US money supply plunges at 1930s pace as Obama eyes fresh stimulus
The M3 money supply in the United States is contracting at an accelerating rate that now matches the average decline seen from 1929 to 1933, despite near zero interest rates and the biggest fiscal blitz in history.
By Ambrose Evans-Pritchard
The M3 figures - which include broad range of bank accounts and are tracked by British and European monetarists for warning signals about the direction of the US economy a year or so in advance - began shrinking last summer. The pace has since quickened.
The stock of money fell from $14.2 trillion to $13.9 trillion in the three months to April, amounting to an annual rate of contraction of 9.6pc. The assets of insitutional money market funds fell at a 37pc rate, the sharpest drop ever.
"It’s frightening," said Professor Tim Congdon from International Monetary Research. "The plunge in M3 has no precedent since the Great Depression. The dominant reason for this is that regulators across the world are pressing banks to raise capital asset ratios and to shrink their risk assets. This is why the US is not recovering properly," he said. (uh ya that is one reason)
The US authorities have an entirely different explanation for the failure of stimulus measures to gain full traction. They are opting instead for yet further doses of Keynesian spending, despite warnings from the IMF that the gross public debt of the US will reach 97pc of GDP next year and 110pc by 2015.
Mr Congdon said the Obama policy risks repeating the strategic errors of Japan, which pushed debt to dangerously high levels with one fiscal boost after another during its Lost Decade, instead of resorting to full-blown "Friedmanite" monetary stimulus.
"Fiscal policy does not work. The US has just tried the biggest fiscal experiment in history and it has failed. What matters is the quantity of money and in extremis that can be increased easily by quantititave easing. If the Fed doesn’t act, a double-dip recession is a virtual certainty," he said.
Mr Bernanke no longer pays attention to the M3 data. The bank stopped publishing the data five years ago, deeming it too erratic to be of much use.
This may have been a serious error since double-digit growth of M3 during the US housing bubble gave clear warnings that the boom was out of control. The sudden slowdown in M3 in early to mid-2008 - just as the Fed talked of raising rates - gave a second warning that the economy was about to go into a nosedive.
Read full article here: http://www.telegraph.co.uk/finance/economics/7769126/US-money-supply-plunges-at-1930s-pace-as-Obama-eyes-fresh-stimulus.html
Friday, May 28, 2010
Tuesday, May 25, 2010
What Could Have Been
What follows is Ronald Reagan's 1964 Republican National Convention Speech. It is probably one of the best speeches I have ever heard. Please take a half an hour and watch this video. Everyone of you out there knows you can find a half hour out of your day, so do it and watch this video. I hear people often ask, "Where is the next George Washington? Where is the next Thomas Jefferson? We need people like that these days", they will say. And I say to them: "How do you know that you are not looking at someone like that everytime you look in the mirror?" Those people you mentioned, our Founding Fathers, they didn't want to do what they did, but they did it. They didn't look to someone else to do a job that they were called to do, they did it. They did not say "oh where is John Locke, or Montesquieu when you need them." No, they took the time out of their day to do what their country needed them to do. Will you?
And to the socialist in this country who say things like: "What freedoms have you lost?" in response to someone telling them what their government is doing to them, should also watch this video and ask me that question again.
Enjoy:
And to the socialist in this country who say things like: "What freedoms have you lost?" in response to someone telling them what their government is doing to them, should also watch this video and ask me that question again.
Enjoy:
RED LIGHT CAMERAS: JUST A MEANS TO MAKE MONEY NOT SAVE LIFES
I am sorry but I am even more pissed now. For years I have been telling people to look at the data behind these red-light programs, now here is just more proof. Seatbelt laws, helmet laws, red-light cameras, its is all an infringement on our rights. Where does it stop? People say "oh what's the big deal if there are camera's in major cities? Who cares if you aren't breaking the law." Lets follow the logic of these types of stupid arguments: I say lets put up camera's on your street. Who cares if you aren't breaking the law right? Lets put a camera up right in front of your drive way. Then some idiot government employee downtown could see a robber/rapist/you fill in criminal of your choice, getting away and identify them, that way they would be able to catch them quicker. Better yet Mr./Mrs. socialist lets put a camera in your home, in your bedroom, and have big brother monitor us all night. Who cares as long as we aren't doing anything illegal right? (Put in joke of your choice here)
Where does it end?
Rear-end collisions jump at red-light camera intersections in West Palm Beach
By Charles Elmore Palm Beach Post Staff Writer
WEST PALM BEACH — Rear-end collisions more than doubled and accidents increased overall in the first 70 days of red-light cameras in West Palm Beach compared to the same period of 2009, traffic records reviewed by The Palm Beach Post show.
In the name of boosting safety, not revenues, West Palm Beach issued 2,675 camera fines worth a third of a million dollars in March alone.
But at the three city intersections from Feb. 21, when fines began, through May 1, The Post found:
--Rear-end collisions increased to five from two. Rear-end accidents sometimes go up with cameras because anxious drivers are more likely to stop abruptly.
--Overall accidents increased to seven from six.
--The only injury in either period came under cameras, in a rear-end crash in March 2010. The injury was "non-incapacitating," according to records supplied by cities and compiled in Palm Beach County's accident database.
