27 March 2012
SilverDoctors: Report: JPM Received $200 Million Margin Call 3 Da...
SilverDoctors: Report: JPM Received $200 Million Margin Call 3 Da...: Breaking reports state that JP Morgan received a $200 million margin call on London's LIFFE exchange 3 days prior to the MFG Bankruptcy over...
Countries Swapping Billions & Transferring Oil Ahead of War
With gold and silver surging higher recently, today King World News interviewed 40 year veteran, Robert Fitzwilson. Fitzwilson is founder of The Portola Group, one of the premier boutique firms in the Unites States. He told King World News that countries are engaging in currency swaps out of fear of being cutoff from international transfers. Fitzwilson also said gold and silver are getting ready for a major move. But first, here is what Fitzwilson had to say about recent developments: “Another development that’s been happening in recent days is swaps are being made. China and Australia just recently completed a $31 billion swap of their currencies. To me that’s tantamount to barter. These countries have essentially pre-positioned their currencies, probably because they are worried about being cutoff from international transfers.”
Robert Fitzwilson continues:
“Jim Sinclair has pointed out what is taking place with the SWIFT system. I would just like to add that SWIFT has now become a weapon in the currency wars and as Sinclair correctly stated, unfortunately the United States is now threatening other countries. We are saying if they do not do what we want, we will cut them off from SWIFT, which will effectively shut down their economy.
MORE
Robert Fitzwilson continues:
“Jim Sinclair has pointed out what is taking place with the SWIFT system. I would just like to add that SWIFT has now become a weapon in the currency wars and as Sinclair correctly stated, unfortunately the United States is now threatening other countries. We are saying if they do not do what we want, we will cut them off from SWIFT, which will effectively shut down their economy.
MORE
26 March 2012
Embry - Massive QE Near as System Moves Closer to Collapse
With gold moving towards the $1,800 level, up another $23 today, and silver closing in on $33, today King World News interviewed John Embry, Chief Investment Strategist of the $10 billion strong Sprott Asset Management. Embry said Geithner’s comments prove that massive money printing is necessary in order to avoid a collapse. Here is what Embry had to say about the situation: “There is so much interference in the gold market. Because of that it will be interesting to see what price level will spark interest in gold again. I do think it’s important to recognize the news backdrop, the real news, not the constant babble that is coming out of the powers that be.”
John Embry continues:
“As an example, a Congressman Gowdy was questioning Timothy Geithner, in a Congressional hearing. It was interesting the way he asked one of his questions. He asked Geithner, ‘Let’s say we only have one more debt ceiling increase that would have to cover all of the future obligations, what number would that be?’
MORE
John Embry continues:
“As an example, a Congressman Gowdy was questioning Timothy Geithner, in a Congressional hearing. It was interesting the way he asked one of his questions. He asked Geithner, ‘Let’s say we only have one more debt ceiling increase that would have to cover all of the future obligations, what number would that be?’
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Jim Sinclair - US Launches Economic War, Gold Reacting
Today legendary trader and investor Jim Sinclair told King World News that gold has taken a major step towards becoming the currency of choice when it comes to international trade. Sinclair also said the US has launched an economic war against key Asian countries and it is having an immediate impact on the gold market. Here is what Sinclair had to say about the situation: “Wall Street goes to war and the weapon is money. There was a day when we went to war and the weapon was an armada of ships. It was landing on Iwo Jima, mano y mano, it was bravery and honor. Today it’s dollars.”
Jim Sinclair continues:
“We go to war, challenging the other side to do the same because whatever you use as a weapon, the other side is going to tend to use as a weapon. The weapon that’s being used is the interbank transfer system, the way money is sent from bank to bank.
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Jim Sinclair continues:
“We go to war, challenging the other side to do the same because whatever you use as a weapon, the other side is going to tend to use as a weapon. The weapon that’s being used is the interbank transfer system, the way money is sent from bank to bank.
MORE
SilverDoctors: Brics’ move to unseat US dollar as trade currency
SilverDoctors: Brics’ move to unseat US dollar as trade currency: The dollar's death by a thousand cuts is intensifying. South Africa is taking initial steps to replace the dollar with the renminbi as the ...
Richard Russell - Gold & Silver Being Bought Up By Billionaires
With gold remaining in a trading range below the $1,700 level, the Godfather of newsletter writers, Richard Russell, had this to say about what is happening with regards to gold, silver, stocks, inflation and the Fed: “Technically, both the US and Europe are dead broke, and their GDPs would have to run wild on the upside to make the debt to GDP ratio more acceptable. How will it all end? It will end with the central banks churning out junk fiat inflation-adjusted money in order to service the debts. Meanwhile, the precious metals and other tangibles are being bought up by millionaires and billionaires as they await their turns to feast on the remnants.”
Richard Russell continues:
“The fact is that the Fed is happy with 2% inflation each and every year. Compound 2% inflation year after year, and you know what's happening? -- you've effectively wiped out the middle class. Between inflation, stagnant wages, higher taxes, and no jobs, the middle class has hit the brick wall like a fresh egg hitting the trunk of a redwood tree.
MORE
Richard Russell continues:
“The fact is that the Fed is happy with 2% inflation each and every year. Compound 2% inflation year after year, and you know what's happening? -- you've effectively wiped out the middle class. Between inflation, stagnant wages, higher taxes, and no jobs, the middle class has hit the brick wall like a fresh egg hitting the trunk of a redwood tree.
MORE
25 March 2012
SilverDoctors: Silver COT Report 3/23/12
SilverDoctors: Silver COT Report 3/23/12: In what should come as absolutely no surprise to any of SD's readers, the commercials reduced their short silver futures positions a ne...
Pento - Ultimate Collapse & Real Reason Interest Rates Rising
Today Michael Pento accused the mainstream media of misleading the public once again. Pento, who founded Pento Portfolio Strategies, writes exclusively for King World News about the ultimate collapse and the real reason interest rates are rising: “The prevailing notion among the mainstream media and economists is that interest rates are rising because of improving economic growth. But like many of the readily accepted tenets of today’s world of popular finance, this too has its basis in fallacy.”
Michael Pento continues:
“Interest rates recently increased by nearly 40 basis points on the 10-year note since the first week of March and that is being offered as proof that the economy has healed and GDP growth is about to accelerate. But in truth the recent spike in Treasury bond yields is only the result of a temporary ebbing in the fear trade that brought about panic selling in Euro denominated debt, which had previously caused U.S. Treasury prices to soar.
MORE
Michael Pento continues:
“Interest rates recently increased by nearly 40 basis points on the 10-year note since the first week of March and that is being offered as proof that the economy has healed and GDP growth is about to accelerate. But in truth the recent spike in Treasury bond yields is only the result of a temporary ebbing in the fear trade that brought about panic selling in Euro denominated debt, which had previously caused U.S. Treasury prices to soar.
MORE
Art Cashin - Expect Chaos in Markets if War with Iran Begins
Today Art Cashin told King World News many people are concerned about history repeating itself in the form of sudden and sharp inflation. Cashin, who is Director of Floor Operations for UBS, (which has $612 billion under management), also said the Dow could see a 1,000 point move in a day if war breaks out with Iran. Here is what Art Cashin had to say: “I think what people are concerned about is there is an enormous amount of tinder, in that the LTRO in Europe put a lot of assets in the hands of banks who have temporarily parked it at the ECB. The same thing is true here in the United States.”
Art Cashin continues:
“The balance sheets of the various central banks have nearly tripled. Now, in history, that has often led to a rather sudden and sharp inflation. That’s what people are concerned about, will history repeat itself?
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Art Cashin continues:
“The balance sheets of the various central banks have nearly tripled. Now, in history, that has often led to a rather sudden and sharp inflation. That’s what people are concerned about, will history repeat itself?
MORE
Caesar Bryan - Central Banks Aggressively Buying Gold
With gold trading $20 higher and silver solidly back above $32, today King World News interviewed 25 year veteran Caesar Bryan. Gabelli & Company has over $31 billion under management and Caesar Bryan has managed the gold fund since its inception in 1994. Caesar told KWN that central banks have been aggressively accumulating physical gold into weakness in the paper price of gold. Caesar went on to discuss silver and the mining shares as well, but first here is what he had to say about gold: “Well, there’s been a bit of a transfer from the paper players, those involved on the COMEX and in the futures market who have been liquidating. On the other hand, the physical buyers, including central banks, are stepping in to accumulate gold.”
Caesar Bryan continues:
“The central banks have been accumulating a great deal of physical gold at these lower levels. So there’s a bit of a tug of war going on between the futures market and the physical market. It’s really gut-wrenching what has taken place. Yesterday was a very disappointing day for some of my equity holdings.
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Caesar Bryan continues:
“The central banks have been accumulating a great deal of physical gold at these lower levels. So there’s a bit of a tug of war going on between the futures market and the physical market. It’s really gut-wrenching what has taken place. Yesterday was a very disappointing day for some of my equity holdings.
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Greyerz - Physical Gold Demand Enormous & Accelerating
Today Egon von Greyerz told King World News there is major demand for physical gold and it’s actually accelerating. Von Greyerz also said institutional money is going to aggressively enter gold and this will totally change the market. Egon von Greyerz is founder and managing partner at Matterhorn Asset Management out of Switzerland. Here is what von Greyerz had to say about what is happening in the gold market: “We are seeing the low this week or we could be under pressure for another week. But thereafter, in April, if I look at the technical picture, gold looks fantastic. The next move will be a major move in both gold and silver.”
Egon von Greyerz continues:
“If I look at the physical market, we are seeing major demand and it’s actually accelerating. Again, we are looking at a paper market which is artificially manipulated short-term. It has no relevance at all for the gold market in the long-term.
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Egon von Greyerz continues:
“If I look at the physical market, we are seeing major demand and it’s actually accelerating. Again, we are looking at a paper market which is artificially manipulated short-term. It has no relevance at all for the gold market in the long-term.
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Fleckenstein - Bernanke Dead Wrong About Gold Standard
Today Bill Fleckenstein, President of Fleckenstein Capital, told King World News that Fed Chairman Bernanke clearly does not understand the business cycle we are in and his comments about the gold standard are wrong. Here is what Fleckenstein had to say about the situation: “When Bernanke speaks or Greenspan speaks, basically I just ignore them because they are the architects of the current problems that we have. The average person has no clue that the root of almost all of these problems we face is irresponsible money printing on the part of the Federal Reserve.”
Bill Fleckenstein continues:
“I read that Bernanke said the gold standard was a bad idea because it didn’t allow the flexibility that he perceived we needed to have in order to engineer us out of trouble. The man clearly does not understand the business cycle.
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Bill Fleckenstein continues:
“I read that Bernanke said the gold standard was a bad idea because it didn’t allow the flexibility that he perceived we needed to have in order to engineer us out of trouble. The man clearly does not understand the business cycle.
MORE
21 March 2012
John Embry: $50 Downside on Gold but $1,000’s to the Upside
With continued volatility in gold and silver, and oil holding well above the $100 level, today King World News interviewed John Embry, Chief Investment Strategist of the $10 billion strong Sprott Asset Management. Embry told KWN gold has virtually no downside at these levels, but massive upside. Here is what Embry had to say: “I wouldn’t worry about it, I think you’re talking $50 to the downside on gold and thousands of dollars to the upside. These guys (manipulators) are really working on it relentlessly, which suggests to me there are more problems behind the scene than even I imagine.”
John Embry continues:
“They do not want the monetary policy central banks are embarked upon, which is as much money creation as necessary, they do not want people seeing the obvious alternative of gold and silver.
MORE
John Embry continues:
“They do not want the monetary policy central banks are embarked upon, which is as much money creation as necessary, they do not want people seeing the obvious alternative of gold and silver.
