noworldsystem.com


MSNBC’s Ratigan: The Great Bank Con Job

MSNBC’s Ratigan: The Great Bank Con Job

http://www.youtube.com/watch?v=Gwm0ESZJSRI

 

JPMorgan Instructs Homeowners To Stop Making Payments Then Takes Their Homes

Courthouse News Service
April 6, 2010

JPMorgan Chase instructed homeowners to stop making mortgage payments, as that was the only way to be considered for a loan modification, then repossessed their house when they followed the bank’s advice, a couple claims in Federal Court. “I’ve seen this happen to so many people,” their attorney said. “When they come in here to tell me their story, I can actually tell it to them.”

Faiz and Khadua Jahani sued Morgan Chase and its predecessor, Washington Mutual Bank, on their own behalf and on behalf of the public.

“When they called the 800 number, they were specifically told that as long as they were current on their mortgage they wouldn’t even be considered for a loan modification,” the couple’s attorney, Piotr Reysner, said in an interview.

In their federal complaint, the Jahanis say they contacted the bank in December 2008 “to indicate that they were having trouble paying their mortgage and would like to discuss a possible loan modification.”

The Jahanis say the bank representative told them “that they would not work with plaintiffs at all because they were currently not in breach of their loan terms. Plaintiffs were specifically advised at that time to stop making payments for a period of three months, at which time defendants would consider a loan modification. Plaintiffs were specifically informed that as long as they were current on their mortgage payments, that defendants would not consider a loan modification.

“Reasonably relying on the direction of defendants, plaintiffs stopped making their loan payments. Plaintiffs are informed and believe and thereon allege that defendants immediately reported to the various credit reporting agencies (Equifax, Experian and TransUnion) that plaintiffs were late on their mortgage payments.

“On or about June 23, 2009, defendants sent a letter to plaintiff entitled ‘Notice of Intent to Foreclose,’ indicating that plaintiffs were past due in their mortgage in the amount of $100.65 and that plaintiffs need to bring the account current within 30 days to avoid foreclosure proceedings. No Notice of Default accompanied the letter, nor was any Notice of Default ever served on plaintiffs.”

Months of correspondence between the Jahanis and Chase followed, with the Jahanis repeatedly sending Chase documents it had requested, and Chase repeatedly sending them letters claiming it had not received proper documentation and that their loan modification was “in jeopardy.”

Read Full Story Here

 

Here comes the next bubble – carbon trading

http://www.youtube.com/watch?v=7SFywA_LQuU

 

Why Americans accept getting conned into financial slavery

http://www.youtube.com/watch?v=eWqD_VOympU

 



‘United States’ Means ‘Federal Corporation’

U.S. is a ‘Federal Corporation’ British Crown Colony

http://www.youtube.com/watch?v=LRXS1jlAr5g

 

http://www.youtube.com/watch?v=-0Itvml2mgQ

 



Does the Federal Reserve manipulate the stock market?

Does the Federal Reserve manipulate the stock market?

 



National Guard May Take Over Police Duties in Alabama

National Guard Might Take Over Police Duties in Alabama

Paul Joseph Watson
Prison Planet.com
August 5, 2009

The implementation on martial law in America advanced a step further yesterday when the sheriff of Alabama’s most populous county said he would probably have to bring in National Guard troops to perform law enforcement duties due to budget cuts.

Plans to slash $4.1 million from the budget of Sheriff Mike Hale by Jefferson County commissioners in order to head off a municipal bankruptcy filing were approved by Circuit Judge Joseph L. Boohaker.

“A spokesman for Hale, Randy Christian, said the sheriff told Riley after the ruling that state assistance may be needed to perform basic law enforcement tasks once the department’s current funding is exhausted in early September,” reports the Associated Press.

“We will certainly be looking at calling in the National Guard,” said Christian.

Jefferson County has 640,000 residents and includes the state’s largest city, Birmingham.

Moves to replace traditional law enforcement with National Guard troops have been replicated in other parts of the country, including in Schenectady New York, where budgetary constraints were not even cited as a reason for the changeover.

After a handful of police officers were accused of assaulting citizens, Mayor Brian Stratton proposed declaring martial law and replacing the city’s entire roster of cops with National Guardsmen.

“It may be that as a stopgap measure, that you would need military forces – State Police, National Guard.” the Mayor said.

The use of military assets in civilian law enforcement is still illegal under Posse Comitatus, unless a clear state of emergency exists. The misbehavior of a few cops or the inability of a Sheriff to manage a budget cut does not constitute a state of emergency.

In this context, without the justification of an existing crisis that mandates National Guard intervention, the threat to replace police officers with troops on a whim is a sad reflection of how America is turning into a Soviet style military police state, as law enforcement increasingly shifts over to Homeland Security and Northcom controlled military assets.

 

Possible National Guard Deployment in Alabama Result of Bankster Scam

Kurt Nimmo
Infowars
August 5, 2009

Earlier today, Paul Joseph Watsonn reported on the expected deployment of National Guard troops in Jefferson County, Alabama, to perform law enforcement duties in violation of Posse Comitatus due to budget cuts. “Plans to slash $4.1 million from the budget of Sheriff Mike Hale by Jefferson County commissioners in order to head off a municipal bankruptcy filing were approved by Circuit Judge Joseph L. Boohaker,” Watson wrote.

As it turns out, Jefferson County’s financial woes are a direct result of a bankster derivative scam.

“A few years ago Jefferson County, Alabama bought 17 interest rate swaps from JP Morgan, Lehman Brothers and Bank of America with the intention of hedging interest rate risk,” writes Moe Tkacki for the Business Insider’s Clusterstock. “In a sequence of events that played out in state capitals, city halls, and school and public utility boardrooms throughout the country , Jefferson County officials bought into complex interest rate swap contracts they didn’t understand, at much higher prices than the going rate, only to face hundreds of millions of dollars in sudden collateral calls when the subprime mortgage crisis began.”

Credit default swaps are a mega-scam perpetuated by the major banks. Last year, there was more than 70 trillion dollars in the so-called credit default swap market, a sum larger than the GDP of the world. “If only 1 to 2 percent ’service fee’ were charged in these transactions (which are based on illusory assets), we’re talking nearly three-quarters to one-and-a-half trillion dollars in real term fees being siphoned off (i.e. hijacked from) the global economy for no productive, but merely parasitic, purpose,” writes Zeus Yiamouyiannis. “One thing of which I am convinced, we have just been ripped off trillions of dollars and 700 billion of even real money won’t fix the problem.”

In late 2008, then Treasury Secretary Hank Paulson attempted to cover-up this scam and protect his bankster masters. Now the damage is coming home to roost in places like Jefferson County, Alabama. Expect the rot to spread and troops to be called out in other parts of the country.

It really is a genius plan on the part of our globalist rulers. First, they hijacked the economy with their scam. Second, they created an economic crisis of fantastic proportion (and are now demanding world government as the cure). Third, in response to the social and political disintegration caused by their scam cash-strapped government tells us they have to lay-off the police and send out the troops because “anarchy” will rule if they don’t.

It is problem-reaction-solution on steroids.

For now, reports the Associated Press, “sewer system is still operating normally” — sewers are one of the hallmarks of an advanced civilization — but the county has closed four satellite courthouses and residents are standing in line for hours at the main courthouse to do routine business like renewing car tags.

It doesn’t take much imagination to speculate what will happen when the sewers stop working and normal government operations — fire and ambulance service, county hospitals, trash collection, the maintenance of the public water system, etc. — come crashing to a halt.

Jefferson County will need the National Guard to stop the plebs from revolting.

 

Photo of Combat Vehicles on the Streets of Springfield, Illinois

Infowars
August 3, 2009

On July 30, Infowars reported on an Illinois Army National Guard plan to put Armored Security Vehicles on the streets. “A Springfield-based military police company will be training with a new armored vehicle in the area this week,” the Associated Press reported. “The Illinois Army National Guard says training with the new Armored Security Vehicles will start Thursday and run through Sunday.”

An Infowars reader captured an image of the combat vehicles over the weekend. “Here is a picture of the Illinois National Guard driving the new armored military police vehicles through the streets of Springfield, Illinois.”

Staff Sgt. Daniel Becker told the AP people shouldn’t be afraid of the vechicles. “No, they shouldn’t be afraid — they need to let the idea sink in that it is normal for armed troops to be on the streets. After they get used to military vehicles on the roads, they will need to get accustomed to military checkpoints like the ones in Iraq and Afghanistan,” we wrote at the time.

 



Potential Bailout Cost is $5 Trillion or $43K Per Household

Potential Cost For Bailout is $5 Trillion or $43K Per Household

Steve Watson
Infowars.net
October 15, 2008

The total potential cost of the financial bailout to the U.S. taxpayer is already rapidly approaching $5 trillion, over seven times as much as the meaningless $700 billion bailout bill figure.

Analysts have previously marked out the $5 trillion figure as the actual cost, now those predictions are becoming demonstratively accurate.

