Bob Chapman - JPM and HSBC sold 45 ounces of silver for every ounce of silver they own

"...what the market is telling you is that there is a terrible problem out there and it is not being solved and that problem is JP Morgan Chase and HSBC are short , they can't cover their shorts that means they've been betting silver is going to go down and right now at that price over $46 an ounce they're offsite they are losing 90 billion dollars now somewhere along the way they to call a force majeure and what that means is : we can't deliver and what they is they leveraged their bet on the short side and for every ounce of silver they had they sold 45 , which normal is 9 in fractional banking they're trapped and they can't get out ..."

at http://bobchapman.blogspot.com/2011/04/bob-chapman-jpm-and-hsbc-sold-45-ounces.html

Greece "Velvet Restructuring" Imminent, Blames Upcoming Second Bankruptcy On Citigroup Trader

"It appears rumors that Greece is set to restructure its debt are about to come true. According to Greek daily Ta Nea, reported by the Guardian, "the government was mulling "a velvet restructuring" that would include extending outstanding debt and a voluntary agreement with lenders to modify repayment terms." More: "Greece is considering ways to restructure its debt – such as by extending the life of its loans – two national newspapers claimed on Friday, joining a flurry of recent reports on the prospect that Athens might be forced to default." Not surprising, this comes hot on the heels of continued lies about the stability and viability of the eurozone and the euro, which recently surged to nosebleed levels only to allow it to drop from the highest possible position when the realization that the dominoes are falling finally sets in. But never one to be bound by the confines of reality, where one is accountable and responsible for their actions¹ (1: except all millionaires and billionaires bailed out by the Bernanke Put), Greece is now calling in Interpol to put the blame for its latest and greatest bankruptcy on a Citigroup trader: "A London trader working for US bank Citigroup is to be questioned by investigators over an email at the centre of an investigation by the Greek authorities into rumours that Athens could be forced to restructure its national debt as early as this weekend." So, it is a trader fault for pointing out the market's reaction to what is so glaringly obvious even a caveman finance minister from Athens will realize it, and not the fact that one needs to apply a new patch in order to express Greek debt to GDP. The lunacy. The lunacy..."

at http://www.zerohedge.com/article/greece-velvet-restructuring-imminent-blames-upcoming-second-bankruptcy-citigroup-trader?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

24 Signs Of Economic Decline In America

"The following are 24 more signs of economic decline in America. Hopefully you will not get too depressed as you read them....

#1 On Monday, Standard & Poor’s altered its outlook on U.S. government debt from "stable" to "negative" and warned the U.S. that it could soon lose its AAA rating. This is yet another sign that the rest of the world is losing faith in the U.S. dollar and in U.S. Treasuries.

#2 China has announced that they are going to be reducing their holdings of U.S. dollars. In fact, there are persistent rumors that this has already been happening.

#3 Hedge fund manager Dennis Gartman says that "panic dollar selling is setting in" and that the U.S. dollar could be in for a huge decline.

#4 The biggest bond fund in the world, PIMCO, is now shorting U.S. government bonds.

#5 This cruel economy is causing "ghost towns" to appear all across the United States. There are quite a few counties across the nation that now have home vacancy rates of over 50%..."

at http://theeconomiccollapseblog.com/archives/24-signs-of-economic-decline-in-america

Three Years of Happy Headlines Have Done Nothing

"The NYT just can’t understand what the heck is wrong with people:

Amid rising gas prices, stubborn unemployment and a cacophonous debate in Washington over the federal government’s ability to meet its future obligations, the poll presents stark evidence that the slow, if unsteady, gains in public confidence earlier this year that a recovery was under way are now all but gone.
Capturing what appears to be an abrupt change in attitude, the survey shows that the number of Americans who think the economy is getting worse has jumped 13 percentage points in just one month. Though there have been encouraging signs of renewed growth since last fall, many economists are having second thoughts, warning that the pace of expansion might not be fast enough to create significant numbers of new jobs.
The dour public mood is dragging down ratings for both parties in Congress and for President Obama, the poll found..."

at  http://blog.mises.org/16598/three-years-of-happy-headlines-have-done-nothing/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+MisesBlog+%28Mises+Economics+Blog%29

Gold - a Flight to Quality

"The New York Times reports Gold Tops $1,500 an Ounce in 'Flight to Quality'

The list of factors that have supported the price of precious metals in recent weeks is long. It includes worries about the sustainability of European debt levels — and whether countries like Greece will soon default; the threat of a possible downgrade of U.S. credit ratings amid an impasse over raising the debt limit and dealing with the budget deficit; the weaker dollar; rising inflation in many parts of the world and continued unrest in North Africa and the Middle East, which has pushed up oil prices.

