ECONOMY | WHAT REALLY HAPPENED


ECONOMY

Apr 19 08:42

Is This The Long-Awaited Silver Short Squeeze?

"This is almost unprecedented... and implies that a short squeeze – in which speculators are forced to cover their short bets by buying silver futures, thus forcing the price sharply higher – is a real possibility."

Apr 19 07:12

EYEWITNESS: Warning Signs That Should Have Told Us the Collapse of Venezuela Was Near

Here's an eyewitness account of the subtle warning signs that should have alerted Venezuelans that the economic collapse was near.

Apr 19 04:49

‘Astronomical’ Cost of War: Average US Taxpayer Sent $3,456 to Pentagon Last Year and Just $39 to the EPA

As Americans rushed to pay their taxes on Tuesday before the official deadline, peace groups reminded the public of the uncomfortable fact that an “astronomical amount” of the money sent to the IRS each year goes not to funding education or a single-payer healthcare system the U.S. supposedly can’t afford, but straight into the bloated coffers of the Pentagon.

Apr 19 04:46

Crimes of a Monster: Your Tax Dollars at Work

Let us not mince words. We are living in an age of war profiteers. \We are living in an age of scoundrels, liars, brutes and thugs. Many of them work for the U.S. government. We are living in an age of monsters.

Apr 19 01:14

US Debt Load Ballooning, Set To Outpace Some African Countries In 5yrs – IMF

The US debt-to-GDP ratio is projected to jump to 116.9 percent by 2023, leaving behind Italy, according to the International Monetary Fund (IMF).
In five years, the American debt burden will also be worse than some countries in Sub-Saharan Africa, such as Mozambique or Burundi.
***
The IMF says its forecasts are similar to those recently published by the Congressional Budget Office. The CBO said the US debt “is far greater than the debt in any year since just after World War II.”

The office also predicted that the debt held by the public will rise from 78 percent of GDP (or $16 trillion) at the end of 2018>>>

Apr 18 16:05

What does it take to create living wage jobs?

Apr 18 15:33

Challenging Capitalism Through Workers’ Control

A common feature in every crisis situation, from the upheavals of the early 20th century to the neo-liberal re-structurings of the late 20th century, is the emergence of workers’ control – workers organising to take over their workplaces in order to defend their jobs and their communities. We interviewed Dario Azzellini* to talk about this issue in depth: the emergence of new values and social relations not just in the recuperated workplaces but also in the communities, the need to re-orient production, the overcoming of the separation between political, economic and social spheres, and the role of workers’ control in the larger struggle against capitalism.

Apr 18 15:31

UK headhunter Josh Harrison blasts unemployed under-25s on LinkedIn

ACCORDING to headhunter Josh Harrison, if you are under 25 years old and out of work, it’s because you’re lazy and “not trying hard enough”.

Apr 18 14:18

Why is ATL Fed GDPNow 1Q18 est. Crashing?

Apr 18 13:59

No (Wall Street) Bank Left Behind!

Apr 18 12:32

Couple to pay $470K for backing out of home purchase

A couple involved in a bidding war in April 2017 backed out of a $2.25 million offer after the market dropped a few months later. The seller sold the home at lower price, sued for the difference and won.

I think we're going to see more of these in the coming months.

Apr 18 11:39

China Prepares "Emergency Response Plan" Amid Escalating US Trade War

While in recent days the growing trade war between China and the US has moved off the front page of market concerns despite now daily skirmishes such as today's anti-dumping probe launch by the US into US steel wheels which followed a Chinese 179% tariff on US sorghum imports which in turn was in response to the US banning exports to Chinese telecom giant ZTE, in recent days China has drawn up comprehensive list of urgent measures as the war of words over US-China trade relations has threatened to escalate into open economic conflict with each side threatening to levy heavy tariffs and taxes on each other's imports.

Commenting on the recent trade hostilities, National Development and Reform Commission spokesman Zeng Peiyan said on Wednesday that Beijing has all the political instruments it needs to respond to this trade conflict with the United States and minimize its economic effect.

Apr 18 11:12

The Big Market Tops

Apr 18 09:57

Russia Sells Off Billions in US Debt Amid Skyrocketing Tensions

With the prospect of new US sanctions still looming on the horizon, Russia continues to cut its reserves of US government bonds.

According to updated figures provided by the US Treasury Department, in February, Russia’s hard currency reserves currently held in US Treasuries went down by $3.1 billion and now stand at $93.8 billion, the lowest level since March of last year.

