it appears the 'throttling' has begun. Bloomberg reports that Russian gas supplies to Europe fell 15% year-over-year in Q3 - the most in over two years - as natural gas transit through Ukraine plunged 54% year-over-year. In 2013, Gazprom sent 60% of its supply via Ukraine pipelines, in August that dropped to 39%, and in September only 34%. Of course, Europe remains confident its storage efforts will buffer any "Winter War" disruptions, as we noted here, but as Citi warned previously, "if colder weather arrives, storage levels will be drained," and then there is the Spring (and German industry needs).

Webmaster's Commentary: 

The corporate media is spinning this as an evil plot on the part of the Russians, but fails to mention that Kiev has not fully paid for the gas they get from Russia since the Junta and is arrears in the bill. Russia has every right to shut off the valves just as your gas company will do if you do not pay the bill.

Sep 30 09:49

“Very pleased we have entered into relations again with American Government” -Rothschilds, 1878

In 1878, the Rothschilds were back in business with the US government (after having been chased out of DC by Andrew Jackson in the 1830’s), as detailed by this cable discussing the Rothschild refinancing of American debt:

Messrs. Rothschild & Sons to Mr. Sherman.
[Cable message.]

April 12,1878.
Hon. John Sherman,
Secretary of the Treasury, Washington D. C.:

Very pleased we have entered into relations again with American Government. Shall do our best to make the business successful.

ROTHSCHILDS.

We’ve now established that the Rothschilds “entered into relations” with the US government in 1878.

Sep 30 09:46

Worker Groups 'Alarmed' White House May Delay New Minimum Wage, Overtime Rule

It was once part of President Barack Obama's "We Can't Wait" economic agenda. But now the wait might be getting even longer.

The Labor Department is considering delaying a long-awaited rule that would extend new workplace protections to home care workers -- a possibility that has advocates for low-wage workers steamed.

In a letter addressed to Labor Secretary Tom Perez on Monday, more than 40 labor and advocacy groups said that they were "alarmed" by suggestions that officials might delay the new regulations and put a "historic workplace victory in jeopardy."

"The basic rights of two million home care workers -- predominantly women and disproportionately women of color -- once again hang in the balance, as the administration appears at risk of faltering in the face of opposition," they wrote.

The letter included signatures from the AFL-CIO labor federation, American Psychological Association and the National Employment Law Project, among others.

Webmaster's Commentary: 

A memo to the members of these groups: did you ever, for one millisecond, believe that this man, the ever-faithful servant of the banks and large corporations, represented YOU?!?

IF so, I would imagine that the absence of movement on this cause is a very rude awakening.

Obama's faux populism is simply that; an act, nothing more, nothing left. I am sorry that hurts right now, but it is the cold, hard reality.

By the time a national candidate is carefully vetted by the major corporations in this country, which expect those candidates to do their will, they no longer represent the people of this country at all.

Sep 30 09:31

US AFRICOM to establish its own Air Command

Come the start of October US Air Forces Africa will be activated and given the designation of the 17th Air Force.

This announcement was made at Ramstein Air Base in Germany by General William Ward, Commander of US Africa Command (Africom).

Welcoming the US Air Forces Africa to Africom he said it was a major undertaking involving hard work to establish a new air force service component command from the ground up.

The airborne component of Africom, Ward said, will have the same mission. That is to In concert with other US Government agencies and international partners, conduct sustained security engagement through military to military programmes, military sponsored activities and other military operations as directed to promote a stable and more secure African environment in support of US foreign policy.

Webmaster's Commentary: 

This is simply about determining who gets Africa's vast natural resources, and assuring that those resources will only be sold in US dollars.

Sep 30 09:28

In the shadow of Iran a new UAE oil port is transforming energy sector

In response to Iran’s strategic grip over oil passing through the Strait of Hormuz, a new export route for crude from the Persian Gulf is growing on the coast of the Arabian Sea, with the potential to transform global energy markets.

