Economy Rigging 1

DMcW’s – RED ALERT ON NAMA April 28, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 11:06 pm

DMcW’s new article puts NAMA into a stark new context the Greek context.

David concludes if Greece defaults it will herald for the Irish government and the NAMA plan going forward a sovereign debt car crash.

Lunacy of NAMA bailout will tip us over the edge | David McWilliams

Roubini the economics sage reckons that Greece is next to been insolvent and will require its debt restructured.

Greece he states will see a disorderly collapse and it will mean huge losses for financial investors holding Greek debt which will in turn trigger knock on effect into Ireland.

Greece ‘Nearly Insolvent,’ Bailout Won’t Work: Roubini – CNBC

So, international money lenders looking lame on buying more greek debt means greeks can only but turn to ECB.

Will the ECB bail the greeks out in totality to the multitude of billions tens of or leave Greece with no option but to drop out of the Euro as David points out in Article today in the Independent.

If Greece do leave the eurozone but remain in the EU will this pave the way for other countries to go down same path.

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More on Goldman Sachs under questioning April 27, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 5:22 pm

The full text of Senator Levin’s opening “remarks” – if a few verbal punches in the face can be termed “remarks”, that is – is now online here. But here’s a choice “remark”:

These facts end the pretense that Goldman’s actions were part of its efforts to operate as a mere “market-maker,” bringing buyers and sellers together. These short positions didn’t represent customer service or necessary hedges against risks that Goldman incurred as it made a market for customers. They represented major bets that the mortgage securities market – a market Goldman helped create – was in for a major decline.

Goldman continues to deny that it shorted the mortgage market for profit, despite the evidence. Why the denial? My best estimate is that it’s because the firm, Goldmans, cannot successfully continue to portray itself as working on behalf of its clients if it was selling mortgage related products to those clients while it was betting its own money against those same products or the mortgage market as a whole

 

Goldman Sachs under fire and question

Filed under: Uncategorized — bashstreetkidjailbreak @ 5:03 pm

The Guardian blogger Richard Adams

And the Wall Street Journal has a round-up of Goldmans jargon you might be hearing about in the email correspondence that the committee will examine. Such as: Lemonade: A structured-financial deal Goldman mixed up to make bad loans go down easy on investors. Used in a sentence, from a Goldman email: “They structured like mad and travelled the world, and worked their tails to make some lemonade from some big old lemons.

But there could be lower points to come for Blankfein. According to today’s New York Times, Goldman Sachs devised “a series of complex deals to profit from the collapse of the home mortgage market”, which goes beyond the one deal that the SEC has picked out.

 

D McWilliams new article on sovereign debt machinations. April 26, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 12:04 pm

D McWilliams new article goes at the mechanics regarding sovereign debt. An excellent read in explaining the machinations behind the current news stories on Greece and Ireland and nation debt management.

Comments from posters brilliant background analysis and links alongside.

Forgive debt, sayeth the Lord | David McWilliams

BASH STREET KID JAIL BREAK BLOG  says:

David covers in detail the actual math behind the story relating to the debt the authorities are moving around.

The analogy using ANGLO / Greece and NATIONWIDE / Ireland is getting at the guts of the story underway.

The story concerning the funneling of paper money from the ECB into the private banks of Greece and Ireland.

An intricate story wrapped in many narratives folding in and and under each other.

David calculates the raw data and concludes Irelands national debt is going to explode if the Irish government continues on its current trajectory.

David then opens up the narrative concerning the EU funneling paper cash into Greece to keep it from sinking and the financial straight jacket that is the euro which will stall Greece economy re generating.

This according to David will invoke a ripple effect unto Ireland and prolong the credit crunch.

Davids conclusion on this is the EU are trying to resolve debt problems with more debt creation.

This is tantamount to operating a type of debt slavery and is antithetical to free market wealth generation principles.

Davids final conclusion rests with debt forgiveness.

Posters comments jump in and make a number of salient points on ‘debt forgiveness’. Contd/..

 

Goldman Sachs employee frankenstein admission April 25, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 2:04 pm

NEW YORK (AP) — As the U.S. housing turned downward in January 2007, a Goldman Sachs trader wrote in e-mails to a woman he apparently was courting that investments he had sold were “like Frankenstein turning against his own inventor.”

“I’m trading a product which a month ago was worth $100 and today is only worth $93,” wrote Fabrice Tourre, who was charged along with the bank in a civil complaint filed this month by the Securities and Exchange Commission. “That doesn’t seem like a lot but when you take into account … (the investments) are worth billions, well it adds up to a lot of money.”

Tourre was talking about investment products like the one at the heart of a federal complaint against his firm. For Tourre, the investments were like an invention gone awry: He had started arranging them when the market was on the upswing. But he continued selling them after the market turned – now with Goldman betting against them, in one case allegedly misleading investors about a deal’s origin.

