LIBOR-Gate Will Take Down Many More Bankers, And The Claims Will Spiral Into The Trillions!
- LIBOR-Gate Will Take Down Many More Bankers, And The Claims Will Spiral Into The Trillions!
by David Kotok, Cumberland Advisors, via http://www.businessinsider.com/
Markets reacted to this crazy week of discredited, ADP-based employment forecasts, LIBOR revelations and central bank fizzle. The result is plain ugly.
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In Europe, post-ECB, credit spreads widened. Good-guy yields declined; bad-guy yields rose. See our updated EU contagion series at www.cumber.com. Note how Swiss yields are negative until the 5-year maturity (which is a whopping 7 basis points). For new readers, see our archives on why the Swiss 10-year government bond is now the de facto benchmark for the eurozone. The European Central Bank demonstrated too little, too late. …
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In the US, the employment statistics release shows an ongoing but weakening, very slow recovery. A plus 80 thousand nonfarm jobs is better than minus 80 thousand. We see nothing to alter this slow but marginally positive growth outlook. The Fed’s additional “Twist” is a whimper, not a shout. In fact, that is probably a good thing, since monetary policy has its limits, and we are near them. We expect no more from the Fed for the rest of this year unless there is a seriously negative event.
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LIBOR-gate, as Michael Lewitt titled it, is a mess. It is potentially huge. We expect more ugly revelations. Other institutions may be implicated. Critics of emerging-market governance standards need to look in the mirror. The so-called developed markets now exude a rising stench.
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“Widespread fraud has become apparent in the Mainland US and among US-listed financial firms. Extraordinary numbers of political figures and public appointees have massive wealth. Examples include (1) Dick Fuld, who was a director of the Federal Reserve Bank of NY until his firm, Lehman Brothers, went into bankruptcy. He has not been charged with any crime. He denied knowledge of any accounting irregularities. (2) Former US Senator Jon Corzine’s firm was a Federal Reserve primary dealer before it failed. Huge balances of client funds are unaccounted for at MF Global. Corzine says he does not know what happened. (3) No one knows the counterparties of the transactions that cost JPM billions. (4) Members of Congress and their staffs trade on insider information and are not violating US law because of the congressional exemption that Congress legislated for itself.”
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Steve, I could lengthen this but you get my point.
I will stop with my own personal observation about the LIBOR scandal. My colleagues Michael Lewitt, Bob Eisenbeis, and Bill Witherell have written about it this week. (www.cumber.com)
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The LIBOR rigging is systemic. For evidence see a Bloomberg report from May 29, 2008, under the headline, “Libor Banks Misstated Rates, Bond at Barclays Says.” (Yes, the article ran more than four years before Barclays’s $453 million settlement last month with U.S. and U.K. authorities for manipulating Libor.)
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Steve, this scandal is going to take down many more than just Barclay’s leaders. The claims are likely to be in the trillions.
Imagine the board meeting at Barclays. The general counsel says, “I have a settlement proposal. We can pay 1/2 billion in fines to the US and UK authorities now; and you, Mr. Chairman, and you, Mr. CEO, and you, Mr. COO, will resign at once. Others will also resign or be dismissed. Gentlemen, I can make this deal right now and settle it or we can have a prolonged investigation. In my opinion, paying the half billion now and taking the resignations early is the cheapest way out of this mess.” The board votes yes.
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Steve, the insiders on that board know the facts. Watch out for what is coming. It may dwarf allegations about Chinese corruption.
The US and UK systems were once the models for the world. They are now sick and corrupt. We are five years into a financial crisis and nothing has changed. Who are we to throw stones at others?
end
Syria’s Problem is Wall Street’s And London’s Geopolitical Aspirations for Global Hegemony!
- This civil war in Syria is the machinations of the western Illuminati. It is engineered by Illuminist banksters out of Wall Street and the City of London. It is about extinguishing the nation-state in favour of an all-powerful Luciferian World Government. It is about the destruction of Middle East oil supplies to conquer the world. Asia and much of the world (and quite obviously China) will fall when the oil runs out. China is perceived as the major (economic, financial and military) threat in the near future. China and Russia (together with the BRICS) can destroy the Anglo-American-Zionist global hegemony. (emphasis mine)
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Syria’s Problem is Wall Street’s And London’s Geopolitical Aspirations for Global Hegemony!
