Gerald Celente joins the show at 5:15 mark.
Posted by Volubrjotr on December 8, 2014
Editor’s Note: As Michael Snyder notes, JP Morgan Chase, Goldman Sachs, Citibank, Bank of America, Morgan Stanley, and plenty of others have manipulated the market with these derivative bets, and have at least $40 trillion in derivatives exposure. If Congress passes FDIC protection for these controversial and complex financial instruments, it could dwarf existing debt held by the federal government and cost taxpayers an absolutely insurmountable sum, all while letting the bankers walk away free, and with their other winnings in hand.
Back in 2011, the Federal Reserve quietly stepped up to the plate to back Bank of America in attempting to park more than $75 trillion in European derivatives exposure in a division covered by FDIC (Federal Deposit Insurance Corporation) loss insurance – meant for ordinary consumers to promote general confidence in the banking system!
Bank of America is shifting derivatives in its Merrill investment banking unit to its depository arm, which has access to the Fed discount window and is protected by the FDIC.
This means that the investment bank’s European derivatives exposure is now backstopped by U.S. taxpayers. Bank of America didn’t get regulatory approval to do this, they just did it at the request of frightened counterparties. Now the Fed and the FDIC are fighting as to whether this was sound. The Fed wants to “give relief” to the bank holding company, which is under heavy pressure.
The FDIC objected, and the deal stalled, but the gesture has been attempted on other occasions as well, and the banks are now seeking to make this a general protection for derivatives at large. This is the ultimate in letting American taxpayers hold the bag, while the real criminals speed off in the proverbial get away vehicle – all with the Federal Reserve in the driver’s seat, mind you.
Wow! The mantra of private gains, public losses has never been more true; meanwhile, the American people are serious trouble if this passes through.
07 Dec, 2014 by Dave Hodges
Something big is about to happen. So many say that they can feel it in their bones. A migration to underground hideouts began two years ago in earnest for members of the alphabet soup agency retirees. I knew one of these “refugees” personally and he pointed to 2015 as the time when he anticipated that all hell was going to break loose. I wrote an article about the defection of my FEMA contact, his family and like-minded individuals from FEMA and DHS, almost two years ago.
Pastor Lindsay Williams recently sent me an email regarding a survival tip for the difficult times ahead. Pastor Williams has been a guest on my show several times and I sent him back an email asking when he would like to come back on my show. He responded that he has stopped doing interviews. His message indicated it is almost time to stop talking and to start preparing for some very dark days.
How do I know? Some of my very best contacts have told me that it is time to stop warning the people, because it is now time to start hiding from the wrong people. My initial reaction is to not believe them, but there are too many well-placed sources to not take seriously.
Jim Marrs Saw the Warning on the Wall Five Years Ago
In a December 9, 2012 interview on The Common Sense Show, Jim Marrs discussed how approximately 400-500 top level bankers have left their positions and have gone into seclusion. Marrs reminded my listening audience of how the elite have developed seed vaults which only they have access to. Marrs was clearly alluding to the fact that some very bad events are coming and the global elite are aware of it and are moving to meet the threat. I have firsthand knowledge of four ex-fed officials and their families who have relocated to safety enclaves when doing so was very disruptive to their respective family’s lives. Increasingly, it is looking like some major event(s) is/are coming and persons with insider information are attempting to remove themselves from harm’s way. Jim Marrs will be a guest for three hours (9pm-Midnight Central) on December 7, 2014 to discuss this and other issues.
Another media friend of mine, Paul Martin, of Revolution Radio, has been repeatedly telling me that several key contacts of his from the various alphabet soup agencies as well as the military have, or are, leaving the country in anticipation of what is coming. In the past two weeks, I have had a number of phone calls from media people who are telling me that their sources are repeating the same mantra, or they are just dropping off of the radar.
“Get ready for 2015″!
Update: Tyler Durden points out that income and payroll tax receipts do not support the job claims made for the 2014 economy: http://www.zerohedge.com/news/2014-12-07/something-stinks-inside-bls-jobs-data
Friday’s payroll jobs report is another government fairy tale or, to avoid polite euphemisms, another packet of lies just like the House of Representatives Resolution against Russia and every other statement that comes out of Washington.
Washington is averse to truth. Washington can only lie.