Goldman Sachs Group Inc. released that e-mail and 25 other internal documents Saturday in response to a Senate panel’s release of messages in which Goldman executives boast about money they were making as the market imploded later in 2007.

When credit rating agencies downgraded many billions of dollars of mortgage-backed investments in October 2007, Goldman executive Donald Mullen was unabashedly pleased.

“Sounds like we will make serious money,” Mullen wrote to Michael Swenson, another executive, in one of the e-mails released by the Senate Permanent Subcommittee on Investigations.

Goldman has argued vehemently that it did not profit from the mortgage meltdown.

News From The Associated Press

Another link

Goldman hits back over fraud claims – Telegraph

 

The Wall Street Ponzi Scam back drop April 20, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 9:50 pm

If any single person is most responsible for the financial crisis, it’s Alan Greenspan. He presided over a Fed that lowered interest rates to zero (adjusted for inflation) but failed to prevent banks from using essentially free money to speculate wildly. You do not have to be a brain surgeon to understand that if money is free, banks will take it and lend it out. And if oversight is inadequate, the banks will lend the money to anyone who can stand up straight and to many who cannot. The result will be a giant subprime lending bubble that will burst.

If any three people are most responsible for the failure of financial regulation, they are Greenspan, Larry Summers, and my former colleague, Bob Rubin. In 1999 they advised Congress to repeal the Glass-Steagall Act, which since 1933 had separated commercial from investment banking. By 1999, Wall Street was salivating over such a repeal because it wanted to create financial supermarkets that could use commercial deposits to place bets in the financial casino. That would yield the Street trillions.

At the same time, Greenspan, Summers, and Rubin also quashed the efforts of the Commodity Futures Trading Corporation to regulate derivatives, when its director began to worry that derivative trading already was getting out of control.

Yet Greenspan continues to take no responsibility for what occurred. In the interview he just completed he avoiding saying anything about the failure of the Fed under his watch to adequately oversee the banks, and the absence of sufficient financial regulation to begin with.

I dislike singling out individuals for blame or praise in a political system as complex as that of the United States but I worry the nation is not on the right economic road, and that these individuals — one of whom advises the President directly and the others who continue to exert substantial influence among policy makers — still don’t get it.

The direction financial reform is taking is not encouraging. Both the bill that emerged from the House and the one emerging from the Senate are filled with loopholes that continue to allow reckless trading of derivatives. Neither bill adequately prevents banks from becoming insolvent because of their reckless trades. Neither limits the size of banks or busts up the big ones. Neither resurrects the Glass-Steagall Act. Neither adequately regulates hedge funds.

More fundamentally, neither bill begins to rectify the basic distortion in the national economy whose rewards and incentives are grotesquely tipped toward Wall Street and financial entrepreneurialism, and away from Main Street and real entrepreneurialism. It was just reported, for example, that America’s top 25 hedge fund managers last year earned an average of $3 billion each. They continue to pay a federal income tax of 15 percent on most of that, by the way, because their lobbying efforts have been so successful.

Meanwhile, the so-called jobs bills emerging from Congress and the White House are puny relative to the challenge of restoring jobs in America. Last Friday’s jobs report, read most positively, showed 112,000 jobs added to the economy in March. But that’s below the number needed simply to keep up with an expanding population. In other words, we’re actually worse off now than we were a month ago. At the same time, the median wage of Americans with jobs keep dropping.

The American economy is seriously out of whack. The two people interviewed this morning don’t seem to understand how far.

Cross-posted from RobertReich.org

 

Max keiser Press TV updates 17/04/10 April 18, 2010

Filed under: Uncategorized — bashstreetkidjailbreak @ 4:44 pm

Max keiser show on Press TV covered ‘NATION’ mag article on wealth distribution and its gap. Covered the ‘rent seeking’ principle on which the plutocrats are stealing the wealth of the system and how it is the wealth finds its way to the richest .01 percent.

Prices determines policy MAx commented on and how it is majority of people only own .5 percent of shares and bonds in the system and how it is the top engineered a way to pass on the risk to the masses. How it is the top 1 percent alone owns 50 percent of shares bonds etc. Transferring the risk from their balance sheet onto the taxpayers is the means through which they’ve managed to carry this off.

Markets totally manipulated and market rigging and abolishing price discovery another mention by Max.

Max then moved onto interview with Alex Jones the ‘media maverick’ and his predictions for the near future with Pentagon – banker (jailor system) false flag operations.

This interviewed covered Alex talking on the next move to rob peoples pension funds and wrecking economies so the top can accede more control. A mad max type collapse underway.

Also, release of Invisible Empire feature on shadow corporate government (jailor system) in control through a matrix like grid of disinformation and make believe.

Alot to ponder and mull…..!!