Category: Economics & Investing

The Telegraph reports: Finland prepares for break-up of eurozone. (Thanks to Pierre M. for the link.) Tyler Durden: Why QE Is Not Working Also at Zero Hedge: US Treasury Admits It Conducted A Circular Ponzi Scheme For Years Wall Street’s Teflon Don Jon: Jon Corzine avoids charges Items from The Economatrix: A Surprise Economic Indicator That’s Looking Up Mish:  Syracuse, NY, Headed For Bankruptcy, 100% Certain Prepare For US and Euro Collapse:  The Next One Will Be The Big One

G.G. flagged this: After the Storm – describes the stages of economic collapse. The 13-F truth comes out: George Soros Eats Own Words, Doubles Down On The Gold ETF J.D.F. mentioned: Jim Rogers: It’s Going To Get Really “Bad After The Next Election” Aaaand It’s Gone: This Is Why You Always Demand Physical Precious Metals Items from The Economatrix: World Shipping Crisis Threatens German Dominance as Greeks Win Long Game Retail Sales Up But Some Consumers Still Cautious Paulson, Soros Add to Gold Hoard as Prices Drop Most Since 2008

Welcome to the Third World, Part 7: Bye Bye, Public Services. (Kudos to H.L. for the link.) Also from H.L.: Two Spanish Towns in Hock as Banks Cope with $250 Billion in Bad Loans The Political Euro Revolt Spreads To Austria: “Europe Can Only Function If Every Country Has Its Own Currency” Items from The Economatrix: Banking Damage:  ATM, Checking And Overdraft Fees Rise In 2012 Max Keiser:  We’re In A Financial Holocaust Why More States May See Gas Prices Above $4 Six U.S. Cities on the Edge of a Fiscal Cliff

J.B.G. sent: Five years on, the Great Recession is turning into a life sentence Parallel currencies! Coinage Act of 2012 – Congressman Ron Paul R.B.S. sent a link to an interesting Numismaster piece: Fake Silver Rounds Can Cause Real Problem Items from The Economatrix: Growing Paychecks Boost Americans’ Buying Power Fed Can’t Fix US Economic Headwinds Bill Haynes:  We Are Now Seeing Huge Orders For Physical Gold & Silver African Nations Chase Out The Almighty Dollar

Der Spiegel reports: Investors Prepare for Euro Collapse Welcome to the land of the poor and rich – Trading the middle class for economic extremes. Deep Fried Black Swan Lands as China Admits it Has a Food Inflation Problem, Releases Corn, Rice From Reserves. (Thanks to H.L. for the link.) Three Warning Signs Showing Why You Should Remain Leery of this Market   Why Alternative Energy Will Never Become Widespread in Our Lifetime Items from The Economatrix: Presenting The Ultimate “Muppet” Indicator The US Treasury Secretary’s $2.4 Trillion Secret Are You Better Off Than You Were Four Years Ago? Egan …

B.B. sent this: Where Borrowing $105 Million Will Cost $1 Billion: Poway Schools. A 40 year bond. What insanity! This typifies the institutionalized myopia of California. Is The Greek Calamity Economy Headed For Revolt? “‘Dire’ is no longer the right word to describe the situation in Greece. Unemployment hit 23.1% in May…” Heads I Win, Tails You Lose: Goldman Sachs: No CDO charges by SEC. Once again, bankers are told implicitly told that they can gamble recklessly with derivatives with no repercussions. Someday there will be a huge implosion… Deep Schumer for scrap metal thieves? Sen. Schumer aims to make …

El Jefe Jeff E. first of several readers to send this news: US Banks Told To Make Plans For Preventing Collapse G.G. flagged this: Study: Almost Half of Americans Die With Less Than $10,000 in Assets Also from G.G.: Slow path to progress for U.S. immigrants: 43% on welfare after 20 years From B.B.: New retirees receiving less in Social Security than they paid in, marking historic shift Items from The Economatrix: Financial Algorithmic Trading Could Gold Be Tripped Up By Coming Deflation? Gold Poised For Upside Breakout of Current Range

