Category: Economics & Investing

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 …

Peter Schiff: Brace for “Abrupt” Dollar Collapse AmEx (American Expat) sent this: Nearly 29% of mortgaged homes underwater, report finds The Entire Global Economy is at The Mercy of Tiny Greece? Items from The Economatrix: Bank Exodus From Euro Zone Sovereign Debt Quickens Consumer Borrowing Up, But Credit Card Use is Down UPS Expects 6% Rise in Holiday Shipments Senate Aims Help at Jobless Vets, Contractors

Chris M. suggested this article: The Shadow Superpower–Forget China: the $10 trillion global black market is the world’s fastest growing economy — and its future. Reader A.N. sent this: US wealth gap between young and old is widest ever Also from A.N.: 7-in-10 Blame Economy for Hiring Freeze John R. liked this one: The Municipal Bond Market Is Imploding Items from The Economatrix: Greece’s Prime Minister Survives Confidence Vote “Gigantic Bank Run” Coming, Says Nobel Prize Winner Fed-up Consumers Planning for “Bank Transfer Day” Banks Closed In Nebraska, Utah; Total 2011 Failures 87

Some Words of Advice From Kyle Bass (Guns, Gold, and Nickels–He is definitely our kinda guy.) Charles Hugh Smith chimes in, with guest post over at Zero Hedge: The Collapse Of Our Corrupt, Predatory, Pathological Financial System Is Necessary And Positive. (Thanks to L.M.W. for the link.) Super Committee Can Keep the Change: Dollar Coin Proposal Lacks Momentum Items from The Economatrix: German Economists On Greek Referendum:  “The Euro Zone Could Face Ruin” Federal Reserve Lowers Outlook for US Growth BofA Forecloses on Home Destroyed By Ike

Liquidity crunch, ahead? CME increases margin call; markets will be under pressure. (Thanks to C.D.V. for the link.) Greek Tragedy, Act II: Der Bild reports that some businesses are getting ready for reintroduction of the Greek Drachma. TUI rechnet schon in Drachmen: PLAN B WIRD AUCH IM FINANZMINISTERIUM BEREITS BESPROCHEN. For non-German readers, here is a rudimentary translation. This might not be “Das Ende der Welt, wie wir sie kennen.” But it might be The End of the Euro As We Know It.(Thanks to S.B. in Holland for the link.) Michael Z. Williamson (SurvivalBlog’s Editor at Large) recommended this over …