Category Archives: Financial

Jay Dyer ~ The Alchemy Of Synthetic Finance And Global Governance

 “Today’s alchemists of finance are like their transhumanist counterparts – devious and intelligent, but con men in the last analysis. They, like their forebears, con heads of state into signing on public wealth, just as the shadow surveillance agencies con heads of state into handing over “big data” through contrived legalities.” – J Dyer

The convergence of banking, technology and the occult.

This past week, the world’s vultures – the economic power elite – met in Davos to discuss the maintenance of their global fiat hegemony. Highlights included furthering austerity measures, noting that the serf class can’t expect air conditioning and cars, as well as cheering on the death of privacy through the rise of technocracy.

The degenerate elite, completely out of touch with humanity, resembles the controllers in the Lucas classic, THX 1138, building their own prison destined to entrap their own progeny.

Degenerate elite always end up being their own worst enemy because pride detaches man from reality, which can only be perceived in the truth. Pride causes man to adopt a delusory sense of the world and his own relation to it, thereby bringing about a praxis divorced from the rules of nature, logic and classical wisdom. Banking man, homo economicus, with his foaming at the mouth rapaciousness, will find his own descendants trapped in the virtual A.I. prison grid he has built.

Citing the insightful and recommended film, Margin Call, JC at Philosophy Of Metrics comments:

“This is why the solution has to come from within, as every system will simply corrupt again. Philosophers and great thinkers have warned us continuously for thousands of years. The manifestation of inner dysfunction and imbalance will always be represented physically as dysfunction and imbalances in the systems man develops.”

Margin Call – Fat Cats and Starving Dogs


Continue reading

Update ~ COMER Vs Bank Of Canada (Jan 2015) [Video]

COMER (Committee on Monetary and Economic Reform EST. 1986) and constitutional lawyer Rocco Galati won yet another round of appeals. Galati the most prominent constitutional lawyer in the country says he does not believe Canada is a democracy any longer and that the media is controlled by the government.

Rocco Galati the most prominent constitutional lawyer in the country says he does not believe Canada is a democracy any longer and that the media is controlled by the government.


SF Source Lawrence McCurry

(Thanks, Nick)

Ron Paul ~ Beware The Federal Reserve’s Two Percent [Video]

Ron Paul’s history lesson on the Federal Reserve, including the Fed’s absurd mandate to ensure a two percent inflation rate.

The Fed is the primary driver of the warfare/welfare state that is destroying the US.


SF Source RonPaulInstitute  Jan 28 2015

(Thanks, Minty)

Charles Hugh Smith ~ Greece At The Crossroads: The Oligarchs Blew It

“Once one oligarchy falls, it will threaten to topple a long line of oligarch dominoes.” – C H Smith

CharlesHughSmithA great many narratives invoking Greece are being tossed around, but only one really encapsulates the unvarnished truth: the Oligarchs blew it. The oligarchs in both Greece and the European Union/ECB had the opportunity a few years ago to trade some of their outsized wealth and political power for stability and sustainable expansion.

Instead, they chose to not just cling to every shred of their outsized wealth and power but to actively increase it. Their greed and hubris has now put their entire system of parasitic wealth extraction at risk of collapse. Their political stranglehold on power has been weakened, and there’s no going back: they blew it, and now it’s too late. The debt-serfs have finally had enough.

If you enter Greece in the custom search box on this site, six pages of blog entries come up. I have addressed the situation in Greece many times; this summarizes my conclusion:

Greece, Please Do The Right Thing: Default Now (June 1, 2011)

Thankfully, many in Greece have reached the same conclusion, for the same reasons:

Greece’s New FinMin Warns “We Are Going To Destroy The Greek Oligarchy System”

The basic problem is that Greece Is a Kleptocracy (June 28, 2011). Greece has shown the world how oligarchies can expand their wealth and power even as their populace slides deeper into poverty. A recent article, Misrule of the Few: How the Oligarchs Ruined Greece, lays out the key dynamics. Continue reading

Melissa Melton ~ Wealth Gap: 10% Of Americans Own 91% . . .