“We’re seeing a perfect storm for gold and silver prices,” said Robin Bhar, a senior metals analyst in London for the French bank Crédit Agricole.

“Gold is sometimes a currency, sometimes a commodity and sometimes a store of value,” analysts at Merrill Lynch wrote recently. “As purchasing power of workers in emerging markets increases, we see demand for gold as a commodity increasing over the next few years,” the Merrill Lynch report said..."

at  http://globaleconomicanalysis.blogspot.com/2011/04/gold-flight-to-quality.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+MishsGlobalEconomicTrendAnalysis+%28Mish%27s+Global+Economic+Trend+Analysis%29

Even Ben Stein Is Warning That An Economic Collapse Is Coming

"He sure has come a long way since "Ferris Bueller's Day Off". During a recent television segment for CBS, Ben Stein declared that "the tea leaves are ominous" and he warned that an economic collapse may be coming. In particular, Ben Stein is deeply concerned about inflation. During his recent appearance on CBS, Stein proclaimed that the Federal Reserve is "just shoving money out the door as fast as it can" and that this could have horrific consequences for the U.S. financial system. Sadly, Ben Stein is exactly right on this point. The Federal Reserve has already injected enough money into the financial system to create an inflationary disaster. Fortunately most of this liquidity is still being held by the banks (this will be further explored below), but once all of that money starts getting released into the financial system it is going to unleash economic chaos..."

at http://theeconomiccollapseblog.com/archives/even-ben-stein-is-warning-that-an-economic-collapse-is-coming

Whipsaw Wednesday – Dollar’s Destruction Saves Markets (apparently)

"The Dollar is down from 76 yesterday to 74.5 this morning, a stunning 2% drop for a currency in a country that didn't have an earthquake or a revolution overnight. 75.63 was our low of last November (a one-day spike and we were back at 81 by the end of the month as the market fell apart) and before that we only touched 74.23 briefly in November of 2009 (it's a bad month for the Dollar) and we flew up from there to 78 in December and 80 in January..."

at  http://www.zerohedge.com/article/whipsaw-wednesday-%E2%80%93-dollar%E2%80%99s-destruction-saves-markets-apparently?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

A new IMF reserve currency without the problems of the substitution account – The creation of Special Transaction Rights

"With discontent at the current state of the international monetary system still lingering, is there an alternative to the decades-old discussions about gold, Bretton Woods Systems, and Special Drawing Rights? This column claims there is. It proposes a new IMF reserve currency with the creation of Special Transaction Rights.

In the wake of the global financial crisis, the discontent with the current international monetary system lingers on (see for example Vines 2010). But is there an alternative given the decades-old discussions about gold, Bretton Woods Systems, Bancor, and Special Drawing Rights (SDRs)? Yes, there is.
In this column I outline a proposal for the creation of Special Transaction Rights. Special Transaction Rights (STRs) would circumvent the problems of the substitution account associated with SDRs (and the Triffin dilemma), and they would also foster reserve diversification and the build up of local bond markets..."

at http://www.voxeu.org/index.php?q=node/6366

Expecting an early Greek default

"Greece is going to restructure its debts — and it’s going to do so before mid-2013. That’s the clear message sent by the latest Reuters poll of 55 economists from across Europe: 46 of them saw a restructuring in the next two years, with four saying it would happen in the next three months.

This is a major development. The markets haven’t believed Greece for a while — but now they don’t believe the European Union, either. Remember that back in November, the EU put out a statement laying out a mechanism for restructuring a member’s debt “in the unexpected event that a country would appear to be insolvent”. It clearly says that “any private sector involvement based on these terms and conditions would not be effective before mid-2013″.