City officials did not dispute the data but said it was too soon to draw meaningful conclusions.
"A larger sample size is needed to make any determinations about the program's effect on accidents," said city spokesman Peter Robbins.
Advocates for a law passed this spring giving state authorization for the cameras said the whole point was to increase safety - and there was no time to lose.
"We've got to do something," said state Sen. Mike Bennett, R-Bradenton, during the legislative session that ended in April.
The losing side in the debate contended another motive is in play. Motorist group AAA pointed out a private camera contractor working with West Palm Beach and several other cities, American Traffic Solutions of Arizona, is partly owned by Wall Street titan Goldman Sachs, which gained control of two ATS board seats in 2008.
"It's more about the money than it is traffic safety," said Kevin Bakewell, a vice president with AAA in Tampa who unsuccessfully urged Gov. Charlie Crist to veto the state law.
In West Palm Beach, a barrage of fines dwarfed the total number of wrecks, yet accidents still increased. The city issued 1,337.5 citations per crash in the first full month of fines, March. There were two documented accidents in that month at the three city intersections with red-light cameras: Australian Avenue at Banyan Boulevard, Belvedere Road at Parker Avenue, and Summit Boulevard at Parker. By comparison, there was one crash at those intersections in January, the last full month without fines.
The state law that takes effect July 1 increases to $158 from $125 the standard fine mailed to car owners, but takes $70 to $100 of each fine for the state. Local governments share the rest with camera vendors.
The state acted in response to lawsuits challenging local authority over cameras, but West Palm Beach had already become the first city in Palm Beach County to issue fines with red-light cameras. More than half a dozen cities and the county are poised to proceed with cameras of their own, and their public justification in each case has been safety.
http://www.palmbeachpost.com/news/rear-end-collisions-jump-at-red-light-camera-706186.html?page=2
Where does it end?
Rear-end collisions jump at red-light camera intersections in West Palm Beach
By Charles Elmore Palm Beach Post Staff Writer
WEST PALM BEACH — Rear-end collisions more than doubled and accidents increased overall in the first 70 days of red-light cameras in West Palm Beach compared to the same period of 2009, traffic records reviewed by The Palm Beach Post show.
In the name of boosting safety, not revenues, West Palm Beach issued 2,675 camera fines worth a third of a million dollars in March alone.
But at the three city intersections from Feb. 21, when fines began, through May 1, The Post found:
--Rear-end collisions increased to five from two. Rear-end accidents sometimes go up with cameras because anxious drivers are more likely to stop abruptly.
--Overall accidents increased to seven from six.
--The only injury in either period came under cameras, in a rear-end crash in March 2010. The injury was "non-incapacitating," according to records supplied by cities and compiled in Palm Beach County's accident database.
City officials did not dispute the data but said it was too soon to draw meaningful conclusions.
"A larger sample size is needed to make any determinations about the program's effect on accidents," said city spokesman Peter Robbins.
Advocates for a law passed this spring giving state authorization for the cameras said the whole point was to increase safety - and there was no time to lose.
"We've got to do something," said state Sen. Mike Bennett, R-Bradenton, during the legislative session that ended in April.
The losing side in the debate contended another motive is in play. Motorist group AAA pointed out a private camera contractor working with West Palm Beach and several other cities, American Traffic Solutions of Arizona, is partly owned by Wall Street titan Goldman Sachs, which gained control of two ATS board seats in 2008.
"It's more about the money than it is traffic safety," said Kevin Bakewell, a vice president with AAA in Tampa who unsuccessfully urged Gov. Charlie Crist to veto the state law.
In West Palm Beach, a barrage of fines dwarfed the total number of wrecks, yet accidents still increased. The city issued 1,337.5 citations per crash in the first full month of fines, March. There were two documented accidents in that month at the three city intersections with red-light cameras: Australian Avenue at Banyan Boulevard, Belvedere Road at Parker Avenue, and Summit Boulevard at Parker. By comparison, there was one crash at those intersections in January, the last full month without fines.
The state law that takes effect July 1 increases to $158 from $125 the standard fine mailed to car owners, but takes $70 to $100 of each fine for the state. Local governments share the rest with camera vendors.
The state acted in response to lawsuits challenging local authority over cameras, but West Palm Beach had already become the first city in Palm Beach County to issue fines with red-light cameras. More than half a dozen cities and the county are poised to proceed with cameras of their own, and their public justification in each case has been safety.
http://www.palmbeachpost.com/news/rear-end-collisions-jump-at-red-light-camera-706186.html?page=2
Spread The Wealth
I am just a little angry right now that people after hearing President Obama tell Joe the Plummer that he thinks it is better for everyone when you spread the wealth around, announcing to the world that the he is indeed a socialist/fascist, that people still voted for him. Sorry I know the story is old but this article just brought it all back for me.
Private pay shrinks to historic lows as gov't payouts rise
By Dennis Cauchon, USA TODAY
Paychecks from private business shrank to their smallest share of personal income in U.S. history during the first quarter of this year, a USA TODAY analysis of government data finds.
At the same time, government-provided benefits — from Social Security, unemployment insurance, food stamps and other programs — rose to a record high during the first three months of 2010.