Giant tankers now queue in lines stretching for miles to load oil or refuel at Fujairah – a sleepy sheikhdom in the United Arab Emirates (UAE) – after the government invested billions of dollars into building a giant oil pipeline across the rugged Hajar mountains, with the aim of ending the potential stranglehold that Iran could place on the nation’s exports of crude.

The 21-mile-wide Hormuz channel handles a third of the world’s oil-tanker traffic and connects the Persian Gulf’s sheikhdoms to the Arabian Sea. Fears that Tehran could choke off exports shipped through it have been a concern weighing on oil markets for decades.

Sep 30 09:02

One-Fifth of U.S. Workers Were Laid Off in Past Five Years

One in five U.S. workers was laid off in the past five years and about 22% of those who lost their jobs still haven’t found another one, according to a new survey that showed the extent Americans have struggled in the sluggish labor market since the Great Recession ended.

Those who did find work had a difficult time with their job search and the effects of unemployment, the survey by the John J. Heldrich Center for Workforce Development at Rutgers University found.

Nearly 40% said it took more than seven months to find employment and about one in five of laid-off workers said all they could find was a temporary position.

Webmaster's Commentary: 

There is no "recovery" economically, except for the one percenters.

Sep 30 08:59

Average Americans Grow Poorer as U.S. Per Capita Wealth Reaches New High

A study by economists at the University of Michigan for the Russell Sage Foundation showed that, in 2013, the median American household saw its total assets fall by 36% from 2003. Over the same time period, the total wealth in the United States grew by over 80%.

With total wealth growing and median wealth declining, the average American’s nest egg is getting smaller and smaller despite greater wealth per person in the country. A Credit Suisse study from earlier this year showed that an American’s median net worth was just $45,000. In other words, the typical American has total assets that are just 15% of the actual per capita wealth in the United States.

At the same time, the average millionaire in the United States has $50 million in total assets.
Debt, Wealth Per Capita

Webmaster's Commentary: 

This situation is totally unsustainable, economically.

Sep 30 08:38

House prices see widespread slowdown in July

Here’s one sign that the cooling off for housing appreciation has become widespread: The hot San Francisco housing market actually saw home prices drop in July, marking the city’s weakest result since early 2012, according to data released Tuesday morning.

Sep 30 08:31

Federal Judge Rules Detroit Residents Have No “Fundamental Right” to Water

Rhodes dismissed a lawsuit filed by victims of the water shutoffs, which argued that the city’s policy was doing irreparable harm to residents and threatened to create a public health disaster. The residents argued that the city’s policy violated the 14th Amendment’s prohibition against a state “depriving any person of life, liberty, or property without due process of law” and the principle of “equal protection” under the law, since service to major corporations, which failed to pay, had not been discontinued.

Webmaster's Commentary: 

Sep 30 08:29

Ebola-stricken Liberia is descending into economic hell

Liberia, the West African nation hardest it by Ebola, has begun a frightening descent into economic hell.

That’s the import of three recent reports from international organizations that seem to bear out the worst-case scenarios of months ago: that people would abandon the fields and factories, that food and fuel would become scarce and unaffordable, and that the government’s already meager capacity to help, along with the nation’s prospects for a better future, would be severely compromised.

Webmaster's Commentary: 

Agenda 21? NSS memorandum 200? Just bad luck?

Sep 29 12:38

AT&T’s congestion magically disappears when it’s signing up new customers

AT&T yesterday began offering “double the data for the same price” to new customers and existing customers who sign new contracts, apparently forgetting that its network is so congested that speeds must be throttled when people use too much data.

Like other carriers, AT&T slows the speeds of certain users when the network is congested. Such network management is a necessary evil that can benefit the majority of customers when used to ensure that everyone can connect to the network. But as Federal Communications Commission Chairman Tom Wheeler has argued, the carriers’ selective enforcement of throttling shows that it can also be used to boost revenue by pushing subscribers onto pricier plans.