By Tony Cartalucci, theintelhub.com
As difficult as it might be for some to believe, Syria’s problem is not violence, armed insurrection, or political upheaval. Neither is it economic or social.
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These are but symptoms, many purposefully induced from abroad, of Syria’s real problem, and therefore any solution aimed at treating only these symptoms will provide only but the most superficial and temporary relief.
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Many geopolitical analysts know this, and yet champion for the immediate treatment of these symptoms, particularly the end of violence, which makes perfect sense in a sense of “triage,” but will ultimately fail if the root of the problem is not also exposed and a solution for “digging it out” not formulated and appropriately promoted.
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The Problem
Syria’s problem is not the “Free Syrian Army” nor the “Syrian National Council,” nor the myriad of terrorist organizations operating under this umbrella – but rather the corporate-financier driven foreign interests that created them, fund them, arm them, and both tactically and politically perpetuate their activities.
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Syria’s problem is that it has attracted the attention of Wall Street and London and found itself in the middle of their geopolitical aspirations for global hegemony.
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Syria is seen as the key to breaking the power and influence of Iran, which has so far thwarted attempts aimed at its own transformation into a Western client state. Syria has long been on the list itself for “regime change” and has been the target of political, social, and military attacks for years (see timeline here). It has fought an exhaustive proxy war against Western interests in and around Lebanon vis-à-vis Israel and now finds itself fighting Western proxies on its own territory.
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The West is intent on destroying not only Syria, but also Iran, and by doing so further encircling both Russia and China. The game is as old as human civilization itself – empire.
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The establishment of a global hegemonic power with uncontested institutions reaching across the entire surface of the planet, exploiting its people and resources, is in fact Syria’s problem. While Syria must address the proxies sent on behalf of this global hegemony, it and the rest of free humanity, must ultimately address the global hegemon itself.
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The Solution
Geopolitical analysts believe that balking Western ambitions for regime change in Syria by immediately coming to a negotiated agreement with Syria’s so-called “opposition” should take priority.
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Even by merely attempting to do this with some degree of credibility may afford both Syria, and free humanity the time needed to retrench against foreign destabilization – even if a settlement ultimately fails.
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However, the West has become an expert at creating false paradigms, creating debates and conflicts that obfuscate the true nature of any given problem – obfuscating that they themselves are generally at he root of it.
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In the case of Syria, so much time has been invested in reaching this negotiated agreement, that many have lost sight of the fact it is the West creating this violence in the first place and that their proxy “opposition” movement has purposefully rejected any and all reasonable terms of negotiated agreements specifically to avoid this reprieve in destabilization – breaking momentum the West fears it may be unable to recreate even in the near future should a meaningful ceasefire be established.
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Beyond this goal for temporary reprieve, lies solutions aimed deeper and broader, at the very base of the elitist hegemonic powers driving this conflict, and similar campaigns of violence and political destabilization worldwide.
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read more!
- - Daniel 7:23 (New King James Version)
23 “Thus he said:
‘The fourth beast shall be
A fourth kingdom on earth,
Which shall be different from all other kingdoms,
And shall devour the whole earth,
Trample it and break it in pieces.
end
Bye-Bye Syria: The Globalist Destruction of a Nation State!
- Snakes hiss/speak with fork tongue! You must understand the duplicity in their speech. The basic principle is always to mask great evil in light! For eg. “We want to eradicate famine in Africa!”. The Illuminists solution: “When all the people die, there will no longer be starving people! Famine is eradicated!”
- - The Illuminists are simply executing their Satanic World War 3 plan. Out of this world war they will bring in their Luciferian New World Order, World Government, One World Currency, Global Supra-National Central Bank –> ’666′!
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Bye-Bye Syria: The Globalist Destruction of a Nation State!
by Patrick Henningsen, www.Infowars.com
With all the rhetoric and talk of democratic reform in Syria, the Syrian opposition’s message is now clear: “No negotiations. We want power now.” Sounds more like a radical dictatorship in the making.