Those records reflect a long-term trend accelerated by the recession and the federal stimulus program to counteract the downturn. The result is a major shift in the source of personal income from private wages to government programs.
The trend is not sustainable, says University of Michigan economist Donald Grimes. Reason: The federal government depends on private wages to generate income taxes to pay for its ever-more-expensive programs. Government-generated income is taxed at lower rates or not at all, he says. "This is really important," Grimes says.
http://www.usatoday.com/money/economy/income/2010-05-24-income-shifts-from-private-sector_N.htm
Private pay shrinks to historic lows as gov't payouts rise
By Dennis Cauchon, USA TODAY
Paychecks from private business shrank to their smallest share of personal income in U.S. history during the first quarter of this year, a USA TODAY analysis of government data finds.
At the same time, government-provided benefits — from Social Security, unemployment insurance, food stamps and other programs — rose to a record high during the first three months of 2010.
Those records reflect a long-term trend accelerated by the recession and the federal stimulus program to counteract the downturn. The result is a major shift in the source of personal income from private wages to government programs.
The trend is not sustainable, says University of Michigan economist Donald Grimes. Reason: The federal government depends on private wages to generate income taxes to pay for its ever-more-expensive programs. Government-generated income is taxed at lower rates or not at all, he says. "This is really important," Grimes says.
http://www.usatoday.com/money/economy/income/2010-05-24-income-shifts-from-private-sector_N.htm
Sunday, May 23, 2010
We Send Back Them
Listen to the President of Mexico, who you might remember is blasting Arizona for enforcing federal law, try and double talk his way through this interview. When asked what Mexico does with illegal aliens that enter their country (I know, I know; its a growing concern I guess) President Calderon says "We send back them!"
Amen, hallelujah that is what I am all for, lets follow Mexico's lead and send back them.
Amen, hallelujah that is what I am all for, lets follow Mexico's lead and send back them.
Friday, May 21, 2010
Must Watch Video
I am kind of getting tired of saying Wake Up America as I am sure if you are reading this blog you are probably already awake. So now is the time to wake up your neighbors, friends, relatives, co-workers, etc. It is time to stop being quite and start talking. I don't know who it was that first said "don't talk about politics or religion" but I am sure it must have been a leftist of some kind. If we can't talk about two of the most important things in humanity than I don't know what we can talk to each other about.
So anyway back on topic. Below you will find a very disturbing video of a radical muslim student, here in the United States, asking a question to David Horowitz who is exposing the Muslim Student Association’s (MSA's) radical Islamic ties. After watching the video you might want to do a little homework. Notice she talks about the Hitler youth program, go out and find the ties between Hitler and the Nazi's and Muslim extremist. For example: Iran isn't called Iran for no reason. Find out why. Anyway watch the video below:
Read more: http://dailycaller.com/2010/05/13/muslim-student-association-member-admits-she-wants-jewish-genocide-video/#ixzz0oVCBFtBw
So anyway back on topic. Below you will find a very disturbing video of a radical muslim student, here in the United States, asking a question to David Horowitz who is exposing the Muslim Student Association’s (MSA's) radical Islamic ties. After watching the video you might want to do a little homework. Notice she talks about the Hitler youth program, go out and find the ties between Hitler and the Nazi's and Muslim extremist. For example: Iran isn't called Iran for no reason. Find out why. Anyway watch the video below:
Read more: http://dailycaller.com/2010/05/13/muslim-student-association-member-admits-she-wants-jewish-genocide-video/#ixzz0oVCBFtBw
Another Government Healthcare Failure
Check out this article
Texas doctors opting out of Medicare at alarming rate
By TODD ACKERMAN
HOUSTON CHRONICLE
Texas doctors are opting out of Medicare at alarming rates, frustrated by reimbursement cuts they say make participation in government-funded care of seniors unaffordable.
Two years after a survey found nearly half of Texas doctors weren't taking some new Medicare patients, new data shows 100 to 200 a year are now ending all involvement with the program. Before 2007, the number of doctors opting out averaged less than a handful a year.
“This new data shows the Medicare system is beginning to implode,” said Dr. Susan Bailey, president of the Texas Medical Association. “If Congress doesn't fix Medicare soon, there'll be more and more doctors dropping out and Congress' promise to provide medical care to seniors will be broken.”
More than 300 doctors have dropped the program in the last two years, including 50 in the first three months of 2010, according to data compiled by the Houston Chronicle. Texas Medical Association officials, who conducted the 2008 survey, said the numbers far exceeded their assumptions.
The uncertainty proved too much for Dr. Guy Culpepper, a Dallas-area family practice doctor who says he wrestled with his decision for years before opting out in March. It was, he said, the only way “he could stop getting bullied and take control of his practice.”
“You do Medicare for God and country because you lose money on it,” said Culpepper, a graduate of the University of Texas Medical School at Houston. “The only way to provide cost-effective care is outside the Medicare system, a system without constant paperwork and headaches and inadequate reimbursement.”
In a new Texas Medical Association survey, opting out was one of the least common options doctors have taken or are planning as a result of declining Medicare funding — behind increasing fees, reducing staff wages and benefits, reducing charity care and not accepting new Medicare patients.