Meanwhile, Hank Paulson has defended government intervention, stating “There’s no doubt that the way to get the maximum bang for the taxpayers here was to invest in banks.”

Based on this Reuters summary and the sources linked within the table, here is a breakdown of the bailout’s cost to taxpayers so far.

Bailout Type
Cost To Taxpayers
$300 billion
$250billion
$25 billion
$150 billion
$700 billion+
$29 billion
$200 billion
$85 billion (+ extra request of $35 billion)
$300 billion
$4 billion
$87 billion
$200 billion+
$50 billion
$144 billion
POSSIBLE TOTAL $2.56 trillion+
NUMBER OF HOUSEHOLDS PER
U.S. CENSUS
105,480,101
POSSIBLE COST PER HOUSEHOLD
$24,26

In addition, the U.S. government has said it will temporarily guarantee $1.5 trillion (£856 billion) in new senior debt issued by banks, as well as insure $500 billion (£285 billion) in deposits in non-interest accounts, mainly used by businesses.

These figures take the potential cost to $4.559 trillion+ – or $43, 221 per household.

Furthermore, when you account for the fact that the credit default swap market is around $62 trillion, and that derivatives worldwide are worth between between $1 and $2 quadrillion, the numbers start to become meaningless.

 

Fed To Offer Unlimited Dollars
Bloomberg
October 13, 2008

The U.S. Federal Reserve led an unprecedented push by central banks to flood financial markets with dollars, backing up government efforts to restore confidence in the banking system.

The ECB, the Bank of England and the Swiss central bank will offer unlimited dollar funds in auctions with maturities of seven days, 28 days and 84 days at a fixed interest rate, the Washington-based Fed said today. The Bank of Japan may introduce “similar measures.’’ The dollar declined and some money-market rates fell.

Policy makers from the Group of Seven nations pledged at the weekend to take “all necessary steps’’ to stem a market panic after the MSCI World stock index plunged 20 percent last week. Central banks last week cut interest rates in tandem for the first time since 2001, the U.S. plans to buy $700 billion in distressed assets from banks and in Europe, the U.K. is leading a push to keep lenders afloat with taxpayers’ money.

“By providing unlimited dollar funds they are acting on the back of the G-7 plan to ensure the system is fully liquidized,’’ said Lena Komileva, an economist at Tullet Prebon Plc in London. “We’re going to see even more liquidity provided and more aggressive rate cuts are coming.’’

Read Full Article Here

Banks borrow record $437.5 billion per day from Fed
http://www.reuters.com/article/newsOne/idUSTRE49F97920081017

Millionaire Hedge Fund Trader Thanks Idiot Traders
http://www.guardian.co.uk/business/2008/oct/18/banking-useconomy

Treasury Black Out Key Parts Of Bailout Contracts
http://www.huffingtonpost.com/..136030.html

Wall Street banks in $70bn staff payout
http://www.guardian.co.uk/business/2008/oct/17/executivesalaries-banking

Homeless Numbers Alarming
http://www.usatoday.com/news/nation/2008-10-21-homeless_N.htm

House prices ‘to plummet by 35%’ – the biggest ever fall in Britain
http://www.dailymail.co.uk/news/..–biggest-fall-Britain.html

Royal Bank Of Scotland Nationalized
http://business.timesonline.co…g_and_finance/article4932250.ece

Switzerland Pumps Billions Into Bank System
http://biz.yahoo.com/ap/081016/eu_switzerland_banks.html?printer=1

UBS Gets Bailout From Swiss National Bank
http://www.chicagotribune.com..7,0,4057853.story

Dow Jones Bloodbath Mirroring 1929 Rout
http://www.prisonplanet.com/dow-jones-bloodbath-mirroring-1929-rout.html

Two More Banks Closed By Regulators
http://money…00397x1211373371x1200675175

U.S. Stocks Plunge Most Since Crash of `87 on Recession Concern
http://www.bloomberg.com/apps/news?pid..er=home

Roubini Sees Worst Recession in 40 Years, Rally’s End
http://www.bloomberg.com/apps/news?..efer=home

JPMorgan Responsible for the Destruction of U.S. Financial System
http://www.marketoracle.co.uk/Article6826.html

World May Be Lucky to Get Worst Recession Since 1983
http://www.bloomberg.com..OAeSWBCY&refer=home

Stocks On Track For Worst Year Since 1937
http://www.chron.com/disp/story.mpl/nation/6050283.html

Former Fed chief says U.S. now in recession
http://www.reuters.com/article/newsOne/idUSTRE49D2QB20081014

 



Top contributors to Obama and McCain are big banks

Top contributors to Obama and McCain are big banks

 



U.S. Banking Collapse Was Like Controlled Demolition on 9/11

U.S. Banking Collapse Was Like Controlled Demolition on 9/11

 



Bailout Bill Fails But May Revive And Pass Anyways

Bailout Bill Fails But May Revive And Pass Anyways

Bloomberg
September 30, 2008

The U.S. Senate will try to salvage a $700 billion financial-rescue package after the measure was defeated in the House of Representatives. The lawmakers won’t have a lot of room to negotiate.

While the legislation will need to be tweaked enough to win over reluctant House Republicans, the lawmakers will risk losing votes from Democrats if they veer too far from the delicate compromise that congressional leaders hammered out with the U.S. Treasury.

“They’re not going to totally revamp the bill,’’ said Pete Davis, president of Davis Capital Investment Ideas in Washington, who spoke to House and Senate leaders yesterday. “They’ll make some minor changes and pass it. This is all about political cover.’’

Read Full Article Here

 

Kudlow Schooled: ‘You’ve Become A Socialist – Your Version Of Socialism Is To Bail Out The Rich’

 

Paulson: King Paulson or Convict Paulson

Recent News:

Bank of America to close credit cards for approximately 60% of customers? (by Oct 1)
http://mparent7777-1.livejournal.com/1933222.html

House Clears $25 Billion For Carmakers
http://www.ft.com/cms/s/0/83bfe68c-8a8f-11dd-a76a-0000779fd18c.html

Home builders will ask for $90 billion bailout
http://money.cnn.com/2008/09..ion=2008092608

I’ve watched the economy for 30 years. Now I’m truly scared
http://www.guardian.co…/globaleconomy.creditcrunch

Treasury explains how it came up with $700 billion: We just wanted ‘a really large number.’
http://thinkprogress.org/2008/09/24/treasury-large-number/

Stocks rallied a day after failed $700B wallstreet bailout
http://money.cnn.com/2008..?postversion=2008093009

US will lose superpower status, claims German minister
http://www.telegraph.co.uk/finance/..-superpower-status-crows-Germany.html

$1 Quadrillion of Unregulated Debt At Core of Coming Derivatives Crisis
http://www.americanfreepress.net/html/coming_derivatives_crisis_150.html

China Banks Told To Stop Lending To U.S. Banks
http://www.reuters.com..PEK16693720080925

Refusing Dollar as “World Currency” Inevitable
http://capital.trendaz.com/index.shtml?show=news&newsid=1304435〈=EN

U.S. Heading for Slump, With or Without Bailout
http://www.bloomberg.com/apps/news..efer=home

Putin Promises $50Bln For Banks
http://www.themoscowtimes.com/article/1010/42/371301.htm

Dexia bank gets multi-nation $9.2B bailout
http://biz.yahoo.com/ap/080930/eu_belgium_dexia.html

Home Prices in 20 U.S. Cities Declined 16.3% in July
http://www.bloomberg.com/apps/news?.d=aEyKpTpk90C0&refer=us

 



WaMu: The Biggest Bank Collapse In U.S. History

WaMu: The Biggest Bank Collapse In U.S. History

TOP News
September 26, 2008

In what is being termed as the biggest bank collapse in US history, J.P.Morgan Chase & Co. will acquire massive branch network and troubled assets from Washington Mutual Inc. for $1.9 billion, as per a deal arranged by federal regulators. Under the deal – the latest stunning development in the ongoing credit crisis – J P Morgan Chase will acquire all the banking operations of Washington Mutual, including $307 billion in assets and $188 billion in deposits.

Washington Mutual had been one of the most hard-hit banks during the financial crisis after it bet big, like many of its competitors, on the strength of the housing market – only to see its fortunes sour as housing prices fell. Many analysts were speculating that the endgame for the embattled savings and loan was imminent, particularly after ratings agency downgrades this week, and a freefall in the company’s stock.

As a result of the Washington Mutual acquisition, the New York City-based J P Morgan Chase – after its mid-March acquisition of investment bank, Bear Stearns – will now boast some 5,400 branches in 23 states. “We think it is a great thing for our company,” said Jamie Dimon, J P Morgan Chase Chairman and CEO, in a conference call with investors late Thursday night.

Federal regulators who helped in finalizing the deal said the transition for Washington Mutual customers would be “seamless.” In a statement, FDIC Chairman, Sheila Bair, said: “There will be no interruption in services and bank customers should expect business as usual come Friday morning.”