Sep 29 11:04

A (yacht)

M/Y "A" is a luxury motor yacht designed by Philippe Starck and Martin Francis,[6][7][8] and constructed by Blohm + Voss at the HDW shipyard in Kiel, Germany.[5][9] It was commissioned in November 2004, and delivered in 2008 at a rumoured cost of US$300 million.[10][11] With a length of 119 metres (390 ft) and displacing almost 6,000 tonnes, it is one of the largest motor yachts in the world.[9][12]

Named for the first initial of its owners, Andrey and Aleksandra Melnichenko, its provocative styling has polarized opinions since its launch.[13] It has evoked comparisons with submarines and stealth warships, while commentators have referred to it as the "most loved and loathed ship on the sea".[14][15]

Webmaster's Commentary: 

This yacht was here in Hawaii not too long ago. A reminder of how ostentatious the money-junkies love to be! A friend on Kauai said they were glad to see it leave following the owners' acting like they could go anywhere and do whatever they wanted on shore without regard for local laws.

Sep 29 09:40

The Plunge Protection Team Is Opening An HFT-Focused Chicago Office

For several days we had heard a persistent rumor, that one of the most famous members of the New York Fed's Markets Group, also known as the Plunge Protection Team, Kevin Henry was moving to the HFT capital of the world, Chicago. We refused to believe it because, let's face it, when the trading desk on the 9th floor of Liberty 33 needs to get its hands dirty in stocks, it simply delegates said task using just a little more than arms length negotiation, with the world's most levered HFT hedge fund: Ken Griffin's Citadel. Why change the status quo.

And then, it turned out to be true...

Sep 29 09:33

Mississippi Sued Over 'Hellish' Conditions in For-Profit Prison

At the East Mississippi Correctional Facility, sometimes incarcerated people are forced to resort to starting fires to get attention from negligent staff. (Photo: ACLU)

Denial of food and medical care. Cells and floors soiled with blood, urine, and feces. Excessive force by prison guards. Weeks, months, and years in solitary confinement.

These are the conditions found at a "special needs" for-profit prison, the East Mississippi Correctional Facility, which is tasked by the state's department of corrections with incarcerating 1,200 people, approximately 1,000 of whom have severe psychiatric disorders, according to a legal motion filed Friday.

Webmaster's Commentary: 

THIS is what happens when you allow criminals to be incarcerated in for-profit prisons.

Of course, these contracts were well and truly purchased by these corporations, most probably in the form of bribes to the officials of the Mississippi Department of corrections.

This country has not been able, collectively, to make up its mind as to whether to punish or rehabilitate, so it winds up punishing, which nearly guarantees higher rates of recidivism.

Sweden is emptying its prisons, because of its commitment to rehabilitation; the US's prison population keeps growing. What is wrong with this picture?!? BLOODY EVERYTHING!!

Sep 29 08:58

KRUGMAN: Mario Draghi Probably Can't Save Europe On His Own

In an interview, Paul Krugman explains why Mario Draghi — despite his recent stimulus measures — probably can't save Europe's economy on his own.

Webmaster's Commentary: 

Europe's economy (nor the US) cannot and will not be saved until people are ready to confront the fact that private central banks, which by design create more debt than money to pay that debt, are the cause of the problem.

Sep 29 08:08

Bank CEOs are the New Drug Lords

Bank CEOs are the New Drug Lords. Here is a list of some of the banks managed by Bank CEOs, aka the new Drug Lords, that were fined billions of dollars for fixing LIBOR rates and stealing money from clients: Lloyds Bank, RP Martin, Barclays, Deutsche Bank, Royal Bank of Scotland, Société Générale, JP Morgan, Citigroup, Barclays, United Bank of Switzerland and Rabobank. Here is a list of some of the banks in which the Bank Lords fixed FX rates and are currently negotiating fine amounts with the UK Financial Conduct Authority (FCA): Citigroup, HSBC, Royal Bank of Scotland, Barclays, JP Morgan and United Bank of Switzerland. HSBC had to pay nearly $2B in fines after its Bank CEO was allegedly caught overseeing the laundering of $7B in drug money for the notoriously violent and ruthless Sinaloa drug cartel and committing a wide array of other crimes like laundering $290MM from Russian mobsters that told HSBC bankers that their vast profits came from a “used car business”.