Read Full Story Here: http://www.chron.com/disp/story.mpl/metropolitan/7009807.html
Texas doctors opting out of Medicare at alarming rate
By TODD ACKERMAN
HOUSTON CHRONICLE
Texas doctors are opting out of Medicare at alarming rates, frustrated by reimbursement cuts they say make participation in government-funded care of seniors unaffordable.
Two years after a survey found nearly half of Texas doctors weren't taking some new Medicare patients, new data shows 100 to 200 a year are now ending all involvement with the program. Before 2007, the number of doctors opting out averaged less than a handful a year.
“This new data shows the Medicare system is beginning to implode,” said Dr. Susan Bailey, president of the Texas Medical Association. “If Congress doesn't fix Medicare soon, there'll be more and more doctors dropping out and Congress' promise to provide medical care to seniors will be broken.”
More than 300 doctors have dropped the program in the last two years, including 50 in the first three months of 2010, according to data compiled by the Houston Chronicle. Texas Medical Association officials, who conducted the 2008 survey, said the numbers far exceeded their assumptions.
The uncertainty proved too much for Dr. Guy Culpepper, a Dallas-area family practice doctor who says he wrestled with his decision for years before opting out in March. It was, he said, the only way “he could stop getting bullied and take control of his practice.”
“You do Medicare for God and country because you lose money on it,” said Culpepper, a graduate of the University of Texas Medical School at Houston. “The only way to provide cost-effective care is outside the Medicare system, a system without constant paperwork and headaches and inadequate reimbursement.”
In a new Texas Medical Association survey, opting out was one of the least common options doctors have taken or are planning as a result of declining Medicare funding — behind increasing fees, reducing staff wages and benefits, reducing charity care and not accepting new Medicare patients.
Read Full Story Here: http://www.chron.com/disp/story.mpl/metropolitan/7009807.html
Thursday, May 20, 2010
Mexican President Insults Americans
Mexican President Insults Americans in our own country in front of congress
Watch this video as the President of Mexico talks about the Arizona immigration law. If you are an American that usually votes democrat for whatever dumb ass reason ask yourself this question, as you watch all of the democrats in congress stand up and applaud President Calderon as he bad mouths your country, ask yourself: "Is this what I believe? Do these democrats share my values?"
And if you are a republican that believes in conservative values ask yourself this question: "Why is a quarter of the republicans standing up also?"
Time to vote the bums out if you ask me.
The bottom line here is that these people do not want to secure our borders and the Mexican President telling us how we should secure our borders is the height of hypocrisy. Below the video are just some of the laws Mexico has on immigration.
Mexico's Immigration Laws:
Mexican law makes it a felony to be an illegal alien in Mexico. Yet if the United States adopted such a law, Mexico would no doubt denounce it as a manifestation of American bigotry.
Foreigners are admitted into Mexico "according to their possibilities of contributing to national progress." (Article 32)
Immigration officials must "ensure (that) immigrants will be useful elements for the country and that they have the necessary funds for their sustenance" and that of their dependents. (Article 34)
Foreigners may be barred from the country if their presence has upset "the equilibrium of the national demographics," if they are deemed detrimental to "economic or national interests," if they are not good citizens in their own country, if they have broken Mexican laws, or if "they are not found to be physically or mentally healthy." (Article 37)
The secretary of governance may "suspend or prohibit the admission of foreigners when he determines it to be in the national interest." (Article 38)
Mexican authorities keep track of every person in the country:
Federal, local and municipal police must cooperate with federal immigration authorities upon request: i.e., help in the arrest of illegal immigrants. (Article 73)
A National Population Registry tracks every "individual who comprises (sic) the population of the country," verifying each individual's identity. (Articles 85 and 86)
A national Catalogue of Foreigners tracks foreign tourists and immigrants (Article 87), assigning each a tracking number. (Article 91)
Foreigners with fake papers or who enter the country under false pretenses may be imprisoned:
Foreigners with fake immigration papers may be fined or imprisoned.
(Article 116)
Foreigners who sign government documents "with a signature that is false or different from that which he normally uses" are subject to fine and imprisonment. (Article 116)
Foreigners who fail to obey the rules will be fined, deported, and/or imprisoned as felons:
Foreigners who fail to obey a deportation order are to be punished. (Article 117)
Deported foreigners who try to re-enter Mexico without authorization can be imprisoned for up to 10 years. (Article 118)
Foreigners who violate terms of their visa may be sentenced for up to six years in prison. (Articles 119, 120, and 121) Foreigners who misrepresent the terms of their visa (as by working without a permit) can also be imprisoned.
Under Mexican law, illegal immigration is a felony. The General Law on Population says:
"A penalty of up to two years in prison and a fine of 300 to 5,000 pesos will be imposed on the foreigner who enters the country illegally." (Article 123)
Foreigners with immigration problems may be deported, rather than imprisoned. (Article 125)
Foreigners who "(make attempts) against national sovereignty or security" will be deported. (Article 126)
Mexicans who help illegal aliens enter the country are considered criminals:
A Mexican who marries a foreigner with the sole objective of helping the foreigner live in the country is subject to up to five years in prison. (Article 127)
Shipping and airline companies that bring undocumented foreigners into Mexico will be fined. (Article 132)
Get the picture America? We all need to pass an Arizona style immigration law, then the illegal aliens will start policing themselves and some if not most will start to leave the country, state by state.