The acquisition might prompt criticism from J P Morgan Chase rivals about preferential treatment by the government. For instance, no government assistance was extended to Bank of America Corp. in its recently announced purchase of Merrill Lynch. However, in the case of Washington Mutual acquisition, there were presumably other bidders who, in comparison to J P Morgan Chase, offered better deal for the deposits and branches.

The fall of Washington Mutual is the latest turn in a dizzying fortnight that has seen the bankruptcy of Lehman Brothers, the acquisition of Merrill Lynch by Bank of America (BAC, Fortune 500) and the near collapse of insurance giant AIG (AIG, Fortune 500). In fact, Washington Mutual has set a ‘record’ of sorts – it is the 13th bank to fail so far this year, and earns the title of the country’s ‘largest bank failure’ by assets on record, surpassing Continental Illinois’ $40 billion in assets when it failed in May of 1984.

Washington Mutual Is The 13th Bank To Fall This Year
http://www.fdic.gov/bank/individual/failed/banklist.html

 



Bailout: Not $700 Billion, More Like $5 Trillion

Bailout: Not $700 Billion, More Like $5 Trillion

Bei Hu
Bloomberg
September 24, 2008

Treasury Secretary Henry Paulson’s $700 billion plan to buy devalued assets from financial companies is “a joke” because it doesn’t go far enough to calm markets, said Kenichi Ohmae, president of Business Breakthrough Inc.

Ohmae, nicknamed “Mr. Strategy” during his 23 years as a McKinsey & Co. partner, called for a $5 trillion “international facility” to be made available to financial institutions. The system could be modeled on one used by Sweden during its banking crisis in the early 1990s, he said.

“This is a liquidity crisis,” Ohmae said at an investor forum hosted by CLSA Asia-Pacific Markets, the regional broking arm of Credit Agricole SA, in Hong Kong yesterday. “The liquidity has to be so big that people won’t get panicky.”

Paulson’s proposal to remove hard-to-sell assets clogging the financial system marks the broadest intervention since at least the Great Depression. Asian stocks fell today, following U.S. shares lower as investors questioned whether the effort is enough to prevent a recession.

The plan came after the collapse of 158-year-old Lehman Brothers Holdings Inc. and the government takeover of insurer American International Group Inc. caused financial markets to seize up last week. The calamity was the culmination of a year during which the U.S. housing market slump left banks and securities firms with more than $520 billion of asset writedowns and credit losses.

Read Full Article Here

 

NO To The Paulson-Bernanke Derivatives Scam Bailout

Webster G. Tarpley
September 24, 2008

WASHINGTON DC – The grand theft bailout now being rammed through Congress by Treasury Secretary Paulson, Federal Reserve Chairman Bernanke, and other officials of the Bush regime with the help of accomplices Pelosi, Majority Leader Harry Reid, and other parliamentarians is a monstrosity for the ages, combining every hideous feature of monetarism, elitism, oligarchism, and sheer feckless incompetence. It is to all intents and purposes a national suicide note of the United States of America, a contract with the devil that absolutely guarantees irrevocable national decline. For any person of goodwill there can be only one impulse at the present moment, and that is to stop this bailout — to block it, to sabotage it, to bottle it up, to load it with killer amendments, and to do everything legally possible to stop this insane design from going through.

IF MCCAIN VOTES AGAINST THE BAILOUT, HE WILL WIN THE PRESIDENCY

In political terms, McCain is now running well to the left of Obama on this issue, with a much stronger populist profile. McCain has attacked the outrageous greed and corruption of Wall Street. Obama does not dare attack Wall Street, since these are his masters. Obama, sounding like Milton Friedman, only attacks Washington. Obama has said that he will support whatever Paulson demands. That is not a surprise, since Paulson represents Goldman Sachs, and Obama is a wholly owned property of Goldman Sachs, which is his single biggest source of campaign contributions. Obama is a creature of Brzezinski, Soros, and Rockefeller, and without them he has no existence; Obama is an abject Wall Street puppet, an agent of finance capital. This week, both senators will have to decide how they vote on the odious derivatives bailout. Obama will surely vote in favor of it, since this is what Wall Street demands. If McCain votes against it, he will most probably propel himself into the White House on the model of Give ‘Em Hell Harry in 1948. Filthy corrupt Democrats like Schumer are already attacking McCain as the new Huey Long. Huey Long, the Louisiana populist of the 1930s, had many positive features, and we could certainly use a good dose of Huey Long in this country to counteract the elitism, oligarchism, condescension, and arrogant snobbery of foundation operatives like Obama. The bailout is already very unpopular 72% of all voters are opposed to it and it will become more and more hated when it becomes clear that it is also a failure. McCain’s course is clear. Will he have the brains and guts to cross Obama’s T on this vital issue?

PAULSON OF GOLDMAN SACHS, WOULD-BE FINANCE DICTATOR

Paulson is a ruthless and brutal eco-freak usurer who learned his trade at the Goldman Sachs stock-jobbing operation. He is now the leading member of the committee of public safety which rules in Washington, and which includes Gates, Rice, and Mullen. He now demands the astronomical sum of 700 billion dollars for the bailout of mortgage-backed derivatives, collateralized debt obligations, credit default swaps, and other poisonous derivatives. Make no mistake — this is not a bailout of homeowners who are threatened with foreclosure; it is a bailout of the lunatic house of cards which desperate bankers have built on these mortgages using derivatives. The entire crisis is not a crisis of subprime mortgages, it is a crisis of the derivatives bubble which was launched by Wendy Gramm of the Commodities Futures Trading Commission and Greenspan of the Fed with the connivance of Robert Rubin of Goldman Sachs and Citibank, and others in the Clinton administration, some 15 years ago.

These derivatives now amount to a total worldwide notional value that can be estimated between 1 quadrillion and two quadrillion US dollars. This sum is so large that it dwarfs the total value of the entire planet earth and all those who live here. Compared to the cancerous, bloated, and fictitious mass of derivatives which is at the root of this crisis, the $700 billion demanded by politicians, large as this may seem, is nothing but a drop in the bucket. And a drop in the bailout bucket is what it will be. The mass of world derivatives between $1 and $2 quadrillion represents an insatiable black hole which is capable of putting an end, not just to civilization, but the human life itself. The moral choice could not be clearer: humanity will either destroy the derivatives bubble in our time, or the derivatives bubble will surely destroy humanity. Those are the stakes in the current exercise.

Paulson and Bernanke, both lawyers for the Wall Street jackals, lampreys, vultures and hyenas, argue that the public interest demands a bailout of their cronies at Goldman Sachs, Morgan Stanley, J.P. Morgan Chase, Citibank, Bank of America, Wachovia, and the other large money center institutions. Before the American public antes up $700 billion just for openers in the game of genocidal poker which run by the infernal croupiers Paulson and Bernanke, we would be very well advised to examine the veracity of this premise.

Read Full Article Here

 

They Want Mama To Make it All Better! – Congresswoman Marcy Kaptur

 

Rep Defazio On The Bailout Package

Recent News:

Bernanke Admits Bailout is NOT Aimed at Helping Taxpayers
http://georgewashington2.bl..ke-admits-bailout-is-not-aimed-at.html

Real Estate Bigwig Zell Sees 2009 Recession
http://www.cnbc.com/id/26858394

Bailout Is Financial Equivalent Of The Patriot Act
http://www.iht.com/articles/2008/09/23/business/sorkin.php?pass=true

America Versus the Financial Elite
http://georgewashington2.blogspot.com/2008/09/america-versus-financial-elite.html

Fed Acted Like a Liquidity Drug Dealer: Economist
http://www.cnbc.com/id/26848829

’Punish’ those responsible for financial crisis: Sarkozy
http://afp.google.com/article/ALeqM5iQvXaV8mO0SRtfD9FEWqf4Vyrzrg

FBI ‘Probe’ Into Mortgage Giants
http://uk.news.yahoo.com/skynews/20080924/twl-fbi-probe-into-mortgage-giants-3fd0ae9.html

Iran Leader Says American Empire Near Collapse
http://ap.google.com/article/ALeqM5iRcJGft_Pr8uMaY1Bz9ieBSwBNTgD93CMVM80

US Fed throws $30 billion into foreign credit markets
http://afp.google.com/article/ALeqM5itOHJbNrxCHKetPtXIPIbY3TalIQ

China Paper Calls For A New Financial Order Without U.S.
http://www.reuters.com/article/ousiv/idUSPEK4365020080917?sp=true

Top Economist Mishkin: Worse Than the Depression
http://www.cnbc.com/id/26850473

Lehman’s Bankruptcy and the Hidden $138 Billion Bailout of JP Morgan
http://www.cnbc.com/id/26850473

Eveillard Says Gold May Surge as Investors Seek ‘Insurance’
http://www.bloomberg.com/apps/news?pid=20601213&sid=a8L00oInO1YM&refer=home

Wachovia, JPMorgan, Wells Fargo tumble
http://www.reuters.com/article/email/idUSN2231756020080922

Goldman, Morgan Stanley Bring Down Curtain on an Era
Goldman Sachs to be regulated by Fed
Fury at U.S. Lehman Brothers’ staff who could net £1.4bn in bonuses as UK employees face bleak future
Europeans on left and right ridicule U.S. money meltdown
Paulson On Verge Of Historic New Powers
Fed To Supervise Goldman And Morgan

U.S. Economy Collapse News Archive

 



Police Threaten IndyMAC Customers With Arrest

Police Threaten IndyMAC Customers With Arrest

Daily News
July 15, 2008

Police ordered angry customers lined up outside an IndyMac Bank branch to remain calm or face arrest Tuesday as they tried to pull their money on the second day of the failed institution’s federal takeover.