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John Hathaway - Gold is Making a Very Important Bottom
Today four decade veteran John Hathaway, told King World News that the gold market is making a very important bottom here. The prolific manager of the Tocqueville Gold Fund also said there is extraordinary value in the mining shares. Here are the critical observations by one of the most extraordinary 5-star rated Morningstar fund managers: “To me we are at the end of the correction that started last August when gold briefly peaked over $1,900, and the shares have really taken the brunt of it. Gold is down from $1,900 to $1,640, but the XAU is back to where it was in December.”
John Hathaway continues:
“We are making a very important bottom here. This is rock bottom sentiment and a buying opportunity. It’s tough to sell when they (mining shares) are making their highs and it’s tough to buy when they are making their lows. I’m astonished (at the mining shares), but here they are and they have great values.
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John Hathaway continues:
“We are making a very important bottom here. This is rock bottom sentiment and a buying opportunity. It’s tough to sell when they (mining shares) are making their highs and it’s tough to buy when they are making their lows. I’m astonished (at the mining shares), but here they are and they have great values.
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Leeb - Easing Policy in China to Create Boom in Commodities
Today acclaimed money manager Stephen Leeb told King World News a variety of factors has held back the commodity markets. Leeb also said China’s move into a policy of easing will seriously ramp up demand for key commodities, including precious metals. Leeb is Chairman & Chief Investment Officer of Leeb Capital Management. Here is what he had to say: “I can’t say gold’s overall performance has been disappointing. I expected it to be higher, but on the other hand it’s hard to be that discouraged. A better word is frustrated. Gold is definitely going to have its day, there is no doubt about it.”
Stephen Leeb continues:
“There are simply too many things working in favor of gold at this point. Gold production really hasn’t increased since 2001. That’s unheard of given the fact that during that time period gold has increased more than six fold in price. You have actually had a decline in gold production over that period as well.
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Stephen Leeb continues:
“There are simply too many things working in favor of gold at this point. Gold production really hasn’t increased since 2001. That’s unheard of given the fact that during that time period gold has increased more than six fold in price. You have actually had a decline in gold production over that period as well.
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3/20/2012 -- ALERT! VERIFIED TRUE ! Mexico 7.9M Earthquake PRE-PLANNED = MAN MADE !!
By: dutchsinse den 20 mar 2012
This is profound and disturbing. There was a verified "drill" planned for March 20, 2012 in Mexico for a 7.9M earthquake "simulation".... also on a separate note.. Barack Obama's daughter was at the epicenter on spring break: WTH is going on?!
We need answers.. and I don't think (at this point) any of us are going to settle for "coincidence". Who has the weapon, and why are they using it.. that is the question at this point.
20 March 2012
188 Day Cycle Earthquakes Explained
By: TerralO3 den 30 nov 2011 This is my 15-minute video presentation on the 188-Day Seismic Cycle, which is one of many reasons that I shall continue investigating the Heavy-Mass Object (HMO) hypothesis to a final conclusion. Earth reaches outside orbit position around December 18, 2011, when the inbound HMO should stop moving in the direction of Virgo Constellation to retreat back into the Leo Constellation. The next nearside alignment in the center of nearside orbit is on March 22, 2011, which happens to be a special numerical day for the Illuminati.
SilverDoctors: Indoctrination 101: Bernanke Focuses GWU Lecture o...
SilverDoctors: Indoctrination 101: Bernanke Focuses GWU Lecture o...: For those who missed today's live lecture The Bernank gave to George Washington University's School of Business, we have the highlights, as ...
Silver Premium Update (Silver Price Forecast) 19 March 2012
Silver Premium Update – Silver Price Forecast
By Hubert Moolman
19 March 2012
Silver has made its way out of the giant flag; however, it fell back again, lower than the upper boundary of the flag, as shown in the following chart:
Previously, I have stated that price will eventually break out of the flag and go on to make much higher highs. This is still my expectation, and here, I would like to present some more evidence for this view.
Where is silver going now?
MORE
By Hubert Moolman
19 March 2012
Silver has made its way out of the giant flag; however, it fell back again, lower than the upper boundary of the flag, as shown in the following chart:
Previously, I have stated that price will eventually break out of the flag and go on to make much higher highs. This is still my expectation, and here, I would like to present some more evidence for this view.
Where is silver going now?
MORE
SilverDoctors: Brink's JPM Receive 1 Million Ounces of Silver, CM...
SilverDoctors: Brink's JPM Receive 1 Million Ounces of Silver, CM...: Brink's and JPM received combined deposits of nearly 1 million ounces of silver into registered and eligible vaults Friday, and perhaps m...
SilverDoctors: ABC Posts Results of Tuesday's GOP Primary...MONDA...
SilverDoctors: ABC Posts Results of Tuesday's GOP Primary...MONDA...: ABC has just one-upped the BBC's reporting of Tower 7's collapse 15 minutes prior to the controlled demolition on 9/11. Tuesday, 3/20/12 is...
SilverDoctors: Will the Cartel Soon Set its Sights on China & Ind...
SilverDoctors: Will the Cartel Soon Set its Sights on China & Ind...: Historically, any individual investor who has accumulated over 100 million ounces of silver has been forced to liquidate their silver positi...
Rick Rule - Oil Super-Spike Will Take Gold & Silver Higher
With gold and silver hovering above recent lows, but oil moving towards the critical $110 level, today King World News interviewed Rick Rule, CEO of Sprott USA. Rule told KWN to expect higher gold and silver prices, but warned about the possibility of a super-spike in oil. Here is what Rule had to say: “The strength in the crude oil market has been caused by continued political nervousness surrounding the situation in Iran. The saber rattling between the United States, Iran and Israel is something which has had refiners and oil users very nervous.”
Rick Rule continues:
“Obviously the Iranians could shut down the Straits of Hormuz for a short period of time and KWN readers should note that 60% of the world’s crude oil flows through that very tight body of water. Yesterday Iraq also mentioned they were looking for other export avenues for their oil, either through Turkey or connecting through Saudi Arabia. So the perception in the Gulf with regards to the Straits of Hormuz being closed is very real.
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Rick Rule continues:
“Obviously the Iranians could shut down the Straits of Hormuz for a short period of time and KWN readers should note that 60% of the world’s crude oil flows through that very tight body of water. Yesterday Iraq also mentioned they were looking for other export avenues for their oil, either through Turkey or connecting through Saudi Arabia. So the perception in the Gulf with regards to the Straits of Hormuz being closed is very real.
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London Trader - Sovereign Gold Buyers to Raise Their Bids
With many global investors still concerned about the price of gold and silver, today King World News interviewed the “London Trader” to get his take on these markets. Here is what the source had to say: “Every time they have conducted raids in the paper market they lose more and more physical gold and we work from a higher level in terms of price. Right now we have washed an awful lot of the hot, weak money out of the gold market.”
The London Trader continues:
“This is when you see things turn and the manipulators rip it to the upside. There are buy stops on the upside that are attractive for them to target at this point. Traders are also watching the US dollar now because tomorrow the Iranians are scheduled to start trading oil in currencies other than the dollar. This is clearly an attack on the dollar by the Iranians.
MORE
The London Trader continues:
“This is when you see things turn and the manipulators rip it to the upside. There are buy stops on the upside that are attractive for them to target at this point. Traders are also watching the US dollar now because tomorrow the Iranians are scheduled to start trading oil in currencies other than the dollar. This is clearly an attack on the dollar by the Iranians.
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Global Systemic Crisis - Euroland 2012-2016: Perpetuation of a new global power on condition of democratization
- Public announcement GEAB N°62 (February 17, 2012) -
As anticipated by LEAP/E2020, the fear largely fed by the City of London and Wall Street of a Eurozone break-up over the Greek debt crisis proved unfounded. Euroland has come out of this violently conflictual episode with its "natural allies" much reinforced. According to our team, 2012 will mark the starting point for the perpetuation of a new global power, Euroland. However, this development remains conditional on the question of democratization that we analyze in this issue, through the three sequences of Euroland’s evolution 2012-2016. These five years will lead Europeans to profoundly influence a global geopolitical rebalancing whilst domestically a radical new phase of European integration is opening up in the coming months. Moreover, this GEAB issue anticipates the US Dollar’s progress as a dominant currency for global commercial transactions. The 2012 to 2013 period will in fact bring great changes in this area directly affecting global trade as the relative power of the currencies involved. In addition recommendations on currencies, gold, Greece, Russia, the US economy and stock markets, LEAP/E2020 offers a preview in this issue of the next book to be published in March 2012 by Anticipolis Editions entitled "2015 - The Great fall of Western real estate" by Sylvain Périfel and Philippe Schneider.
For this press release, LEAP/E2020 has chosen to present its anticipations on the first of the three Euroland sequences 2012-2016.
As previously announced, LEAP/E2020 is presenting its anticipations for Europe over the 2012-2016 period in this issue. In the context of a global systemic crisis, two strategic trends will mark these five years for Europeans: on the one hand the stabilization of Euroland as a new full global power (1); and, on the other, the absolute requirement for the European elite to raise the democratic freeze which now weighs heavily on the process of European integration. In this issue our team analyzes why, starting from the second half of 2012, conditions will be at their best for Euroland to take on these two trends fully (2). Of course, numerous economic, financial, strategic and political challenges remain for Europeans; but, with the global systemic crisis entering its phase of reconstituting world geopolitical balances, with Euroland, they have a “new sovereign” able to positively influence the course of events (3). Of course, this capacity is conditional upon the democratic legitimization of the whole of Euroland governance. From 2012 to 2016, three major sequences will characterize Euroland’s stabilization as a full sovereign and the lifting of the democratic freeze.
Before going into the European case in detail, our team would like to remind readers that the big difference today between the anticipation of the United States’ development and Europe’s is due to the fact that the United States has a completely paralysed antiquated politico-institutional system, whereas European integration has a strong dynamic associated with great institutional flexibility. The absence of major reform in the United States since the beginning of the crisis in 2008 compared with the impressive series of European institutional leaps and bounds since mid-2010 (developments considered impossible by many just two years ago) offers a striking illustration. In the American case, the question of anticipation of events thus forces to be able to identify the points of rupture of a sclerotic system. In the European case, it’s a question on the other hand of targeting the course of events and evaluating their pace of development (4). Which is much simpler in fact when, like LEAP/E2020, one has a good understanding of how Europe functions institutionally, and has a good sense for public opinion in the various Member States (5).
The last point of this preamble, the European decision-making process will considerably improve for Euroland since, from now on, only the countries using the Euro will take the decisions. Moreover, it’s a feature of these years of crisis to have finally clarified an absurd situation which saw countries outside the Eurozone, even anti-Euro (like the United Kingdom), take part in decisions on the Euro. But nevertheless, the very nature of the European decision-making process, implying negotiations and compromises, will continue to show it as being chaotic and slow, as opposed to national decision making. It will be much less than before, but still there all the same because it’s the very characteristic of the functioning of European integration; ultimately it is also one of its conditions of effectiveness, in order that each State really applies what has been decided.
Now, let’s move on to the analysis of the three major sequences which will characterise the 2012-2016 period. These three sequences have been presented out of sequence to make them clearer; but it’s obvious of course that they all overlap.
MORE
As anticipated by LEAP/E2020, the fear largely fed by the City of London and Wall Street of a Eurozone break-up over the Greek debt crisis proved unfounded. Euroland has come out of this violently conflictual episode with its "natural allies" much reinforced. According to our team, 2012 will mark the starting point for the perpetuation of a new global power, Euroland. However, this development remains conditional on the question of democratization that we analyze in this issue, through the three sequences of Euroland’s evolution 2012-2016. These five years will lead Europeans to profoundly influence a global geopolitical rebalancing whilst domestically a radical new phase of European integration is opening up in the coming months. Moreover, this GEAB issue anticipates the US Dollar’s progress as a dominant currency for global commercial transactions. The 2012 to 2013 period will in fact bring great changes in this area directly affecting global trade as the relative power of the currencies involved. In addition recommendations on currencies, gold, Greece, Russia, the US economy and stock markets, LEAP/E2020 offers a preview in this issue of the next book to be published in March 2012 by Anticipolis Editions entitled "2015 - The Great fall of Western real estate" by Sylvain Périfel and Philippe Schneider.