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Yet, this is the very opposition being backed by the western powers led by Hillary Clinton and her ‘Friends of Syria’ steering group, an opposition that is currently killing, burning, and looting their way through to Damascus, with Syria looking more and more likely to eventually go the way of Libya.
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The Syrian opposition, in the form of the Syrian National Council (SNC) were in Moscow today, lobbying to change Russia’s mind on Syria – lobbying for Russian support in removing the current Syrian regime. “No dialogue with Bashar al Assad and the ruling regime,” in effect demanding action before any talks of a new government can take place.
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Critics describe this trip as pre-posturing, or going through the motions in order to create a narrative for Washington to utilize later on. The narrative in this case is to make Washington’s SNC look legitimate and appear able to open diplomatic relations with major players in advance of their stealing power in Syria.
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At the same time, Kofi Annan is in Tehran, essentially to convince the Islamic Republic to lend its influence in convincing Syria’s current government to step down – a stance Tehran is unlikely to take, but could be swayed in return for leverage with the UN in the wake of western economic sanctions and the threat of war.
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Whether Iran cooperates in this instance is one matter, but for the UN organization, this trip achieves the very same element as the SNC’s trip to Moscow – it reinforces the western narrative that enemies of Bashar al Assad are pursuing a ‘diplomatic solution’ to a deteriorating situation in Syria – a situation which was originally seeded and further inflamed by the Western and Gulf ally-backed proxy guerrilla armies in Syria. The original cause of the violence in Syria – Washington and London and their Gulf allies – leap forward and presents itself as the solution – classic Hegelian dialectic.
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Despite the fact that he more or less enabled the illegal and neo-colonial US-led wars and occupations in both Iraq and Afghanistan, former UN head and globalist agent Kofi Annan is still regarded in the media as a trusted ‘international negotiator’. Although his recent proposal of ‘negotiations without preconditions’, namely those preconditions vehemently laid down by the US, UK, and the Syrian opposition – ‘immediate regime change, no negotiations and total power in government.’
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Geneva: Designed to Fail
Annan’s role today is no different than it was 10 years ago – to create a narrative of a concerned international community – and to buy time for the West’s agenda to take shape. In other words, sustaining a public illusion of international bilateral negotiations long enough until the US and its allies have all necessary chess pieces in position to achieve their own geopolitical and economic ends in the region.
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Joint Special Envoy Kofi Annan concluding remarks at the Meeting of Action Group on Syria last week in Geneva show rhetoric that can only exist in a political vacuum, and not connected at all to reality. Annan goes through the motions by stating last week, “I called this meeting in Geneva at this critical stage in the crisis to bring the international community and the countries with influence together – to take concrete action… everyone here is gravely alarmed at the situation in Syria. We strongly condemn the continued and escalating killing, destruction and human rights abuses.”
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At no point has the UN Special Envoy ever directly acknowledged that the main driver of violence and so-called human rights abuses – and even ethnic and religious cleansing in Syria – are a result of US-UK-Saudi-Qatar-backed radical Sunni force known as the ‘Free Syria Army’ and al Qaida rebel factions operating within Syria.
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Sadly for Syrians, the western powers will ultimately achieve their plan of regime change by default. Although more laborious and subtle in its execution, the sustained international illusion of dialogue and diplomacy between western allied regime change proponents and Syria and its allies will eventually end in the same way that western Iraqi pre-posturing did in 2002 – forgotten and ultimately irrelevant, because Washington and London’s agendas remain steady throughout.
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Now it is a waiting game. Given enough time and external economic and military pressure applied, eventually, the nation state of Syria will implode from within – and the Western globalist power elite know this.
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A NATO humanitarian intervention would certainly be easier for Washington, but in the absence of a Libya-style ‘No Fly Zone,’ the west’s strategy is simply:
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Buy enough time until the plan of destabilization is successful and there is a collapse of law and order within Syria.
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read more!
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Ron Paul: Our Current Banking System is About Counterfeiting Money!