. . . But The Queen And Rothschilds Still Own Almost Everything

“Are you fighting for your servitude as if for your salvation? Then you have been well-deceived. You have been sheeple-compromised. Your thoughts are not your own. Your actions are not your own. You are in all ways a conditioned puppet who is under the delusion that it is free, and the psychopaths of the world are your uncompromising puppet masters.” ~ Gary ‘Z’ McGee

Every few months for the last couple of years, a new story pops up declaring the “official” wealth gap — the one most public sources will admit to — is getting wider and wider at a faster and faster rate.

This is the real economic crisis.

The wealth gap in America, for example, is insane these days.

Check out this fresh report from Nation of Change (an ironic name considering the topic):

Just 10 percent of Americans own 91 percent of the nation’s stocks and mutual funds, according to economist Edward Wolff (Table 7). Most of the remainder is held by a “middle class” that is steadily losing ground. The bottom 60 percent is almost entirely shut out (Table 2).

Continue reading

James Corbett ~ So What Does The World Bank Do Exactly?

“The period of McNamara’s stewardship, from 1968-1980 was instrumental in shaping the institution that we know (or should know) today: a tool of the Washington power players that is used as a way of transferring the productive wealth of the third world back to the first world. The larger capital that was raised during his tenure was used to expand the bank’s lending activities, and those expanded loans kicked off the era of the third world debt crisis, including a period from 1976 to 1980 where developing world debt rose on average 20% per year.” – J Corbett

WorldBankSucksAs many have heard by now, the leaders of the so-called BRICS nations – Brazil, Russia, India, China, and South Africa – used the occasion of the 6th BRICS Summit in Brasilia, Brazil to announce the creation of the long-awaited BRICS Development Bank. Formally the “New Development Bank”, it will be based in Shanghai and capitalized with an initial $10 billion in cash ($2 billion from each of the five founding members) and $40 billion in guarantees, to be built up to a total of $100 billion.

Immediately, the press began touting the new bank as a potential rival to the current IMF / World Bank system of infrastructure development and poverty reduction in the third world. “BRICS Development Bank Could Challenge World Bank and IMF” touts US News & World Report. “BRICS Ink $50 Billion Lender in World Bank, IMF Challenge” asserts Bloomberg. The World Bank, for its part, is downplaying the rivalry, with World Bank President Jim Young Kim openly welcoming the bank at a recent meeting with Indian Prime Minister Narendra Modi. “The only competition we have is with poverty”, he told reporters at the meeting.

But all of this talk about a potential rival to the IMF and World Bank have exposed the general public’s ignorance about what exactly these institutions are and what they do.

While most are familiar with the IMF and its predatory lending practices (and those who aren’t are encouraged to acquaint themselves with the “IMF riot” strategy that was developed in the third world and is now being imported to Europe), the World Bank is less scrutinized and less understood. What is it, what does it do, and why is it important for the BRICS to challenge its hegemony in the development and poverty reduction arenas? Continue reading

Paul Craig Roberts ~ Freedom, Where Are You? Not In America Or Europe

PaulCraigRobertsWhen the former Goldman Sachs executive who runs the European Central Bank (ECB) announced that he was going to print 720 billion euros annually with which to purchase bad debts from the politically connected big banks, the euro sank and the stock market and Swiss franc shot up. As in the US, quantitative easing (QE) serves to enrich the already rich. It has no other purpose.

The well-heeled financial institutions that bought up the troubled sovereign debt of Greece, Italy, Portugal, and Spain at low prices will now sell the bonds to the ECB for high prices. And despite depression level unemployment in most of Europe and austerity imposed on citizens, the stock market rose in anticipation that much of the 60 billion new euros that will be created each month will find its way into equity prices. Liquidity fuels the stock market.

Where else can the money to go? Some will go into Swiss francs and some into gold while gold is still available, but for the most part the ECB is running the printing press in order to boost the wealth of the stock-owning One Percent. The Federal Reserve and the ECB have taken the West back to the days when a handful of aristocrats owned everything.

The stock markets are bubbles blown by central bank money creation. On the basis of traditional reasoning there is no sound reason to be in equities, and sound investors have avoided them.

