Category: Economics & Investing

Detroit Bankruptcy a “Game-Changing Event,” Meredith Whitney Says Square Goes Bent on Bias: Mobile Payment Company Says No to Guns G.G. flagged this:Bond Losses at Federal Reserve Top $192 Billion. The article begins: “The yield on 10-year U.S. Treasuries has surged 66% over the past three months. And bond investors, especially those with jumbo-sized positions, are getting hammered. How much money has the Federal Reserve lost?” Also from G.G.: US regulators ‘find evidence’ of banks fixing derivative rates Items from The Economatrix: Marc Faber On Central Banker Actions: “Insane People Don’t Realize They’re Insane” The When: “The Economic Collapse Cannot …

James K. sent this: The 10 most oil-rich states. “These 10 States accounted for roughly 94% of all onshore U.S. reserves as of the end of 2011.” J. McC. sent this: America’s Urban Distress: Which States and Regions set up their Cities to Fail? Once again, notice the reverse correlation of The American Redoubt region. Items from The Economatrix: Extreme Gold Market:  Supply vs. Demand Old System Struggling and Dying-Catherine Austin Fitts If “Europe Is Fine” Why Is Deutsche Bank Deleveraging At The Fastest Pace Since The Crisis of 2011?

Burke C. sent: The Most Important Number In The Entire U.S. Economy G. G. suggested: Record Number 21 Million Young Adults Living With Parents Eric Sprott On Gold & Bail-Ins Items from The Economatrix: Gold And Silver: Load The Boat-Back Up The Truck — Peter Schiff Gold, Silver and Hyperinflation The Coming Shortage Of Physical Gold That Will Change Everything

Reader James W. sent this: Why QE Can Never End. [JWR’s Comment: I concur. Quantitative Easing monetization is a pitiful sham. The Fed and Treasury Department fully intend to ride their False Prosperity Bull to death. They will only stop their monetization scheme when they’ve thoroughly destroyed the value of the U.S. Dollar.] Canada Threatens U.S. with Oil Trains if Keystone XL Not Built Items from The Economatrix: What Would You Do If A Bank Stole Everything You Owned? It Is Happening Again:  18 Similarities Between The Last Financial Crisis And Today Here’s The Real Reason Why Wall Street Is …

B.B. sent: Unemployment rates up in 90 percent of U.S. cities – CBS News Jerry Robinson: No Fed ‘Taper’ in 2013 An interesting new product: “Breakable” Valcambi 50 gram Gold Bars Items from The Economatrix: High Gas Prices: Relief At The Pump Coming Soon Meredith Whitney:  Detroit Bankruptcy A “Game Changer” Here’s What Happens When A Central Bank Goes Bust Consumer Confidence Surges To Six-Year High Boosted By Soaring Gas Prices And Mortgage Rates

G.G. suggested: Bitcoins banned in Thailand Dr. Paul Craig Roberts – By Winter Unemployment Explodes, More Foreclosures-Worse Than Great Depression Marc Faber: It Will End Either Through War Or Financial Collapse Vinton County Woman Wants Possessions Back After Bank Tried To Repossess Wrong House

G.G. sent: Cyprus, lenders set Bank of Cyprus bail-in at 47.5 percent, sources say Over at FOREX Crunch: Is the smart money fleeing stocks? The article begins: “Institutional investors have been net sellers of stocks for the most of the past year or so.. Since late June, this trend increased, with the 4 week average flirting with sales of 1 billion dollars. On the other hand, retail investors have been net buyers since early June…” [JWR’s Comment: With the Dow Jones Average bouncing around 15,500, we are entering into what they call a “sucker’s market.” Get out of stocks, now!] …

Reader “Racefan” sent a link to some tax data that is helpful in evaluating retreat locales: Property Taxes on Owner-Occupied Housing, by County, 2005 – 2009, Ranked by Property Taxes Paid. I don’t often used the words “conspiracy theory” and “delightful” in the same sentence, but take a look at Bix Weir’s latest essay: The Hidden Meanings in the New $100 Bill! Items from The Economatrix Stagflation: The Fed’s Worst Nightmare Ron Paul Talks Gold Ron Paul On Gold And Why We’ll See More Detroits What’s Up With Inflation?

From G.G.: Family goes bankrupt after blowing their $100,000 savings on Beanie Babies they thought would become valuable. JWR Adds: I recommend investing in tangibles, but not those sorts of tangibles! Also from G.G.: Government Wastes More Money than You Think Items from The Economatrix: The Uneasiness Of Quantitative Easing: How QE Is Ineffective With Helping The Broader Economy In Favor Of Boosting Support For The Too-Big-To-Fail Banks Borrowers Redefaulting In Obama’s Housing Program Part-Time Nation: What Does It Say When A Vast Portion Of Our Society Is Now Working At Part-Time Jobs? 2013 scorecard: Minimum wage restaurant jobs added: …

WWII shipwreck off Ireland yields $38 million of silver for deep sea firm Oil falls back to near $104 a barrel IMF urges effective Fed communication on exit strategy. JWR’s Comment: It is all just talk until they actually taper, and I don’t think they can. Items from The Economatrix: Are Big Banks Driving Up Commodity Prices? Trying To Stay Sane In An Insane World, Part I A Tour Of The Post-Crisis World Economy In 10 Easy Charts Cyprus Real Estate Prices Post Record Plunge

Reader CDV sent: Peak oil lives, but will kill the economy How Detroit Drowned in a Sea of Troubles Farmland prices cooling in Iowa, Nebraska Items from The Economatrix: Worldwide Unemployment Crisis: There are 93 Million Unemployed Workers in G20 Nations Can the US Economy Keep Up With this Exponential Chart? SEC Warns:  Prepare for Repo Defaults Blame Ethanol For Spike in Gas Prices

B.N. suggest an essay by Charles Hugh Smith: Is America’s Social Contract Broken? EXography: 19 U.S. cities have proportionately bigger workforces than bankrupted Detroit. (Thanks to Mark A. for the link.) G.G. flagged this from Jim Sinclair: Comex Must Change Its Delivery Mechanism Soon Items from The Economatrix: Sales of Existing US Homes Unexpectedly Decreases Pump Prices Jump 12 Cents, AAA Sees Further Rise The Tip of the Iceberg Of The Coming Retirement Crisis That Will Shake America to the Core

George Friedman of Stratfor: Big Trouble in Big China. (Thanks to P.W. for the link.) Treasuries Not Safe Enough as Foreign Purchase Pace Slows Items from The Economatrix: Bernanke:  Congress Still a Risk to the Economy The Real Budget of McDonald’s Workers Home Building Slows in June