Posts Categorized: Jim’s Mailbox

Posted by & filed under Jim's Mailbox.

Dear JJ,

It really is convenient to see no one can recover any lost funds from the perps in this wash, rinse, recycle again process. If I didn’t know better, I’d say this fine was a simple license fee to do it again and if caught, pay for another license.

Regards,

Jim

CFTC Orders JPMorgan Chase Bank, N.A. to Pay $65 Million Penalty for Attempted Manipulation of U.S. Dollar ISDAFIX Benchmark Swap Rates
June 18, 2018

Washington, DC – The Commodity Futures Trading Commission (CFTC or Commission) today issued an Order filing and settling charges against JPMorgan Chase Bank, N.A. (JPMC) for attempted manipulation of the ISDAFIX benchmark and requiring JPMC to pay a $65 million civil monetary penalty.

The CFTC Order finds that over a five-year period, beginning in at least January 2007 and continuing through January 2012 (the Relevant Period), JPMC made false reports and attempted to manipulate the U.S. Dollar International Swaps and Derivatives Association Fix (USD ISDAFIX), a leading global benchmark referenced in a range of interest rate products, to benefit its derivatives positions, including positions involving cash-settled options on interest rate swaps.

James McDonald, CFTC Director of Enforcement, commented: “This matter is one in a series of CFTC actions that clearly demonstrates the Commission’s unrelenting commitment to root out manipulation from our markets and to protect those who rely on the integrity of critical financial benchmarks.”

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No big hamburger here! Courtesy of JB.

Jim

Horowitz Reveals That Comey Is Under DOJ Investigation Over Mishandling Classified Info
June 18, 2018

DOJ Inspector General Michael Horowitz made a stunning admission during Monday Congressional Testimony that former FBI Director James Comey is under a separate and ongoing investigation over mishandling of classified information – when asked by Senate Judiciary Committee Chairman Chuck Grassley (R-IA) about

Grassley: “Comey said he did not expect a report on his handling of classified information because, “That’s frivolous.” I don’t happen to think that it is frivolous. Question number one, Mr. Horowitz, are you investigating the handling of his memo and does that include the classification issues, and should Mr. Comey expect a report when it’s complete?”

Horowitz: “We received a referral on that from the FBI,” We are handling that referral and we will issue a report when the matter is complete, consistent with the law and rules that are–a report that’s consistent and takes those into account.”

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CIGA Robert warns of higher taxes from desperately indebted nations.

Bill

Linear analysis never takes into account climate cycles. And history does show the earth does go through cycles of climate much like locusts come in cycles. And certain countries are experiencing real change that is not warming. Russia had the coldest spring in a 140 years which devastated their winter wheat harvest.

Watch the coming outcry for taxation as Europe goes broke. As it is countries are rushing to load up on debt before the ECB stops buying so what comes next will be increasing taxes.

The fight will be on and will add to trade disputes already under way.

Cheers,

Robert

Leaked UN Draft Report Warns Of Urgent Need To Cut Global Warming
June 15, 2018

The world is on track to exceed 1.5C of warming unless countries rapidly implement “far-reaching” actions to reduce carbon emissions, according to a draft UN report leaked to Reuters.

The final draft report from the UN’s intergovernmental panel on climate change (IPCC) was due for publication in October. It is the guiding scientific document for what countries must do to combat climate change.

Human-induced warming would exceed 1.5C by about 2040 if emissions continued at their present rate, the report found, but countries could keep warming below that level if they made “rapid and far-reaching” changes.

Under the 2015 Paris climate agreement, almost 200 countries signed up to limit global temperature rises to well below 2C above pre-industrial levels and to pursue efforts to limit the temperature increase to 1.5C.

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Courtesy of Dave

Jim

Where Did the Russian Portfolio of American Bonds Disappear To?