Watch this video as the President of Mexico talks about the Arizona immigration law. If you are an American that usually votes democrat for whatever dumb ass reason ask yourself this question, as you watch all of the democrats in congress stand up and applaud President Calderon as he bad mouths your country, ask yourself: "Is this what I believe? Do these democrats share my values?"
And if you are a republican that believes in conservative values ask yourself this question: "Why is a quarter of the republicans standing up also?"
Time to vote the bums out if you ask me.
The bottom line here is that these people do not want to secure our borders and the Mexican President telling us how we should secure our borders is the height of hypocrisy. Below the video are just some of the laws Mexico has on immigration.
Mexico's Immigration Laws:
Mexican law makes it a felony to be an illegal alien in Mexico. Yet if the United States adopted such a law, Mexico would no doubt denounce it as a manifestation of American bigotry.
Foreigners are admitted into Mexico "according to their possibilities of contributing to national progress." (Article 32)
Immigration officials must "ensure (that) immigrants will be useful elements for the country and that they have the necessary funds for their sustenance" and that of their dependents. (Article 34)
Foreigners may be barred from the country if their presence has upset "the equilibrium of the national demographics," if they are deemed detrimental to "economic or national interests," if they are not good citizens in their own country, if they have broken Mexican laws, or if "they are not found to be physically or mentally healthy." (Article 37)
The secretary of governance may "suspend or prohibit the admission of foreigners when he determines it to be in the national interest." (Article 38)
Mexican authorities keep track of every person in the country:
Federal, local and municipal police must cooperate with federal immigration authorities upon request: i.e., help in the arrest of illegal immigrants. (Article 73)
A National Population Registry tracks every "individual who comprises (sic) the population of the country," verifying each individual's identity. (Articles 85 and 86)
A national Catalogue of Foreigners tracks foreign tourists and immigrants (Article 87), assigning each a tracking number. (Article 91)
Foreigners with fake papers or who enter the country under false pretenses may be imprisoned:
Foreigners with fake immigration papers may be fined or imprisoned.
(Article 116)
Foreigners who sign government documents "with a signature that is false or different from that which he normally uses" are subject to fine and imprisonment. (Article 116)
Foreigners who fail to obey the rules will be fined, deported, and/or imprisoned as felons:
Foreigners who fail to obey a deportation order are to be punished. (Article 117)
Deported foreigners who try to re-enter Mexico without authorization can be imprisoned for up to 10 years. (Article 118)
Foreigners who violate terms of their visa may be sentenced for up to six years in prison. (Articles 119, 120, and 121) Foreigners who misrepresent the terms of their visa (as by working without a permit) can also be imprisoned.
Under Mexican law, illegal immigration is a felony. The General Law on Population says:
"A penalty of up to two years in prison and a fine of 300 to 5,000 pesos will be imposed on the foreigner who enters the country illegally." (Article 123)
Foreigners with immigration problems may be deported, rather than imprisoned. (Article 125)
Foreigners who "(make attempts) against national sovereignty or security" will be deported. (Article 126)
Mexicans who help illegal aliens enter the country are considered criminals:
A Mexican who marries a foreigner with the sole objective of helping the foreigner live in the country is subject to up to five years in prison. (Article 127)
Shipping and airline companies that bring undocumented foreigners into Mexico will be fined. (Article 132)
Get the picture America? We all need to pass an Arizona style immigration law, then the illegal aliens will start policing themselves and some if not most will start to leave the country, state by state.
Tuesday, May 11, 2010
Gold hits all-time high
Gold hits all-time high as investors seek haven
By Javier Blas and Jack Farchy in London
Published: May 11 2010 20:07 Last updated: May 11 2010 20:07
Gold prices hit an all-time high as demand surged to the highest level since the collapse of Lehman Brothers in 2008 amid volatile financial markets in Europe.
Spot gold in London surged to above $1,230 a troy ounce, surpassing the previous record set in December last year.
Traders and coin dealers said buying was exceptionally strong from German and Swiss investors. In Frankfurt, gold sellers said that demand late last week was three to four times normal levels. The spike appears to reflect concerns in Germany about the potential inflationary impact of the European Central Bank’s decision to buy up eurozone government bonds in the wake of the Greek debt crisis.
Michael Kramer, president of Manfra, Tordella & Brookes, a large New York-based coin dealership, said: “The demand has been huge overseas. Most of it is ending up in Germany.” Edel Tully, precious metals strategist at UBS in London, added: “Coin demand is so intense that SUPPLY is struggling to match”.
Kerry Tattersall, marketing director at the Austrian Mint, which sells the popular Vienna Philharmonic bullion coin, said the mint was producing “as fast as we can”.
Holdings in physically backed gold exchange traded funds are at record highs after some ETFs last week experienced their biggest inflows in over a year.
Global investors have been increasingly turning to gold since 2008. Gold traditionally performs well during times of financial distress or in times of US dollar weakness.
Global investors, led by the US, last year bought a record 228.5 tonnes of gold in the form of bullion coins, up from 77.4 tonnes in 2000, according to GFMS, the London-based precious metals consultancy.