At least three police squad cars showed up early Tuesday as tensions rose outside the San Fernando Valley branch of Pasadena-based IndyMac.

Federal regulators seized Pasadena-based IndyMac on Friday and reopened the bank Monday under the control of the Federal Deposit Insurance Corporation. Deposits to $100,000 are fully insured by the FDIC.

Worried customers with deposits in excess of insured limits flooded IndyMac Bank branches on Monday, demanding to withdraw as much money as they could or get answers about the fate of their funds.

When it was clear some wouldn’t get in before closing, FDIC employees apparently took down names and told them to return Tuesday.

Other customers began lining up at 1:30 a.m. Tuesday, and by dawn, tensions escalated because people on the list were getting priority.

By 8 a.m., about 50 people on the list waited in one line and many more waited in another.

Five people were allowed in at a time.

Customers became infuriated, and police told them they could be arrested if they didn’t remain calm.

Police stood by at some other branches around Southern California but there were no other reports of problems.

 

$1 Billion of uninsured deposits lost in IndyMAC collapse

Scared IndyMAC Customers Demand Their Cash
http://news.yahoo.com/s/ap/20080716/ap_..hV3SphAft82dzYRq61lv24cA

IndyMac depositors line up for cash after seizure
http://www.reuters.com/article/topNews/idUS..pNews&rpc=22&sp=true

FBI looking into fraud at IndyMac Bancorp
http://www.azcentral.com/news/artic..mortgage-investigation0716-ON.html

Merill Lynch Posts Loss Of $4.6 Billion
http://news.yahoo.com/s/afp/2..gVyF2eFsdB6zZUjUSc5tL2oOrgF

Bank Shares Plummet Amid Stability Fears
http://biz.yahoo.com/rb/080714/financial_shares.html?printer=1

Banks hit by fallout from the crisis at IndyMac
http://www.latimes.com/business/la-fi-indymac15-2008jul15,0,431088.story

List Of Troubled Banks Worries Wall Street
http://abcnews.go.com/Blotter/story?id=5374205

JP Morgan CEO: ’We’re very early in the loss curve’
http://www.housingwire.com/2008/07/..mon-prime-mortgages-look-terrible/

 



Bilderberg Plans Microchip Implant Campaign in America


Secret Bilderberg Agenda To Microchip Americans Leaked
Elitists want to microchip Americans in name of fighting terrorism, Europeans universally opposed to attack on Iran, Globalists fear oil prices rising too quickly

Paul Joseph Watson
Prison Planet
June 10, 2008

Sources from inside the 2008 Bilderberg meeting have leaked the details of what elitists were discussing in Chantilly Virginia last week and the talking points were ominous – a plan to microchip Americans under the pretext of fighting terrorist groups which will be identified as blonde haired, blue eyed westerners.

Veteran Bilderberg sleuth Jim Tucker relies on sources who regularly attend Bilderberg as aides and assistants but who are not Bilderberg members themselves. The information they provided this year is bone-chilling for those who have tracked the development of the plan to make the general public consider implanted microchips as a convenience as routine as credit cards.

“Under the heading of resisting terrorism there were points made about how the terrorist organizations are recruiting people who do not look like terrorists – blonde, blue eyed boys – they’re searching hard for those types to become the new mad bombers,” said Tucker

As we have documented, the blue eyed blonde haired Al-Qaeda line is a familiar talking point that has been pushed on Fox News and within other Neo-Con circles in an attempt to turn the anti-terror apparatus around to target dissidents, protesters and the American people in general.

Ominously, Tucker’s source also told him that Bilderberg were discussing the microchipping of humans on a mass scale, which would be introduced under the pretext of fighting terrorism whereby the “good guys” would be allowed to travel freely from airports so long as their microchip could be scanned and the information stored in a database.

Tucker said the idea was also sold on the basis that it would help hospital staff treat a patient in an emergency situation because a scan of the chip would provide instantaneous access to health details.

Tucker underscored that Bilderberg were talking about subdermally implanted chips and not merely RFID chips contained in clothing. The discussion took place in a main conference hall and was part of the agenda, not an off-hand remark in the hotel bar.

Such a bizarre concept may seem unbelievable to some, but over the last ten years there have been dozens of examples of people accepting implanted chips for a variety of different reasons.

In 2004, Mexico’s attorney general and 160 of his office staff were implanted with tracker chips to control access to to secure areas of their headquarters.

The Baja Beach Club in Barcelona and other nightclubs around the world are already offering implantable chips to customers who want to pay for drinks with the wave of a hand and also get access to VIP areas of the club lounge.

Bilderberg skeptical of attack on Iran

Tucker’s source told him that Secretary of Defense Robert Gates did attend Bilderberg despite him not appearing on the official list.

Tucker said that his sources told him Gates was in attendance to present his case for war with Iran, but that the majority of Bilderberg members were against an attack at this time.

“The Europeans were generally opposed to an invasion of Iran – Gates made the regular war propaganda drill about how Iran is a nuclear threat to everybody,” said Tucker, adding that European Bilderbergers made snide comments about where such nuclear weapons actually were being kept and at one point joking that they were possibly “in Saddam Hussein’s tomb”.

Despite Bilderberg opposition, Tucker said that the administration was still considering an attack before Bush leaves office in January.

“At least 90 per cent of the Europeans oppose a war, probably closer to 100 per cent,” said Tucker, adding, “most of the Americans were passive and deferential to the Secretary of Defense and Condoleezza Rice’s pitch in so far as Iran is concerned”.

Tucker said that most Americans present at the meeting were opposed to attacking Iran but dare not be as visible and loud in their opposition as the Europeans.

Energy and oil prices

“One of the Bilderberg boys raised this question – should we put a lid on the rise in oil prices, are we reaching the point of diminishing returns,” said Tucker, adding that Bilderberg noted how Americans were trading in their SUV’s in record numbers for small and more fuel efficient cars and using more public transport to combat high gas prices.

Tucker’s source said that Bilderberg were predicting $5 for a gallon of gas by the end of this summer and oil over $150 dollars a barrel, but that this was a ceiling and oil prices would probably begin to decline thereafter because they thought the acceleration had happened too quickly.

As we previously reported, Bilderberg called for oil prices to soar in 2005 when oil was a mere $40 a barrel.

During the conference in Germany, Henry Kissinger told his fellow attendees that the elite had resolved to ensure that oil prices would double over the course of the next 12-24 months, which is exactly what happened.

During their 2006 meeting in Ottawa Canada, Bilderberg agreed to push for $105 a barrel before the end of 2008. With that target having been smashed months ago, the acceleration towards $150 is outstripping even Bilderberg’s goal, which is why the elitists expressed a desire to cool prices at least in the short term.

Just two days after he left Bilderberg, Fed Chairman Ben Bernanke, George W. Bush and others expressed support for a strong dollar and Bernanke hinted that interest rates could rise, which immediately caused oil prices to drop in line with Bilderberg’s consensus.

 

Rice Formalized Missile Defense Policy At BilderbergSecretary of State discussed radar treaty with Czech Foreign Minister

Paul Joseph Watson
Prison Planet
June 12, 2008

U.S. Secretary of State Condoleezza Rice moved the U.S. missile defense shield agenda a step forward during her attendance at the Bilderberg meeting last week, during which she formalized plans to sign a treaty on installing a U.S. radar base in the Czech Republic with Czech Foreign Minister Karel Schwarzenberg.

The news underscores the fact that important policy decisions are advanced at Bilderberg and that the event is not an insignificant talking shop, as debunkers often claim.

Reports out of both Czech newspapers and Chinese sources confirm that Rice formalized the policy at Bilderberg.

“U.S. Secretary of State of Condoleezza Rice has confirmed she will fly to Prague in early July to sign two U.S.- Czech treaties on the installation of a radar base on the Czech soil, the Czech daily Pravo said Tuesday,” reports Xinhua.

“According to the paper, Rice confirmed her plan to Schwarzenberg at the Bilderberg conference in Chantilly, Virginia, last week.”

“Bilderberg Club, also called the “Group of the Powerful,” is an informal invitation-only organization of politicians, representatives of the military and industrial complex, bankers and businessmen. Schwarzenberg was the only Czech participant in this year’s forum,” according to the report.

The prospect of the radar base, along with the planned installation of an interceptor missile base in Poland, has infuriated the Russians who believe the program is aimed at countering the Kremlin as well as Chinese military dominance, and not as a means of defending against Iranian nuclear ambitions as the U.S. claims.