June 18, 2018

By Ivan Danilov

Translated by Ollie Richardson & Angelina Siard

cross posted with http://www.stalkerzone.org/where-did-the-russian-portfolio-of-american-bonds-disappear-to/

source: https://ria.ru/analytics/20180618/1522890823.html

Practice shows that there are three topics connected to Moscow that attract genuine attention, and often also invoke the sincere surprise of the foreign financial press and expert community.

The main mystery that the authors of the western financial periodical press try to solve is why the Russian economy hasn’t yet collapsed, despite unprecedented western sanctions? If it continues like this, then the meme about the “mysterious Russian economy” will occupy in the western news sphere a place near a meme about the “mysterious Russian soul”.

One more topic moving the world is the Russian successes in relation to intercepting control over the OPEC oil cartel, which the Americans once created to advance their own interests. Now American journalists sadly joke that it is time to rename OPEC into ROPEK, because now it is Russia – which (oh the horror!) doesn’t react to the tweets of Trump demanding to immediately lower the prices of oil – that rules here.

It is impossible to not mention the topic of the Russian gold reserves and the persistence with which the Central Bank buys gold for gold and foreign exchange reserves. Taking into account with the amount of this metal in its own stocks Russia already overtook even China, western analysts suspect that this strategy is a part of strengthened preparation for the collapse or radical reformatting of the world monetary system, after which gold will be the only “financial instrument” that not only keeps its value, but also raises it.

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Courtesy of Dave.

Jim

What Does the North Korea-Trump ‘Best Friends’ Summit Portend for Iran?
June 19, 2018

What an odd outcome: After all the threatened ‘fire and fury’, all the earlier bluster about complete, irreversible, verified, denuclearisation, and all the neocon bravura about Kim Jong Un having to transfer his nukes to the US, and having to undertake irreversible steps to strip himself nuclear-naked, as it were, prior to Trump lifting his little finger – all this melted away, like snow, into a show of BFFE (best friends for ever).

“The Singapore summit was long on theatre and largely devoid of substance”, writes Professor Steven Walt, “save for a typical Trumpian giveaway. This time Donald Trump impulsively offered to suspend military exercises with South Korea (without notifying Seoul in advance) in exchange for a North Korean pledge to do – well, nothing. If the self-proclaimed master negotiator keeps making deals like this, there will be a Kim Jong Un Hilton in Honolulu, before there is a Trump Tower in Pyongyang. The most significant development in Singapore was to complete the transformation of Kim… into a serious and engaged world leader, of some stature.”

Was this just an example of creative, Trump unorthodoxy (face-to-face meeting in advance of substantive agreement) – i.e. the voiding of a blockage? Or, was it because the outlines to Kim Jong Un’s policy objectives have been clear since at least 2013, but the tilt point in turning it from something latent into substantive form, was the metamorphos in South Korea which gave Moon the clear mandate to seek the reunification of the Peninsular (something the North Korean leadership had long sought)?

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And who did not know this? Courtesy of JB.

Jim

Study Confirms Most Psychopaths Live in Washington D.C.
June 18, 2018

Murphy also included the District of Columbia in his research, and found it had a psychopathy level far higher than any other state. But this finding is an outlier, as Murphy notes, as it’s an entirely urban area and cannot be fairly compared with larger, more geographically diverse, US states. That said, as Murphy notes, “The presence of psychopaths in District of Columbia is consistent with the conjecture found in Murphy (2016) that psychopaths are likely to be effective in the political sphere.”

Surprised? I didn’t think so. But still, fun to get some scientific confirmation.

Psychos are drawn to power. It is not just that power corrupts, it is that already corrupt people seek power. Government is the best industry to be in for someone with no morals.

The study is called Psychopathy By State, conducted by Ryan Murphy. He surveyed samples from the lower 48 states and Washington D.C. to find the prevalence of personality traits which correspond to psychopathy.

The personality traits generally corresponding to psychopathy are low neuroticism, high extraversion, low agreeableness, and low conscientiousness.