- Illuminist banksters use fancy phrases like: Quantitative Easing (QE), Debt Monetization to complicate and confuse the sheeple as to what is really going on. It is simply the legalized counterfeiting of money to buy up debts. It is the creation of money out of thin air by the FedRes to buy US government debts. The sheeple are made to pay back these debts plus interests to the Illuminist banksters! These so-called money never existed. The Illuminist central banksters simply go into their computer system and enter the amount$$$ they need. It is all a SCAM!
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Ron Paul: Our current banking system is about counterfeiting money!
By: Kenneth Schortgen Jr, http://www.examiner.com/
On July 9, Congressman Ron Paul compiled testimony of a recent hearing in the House on fractional banking, and the Federal Reserve’s control of monetary policy. From that testimony, Congressman Paul emphasized that the primary moral hazard in our economy is that America’s current banking system’s use of fractional banking was the equivalent of making money appear out of thin air, or in fundamental terms, legal counterfeiting.
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As Murray Rothbard put it, “Fractional reserve banks … create money out of thin air. Essentially they do it in the same way as counterfeiters. Counterfeiters, too, create money out of thin air by printing something masquerading as money or as a warehouse receipt for money. In this way, they fraudulently extract resources from the public, from the people who have genuinely earned their money. In the same way, fractional reserve banks counterfeit warehouse receipts for money, which then circulate as equivalent to money among the public. There is one exception to the equivalence: The law fails to treat the receipts as counterfeit.” – Paul.house.gov
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Fractional banking, along with the erosion of the Glass-Steagall act by Congress, are two of the primary catalysts in our monetary system which devalues money, investments, assets, and creates the ever growing invisible tax known as inflation. Money is simply an idea backed by confidence, and when President Nixon removed our currency from the gold standard, sound money was replaced by the de facto confidence in the entities who print it over the hard asset of gold which formerly backed it.
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In 1965, the average cost of an automobile was $2650, while the average cost of a home was $13600. A middle class household required only one member to work full time, and their average annual income was $6450.
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After 1971 however, increases in the leverages of fractional banking drove prices higher much faster than an equivalent rise in wages. Less than 50 years later, the average price for an automobile is now over $30000, while median home prices equate to $232,000. Inflation, created by the devaluation of money through increases in the fractional banking system, have spiraled prices for each of these items by 1130% and 1705% respectively. However, income levels have not risen in relation to the cost of goods, as the median household income during the same time increased only 617%, and is now achieved with two or more household members in the work force.
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It has been the mandate of the Federal Reserve to regulate the banking and monetary systems in the U.S., and to formulate policies to protect against inflation, while at the same time, keeping their member banks in check. As Congressman Paul has so aptly pointed out, the real problem and moral hazard of fractional banking has been its inability to insure that their increased leverages, or money multiplier policies, are contained on a scale where wages and prices rise at equivalent levels to limit inflation and monetary devaluation. In this, the current system of fractional banking is an absolute failure, and has simply been a means of legal counterfeiting that benefits no one but the entities who run the scheme.
end
Russia Sends Warships To Syria!
© RIA Novosti. Sergey Petrosyan
- Russia sends warships to Syria!
By Tom Parfitt, Moscow and Adrian Blomfield, http://www.telegraph.co.uk/
Russia despatched a flotilla of warships to its naval base in the Syrian port of Tartus on Tuesday in an apparent show of support for President Bashar al-Assad.
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Two destroyers and three amphibious landing vessels carrying marines set sail from Russian bases in the Arctic and the Black Sea, according to Russian military sources. Russia’s defence ministry insisted that the mission was part of a previously scheduled exercise in the Atlantic, Mediterranean and Black Sea and at least one of the vessels in the flotilla has patrolled waters off Syria earlier this year.
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But Western diplomats say the purpose of the mission is to show tangible support for Mr Assad, to warn the West against military intervention in Syria and to prepare for the possible evacuation of Russian nationals from the country.
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Russia renewed naval patrols in the Mediterranean in 2007 – after a 15-year hiatus – with a wider aim of expressing the country’s military resurgence. It was unclear whether the ships were carrying weapons supplies or large numbers of marines.
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read more!
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Mainstream Journalists Confirm Israel is Behind Assassination of Iranian Nuclear Scientists in New Book!
