Category: Economics & Investing

Fed Now Largest Owner of U.S. Government Debt—Surpassing China. (Of $15 Trillion worth of debt, now 11% of that much, or $1.67 trillion.) Ann H. sent this: States that Will Suffer the Most in the Event of a EU Collapse. (Yet again, The American Redoubt is looking better and better! ) Why Kyle Bass Hoards Nickels. (Thanks to K.M. for the link.) Items from The Economatrix: Jumbo Mortgages May Be Next in Line to Default I Dumped My Bank The Assault On Financial Privacy Goes Parabolic European debt crisis drives gold rush

More Friday FDIC Follies: Regulators close small banks in Iowa, Louisiana for total of 90 bank failures in 2011 Debt Crisis Contagion: The Euro Zone’s Deadly Domino Effect It’s All About Gold Now How Can The America People Ever Trust Congress Again After Learning Of The Rampant Insider Trading That Has Been Going On? Items from The Economatrix: Real Estate:  Why Home Prices Won’t Bottom Out Paul Drockton: MF Global and Derivatives Disinformation Student Loan Default Rates Surging Largely Due to For-Profit College Expansion Foreclosure Crisis Only Halfway Over

G.G. flagged this: The next financial crisis will be hellish, and it’s on its way More from the GEAB think tank: Global Systemic Crisis: 30,000 billion US dollars in ghost assets will disappear by early 2013 U.S. Banks Face Serious Risk From Europe: Fitch. (Thanks to AmEx for the link.) Kyle Bass Un-Edited: “Buying Gold Is Just Buying A Put Against The Idiocy Of The Political Cycle. It’s That Simple!” (At 20:50 into this fascinating interview, Bass answers the question: “Why guns and gold?” Items from The Economatrix: Is Gold Headed to $2,200? European Debt Crisis:  You Haven’t Seen Anything …

G.G. flagged this: Europe’s €1 trillion (£854bn) rescue fund has been forced to buy its own debt as outside investors become increasingly concerned about the worsening eurozone sovereign debt crisis. Does this sound familiar? James A. suggested this by Rick Moran: ‘It’s going to happen again’ – Financial meltdown committee head Anthony M. sent us this: Post office near default? Losses mount to $5.1Billion Gold Versus U.S. Dollar as Safe Havens Diverge For those who have been waiting for an opportune dip in the precious metals market, this could be it. (As of Thursday, November 17, 2011.) Items from The …

Gerald Celente Hammered By Margin Call on Gold Futures With MF Global. Learn from this pundit’s mistake: Keep your precious in metals in tangible form, in your personal possession, well-hidden at home. (NOT in “bonded vault storage”, or in a brokerage account, or in any form of futures, or in an ETF, or even in a safe deposit box. Physical metal in your possession trumps all! This also illustrates that whenever there is a financial panic, a cascade of margin calls can be devastating. California property assessments down only 4 percent from peak but home values are down by 37 …

Reader F.J.R. suggested this from The Washington Times: Currency control efforts worry Argentines Guess How Many Americans Don’t Have Enough Saved To Cover A $1,000 Emergency? (Thanks to G.G. for the link.) B.G. spotted this: Fed Surveys: Economy in Worse Shape Than Feared, Recession Odds Spike to 50% Sign of the times: Complete, and Ongoing List of U.S. Retail Stores Closing in 2011 Calendar Year. (A hat tip to Kyle L. for the link.) Items from The Economatrix: US Companies Feeling Impact of European Crisis. JWR’s Comment: Just wait until there is the inevitable global cascade of margin calls. Europe’s …

Europe could be in worst hour since WW2: Merkel. (Thanks to K.A.F. for the link.) Over at American Thinker: US building firewall to protect against European debt contagion Dollar Teetering on the Abyss William Weytjens: Platinum: The “Cheapest” Precious Metal AmEx suggested this at The Daily Beast: Europe’s Disaster is Headed Our Way Items from The Economatrix: The Banks That Swallowed Europe, Western Civilization Based on Debt Eurozone Sketches Out Stability Plan as Fears Linger Over Greece and Italy Why the Dollar and Euro Collapse are Guaranteed Gerald Celente on Alex Jones Show

SurvivalBlog’s G.G. sent this: Chinese ratings agency threatens US with new debt downgrade C.D.V. sent this: Eurozone collapse ‘will send continent into depression’ G.G. sent this: Too Big to Fail, Too Big to Save: The economic collapse of Italy will destroy the euro. (Nouriel Roubini) Items from The Economatrix: Rate on 30-year Mortgages Below Four Percent for Second Time Big Banks Plead With Customers No to Move Their Money Death of the Euro

AmEx sent this: Gold and bonds are all that’s left K.A.F. flagged this: Fed’s Plosser: Additional Stimulus Unnecessary Jeff H. suggested a piece over at the excellent SHTFPlan blog: Fake Silver and Gold Flood Global Markets; 100,000 Coins From A Single Counterfeiter! Damon S. mentioned this piece at the oft-cited Seeking Alpha blog: Prepare For Europe Collapse Before New Year Regulators on Friday closed a bank Georgia, bringing to 88 the number of bank failures in the U.S. this year. (Thanks to G.G. for the link.) Items from The Economatrix: 65% Chance of Banking Crisis By End of November How …

Roman sent the link to this great piece:  Storing Your Value–Old-School Wealth G.G. flagged this: EUROPAC: We Have Entered The First Of Four Phases That Will Destroy Fiat Money Some Context: How Bad is it in Italy?   The U.S. Dollar Has the Upper Hand Here. [JWR’s Comment: The U.S. Dollar’s relative strength versus the Euro is transitory. In the long run, our debt (as a percentage of GDP) will become all too obvious, and U.S. Treasury debt instruments will be propelled to double-digits yields in order to attract investors. That will be a precursor to an extended period of …

Josh flagged this: 100% Chance of Crisis, Worse Than 2008: Jim Rogers M.C. highlighted this headline: The Fall of the Eurozone? Merkel Calls for “New Europe” C.D.V. alerted us to this: Alabama County Votes for Biggest Muni Bankruptcy on Record ($3.14 billion!) M.E.W. sent this piece by “Recovering Venture Capitalist” Bill Freeza: Will Western Civilization Rediscover The Moral Foundations Of Sound Money? Items from The Economatrix: These Five Charts Clearly Show Just How Major — And Depressing — The Current Unemployment Situation Really Is Employers Post Most Job Openings in Three Years Retirement Crisis Closes in On Baby Boomers Progress …

Rick Moran: ‘We are looking straight into the face of a Great Depression’ G.G. sent this news from England: Number of men aged 25-34 living with their parents rockets to 18.6 per cent, the highest level since 1960 At The Daily Bell: Der Spiegel: ‘Consensus Is Growing’ for ECB and IMF Takeover of Euro-Crisis. (And who will provide the support for the IMF? Most likely us–American taxpayers.) Jason Hommel: The Dollar is Done – Deal with It Barclays Says Italy Is Finished: “Mathematically Beyond Point Of No Return” (Thanks to John R. for the link.)) Items from The Economatrix: Gold …