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Is your village mentioned here? Courtesy of JB.

Jim

Judicial Watch Sues State Department for Obama-Era Records on Refugee Resettlement Site Locations
June 18, 2018

(Washington, DC) — Judicial Watch announced today that it filed a Freedom of Information Act (FOIA) lawsuit in the United States District Court for the District of Columbia for records on sites that were considered for the resettlement of refugees in the United States during the last two years of the Obama administration. (Judicial Watch vs. U.S. Department of State (No. 1:18-cv-01244))

Judicial Watch filed the lawsuit after the State Department failed to respond to a February 23, 2017, FOIA request seeking:

  • All records reflecting the locations within the United States that were considered as possible sites for refugee resettlement under the U.S. Refugee Admissions Program (USRAP) in 2015 and 2016.
  • All records reflecting the criteria used to determine suitability of locations as refugee resettlement sites in 2015 and 2016.
  • All records reflecting the names of local organizations promoting any of the locations identified above for consideration as refugee resettlement sites.

In October 2016, Judicial Watch made public 128 pages of documents it obtained from the mayor of Rutland, Vermont, showing a concerted effort by the mayor and a number of private organizations to conceal from the public their plans to resettle 100 Syrian refugees into the small southern Vermont town. The mayor and resettlement organizations shrouded the plan in such secrecy that not even the town’s aldermen were informed of what was taking place behind closed doors. The aldermen eventually wrote to the U.S. Department of State protesting the plan and opened an investigation into the mayor’s actions.

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Courtesy of JB.

Jim

Judicial Watch Sues DOJ for Mueller Deputy Andrew Weissmann Text Messages Regarding Trump, Clinton
June 19, 2018

(Washington, DC) — Judicial Watch announced today that it filed a Freedom of Information Act (FOIA) lawsuit asking the court to compel the Department of Justice produce “all text messages to or from DOJ official Andrew Weissmann” regarding President Donald Trump and Hillary Clinton. (Judicial Watch v. U.S. Department of Justice (No. 1:18-cv-01356)). Weissmann is a senior deputy for Special Counsel Robert Mueller and a former chief of the Justice Department criminal fraud division.

 

Judicial Watch filed suit after the DOJ failed to respond to a December 15, 2017, FOIA request for:

 

  • All text messages sent to or from DOJ official Andrew Weissmann regarding Donald Trump and/or Hillary Clinton between August 8, 2016 and the present.
  • All calendar entries, whether in physical or electronic form, for Weissmann from January 1, 2015 to the present.

Weissmann’s objectivity in Mueller’s investigation was called into question in December 2017 when a Judicial Watch FOIA lawsuit uncovered an email Weissmann wrote praising former acting Attorney General Sally Yates for defying Trump on enforcement of the president’s so-called travel ban.

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‘A Father and his Daughter’s Fiancé’      Courtesy of Frank O.

Jim

A young woman brought her fiancé home to meet her parents. After dinner, her mother told the girl’s father to find out about the young man.

The father invited the fiancé to his study for a talk.

“So, what are your plans?” the father asked the young man.

“I am a biblical scholar,” he replied.

“A biblical scholar, hmmm?” the father said. “Admirable, but what will you do to provide a nice house for my daughter to live in?”

“I will study,” the young man replied, “and God will provide for us.”

“And how will you buy her a beautiful engagement ring, such as she deserves?” asked the father.

“I will concentrate on my studies,” the young man replied, “God will provide for us.”

“And children?” asked the father. “How will you support children?”

“Don’t worry, sir, God will provide,” replied the fiancé.

The conversation proceeded like this…and each time the father questioned, the young idealist insisted that God would provide.

Later, the mother asked, “How did your talk go, honey?”

The father answered, “Another Democrat. He has no job, he has no plans, and he thinks I’m God.”

Posted by & filed under Jim's Mailbox.

Courtesy of Dave.