First let’s pretend that the 321,000 new jobs that the government claims the economy created in November are true, and let’s see where these jobs are.
Specialty trade contractors, which I think are home and office remodelers, accounted for 20,000 jobs. I doubt that people are putting money into houses and buildings that are worth less than the mortgage.
Manufacturing accounted for 28,000–a very high monthly figure for recent years, one that is unbelievable in view of the rise in the trade deficit and declines in consumer spending on furniture (-3.8%), major appliances (-8.3%), women’s apparel (-17.7%), and household textiles such as towels and sheets (-26.5%), and when US business investment consists of corporations repurchasing their own stocks.
The rest of the claimed jobs are in private domestic services, that is, they are third world jobs. Retail trade claims 50,200 and transportation and warehousing claims 16,700. These numbers are impossible to believe in view of the closings of middle class department stores and Black Friday and Cyber Monday sales flops.
December 5, 2014 InvestmentResearchDynamics.com
The homebuilders are rolling over here. This is daily 1-yr graph of the stock in my latest homebuilder short-sell report posted last night:
Despite the S&P ramping relentlessly higher by the Fed’s hand of intervention, the homebuilder stocks have exhausted themselves, as they are choking on quickly deteriorating fundamentals. This stock has already dropped 6% from its highest close last week, despite the fact that both the S&P 500 and the Dow are higher now than they were last week when this stock topped out. My 3-month short term target is for another 16% decline. My 2-year target: $5 or lower, with bankruptcy possible. This Company has 4x more debt NOW relative to the number of homes it sells than it had at the peak of the housing bubble. In fact OUTRIGHT, it’s debt level is higher than the amount of debt it had in 2005. You can access this report here: Short This Stock For Big Gains.
Here’s some actual “boots on the ground” market information from around the country which verifies that the housing market is starting to deteriorate very quickly (I sourced these first three quotes from The Housing Bubble Blog):
From the Washington Post: Only four cities or counties in the Washington region have fully rebuilt their property tax bases since the 2008 recession, a study from George Mason University’s Center for Regional Analysis says, raising questions about the wisdom of tying local government operating budgets to the real estate market. Property values have stagnated in most suburbs since 2005, said David Versel, the senior research associate who wrote the report.
From the Houston Chronicle (note: the collapse in the price of oil and the shale oil/fracking business will decimate Texas, Colorado, sections of California): For the first time in awhile, real estate observers say some apartments are waiving first month rents and offering other specials to attract new tenants. (On another note, I have noticed that there is a massive surge in apartment supply hitting the Denver market and big apartment buildings are now offering move-in incentives; I’m also seeing a surge homes for rent around the central Denver area).
From CNBC re: northern Virginia: A big jump in listings brought more potential buyers out to northern Virginia’s housing market this summer and fall. The traffic, however, did not translate into a similar jump in sales, and homes are now sitting on the market far longer than they did just one year ago.
Now, despite today’s Government fairy tale about the job market, here’s the reason that the housing market is going to collapse again: A Majority of Americans Make Less Than $20 Per Hour. A recent poll conducted by Trulia showed that nearly 60% of all prospective first-time homebuyers cited the inability to save enough for a down payment as the reason they could not buy a home. Interest rates could go to ZERO and that would still be the case.
The Government, the National Association of Realtors, the National Association of Homebuilders and the Census Bureau can feed us all the made up, statistically manipulated, annualized garbage data they want. BUT they can’t cover up the truth about the actual market conditions unless they shut off the media and close down the internet.
05 Dec, 2014 by Dave Hodges
I despise the Federal Reserve and those who have run our economy into the ground. However, those of you who think that abolishing the Federal Reserve is the key to eliminating the oppression of the American people, are sadly mistaken. Right now, the only reason you have a job to go to, a roof over your head, and food on the table is because of the Federal Reserve. I have some really bad news, the people associated with “The end the Fed movement”, our survival depends on the Federal Reserve and the rest of the Western banking establishments to survive in the upcoming months. No, I have not sold out, but I would suggest reading on and thing about taking a “graduate” course in prepping because I am not sure the West can survive what is unfolding.
The Birth of the Petrodollar
Before explaining how imperiled our economy is, I have to start at the beginning for people who do not understand the significance of the Petrodollar. The Petrodollar is the baseline of our economy and it is in big trouble.
