- What we have is a global debt bomb. America, Eurozone, UK and Japan are overburdened by debts that will never be paid back except by massive money printing. It looks like Australia is no different.
Australians sinking under debt burden
AUSTRALIA is heading for an economic crunch as family finances collapse under the burden of record debts, rising interest rates and utility bills. With banks warning they will be forced to raise mortgage rates by 0.50 per cent in 2011 and Sydney rents forecast to rise by between $160 and $190 a month, according to analysts Residex, householders look set to suffer.
Repossessions and tenant evictions are expected to rise sharply. “It’s going to be tough” said Shane Oliver, chief economist at AMP Capital. “Families face many rising costs and while most people have slowed their borrowing, our debt is still growing and that’s a big problem.” When the global financial crisis hit in 2008, Australians started paying down credit cards and loans, but quickly began piling on the credit again when it became clear we had avoided the worst of the crisis.
According to the Reserve Bank, Australians have added almost $220 billion to household debt levels since the beginning of 2008, taking our borrowings to a record $1.3 trillion. Despite more cautious spending in recent months, household debt is still up by 5.8 per cent on a year ago and a recent survey by Westpac found only about 20 per cent of people thought paying off debts was the best use of their money. Most households in the US, UK and much of Europe are still busily paying down their borrowings, particularly unsecured debts such as personal loans and credit cards.
“Unlike the rest of the world, Australia has slipped back into its old habits,” said Steve Keen, professor of economics at the University of Western Sydney. “We’re spending ourselves right back into trouble. With so much extra debt to service, we don’t need interest rates to reach anything like the 9.6 per cent they hit in 2008. “We may find repossessions spiking much more quickly than they did two years ago.” In the first nine months of 2008, before the RBA began slashing interest rates, 1300 families lost their homes in NSW.
Mr Oliver has estimated that debt will become unmanageable for many households when mortgage rates rise from 7.80 per cent to about 8.50 per cent. “At that stage homeowners could hit a wall,” he said. Economists are forecasting three 0.25 per cent rate hikes for 2011, taking the typical mortgage rate to 8.55 per cent. Craig James, chief economist at CommSec, said households may have to pare back budgets. “People can cut back on pay TV, holidays, mobile phones and all types of other discretionary spending,” he said.
- Are things getting better in the Eurozone? I don’t think so!
Italy’s debt costs approach red zone
Italy’s borrowing costs have jumped to the highest level since the financial crisis over two years ago, raising concerns that Europe’s biggest debtor may slip from the eurozone’s stable core into the high-risk group on the periphery.
Yields on 10-year bonds rose 10 basis points to 4.86pc after a poor auction of short-term debt in Rome. The Italian treasury had to pay 1.7pc to sell €8.5bn (£7.2bn) of six-month bills in a thin post-Christmas market, up from 1.48pc a month ago. The spike in rates came as money supply data released by the European Central Bank showed that real M1 deposits have collapsed at a rate of 2.8pc over the last six months in the EMU bloc of Italy, Spain, Greece, Ireland and Portugal, even though they are rising in northern Europe.
“This is comparable with the decline in early 2008 just ahead of the plunge into recession,” said Simon Ward from Henderson Global Investors. “The eurozone periphery is locked into a ‘double dip’ that will undermine fiscal consolidation.”
Italy’s M1 contraction began later than elsewhere in southern Europe but is now accelerating. M1 typically gives advance warning of economic shifts by six to nine months.
- Rumours of a greater middle east war is spreading. The genocidal state of Zionist Israel seem intent on implementing their ‘final solution’ against the semitic Palestinian people. Zionist Israel is not the Israel of the Bible. It is a Satanic counterfeit!
1980 Jewish Almanac
“Strictly speaking it is incorrect to call an ancient Israelite a ‘Jew’ or to call a contemporary Jew an Israelite or a Hebrew.”
(1980 Jewish Almanac, p. 3)
The Jewish Encyclopedia:
“Khazars, a non-Semitic, Asiatic, Mongolian tribal nation who emigrated into Eastern Europe about the first century, who were converted as an entire nation to Judaism in the seventh century by the expanding Russian nation which absorbed the entire Khazar population, and who account for the presence in Eastern Europe of the great numbers of Yiddish-speaking Jews in Russia, Poland, Lithuania, Galatia, Besserabia and Rumania.”
The American Peoples Encyclopedia
… for 1954 at 15-292 records the following in reference to the Khazars: “In the year 740 A.D. the Khazars were officially converted to Judaism. A century later they were crushed by the incoming Slavic-speaking people and were scattered over central Europe where they were known as Jews.
- When will all the violence in the middle east end? When Zionist ’666′ Israel is totally and peacefully dismantled !
Tensions Rise as Israel Strikes Gaza Refugee Camps
Tensions are on the rise again in the Gaza Strip after Israeli attacks on two refugee camps left at least two civilians wounded. Israel insisted the attacks were “retaliation” for rocket fire from the strip. Israel insisted the attacks on the refugee camps were aimed at targeting Hamas and that they blame Hamas for the rocket fire, even though officials have repeatedly conceded that Hamas is not the ones firing the rockets and are indeed struggling to prevent such fire by their rivals.
Israel last invaded the Gaza Strip in January 2009, and has repeatedly threatened a new invasion since then. With the strip under an ongoing naval blockade the population continues to rely on humanitarian aid, which is only permitted in very limited quantities. A new aid ship is said to be en route for the Gaza Strip tonight, sailing from Syria with large amounts of food and medicine. The ship will dock in Egypt and take its aid to Gaza by land.
I want to quote to you now from one of my Panorama interviews with Golda Meir …. “Prime Minister I want to be sure I understand what you’re saying… You are saying that if ever Israel was in danger of being defeated on the battlefield, it would be prepared to take the region and the whole world down with it?” Without the shortest of pauses for reflection, Golda replied: “Yes, that’s exactly what I’m saying.” ….. How, actually, would the Zionist state of Israel take at least the region down with it? It would arm its nuclear missiles, target Arab capitals, then fire the missiles. - Alan Hart, Author of Zionism: The Real Enemy of the Jews
We will not forget the open air prison that is Gaza. We will not forget the continuous genocide and ethnic cleansing by Zionist ’666′ Israel. See also: Gaza’s War Crimes!
“You shall neither mistreat a stranger nor oppress him, for you were strangers in the land of Egypt.”
“Also you shall not oppress a stranger, for you know the heart of a stranger, because you were strangers in the land of Egypt.”
‘And if a stranger dwells with you in your land, you shall not mistreat him.’
The stranger who dwells among you shall be to you as one born among you, and you shall love him as yourself; for you were strangers in the land of Egypt: I am the LORD your God.
‘When you reap the harvest of your land, you shall not wholly reap the corners of your field when you reap, nor shall you gather any gleaning from your harvest. You shall leave them for the poor and for the stranger: I am the LORD your God.’
You shall have the same law for the stranger and for one from your own country; for I am the LORD your God.
22 It shall be that you will divide it by lot as an inheritance for yourselves, and for the strangers who dwell among you and who bear children among you. They shall be to you as native-born among the children of Israel; they shall have an inheritance with you among the tribes of Israel. 23 And it shall be that in whatever tribe the stranger dwells, there you shall give him his inheritance,” says the Lord GOD.