For this press release, LEAP/E2020 has chosen to present its anticipations on the first of the three Euroland sequences 2012-2016.
As previously announced, LEAP/E2020 is presenting its anticipations for Europe over the 2012-2016 period in this issue. In the context of a global systemic crisis, two strategic trends will mark these five years for Europeans: on the one hand the stabilization of Euroland as a new full global power (1); and, on the other, the absolute requirement for the European elite to raise the democratic freeze which now weighs heavily on the process of European integration. In this issue our team analyzes why, starting from the second half of 2012, conditions will be at their best for Euroland to take on these two trends fully (2). Of course, numerous economic, financial, strategic and political challenges remain for Europeans; but, with the global systemic crisis entering its phase of reconstituting world geopolitical balances, with Euroland, they have a “new sovereign” able to positively influence the course of events (3). Of course, this capacity is conditional upon the democratic legitimization of the whole of Euroland governance. From 2012 to 2016, three major sequences will characterize Euroland’s stabilization as a full sovereign and the lifting of the democratic freeze.
Before going into the European case in detail, our team would like to remind readers that the big difference today between the anticipation of the United States’ development and Europe’s is due to the fact that the United States has a completely paralysed antiquated politico-institutional system, whereas European integration has a strong dynamic associated with great institutional flexibility. The absence of major reform in the United States since the beginning of the crisis in 2008 compared with the impressive series of European institutional leaps and bounds since mid-2010 (developments considered impossible by many just two years ago) offers a striking illustration. In the American case, the question of anticipation of events thus forces to be able to identify the points of rupture of a sclerotic system. In the European case, it’s a question on the other hand of targeting the course of events and evaluating their pace of development (4). Which is much simpler in fact when, like LEAP/E2020, one has a good understanding of how Europe functions institutionally, and has a good sense for public opinion in the various Member States (5).
The last point of this preamble, the European decision-making process will considerably improve for Euroland since, from now on, only the countries using the Euro will take the decisions. Moreover, it’s a feature of these years of crisis to have finally clarified an absurd situation which saw countries outside the Eurozone, even anti-Euro (like the United Kingdom), take part in decisions on the Euro. But nevertheless, the very nature of the European decision-making process, implying negotiations and compromises, will continue to show it as being chaotic and slow, as opposed to national decision making. It will be much less than before, but still there all the same because it’s the very characteristic of the functioning of European integration; ultimately it is also one of its conditions of effectiveness, in order that each State really applies what has been decided.
Now, let’s move on to the analysis of the three major sequences which will characterise the 2012-2016 period. These three sequences have been presented out of sequence to make them clearer; but it’s obvious of course that they all overlap.
MORE
19 March 2012
Turk - Physical Gold Buyers Won the Day, Shorts to Retreat
With gold and silver holding firm, despite bearish news, today King World News interviewed James Turk out of Spain. Turk told King World News the critical levels to look for in both gold and silver. But first, here is what Turk had to say about today’s action: “The precious metals ended last week on the ropes, Eric. The news at the open this morning here in Europe was bleak because the Indian government announced a doubling of the import tax on gold. Given that India is world's the largest purchaser of gold, this news was bearish.”
James Turk continues:
“Then the auction for the Greek credit default swaps concluded smoothly, suggesting the Greek default would not be disruptive. So the shorts had every chance today to deliver another crushing blow to the precious metals to continue the selling pressure from last week. But it didn't happen, Eric. The precious metals came back and put in a good day by holding above important support at $1650 for gold and $32 for silver.
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James Turk continues:
“Then the auction for the Greek credit default swaps concluded smoothly, suggesting the Greek default would not be disruptive. So the shorts had every chance today to deliver another crushing blow to the precious metals to continue the selling pressure from last week. But it didn't happen, Eric. The precious metals came back and put in a good day by holding above important support at $1650 for gold and $32 for silver.
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Silver, Financial Repression And Economic Recovery
Ryan Jordan
Earlier this week, noted economist Carmen Reinhart posited once again that western economies are enduring another period of financial repression. In the simplest sense, financial repression means savers are subjected to additional taxation in the form of negative real interest rates (meaning you are losing money on your bank deposits after accounting for inflation.) The last period of negative real interest rates occurred in the wake of huge public sector deficits after World War II. In Reinhart's opinion, government-mandated negative real interest rates persisted from 1945 to 1980. This was a thirty-five year war on savers.
I found the timing of this article interesting, since so many people in the financial world are touting some sort of economic recovery, especially here in the United States. I have to admit things are going well on Wall Street: broader stock indexes have, in many cases, finally broken above levels not seen since before the collapse of Lehman in 2008. I would point out that in a qualitative sense, the word "recovery" feels out of place in a country where I doubt we can return to the world before 2007. Still, I am a good sport and willing to play along with the idea that the economy is on some sort of a rebound. (At least until the end of the world in December, mind you.)
So what does this "recovery" mean for people looking for places to put their hard earned savings? After all, the appearance of Reinhart's article on financial repression sort of throws a bit of cold water on anyone who equates recovery with the positive real rates of the 1980s and 1990s. Reinhart is implying that the heavy hands of the state and central banks are fiddling with the scales, manipulating the truth about the damage inflation can do to real economic growth, as well as to real investment returns.
MORE
Earlier this week, noted economist Carmen Reinhart posited once again that western economies are enduring another period of financial repression. In the simplest sense, financial repression means savers are subjected to additional taxation in the form of negative real interest rates (meaning you are losing money on your bank deposits after accounting for inflation.) The last period of negative real interest rates occurred in the wake of huge public sector deficits after World War II. In Reinhart's opinion, government-mandated negative real interest rates persisted from 1945 to 1980. This was a thirty-five year war on savers.
I found the timing of this article interesting, since so many people in the financial world are touting some sort of economic recovery, especially here in the United States. I have to admit things are going well on Wall Street: broader stock indexes have, in many cases, finally broken above levels not seen since before the collapse of Lehman in 2008. I would point out that in a qualitative sense, the word "recovery" feels out of place in a country where I doubt we can return to the world before 2007. Still, I am a good sport and willing to play along with the idea that the economy is on some sort of a rebound. (At least until the end of the world in December, mind you.)
So what does this "recovery" mean for people looking for places to put their hard earned savings? After all, the appearance of Reinhart's article on financial repression sort of throws a bit of cold water on anyone who equates recovery with the positive real rates of the 1980s and 1990s. Reinhart is implying that the heavy hands of the state and central banks are fiddling with the scales, manipulating the truth about the damage inflation can do to real economic growth, as well as to real investment returns.
MORE
Keiser Report - Episode 263
Max Keiser and co-host, Stacy Herbert, discuss ripping out client eyeballs and losing millions for a free breakfast; maggots of risk and plastic financial apartheid. In the second half of the show Max talks to filmmakers William Gagan and Geoff Shively about their crowd funded journey to Syria and ‘fake’ activists and, with the introduction of anti-free speech laws in Chicago, the filmmakers discuss the small drone helicopters they have acquired for reporting on the Nato summit.
U.S. May Sanction India Over Level of Iran-Oil Imports
By Indira A.R. Lakshmanan and Pratish Narayanan - Mar 15, 2012 2:43 PM GMT+0100
India has failed to reduce its purchases of Iranian oil, and if it doesn’t do so, President Barack Obama may be forced to impose sanctions on one of Asia’s most important nations, Obama administration officials said yesterday.
A decision to levy penalties under a new U.S. law restricting payments for Iranian oil could come as early as June 28, according to several U.S. officials who spoke on condition of anonymity because of the sensitivity of the issue.
“Given the level of trade, and in particular oil, between Iran and India, targeting an Indian entity that facilitates Iran’s access to the international financial market should be top of mind for the U.S. Treasury,” Avi Jorisch, a former Treasury Department official who is now a Washington-based consultant on deterring illicit finance, said in an interview.
The U.S. law, which targets oil payments made through Iran’s central bank, applies to any country that doesn’t make a “significant” reduction in its Iranian crude oil purchases during the first half of this year. If India fails to cut Iranian imports sufficiently, Obama may be compelled to bar access to the U.S. banking system for any Indian bank processing oil payments through Iran’s central bank, the U.S. officials said.
While India hasn’t asked its refiners to stop purchasing Iranian crude, the government has told processors in the South Asian nation to seek alternate supplies and gradually reduce their dependence on the Persian Gulf state due to increasing pressure from the U.S. in recent weeks, three Indian officials with direct knowledge of the situation said today.
India bought an average of 328,000 barrels a day of Iranian crude in the first six months of last year, making it the No. 3 buyer, behind China and Japan and ahead of South Korea, according to the U.S. Energy Information Administration. Iran is the No. 2 producer in the Organization of Petroleum Exporting Countries.
The U.S. government may not be aware that India’s biggest buyer of Iranian oil, state-owned Mangalore Refinery & Petrochemicals Ltd. (MRPL), plans to import less from Iran starting next month, according to two officials with direct knowledge of the matter who spoke on condition of anonymity because they weren’t authorized to speak.
MORE
India has failed to reduce its purchases of Iranian oil, and if it doesn’t do so, President Barack Obama may be forced to impose sanctions on one of Asia’s most important nations, Obama administration officials said yesterday.
A decision to levy penalties under a new U.S. law restricting payments for Iranian oil could come as early as June 28, according to several U.S. officials who spoke on condition of anonymity because of the sensitivity of the issue.
“Given the level of trade, and in particular oil, between Iran and India, targeting an Indian entity that facilitates Iran’s access to the international financial market should be top of mind for the U.S. Treasury,” Avi Jorisch, a former Treasury Department official who is now a Washington-based consultant on deterring illicit finance, said in an interview.
The U.S. law, which targets oil payments made through Iran’s central bank, applies to any country that doesn’t make a “significant” reduction in its Iranian crude oil purchases during the first half of this year. If India fails to cut Iranian imports sufficiently, Obama may be compelled to bar access to the U.S. banking system for any Indian bank processing oil payments through Iran’s central bank, the U.S. officials said.
While India hasn’t asked its refiners to stop purchasing Iranian crude, the government has told processors in the South Asian nation to seek alternate supplies and gradually reduce their dependence on the Persian Gulf state due to increasing pressure from the U.S. in recent weeks, three Indian officials with direct knowledge of the situation said today.
No Significant Reduction
India hasn’t significantly cut imports this year because refiners’ annual crude term deals with Iran typically run from April to March, they said. The planned reductions will start only when new annual contracts begin next month, the Indian officials said, declining to be identified because they aren’t authorized to speak to the media.India bought an average of 328,000 barrels a day of Iranian crude in the first six months of last year, making it the No. 3 buyer, behind China and Japan and ahead of South Korea, according to the U.S. Energy Information Administration. Iran is the No. 2 producer in the Organization of Petroleum Exporting Countries.
The U.S. government may not be aware that India’s biggest buyer of Iranian oil, state-owned Mangalore Refinery & Petrochemicals Ltd. (MRPL), plans to import less from Iran starting next month, according to two officials with direct knowledge of the matter who spoke on condition of anonymity because they weren’t authorized to speak.