Cashing Out: How New Sanctions Can Push Russia Into Dropping Its US Bonds
Russia still remains the world’s 16th largest holder of US government bonds. China holds the top spot with almost $1.8 trillion, trailed by Japan which has shed some of its US Treasuries.

Webmaster's Commentary: 

An asymmetric, but reasonable, Russian response to both these existing, and potential on-coming, sanctions.

If both Russia and China decide to collectively dump their US treasury holdings all at once, it is going to be a very lousy moment for US stock markets.

Apr 18 09:57

Silver Bullion Remains Good Value On Positive Supply And Demand Factors

– Silver bullion remains good value on positive supply and demand factors

– Industrial demand set to continue to climb from 2017, into 2018 and beyond

– Speculators are bearish on silver as net short positions in silver futures reach record

– Investment demand sees silver ETF holdings at eight-month high of 665.4 million ozs

– 2017 saw fifth consecutive annual physical deficit in scrap silver, of 26 moz

– Global silver mine production fell 4% last year, 2nd consecutive year of decline

– Fundamentals and speculative positions suggest silver may soon see strong gains

Apr 18 09:40

America First – R.I.P.

When the Cold War officially ended in 1991, Washington could have pivoted back to the pre-1914 status quo ante. That is, to a national security policy of America First because there was literally no significant military threat left on the planet.

Post-Soviet Russia was an economic basket case that couldn’t even meet its military payroll and was melting down and selling the Red Army’s tanks and artillery for scrap. China was just emerging from the Great Helmsman’s economic, political and cultural depredations and had embraced Deng Xiaoping proclamation that "to get rich is glorious".

The implications of the Red Army’s fiscal demise and China’s electing the path of export mercantilism and Red Capitalism were profound.

Apr 18 08:57

MASSIVE DISCOVERY OF RARE EARTH MINERALS THREATENS CHINA’S MONOPOLY

A discovery of rare earth minerals found off the coast of Japan has the potential to transform the global economy – and severely impact China’s hold on the market.

The deep-sea mud is riddled with ‘rare-earth elements and yttrium’ (REY) which are instrumental in the technological industries that drive the global economy.

“Applications of REY span a wide range, including hybrid vehicles, rechargeable batteries, wind turbines, light emitting diodes, compact fluorescent lamps, screen display panels, and many medical and military technologies,” says researcher Yutaro Takaya.

Apr 18 08:55

Next Recession? Pundit Prognoses

Apr 18 08:46

“Take a Pill” Consequences

Economic sluggishness? Take a pill – an extra-large dose of Quantitative Easing. There are other ways to stimulate the economy, but QE bailed out banks at taxpayer expense, increased banking profits, expanded debt, printed $16 trillion from “thin air” and levitated the stock market.

Economic Side effects: Pension funds are increasingly insolvent, savers don’t earn a decent return from savings, official debt exceeds $21 trillion, a potential derivative disaster looms ahead, and more dangers will manifest in coming years.

Apr 18 08:37

House of Lords to Strike Down Key Element of May’s Brexit Plan

Britain’s upper legislative house is to find itself more in agreement with the Opposition Party than the Government on Brexit.

British Prime Minister Theresa May's plans for the United Kingdom's exit from the European Union are set to receive another blow as the country's House of Lords is widely expected to vote for Britain to remain a member of the EU's Customs Union.

Apr 18 08:29

Berlin welcomes China move to open some key industrial markets

Germany’s Economy Ministry on Tuesday welcomed a decision by China to open some of its key industrial markets and reduce existing market barriers to foreign investment. “This is a signal in the right direction,” the ministry said in a statement. It added that “now it will depend on whether actions follow words, and if so, how the regulations will be shaped,” Reuters reports. Earlier on Tuesday, Beijing said it would scrap limits on foreign ownership of automotive ventures, and in shipbuilding and aircraft industries in 2018.

Apr 18 08:09

Governments, Big Banks Are Stockpiling Gold

Apr 18 07:57

EXPOSED: ALL THE QUEEN’S AGENTS AND CORPORATIONS THAT CONTROL THE WORLD

English law prohibits questioning the Monarchy about their personal holdings and business.

This is true of most of Europe’s royalty, whether enthroned or not. The wealth of the Monarchies is held outside of the countries that made the wealth. The British Crown’s offshore banks hold the greatest personal wealth in the world estimated at $35 trillion. Perhaps the British Crown still owns and controls its Commonwealth Nations, including the American “colonies.”