Jim

The Federal Reserve: Public Enemy Number One
June 14, 2018

The following article was written by Peter Schmidt. Any views expressed are his own and do not necessarily reflect the views of Peter Schiff or SchiffGold.

When currency was backed by gold, a central bank’s main function was to maintain the value of the issued currency in terms of gold. For example, if a central bank created too much money against the gold reserves in the banking system, an increasing number of people would begin to exchange their currency for gold. To combat this, a central bank would be forced to raise interest rates and decrease the money supply. The higher interest rates would incentivize people to exchange gold for larger savings on deposit that earn interest. Banking reserves – gold – would return to the banking system and the economy would return to balance. The prime reason for insisting on defining currency in terms of a precious metal was to provide a self-correcting braking mechanism to the creation of money. As expressed by the great Wilhelm Röpke:

If in the production of goods the most important pedal is the accelerator, in the production of money it is the brake. To insure that this brake works automatically and independently of the whims of government and the pressure of parties and groups seeking “easy money” has been one of the main functions of the gold standard. That the liberal should prefer the automatic brake of gold to the whims of government in its role of trustee of a managed currency is understandable.”[1]

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“Are you really certain the USA has a boom economy to fall back on as this article says?” If that is not so then the problem is Global one more time, times orders of magnitude.

Jim

Jim/Bill,

Disconcerting.

Although only one man’s opinion, it could be a harbinger of things to come.

“If Deutsche Bank goes below $10, I’m not only going to say the U.S. bank stocks start making new lows, the S&P will start to roll over too,” he (Dennis Dick ) said.

Deutsche Bank shares traded down another 1 percent Friday to $11.11.

Flattening yield curve to hurt Euro banks first, then U.S. banks, then S&P. Everything is tied together.

If so, then all roads lead to Gold.

CIGA Wolfgang Rech

A Concerning Weakness In Bank Stocks
June 16, 2018

Coming into 2018, many traders expected the environment of rising interest rates, financial sector deregulation and a booming U.S. economy to create the perfect environment for bank stocks. Unfortunately, the Financial Select Sector SPDR Fund (NYSE: XLF) is down 1.7 percent so far this year, and PreMarket Prep co-host Dennis Dick discussed the troubling trading action on Friday’s show.

Watching Europe Closely

European banks such as Deutsche Bank AG (USA) (NYSE: DB) aren’t out of the woods yet, and U.S. banks stocks aren’t as cheap as they may appear, Dick said.

“I’ve said publicly that I’m bearish the U.S. banks, and I continue to be bearish on the U.S. banks because I don’t know what is going on in Europe,” Dick said. “I don’t like the pricing action of any of the European banks.”

Deutsche Bank shares are down 36 percent in the past month after the Wall Street Journal reported the U.S. Federal Reserve placed assigned a “troubled condition” to Deutsche Bank last year. Shares of European bank stocks Lloyds Banking Group PLC (ADR) (NYSE: LYG), Barclays PLC (ADR) (NYSE: BCS) and Credit Suisse Group AG (ADR) (NYSE: CS) are all down between 3 and 13 percent in 2018.

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Courtesy of JB.

Jim

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Wolfgang, “astute” institutions missed the boat if they are just now locking in financing via extended maturities…but better late than never!

Best,

Bill

Jim/Bill,

What is the FED thinking of?

“And with both T-Bill issuance continuing to surge, and rates rising, two things are certain: not only will the Libor-OIS spread resume blowing out amid the continued surge in short-term supply, but demand will continue slide, although the good news is that we are still well off from the record lows, in which auctions were only 1.5x covered at the start of the century.”

On a path to raising interest rates across the board, they are increasing their issuance of short term paper (which eventually may have to be refinanced in the longer end. If inflation rears its ugly head, short term rates will skyrocket with the FED leading the charge ala Paul Volker).

That could, make that will, send refinancing rates through the roof, increasing debt issuance exponentially.