MORE
We See Debt People
| Tuesday, 13 March 2012 00:00 |
| It's ugly out there, the world is flooded with fiat currency and in debt to its eyeballs. Global governments have done an excellent job hiding their insolvency and keeping the people they represent in the dark. Remember, the government is technically 'the people,' so the gold at Fort Knox (if there is any) is our gold and the debt the government has accumulated, is our debt. We find it sad that so many Americans go to the government for help after the government is the very entity that put them in a personal mess. Prior to the government entering our housing market, the max you would see for a home mortgage was 7 years, however, in order to make homes more affordable, the government started backing 30 year loans. The government's definition of affordability is you making a payment for life and not actually having ownership. Every government program designed to help has driven costs up through inflation, direct taxation, regulations, and or course the redistribution of wealth. Recently, Lew Rockwell posted some ugly facts about Americans' personal debt. Please note that it is the Federal Reserve that sets interest rates, this is the key factor in what a debt payment will be, so the lower rates are, the more Americans are encouraged to load up. If the rates aren't low enough for you, state and local governments have special deferred payment plans and government backed loans. The result of all this help is 16.5 trillion in official national debt, over 100 trillion in debt liabilities, and an entire class of debt slaves. Debt Slaves
|
SilverDoctors: Iran presses ahead with dollar attack
SilverDoctors: Iran presses ahead with dollar attack: Iran is set to begin selling oil in currencies other than the dollar tomorrow. Combine this info with the fact that there are now 4 NATO ai...
Pento - Soaring Oil, Inflation and Households Soaked in Debt
There has been a great deal of hype in the mainstream media stating the US economy is recovering. Pento, who founded Pento Portfolio Strategies, told King World News the truth is the US economy is not recovering and global readers should expect a surge in inflation. This is what Pento had to say: “Since the US economy is so intertwined with the global economy, I decided to look at claims by the mainstream media that the US economy is strengthening. The conclusion, please don’t believe the hype that the American economy is healing. While it is true that some data is showing improvement, the true fundamentals of the economy continue to erode.”
Michael Pento continues:
“America’s trade deficit hit $52.6 billion in January. That’s the highest level since October of 2008 and is clear evidence that we have fully reverted back to our under production, under saving and overconsumption habits with alacrity.
MORE
Michael Pento continues:
“America’s trade deficit hit $52.6 billion in January. That’s the highest level since October of 2008 and is clear evidence that we have fully reverted back to our under production, under saving and overconsumption habits with alacrity.
MORE
John Williams: Inflation Effect - Tough to Ignore or Contain
John Williams just warned that significant inflation will feed into the global system because of rising oil prices and the Fed’s policy to debase the dollar. Williams, who founded ShadowStats, also warned the US dollar will take a major hit because of global “dollar dumping.” Here is what Williams had to say about the situation: “With oil and gasoline prices pressured by market concerns over Middle Eastern political stability, monthly consumer inflation jumped in February and stabilized in the three-plus percentage range on a year-to-year basis.”
John Williams continues:
“The current level of inflation, however, stands where it is due primarily to the effects of the Federal Reserve’s efforts to debase the dollar, which, in turn, spiked global oil prices into the $100 per barrel range. The effects of the dollar-debasement and oil-price-spiking policies not only had direct inflationary impact on energy-related prices, but also—in the period following QE2—had an accelerating upside impact on inflation throughout the broad economy, as indicated by rising “core” inflation (net of food and energy inflation).
MORE
John Williams continues:
“The current level of inflation, however, stands where it is due primarily to the effects of the Federal Reserve’s efforts to debase the dollar, which, in turn, spiked global oil prices into the $100 per barrel range. The effects of the dollar-debasement and oil-price-spiking policies not only had direct inflationary impact on energy-related prices, but also—in the period following QE2—had an accelerating upside impact on inflation throughout the broad economy, as indicated by rising “core” inflation (net of food and energy inflation).
MORE
Greyerz - Gold Will React to the $120 Trillion of Additional Debt
Today Egon von Greyerz told King World News that global debt has increased 140% in the last ten years. Von Greyerz also said even though the massive creation of debt has yielded virtually no GDP growth, the gold market will soon react to the money printing binge. Egon von Greyerz is founder and managing partner at Matterhorn Asset Management out of Switzerland. Here is what von Greyerz had to say: “We are all focused on the short-term and that’s natural, but let’s step back and look at the longer-term picture because that is really what is important for us today and for the next few years. The bigger picture is so important because very few people understand that the last 100 years are exceptional in history.”
Egon von Greyerz continues:
“The prosperity that we’ve had since the early 1900s, to a great extent is governed by massive money printing. Let’s just take GDP for example. In the first 50 years of the 1900s, for every dollar of debt about five dollars of GDP was generated. So five times the amount of debt created was generated in GDP in the US.
MORE
Egon von Greyerz continues:
“The prosperity that we’ve had since the early 1900s, to a great extent is governed by massive money printing. Let’s just take GDP for example. In the first 50 years of the 1900s, for every dollar of debt about five dollars of GDP was generated. So five times the amount of debt created was generated in GDP in the US.
MORE
16 March 2012
Greyerz - Gold Will React to the $120 Trillion of Additional Debt
Today Egon von Greyerz told King World News that global debt has increased 140% in the last ten years. Von Greyerz also said even though the massive creation of debt has yielded virtually no GDP growth, the gold market will soon react to the money printing binge. Egon von Greyerz is founder and managing partner at Matterhorn Asset Management out of Switzerland. Here is what von Greyerz had to say: “We are all focused on the short-term and that’s natural, but let’s step back and look at the longer-term picture because that is really what is important for us today and for the next few years. The bigger picture is so important because very few people understand that the last 100 years are exceptional in history.”
Egon von Greyerz continues:
“The prosperity that we’ve had since the early 1900s, to a great extent is governed by massive money printing. Let’s just take GDP for example. In the first 50 years of the 1900s, for every dollar of debt about five dollars of GDP was generated. So five times the amount of debt created was generated in GDP in the US.
MORE
Egon von Greyerz continues:
“The prosperity that we’ve had since the early 1900s, to a great extent is governed by massive money printing. Let’s just take GDP for example. In the first 50 years of the 1900s, for every dollar of debt about five dollars of GDP was generated. So five times the amount of debt created was generated in GDP in the US.
MORE
Fitzwilson: Hyper-Devaluation, the Electronic Age & Gold
Today 40 year market veteran, Robert Fitzwilson, discussed the electronic age and how it will impact inflation as well as the eventual hyperinflation. He also believes that we have lived through an age when we talked in terms of millions and then billions, then trillions and that quadrillions cannot be far behind. Robert is the founder of The Portola Group, one of the premier boutique firms in the Unites States, and today King World News was given exclusive distribution rights to the following piece:
“Currency & Long-Term Wealth Preservation”
By Robert Fitzwilson, President & Founder of The Portola Group
March 16 (King World News) - For most of us alive today, the currency in our wallets has always functioned as a medium of exchange. It will do so going forward. Where one could find fault with it would be as a form of wealth preservation.
MORE
“Currency & Long-Term Wealth Preservation”
By Robert Fitzwilson, President & Founder of The Portola Group
March 16 (King World News) - For most of us alive today, the currency in our wallets has always functioned as a medium of exchange. It will do so going forward. Where one could find fault with it would be as a form of wealth preservation.
MORE
Sinclair - Is the Fed Selling Europe’s Gold During Interventions
Today legendary trader and investor Jim Sinclair told King World News that a number of European countries are beginning to ask themselves where the gold is coming from which is being used for interventions in the gold market. Sinclair also said some European countries are beginning to think it’s their gold, stored by the US Fed, which is being used for these interventions. But first, here is what Sinclair had to say about the recent plunge in gold: “Eric, this has been going on since $248 in gold. Any idea or concern that this kind of intervention is going to cause the gold bull market to cease or shorten or even contain where it will potentially go is simply wrong.”
Jim Sinclair continues:
“Every time you intervene in any market or any time you intervene economically, it’s the same as using a controlled drug. The first application gives you the best high you’ll ever have. After that you have to do more and more just to near duplicate what you expected.
MORE
Jim Sinclair continues:
“Every time you intervene in any market or any time you intervene economically, it’s the same as using a controlled drug. The first application gives you the best high you’ll ever have. After that you have to do more and more just to near duplicate what you expected.
MORE
SilverDoctors: Open Thread : JP Morgue's Whistle Blower and Monda...
SilverDoctors: Open Thread : JP Morgue's Whistle Blower and Monda...: Monday is the Greek CDS auction when the CDS payouts will be determined and required. Yesterday, JP Morgue whistle blower disclosed JPM's $...
15 March 2012
SilverDoctors: Bullion Banks are in Total Control Over Gold & Sil...
SilverDoctors: Bullion Banks are in Total Control Over Gold & Sil...: Marshall Swing: The Daily Show Well, this past COT period was not particularly interesting, at least from a price change point of vie...
Pierre Lassonde - Why Gold Could Spike 20% in a Day or Two
With so much worry surrounding the gold and silver markets, today King World News interviewed legendary Pierre Lassonde, to get his thoughts on what to look for going forward. Pierre is arguably the greatest company builder in the history of the mining sector. He used to run Newmont Mining, was Chairman of the World Gold Council and is current Chairman of Franco Nevada. When asked about the plunge in gold, Lassonde responded, “There’s no cliff here. There’s no need to panic whatsoever. First of all, let’s take a look at where we came from. We came from $250 ten years ago, to $1,600 to $1,700 today. That is a remarkable feat for the gold price.”
Pierre Lassonde continues:
“The mania phase is always the last phase of a bull market. I believe we are going to see that. I (also) believe it will mostly be of Chinese origin. Today over 50% of all of the gold sold on a yearly basis is sold in two countries, China and India. The is where it (the mania) will start.
MORE
Pierre Lassonde continues:
“The mania phase is always the last phase of a bull market. I believe we are going to see that. I (also) believe it will mostly be of Chinese origin. Today over 50% of all of the gold sold on a yearly basis is sold in two countries, China and India. The is where it (the mania) will start.
MORE
Turk - Gold & Silver Turmoil, What to Expect Going Forward
With many investors worried about the plunge in gold and silver, today King World News interviewed James Turk out of Spain. He told King World News this smash in the metals is very similar to what took place at the end of February. Turk firmly believes this is more proof of intervention and manipulation in these critical markets. Here is what Turk had to say about the turmoil in both metals: “What happened, after the FOMC meeting, in the last two days is a replay of what happened at the end of February. Gold got up to $1,800 (at the end of February), (then it was) smashed. (Two days ago) gold got up to $1,700 and it was smashed (again).”
James Turk continues:
“Now the interesting thing is both times one would expect the gold price would have risen. What happened at the end of February is the ECB had just announced their long-term refinancing operation (LTRO) of 500 billion euros, doubling the 500 billion euros they had done only a few weeks before....
MORE
James Turk continues:
“Now the interesting thing is both times one would expect the gold price would have risen. What happened at the end of February is the ECB had just announced their long-term refinancing operation (LTRO) of 500 billion euros, doubling the 500 billion euros they had done only a few weeks before....
MORE
JP Morgan Whistleblower States JP Morgan Manipulates Silver & Gold Futures
Thanks to Silverdoctors.com for this information:
From: Z A N
Organization(s):
JPMorgan Chase
Comment No: 57019
Date: 3/14/2012
Comment Text:
Dear CFTC Staff,
Hello, I am a current JPMorgan Chase employee. This is an open letter to all commissioners and regulators. I am emailing you today b/c I know of insider information that will be damning at best for JPMorgan Chase. I have decided to play the role of whistleblower b/c I no longer have faith and belief that what we are doing for society is bringing value to people. I am now under the opinion that we are actually putting hard working Americans unaware of what lays ahead at extreme market risk. This risk is unnecessary and will lead to wide-scale market collapse if not handled properly. With the release of Mr. Smith’s open letter to Goldman, I too would like to set the record straight for JPM as well. I have seen the disruptive behavior of superiors and no longer can say that I look up to employees at the ED/MD level here at JPM. Their smug exuberance and arrogance permeates the air just as pungently as rotting vegetables. They all know too well of the backdoor crony connections they share intimately with elected officials and with other institutions. It is apparent in everything they do, from the meager attempts to manipulate LIBOR, therefore controlling how almost all derivatives are priced to the inherit and fraudulent commodities manipulation. They too may have one day stood for something in the past in the client-employee relationship. Does anyone in today’s market really care about the protection of their client? From the ruthless and scandalous treatment of MF Global client asset funds to the excessive bonuses paid by companies with burgeoning liabilities. Yes, we at JPMorgan that are in the know are fearful of a cascading credit event being triggered in Greece as they have hidden derivatives in excess of $1 Trillion USD. We at JPMorgan own enough of these through counterparty risk and outright prop trading that our entire IB EDG space could be annihilated within a few short days. The last ten years has been market by inflexion point after inflexion point with the most notable coming in 2008 after the acquisition of Bear.