A novel system for monetary and exchange rates were established in 1944. The Bretton Woods Agreement was developed at the United Nations Monetary and Financial Conference held in Bretton Woods, New Hampshire, from July 1-22, 1944. This conference established the US dollar as the reserve currency of the world.
The Banksters (e.g. Rockefellers’) reveled in their new found fortune. As a result of the Bretton Woods Conference, all nations desiring to purchase Middle East oil had to first purchase dollars and use these dollars to complete the purchase of oil.
Nearly everyone inside of our country benefited from this system. Americans basically enjoyed a stable currency minus the inflation rates of about 5% per year which served as an informal tax that went into the Federal Reserve banksters’ pockets. Thus, the Petrodollar was born. If the Petrodollar was to ever be successfully undermined, our currency would sink faster than a submarine with screen doors because there is nothing backing up our money. Put on your life jackets because the ship is sinking fast. The BRICS, led by Russia and China, are growing in influence by leaps and bounds and they are months/years away from being able to effect a collapse of the United States economy.
Since 1944, America has become the most hated nation in the world as we have dominated every single economy on the face of the earth, until now!
The Tables Are Being Turned On the West
The haughtiness of the West as they impose sanctions on Russia over Ukraine is almost laughable. The sanctions are a boomerang in disguise and will come back at us to destroy the American economy which will lead to World War III.
At the heart of the American economy and the Petrodollar is energy and Russia and China just cemented an agreement where they do not need the dollar. The Russia –China US $400 billion energy deal, signed in May this year will by 2018 have some 38 billion cubic meters of gas flow through the so-called ‘Holy Grail’ pipeline from the largest gas producer, Russia, to the largest energy user, China. This deal is many things at once: It is, of course a symbolic step in the process of decoupling hydrocarbon trading from the dollar, as it foresees payments in local currencies, rubles and yuan. It sidesteps the Petrodollar for hydrocarbon trading. Over one-third of the planet just moved away from the dollar when this recent deal was cemented.
This one deal spells the end of dollar dominance on the planet. Much of the economic exchange between the two countries will be conducted in gold instead of the dollar.
The middle class is feeling the squeeze, cutting spending on discretionary items and activities while costs on larger-ticket necessities have risen.
The Wall Street Journal analyzed consumer-spending data from the Bureau of Labor Statistics between 2007 and 2013, finding while incomes have remained flat, the cost of essentials such as housing and healthcare have increased. This translates to a 12% increase in inflation for middle-income households over this five-year period--a stark contrast to the Federal Reserve’s claims of low inflation.
Journalist Lizzie O’Leary, who is the host of Marketplace Weekend, discussed the economic challenges faced by the middle class with Yahoo Finance Editor in Chief Aaron Task. “The way the Fed measures inflation and the way that the average American experiences inflation are two very different things,” she says. “The Fed doesn’t count energy, they don’t count food, they don’t count a lot of the stuff where prices move around the most.”
According to the analysis, middle class spending on health care costs rose 24% from 2006-2013 rent increased 26% and education 23%. Another major budget blow—staying connected—home Internet costs soared 81% and cell phone plans rose 49%.
TruthstreamMedia.com December 4th, 2014
More than one in seven people.
That’s how many people are on food stamps in America these days. More than one in seven people.
In fact, the number of recipients of federal food assistance rose a whopping 171% between 2000 and 2011 alone, to an all-time record of more than 47 million Americans across the country now on the food stamp dole.
That means more U.S. citizens are receiving food stamp benefits now than in the entire history of the food stamp program ever.
One-sixth of the country is now receiving food stamps and the number just continues to climb.
Most argue this increase simply has to do with the terrible recession and resultant unemployment; but the food stamp program, now known as the Supplemental Nutrition Assistance Program or SNAP, is yet another crony capitalist scheme (surprise, surprise).
Many blame the people who need help instead of pointing the finger at a system designed to get as many people on the dole as possible. The government and the corporations it represents literally advertise to get as many people on food stamps as they can and then keep them there as a captured market for Wall St. banks, mega food corporations that churn out a bunch of crap food, and mega box and grocery stores that sell all that crap.
Here are a few more crony facts most people might not realize about our nation’s food stamp program.