But almost nobody believes that Greece can last that long any more. Landon Thomas has the story..."

at http://blogs.reuters.com/felix-salmon/2011/04/20/expecting-an-early-greek-default/

Debt, Like Matter & Energy, Was Not Destroyed

"UBS’ Art Cashin directs us to the Economist’s Buttonwood column for an interesting take post S&P downgrade. The debt in the system has not been eliminated — it has merely been moved from banker to taxpayer:

It is three years since Bear Stearns was pushed into the arms of J P Morgan and the fundamental debt problem has not been resolved. The debt has been moved around but not eliminated. This has undoubtedly bought time and I quite understand the point made frequently by my colleague on Free Exchange that governments and central banks have acted to protect workers from losing their jobs and to prevent consumption from collapsing. In this, they have had a fair degree of success.
But the debt is still there.
It must be eliminated by growth, inflation or default. In the case of Greece, the growth option looks out of the question and the country cannot really generate inflation on its own because it does not control its money supply; default at some stage seems inevitable. Like Greece, Portugal has a competitiveness as well as a debt problem; eliminating the former without depreciating the currency involves force-feeding the population with gruel for many years. At some stage, default may seem the better option.
The US has better growth prospects than most European nations and has the “exorbitant privilege” of issuing debt in the world’s reserve currency, which keeps the cost down. But it resembles one of those Greek myths when the hero’s power is accompanied by a curse; in this case, a political system that is not designed for serious deficit-cutting (the point made by S&P). The world’s dominant power tends to think its financial strength will never drain away. But Spain, having absorbed all that gold and silver from Latin America, still defaulted on its debts in the 16th century; Louis XIV, the sun king whom other monarchs dreamed of emulating, set France on the road to financial ruin; and Britain started the 20th century with a huge empire and piles of overseas assets but was rationing food in peacetime by the late 1940s.”..."

at  http://www.ritholtz.com/blog/2011/04/debt-like-matter-energy-was-not-destroyed/

Modern Monetary Baloney, Fundamental Values, and the Unaddressed Requirement for Reform

"I agree with David Lindorff in his excellent piece, An Oh Please Moment , that the timing of the SP downgrade of US debt is highly questionable.

"Ya S & P amacıyla ulusal borç hakkında ulusal histeri eklemek, bu uyarı ve sosyal programlara daha radikal kesimler kazanmak güçlü Cumhuriyetçiler ve / veya Wall Street Bankacılar baskısı olmuştur, ya da S & P basitçe yeniden esiyor." "Either S&P has been pressured by powerful Republicans and/or Wall Street Bankers to issue this warning, in order to add to national hysteria about the national debt and win more drastic cuts in social programs, or S&P is simply blowing it again."

Oy yana Acentaları çok açıktır ki ödemek için komut hakkında değerlendirme üreten, bir süredir Wall Street monied çıkarlarının cebinde olmuştur, iki alternatiften hangi doğru aklımda çok az soru var. Since the Ratings Agencies quite obviously have been in the pocket of the Wall Street monied interests for some time now, generating ratings on command for pay, there is much less question in my mind about which of the two alternatives are correct.

The bankers, having obtained huge sums of personal wealth by buying the government and looting the Treasury, are engaged in an aggressive campaign to make sure they can keep their ill gotten gains, without indictment, and pigs that they are, without any of the pain to be obtained from gaming the US financial system in a massive fraud and causing its collapse. Onlar daha fazla vergi avantajları ve halktan dolaylı sübvansiyonlar teşvik ederek onların servet artırırken, alt ve orta sınıflar üzerinde oldukça dürüstçe ve unashamedly ağrıyı doğrudan çalışırlar. They seek to direct that pain quite squarely and unashamedly on the lower and middle classes, while increasing their wealth by promoting even greater tax benefits and indirect subsidies from the public. biri değil kovuşturma suçu yok, her zamankinden daha fazla aşırılıkları failleri emboldens. When one does not prosecute crimes, it emboldens the perpetrators to ever greater excesses..."

at http://jessescrossroadscafe.blogspot.com/

Shadow Inventory Undermining All Major Metro Markets Now

"...Three of these counties contain the major bubble metros of Las Vegas, Miami, and Phoenix. This so-called “shadow inventory” will be thrown onto the market in the not-too-distant future and will clearly add to the glut of MLS listings.