On a side note, I do not work directly with accounts that would have been directly impacted by the MF Global fiasco but I have heard through other colleagues that we have involvement in the hiding of client assets from MF Global. This is another fraudulent effort on our part and constitutes theft. I urge you to forward that part of the investigation on to the respective authorities.
There is something else that you may find strange. During month-end December, we were all told by our managers that this was going to be a dismal year in terms of earnings and that we should not expect any bonuses or pay raises. Then come mid-late January it is made known that everyone received a pay raise and/or bonus, which is interesting b/c just a few weeks ago we were told that this was not likely and expected to be paid nothing in addition to base salary. January is right around the time we started increasing our short positions quite significantly again and this most recent crash in gold and silver during Bernanke's speech on February 29th is of notable importance, as we along with 4 other major institutions, orchestrated the violent $100 drop in Gold and subsequent drops in silver.
As regulators of the free people of this country, I ask you to uphold the most important job in the world right now. That job is judge and overseer of all that is justice in the most sensitive of commodity markets. There are many middle-income people that invest in the physical assets of silver, gold, as well as mining stocks that are being financially impacted in a negative way b/c of our unscrupulous shorts in the precious metals commodity sector. If you read the COT with intent you will find that commercials (even though we have no business being in the commercial sector, which should be reserved for companies that truly produce the metal) are net short by a long shot in not only silver, but gold.
It is rather surprising that what should be well known liabilities on our balance sheet have not erupted into wider scale scrutinization. I call all honest and courageous JPMorgan employees to step up and fight the cronyism and wide-scale manipulation by reporting the truth. We are only helping reality come to light therefore allowing a real valuation of our banking industry which will give investors a chance to properly adjust without being totally wiped out. I will be contacting a lawyer shortly about this matter, as I believe no other whistleblower at JPMorgan has come forward yet. Our deepest secrets lie within the hands of honest employees and can be revealed through honest regulators that are willing to take a look inside one of America's best kept secrets. Please do not allow this to turn into another Enron.
Kind Regards,
-The 1st Whistleblower of Many
MORE - CFTC
MORE - Silverdoctors.
From: Z A N
Organization(s):
JPMorgan Chase
Comment No: 57019
Date: 3/14/2012
Comment Text:
Dear CFTC Staff,
Hello, I am a current JPMorgan Chase employee. This is an open letter to all commissioners and regulators. I am emailing you today b/c I know of insider information that will be damning at best for JPMorgan Chase. I have decided to play the role of whistleblower b/c I no longer have faith and belief that what we are doing for society is bringing value to people. I am now under the opinion that we are actually putting hard working Americans unaware of what lays ahead at extreme market risk. This risk is unnecessary and will lead to wide-scale market collapse if not handled properly. With the release of Mr. Smith’s open letter to Goldman, I too would like to set the record straight for JPM as well. I have seen the disruptive behavior of superiors and no longer can say that I look up to employees at the ED/MD level here at JPM. Their smug exuberance and arrogance permeates the air just as pungently as rotting vegetables. They all know too well of the backdoor crony connections they share intimately with elected officials and with other institutions. It is apparent in everything they do, from the meager attempts to manipulate LIBOR, therefore controlling how almost all derivatives are priced to the inherit and fraudulent commodities manipulation. They too may have one day stood for something in the past in the client-employee relationship. Does anyone in today’s market really care about the protection of their client? From the ruthless and scandalous treatment of MF Global client asset funds to the excessive bonuses paid by companies with burgeoning liabilities. Yes, we at JPMorgan that are in the know are fearful of a cascading credit event being triggered in Greece as they have hidden derivatives in excess of $1 Trillion USD. We at JPMorgan own enough of these through counterparty risk and outright prop trading that our entire IB EDG space could be annihilated within a few short days. The last ten years has been market by inflexion point after inflexion point with the most notable coming in 2008 after the acquisition of Bear.
I wish to remain anonymous as of now as fear of termination mounts from what I am about to reveal. Robert Gottlieb is not my real name; however he is a trader that is involved in a lawsuit for manipulative trading while working with JPMorgan Chase. He was acquired during our Bear Stearns acquisition and is known to be the notorious person shorting in the silver future market from his trading space, along with Blythe Masters, his IB Global boss. However, with that said, we are manipulating the silver futures market and playing a smaller (but still massively manipulative) role in manipulating the gold futures market. We have a little over a 25% (give or take a percentage) position in the short market for silver futures and by your definition this denotes a larger position than for speculative purposes or for hedging and is beyond the line of manipulation.
On a side note, I do not work directly with accounts that would have been directly impacted by the MF Global fiasco but I have heard through other colleagues that we have involvement in the hiding of client assets from MF Global. This is another fraudulent effort on our part and constitutes theft. I urge you to forward that part of the investigation on to the respective authorities.
There is something else that you may find strange. During month-end December, we were all told by our managers that this was going to be a dismal year in terms of earnings and that we should not expect any bonuses or pay raises. Then come mid-late January it is made known that everyone received a pay raise and/or bonus, which is interesting b/c just a few weeks ago we were told that this was not likely and expected to be paid nothing in addition to base salary. January is right around the time we started increasing our short positions quite significantly again and this most recent crash in gold and silver during Bernanke's speech on February 29th is of notable importance, as we along with 4 other major institutions, orchestrated the violent $100 drop in Gold and subsequent drops in silver.
As regulators of the free people of this country, I ask you to uphold the most important job in the world right now. That job is judge and overseer of all that is justice in the most sensitive of commodity markets. There are many middle-income people that invest in the physical assets of silver, gold, as well as mining stocks that are being financially impacted in a negative way b/c of our unscrupulous shorts in the precious metals commodity sector. If you read the COT with intent you will find that commercials (even though we have no business being in the commercial sector, which should be reserved for companies that truly produce the metal) are net short by a long shot in not only silver, but gold.
It is rather surprising that what should be well known liabilities on our balance sheet have not erupted into wider scale scrutinization. I call all honest and courageous JPMorgan employees to step up and fight the cronyism and wide-scale manipulation by reporting the truth. We are only helping reality come to light therefore allowing a real valuation of our banking industry which will give investors a chance to properly adjust without being totally wiped out. I will be contacting a lawyer shortly about this matter, as I believe no other whistleblower at JPMorgan has come forward yet. Our deepest secrets lie within the hands of honest employees and can be revealed through honest regulators that are willing to take a look inside one of America's best kept secrets. Please do not allow this to turn into another Enron.
Kind Regards,
-The 1st Whistleblower of Many
MORE - CFTC
MORE - Silverdoctors.
14 March 2012
Norcini - Rough Day for Gold & Silver, But Here’s Good News
With gold and silver plunging, today King World News interviewed legendary Jim Sinclair’s chartist Dan Norcini. Norcini told KWN that sell-stops and fresh speculative shorting are putting short-term pressure on both gold and silver. Here is what Norcini had to say: “Eric, the reason gold is getting hit so hard and by consequence silver as well, has to do specifically with the action in the bond market. To start the year, I told KWN readers and listeners the most important market in 2012 was going to be the bond market. The bonds have had a massive breakdown.”
Dan Norcini continues:
“A huge amount of selling has entered the bond market. Bonds had a big down day yesterday and we have had an even bigger debacle today, particularly on the long end of the curve. The ten year rate is now up to 2.25%, it’s up 7.4% today alone
MORE
Dan Norcini continues:
“A huge amount of selling has entered the bond market. Bonds had a big down day yesterday and we have had an even bigger debacle today, particularly on the long end of the curve. The ten year rate is now up to 2.25%, it’s up 7.4% today alone
MORE
Embry - Gold & Silver Manipulation, Greece, Oil & Contagion
With continued volatility in gold and silver, oil holding above $106 and ongoing worries about the Greek CDS situation, today King World News interviewed John Embry, Chief Investment Strategist of the $10 billion strong Sprott Asset Management. Embry told KWN contagion in Europe is a major risk because of the situation in Greece, but first he had this to say about gold, silver and oil: “Jim Sinclair hit it on the head the other day when he said the central banks are scared stiff of the gold market because of their very aggressive monetary policy. They can say anything they want, but they have no choice but to follow quantitative easing to infinity. The amount of money they will create will be astounding.”
John Embry continues:
“Eventually the gold market is going to realize this and it’s going to go berserk, but in the meantime the central planners can use market manipulation to keep a lid on gold. I guess it’s discouraging in the short-run, but in the long-run it means nothing.
MORE
John Embry continues:
“Eventually the gold market is going to realize this and it’s going to go berserk, but in the meantime the central planners can use market manipulation to keep a lid on gold. I guess it’s discouraging in the short-run, but in the long-run it means nothing.
MORE
Richard Russell - More QE After 40 Year Monster Bubble
With gold trading near the $1,700 level, today the Godfather of newsletter writers, Richard Russell, had this to say in his latest commentaries: “I have been writing my ‘stuff’ for about 54 years. They say that you can't teach old dogs new tricks, but I'm an old dog and I’m still learning. Many people in this line of work ask me how in the world I stay in business. I tell them, I really don't know, I write about what's on my mind, and most subscribers evidently like it.”
Richard Russell continues:
“There are more things on this earth than money and profits (or losses), and one must develop a philosophy of life. The reason I say this is because sooner or later everyone runs into seemingly impossible trouble, and one must have a way of surviving those troubles until the sun rises.
MORE
Richard Russell continues:
“There are more things on this earth than money and profits (or losses), and one must develop a philosophy of life. The reason I say this is because sooner or later everyone runs into seemingly impossible trouble, and one must have a way of surviving those troubles until the sun rises.
MORE
13 March 2012
SilverDoctors: 132 Million Ounces of Paper Silver Dumped in 30 Mi...
SilverDoctors: 132 Million Ounces of Paper Silver Dumped in 30 Mi...: Massive paper silver dumping continued with today's March FOMC statement. Beginning exactly at 2:15 pm EST, 90 million ounces of paper si...
Farage - Yes, Germany & Switzerland Want Their Gold Back
With Europe desperately trying to stabilize the Greek crisis, today Nigel Farage told King World News that despite European leaders pretending everything is okay, there is total denial and the ceiling is falling in. He also said the Germans and Swiss want their gold back. But first, here is what Farage had to say about the ongoing crisis in Greece: “It was very odd, I mean we had Mr. Van Rompuy, President of the European Council and Mr. Barroso, the Commission President, in Parliament this morning and it was remarkable. Two speeches from the two big bosses, both saying everything is absolutely wonderful. We have no difficulties at all and the recent Greek agreement has all gone off very smoothly. There is absolutely nothing to worry about.”
Nigel Farage continues:
“Mr. Van Rompuy said the euro crisis had now been through a turning point and everything is going swimmingly. Nothing to worry about chaps, it’s all absolutely fine. I did, in response, take the mickey a little bit and I did allude that I was taking part in some giant, comic farce, where we try to pretend the world is great even though the ceiling is falling in as we’re saying it.
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Nigel Farage continues:
“Mr. Van Rompuy said the euro crisis had now been through a turning point and everything is going swimmingly. Nothing to worry about chaps, it’s all absolutely fine. I did, in response, take the mickey a little bit and I did allude that I was taking part in some giant, comic farce, where we try to pretend the world is great even though the ceiling is falling in as we’re saying it.