Revelation 2:9 – …. and I know the blasphemy of those who say they are Jews and are not, but are a synagogue of Satan.
- “Mr. Benjamin Freedman, a Jewish industrialist born in New York, wrote in the Economic Council Letter published there of October 15 1947: “These Eastern European Jews have neither a racial nor a historic connection with Palestine. Their ancestors were not inhabitants of the Promised Land. They are the direct descendants of the people of the Khazar Kingdom. The Khazars were a non-Semitic, Turko-Mongolian tribe.” Mr. Freedman was challenged, unwisely, by a Zionist objector; he invited his challenger to go with him to the Jewish room of the New York Public Library. There they could together examine the Jewish Encyclopedia volume I pp. 1-12, and the published works of Graetz, Dubnow, Friedlander, Raisin and many other noted Jewish historians, which, as well as other non-Jewish authorities, “establish the fact beyond all possible doubt”.’
~ Somewhere South of Suez (1950) pp349-350.”
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Mainstream journalists confirm Israel is behind assassination of Iranian nuclear scientists in new book !
By Madison Ruppert, http://endthelie.com/
The fact that Israel is in one way or another involved with the assassination of Iranian nuclear scientists is hardly debatable now that U.S. officials have confirmed it, Israeli leaders have hinted at it, Israeli leaders have openly supported it and even relatively well known Americans have openly supported terrorism targeting the imaginary Iranian nuclear program.
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In a new book released today, June 9, 2012, called Spies Against Armageddon: Inside Israel’s Secret Wars, by CBS News correspondent Dan Raviv and Haaretz reporter Yossi Melman, a somewhat different version was laid out which contradicts the anonymous statements of U.S. officials mentioned above. According to Raviv and Melman, the operations were not carried out by Mossad-trained MEK terrorists as was previously asserted.
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Instead, they claim that the operations are far too sensitive and thus are restricted solely to Israeli operatives. “They [the Israelis] don’t farm out a mission that is that sensitive,” Raviv said. Raviv alleges that these operations are so sensitive that they actually require the Prime Minister of Israel, Benjamin Netanyahu, to personally sign off on them.
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“They might use dissidents for assistance or logistics but not the hit itself. The methodology and training and use of motorcycles is all out of the Mossad playbook. They wouldn’t trust anybody else to do it,” he added in an interview with Fox News.
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When studying the attacks on various Iranian individuals, it quickly becomes apparent that the use of motorcycles crop up in almost every instance. Raviv said that the skilled use of motorcycles is considered their hallmark and that Mossad agents “excel at accurate shooting at any speed and staying steady to shoot and to place exquisitely shaped sticky bombs.”
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In the book Raviv and Melman also state that the cyberwarfare campaign (which one must assume includes the wide range of attacks including Stuxnet, the malware known as Duqu which apparently was a derivative of Stuxnet and the recently discovered, incredibly complex and powerful Flame) against the Iranian nuclear program was not, in fact, an American invention as some have claimed, but instead hat it was a purely Israeli innovation.
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They allege that the program was created by the Israeli military intelligence agency AMAN and the Israeli equivalent of the U.S.’s National Security Agency (NSA) called Unit 8200. The authors say that the program was then endorsed by the White House at Israel’s request.
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According to Melman, the Israeli covert warfare program in Iran has been successful in disrupting the Iranian nuclear program. He states that Israel believes that they are encouraging people from avoiding the field of nuclear science by taking out the key Iranian scholars in the field.
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However, Iranian officials claim that the Israeli killing of Iranian scientists only serves to encourage more students to pursue the field. According to a report from January of this year, the Iranian Minister of Science Research and Technology, Kamran Daneshjo, over one thousand students changed their majors in order to study nuclear physics and engineering after one of the country’s top scientists was killed.
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read more!
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The Price of Gold has been Manipulated. This is More Scandalous Than Libor!