In response to U.S. aggression, Russia has resumed long-range bomber patrols over the Atlantic which were mothballed at the end of the Cold War. NATO warplanes have intercepted Russian Bear Bombers on numerous occasions.

In February, Russia’s military chief of staff General Yuri Baluyevsky (pictured left) threatened to use nuclear weapons to defend Russia should an attack on Iran put the Kremlin in the line of fire.

In November last year, Baluyevsky dubbed America “evil” while cautioning that the “insidious” U.S. missile defense shield weapons system has nothing to do with countering Iran and is aimed squarely at Moscow.

“If the Americans deploy the radar by 2011 and anti-ballistic missiles by 2012-2013, they will certainly be directed against Russia, and we can easily prove it,” Baluyevsky told Russia Today.

“Today, there is no need to be afraid of the Russian Armed Forces. However, I do not believe that the Russian military is obliged to defend the world from the evil Americans,” he added.

 

Washington Post Mentions Bilderberg & Bohemian Grove

Washington Post
June 13, 2008

It was a quintessentially Washington moment:

There, in the Ritz-Carlton ballroom Monday, stood Vernon Jordan — the political insider, corporate networker and financial rainmaker, tall and impeccably turned out — presiding over his last meeting as head of the Economic Club of Washington.

During his four-year tenure, Jordan had used his incomparable connections to bring the heads of J.P. Morgan Chase, Kohlberg Kravis Roberts, American Express, Pfizer and General Electric, along with the secretary of the Treasury, the chairman of the Federal Reserve and the president of the United States, to speak to 400 of the city’s top business executives.

Now, for his final act, Jordan had reached beyond the Old Economy establishment and snared the chief executive of Google, the hottest company on the planet. Jordan had met Eric Schmidt the year before at Bilderberg, the super-secret gathering that falls between Davos and Bohemian Grove on the calendars of the global elite. By the end of that three-day meeting in Istanbul, Jordan had snared his final speaker.

Depending on your point of view, Jordan represents everything that is right or wrong with Washington.

To the cynical and conspiratorial, Jordan epitomizes the clubby and back-scratching Washington power broker, an amoral fixer who uses his web of connections to enrich himself and his clients while corrupting the political process.

Read Full Article Here

Iran Threatened After Gates Bilderberg Visit
http://www.prisonplanet.com/articles/june2008/061008_iran_threatened.htm

Kaine, elected leaders and the mystery of Bilderberg
http://www.loudountimes.com/blogs/..rs-and-mystery-bilderberg/

Bilderberg Seeks Bank Centralization Agenda
http://www.roguegovernment.com/news.php?id=9845

Canadian Powerbrokers at Bilderberg
http://www.embassymag.ca/html/index..8/june/11/chatterhouse/

 



US paying allies to fight war in Iraq

US paying allies to fight war in Iraq

Times of India
May 31, 2008

The tale of massive fraud and embezzlement of millions of dollars by the US military in its operations in Iraq continues. Testifying before the US Congress Committee on Oversight and Government Reform on 22 May, Mary Ugone, deputy inspector general of accounts in the Pentagon said that an audit of $8.2 billion spending related to the Iraq war showed that $7.8 billion had been improperly spent.

Over 180,000 payments, mostly since the war started in 2003, were made by the defense department to contractors for everything from bottled water to vehicles to transportation services.

In her testimony, Ugone also revealed that $135 million were given to forces from three countries UK, South Korea and Poland to facilitate their participation in the war. This is the first time that the US has officially admitted paying its allies in the so-called Coalition of the Willing that invaded Iraq in March 2003.

In his opening statement, Henry Waxman, chairman of the committee, said that wounded soldiers are getting notices from the Pentagon to return signing bonuses with interest since they had not completed the full term. “There is something very wrong when our wounded troops have to fill out forms in triplicate for meal money while billions of dollars in cash are handed out in Iraq with no accountability,” he said.

In an earlier report released in November 2007, the Inspector General had concluded that the Defense Department couldn’t properly account for over $5 billion in taxpayer funds spent in support of the Iraq Security Forces. It said that thousands of weapons, including assault rifles, machine guns, and rocket-propelled grenade launchers were unaccounted for, and millions of dollars had been squandered on construction projects that did not exist.

Ugones testimony gave detailed examples of the bizarre manner in which US defense officials doled out huge amounts of money without recording where it was going. In one case a sum of $320 million was paid an Iraqi official for paying salaries with only an incompletely filled voucher signed by one official. Since no details of the spending plan were attached as required by Pentagon rules the auditors have no clue as to where the money went. This payment was made from assets seized from Iraq.

Auditors found that the Pentagon gave away $1.8 billion from seized Iraqi assets. There were 53 vouchers noting these payments but not even one adequately explained where the money went.

In another instance, two vouchers, one for $5 million and the other for $2.7 million showed payments to a vendor for goods and services provided except that there were no details of what goods or services were actually delivered.

Over $2.7 billion was spent on providing equipment and services to the Iraqi Security Forces (ISF). The auditors found that $2 billion of this was not properly accounted for. For example, 31 heavy tracked recovery vehicles costing $10.2 million were given to the ISF, but 18 of them could not be traced because identification numbers were not recorded.

 

US Paying Sunni Insurgents Not to Kill Troops

Antiwar
February 19, 2008

It is impossible to keep up with all the Bush regime’s lies. There are simply too many. Among the recent crop, one of the biggest is that the “surge” is working.

Launched last year, the “surge” was the extra 20,000-30,000 U.S. troops sent to Iraq. These few extra troops, Americans were told, would finally supply the necessary forces to pacify Iraq.

This claim never made any sense. The extra troops didn’t raise the total number of U.S. soldiers to more than one-third the number every expert has said is necessary in order to successfully occupy Iraq.

The real purpose of the “surge” was to hide another deception. The Bush regime is paying Sunni insurgents $800,000 a day not to attack U.S. forces. That’s right, 80,000 members of an “Awakening group,” the “Sons of Iraq,” a newly formed “U.S.-allied security force” consisting of Sunni insurgents, are being paid $10 a day each not to attack U.S. troops. Allegedly, the Sons of Iraq are now at work fighting al-Qaeda.

This is a much cheaper way to fight a war. We can only wonder why Bush didn’t figure it out sooner.

The “surge” was also timed to take account of the near completion of neighborhood cleansing. Most of the violence in Iraq during the past five years has resulted from Sunnis and Shi’ites driving each other out of mixed neighborhoods. Had the two groups been capable of uniting against the U.S. troops, the U.S. would have been driven out of Iraq long ago. Instead, the Iraqis slaughtered each other and fought the Americans in their spare time.

In other words, the “surge” has had nothing to do with any decline in violence.

With the Sunni insurgents now on Uncle Sam’s payroll, with neighborhoods segregated, and with Sadr’s militia standing down, it is unclear who is still responsible for ongoing violence other than U.S. troops themselves. Somebody must still be fighting, however, because the U.S. is still conducting air strikes and is still unable to tell friend from foe.

On Feb. 16, the Los Angeles Times reported that a U.S. air strike managed to kill nine Iraqi civilians and three Sons of Iraq.

The Sunnis are abandoning their posts in protest, demanding an end to “errant” U.S. air strikes. Obviously, the Sunnis see an opportunity to increase their daily pay for not attacking Americans. Soon they will have consultants advising them how much they can demand in bribes before it pays the Americans to begin fighting the war under the old terms. If Sunnis are smart, they will split the gains. Currently, the Sunnis are getting shafted. They are only collecting $800,000 of the $275,000,000 it costs the U.S. to fight the war for one day. That’s only about three-tenths of one percent, too much of a one-sided deal for the Americans.

If the Sunnis negotiate their cut to between one-quarter and one-half of the daily cost to the U.S. of the war, the Sunnis won’t need to share in the oil revenues, thus helping the three factions to get back together as a country. Even 20 percent of the daily cost of the war would be a good deal for the Sunnis. A long-term contract in this range would be expensive for Uncle Sam, but a great deal cheaper than John McCain’s commitment to a 100-year Iraqi war.

If Bush’s war turns out to be as big a boon for the Sunnis as it has for Tony Blair, we might have a modern-day version of The Mouse That Roared – a movie about an impoverished country that attacked the U.S. in order to be defeated and receive foreign aid – only this time the money comes as a payoff for not fighting the occupiers.

As the world now knows, Blair’s “dodgy dossier” about the threat allegedly posed by Iraq was a contrivance that allowed Blair to put British troops at the service of Bush’s aggression in the Middle East. Now that Blair is out of his prime minister job, he has been rewarded with millions of dollars in sinecures from financial firms such as JP Morgan and millions more in speaking engagements. As part of the payoff, the Bush Republicans have even put Mrs. Blair on the lucrative lecture circuit.

Ask yourself, do you really think Blair knows enough high finance to be of any value as an adviser to JP Morgan, or enough about climate change to advise Zurich Financial on the subject? Do you really believe that after hearing all the vacuous speeches Blair has delivered in those many years in office anyone now wants to pay him huge fees to hear him give a speech? Even when it was free, people were sick of it.