It is very hard to determine how soon the banks will start to reduce this backlog of distressed properties. The servicing banks are clearly in no rush either to put seriously delinquent homeowners into default or to foreclose on those properties which are already in default. In December 2010, according to Lender Processing Services, 34% of seriously delinquent homeowners had not made a mortgage payment in at least 12 months. In early 2009, that number was only 10%.

The servicing banks can delay putting these homes into foreclosure to avoid having to write them down, but they will definitely be hitting the housing markets in these counties over the next few years.
How does this impact you? If you are an investor thinking of buying one or more properties in Miami-Dade County, for example, you need to know that 24.9% of all active first liens there were seriously distressed. This means that more than 91,000 properties are almost certainly going to be dumped onto the market. Will that exert downward pressure on prices? Absolutely.

If you are seriously considering investing in Miami-Dade, it is essential to factor in this huge and growing shadow inventory and be prepared for a further drop in prices of 10-20% or more. We’ll look at Miami-Dade in depth in the next issue..."

at http://www.minyanville.com/businessmarkets/articles/housing-market-shadow-inventories-real-estate/4/13/2011/id/33897?page=1#ixzz1JziLqNt8

The Primary Dealer - New York Fed Ponzi Circle Jerk Continues

"Exactly one week ago, we commented on what many said was a "strong" 3 Year auction primarily courtesy of a 57.4% primary dealer takedown. We also said: "Keep an eye on CUSIP QC7: it will be the most monetized 3 year paper by the Fed over the next 2 weeks." Today was the first POMO operation since last week's auction focusing on 3 year paper. We present the results of the $6.678 billion POMO below. They, and the 28% flip of the entire PD take down, speak for themselves. Bottom line - not so covert monetization continues in broad daylight, with Primary Dealers naturally getting their (just the) tip value for allowing the ponzi to continue, as everyone else praises the low interest rates on Treasurys, and says just how easy it will be for the Treasury to find Treasury buyers once Qe2 is over. One thing is certain: had PDs known they would have to hold on to these bonds instead of just collecting a hefty fee for flipping them back to the Fed, they would still have submitted bid...at far higher interest rates..."

at http://www.zerohedge.com/article/primary-dealer-new-york-fed-ponzi-circle-jerk-continues?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

NYSE Margin Debt Surges To Highest Since February 2008, Net Speculator Leverage Second Highest Ever

"The NYSE has released its monthly margin debt update for March. Not surprisingly, with everyone, and yes EVERYONE, chasing nothing but levered beta, margin debt surged to a fresh 3 year high at $315.7 billion, the highest since February 2008. But far more troubling is that when netting out positive margin balances such as Free Credit Cash Accounts and Credit Balances in Margin Accounts, the investor net worth, or alternatively net leverage, as it is defined, plunged by $18.2 billion to ($75.2) billion. This is the second highest net leverage ever seen on on the NYSE, only lower compared to the $79 billion hit at the absolute peak of the credit bubble in June 2007. We all know what followed after. Ironically, when this kind of mass hysteria happens in commodities the CME can't wait to hike margins to cool those evil, evil speculators. It is only natural that the Globex will hike ES margins in 5....4....3....."

at http://www.zerohedge.com/article/nyse-margin-debt-surges-highest-february-2008-net-speculator-leverage-second-highest-ever?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

Paul Farrell On The 10 "Doomsday Trends" Set To Destroy America

"Capitalism has become a religion for the Super Rich, with many such “saviors.” Heresies must be denied, such as this one: Doomsday Capitalism is destroying America from within. Here are highlights, with links to a few of the earlier hundred columns on topic. Ten macro trends building to a perfect storm, a critical mass, a flash point:

1. Doomsday Capitalism: Death of the American dream, spirit, soul

After our bankrupt Wall Street was resurrected in 2008 — thanks to their Trojan Horse, an ex-Goldman CEO inside the Treasury conning trillions from a clueless Congress — it became obvious that capitalism is killing America’s soul. Nobody trusts government. And no matter who’s elected, wealth, Wall Street and the Super Rich rule America; total collapse is coming.