Sep 29 07:36

The US Has No Banking Regulation, And It Doesn’t Want Any

It is, let’s say, exceedingly peculiar to begin with that a government – in this case the American one, but that’s just one example -, in name of its people tasks a private institution with regulating not just any sector of its economy, but the richest and most politically powerful sector in the nation. Which also happens to be at least one of the major forces behind its latest, and ongoing, economical crisis.

That there is a very transparent, plain for everyone to see, over-sized revolving door between the regulator and the corporations in the sector only makes the government’s choice for the Fed as regulator even more peculiar. Or, as it turns out, more logical. But it is still preposterous: regulating the financial sector is a mere illusion kept alive through lip service. Put differently: the American government doesn’t regulate the banks. They effectively regulate themselves. Which inevitably means there is no regulation.

Sep 29 07:17

Vaclav Klaus: the West’s lies about Russia are monstrous

Whatever we decide to call the current system, he adds, it clearly isn’t working for Europe. ‘I am really shocked to see leading EU and European politicians pretending that everything is OK, which is ridiculous and funny,’ Klaus says. ‘I recently read an article by a well-known German economist, Professor Sinn, who has studied the situation in Italy. He presented statistical data which showed that GDP in Italy has declined by 9 per cent since 2000. It’s unimaginable! I don’t think communist Czechoslovakia would have survived such a long-term decline. At the same time, industrial output declined in the same period by 25 per cent! One quarter of the economy simply disappeared.’

Sep 29 06:45

Penalty for Opting Out of the Affordable Care Act Is Large ($12,240) and Growing

If you're opting out of the health-care coverage required by the Affordable Care Act, make sure you understand how much you'll owe Uncle Sam as a result.

For a family of five, the penalty could be as high as $12,240 for the 2014 tax year, experts say. And for many people, the penalty will rise sharply in 2015 and 2016.

Sep 28 07:45

Couple says eviction notice served at wrong property

Even on the eviction notice the address was listed as the house next door.

"I just can't imagine sending someone out and not identifying with specificity what you’re supposed to take custody of and what is none of your business," said Arthur Weatherly.

The Weatherlys said they also noticed that someone also had taken some of their valuables inside, including heirloom silverware.

Webmaster's Commentary: 

"Shaddap, already. Sooner or later we're going to own it all, anyway. What difference does it make just when it happens!" -- Gold in my Sacks

Sep 28 07:25

You Won’t Believe How Much Money Michelle Obama’s Ridiculous School Lunch Program Wastes On A Daily Basis

According to a WCPO report, Michelle Obama’s new school program is costing American taxpayers $4 million. And that’s not over the course of an entire year. That is how much it is costing American taxpayers on a daily basis. That’s right; $4 million each day.

A whopping 81 percent of schools have seen an increase in the number of lunches that now end up in the trash. The report also “shows that 60 percent of fresh vegetables and 40 percent of fresh fruit are being thrown away.”

Webmaster's Commentary: 

Would you be comfortable with your doctor's spouse operating on you? How about riding in a passenger jet where the controls were in the hands of the pilot's significant other?

Being the first lady does not mean Michelle is competent at anything (other than her ability to seduce and marry Obama). And just as you do not allow a doctor's spouse or a pilot's fiancee to take over their duties, nor should the first lady be accorded any authority over our lives merely because of who she married.

Sep 27 20:41

"Hope Is Not Good Policy" - Saxo Bank Warns The Entire World Is Headed For A Minsky Moment

‘Interest on debt grows without rain’ – Yiddish proverb

This proverb explains most of what goes on in policy circles these days. We are now watching Extend-and-Pretend, Episode VI: Promises for improvement amid ever growing debt levels.