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Rule - $150 to $170 Oil, Gold, Fraud & Dangerous Times
With continued volatility in gold, silver and oil, today King World News interviewed Rick Rule, CEO of Sprott USA. Rule told KWN the world is out of $60 oil and maybe out of $70 oil. He also said the circumstances in Greece bring up the issue of moral hazard and the situation is extremely dangerous. Here is what Rule had to say: “I don’t know if it spins out of control, but it’s clearly fraud. Greece had an engineered default, which they chose not to call a default. This is just plain fraud and if you and I tried to do this, in the context of a private issue, we would go to jail. The fact that people who operate under a sovereign do it is very strange and very dangerous.”
Rick Rule continues:
“This situation brings up the issue of moral hazard. This causes people’s behavior to change. We are now living in the era of payback for moral hazards. The idea that you have this broadly sanctioned fraud, which holds harmless the idiots who bought Greek debt, this encourages the same type of behavior.
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Rick Rule continues:
“This situation brings up the issue of moral hazard. This causes people’s behavior to change. We are now living in the era of payback for moral hazards. The idea that you have this broadly sanctioned fraud, which holds harmless the idiots who bought Greek debt, this encourages the same type of behavior.
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John Hathaway - 9 Key Points for the Gold & Silver Markets
With continued volatility in the gold and silver markets, today King World News reached out to 40 year veteran John Hathaway. Hathaway is the prolific manager of the Tocqueville Gold Fund and he has achieved a 5-star rating from Morningstar. Hathaway sent KWN, exclusively, an outline of 9 key points in the gold and silver markets. Here is a portion of one of the 9 key points (all 9 points below): “The fact that gold has survived the negative news flow from the monetary and economic front is encouraging. If gold can withstand the apparently changing narrative that had underpinned a bullish stance on gold, it will be a sign of enormous strength.”
John Hathaway’s 9 key points sent to KWN:
Brief comments on recent market action and outlook for precious metals:
1.The recent sharp decline appears to have been another test of the December low of $1532/oz intraday. Gold fell to $1675 on March 9th from $1788 including a drop of $72 on February 29th. So far, the downside was contained near the 200 day moving average. From a purely technical standpoint, the uptrend in gold seems intact.
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John Hathaway’s 9 key points sent to KWN:
Brief comments on recent market action and outlook for precious metals:
1.The recent sharp decline appears to have been another test of the December low of $1532/oz intraday. Gold fell to $1675 on March 9th from $1788 including a drop of $72 on February 29th. So far, the downside was contained near the 200 day moving average. From a purely technical standpoint, the uptrend in gold seems intact.
MORE
Turk - Why Army of New Buyers Will be Entering Gold & Silver
With many investors worried about the recent action in gold and silver, today King World News interviewed James Turk out of Spain. Turk told King World News that an army of new buyers is going to enter the gold and silver markets. But first, here is what Turk had to say about the situation in Greece: “Greece remains a mess. All the bailout means is that the country has increased its debt by $30 billion euros. The Greeks couldn’t repay what they already owe and there is no way this new debt is going to be repaid either. Greece’s problem, as well as other over-indebted countries, means that we should continue to focus on precious metals.”
James Turk continues:
“Whether or not the CDS payouts on the Greek default lead to a full blown contagion, only time will tell. But one thing is certain, every party that owns a CDS on Greece and other sovereign debts is looking at them closely to determine if they will be paid and how they will be paid.
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James Turk continues:
“Whether or not the CDS payouts on the Greek default lead to a full blown contagion, only time will tell. But one thing is certain, every party that owns a CDS on Greece and other sovereign debts is looking at them closely to determine if they will be paid and how they will be paid.
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12 March 2012
Barron: Greek Situation Catastrophic, Expect More Black Swans
Today one of the legends in the gold world told King World News the Greek situation will be catastrophic as it plays out over time. Keith Barron is responsible for one of the largest gold discoveries in history and consults with major gold companies around the world as well as international brokerage houses. Barron also said investors should expect to see more black swans on the horizon. Here is how Barron described the situation: “As I predicted, there have been massive payouts due to default insurance kicking in. The banking industry has been looking at this and the individuals involved must be thinking they are going to have the same situation the next time Greece defaults.”
Keith Barron continues:
“All they did was kick the can down the road. They have had a lot of time to try to get these contracts worked out. This is what they should have been doing over the last several weeks, working very hard to unwind a lot of these situations.
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Keith Barron continues:
“All they did was kick the can down the road. They have had a lot of time to try to get these contracts worked out. This is what they should have been doing over the last several weeks, working very hard to unwind a lot of these situations.
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John Williams - Intensifying Crisis & Staggering Unemployment
John Williams just warned that the ongoing financial problems have horrendous implications for the markets and systemic stability. Williams, who founded ShadowStats, also noted that U6 unemployment levels are not being reported by the mainstream media and they are at staggering levels. Here is what Williams had to say about the situation: “The outlook for the broad economy remains bleak, despite relatively upbeat February payroll data. Deterioration in the January trade deficit and related revisions suggest negative impact on first-quarter 2012 GDP reporting, along with increasing downside pressure on the U.S. dollar from underlying economic and political fundamentals.”
John Williams continues:
“Systemic-solvency and liquidity issues continue to plague the Fed and to restrain U.S. economic activity. Bank lending remains impaired, while household income has taken a new hit, as indicated in recent reporting. Separately, as detailed in the Hyperinflation Watch, annual and monthly growth in the broad money supply appears to be stalling, again. That likely is a further indication of mounting difficulties in the systemic-solvency crisis.
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John Williams continues:
“Systemic-solvency and liquidity issues continue to plague the Fed and to restrain U.S. economic activity. Bank lending remains impaired, while household income has taken a new hit, as indicated in recent reporting. Separately, as detailed in the Hyperinflation Watch, annual and monthly growth in the broad money supply appears to be stalling, again. That likely is a further indication of mounting difficulties in the systemic-solvency crisis.
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11 March 2012
Pento - Inflation to Rapidly Increase Around the World in 2012
Today Michael Pento told King World News that Europe’s economy is falling off a cliff, along with other parts of the world, as inflation continues to take a toll on global GDP. Pento, who founded Pento Portfolio Strategies, also noted that one of the largest corporations in the world is seeing a global slowdown. This is what Pento had to say about what is taking place: “Back in early 2011, I was one of the few economists to warn that global GDP growth would slow dramatically in the near future and that the emerging market economies would not be immune from that upcoming contraction. My prediction was based on the premise that the then incipient sovereign debt crisis in the developed world would cause the export-driven BRIC economies to stall.”
Michael Pento continues:
“We now know that the Japanese economy is contracting, while Europe’s GDP is falling off a cliff. And just last week we received more concrete evidence that emerging market economies are starting to feel the pinch from the developed world’s debt crisis.
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Michael Pento continues:
“We now know that the Japanese economy is contracting, while Europe’s GDP is falling off a cliff. And just last week we received more concrete evidence that emerging market economies are starting to feel the pinch from the developed world’s debt crisis.
MORE
10 March 2012
Sinclair - Greek Tragedy Part of $37 Trillion, Not $3.5 Billion
Today legendary trader and investor Jim Sinclair told King World News the “credit event” in Greece totals much more than the $3.5 billion which is being reported by the mainstream media. Sinclair also said if the CDS’s are in fact made to pay, this could require the rescuing of eight international banks, through Fed swaps that could total in the trillions of dollars. Here is what Sinclair had to say about what is happening : “The release made by the International Swaps & Derivatives Association (ISDA), for the average Mensa member or genius, is totally incomprehensible. The press is using the word default, but the ISDA is using the word ‘auction.’ Clearly, the amount of CDS’s outstanding is infinitely more than the $3.5 billion that is being quoted.”
Jim Sinclair continues:
“The BIS confirms, in the area of CDS’s the total outstanding is approximately $37 trillion. So I believe the reports being given about this just being a small and modest market event is false. As a market observer and having more than 50 years in the business, the real number is at least 50% or more of the existing $37 trillion that is related to Greece.
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Jim Sinclair continues:
“The BIS confirms, in the area of CDS’s the total outstanding is approximately $37 trillion. So I believe the reports being given about this just being a small and modest market event is false. As a market observer and having more than 50 years in the business, the real number is at least 50% or more of the existing $37 trillion that is related to Greece.
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Eveillard - All Hell May Break Loose & Gold is Way Undervalued
Today legendary value investor, Jean-Marie Eveillard told King World News all hell could break loose and gold is nowhere near fair value. Eveillard, who oversees $50 billion at First Eagle Funds, had this to say about the situation, “I think they bought some time, not so much because of what happened with the Greek bonds but because the head of the ECB decided to lend the commercial banks whatever they needed. This happened in December and again in February and it totaled over one trillion euros.”
Jean Marie Eveillard continues:
“As I said, this has bought the Europeans some time, maybe a few months. The Greek situation is really beyond repair, but everyone is afraid of contagion so they just keep kicking the can down the road.
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Jean Marie Eveillard continues:
“As I said, this has bought the Europeans some time, maybe a few months. The Greek situation is really beyond repair, but everyone is afraid of contagion so they just keep kicking the can down the road.
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Caesar Bryan - Physical Buying in London Reverses Gold Market
Today 25 year veteran Gabelli Gold Fund manager, Caesar Bryan, told King World News the Southern periphery countries of Europe will experience a turbulent period that will be worse than the Great Depression. Gabelli & Company has over $31 billion under management and Caesar Bryan has managed the gold fund since its inception in 1994. Caesar also said physical buying in London helped turn the gold market around. Here is what Bryan had to say about the situation: “Well, I think the gold market was looking fine from yesterday. Then we had reasonable payroll numbers here in the US and that took the gold price down. But then we had a sudden reversal which is quite interesting. My understanding is the PM fix in London saw some physical buying and was fixed a few dollars higher than gold was trading on a spot basis.”
Caesar Bryan continues:
“Then there was some good follow through (to the upside). On a longer-run basis, we are sitting on the moving averages and gold is fine. We are in a bull market. We’ve suffered a number of nasty corrections since 2001. I believe we have had about seven corrections of over 20%. One of 30%, at the time of the Lehman crisis.
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Caesar Bryan continues:
“Then there was some good follow through (to the upside). On a longer-run basis, we are sitting on the moving averages and gold is fine. We are in a bull market. We’ve suffered a number of nasty corrections since 2001. I believe we have had about seven corrections of over 20%. One of 30%, at the time of the Lehman crisis.
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You Can’t Beat Silver as an Investment
Friday, 09 March 2012 00:00
Silver Antibacterial Bandages
Silver has germicidal effects that kill many lower organisms. The colloidal or ionic silver is a silver solution that is an antibacterial product now sold on special band aids. For years, burn wards have soaked bandages in low concentrations of silver solution in order to prevent infection. Silver has been used to preserve and help save the skin of burn victims. Silver also promotes the production of cells, helping to heal wounds faster.
Washing Machines
Not what you are thinking, so please don’t start taking apart your old washing machine looking for silver. The silver we are talking about is in the new Samsung washing machines that inject silver ions into the rinse cycle in order to kill 99.9% of bacteria that causes odors. By using about 1 ounce of silver, these Samsung washing machines can sanitize over 3,000 loads, this means no hot water or bleach necessary, just a dash of silver.
Food Processing
Silver based food packaging liners that preserve food quality made by Agion. Using an active ingredient of silver zeolite, which is a delivery system that dispenses silver metal ions in a controlled release over time, the silver is able to disrupt microbe growth by interrupting ribonucleic acid that is needed for an organism to reproduce.
Water Storage
According to David Eaton, secretary of The Institute of Water Ionization Technologies in the UK, silver based water purification systems offer the most reliable and cost effective alternative to chlorine. In fact, both Russian scientists and NASA concluded that the best method for long term water purification was using silver as the purifying agent. Silver kills bacteria in the water and is able to help maintain the purity over a long period of time.