Monarchies are not supposed to be warlord bankers who create conflict and chaos to turn a profit or destabilize an economy for personal gain. But they have been for some time now, and history is a string of immoral wars caused by monarchies, the Vatican and other religions. Untold millions have died while kings and popes lived on to grab the wealth through well-established institutions that were created to control the commoner.

Apr 17 14:54

Tesla suspends Model 3 production as Elon Musk seeks 'path out of hell'

Tesla Motors has halted production of its troubled Model 3 electric car as the company looks for a way to use fewer machines — and more humans — in their assembly.

Apr 17 13:34

Death by a thousand cuts: China’s yuan-priced crude benchmark chips away at petrodollar

China finally launched last month its yuan-denominated crude oil futures that have been in the works for years, after several delays.

The start of the new contract trading was successful, attracting interest from institutional and retail investors, and major commodity trading houses Glencore and Trafigura.

Yet, it’s too soon to call the less-than-a-month-old contract a total success, because it still faces a long road toward building reputation and history, analysts say. They have also identified the single biggest risk factor for western investors—the extent to which China could meddle with government regulation in the yuan crude futures, as Beijing is known for little tolerance toward wild price swings in its markets and has a history of intervening.

Apr 17 13:15

China Will Abandon Barriers For Foreign Automakers

Barely a week after Chinese President Xi Jinping mentioned easing barriers for foreign automotive firms during a widely publicized speech, China's National Development and Reform Commission said Tuesday that it would phase out requirements that foreign auto makers must share factory ownership and earnings with local Chinese firms by 2022 - a step toward market liberalization that President Donald Trump will likely tout as evidence his aggressive trade policies are working.

The phase-out will unfurl in stages: Limits on foreign investment for companies building new energy vehicles, a term covering electric cars powered by batteries or fuel cells, will be removed this year. Limits on those building commercial vehicles and passenger cars will be lifted in 2020 and 2022, respectively.

In five years, the commission says, no foreign car company will need to have a joint venture with a Chinese firm, which would sunset a restriction on the industry that has been in place since 1994.

Apr 17 11:25

CHINA SLAPS 179% TARIFF ON US SORGHUM HOURS AFTER US BANS EXPORTS TO CHINA'S ZTE

In response to reports that the US is ramping up the "third front" in its trade spat with China by authorizing another investigation under Section 301 of the Trade Act of 1974 - this time, aimed at obstacles that prevent US tech firms from competing in cloud computing and other high-tech industries - China has, as we anticipated, retaliated by slapping tariffs on US sorghum imports.

Yesterday, the US also revealed that it would stop US tech firms from selling components to Chinese telecom giant ZTE after accusing the company of lying during settlement negotiations - eliciting an angry response from Chinese officials, who urged US lawmakers to create a "fair, just and stable legal and policy environment" for Chinese companies, according to Xinhua.

Like Chinese tariffs on US pork products that were imposed earlier this month, the sorghum tariffs aren't merely a threat: Rather, China says they will take effect on Wednesday, per Bloomberg.

Webmaster's Commentary: 

This... will not end well.

And a shooting war with China is the absolutely last thing this country needs right now.

Apr 17 11:03

THE NEXT OIL BOOM IS ABOUT TO HAPPEN HERE

It’s one of the most unbelievable energy stories of the year.

A Chinese oil company was sitting on what might be a major oil discovery - a 182-million-barrel probable reserve, with great potential to grow.

They spent hundreds of millions of dollars and sunk 13 wells, shot or acquired 6,700 km of 2D seismic, and shot over 1,000 km of 3D seismic. Then - thanks to a weird quirk of Sudanese geology - they gave away the entire African mother lode for free.

They literally abandoned their whole investment in the Al-Rawat Basin.

Now, a tiny Canadian explorer - Stamper Oil & Gas (TSX.V: STMP; OTC: STMGF) - stands to reap a petroleum opportunity unlike anything we’ve seen in years.

And, they’re doing it with an energy industry legend - the one man with a nearly perfect 40-year record of striking oil in the tricky rock of Sudan.

Webmaster's Commentary: 

It's not just the oil here which is important; it is the geopolitical implications of this find, and how Sudan will be able to grow from the profits of this find.