Why? Sen. Bernie Sanders, the independent from Vermont, said it best: “There is a war going on in this country … the war waged by the wealthiest people in America on the disappearing and shrinking middle class of our country. The nation’s billionaires are on the warpath. They want more, more, more. Their greed has no end and they are apparently unconcerned for the future of this country if it gets in the way of their accumulation of power and wealth.”

2. Doomsday Democracy: ‘Mutant Capitalism’ killing ‘We the People’

Stop kidding yourself, democracy is dead: “All men are created equal” is a quaint political fiction. The public has no real say in a nation where wealth buys votes, a naive public is easily manipulated and elected officials have a price.

In “The Battle for Soul of Capitalism,” Bogle warned us the “Invisible Hand” no longer serves “We the People” nor the public welfare. Today, Wall Street and the insatiable Super Rich 1% rule America. And they are obsessed with restoring the same unregulated free-market Reaganomics that loves gambling in the same speculative $580 trillion derivatives casino that triggered the 2008 meltdown.

3. Doomsday Conspiracy: Wall Street takeover, the new ‘Invisible Hand’

The Super Rich have always had some hand in America’s destiny, operating from the shadows. Today, this conspiracy of Wall Street, Corporate CEOs, politicians and Forbes 400 billionaires operates openly, with absolute power and an arrogance that is corrupting the nation’s soul, their souls, your soul. This conspiracy has no moral compass , yet ironically, is legal.

Why? Wealth can easily buy favorable laws, making even the most unethical, selfish, corrupt behavior legal by fiat. And their high-priced lobbyists all over Washington, Congress, government regulatory agencies and the Fed all have the power to grab the rewards of capitalism for the Super Rich, while transferring the liabilities to the other, clueless 99% of America’s taxpayers

4. Doomsday Politics: Monopoly of Super-Rich Anarchists rules America

Forget buzzwords like oligopoly, plutocracy, socialism. Today Washington is a pure anarchy, a game played by tens of thousands of high-priced lobbyists squeezing the best deals out of America’s budget, solely for their clients’ interests, never the general public. Our economy is a monopoly of Super-Rich Anarchists. They know the only votes that count are in Congress. And they’re for sale.

Lobbyists are “brokers.” Today there are 261,000 lobbyists brokering special interests, all fighting for the maximum possible slice of a $1.5 trillion federal budget pie — special regulations, exemptions, loans, tax loopholes, earmarks, access, agency appointments, defense contracts, you name it — endless gambits that further consolidate the power and wealth at the top for Super-Rich Donors...

at http://www.zerohedge.com/article/paul-farrell-10-doomsday-trends-set-destroy-america?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

How Far Can the Fed Go in Manipulating Markets Before It Becomes a Self-Serving Private Banking Fraud?

"When does public policy become private fraud?

Ben, geçen haftadan bu yana Matières à Reflexion bağlantıları Fed tarafından borç piyasaları manipüle bu video vardı ama görünüşe göre çok kaçırdın çünkü istek üzerine buraya taşındı ve önemi, etkileri anlamadı. I have had this video on the manipulation of the debt markets by the Fed in the Matières à Réflexion links since last week, but moved it here on request because apparently many missed it, and did not understand its importance, the implications.

Bu Fed ve üye bankalar algı ve sadece uzun vadeli faiz oranlarının kontrol girişimi değil, aynı zamanda gazetelerde gösterilmiştir altın ve gümüş fiyatları, yönetmek için kağıt türevleri işlem için gerekçe bir oldukça iyi bir örnektir bu tür Gibson'un Paradox Summers tarafından Larry oranları dönem için uzun ilişki var bir. It is a fairly good example of the rationale for the Fed and its member banks dealing in paper derivatives to manage perception and attempt to control not only longer term interest rates, but also the price of gold and silver, which have been shown in papers such Gibson's Paradox by Larry Summers to have a correlation to long term rates.

Biri bu ilişki artık var olmayan veya ABD, bir altın standart olmadığı için ve FED uzun vadeli oranları bozmaya türevleri kullanabilir, sırf o Fed ve onların çokuluslu bankacılık ortakları anlamına gelmez önemli argüman yapabilir ve altın, gümüş, hisse senedi fiyatları, LIBOR, vb gibi diğer şeyler yapıyor One may make the argument that this correlation no longer exists or matters since the US is not on a gold standard, and that just because the FED may use derivatives to distort long term rates, that does not mean the Fed and their multinational banking associates are doing it with other things like gold, silver, stock prices, LIBOR, etc.