Have you ever wanted to store water? Put a few drips of colloidal silver and kill over 650 known bacteria that can grow in your stored water. On cruise ships and airplanes, they often make sure there is some silver in their water tanks for this very reason.
Silver was even used in the 1980’s in the United Kingdom to help stop the spread of Legionnaire’s disease, a disease named after Legionella pneumophilia, an aquatic organism.
Oxygen Machines
Since silver will not ignite, if you want to avoid a spark turning into an explosion, then you need to use silver. When it comes to hospitals handling pure oxygen at high pressure in liquid form, in order to avoid it becoming dangerous, the equipment used to transport the oxygen is made at least in part with silver.
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We can make a great argument that platinum is a great investment with soaring industrial demand. We can argue that gold is a great investment with soaring monetary demand. However, silver is the only metal in the world where both arguments can be made, silver is an industrial metal, jewelery, and a monetary safe haven just like gold.
What most people don’t know is that right now there is less above ground available silver than there is gold, that’s right, there is less silver than gold. This trend of consuming silver and saving in gold isn’t going to stop, the above ground supply for gold will continue to grow, while the above ground supply for silver will continue to move us towards a physical silver shortage.
Silver is without at doubt the most important metal in the world, yet most people when they think about the uses for silver, think of jewelry, silverware, and photography. However, this barely scratches the surface for the uses for silver, in fact, we could write an entire book on just the different applications silver is involved in.
Below are some of the uses for silver that will help continue to grow demand for physical silver. FutureMoneyTrends.com wants everyone to understand that silver is all around you, whether you are talking on the phone, driving in your car, or looking for something to eat in your refrigerator, silver is in more products than you can imagine.What most people don’t know is that right now there is less above ground available silver than there is gold, that’s right, there is less silver than gold. This trend of consuming silver and saving in gold isn’t going to stop, the above ground supply for gold will continue to grow, while the above ground supply for silver will continue to move us towards a physical silver shortage.
Silver is without at doubt the most important metal in the world, yet most people when they think about the uses for silver, think of jewelry, silverware, and photography. However, this barely scratches the surface for the uses for silver, in fact, we could write an entire book on just the different applications silver is involved in.
Silver Antibacterial Bandages
Silver has germicidal effects that kill many lower organisms. The colloidal or ionic silver is a silver solution that is an antibacterial product now sold on special band aids. For years, burn wards have soaked bandages in low concentrations of silver solution in order to prevent infection. Silver has been used to preserve and help save the skin of burn victims. Silver also promotes the production of cells, helping to heal wounds faster.
Washing Machines
Not what you are thinking, so please don’t start taking apart your old washing machine looking for silver. The silver we are talking about is in the new Samsung washing machines that inject silver ions into the rinse cycle in order to kill 99.9% of bacteria that causes odors. By using about 1 ounce of silver, these Samsung washing machines can sanitize over 3,000 loads, this means no hot water or bleach necessary, just a dash of silver.
Food Processing
Silver based food packaging liners that preserve food quality made by Agion. Using an active ingredient of silver zeolite, which is a delivery system that dispenses silver metal ions in a controlled release over time, the silver is able to disrupt microbe growth by interrupting ribonucleic acid that is needed for an organism to reproduce.
Water Storage
According to David Eaton, secretary of The Institute of Water Ionization Technologies in the UK, silver based water purification systems offer the most reliable and cost effective alternative to chlorine. In fact, both Russian scientists and NASA concluded that the best method for long term water purification was using silver as the purifying agent. Silver kills bacteria in the water and is able to help maintain the purity over a long period of time.
Have you ever wanted to store water? Put a few drips of colloidal silver and kill over 650 known bacteria that can grow in your stored water. On cruise ships and airplanes, they often make sure there is some silver in their water tanks for this very reason.
Silver was even used in the 1980’s in the United Kingdom to help stop the spread of Legionnaire’s disease, a disease named after Legionella pneumophilia, an aquatic organism.
Oxygen Machines
Since silver will not ignite, if you want to avoid a spark turning into an explosion, then you need to use silver. When it comes to hospitals handling pure oxygen at high pressure in liquid form, in order to avoid it becoming dangerous, the equipment used to transport the oxygen is made at least in part with silver.
MORE
Greece Has Defaulted: Here Is Where We Stand
Submitted by Tyler Durden on 03/09/2012 19:33 -0500
After reading this, everyone should have a fairly good grasp of what happened not only today, but ever since the great (and quite endless) European financial crisis took center stage, and what to look forward to next...
From Chindit13
In a nutshell---okay, a coconut shell---this seems to be where we are:
1) Greece was able to write off 100 billion euros worth of debt in exchange for a 130 billion rescue package of new debt, of which Greece itself will receive 19%, or about 25 billion, so that it can continue to operate as an ongoing concern. Somehow Greece is in a better position than before, with more debt and less sovereignty and still---by virtue of sharing a common currency---trying to compete toe-to-toe with the likes of Germany and the Netherlands, kind of like being the Yemeni National Basketball team in an Olympic bracket that includes the US, Spain and Germany. At least a "within the euro" default prevented bank runs in Portugal, Spain, Italy et al.
2) As a result of the bond haircuts, Greece has many pension plans that can no longer even pretend to be viable, at least according to the original contracted scheme, but pensionholders still working can take heart in the fact that their current wages will be cut, too.
3) CDS buyers will have to sweat bullets, jump through hoops, and be forced to endure every cliche known to man, but they might end up getting something for all their trouble, provided their counterparty is solvent and that counterparty itself is not heavily exposed to an insolvent party or a NTBTF institution, otherwise known as a Lehman Brothers. Expect the legal profession to be the prime beneficiary of this "event", as any new CDS contract will be at least a hundred pages of boilerplate longer in the future.
4) Good luck to any less than AAA rated sovereign who wants to issue debt from now on out. That contracts can now be unilaterally abrogated, as Greece' bonds were with the retro-CACs, bodes ill for attractive pricing from here on out. Peripherals in the EU will suffer most, as they face the added indignity of being subordinated to the ECB at any point the ECB chooses to exercise its divine right of seniority. The thing that used to be called the risk free rate no longer exists. Bill Sharpe take note.
MORE
After reading this, everyone should have a fairly good grasp of what happened not only today, but ever since the great (and quite endless) European financial crisis took center stage, and what to look forward to next...
From Chindit13
In a nutshell---okay, a coconut shell---this seems to be where we are:
1) Greece was able to write off 100 billion euros worth of debt in exchange for a 130 billion rescue package of new debt, of which Greece itself will receive 19%, or about 25 billion, so that it can continue to operate as an ongoing concern. Somehow Greece is in a better position than before, with more debt and less sovereignty and still---by virtue of sharing a common currency---trying to compete toe-to-toe with the likes of Germany and the Netherlands, kind of like being the Yemeni National Basketball team in an Olympic bracket that includes the US, Spain and Germany. At least a "within the euro" default prevented bank runs in Portugal, Spain, Italy et al.
2) As a result of the bond haircuts, Greece has many pension plans that can no longer even pretend to be viable, at least according to the original contracted scheme, but pensionholders still working can take heart in the fact that their current wages will be cut, too.
3) CDS buyers will have to sweat bullets, jump through hoops, and be forced to endure every cliche known to man, but they might end up getting something for all their trouble, provided their counterparty is solvent and that counterparty itself is not heavily exposed to an insolvent party or a NTBTF institution, otherwise known as a Lehman Brothers. Expect the legal profession to be the prime beneficiary of this "event", as any new CDS contract will be at least a hundred pages of boilerplate longer in the future.
4) Good luck to any less than AAA rated sovereign who wants to issue debt from now on out. That contracts can now be unilaterally abrogated, as Greece' bonds were with the retro-CACs, bodes ill for attractive pricing from here on out. Peripherals in the EU will suffer most, as they face the added indignity of being subordinated to the ECB at any point the ECB chooses to exercise its divine right of seniority. The thing that used to be called the risk free rate no longer exists. Bill Sharpe take note.
MORE
Moody's: Greece has defaulted
Published: 10 March, 2012, 03:49
Edited: 10 March, 2012, 21:00
Moody's Investors Service considers Greece to have defaulted per its default definitions. The announcement comes despite Athens reaching a deal with private creditors for a bond exchange that will shave €107 billion from its €350 billion debt.
The agency pointed out that even though 85.8 per cent of the holders of Greek-law bonds had signed to the deal, the exercise of collective action clauses that Athens is applying to its bonds will force the remaining bondholders to participate.
Eventually, the overall cost to bondholders, based on the present net value of the debt, will be at least 70 per cent of the investment, Moody's explained.
"According to Moody's definitions, this exchange represents a 'distressed exchange,' and therefore a debt default," the US rating firm said. "This is because (i) the exchange amounts to a diminished financial obligation relative to the original obligation, and (ii) the exchange has the effect of allowing Greece to avoid payment default in the future."
Ahead of the debt deal, Moody's had already slashed Greece's credit grade to its lowest level, "C," and so there was no impact on the rating.
MORE
Edited: 10 March, 2012, 21:00
Moody's Investors Service considers Greece to have defaulted per its default definitions. The announcement comes despite Athens reaching a deal with private creditors for a bond exchange that will shave €107 billion from its €350 billion debt.
The agency pointed out that even though 85.8 per cent of the holders of Greek-law bonds had signed to the deal, the exercise of collective action clauses that Athens is applying to its bonds will force the remaining bondholders to participate.
Eventually, the overall cost to bondholders, based on the present net value of the debt, will be at least 70 per cent of the investment, Moody's explained.
"According to Moody's definitions, this exchange represents a 'distressed exchange,' and therefore a debt default," the US rating firm said. "This is because (i) the exchange amounts to a diminished financial obligation relative to the original obligation, and (ii) the exchange has the effect of allowing Greece to avoid payment default in the future."
Ahead of the debt deal, Moody's had already slashed Greece's credit grade to its lowest level, "C," and so there was no impact on the rating.
MORE
09 March 2012
Leeb - Warren Buffett Desperate & Policymakers Scared to Death
Today acclaimed money manager Stephen Leeb told King World News what the Fed is doing right now is unethical. Leeb also said Warren Buffett is desperate and policymakers are scared to death. Leeb is Chairman & Chief Investment Officer of Leeb Capital Management. Here is what he had to say: “There’s really only one currency in this world and that’s gold, period. You’re going to need gold, eventually, to buy oil, to buy food, to buy real estate. Just those three (assets), if you look at the dollars that are now transacted in all energy, food and real estate, you come up with a number like $36 trillion a year.”
Stephen Leeb continues:
“All of the gold in the world is only worth $9 trillion. Looking forward three to five years, you have to come up with $10,000 gold. You have to. Everything else is being devalued. So you come up with very high targets for gold.”
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Stephen Leeb continues:
“All of the gold in the world is only worth $9 trillion. Looking forward three to five years, you have to come up with $10,000 gold. You have to. Everything else is being devalued. So you come up with very high targets for gold.”
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Jim Sinclair - Central Banks Concerned Gold Will Go Ballistic
Today legendary trader and investor Jim Sinclair told King World News that the Fed has gone too far and risks losing credibility. Sinclair also said the central banks are doing what they can to prevent gold from reaching a level where it begins to go parabolic. Here is what Sinclair had to say about what central planners are up to and what to expect going forward: “Well it’s amazing that we’ve developed such visionaries in the Fed that they know exactly when to step on the accelerator and exactly when to step on the brake. Then, could they please explain how we got to the point where we need that?”
Jim Sinclair continues:
“The other side is, maybe what we are really going to do is a Harley Davidson burnout where nobody can see anything but a cloud of smoke. I think the Fed has gone too far when they speak to people who do understand enough about what makes these things happen, to know this is just, bottom line, fabrication.