Even astute corporations are beginning to extend their debt maturities.

CIGA Wolfgang Rech

6 Month Bill Bid-To-Cover Plunges To 2nd Lowest This Decade Amid Fleeing Demand
June 18, 2018

While demand for US Treasurys remains brisk at primary auctions (if more questionable in the secondary market where we recently learned that Russia dumped half of its Treasury holdings, or almost $50BN, in April), the same can hardly be said for the short-end of the market, where moments ago we saw what happens to auction demand in a time of rapidly rising rates.

As shown in the chart below, while the yield on 6 Month Bills auctioned off today came in largely as expected at 2.075%, the demand did not, and after a solid Bid to Cover of 3.59 last week, today’s 6M auction suffered one of its biggest drops on record, tumbling to just 2.78, with $116.9BN in bids tendered for $42BN in paper, down sharply from $150.6BN on June 11. This was the second lowest Bid To Cover this decade, and only better than the 2.74 BTC printed on the February 12, 2018 auction.

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6 Month T-Bill Bid To Cover

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Courtesy of JB.

Jim

Watch Live: FBI Director, Inspector General Testify On “Explosive” Report
June 18, 2018

After President Trump bashed the conclusion of his report duringan impromptu press conference with Fox & Friends on Friday, Inspector General Michael Horowitz, author of the infamous IG report, is set to testify before the Senate Judiciary Committee Monday afternoon at 2 pm ET, along with FBI Director Christopher Wray.

No doubt, lawmakers will have plenty of questions about the report’s conclusion, which determined that Comey and the bureau were innocent of wrongdoing, though the report concluded that Comey was “insubordinate” and also singled out several instances of political bias.

Watch live below:

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Posted by & filed under Jim's Mailbox.

 

File under did you know?

Dave

Among The Costs Of War: Billions A Year In A.C.?
June 25, 2011

The amount the U.S. military spends annually on air conditioning in Iraq and Afghanistan: $20.2 billion, according to a former Pentagon official.

That’s more than NASA’s budget. It’s more than BP has paid so far for damage from the Gulf oil spill. It’s what the G-8 has pledged to help foster new democracies in Egypt and Tunisia.

“When you consider the cost to deliver the fuel to some of the most isolated places in the world — escorting, command and control, medevac support — when you throw all that infrastructure in, we’re talking over $20 billion,” Steven Anderson tells weekends on All Things Considered guest host Rachel Martin. He’s a retired brigadier general who served as chief logistician for Gen. David Petraeus in Iraq. He’s now in the private sector, selling technologies branded as energy-efficient to the Defense Department.

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Jim/Bill,

Wow!  We’re on our way.

One small step for Texas, one giant leap for mankind.

Remember the Alamo will be replaced by Remember the Fed.

Thanks Texas.

CIGA Wolfgang Rech

The Texas Bullion Depository Officially Opened For Business This Week
June 5, 2018

Authored by Mike Maharrey via The 10th Amendment Center,

The Texas Bullion Depository officially opened for business this week. The creation of the facility represents a power-shift away from the federal government, and sets the foundation to undermine the Federal Reserve’s monopoly on money.

 

 

 

 

 

In June 2015, Gov. Greg Abbot signed legislation creating the state gold bullion and precious metal depository. The facility will not only provide a secure place for individuals, business, cities, counties, government agencies and even other countries to store gold and other precious metals, the law also creates a mechanism to facilitate the everyday use of gold and silver in transactions. In short, a person will eventually be able to deposit gold or silver – and pay other people through electronic means or checks – in sound money.

The facility began accepting deposits of precious metals on Wednesday, June 6. Texas Comptroller Glenn Hegar became the first depositor. He praised the depository as a secure place to store gold and silver.

“Once you’ve made that deposit, it is going to be there tomorrow and in the future, until you make a decision to withdraw it or you want to sell it,” he told the Texas Tribune.