Apr 17 10:21

Trump Accuses Russia, China of "Playing Currency Devaluation Game"

Since his election campaign in 2016, the US President Donald Trump has been scrutinizing US trade partners over their alleged dumping practices and calling for the renegotiation of trade agreements with many countries to tackle the loss of manufacturing jobs in the United States.

The US Head of the Government on his "Twitter" has made the statement that China and Russia allegedly play a role in the devaluation of currencies and this is "not acceptable."

Apr 17 09:43

EU threatens new sanctions against Syria but not Russia

European Union foreign ministers on Monday threatened new sanctions against Syria over its alleged chemical attacks, but held off from joining expected new punitive U.S. measures against Russia.

Apr 17 09:18

Lloyds Bank to cut over a thousand jobs as 49 branches are AXED

LLOYDS Banking Group, which runs Lloyds Bank, Halifax and Bank of Scotland has announced plans to cut 1,230 jobs and axe 49 branches across the UK.

Apr 17 08:58

Optimism of Manufacturers “Plunged” the Most Ever: NY Fed

Corporate America fears that a Trade War would hit supply chains in China.

Apr 17 08:57

Wells Fargo In CRISIS! - Is A Crash Imminent?

Apr 17 08:46

"Bloodbath" - Trump Tower New York Condo Prices Are Nosediving

The Trump Tower at 721 Fifth Avenue, New York City, is a glass skyscraper located between 56th and 57th Streets. Developed by Donald Trump in 1983, the Midtown East Side skyscraper is home to 238 residential condominiums. As of recent, property values of condos in the tower have plunged much faster than comparable luxury high-rises in Midtown Manhattan, said Reuters.

Webmaster's Commentary: 

Trump may turn out to be the first President to LOSE money while in office!

Apr 17 08:38

The Pension Time Bomb: $400 Trillion by 2050

Apr 17 08:31

4 Triggers for the Next Real Estate Collapse

Apr 17 08:26

Phase I To Destroy The Dollar Might Have Been Launched Today

Commercial real estate prices fall, loans reach record highs, retail store vacant premises, disaster in the making. GM cuts more employees at their factory, Cruze sales are imploding.

Apr 17 08:22

Russia dumps US debt, reducing holdings to lowest level in a year

The Central Bank of Russia has sold $3.1 billion in US Treasury bills as of February, reducing its investment in American debt to the lowest level since March last year.

Moscow still occupies the 16th position among the largest holders of US government bonds. Russia has cut its holdings for the third consecutive month.

Apr 17 07:30

AN EMPIRE BUILT ON FEAR AT HOME AND ABROAD

Political leaders and the mass media deluge the public with a constant stream of frightening incidents caused by the enemy-of-the-week: nerve gas killing dozens of little babies in Syria, Russian-directed poison assassination attempts in England and terror incidents throughout Europe, requiring an increase in domestic police state surveillance and spying. Extensively monitored bank records, intrusive workplace controls, and all personal and, especially, political communications, are in the hands of state security officials or corporate security contractors.

Apr 17 02:51

Don't Look At These Charts...

Apr 17 02:51

Steve Keen gives update on UK/EU economies

Apr 17 01:18

The End of the Debt-As-Currency Era

We’re now living in the era of the greatest level of debt mankind has ever created. In fact, we’ve come to regard it as “normal.” Most governments are far beyond broke. And they won’t be saved by confiscation or taxation, as their people and corporations are just as heavily in debt. For this reason, a collapse is inevitable. And, since the severity of a collapse is invariably directly proportional to the severity of the debt, when it arrives, it will be a collapse that eclipses all previous collapses.

Apr 16 17:13

Why Aren’t Big Banks Paying Higher Interest Rates on Deposits though Rates Have Surged?

Well, they do pay higher rates, but not to their own clients.

Apr 16 16:37

MONETARY POLICY FOR DUMMIES

Apr 16 16:05

Steve Keen: Debt Jubilee Part Of The Fix

Apr 16 12:06

SHOCK Report: Pentagon & HUD ‘Lost’ Enough Money to Pay Back National Debt

A new report examining the budgets of both the Defense Department (DOD) and the Department of Housing and Urban Development (HUD), found that between 1998 and 2015, these two alone lost over $21 trillion in American taxpayer funds.

The surprising report was written by Dr. Mark Skidmore, a professor of economics at Michigan State University, and Catherine Austin Fitts, former assistant secretary of housing. It writes that the missing funds are a direct result of “unsupported journal voucher adjustments” made to the departments’ budgets.

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