Category: Credit Crisis 2011
The analysis published under this category are as follows.
Monday, May 09, 2011
Ireland's Future Depends on Breaking Free From E.U. Bailout / Interest-Rates / Credit Crisis 2011
By: Christopher_Quigley
OPINION: Ireland is heading for bankruptcy, which would be catastrophic for a country that trades on its reputation as a safe place to do business, writes MORGAN KELLY
WITH THE Irish Government on track to owe a quarter of a trillion euro by 2014, a prolonged and chaotic national bankruptcy is becoming inevitable. By the time the dust settles, Ireland’s last remaining asset, its reputation as a safe place from which to conduct business, will have been destroyed.
Monday, May 09, 2011
Financial Crisis Next Wave, The Consequences of QE2 / Stock-Markets / Credit Crisis 2011
By: Submissions
Martin A. Armstrong writes: We are approaching the end of this current 8.6 year wave come June 13th, 2011. What awaits us on the other side is a change in the overall trend. When we approached the same turning point in 1985.65, PEI took full page advertisements and ran them on the back of the English magazine, the Economist for 3 of the 4 weeks that month. Therein we warned that there would be a change back to inflation and that the steep economic decline that followed the insane peak in interest rates during 1981 was over. Now as we approach this same period after a tumultuous 4.3 years down that saw the collapse of real estate, the demise of legendary firms such as Lehman Brothers and a score of bankruptcies that followed, if anything, these past 4.3 years have certainly not been but boring.
Saturday, May 07, 2011
Swiss banks not safe anymore / Companies / Credit Crisis 2011
By: Pravda
Swiss banks may no longer be a reliable storage for the funds the origin of which is questionable. The Swiss authorities have recently opened secret bank accounts of former presidents of Egypt and Tunisia - Hosni Mubarak and Zine El Abidine Ben Ali, as well as of Libya's Gaddafi.
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Tuesday, April 26, 2011
Has Wall Street Won? / Politics / Credit Crisis 2011
By: Danny_Schechter
Two years ago as financial reform was put on the U.S. Congressional agenda, a skeptical Senator, Dick Durbin of Illinois, spoke of the power of the banks over the country’s legislative process.
“They run the place,” he said matter of factly.
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Monday, April 25, 2011
Welcome to Financial Slaughterhouse / Stock-Markets / Credit Crisis 2011
By: Ashvin_Pandurangi
"There are no characters in this story and almost no dramatic confrontations, because most of the people in it are so sick and so much the listless playthings of enormous forces."– Kurt Vonnegut, Slaughterhouse-Five
Sunday, April 24, 2011
Velkommen to Banktopia / Politics / Credit Crisis 2011
By: Mike_Whitney
Let's talk turkey. The dollar is getting hammered by the day. And the dollar is getting hammered by design, because the Fed wants a weaker currency to boost exports and lower the real burden of debt on the banks. (Yes, Martha, the banks are still insolvent) So, down goes the greenback, lower and lower, pushing up gas and food prices while the buying power of the average US worker vanishes down the plughole. And this process will continue for the foreseeable future because--as Obama stated earlier in the year--Washington is committed to "doubling exports in the next 5 years." Think about that: "the next 5 years". That's the same as saying that the American worker will be reduced to third-world poverty in a half decade or so. It's a death sentence.
Friday, April 22, 2011
Does the United States Still Deserve its "AAA" Credit Rating? / Interest-Rates / Credit Crisis 2011
By: Money_Morning
Kerri Shannon writes: Could the United States lose its status as the world's premier safe harbor for global investors?
Credit-rating heavyweight Standard & Poor's this week threatened to cut the United States' top-tier credit rating, saying the country's political infighting and burgeoning debt may warrant a downgrade.
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Tuesday, April 19, 2011
S&P Downgrade Shows U.S. Debt Crisis Could Have Dire Consequences / Interest-Rates / Credit Crisis 2011
By: Money_Morning
Martin Hutchinson writes: The latest development in the U.S. debt crisis came yesterday (Monday) when Standard & Poor's finally downgraded its outlook for U.S. debt to "negative," from "stable."
That's right: Of the 17 countries that S&P has rated AAA, the United States is the only sovereign that carries with it a negative outlook.
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Tuesday, April 19, 2011
QE Monetary Madness, The PIMCO Ring of Fire / Stock-Markets / Credit Crisis 2011
By: PhilStockWorld
Good golly what a mess the World is!
You know it's bad when the US begins to look responsible compared to other World governments but even Alan Greenspan is now calling for an end to the Bush Tax cuts before they cost us another $3.6Tn over the next decade(and that's assuming no inflation and steady earnings) and we have Paul Ryan and the President calling for Trillions more in deficit reduction so I guess we SOUND serious about cutting our deficit and WE SHOULD BE because the IMF this week said the U.S. budget deficit was on course to hit 10.8 percent of nation's economic output this year, tying with Ireland for the highest deficit-to-GDP ratio among advanced economies.
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Friday, April 15, 2011
Awaiting the 'Zero Hour' of Available Credit / Interest-Rates / Credit Crisis 2011
By: Richard_Daughty
I watch expectantly as the national debt again nears the debt limit, and Zero Hour is just a few weeks away, a term I cleverly used to indicate that available credit will be zero. Maxed out.
I let it go at that, as I am not inebriated enough to get up on my high horse to loudly and rudely note that nobody in the corrupt government (including the Federal Reserve) apparently needs any stinking permission from anybody to do anything anymore, including any number or frauds and corruptions, to keep the government wallowing in the oceans of cash it so desperately, desperately needs to keep, you know, wallowing.