But there is no return anywhere else, and as the central banks are run by the rich for the rich, sound reasoning has proved to be a mistake for the past six years. This shows that corruption can prevail for an indeterminable period over fundamentals. Continue reading

Michael Noonan ~ Around The FX World In Charts

There has been some discussion about how the Swiss National Bank breakaway from the
1.20 peg to the Euro was a shot to the upside for gold.  It appeared to us that the rally may
have been sparked a few days ahead of the announcement, and last week’s mostly sideways
aftermath was the froth on the rally.  It may continue, but the narrower range could just as
well lead to a pullback, discussed in last article, Timing Is The Most Important Element,
[paragraph above each weekly chart of silver and gold].

It made sense to compare the leading currency charts on the Foreign Exchange markets
[FX], to see a) does a correlation exist, and b) take an overview of a market we rarely visit.
As the SNB decision to make an apparent[?] independent break from the rest of the
central banks, the risk exposure in trading in the bank-[rigged]-dominated FX markets is
far greater than any occasional rewards.

Here are the weekly gold and silver charts as a comparative reference to the FX charts
reviewed:

Two bars ago was when the Swiss National Bank [SNB], made its announcement, on the
last day of the week, Friday, to cut loose from the 1.20 euro peg.  Price had already rallied
prior to Friday, and that may be reflective of the “insiders” positioning for the news event.
Whether that is true or not does not really matter.  More interesting is how last week was
a much smaller bar range, after the news was out.  It tells us sellers were active keeping
buyers from extending the rally any higher.   One implication is short-term profit taking
into the public buyers who want to get in before they “miss the move.”

You will see the difference of last week’s small range for gold v the same week for each fiat
currency reviewed.

Keep in mind, an ounce of gold is an ounce of gold.  It never changes.  What does change
is the number of fiat units it takes to purchase the same ounce.  For example, gold does
not go up in value relative to the declining euro, rather it takes more and more euros to
purchase one ounce, the ounce of gold being a constant, as is true for silver.

Continue reading

Raúl Ilargi Meijer ~ Is This The Day Europe Gets Its Future Back?

With The Greek election in full motion, and first results perhaps 12 hours away, It would seem useful, no matter how the Greeks vote, to lay to rest a few misconceptions, and to expose a few ‘conceptions’ that have – largely – remained buried to date.

The first misconception is that the Greeks borrowed like crazy and therefore deserve to be thrown into a pit of suffering and misery. It is simply nonsense, a mere political narrative. Besides, most of what was borrowed went to the utterly corrupt ‘oligarch system’, not to the people in the street. Something the EU was certainly aware of when it accepted Greece as a member. But corrupt regimes can be of great use.

A few days back, in Bunch Of Criminals!, I made the point that the EU, and its members, have no right to do to a fellow member country what they did to Greece – and want to continue doing -.

SYRIZA leader Alexis Tsipras said this week that he will not negotiate with the Troika, but directly with EU officials. And there is a very solid reason for that. In today’s Observer, Helena Smith interviews Greek sociologist Constantine Tsoukalas, who understands what has been happening to his country, and – rightfully – frames it in terms of Naomi Klein’s Shock Doctrine.

What has happened to Greece is what Klein describes was done to South America and – later – Eastern Europe. Disaster capitalism. Bringing entire countries to their knees by enforcing predatory economic policies, and then using the ensuing chaos and smouldering ruins to take full control over their political, economic and social systems. Helena Smith:

Is Greece About To Call Time On Five Punishing Years Of Austerity?

For Professor Constantine Tsoukalas, Greece’s pre-eminent sociologist, there is no question that, come Monday, Europe will have reached a watershed. I first met Tsoukalas in January 2009, in his lofty, book-lined apartment in Kolonaki. For several weeks Athens had been shaken by riots triggered by the police shooting of a teenage boy. The violence was tumultuous and prolonged.

Looking back, it is clear that this was the start of the crisis – a cry for help by a dislocated youth robbed of hope as a result of surging unemployment and enraged by a system that, corrupt and inefficient, favoured the few. Tsoukalas knew that this was “the beginning of something” although he could not tell what. But with great prescience he spoke of the degeneration of politics – both inside and outside Greece – the rise of moral indignation, and the emptiness of a globalised market “that was supposed to put an end to ideology but, in crisis, has instead created this moment of great ideological tension”.