Read More: http://www.ft.com/cms/s/0/c43cc5fc-5d2b-11df-8373-00144feab49a.html
By Javier Blas and Jack Farchy in London
Published: May 11 2010 20:07 Last updated: May 11 2010 20:07
Gold prices hit an all-time high as demand surged to the highest level since the collapse of Lehman Brothers in 2008 amid volatile financial markets in Europe.
Spot gold in London surged to above $1,230 a troy ounce, surpassing the previous record set in December last year.
Traders and coin dealers said buying was exceptionally strong from German and Swiss investors. In Frankfurt, gold sellers said that demand late last week was three to four times normal levels. The spike appears to reflect concerns in Germany about the potential inflationary impact of the European Central Bank’s decision to buy up eurozone government bonds in the wake of the Greek debt crisis.
Michael Kramer, president of Manfra, Tordella & Brookes, a large New York-based coin dealership, said: “The demand has been huge overseas. Most of it is ending up in Germany.” Edel Tully, precious metals strategist at UBS in London, added: “Coin demand is so intense that SUPPLY is struggling to match”.
Kerry Tattersall, marketing director at the Austrian Mint, which sells the popular Vienna Philharmonic bullion coin, said the mint was producing “as fast as we can”.
Holdings in physically backed gold exchange traded funds are at record highs after some ETFs last week experienced their biggest inflows in over a year.
Global investors have been increasingly turning to gold since 2008. Gold traditionally performs well during times of financial distress or in times of US dollar weakness.
Global investors, led by the US, last year bought a record 228.5 tonnes of gold in the form of bullion coins, up from 77.4 tonnes in 2000, according to GFMS, the London-based precious metals consultancy.
Read More: http://www.ft.com/cms/s/0/c43cc5fc-5d2b-11df-8373-00144feab49a.html
Sunday, May 9, 2010
WOW A Rare Moment of Truth From The Media
This is a must watch video. Brian Williams talks to David Letterman on the recent stock market freefall, the status of Greece, and whats to come. Please, please prepare people. I mean this guy is saying things like "I wouldn't leave the house" and he is right things are getting pretty dire just prepare yourselves.
Saturday, May 8, 2010
U.S.A Countdown
U.S. Debt Crisis and Tax increases. It's coming:
In the wake of the financial crisis and recession, Moody's Investors Service has brought new transparency to its sovereign ratings analysis — so much so that 2018 lights up as the year the U.S. could be in line for a downgrade if Congressional Budget Office projections hold.
The key data point in Moody's view is the size of federal interest payments on the public debt as a percentage of tax revenue. For the U.S., debt service of 18%-20% of federal revenue is the outer limit of AAA-territory, Moody's managing director Pierre Cailleteau confirmed in an e-mail.
Under the Obama budget, interest would top 18% of revenue in 2018 and 20% in 2020, CBO projects.
But under more adverse scenarios than the CBO considered, including higher interest rates, Moody's projects that debt service could hit 22.4% of revenue by 2013.
The Moody's ratings framework is one that could have a significant influence on policy — particularly in a crisis.
Because debt levels and interest rates can't be lowered overnight, the obvious way of staying within the AAA limits set by Moody's would be to raise revenue.
"It would bias the remedy in favor of tax increases for countries that want to improve their bond rating," said Brian Riedl, budget analyst at the conservative Heritage Foundation.
Because economic growth is a key to fiscal health, Riedl argues that a ratings agency concerned about whether bondholders are repaid should bias spending cuts over tax increases.
Read Full Story Here: http://www.investors.com/NewsAndAnalysis/Article.aspx?id=532490
In the wake of the financial crisis and recession, Moody's Investors Service has brought new transparency to its sovereign ratings analysis — so much so that 2018 lights up as the year the U.S. could be in line for a downgrade if Congressional Budget Office projections hold.
The key data point in Moody's view is the size of federal interest payments on the public debt as a percentage of tax revenue. For the U.S., debt service of 18%-20% of federal revenue is the outer limit of AAA-territory, Moody's managing director Pierre Cailleteau confirmed in an e-mail.
Under the Obama budget, interest would top 18% of revenue in 2018 and 20% in 2020, CBO projects.
But under more adverse scenarios than the CBO considered, including higher interest rates, Moody's projects that debt service could hit 22.4% of revenue by 2013.
The Moody's ratings framework is one that could have a significant influence on policy — particularly in a crisis.
Because debt levels and interest rates can't be lowered overnight, the obvious way of staying within the AAA limits set by Moody's would be to raise revenue.
"It would bias the remedy in favor of tax increases for countries that want to improve their bond rating," said Brian Riedl, budget analyst at the conservative Heritage Foundation.
Because economic growth is a key to fiscal health, Riedl argues that a ratings agency concerned about whether bondholders are repaid should bias spending cuts over tax increases.
Read Full Story Here: http://www.investors.com/NewsAndAnalysis/Article.aspx?id=532490
Thursday, May 6, 2010
A Vision Of Our Future!!!
Who is John Galt? And Where?
