IMF Concerned About US Supreme Court Ruling on Argentina Debt

haircut bail-inCan the financial authorities compel private debt holders (and also regular bank account owners) to give up their rights to make claims for the full value of their asset when a default takes place?
The answer to this question has huge implications worldwide as the risk of sovereign debt default has never been higher. 
People have always assumed their bank accounts were protected at least up to the amounts that are supposed to be “guaranteed” by entities like the FDIC in the US,  but the IMF and others are attempting to stake out the position that “bail-ins” can be imposed by force in a default crisis situation.
It appears they want to be able to change the rules if they think they need to.  Even including bank depositors.
In a ground breaking case that has MAJOR potential ramifications on the legality of future bail-ins in the US,  the US Supreme Court has ruled in favor of some hedge funds that will be paid the full value of the debt they owned (Argentina debt).  
While this ruling only applies to bond holders, it might apply as a precedent to any future default situation. 

It’s Official – German Gold is Staying in New York at The Federal Reserve

goldIt’s Official!
Germany has decided its gold is safe in American hands.
The Americans are taking good care of our gold... Objectively, there’s absolutely no reason for mistrust.

Absolutely no reason for mistrust, or absolutely no gold left to repatriate?  
We’ll let our readers come to their own conclusions. 
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Video of the Day – “End the Fed” Rallies are Exploding Throughout Germany

Federal ReserveThe sudden emergence of End the Red rallies in Germany is a fascinating development and one that I had no idea was happening until today. It seems that rallies are spreading throughout Germany protesting the corrupt and dying global status quo. One of the key targets of these groups is the U.S. Federal Reserve system, which as I and many others have maintained, is the core cancer infecting the entire planet.
Future generations will look back at Central Banking as we look back at slavery. 
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Bo Polny: Gold- Up in June, Down into Summer & a Moon Shot to $2000 before Year END!

launch rocket verticalGold is to poised ‘rise in May/June and make a TOP in June before a final summer low’.
The June 28, 2013 Gold Bottom at $1180 will hold as THE FINAL BOTTOM. 
The coming summer low will be the FINAL ENTRY LOW and the ‘Buy’ of a Lifetime followed by a Moon Shot to $2000 before year end! [Read more...]

Fed Tapers Another $10 Billion!

Bernanke taperYellen continues QE taper down to $35 billion/month:

  • Fed to taper QE an additional $10 billion beginning in July
  • Beginning in July, the Committee will add to its holdings of agency mortgage-backed securities at a pace of $15 billion per month rather than $20 billion per month, and will add to its holdings of longer-term Treasury securities at a pace of $20 billion per month rather than $25 billion per month. 
  • Waiting on the inevitable Gold & silver smash to commence…

Full FOMC Statement is below:  [Read more...]

It’s All Good!

muppetsThings couldn’t be better in our blissful economic utopia. I mean, for crying out loud, look at the stock market! It goes UP every day!! Things must be better than they’ve ever been.
The reason why the rich and get richer and everyone else is stuck in neutral and getting squeezed more every day is Fed policy.
Since direct debt monetization began five years ago, the “stock market” has soared and nearly tripled.   IF you had wealth and were able to participate, you’re pretty happy and you can at least still afford to drive and eat.  IF, on the other hand, you’re just a regular guy or gal with a spouse and a family, struggling to make ends meet, here’s what you’ve had to endure, instead: [Read more...]

Stewart Thomson: Central Bank Gamblers Versus Gold Stocks

poker big lossesRather than invest in failing infrastructure, central banks and governments are acting like hedge funds, betting on the stock market and OTC derivatives, using fiat credits that are borrowed or printed.
The bottom line: While global citizens are told to “grin and bear” austerity, their leaders are having a “good ‘ole time” spending trillions of dollars, at the stock market casino. [Read more...]

How the Fed Works (and its massive conflict of interest)

In the MUST WATCH video below, Sovereign Man’s Simon Black breaks down in explicit detail how exactly the Fed works, as well as its massive conflict of interest. 
The collapse of the dollar began in 1913…it is nearly complete. 
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Eric Sprott Asks: Did I Lose $10 Million From the Barclays Gold Take-Down?

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gold-nanex-feb2014_Dec-6-2013-NFP_smash

Source: Nanex

In this EXCLUSIVE, MUST LISTEN interview with The Doc, Eric Sprott dissects the fundamentals in the gold and silver markets, coverage of manipulation finally reaching the mainstream, and reveals his updated outlook on gold & silver.
Eric discusses why the precious metals options markets always expire at MAX PAIN for the customers, and why he urges all PM investors to STAY OUT of the futures options markets, and simply accumulate physical metal.
Sprott explains how PM manipulation shifted from being conducted solely by the Central banks to the dealers active daily participation that we see now, and discusses how much he personally lost when a Barclays trader manipulated gold down into the London fix.  

