Weimar here we come. Zo snel mogelijk uit de dollar stappen, dat is het enige dat de rest van wereld zal afschermen van het Wall-street misdaadsyndicaat want wat we nu meemaken is de controlled demolition van het Amerikaanse rijk en als we niet uitkijken worden we allemaal meegezogen.
Briljant commentaar van Max Keiser, de Kees de Korte van Al Jazeera. Een cynische journalist met heldere inzichten en geen blad voor de mond die misschien wel eens heel erg gelijk kan gaan krijgen…
Ken u het verschil tussen bananen en dollars?
Per brede bek meebrallen
"Financial collapse being used to try to terrorize the population into bailing out billionaires"
filmpje
But it comes at a cost: Citigroup Inc. said it will slash its quarterly dividend in half to 16 cents. It also will dilute existing shareholders by selling $10 billion in common stock to shore up its capital position.
In addition to assuming $53 billion worth of debt, Citigroup will absorb up to $42 billion of losses from Wachovia's $312 billion loan portfolio, with the Federal Deposit Insurance Corp. agreeing to cover any remaining losses. Citigroup also will issue $12 billion in preferred stock and warrants to the FDIC.
(Ed; Here's the punch line) "The government's proposed $700 billion rescue plan for financial institution, being voted on Monday by the House of Representatives, likely will prove of added benefit to Citi.
While the plan broadly aims to prevent banks from profiting on the sale of troubled assets to the government, there is an exception made for assets acquired in a merger or buyout, or from companies that have filed for bankruptcy. This could allow Citigroup to sell toxic mortgages and other assets it gained from Wachovia for a higher price than the bank actually paid for them." ("Citigroup to buy Wachovia banking operations"
Huh?!? So Citi not only gets an army of depositors (the cheapest capital available!) but, at the same time, is going to be able to dump it's mortgage-backed junk on the taxpayer? And, guess what? The JP Morgan deal looks nearly identical.
En:
This is a "real time" meltdown and it requires real solutions, not bailouts for foreign creditors and Wall Street Goliaths. (Foreign victims of this scam will have to sue the perpetrators not the US taxpayer) As Nouriel Roubini, chairman of Roubini Global Economics, points out, we are on the verge of the "mother of all bank runs", a cross-border savaging of reserves that would crash the entire financial system. Here's Roubini on the next shoe to drop:
"The next step of this panic could become the mother of all bank runs, i.e. a run on the trillion dollar plus of the cross border short-term interbank liabilities of the US banking and financial system as foreign banks as starting to worry about the safety of their liquid exposures to US financial institutions; such a silent cross border bank run has already started as foreign banks are worried about the solvency of US banks and are starting to reduce their exposure. And if this run accelerates - as it may now - a total meltdown of the US financial system could occur. We are thus now in a generalized panic mode and back to the risk of a systemic meltdown of the entire financial system. And US and foreign policy authorities seem to be clueless about what needs to be done next. Maybe they should today start with a coordinated 100 bps reduction in policy rates in all the major economies in the world to show that they are starting to seriously recognize and address this rapidly worsening financial crisis." (Nouriel Roubini's EconoMonitor)
It's very clear. The Bank of Shanghai can transfer all of its toxic assets to the Bank of Shanghai of Los Angeles which can then sell them the next day to the Treasury. I had a provision to say if it wasn't owned by an American entity even a subsidiary, but at least an entity in the US, the Treasury can't buy it. It was rejected.
The bill is very clear. Assets now held in China and London can be sold to US entities on Monday and then sold to the Treasury on Tuesday. Paulson has made it clear he will recommend a veto of any bill that contained a clear provision that said if Americans did not own the asset on September 20th that it can't be sold to the Treasury. Hundreds of billions of dollars are going to bail out foreign investors. They know it, they demanded it and the bill has been carefully written to make sure it can happen."
Wat is er gaande in Rusland? De Russische beurs is de laatste weken omlaag gedoken en heel het Russische monetaire systeem is in elkaar geklapt. Hoe kon dit gebeuren? Rusland was tot enkele maanden geleden monetair en militair onoverwinnelijk en had eindelijk met de gewonnen oorlog in Georgië ook militair gezien weer veel zelfvertrouwen gekregen.
We moeten even terug in de geschiedenis. In 2001 was Rusland vrijwel failliet. Het had een schuld van 16,6 miljard bij het door de rijke bankiers gerunde IMF. In enkele jaren, met name dankzij de prijsstijgingen van olie, kon Putin zijn schuld aan de internationale bankiers aflossen. Hij was nu niet meer van hen afhankelijk. Hij gaf ook aan dat Rusland nu op eigen kracht verder zou gaan. Dit was een mededeling die de rijke bankiers, die één wereldorde nastreven, liever niet hoorden. Die hebben liever invloed via geld.
Dat leek in Rusland niet meer mogelijk... Putin wist zelfs Yukos helemaal over te nemen. De familie Rothschild had flinke indirecte bezittingen in die onderneming. Putin leek definitief gewonnen te hebben toen hij ook Yukos nationaliseerde en delen snel doorverkocht.
Wat Putin echter over het hoofd gezien had, was dat de rijke bankiers in de open Russische markt toch weer posities konden opbouwen.