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Jim Sinclair continues:
“The other side is, maybe what we are really going to do is a Harley Davidson burnout where nobody can see anything but a cloud of smoke. I think the Fed has gone too far when they speak to people who do understand enough about what makes these things happen, to know this is just, bottom line, fabrication.
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Greyerz: Greek Deal to Collapse Causing Trillions to be Printed
Today Egon von Greyerz told King World News even if a Greek deal is announced, at some point it will collapse. Von Greyerz also said the consequences of the collapse will be massive. Egon von Greyerz is founder and managing partner at Matterhorn Asset Management out of Switzerland. Here is what von Greyerz had to say about what is taking place in Europe and how it will impact gold and silver: “Well, it’s ridiculous. Every few minutes we are seeing a different headline. One second Greece is being saved and the next second the deal is collapsing. Yesterday, for example, three UK banks signed up and that still only leads to 40% acceptance and one of the banks that signed on was Royal Bank of Scotland.”
Egon von Greyerz continues:
“Royal Bank of Scotland is a bankrupt bank that is owned by the British government. This is the bankrupt leading the bankrupt. It’s absolutely ridiculous. If this deal is happening now, it would be a miracle. It could happen, but at some point the deal will collapse anyway.
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Egon von Greyerz continues:
“Royal Bank of Scotland is a bankrupt bank that is owned by the British government. This is the bankrupt leading the bankrupt. It’s absolutely ridiculous. If this deal is happening now, it would be a miracle. It could happen, but at some point the deal will collapse anyway.
MORE
08 March 2012
Keiser Report - Episode 259
Every week Max Keiser looks at all the scandal behind the financial news headlines. In this episode, Max Keiser and co-host Stacy Herbert discuss boating accidents with Shark Boy and Lava Girl and a futures market to lay off your Blythe Masters risk. In the second half of the show, Max talks to Dr. Michael Hudson about Modern Monetary Theory at the University of Missouri, Kansas City, and about...
London Trader - Massive Physical Silver Orders Filled Near $33
With many global investors concerned about the recent action in the silver market, King World News interviewed the “London Trader” to get his take on what has taken place in silver and what to look for going forward. Here is what the source had to say: “The Chinese are divesting out of paper right now. So we are seeing a huge uptick in euro physical silver purchases, as well as dollar silver purchases. When silver took out $33, a huge amount of physical orders were filled.”
The London Trader continues:
“The Chinese are doing the exact same thing in the silver market that they are doing in the gold market, massive accumulation on dips. It is also important to note that the local traders in silver are short and nervous. Everyone is short silver and so that market can move violently higher when it turns.
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The London Trader continues:
“The Chinese are doing the exact same thing in the silver market that they are doing in the gold market, massive accumulation on dips. It is also important to note that the local traders in silver are short and nervous. Everyone is short silver and so that market can move violently higher when it turns.
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Brodsky - US Money Base Will Explode to $15 - $17 Trillion
With tremendous volatility in gold and silver, today KWN wanted to speak with the firm that is calling for $10,000 gold to get their take on what readers should be focused on at this point. Paul Brodsky, who co-founded QB Asset Management Company, had this to say about his firm’s strategy and where he sees things headed: “The macroeconomics behind gold have never been more attractive. When we look at bank assets versus base money, across the world, it makes sense that they (precious metals) are fundamentally cheap.”
Paul Brodsky continues:
“It’s interesting we tend to have these takedowns every so often. When that happens, those of us who truly want to be long-term holders of precious metals see that as a buying opportunity. So when we see paper derivatives taking down the spot prices of gold and silver, we take a look at where we can buy physical (gold & silver) and where we can buy miners, which is, of course, physical in the ground....
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Paul Brodsky continues:
“It’s interesting we tend to have these takedowns every so often. When that happens, those of us who truly want to be long-term holders of precious metals see that as a buying opportunity. So when we see paper derivatives taking down the spot prices of gold and silver, we take a look at where we can buy physical (gold & silver) and where we can buy miners, which is, of course, physical in the ground....
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London Trader - 40+ Tons of Physical Gold Acquired Yesterday
With many global investors still concerned about the price of gold and silver, today King World News interviewed the “London Trader” to get his take on these markets. Here is what the source had to say: “Yesterday when we dropped through $1,700, you would not believe the amount of physical tonnage orders that filled. US centric traders tend to concentrate on the COMEX, but the real market is made in London.”
The London Trader continues:
“The commercials have been covering their short positions and the local traders are all short at this point. All of the guys who were long and vulnerable at the highs, are now short and vulnerable and this exactly what we need to make a bottom.
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The London Trader continues:
“The commercials have been covering their short positions and the local traders are all short at this point. All of the guys who were long and vulnerable at the highs, are now short and vulnerable and this exactly what we need to make a bottom.
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Rick Rule - Gold & Silver Plunge Has Quality Assets on Sale
With extraordinary volatility in gold and silver, today King World News interviewed Rick Rule, CEO of Sprott USA. Rule spoke with KWN about the recent action in gold and silver and what readers should focus on going forward. Here is what Rule had to say: “If you want to be long gold and silver, if you like real currencies as opposed to fiat currencies, you have to like days when you can buy it cheaply. I’ve been around this type of action for 35 years and I suspect, before I shed my mortal coil, I will purchase much more physical gold and silver bullion.”
Rick Rule continues:
“In order to do that I need days like this. People who have less faith in their own precepts and in their own studies might get shaken out by action like this and they might deserve to get shaken out. The reason being given (by the mainstream media) for the downturn in gold and silver is a return of confidence in the US dollar.
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Rick Rule continues:
“In order to do that I need days like this. People who have less faith in their own precepts and in their own studies might get shaken out by action like this and they might deserve to get shaken out. The reason being given (by the mainstream media) for the downturn in gold and silver is a return of confidence in the US dollar.
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07 March 2012
Norcini - Gold & Silver Smashed as Bullion Banks Cover Shorts
With gold and silver plunging, along with stock markets and crude oil, today King World News interviewed legendary Jim Sinclair’s chartist Dan Norcini. Norcini told KWN what we are seeing today in the gold and silver markets is not what most people think: “People will tend to blame this takedown in gold and silver on the bullion banks. Interestingly, I don’t think that’s the case this time, Eric. I think what happened last Wednesday was bullion bank selling related to central bank intervention, when we had that big takedown, which was timed with Bernanke’s Congressional testimony.”
Dan Norcini continues:
“That did get the ball rolling, but once these guys create enough downside momentum and downside support levels are breached, the bullion banks don’t have to do any selling. At that point, the hedge funds and algorithms start to do the selling for them.
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Dan Norcini continues:
“That did get the ball rolling, but once these guys create enough downside momentum and downside support levels are breached, the bullion banks don’t have to do any selling. At that point, the hedge funds and algorithms start to do the selling for them.
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John Embry - Conditions are Deteriorating at an Alarming Rate
With gold down $35 and silver trading $1.25 lower, today John Embry told King World News that current economic conditions around the world are deteriorating rapidly. Embry, Chief Investment Strategist at Sprott Asset Management, also said that in the midst of these deteriorating conditions we are seeing aggressive manipulation. But first, Embry had this to say about what is happening in the gold market: “You are seeing gold take out some short-term technical support levels. I guess the next one of significance is at $1,650. If gold were to take $1,650 out, that would get more of the hedge funds and the algorithm traders shorting.”
John Embry continues:
“But it’s all just paper. I can assure you that there is very little physical gold being sold at distressed levels here. Any transaction in physical is probably being motivated by the buyer who is taking advantage of these low prices.
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John Embry continues:
“But it’s all just paper. I can assure you that there is very little physical gold being sold at distressed levels here. Any transaction in physical is probably being motivated by the buyer who is taking advantage of these low prices.
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06 March 2012
SilverDoctors: Nearly Entire Open Interest in COMEX Silver Trades...
SilverDoctors: Nearly Entire Open Interest in COMEX Silver Trades...: The all-out cartel paper attack on silver continues. We documented last week how the cartel dumped 225 million ounces of paper silver on th...
SilverDoctors: Algo's On! Gold & Silver Update- PM's Raided to 6...
SilverDoctors: Algo's On! Gold & Silver Update- PM's Raided to 6...: Silver is selling off hard again this morning, down over 4% to $32.45 at one point. Perhaps those who continue to believe that silver is a...
Break Up The Banks… ‘Not Going to Happen’ (with Nomi Prins)
According to the FDIC, in 2011, there were no new banks created in the US, making it the first year in decades the country has gone without the establishment of a single start-up lender, according to the Financial Times. We'll also show you a new video from Public Citizen, calling on Bank of America to break up. Nomi Prins, author of "Black Tuesday" discusses.
Richard Russell - A New Golden Age or The New Normal?
With gold holding near the $1,700 level, today the Godfather of newsletter writers, Richard Russell, had this to say about what is happening in the markets and on the streets: “Treasuries provide you with zero or minus yields. So, in general the little guy is stuck with whatever meager money his salary brings in after taxes. And as for savings, well, that's just the dream of a decade ago.”
Richard Russell continues:
“If the little guy is lucky enough to have a real job, he's angry at the big mucky-mucks on Wall Street or at the bankers who are pulling down millions. These guys (the suits) appear on Bloomberg with their green-striped or purple silk ties and talk about Greece or whether auto sales are flat or going a bit higher.
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Richard Russell continues:
“If the little guy is lucky enough to have a real job, he's angry at the big mucky-mucks on Wall Street or at the bankers who are pulling down millions. These guys (the suits) appear on Bloomberg with their green-striped or purple silk ties and talk about Greece or whether auto sales are flat or going a bit higher.
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Fleckenstein - Fears of a Banking Collapse, Dow 13,000 & Gold
Today Bill Fleckenstein, President of Fleckenstein Capital, told King World News the Federal Reserve is totally out of control and thinks nothing of turning the US dollar into confetti. But first, when asked what his biggest concern was going forward, Fleckenstein responded, “The fact that the Europeans have gotten themselves in this mess, where they pretend like they are not going to print money and then they do print money. But they don’t ever print enough to get past this point.”
Bill Fleckenstein continues:
“Nor do they say, ‘Okay, we’re going to actually be a hard currency and suffer the consequences.’ No one is willing to do that in this day and age. So you’ve got this constant distraction of stumbling around in Europe and there is this fear that they will do something really stupid and the banking system will collapse.
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Bill Fleckenstein continues:
“Nor do they say, ‘Okay, we’re going to actually be a hard currency and suffer the consequences.’ No one is willing to do that in this day and age. So you’ve got this constant distraction of stumbling around in Europe and there is this fear that they will do something really stupid and the banking system will collapse.
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Turk - Central Banks Intervened in Gold Out of Desperation
With gold near $1,700 and silver below $34.00, today King World News interviewed James Turk out of Spain. Turk told King World News what level on gold will hold, in the aftermath of the central bank intervention. Here is what Turk had to say about the situation: “We’ve seen this so many times over the past twelve years, Eric. I’m taking last week’s smash in the metals in stride. The fact that central banks chose to intervene when silver had broken out on massive volume and gold was on the verge of a breakout is not surprising. The situation was getting desperate and they had to intervene at that point or things were going to get out of control on the upside.”
James Turk continues:
“For anyone who has been accumulating precious metals over the past twelve years, you have all seen this time and again. But there is an important point to take from this observation, Eric. All of the ham-fisted interventions in the past were eventually overcome, and much higher prices were achieved. I don’t expect this time to be any different from any number of times we have seen this in the past.
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James Turk continues:
“For anyone who has been accumulating precious metals over the past twelve years, you have all seen this time and again. But there is an important point to take from this observation, Eric. All of the ham-fisted interventions in the past were eventually overcome, and much higher prices were achieved. I don’t expect this time to be any different from any number of times we have seen this in the past.
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