Ama aslında Fed kendi transkript ve çeşitli üyeleri ve bankacılar, teklif gelen kanıt bakımından en az altın ve gümüş pazarında algı hala aktif bir endişe olduğunu ve Fed ciddi ilgi gösteriyor. But in point of fact the evidence from the Fed's own transcripts, and quotes from various members and bankers, demonstrates that the perception of at least gold and silver in the market is still an active concern and of serious interest to the Fed.

ilgili belgelerin sürümünü var son defans anlamsız değildir. There recent stonewalling on the release of the relevant documents is not frivolous. Ne ve masum yeterince kendi ömrü elde bir başlar, birlikte gördüğüm biz ihlalleri ve vurgunculuk özel doğmak zorla TALF açıklamaları ve durum niyet olur orijinal çok daha büyük ve daha çok da kapsamlı daha. What starts out innocently enough obtains a life of its own, and the cover ups ensue, along with the abuses and private profiteering as we saw in the TALF disclosures , and the situation becomes much greater and more far-reaching than its original intent. İyi niyetli program gerçekten kamu güvenini yağma için bir para makinesi haline gelebilir. A well intentioned program can indeed become a money machine for looting the public trust.

Elbette sorun, Fed ve ilişkili özel bankaların kendi kağıt, ya da kağıt üzerinde türevleri yazma yeteneği tükendi asla iken, onlar çok iyi mali destek için fiziksel altın ve gümüş tükenebilir olmanızdır mühendislik, talep edilirse için 'durmak ve teslim ediyoruz.' The problem of course is that while the Fed and its associated private banks can never run out of their own paper, or the ability to write derivatives on that paper, they can and may very well run out of physical gold and silver to support their financial engineering, if the demand is made to 'stand and deliver.' Bu uzun tahvil alışverişi ve sıfır süresi, doların notlarına değerinin daha aşırı limit önce ulaşılarak onların zayıf noktalarından biri olarak burada tespit edilmiştir. This has long been identified here as one of their weak spots which may be reached before the more extreme limit of the value at exchange of the bonds and the notes of zero duration, the dollar.

Bunun çok daha asla onları çökertiyor orijinal düzeni, ancak sürekli örtbas genişleyen hemen her zaman. It is never so much the original scheme that brings them down, but it is almost always the ever-expanding cover up.

Başka bir deyişle, altın ve gümüş külçe ve Hazine güçsüzlük ve Fed ve üye bankalar maruz bırakabilir böylece fiyat ve oranlarının manipüle ederek algı yönetiminde serbestçe faaliyet yeteneklerini kısıtlamak. In other words, gold and silver bullion may expose the weakness of the Treasury, and the Fed and their member banks, and thereby restrict their ability to operate freely in managing perception by manipulating prices and rates. Bu onlar için böyle bir husumet tutun neden, ve bu yüzden de ilişkilerinde birçok saklamaya çalışıyorum, hatta medyanın dostu kaynaklardan histerik saldırıları teşvik etmektedir. This is why they hold such an animosity to it, and attempt to conceal so many of their dealings in it, even promoting hysterical attacks from friendly sources in the establishment media..."

at http://jessescrossroadscafe.blogspot.com/

Did The S&P Downgrade Warning Just Make A Debt Ceiling Compromise Even More Difficult?