I don't know how many people are paying attention to what is going on in Greece but they had better start because I believe it will be coming to a city near you in the near future. So what is going on in Greece? I will tell you and see if any of this sounds familiar to any of you in the United States or anywhere else in the civilized world for that matter. In Greece they have had a socialist government for years with uncontrolled spending, cheap lending, and massive entitlement programs. The countries National debt, put at €300 billion ($413.6 billion), is bigger than the country's economy, with some estimates predicting it will reach 120 percent of gross domestic product in 2010. The country's deficit -- how much more it spends than it takes in -- is 12.7 percent.
Greece's credit rating -- the assessment of its ability to repay its debts -- has been downgraded to the lowest in the eurozone, meaning that foreign investors will be scared away leaving the country struggling to pay its bills as interest rates on existing debts rise.
So what do you think Greece is doing to try and get its tumbling economy back on track? Well they are doing one thing that needs to be done and the other is just suicide. Good Luck Greece. First the good: The government has started slashing away at spending, raised the retirement age by two years, and imposed public sector pay cuts. Now for the stupid thing they are doing: THEY ARE RAISING TAXES. That's right raising taxes while cutting pay.
Now here is a good point for all of you "it can't happen here in America" types. Question- what do you think America will look like if and hopefully when we get rid of social security, medicare, and other entitlements that our government has hooked people on? Thats right... withdrawls and they ain't pretty. I mean for God's sake lets see what we have in common with Greece:
Massive Debt: Check
Massive socialist entitlement programs: Check
Socialist/Progressive policies and leaders: Check
So whats next for us? Well probably a downgrade in our credit rating, Greece will fail, Portugal, England, Italy, Spain, and Ireland will follow, along with us The United States of America. Make no mistake about socialism never works, it is always a miserable failure and the living hell we all are about to go through should be proof positive. I mean really, ask yourselves our your progressive friends to explain why Europe is on the bring of destruction? Kind of obvious isn't it? Yet our President our progressive leaders, and idiot liberals across America want us to be more like Europe? No thanks!!! We are already to close to them for my comfort, but hopefully far enough away still to see it coming and prepare.
Now here is a good point for all of you "it can't happen here in America" types. Question- what do you think America will look like if and hopefully when we get rid of social security, medicare, and other entitlements that our government has hooked people on? Thats right... withdrawls and they ain't pretty. I mean for God's sake lets see what we have in common with Greece:
Massive Debt: Check
Massive socialist entitlement programs: Check
Socialist/Progressive policies and leaders: Check
So whats next for us? Well probably a downgrade in our credit rating, Greece will fail, Portugal, England, Italy, Spain, and Ireland will follow, along with us The United States of America. Make no mistake about socialism never works, it is always a miserable failure and the living hell we all are about to go through should be proof positive. I mean really, ask yourselves our your progressive friends to explain why Europe is on the bring of destruction? Kind of obvious isn't it? Yet our President our progressive leaders, and idiot liberals across America want us to be more like Europe? No thanks!!! We are already to close to them for my comfort, but hopefully far enough away still to see it coming and prepare.
Tennessee Floods
Below is a wonderful article about government, politics, the media, and good decent people. It was written by Nashville native, Patten Fuqua, entitled 'We Are Nashville.'
"If you live outside of Nashville, you may not be aware, but our city was hit by a 500-year flood over the last few days. The national news coverage gave us 15 minutes, but went back to focusing on a failed car bomb and an oil spill in the Gulf of Mexico. While both are clearly important stories, was that any reason to ignore our story? It may not be as terror-sexy as a failed car bomb or as eco-sexy as an oil spill, but that’s no reason to be ignored."
"The Cumberland River crested at its highest level in over 80 years. Nashville had its highest rainfall totals since records began. People drowned. Billions of dollars in damage occurred. It is the single largest disaster to hit Middle Tennessee since the Civil War. And yet…no one knows about it."
"Does it really matter? Eventually, it will…as I mentioned, there are billions of dollars in damage. It seems bizarre that no one seems to be aware that we just experienced what is quite possibly the costliest non-hurricane disaster in American history. The funds to rebuild will have to come from somewhere, which is why people need to know. It’s hard to believe that we will receive much relief if there isn’t a perception that we need it."
"But let’s look at the other side of the coin for a moment. A large part of the reason that we are being ignored is because of who we are. Think about that for just a second. Did you hear about looting? Did you hear about crime sprees? No…you didn’t. You heard about people pulling their neighbors off of rooftops. You saw a group of people trying to move two horses to higher ground. No…we didn’t loot. Our biggest warning was, “Don’t play in the floodwater.” When you think about it…that speaks a lot for our city. A large portion of why we were being ignored was that we weren’t doing anything to draw attention to ourselves. We were handling it on our own."
"Some will be quick to find fault in the way rescue operations were handled, but the fact of the matter is that the catastrophe could not have been prevented and it is simply ignorant beyond all reason to suggest otherwise. It is a flood. It was caused by rain. You can try to find a face to stick this tragedy to, but you’ll be wrong."
"Parts of Nashville that could never even conceivably be underwater were underwater. Some of them still are. Opry Mills and the Opryland Hotel are, for all intents and purposes, destroyed. People died sitting in standstill traffic on the Interstate. We saw boats going down West End. And, of course, we all saw the surreal image of the portable building from Lighthouse Christian floating into traffic and being destroyed when cars were knocked into it. I’m still having trouble comprehending all of it."