Blair is simply collecting his payoff for selling out his country and sending British troops to die for American hegemony.

The Sunnis seem inclined to do the same thing if Bush will pay them enough.

Is the next phase of the Iraq war going to be a U.S.-Sunni alliance against the Shi’ites?

 



Federal Reserve Plans To Nationalize All US Banks

Federal Reserve Plans To Nationalize All US Banks

Telegraph
March 31, 2008

The US Federal Reserve is examining the Nordic bank nationalisations of the 1990s as a possible interim solution to the US financial crisis…

The Fed has been criticised for its rescue of Bear Stearns, which critics say has degenerated into a taxpayer gift to rich bankers…

A senior official at one of the Scandinavian central banks told The Daily Telegraph that Fed strategists had stepped up contacts to learn how Norway, Sweden and Finland managed their traumatic crisis from 1991 to 1993, which brought the region’s economy to its knees…

It is understood that Fed vice-chairman Don Kohn remains very concerned by the depth of the US crisis and is eyeing the Nordic approach for contingency options…

Scandinavia’s bank rescue proved successful and is now a model for central bankers, unlike Japan’s drawn-out response, where ailing banks were propped up in a half-public limbo for years…

While the responses varied in each Nordic country, there a was major effort to avoid the sort of “moral hazard” that has bedevilled efforts by the Fed and the Bank of England in trying to stabilise their banking systems…

Norway ensured that shareholders of insolvent lenders received nothing and the senior management was entirely purged. Two of the country’s top four banks – Christiania Bank and Fokus – were seized by force majeure…

“We were determined not to get caught in the game we’ve seen with Bear Stearns where shareholders make money out of the rescue,” said one Norwegian adviser…

“The law was amended so that we could take 100pc control of any bank where its equity had fallen below zero. Shareholders were left with nothing. It was very controversial,” he said…

Stefan Ingves, governor of Sweden’s Riksbank, said his country passed an act so it could seize banks where the capital adequacy ratio had fallen below 2pc. Efforts were also made to protect against “blackmail” by shareholders…

Mr Ingves said there were parallels with the US crisis, citing the use of off-balance sheet vehicles to speculate on property. All the Nordic banks were nursed back to health and refloated or merged…

The tough policies contrast with the Fed’s bail-out of Bear Stearns, where shareholders forced JP Morgan to increase its Fed-led rescue offer from $2 to $10 a share. Christopher Wood, chief strategist at brokers CLSA, says the Fed’s piecemeal approach has led to “appalling moral hazard”…

“Shareholders have been able to lobby for a higher share price only because the Fed took over the credit risk on $30bn of the investment bank’s dubious paper. The whole affair also amounts to a colossal subsidy for JP Morgan,” he said…

 

Federal Reserve SWAT Teams To Police The Economy?

NY Times
March 3, 2008

WASHINGTON — The Treasury Department will propose on Monday that Congress give the Federal Reserve broad new authority to oversee financial market stability, in effect allowing it to send SWAT teams into any corner of the industry or any institution that might pose a risk to the overall system.

[…]

Under the Treasury proposal, Fed officials would be allowed to examine the practices and even the internal bookkeeping of brokerage firms, hedge funds, commodity-trading exchanges and any other institution that might pose a risk to the overall financial system.

Read Full Article Here

 

Real Estate Price Collapse, Paradise Lost in SW Florida

http://www.youtube.com/watch?v=VgTdxEGauok

 

Recession: The Movie – Now playing everywhere

http://www.youtube.com/watch?v=x4OOCReeLWo

Recent News:
U.S. & UK To Deal With Financial Crisis
http://www.ft.com/cms/s/0/991194..000077b07658.html?nclick_check=1

Fed Bailout Of Bear Streans Looks Like Investment
http://www.businessweek.com/..4/b4078000069548.htm

German watchdog eyes $600 bln global bank losses: report
http://biz.yahoo.com/rb/080329/germany_banks_losses.html?.v=1

Weak dollar not at odds with policy: ex-US official
http://www.reuters.com/article/ousiv/idUSHKG3018120080331

Dollar Falls to Near Record Low Against Euro on Inflation Data
http://www.bloomberg.com/apps/news?pi..4V7YusRk&refer=japan

Market Plunges, Fed Acts
http://norris.blogs.nytimes.com/2008/03/31/market-plunges-fed-acts/

Paulson Claims Stimulus To Create 600K Jobs
http://news.yahoo.com/s/nm/2008.._nNh3mLV3UPKb.HQA

Paulson warns US house prices must plunge; Orders for Durable Goods in U.S. Unexpectedly Fell
http://business.timesonline.co.uk/tol/b.._finance/article3627054.ece

Paulson Backs Regulatory Overhaul, Broader Fed Role
http://www.bloomberg.com/apps/new..sid=a9LEWNdBhrf8&refer=home

Is Cheney betting on Economic Collapse?
http://www.informationclearinghouse.info/article13851.htm

Fed Auctions Another $50 Billion To Banks
http://news.yahoo.com/s/ap/200..vxGaVFf7P_qKL62bAV9mpv24cA

Paulson To Visit China Next Week
One In Six West Virginians On Food Stamps
Bush: Rebate Checks Will Make Economy ‘Stronger Than Ever Before’
Eurozone Struggles With Inflation
USA 2008: The Great Depression
Fed Official: U.S. Slipping Into Recession
Investment Firms Tap Fed For Billions

U.S. Economic Collapse News Archive

 



Red flags in Bear Stearns’ collapse

Bear Stearns Collapses, Sold to JP Morgan at $2/Share

Depression2.tv
March 17, 2008

Last Friday we got a taste of what the future is likely to be like as we make our way further into the belly of the second great depression. The Fed rushed to bail out a venerable Wall Street institution, which was rumored to be insolvent. Sunday evening, that rumor was confirmed to be true, as Bear Stearns agreed to sell itself to JP Morgan for a paltry $2 per share. Two dollars! This for a firm that was trading at $170 just over a year ago, and was as high as $54 just Friday! If Bear Stearns is only worth $2 per share, how can we possibly say with any confidence what other “investment banks” are worth?

While this bankruptcy comes as a shock to nearly everyone, it should be a surprise to no one. The global financial system has been teetering on a precipice for years if not decades, pumped up by unsustainable amounts of debt at every level of the economy, and is primed for a crash. That the crash has been postponed countless times by even easier money lent to yet poorer credit risks has served only to instill a false sense of confidence in markets and to magnify the impending calamity that seems finally to be at hand. Warnings that have been sounded on websites such as this one appear finally to be coming true, as confirmed by none-other than the venerable Wall Street Journal in a front page article titled, “Debt Reckoning: US Receives a Margin Call.”

The US is at the receiving end of a massive margin call: Across the economy, wary lenders are demanding that borrowers put up more collateral or sell assets to reduce debts.

The unfolding financial crisis – one that began with bad bets on securities backed by subprime mortgages, then sparked a tightening of credit between big banks – appears to be broadening further. For years, the US economy has been borrowing from cash rich lenders from Asia to the Middle East. American firms and household have enjoyed readily available credit at easy terms, even for risky bets. No longer.

Did you ever think news like that would ever make it off the internet and into the pages of the Wall Street J? Even I was beginning to have my doubts. But the news is seeping even further into the mainstream. This week’s Time Magazine has an article titled “10 Ideas that are Changing the World.” Idea 8 is “The New Austerity:”

Americans simply don’t have enough money to pay back the mortgage and credit-card debt they’ve run up. That reality is forcing banks to retrench as loans gone bad shrink their capital bases and falling house prices shrink the collateral that homeowners can borrow against. And it will presumably force chastened consumers to change their ways as well.

Americans simply don’t have enough money… What does it mean? It means defaults, economic loss and a spiral of fear and more loss. It means more Bear Stearns. Time’s article quotes David Rosenberg, an economist at Merrill Lynch: “I’m not saying we’re going back to our parents’ level of frugality, but what we have witnessed in the past 20 to 30 years – and especially the parabolic credit growth of the last five years – is going to be bursting in the next decade.” If not back to our parents’ level of frugality, then what? To our grandparents’ level? How can anything less be avoided, in an era when most people are already working full speed, maxed-out and yet still need credit to survive? And now they’re cutting off the credit!? The result for households will be the same as for Bear – massive liquidation. And the Fed is in no position to do anything about it. The Fed is currently operating in triage mode – desperately trying to aid the banks and save the global financial system as we know it. But what ammunition does the Fed have to save the average American working stiff, who is up to his eyeballs in debt?

Read Full Article Here

 

Wall Street fears for next Great Depression

London Independent

March 16, 2008

Wall Street is bracing itself for another week of roller-coaster trading after more than $300bn (£150bn) was wiped off the US equity markets on Friday following the emergency funding package put together by the Federal Reserve and JPMorgan Chase to rescue Bear Stearns.

One UK economist warned that the world is now close to a 1930s-like Great Depression, while New York traders said they had never experienced such fear. The Fed’s emergency funding procedure was first used in the Depression and has rarely been used since.