"As S&P noted in its downgrade, and made all too explicit during the follow up call, the rating agency has now started a two year timer on the administration and the legislative branch to come up with not only a fiscal solution, but a credible solution by the end of 2012. Yet as Reuters points out, the "S&P's action -- downgrading its outlook on the U.S. rating to negative from stable -- does not guarantee a deal." Basically expect more posturing from both sides of the aisle, which ironically may merely lead to a cementing of intractable positions, and kick the can so far down the street that not even S&P can see where it lands: a non-compromise compromise that the Hill is so good at, yet one which won't fly any longer. " While the White House dismissed the action, saying all sides were making progress toward agreement, Republicans and Democrats remain far apart on where to make the cuts that will be needed for long-term deficit reduction." Any call for a bipartisan agreement on deficit reduction on fiscal reform is a welcome one, and in that context, I think that (the S&P move) adds to what we believe is some momentum towards that end," said Jay Carney, White House spokesman." Yes, ironically everyone: democrats and republicans are both claiming the S&P decision, which without doubt originated from Wall Street in the first place, validates their policies. Yet the biggest winner out of all this may be the Tea Party: "It is a vindication of the Tea Party and their stance that we are spending too much," Republican Representative Blake Farenthold, a member of the House Tea Party Caucus, said in a telephone interview." ...Or not: if the Tea Party continues "cutting" deficits like it did last week, when it was ultimately uncovered that instead of a $38 billion cut the ultimate impact on the budget was about $353 million, the Tea Party will most certainly burn all its credibility very soon if it continues to "tackle" fiscal sustainability with the same fervor..."

at http://www.zerohedge.com/article/did-sp-downgrade-warning-just-make-debt-ceiling-compromise-even-more-difficult?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29
at

Next Phase of Sovereign Debt Crisis; Greek 2-Year Yields Top 20%; Greece Denies Restructuring Plan; Why the Denial?

"A Greek newspaper reported that Greece is in talks with the IMF regarding debt restructuring. Ancak, Yunanistan Maliye Bakanı bu inkar "Yeniden Yapılanma konuşacağımız olduğunuz bir konu değil" yayınladı. However, Greek Finance Minister issued this denial "Restructuring is not an issue we're discussing".

Geçen hafta medya yeniden masada olduğunu Alman yetkililer, bir hayır-haber duyuru üzerine gaga gitti. Last week, the media went gaga over a no-news announcement from German officials that restructuring was on the table. Herkes pazar izlerken çünkü bir heyecan yarattı olmamalıdır bir yapılanma geliyor gayet iyi biliyor. It should not have caused a stir because anyone watching the market knows perfectly well a restructuring is coming. Yunanistan inkar bunu durduramazsın. Denials from Greece cannot stop it.

Inkar Yunanistan Neden? Why the Denials from Greece?

Soran kafasında muhtemelen "Neden Yunanistan yeniden olmayacak ısrar mi?" Soruyorsun Inquiring minds are likely asking "Why does Greece insist it will not restructure?"

Cevap basit: Yunan kamu emeklilik planları Yunan borç çöp yüklenir. The answer is simple: Greek public pension plans are loaded with Greek sovereign debt garbage. Bir yeniden yapılanma bu planları ve emekliler için beklenen ödeme değerlerini paramparça olurdu. A restructuring would shatter the values of those plans and the expected payouts to the pensioners..."

at http://globaleconomicanalysis.blogspot.com/

The Fed is Now Pumping $200 BILLION Per Month

"… and we just passed $200 billion per month.

I’ve shown the below chart before in other pieces. However, given its significance, it deserves regular review.

This is a chart of the adjusted US Monetary Base. It’s essentially a very simple means of charting how much money the US Federal Reserve is pumping into the system (on top of QE 2 which is providing another $100 billion in liquidity per month).

As you can see, starting in January 2011, the Fed left a paperweight on the “print”button. Since that time, it’s put $500 BILLION into the system. When you combine the $100 billion in liquidity provided by QE 2, we’re talking about $800-900 billion enter the financial system in 2011 alone.

There is only one period in which the Fed engaged in a similar amount of money pumps. And that was… during the depth of the 2008 Crisis from October- December 2008 (the two periods are comparable as the Fed didn’t have QE2 in 2008)..."

at http://www.zerohedge.com/article/fed-now-pumping-200-billion-month?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

Marc Faber : US could expropriate Gold

"Marc Faber , editor & publisher of "The Gloom, Boom & Doom Report" talks about his preferred ways to invest in gold " well basically I do not think that people should punt on Gold but they should be their own central bank and gradually accumulate gold reserves as a currency and they should basically hold it physically but not in the US outside the US " " I think there is the risk that the US will once again as they did in 1933 collect the gold expropriate the gold they will not take away and not pay anything they'll pay probably the market price and after they will revalue it it by say five times "

at http://marcfaberchannel.blogspot.com/