Wat ze vervolgens deden, en dat zagen we de afgelopen weken, is dat ze dat geld bij de eerste zwakte die Rusland liet zien, in een enorme vaart uit de Russische markt trokken. Zo kan iedere markt op haar knieën gedwongen worden, hetgeen dan ook in Rusland gebeurde. De Russische index daalde meer dan 60% en verschillende bedrijven die op basis van hun aandelenbezit leningen hadden uitstaan, staan nu op springen. De Internationale bankiers willen hun invloed in Rusland terug... Tegen elke prijs. Nu de bedrijven op de rand van faillissement staan, staan de internationale bankiers met hun miljarden klaar om Rusland 'te helpen'.
Putin mag een despoot zijn, hij is zo'n beetje de enige (naast Chavez, maar laten we even serieus blijven) die de bankiers het land uit wist te jagen. Nu is voor Rusland te hopen dat het geen tijdelijke vrijheid van de bankiers was.
Vooral Rusland zou nu als eerste land kunnen kiezen voor een nieuwe monetaire orde. Ze zijn al los van de bankiers, dus die horde is al genomen. Nu de volgende stap nog.
Vooral Rusland zou nu als eerste land kunnen kiezen voor een nieuwe monetaire orde. Ze zijn al los van de bankiers, dus die horde is al genomen. Nu de volgende stap nog.
It’s becoming increasingly obvious that people like Henry Paulson, who by the way was one of the most aggressive practitioners of the ABS revolution on Wall Street before becoming Treasury Secretary, are operating on motives beyond their over-proportional sense of greed. Paulson’s own background is interesting in that context. Back in the early 1970’s Paulson started his career working for a rather notorious man named John Erlichman, Nixon’s ruthless adviser who created the Plumbers’ Unit during the Watergate era to silence opponents of the President, and was left by Nixon to ‘twist in the wind’ for it in prison
They had help. In recent testimony under oath by Eric Dinallo, the Superintendent of the New York Insurance Department at the AIG Bailout Oversight Hearing, into the AIG rescue by Paulson, Dinallo testified that funding cutbacks in recent years directed by the Bush-Cheney Administration had reduced the responsible department that should regulate or watch over the $80 trillions in Asset Backed Securities (ABS), which included the toxic sub-prime and Alt-A mortgage securities and much more. The Bush Administration took the staff from more than one hundred people down to one---yes that was not a typo. One as in ‘uno.’
US Goldman Sachs ex CEO Henry Paulson, as Treasury Secretary, is not stupid or incompetent. Quite the oppositie. There is serious ground to believe that he is actually moving according to a well-thought-out long-term strategy. Events as they are now unfolding in the EU tend to confirm that. As one senior European banker put it to me in private discussion, "There is an all-out war going on between the United States and the EU to define the future face of European banking."
In this banker’s view, the ongoing attempt of Italian Prime Minister Silvio Berlusconi and France’s Nicolas Sarkozy to get an EU common ‘fund’, with perhaps upwards of $300 billion to rescue troubled banks, would de facto play directly into Paulson and the US establishment’s long-term strategy, by in effect weakening the banks and repaying US-originated Asset Backed Securities held by EU banks.
Was that just ideological budget cutting fervor, or was it deliberate? Was former Goldman Sachs man, the man who convinced the President to hire Paulson, Bush’s former Director of the Office of Management and Budget (OMB), Joshua Bolten, now the President’s Chief of Staff, responsible for insuring there was no effective government oversight on the exploding securitization of mortgage assets?
Following the stock market meltdown on Black Monday September 15, the Security Exchange Commission (SEC) introduced a temporary ban on short selling. In a bitter irony, the SEC listed a number of companies which were "protected by regulators from short sellers". The SEC September 18 ban on short selling pertained largely to banks, insurance companies and other financial services companies.
The effect of being on a "protected list" was to no avail. It was tantamount to putting those listed companies on a "hit list". If the SEC had implemented a complete and permanent ban on short selling coupled with a freeze on all forms of speculative trade, including index funds and options, this would have contributed to reducing market volatility and dampening the meltdown.
The ban on short selling was applied with a view to establishing the protected list. It expired on Wednesday October 8 at midnight.
The following morning, Thursday 9th of October, when the market opened up, those companies on the "protected list" became "unprotected" and were the first target of the speculative onslaught, leading to a dramatic collapse on of the Dow Jones on Thursday 9th and Friday 10th.
The course of events was entirely predictable. The lifting of the ban on short selling contributed to accentuating the downfall in stock market values. The companies which were on the hit list were the first victims of the speculative onslaught.
The shares of Morgan Stanley dropped 26 percent on October 9th, upon the expiry of the short-selling ban and a further 25 percent the following day.
The next phase of the derivatives wipeout will hit insurance companies and auto makers.
Initially, Standard and Poor's is saying that GM and Ford may very well go bankrupt.
According to financial advisor Mike "Mish" Shedlock, there are appromixately one trillion dollars of credit default swaps for GM.
Max Keiser (pictured above) is Al Jazeera’s finance correspondent. Typical of a member of this terrorist organisation, he now lives in France, a rogue state that has long opposed our war on terror. Even the canucks recognize that Keiser is a untrustworthy troublemaker. Max claims that our economy is “damaged”, but are you really going to believe a man who talks to plastic clowns? Who are you going to believe, rogue reporters like Kaiser or well-known, trusted journalists like Fox News’ Neil Cavuto? Smart investors get their advice from STR.com or Fox.