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Tuesday, April 12, 2011
Financial Crisis in 2012 is Inevitable! Here’s Why / Interest-Rates / Credit Crisis 2011
By: Arnold_Bock
2012 is shaping up to be the blockbuster main event of the ongoing financial crisis. Massive amounts of new debt, vast quantities of additional digital dollars and the spark of higher interest rates will set off version 2.0 of the credit-driven financial implosion.
Monday, April 11, 2011
Why Iceland Voted ‘No” to the Diktats of the Creditor Banks / Politics / Credit Crisis 2011
By: Michael_Hudson
About 75% of Iceland’s voters turned out on Saturday to reject the Social Democratic-Green government’s proposal to pay $5.2 billion to the British and Dutch bank insurance agencies for the Landsbanki-Icesave collapse. Every one of Iceland’s six electoral districts voted in the “No” column – by a national margin of 60% (down from 93% in January 2010).
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Tuesday, April 05, 2011
Fed Lending Increases Bank Failures as 111 Banks Fail, FDIC is Fraudulent / Politics / Credit Crisis 2011
By: Mike_Shedlock
Via emergency lending mechanisms recently released data shows that 111 banks the fed tried to keep alive via emergency lending procedures ultimately failed.
Friday, April 01, 2011
The Credit Cycle / Interest-Rates / Credit Crisis 2011
By: Puru_Saxena
Let’s face it; the availability and cost of credit determine the value of every asset on the planet.
When credit is cheap and plentiful, all assets (with the exception of government bonds) inflate or appreciate in value. Conversely, when credit becomes scarce and expensive, all assets (with the exception of government bonds) deflate or decline in value.
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Thursday, March 31, 2011
Extend and Pretend is Wall Street Banks Friend / Stock-Markets / Credit Crisis 2011
By: James_Quinn
“We now have an economy in which five banks control over 50 percent of the entire banking industry, four or five corporations own most of the mainstream media, and the top one percent of families hold a greater share of the nation’s wealth than any time since 1930. This sort of concentration of wealth and power is a classic setup for the failure of a democratic republic and the stifling of organic economic growth.” - Jesse – http://jessescrossroadscafe.blogspot.com/
Friday, March 18, 2011
Banks Must Be Restrained And Financial System Reformed, Before There Can Be Any Sustained Economic Recovery / Stock-Markets / Credit Crisis 2011
By: PhilStockWorld
I have long been a fan of Jesse's Café Américain. Jesse is a brilliant writer and a deep thinker who uniquely transcends politics, easily seeing through lies and disinformation. He has a great feel for what really matters, and the courage to speak out about it. Jesse and I have spoken before about the economy, markets and politics, and being at a crossroads once again, it was a perfect time to catch up.
Friday, March 11, 2011
Banks Cheap Money is Economic Poison / Politics / Credit Crisis 2011
By: Chris_Kitze
Ron Robins writes: Developed world bankers continue to proclaim that enforced low interest rates—cheap money—will lead their countries back to economic prosperity. But didn’t the same policies a few years ago help bring us to the precipice of financial and economic collapse? Do they still not understand that cheap easy money led to many large US and European banks becoming gambling institutions, eventually failing and bailed out at taxpayers’ expense?
Thursday, March 10, 2011
The Fed's Credit Report; No Light in the Tunnel / Politics / Credit Crisis 2011
By: Mike_Whitney
On Monday, the Federal Reserve released its Consumer Credit Report which showed that consumer credit rose at an annual rate of 2.5% in January. That might sound impressive, but things are not what they seem. Non-revolving credit increased at a rate of 7% per anum, while revolving credit decreased at an annual rate of 6.5%. So, people are taking out more loans, but keeping their credit cards tucked away in their wallets. But there's more to this story than meets the eye, and it's important, because economists monitor credit expansion closely to see how the economy is doing. You see, when wages stagnate--as they have for the last 30 years---the only way that working people can increase their spending is by borrowing. And since consumer spending is roughly 70% of GDP, if consumers don't borrow, then the economy doesn't grow.
Thursday, March 10, 2011
Banks Face Renewed Headwinds / Interest-Rates / Credit Crisis 2011
By: Tony_Pallotta
In the fall of 2010, there was no shortage of news regarding faulty foreclosure processes, aka "robo-signing." Bank stocks took a hit and the threat of a nationwide foreclosure moratorium appeared imminent. Then came the concept of put back risk to the big banks claiming violations of reps and warranty agreements or pooling and servicing agreements (PSAs). Since that time the media has gone rather quiet on the subject and the price action in the bank stocks would imply all is well. BAC settled for pennies on the dollar with one of the GSEs and the stock rocketed that very day as investors were no longer "worried about the uncertainty."
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Thursday, March 10, 2011
Central Banks Lying About Everything, Global Economy Scam Goes Critical / Politics / Credit Crisis 2011
By: Andrew_McKillop
Quote: The US Federal Reserve tells us we need inflation to overcome the overhang created by debt and inflation. This inflation does not create jobs – it just distorts prices upward. We are told by the head of the Fed, Mr. Bernanke, that he can end inflation whenever he thinks it is necessary. That is not true, because if inflation ends deflation takes command and the economy collapses. There is no finely honed instrument for turning these two opposite effects on and off (March 5, Bob Chapman's International Forecaster Weekly)