Regarding his price outlook for the metals, with silver trading under $20 and gold trading near $1250, is Eric still looking for new highs in 2014?
His answer might shock you.

The Doc’s full Exclusive interview with Eric Sprott of Sprott Asset Management is below: [Read more...]

Ron Paul: Nothing Orderly About the Currency Collapse That’s Coming- It Will Be a Panic!

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Ron PaulCongressman & former Presidential Candidate Ron Paul joins the show this week, discussing:

  • Putin’s response to US sanctions with economic retaliation- implications for US economy & the US Dollar- It is very significant, dumping of US dollars has begun…The dollar can’t be maintained.  One reason the dollar has been sustained as well as it has been is who wants to buy yuan or euros?  But ultimately they will buy the real money, and that’s gold!
  • Paul on the Coming collapse of the dollar & all fiat currencies:  Officials in charge of monetary policy are very aware of what’s coming- they believe as long as it is orderly they will be ok…The problem is when people lose confidence in a currency, they lose confidence completely.  There’s nothing orderly about it!  There’s always a panic, and that’s hard to manage.   There will be a day when people will panic in the financial markets, not only in the dollar, but in the world-wide system!
  • The former member of the House Financial Services Committee explains why his nemesis at the Federal Reserve works so hard to discredit gold, and what he wishes he would have asked Ben Bernanke during his grilling of the Fed Chairman at his House Hearings on the Fed’s Monetary Policy

The MUST LISTEN SD Metals & Markets with Former Presidential Candidate, Sound Money & Freedom Champion Ron Paul is below: [Read more...]

Junk Borrowers Are Increasingly “Adjusting Earnings” to More Easily Sell Debt

bondsThe Federal Reserve has intentionally lowered interest rates to such an extent that investors feel they have no choice but to chase the riskiest assets just to catch a few additional basis points.
Now we see that junk borrowers are increasingly using tactics such as “add-backs” in order to make earnings look better.
This allows low quality borrowers to borrow, while at the same time providing an excuse for investors to buy garbage.
Think I’m exaggerating the problem? 

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Barclays Caught Red Handed Manipulating Gold- Smoking Gun on Cartel PM Manipulation?

gun forcedIt was all over the news last week, both mainstream and gold sites.  Barclays was caught manipulating the gold price. They were fined £26M, and forced to pay a client who was damaged by their action. The trader who worked for Barclays, Daniel Plunkett, was also fined and banned from working in the financial sector. Here is a link to an article at the Financial Times.
Is the Barclays scandal the long awaited smoking gun-  incontrovertible proof that the gold market is indeed manipulated? [Read more...]

Precious Metals- Central Bank Manipulation Or Chinese Accomodation?

the endIt certainly started out as central bank manipulation, doing everything possible to cover their theft and resulting deficiency of replaceable physical gold.   Almost all of their unauthorized reselling or hypothecating went unnoticed or without any ability to stop the activity.
China had a lot of its gold stored in the United States that was stolen in the 1990s.  She has since become the world-leading economic powerhouse and is now in a position to force the Rothschild elites to make good  on the theft, which they are doing.
China wants to see the price of gold at the current low levels as she continues to buy up as much of the [not so readily] available supply.  The central bank manipulation continues as a means of protecting the last vestiges of the soon-to-fail petro-dollar, and soon-to-fail as the world’s reserve currency upon which almost global trade is based. The Chinese are willing to see gold stagnate at current levels as a better bargain during the final stages of their accumulation.
It works for both sides for totally different reasons.

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First The Bundesbank, Now Austria Demands Audit of Gold Reserves Held at the Bank of England!

gold vaultFirst the Bundesbank, now the Austrians? 
The National Bank of Austria is demanding a full audit of Austria’s 150 tonnes of gold reserves on deposit in London at the Bank of England- 80% of the nations total gold reserves, after succumbing to pressure from the Austrian public.
In a public statement, Ewald Nowotny, Governor of the National Bank of Austria stated: “I acknowledge the request. Any grocery store is obliged to do inventory once a year.  It is the only way of getting rid of these unreasonable allegations”.  [Read more...]

Introducing “Subprime Business Lending” – Loans with 125% Interest Rates Are Being Securitized and Sold to Investors

JP MorganSales people said they were told to refer to “short-term capital” instead of loans and “money factors” instead of interest rates. Eight of them said they talked business owners into applying by saying they’d offer a good rate after reviewing bank statements.
World Business Lenders charged most people 125 percent annualized interest rates on six-month loans regardless of their situation, five former employees said. The borrowers often put up cars, houses or even livestock worth at least twice as much as the loan. About one in five were going bust as of last year, two people with knowledge of the matter said. One said that 9 percent of the loans made this year have already defaulted.
The sweet spot is someone who can limp along well enough for six months but probably isn’t going to be around much longer.  They’re in the business of helping these businesses fail.”

As usual, the Fed is subsidizing the rich and leaving everyone else hanging out to dry.

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