Peter S. was the first of several readers to send this item: Over 100 Million Now Receiving Federal Welfare. Peter’s comment: “If true, then this is worse than I previously thought and feared in the US.  It is going to be ugly when the U.S. Dollar collapses…” American Expatriate (“AmEx”) suggested this: Fed’s Fisher: Just Stop With the Easing Reader B.B. sent this: US Dollar already went off a fiscal cliff – what does a falling dollar mean to US families? Masking de-leveraging via debt markets. Coffematt forwarded this: Real recovery in home prices not expected until spring. JWR’s Comments: …

France’s new Socialist President François Hollande is calling for a 75% income tax! Indigestion for ‘les Riches’ in a Plan for Higher Taxes. If this is enacted, expect to see a wave of emigration. Items from The Economatrix: Has The Perfect Moment To Kill The Dollar Arrived? The US Economy Lost 1.2 Million Jobs In July Oil Drops From Two-Month High in New York as Demand Slides

Five Surprising Facts About Hyperinflation Why Europe Matters… And How Spain Could Wipe Out Your 401(k) Reader Pierre M. sent this: The 11 Graphs That Allegedly Prove That the West Is Doomed The Daily Bell asks: Fed Bankrupting Consumers While Enriching Wall Street as a Matter of Policy? Items from The Economatrix: Despite Jobs Report, Street Unsure Of Fed’s Next Move The Employment Rate In The US Is Lower Than It Was In The Last Recession The US Economy By The Numbers

H.L. suggested this essay by Peter Schiff: We Have A Phony Recovery That Has Sown The Seeds Of Its Own Destruction Also from H.L.: Chevron’s Largest California Refinery “Immediate-Extreme-Health-Hazard” Fire Emergency K.A.F. flagged this: Emails: Geithner, Treasury drove cutoff of non-union Delphi workers’ pensions Items from The Economatrix: 11 Signs That Time Is Quickly Running Out For The Global Financial System Collapse Of Financial System Will Come In August, Maybe September US Manufacturing Unexpectedly Shrinks For Second Month

Bob G. sent this: Economist Richard Duncan: Civilization May Not Survive ‘Death Spiral’ Illinois to Spend More on Pensions Than on Education. (Thanks to B.B. for the link.) Items from The Economatrix: Economic Data Underscores Weakening Activity Consumer Comfort In US Falls On Concern Over Growth Postal Service On The Verge Of Default Job Gains Topping Forecasts Ease US Slowdown Concerns Service Industries In US Expanded At A Faster Pace In July

Reader H.L. recommended this over at The Daily Crux: Top Manager Grantham: Get Ready for a Global Food Crisis The other side of persistently high unemployment – Underemployment rate shoots up to 15 percent but is actually more problematic because of the civilian employment-population ratio. G.G. flagged this: Cash-for-gold shops boom as Italians sell off their bling Items from The Economatrix: Get Used To The “New Norm” of 6-7% US Jobless Rate Peter Schiff:  Priced For Collapse IMF:  US Plunge From Fiscal Cliff Would Hit Global Economy Hard Oil Surges Most in a Month as US Adds Jobs, Services

Collapse Of Financial System Will Come In August, Maybe September: Market-Watchers.( Thanks to Jim W. for the link.) Reader H.L. suggested this piece by Gonzalo Lira: How A Country Rationally Exits The Eurozone What’s in your vault? Uncle Sam audits its stash of gold at the New York Fed. The gold audit is a first for the institution and includes drilling into several hundred ingots. It could put the conspiracy theories to rest. Items from The Economatrix: Is The Gold Rush Over? Jobs Outlook Poor, Improvement Unlikely 65 Signs That The Economic Collapse Is Already Happening