In brief, we’re still working with the same dog-eared script we were introduced to all of five years ago, when markets had stabilised in the wake of the financial crisis: maintain sufficiently low interest rates to service the debt burden.

Sep 27 20:40

Iceland: Bankers convicted, unemployment down

Remember Iceland? During the high-flying early 2000s, its three main banks went berserk, paying high interest rates to international investors that accumulated deposits equal to more than 100% of the country’s gross domestic product (GDP) and making loans equal to 980% of GDP. When the collapse came, Iceland took a route not taken by Ireland, Spain, and other EU countries: Rather than bail out the banks, the government simply let them go bankrupt. The value of the krona fell by about half, the country was embroiled in disputes with the Netherlands and the United Kingdom over paying off Dutch and British depositors, and it had to take an International Monetary Fund (IMF) loan just to stay afloat.

Sep 27 09:16

Primed for work but out of a job: 1 out of 4 Americans 25-54 not working and the continued expansion of those not in the labor force.

For most Americans, the best indicator of a healthy economy is having a job. With many Americans entering older age, the number of those not in the labor force is booming. It doesn’t appear to be on the radar of people that the reason the unemployment numbers look the way they do is because a massive number of Americans simply are not counted in the labor force. This ability to ignore a large portion of your population allows the numbers to appear better than they are. But this is for the entire US population. If we look at those 25-54 we find that 1 out of 4 is without a job. This is the prime working years for many Americans. The Great Recession has been a challenge for many working families. The lack of good paying work, weaker benefits, and inflation has dug deep into the pockets of many Americans. When 1 out of 4 Americans in their prime working years is out of work, something else has to give.

Sep 27 08:01

The Secret Goldman Sachs Tapes

The reporter, Jake Bernstein, has obtained 46 hours of tape recordings, made secretly by a Federal Reserve employee, of conversations within the Fed, and between the Fed and Goldman Sachs. The Ray Rice video for the financial sector has arrived.

Sep 26 12:47

6 Restaurants Struggling With High Food Prices

We’re taking a look at six chains that are all facing a different set of challenges, yet all are having problems dealing with the rise in the cost of food. Some are able to pass the increases off to their customers, while others are not. Strategies for getting these companies back on track vary wildly, but the fact remains that they will all need to figure out a way to adapt going forward. Here are six restaurant chains struggling mightily with rising food prices.

Webmaster's Commentary: 

Being customers of some of these chains I have observed that one way they are dealing with the rising cost of food is smaller portions, an excess of cheap garnishments, and a LOT of low-cost fillers! In some cases I can almost taste the sawdust!

Sep 26 11:56

Apple shares lose £12bn as iPhone 6 is hit by new fault: Stock loses all gains it had made since launch of device last week

More than £12billion was wiped off the value of Apple yesterday after its latest iPhone was rendered unusable by a software update.

The 3.5 per cent drop in the share price meant the company’s stock lost all gains it had made since launching the iPhone 6 and iPhone 6 Plus last week.

Users of the brand new devices were cut off from telephone signal and data networks, meaning they could not make or receive calls and text messages or go on the internet away from wifi signal.

The update for the iOS 8.0.1 operating system also killed off the Touch ID function, a much-trumpeted feature that allows users to log on to their phone using their fingerprint.

Sep 26 11:27

Public Pension Funds Face $2 Trillion Shortfall, Moodys Warns

"Despite the robust investment returns since 2004, annual growth in unfunded pension liabilities has outstripped these returns," Moody's warns in its latest report on the state of public pension systems. As Bloomberg reports, the 25 biggest systems by assets averaged a 7.45% return from 2004 to 2013, but liabilities tripled over the same period leaving them facing a $2 trillion shortfall as investment returns can’t keep up with ballooning obligations. The top 25 funds account for 40% of the entire US public pension system with Illinois, Kentucky, Connecticut, and Louisiana at the top of the 'most underfunded' list.