A Goldman Sachs trader in New York said: “Everyone is in a total state of shock, aghast at what is happening. No one wants to talk, let alone deal; we’re just standing by waiting. Everyone is nervous about what is going to emerge when trading starts tomorrow.”

In the UK, Michael Taylor, a senior market strategist at Lombard, the economics consultancy, said on Friday night: “We have all been talking about a 1970s-style crisis but as each day goes by this looks more like the 1930s. No one has any clue as to where this is going to end; it’s a self-feeding disaster.” Mr Taylor, who had been relatively optimistic, has turned bearish: “It really does look as though the UK is now heading for a recession. The credit-crunch means that even if the Bank of England cuts rates again, the banks are in such a bad way they are unlikely to pass cuts on.”

Mr Taylor added that he expects a sharp downturn in the real UK economy as the public and companies stop borrowing. “We have never seen anything like this before. This is new territory for us. Liquidity is being pumped into the system but the banks are not taking any notice. This is all about confidence. The more the central banks do, the more the banks seem to ignore what’s going on.”

Read Full Article Here

 

Bear Stearns Rescue Is `Finger in Dike,’ Scholars Say

Bloomberg
March 17, 2008

With Bear Stearns Cos.’ temporary rescue in place, the $200 billion subprime crisis joins the history of government bailouts to preserve jobs, homes and savings when economic disaster looms.

Ever since Treasury Secretary William Gibbs McAdoo shut the New York Stock Exchange for four months in 1914, to prevent foreign investors from cashing out and throwing the U.S. into financial chaos at the outset of World War I, American policy makers routinely have suspended their support for free markets when confronted by economic peril.

“I think the systemic risks dominate right now, which means you’ve got to put your finger in the dike,’’ says William Silber, a finance professor at New York University’s Stern School of Business. He is the author of “When Washington Shut Down Wall Street: The Great Financial Crisis of 1914 and the Origins of America’s Monetary Supremacy’’ (Princeton University Press, 232 pages, $27.95).

Bailouts can buy time while policy makers try to defuse panic. Last week, the Federal Reserve Bank of New York provided financial support for Bear Stearns, the fifth-largest U.S. securities firm. It faced eroding investor confidence in the fallout from losses related to securities based on mortgages to the least creditworthy borrowers.

Bear Stearns executives were striving today to strike an agreement to sell the firm to JPMorgan Chase & Co. before financial markets open tomorrow, people with knowledge of the talks said.

Read Full Article Here

Stunned Bear Stearns investors eye legal claims
http://news.yahoo.com/s/nm/20080317/us_nm/bearstearns_lawsuits_dc

Banks Face New World Order Consolidation
http://www.reuters.com/artic..743541720080317?sp=true

Stocks Widely Mixed on Bear Stearns News
http://biz.yahoo.com/ap/080317/wall_street.html

 



Fed acts Sunday to prevent global bank run Monday

Fed acts Sunday to prevent global bank run Monday

MarketWatch
March 17, 2008

Acting quickly to prevent a run on major global financial firms, the Federal Reserve cut its discount rate by a quarter percentage point to 3.25% and offered to lend money to a longer list of firms than ever before.

The extraordinary weekend moves came as J.P. Morgan Chase sealed a deal to buy Bear Stearns Cos. for just $2 a share backed by up to $30 billion borrowed from the Fed. The Fed board gave its approval to that unique funding arrangement, which guarantees JP Morgan against losses from buying Bear. See full story.

The Fed board also approved the creation of a special lending facility through the New York Fed that would be available to members of its primary dealers list, which includes both commercial banks and investment banks. Investment banks, such as Bear Stearns, have not been allowed to borrow directly from the Fed.

Read Full Article Here

US Federal Reserve Cuts Rates, Asian Stocks Sharply Lower
http://voanews.com/english/2008-03-17-voa6.cfm

Dollar Doomsayers Draw Signs From Bernanke Rate Cuts
http://www.bloomberg.com/a..087&sid=aS87YcPKuDDE&refer=worldwide

 



Gold Hit Record $1,033, Oil $112, Euro $1.59

noworldsystem.com note: Immediately after the fed announced the 3.25% cut, gold dramatically hit record lows of around $1004 but the trend right now (Mar 17, 2008 10:57 AM NY Time) is $1013, and is gradually going up, get live quotes for gold! This can get really ugly. . .
Gold futures ease back off $1,033 record

Market Watch
March 17, 2008

Gold futures hit a new record on Monday of nearly $1,034 an ounce before edging back down after the Federal Reserve cut the discount rate by a quarter of a percentage point after JP Morgan Chase & Co. agreed to buy the troubled investment bank, Bear Stearns.

Gold for April delivery stood lately at $1,009.40 in the Comex Division in the New York Mercantile Exchange, after hitting high of $1,033.90 an ounce. Bullion gained 3.4 percent.

The benchmark contract closed Friday’s session at $999.50 an ounce on the New York Mercantile Exchange.

“We believe there is a derivative play being unwound,” said Johnathan Barratt, managing director of Sydney-based Commodity Broking Services.

Read Full Article Here

 

Oil hits record near $112 as dollar slumps

Herald Tribune

March 17, 2008

Oil rose to a record near $112 on Monday as a surprise weekend cut in the Federal Reserve discount rate and the sale of stricken U.S. investment bank Bear Stearns sent the dollar to all-time lows.

U.S. crude for April hit a fresh high of $111.80 a barrel. It was trading $1.15 up at $111.36 a barrel by 9:15 a.m.

May London Brent crude was $1.28 higher at $107.48.

“The recent oil prices have been swayed by the currency moves, including this latest rally to a record,” said Tony Nunan, risk management executive at Tokyo-based Mitsubishi. “The dollar weakness is the factor at the moment.”

 

Euro touches $1.59, Current Price $1.57

RTE Business

March 17, 2008

The dollar plunged to a fresh record low against the euro this morning as fears about the health of the US economy escalated.

Dealers said an emergency rate cut by the US Federal Reserve only added to the sense of crisis after the near-collapse of US bank Bear Stearns.

The euro struck a new peak of $1.5905 in Tokyo, up from $1.5669 late on Friday in New York. It later slipped back to $1.5770 in volatile European trading amid speculation that central banks could step in to halt the dollar’s decline.

The euro also moved above 78p against sterling.

IMF Tells States To Plan For The Worst
http://www.ft.com/cms/s/0/682..00779fd2ac.html?nclick_check=1

Gas Not Alone — Food Prices Way Up, Too
http://www.cbsnews.com/stories/2008/03/..merWatch/main3928372.shtml

Treasury Chief Defends Fed Intervention
http://news.yahoo.com/s/ap/2008..AvVz8_lzJEF1tmFuhLEGyZ6s0NUE

High Wheat Process Rise Grocery Prices
http://news.yahoo.com/s/ap/2008031..e/costly_wheat&printer=1

U.S. Dollar Intervention Madness
http://www.howestreet.com/articles/index.php?article_id=5958

UK: Taxman Given Draconian Powers
http://www.dailymail.co.uk/pages/liv..33629&in_page_id=1770

JP Morgan Closes In On Bear Stearns Buyout
http://online.wsj.com/article..8739825.html?mod=googlenews_wsj

Greenspan: Worst Crisis Since World War II
http://www.ft.com/cms/s/0/e..6bc-0000779fd2ac.html?nclick_check=1

Ron Paul’s Statement On Coinage Debasement
http://pressmediawire.com/article.cfm?articleID=18325

Bush: Economy Is Going Through A ‘Rough Period’
http://wcbstv.com/topstories/Bush.New.York.2.676953.html

U.S. faces severe recession: NBER’s Feldstein
http://biz.yahoo.com..a_economy_feldstein.html?.v=1

What the Price of Gold Is Telling Us
Could we really run out of food?
Fears mount over US economy
Leading Economist: Dollar Faces Outright Collapse
Swiss Franc Rises to Parity With Dollar as Investors Avoid Risk

U.S. Economic Collapse News Archive

 



Gold Hit Record $992, Oil $106, Euro $1.54

Golds Hit Record $992, Current Price is $979

Goldseek
March 6, 2008

THE PRICE OF PHYSICAL gold bullion moved in a tight 0.8% range early Thursday, re-touching yesterday’s new all-time high above $992 per ounce as the US Dollar sank once again.

As the opening drew near in New York – where a small bomb damaged an army recruitment center in Times Square overnight – crude oil jumped to a new record above $105 per barrel.

European stock markets meantime ticked 0.3% lower as the Euro single currency leapt to a new all-time high of $1.5345 after the central bank in Frankfurt kept its interest rates on hold at 4.0%.

“We could see Gold Prices spike this year and hit $1,500 per ounce,” reckons Jay Taylor, editor of the Gold & Technology Stocks newsletter.

Peter Spina of Goldseek.com, also speaking to Reuters, agrees that $1,500 or even $2,000 gold is “definitely possible” in the next year, while Peter Schiff of Euro Pacific Capital says “gold has a shot at $1,200 or even $1,500 this year.