"And yet…life will go on. We’ll go back to work, to school, to our lives…and we’ll carry on. In a little over a month, I’ll be on this website talking about the draft. In October, we’ll be discussing the new Predators’ season with nary a thought of these past few days. But in a way, they changed everyone in this town. We now know that it can happen to us…but also know that we can handle it.
Because we are Nashville."
"If you live outside of Nashville, you may not be aware, but our city was hit by a 500-year flood over the last few days. The national news coverage gave us 15 minutes, but went back to focusing on a failed car bomb and an oil spill in the Gulf of Mexico. While both are clearly important stories, was that any reason to ignore our story? It may not be as terror-sexy as a failed car bomb or as eco-sexy as an oil spill, but that’s no reason to be ignored."
"The Cumberland River crested at its highest level in over 80 years. Nashville had its highest rainfall totals since records began. People drowned. Billions of dollars in damage occurred. It is the single largest disaster to hit Middle Tennessee since the Civil War. And yet…no one knows about it."
"Does it really matter? Eventually, it will…as I mentioned, there are billions of dollars in damage. It seems bizarre that no one seems to be aware that we just experienced what is quite possibly the costliest non-hurricane disaster in American history. The funds to rebuild will have to come from somewhere, which is why people need to know. It’s hard to believe that we will receive much relief if there isn’t a perception that we need it."
"But let’s look at the other side of the coin for a moment. A large part of the reason that we are being ignored is because of who we are. Think about that for just a second. Did you hear about looting? Did you hear about crime sprees? No…you didn’t. You heard about people pulling their neighbors off of rooftops. You saw a group of people trying to move two horses to higher ground. No…we didn’t loot. Our biggest warning was, “Don’t play in the floodwater.” When you think about it…that speaks a lot for our city. A large portion of why we were being ignored was that we weren’t doing anything to draw attention to ourselves. We were handling it on our own."
"Some will be quick to find fault in the way rescue operations were handled, but the fact of the matter is that the catastrophe could not have been prevented and it is simply ignorant beyond all reason to suggest otherwise. It is a flood. It was caused by rain. You can try to find a face to stick this tragedy to, but you’ll be wrong."
"Parts of Nashville that could never even conceivably be underwater were underwater. Some of them still are. Opry Mills and the Opryland Hotel are, for all intents and purposes, destroyed. People died sitting in standstill traffic on the Interstate. We saw boats going down West End. And, of course, we all saw the surreal image of the portable building from Lighthouse Christian floating into traffic and being destroyed when cars were knocked into it. I’m still having trouble comprehending all of it."
"And yet…life will go on. We’ll go back to work, to school, to our lives…and we’ll carry on. In a little over a month, I’ll be on this website talking about the draft. In October, we’ll be discussing the new Predators’ season with nary a thought of these past few days. But in a way, they changed everyone in this town. We now know that it can happen to us…but also know that we can handle it.
Because we are Nashville."
Tuesday, May 4, 2010
Anti-American
Let me just ask a few hypothetical questions here. Just suppose that there is, oh I don't know, lets say an SUV parked in New York City and the police find a bomb in it. Who do you start looking for? These people, we will call them group A?
Or these people, group B?
Well if you are the United States Government, the liberal media, or any other big government progressive you start looking for people from group A.
Here are some quotes from NYC Big Government Mayor Bloomberg: Bloomberg told CBS Evening News Anchor Katie Couric that the suspect behind the bombing attempt could be a domestic terrorist angry at the government who acted alone.
"If I had to guess 25 cents, this would be exactly that. Homegrown, or maybe a mentally deranged person, or somebody with a political agenda that doesn't like the health care bill or something. It could be anything," he said.
"There is no evidence here of a conspiracy, there is no evidence that it's tied into anything else. It looks like an amateurish job done by at least one person," he told Couric.
Then the NY Times, time after time keeps calling the Islamic terrorist "A Connecticut man."
"A Connecticut man who was arrested as his plane was about to take off from Kennedy Airport admitted on Tuesday that he had tried to explode a car bomb in Times Square, and had received bomb-making training in the militant strongholds of western Pakistan, according to a criminal complaint."
And worst yet from the NY Times they say: "Mr. Shahzad, a naturalized United States citizen from Pakistan..."
And then we have MSNBC host Contessa Brewer said this on the Stephanie Miller show: "I get frustrated...There was part of me that was hoping this was not going to be anybody with ties to any kind of Islamic country.
There are a lot of people who want to use terrorist intent to justify writing off people who believe in a certain way or come from certain countries or whose skin color is a certain way. I mean they use it as justification for really outdated bigotry."
She sounds to me like one of those idiots that doesn't think we should racial profile muslim looking people at airports, oh wait, kind of like our own government. Speaking of that, as you all know we have caught the guy you tried to blow up his SUV and kill innocent people in NYC and where did we find him? Thats right on a plane. How did he get on a plane you ask? I contend that since he is a muslim he walked straight through security while granny there in group A was being stripped searched. And just for the record for all of you non-racial profiling progressive, liberal, big government idiots, the person caught was A Muslim male extremist between the ages of 17 and 40. See earlier blog below:
http://cincinnatus17.blogspot.com/2010/01/case-for-racial-profiling.html
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