Webmaster's Commentary: 

The reasons the pensions are underfunded is because ion 2008, Wall Street's pet ratings agencies rated the mortgage-backed securities as Triple-A, which made it legal for pension funds to invest in them. Of course, the mortgage-backed securities turned out to be a gigantic fraud (for which no Wall Street executives were ever arrested) and that is why pensions are in trouble, only nobody has the courage to point the finger of blame where it belongs!

Sep 26 11:25

1 in 4 Americans 25-54 Not Working

A new chart from the minority side of the Senate Budget Committee shows a startling fact: Almost 1 in 4 Americans between the ages of 25-54 (or prime working years) are not working.

Webmaster's Commentary: 

"And simply by waving my magic statistical wand, PRESTO CHANGE-O, the unemployment rate magically shrinks to only 6%!" -- Official White Horse Souse

Sep 26 09:59

Imagine banks that support prosperity for everyone - not just the rich.

The Public Banking Institute is an education, research, and action organization dedicated to fostering a new economy based on a network of publicly-owned banks that operate in the public interest. This is not a new or radical idea - there are abundant successful examples of public banking around the world - but currently only one in the US, where Wall Street has tried to erase the idea from our collective memories for over a century.

Sep 26 09:56

Tapes showing meek oversight of Goldman are about to rock Wall Street

Wall Street is about to be rocked by secretly recorded audio tapes that purport to show a too-cozy relationship between the New York Federal Reserve Bank and the financial institutions it is supposed to regulate.

The 45 hours of tapes, made by Carmen Segarra, a former NY Fed worker, capture former co-workers, whose job was to keep banks like Goldman Sachs in line, instead deferring to the banks, being unwilling to take action and being extremely passive, according to NPR’s “This American Life,” which obtained the tapes and is scheduled to air a program about the matter Friday night.

Webmaster's Commentary: 

A privately-owned central bank was given the task of regulating Wall Street, who are their best customers? Oh yes, that makes sense!

Sep 26 09:26

Russia’s Gold Reserves Continue To SOAR

Latest official gold reserve data from the International Monetary Fund (IMF) shows that Russia again added to its gold reserves in August, with the Central bank of the Russian Federation purchasing 232,510 ozs (7.23 tonnes) and bringing its total gold reserves to 35.769 million ozs or 1,112.5 tonnes.

Webmaster's Commentary: 

The more Russia (or anyone else) buys gold, the harder it is for the Federal Reserve to replace the gold they "borrowed" from other parties!

Sep 26 09:20

Currency Wars ! Russia, Kazakhstan Buy Very Large 30 Tons Of Gold In August

Russia and ex Soviet States Kazakhstan, Kyrgyz Republic and Azerbaijan continued to accumulate significant gold reserves in August in a trend that we highlighted last month.

Sep 26 09:19

Standard & Poor’s Warns on Germany as Anti-Euro Political Party Soars in Popularity

German parliamentary elections are coming up on Sept. 22, and Chancellor Angela Merkel has a problem on her hands. A euro-skeptical political party known as AfD is rising in the polls and could deny her Christian Democratic Union and its coalition partners the majority they need to continue governing.

AfD, or Alternative for Germany, currently holds no seats in the Bundestag, and until recently it barely registered in public-opinion polls. But a survey released on Sept. 4 by the Forsa polling group showed it with 4 per cent support—just shy of the 5 per cent needed to win Bundestag representation.Peter Matuschek, Forsa’s chief political analyst, says the poll may have underestimated the party’s strength. Many supporters, he told Spiegel, “are too embarrassed to admit that they are planning to vote for the AfD,” which wants Greece, Spain, and other crisis-hit countries to leave the euro zone, and possibly break up the existing monetary union itself.

Webmaster's Commentary: 

No problem. I'll bet the bastards who rigged Scotland's referendum to keep it slaved to the Bank of England are already headed to Berlin to repeat the favor for the ECB!

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