- The power of the Illuminati lies in their global fiat currency hegemony and in particular the world reserve currency, the USD! Gold is a threat to their money power. They will not allow gold to be seen as a viable alternative to their fiat currencies. Thus, they attack the price of gold constantly. However, they know that their current global fiat currency hegemony is collapsing. The petrodollar standard is falling apart. Thus, they will at some point in the near future engineer a global currency crisis to destroy all fiat currencies. Thereafter, they will introduce their One World Currency backed by gold (ie. it will be as good as gold)! Fiat currencies, which are backed by nothing, all over the world will be under assault by this new One World Currency backed by gold.
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The price of gold has been manipulated. This is more scandalous than Libor!
By Thomas Pascoe, http://www.telegraph.co.uk/
The new media and the 24-hour news cycle have a great deal to answer for, … It does, however, reveal things that would otherwise be ignored. The issue of manipulation in the gold market which I wrote about last week is a case in point. The ball of half-truths and downright lies which have surrounded the issue for a long time is beginning to unspool in an issue internet activists kept alive long before it was acknowledged by the mainstream media.
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People ask why the issue is important at a time of naked market manipulation of the Libor rate. The answer is simple: the Libor manipulation scandal can be seen as the thin end of the wedge in terms of government market manipulation.
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Although Libor manipulation affects the interest rates we pay on all number of credit products, gold market manipulation is more serious still. The price of gold is traditionally a proxy for the value of money. A soaring bullion price is indicative of a lack of faith in fiat currency.
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Our financial system is predicated on the notion that money stands as a proxy for the factors of production – capital, labour, land and enterprise. In short, the abundance of money in the economy should be related to the abundance of those factors. The harder we work, for instance, the more we create. There is more labour in the economy, therefore a rise in the money supply is legitimate in order to mirror this. There is nothing wrong with printing money per se so long as the printing reflects an expansion in the real economy.
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Twentieth and Twenty-First century economics appears to have done away with this. Money is now created ex nihilo to feed both the top and bottom ends of society. Money printing or Quantitative Easing is mainly of benefit to two parties. Firstly, the Government, which is able to borrow more and borrow cheaper than it otherwise would have done. This is because QE money is used to buy bonds, forcing down yields.
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The Government uses this money to finance both existing debt and an expansive welfare state which bribes large portions of the population to accept a life of hellish boredom and dribbling docility in exchange for £70 a week in dole money. Such payments are not a genuine transfer of the fruits of existing production within an economy; they are borrowed. They help governments electorally at the cost of the vigour of society.
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At the top end, Quantitative Easing money goes directly to banks, who are able to sell their government bonds at a profit. In theory they may use this to even up their balance sheet. In reality they frequently use it as stake money at riskier tables.
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In both cases, paper money has been stripped of meaning. It is no longer a reflection of production nor any of its components. It now simply exists of its own right – but it can survive as a measure only for so long as the government keeps such printing in small enough doses that the de-leveraging does not become apparent to workers.
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Rick Rule: We Are Near An Epic Collapse in Confidence!
Global implosion is coming!
- Rick Rule – We Are Near An Epic Collapse in Confidence!
by www.kingworldnews.com
With global stocks struggling, the US dollar very close to a breakout, and gold ignoring US dollar strength by trading higher, today King World News interviewed one of the wealthiest and most street-smart pros in the business, Rick Rule. Rule warned, “…for those who are looking for signs of a collapse in confidence, if past is prologue, you should examine our experience in 2008 and begin to look for immediate signs of structural stress.”
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Rule, who is now part of Sprott Asset Management, also issued the following warning: “The world has been trying to solve a solvency problem with liquidity. Obviously the problem becomes, at some point in time, the issuers, be it the US government or the ECB or whoever the issuer is, runs into a problem where they can’t sell more paper. There is nobody to fund it.”
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“One of the things that comes to my mind is that what has passed for quantitative easing and refinancing in this market, is, in effect, counterfeiting. We have a situation where one of the biggest buyers of government bonds is the government.
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Gold and silver are also the only medium of exchange that can’t be counterfeited by the collective. So I continue to be a goldbug. If this crisis of confidence, that I think is likely to occur, does occur, I would suspect that although the gold price would be extremely volatile, it will vastly outpace the alternatives.”
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About
Societal and economics observer and commentator with an endtimes, future history perspective. Follow me at Twitter: socioecohistory
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