Six years later, following the longest recession on record, he is in little doubt that anger has fuelled the rise of Syriza. On the back of rage over austerity, the leftists have seen their popularity soar from 5% before the crisis to as high as 35% – more than the combined total of New Democracy and left-leaning Pasok, the two parties that have alternated in power since the restoration of democracy in 1974.

The European policy towards Greece, to a large extent, has been determined by the will to experiment with the feasibility of shock therapies,” says Tsoukalas. “It worked, but the reaction is going to be a leftwing government. Europe cannot survive as it is. The rise of fascism … should be sufficient [evidence] to everyone that it has to change.”

If Greece’s rebellion was to occur in a coherent way, Tsoukalas, who is being fielded by Syriza as an honorary candidate, believes it would be only a matter of time before it was replicated in other parts of the continent. “These elections are important because they are a reminder to the people of Europe that there is another way out,” he insists. “That neoliberal orthodoxy is not an immovable problem.”

[..] at 28 Veikou Street, Syriza runs the Solidarity Club – initially set up as a food bank in March 2013 when stories began to surface of malnourished children fainting in schools. In recent months, its staff have focused on providing medicines. “That’s the big problem now because so many are uninsured, without any access to the health system,” says volunteer Panaghiota Mourtidou. “People don’t have the money to go to doctors. If they have a toothache, they get terrified, because how the hell are they going to pay for a visit to the dentist?”

With its Che Guevara posters, Italian Euro-communist flags, chaos of boxes and tins, and makeshift furniture, there is something of a field-camp feeling about Veikou Street. But its army of volunteers are tireless. This, they say, is a battle to be won, a huge victory for the left that Greece will set in motion. “We are conscious that we have managed to unite in a way that the left elsewhere has failed to do,” says Angeliki Kassola, a theatre director. “I’ve met lots of once-strident New Democracy supporters who say they will be voting for us because they are attracted to Syriza’s vision of democracy, justice, dignity – all the things that have been taken from us in the crisis.”

There will be plenty who don’t agree with an analysis like this. Just as there will be plenty who insist that the Greeks brought it all upon themselves. They should take a look at what my friend Steve Keen, presently “Professor of Economics and Head of the School of Economics, Politics and History at Kingston University London”, wrote this week in Forbes Magazine. That should cure a few lost souls of their foolish fantasies. And then they should take their new found insights and ask themselves: wait a minute, what is going on here? Why is Greece being squeezed the way it is? Deep down, you already know, don’t you? Steve:

It’s All The Greeks’ Fault

I fully expect most commentators to take a line like that in my title. After all, it’s common knowledge that the Greeks lied about their levels of public debt to appear to qualify for the EU’s entry criteria, which include that aggregate public debt should be below 60% of GDP. Though there’s an argument that Goldman Sachs, many of whose ex-staff are now leading Central Bankers, helped the Greeks make this alleged lie, the responsibility for it will be shafted home to the Greeks, and that in turn will be used to argue that the Greeks deserve to suffer.

The story, in other words, will be that the Greeks were architects of their own dilemma, and that therefore they should pay for it, rather than making the rest of the world suffer through a write-down of their debts. Emotion will rule the debate rather than logic. So to cast a logical eye over this forthcoming debate, I’m going to consider who is really to blame for the Greek dilemma by considering another country entirely: Spain. Today, Greece and Spain are in very similar situations, with unemployment rates of well over 25%—higher than the worst the USA recorded during the Great Depression (see Figure 1). But unlike Greece, Spain before the crisis was doing everything right, according to the EU.

GreeceUnemployment2014

More importantly still, Spain’s government debt when the EU imposed its austerity regime (mid-2010) was still well below America’s, even though both had risen substantially since the crisis. Spain’s government debt ratio was 65% of GDP then, versus 78% for the USA. The whole purpose of the EU’s austerity program was to reduce government debt levels. Reducing government debt was the political topic du jour in America as well from 2010 on, but the various attempts to impose austerity came to naught: instead, after shooting up because of deliberate policy at the time of the crisis America’s budget deficit merely responded to the state of the economy. Continue reading . . .


SF Source Zerohedge  Jan 25 2015