“It is a measure of the value of currencies and will go up as long as central banks continue to devalue currencies.”

Read Full Article Here

 

Euro Breaks $1.54 Mark, Drops back to $1.53

AP
March 7, 2008

The euro on Friday exceeded US$1.54 for the first time, after the European Central Bank left its benchmark rate unchanged a day earlier and signaled that rate cuts are not expected in the near term.

That sentiment pushed the euro to a new high in European morning trading; it reached US$1.5429 before dropping back slightly to US$1.5395, above the US$1.5370 it bought in New York late Thursday. It was the latest in a string of records for the 15-nation euro this week.

“The euro-dollar has taken another significant level this morning, having breached US$1.5400, and although this may be initiating a degree of profit-taking in the short term, many will remain mindful of Trichet’s hawkish stance and tacit acceptance of a stronger euro at yesterday’s ECB rate-setting meeting,” said James Hughes of CMC Markets, referring to ECB president Jean-Claude Trichet.

European Union businesses said they were starting to feel the pinch, notably from U.S.-based buyers who assert that the high euro makes European goods more expensive.

Meanwhile, the British pound stayed above the US$2 mark for a second day, buying US$2.0132 in European trading, above the US$2.0092 it bought in late New York trading the night before. Like the euro, it jumped higher after the Bank of England kept its own interest rate unchanged at 5.25 percent.

The dollar drifted lower to 101.96 Japanese yen from 103.09 yen on Wednesday.

 

Oil Prices Hit Record Near $106, Steadies at $105

AP
March 7, 2008

Oil prices were steady Friday after jumping to a trading record near $106 a barrel in the previous session as the dollar’s slide to new lows prompted investors to pump more money into commodities.

Analysts believe the steadily weakening dollar is the reason oil prices have jumped to a number of new inflation-adjusted record highs this week. Crude futures offer a hedge against a falling dollar, and oil futures bought and sold in dollars are more attractive to foreign investors when the dollar is falling.

“There are expectations that the dollar will go lower, and that’s driving money into commodities,” said Victor Shum, an energy analyst with Purvin & Gertz in Singapore. “Traders now have this mantra: sell the dollar and buy oil, or buy commodities.”

Light, sweet crude for April delivery fell 3 cents to $105.44 a barrel in Asian electronic trading on the New York Mercantile Exchange by midafternoon in Singapore.

The contract rose 95 cents Thursday to settle at a record $105.47 a barrel after earlier spiking to a trading record of $105.97.

Read Full Article Here

 

CNN: A New Depression Might Be Coming

http://www.youtube.com/watch?v=dR7h8NBQU3E

Recent News:

ECB in no rush to cut interest rates
http://news.yahoo.com/s/afp/20..80306174752&printer=1

Fed’s rate cuts may do long-term dollar damage
http://www.bloomberg.com/apps/news../ousiv/idUSN0551565020080305

Fed Plans to Cut Rates on March 18th
http://news.yahoo.com/s/ap/20080305/ap_on..omy&printer=1

New Recession Worry: Bank Failures
http://money.cnn.com/2008/03/03/new..dex.htm?postversion=2008030316

Rice Rises To 20 Year Highs
http://www.ft.com/cms/s/0/f40ad5ca-e975-11dc-8365-0000779fd2ac.html

The Fed’s doing more damage than good
http://www.marketwatch.com/n..-4a3c-b756-6fa6fc3c39b1%7D&siteid=rss

Carlyle Group, JPMorgan, and IMF plot strategy to protect wealth funds
http://www.politico.com/news/stories/0308/8813.html

Citigroup To Cut 30,000 Jobs
http://www.cnbc.com/id/23454681

Housing In Deepest Decline Since Depression
http://custom.marketwatch.com..E-D0D3-4AA8-917C-95F7F154AA08}

OPEC Blames Poor U.S. Economy For Oil Prices
http://www.iht.com/articles/2008/03/06/business/06oil.php

Gold Edges Closer to $1,000
Mortgage Foreclosures Rise
Private Sector Sheds 23,000 Jobs
Fed Chief: Mortage Crisis To Continue
Experts Forsee Collapse Of U.S. Economy
Why The Dollar Is So Cheap
Treasury secretary wants to dump pennies
Gold hit record of $989 an ounce, falls back $981
Buffett: US Economy In Recession
Wheat 80% Higher Than A Year Ago
The Federal Reserve’s rescue has failed
The Fed Releases Crisis Preparedness Video
IMF Chief Says Euro Is Overvalued
Platinum Rises To Record – Palladium Rallies
OPEC Expected To Maintain Output
Karl Rove: Redeployment Would Cause Oil Prices to Skyrocket to $200 a Barrel
World Stocks Tumble On U.S. Recession Fears
Soaring Food Prices Imperil U.S. Aid
Asian Markets Tumble On Wall Street Drop
Most Americans Using Credit To Stay Afloat
Stocks fall sharply on economic worries
U.S. Economy: Spending Eroded By Inflation

U.S. Economic Collapse News Archive

 



New Gold Record at $923, Oil $91

New record for gold price at $923

BBC
January 25, 2008

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The price of gold has set another record high, reaching $923 an ounce, after power cuts in South Africa closed mines and fuelled supply fears.

The metal was also boosted by the rise in oil prices. New York crude jumped $1.19 a barrel, extending heavy gains on Thursday to trade close to $91.

Gold is seen as an attractive investment in times of economic uncertainty and oil-led inflation.

Gold prices increased by more than 30% in 2007 and further gains are forecast.

Gold rush

Since the start of the year, the gold price has set a series of records, as many companies have predicted weaker earnings and global lending markets remain troubled.

Worries that the dollar will remain weak as a result of further US interest rate cuts are another factor behind the gold rush.

JP Morgan analysts forecast in a note to clients that gold could reach between $950 and $975 this year.

“Precious metals is a very strong picture,” said Graham Birch, head of BlackRock’s Natural Resources fund.

The rally was exacerbated by the suspension of production at some of the world’s biggest gold mines in South Africa, after the country’s state power supplier, Eskom, said it could not guarantee supplies.

Eskom said the power crisis would last for four weeks, but many observers expect the problems to persist for many years.

 



Fed Ready To Cut Rates Again

Fed Ready To Cut Rates Again

ABC
January 10, 2008

Federal Reserve Chairman Ben Bernanke pledged Thursday to slash interest rates yet again to prevent housing and credit problems from plunging the country into a recession.

The Fed chief made clear the central bank was prepared to act aggressively to rescue a weakening economy. “We stand ready to take substantive additional action as needed to support growth and to provide adequate insurance against downside risks,” he said.

Glenn Beck Interviews U.S. Comptroller General

http://www.youtube.com/watch?v=I-16u9x3tfE

Related News:

UN: US recession could cause global slowdown
http://rawstory.com/news/200.._global_0110.html

‘Brace yourselves, taxpayers of America. You’re going to help Bank of America finance its $4 billion buyout of Countrywide’
http://mparent7777-2.blogspot.com..urselves-taxpayers-of-america.html

Tony Blair To Join JP Morgan
http://news.yahoo.com/s/nm/2..nm/jpmorgan_blair_dc

Jobless Claims Fell By 15, 000 Last Week
http://www.reuters.com/article/businessN…dName=businessNews

Paulson Sees `No Evidence’ Housing Decline Is Ending
http://www.bloomberg.com/apps/news?p..JukkXAFuWo&refer=home

Japanese Stocks Tumble on Goldman U.S., Domestic Recession Call
http://www.bloomberg.com/apps/news?pid=..LlqAo&refer=japan

Write-down at Merrill Lynch may hit $15 billion
http://www.iht.com/articles/2008/01/11/business/11wall.php

Helicopter Ben About to Shift the Confetti Shredder Into Afterburner
http://blacklistednews.com/view.asp?ID=5243

Food Crisis In Gaza
http://afp.google.com/article/ALeqM5h4RRlEa_z4MbOnNbq_n6O_H8g_Sg

Dow Drops Nearly 250 Points
http://biz.yahoo.com/ap/080111/wall_street.html?.v=40

Gold Hits Record After Bernanke Speech
http://www.breitbart.com/article.php?id=D8U36JQO2&show_article=1

Goldman Sachs sees recession in 2008
http://biz.yahoo.com/rb/080109/usa_economy_goldman.html

Merrill Lynch: Recession “Has Arrived”
http://news.bbc.co.uk/2/hi/business/7176255.stm

Chinese & Kuwaitis Bail Out Citigroup
Ron Paul: Get Back to Gold
‘Shocking’ sales results from M&S deepen fears of recession in UK
National Bureau of Economic Research: “Odds Of Recession More Than 50%”
Jim Rogers Says U.S. to Have Worst Recession `in a While’
Gold futures back off in early U.S., near $900/oz
Gold Forecast for 2008

 



FIAT EMPIRE – Why the Federal Reserve Violates the U.S. Constitution

FIAT EMPIRE – Why the Federal Reserve Violates the U.S. Constitution

http://video.google.com/videoplay?docid=5232639329002339531&hl=en