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Trump’s Achilles Heel could just turn out to be the make believe economic boom. This would be quite a surprise to the new Fed Chairman. With Europe in tatters, the entire Potemkin world might just begin its unwind.

GG

“The Global Bond Curve Just Inverted”: Why JPM Thinks A Market Crash May Be Imminent
June 16, 2018

At the beginning of April, JPMorgan’s Nikolaos Panigirtzoglou pointed out something unexpected: in a time when everyone was stressing out over the upcoming inversion in the Treasury yield curve, the JPM analyst showed that the forward curve for the 1-month US OIS rate, a proxy for the Fed policy rate, had already inverted after the two-year forward point. In other words, while cash instruments had yet to officially invert, the market had already priced this move in.

One way of visualizing this inversion was by charting the front end between the 2-year and 3-year forward points of the 1-month OIS. Here, as JPM showed two months ago, a curve inversion had arisen for the first time during the first week of January, but it only lasted for two days at the time and the curve re-steepened significantly in the beginning of April.

 

 

 

 

 

 

 

 

 

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Was it that fellow Holter who a few years ago called this exact period the “Time of the Truth Bombs?”

This could easily make scared but good people in DOJ and FBI come forward with the efforts to execute The Trump Bloodless Coup in the USA,. I think that used to be called “high treason.”

GG

“We Had Whistleblowers”: Nunes Reveals “Good FBI Agents” Tipped Off Congress About Comey Team
June 16, 2018

“Good FBI agents brought this to our attention.”

House Intelligence Committee Chairman Devin Nunes (R-CA) revealed that in late September 2016, “Good FBI agents” stepped forward as whistleblowers to tell them about additional Hillary Clinton emails “sitting” on Anthony Weiner’s laptop.

“I’ve never actually said this before,” said Nunes. “We had whistleblowers that came to us in late September of 2016 who talked to us about this laptop sitting up in New York that had additional emails on it.”

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Looks like the closet may be open for good people to spill the beans all over Heir Mueller. In time, the manipulation in all markets and crooked nerd trading machines will find the light of day right on them.

Jim

If she lives, she’ll testify.

JB

Former Obama Admin Official Linked To Anti-Trump Dossier To Testify Before Congress
June 15, 2018

Former State Department official Victoria Nuland, who reportedly connected FBI officials to the former British spy who wrote the infamous anti-Trump dossier, will testify before the Senate Intelligence Committee next week.

Ms. Nuland, a longtime State Department official who served in the George W. Bush administration as the U.S. Ambassador to NATO, served during the Obama administration as assistant secretary of state for European and Eurasian Affairs.

In that capacity, according to the book “Russian Roulette,” she played an instrumental role in the evolution of Christopher Steele’s negative campaign research on then-presidential candidate Donald Trump in 2016 by giving permission for an FBI agent in London to meet with the former U.K. intelligence officer.

“Russian Roulette” was published earlier this year and written by veteran Washington media figures, Yahoo News reporter Michael Isikoff and Mother Jones magazine’s David Corn.

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Posted by & filed under Jim's Mailbox.

Jim/Bill,

This article has been haunting me the past few hours.

“At a meeting Thursday, the Fed governors adopted a new rule that caps a big bank’s credit exposure to another bank.”

They (the FED) didn’t just pull this out of their hat.   Something on the banks’ balance sheets, as well as their lust for leverage, is prompting them to head off a financial catastrophe, which they obviously feel is no longer a remote possibility.

There’s been so much talk over the past few years of excess debt, excess leverage, reaching for yield, etc. that we’ve all become immune to any talk of repercussions.

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If only we had a “financial” flu shot.

CIGA Wolfgang Rech

Fed Sets Limits On Biggest Banks’ Loans To Each Other
June 14, 2018

WASHINGTON (AP) — The Federal Reserve has set limits aimed at addressing one of the leading causes of the 2008 financial crisis — the buildup of loans extended by one bank to another among the biggest Wall Street institutions.

At a meeting Thursday, the Fed governors adopted a new rule that caps a big bank’s credit exposure to another bank. The rule is close to a proposal the central bank floated two years ago, but it makes revisions for the credit limits to be tailored to the size of the bank. That’s in line with the Fed’s current approach to regulation under new leaders appointed by President Donald Trump.

The aim of the rule, applied to banks with assets of $250 billion or more, is to help bolster the stability of the financial system. The hope is to prevent a repeat of the crisis that engulfed the financial system in September 2008 when the collapse of Wall Street powerhouse Lehman Brothers raised fears over the stability of banks that had made loans to Lehman.

The Fed oversees Wall Street titans such as JPMorgan Chase & Co., Goldman Sachs & Co., Bank of America Corp. and Citigroup Inc. The banks are considered to be so huge and interconnected that each could threaten the financial system if it collapsed.

“The financial crisis showed that interconnections between our largest and most complex institutions — for example, lending and borrowing between such firms — can threaten the stability of the financial system,” Fed Chairman Jerome Powell said before the vote. He said the new rule “will limit these exposures and their associated risks.”

The affected banks will have between 18 and 24 months to comply with the new limits and to start reporting their loan exposures to the regulators.

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Posted by & filed under Jim's Mailbox.

Courtesy of JB.

Jim

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J. Johnson’s latest, courtesy of JB.

Jim

The Time For Surprises Is Upon Us
June 14, 2018

Good Morning America!

We start our “day after” the FOMC data release with Gold trading higher with its current price at $1,311.40, $10.10 higher than the close in between an early morning high of $1,313 and a low of $1,301.00 sometime before 6am pst. Silver is up as well with the current price at $17.27, up 27.4 cents with a high at $17.350 and a low of $16.965 as we see a positive push in value on a day normally used to suppress precious metal prices. Since rates were raised again, the support for the dollar increases with the current price at 93.90, 20.1 points higher and, as usual, close to the high of 93.970 so far today.

Silver’s Open Interest in the delivery cycle now stands at 8 contracts. This is an increase of 5 contracts from yesterday’s quote but today, we have a volume of 18 in the delivery month so far which means, there is more movement going on. Silver’s over all OI dropped a little bit more with the total now at 228,884 a loss of some 1,473 contracts held overnight. The pressure is building as we now focus on the Triple Witch Week phenomena in which roll overs and banker inventory’s are all tallied as we drop out of June currency contracts and roll into Septembers. Another key note is the July Silver Options expiration date is June 26th. Normally, the precious metals take a beating during this time period and since there is nothing to resemble the “old norm”, imo, anything can happen in the new “not so norm”. Harvey Organ and Sprotts – Craig Hemke reports have been stellar honing in on the EFP’s and has been very helpful to all those willing to dig to understand what is not being reported by the investment gurus of lame stream media. Imo, the time for surprises is upon us, and these deep rooted forensic accounting audits will be used in almost all cases regarding the frauds in banking and the international thefts of the nations wealth, in the very near future.

The Crypto market may have “stopped the drop” as we see the top 10 all showing green across the board with Btc (#1) trading at $6,499, up $41, Ethereum’s (#2) trade now resides at $486.68, up $6.93, and Litecoin’s (#6) last trade is at $97.48, up $1.49

We are now seeing central bank responses popping up everywhere after our FOMC data was released as the ECB is now claiming to stop QE-ing (freely printing digits to stay in their failing trades) along with Japan using the words “Taper – Cuts Bond-Buying” (the meanings are exactly the same). Of course these bankers will say anything but the truth as we wait to see what is happening to Deutsche Bank and the court cases on precious metals manipulations as well as the unsettled movements in Italy. The most recent stories seem to focus only on unwanted migrants flooding in, but the arguments are all about Italy’s uncollectable debt and the vote of the people vs. their European Union Representatives who can care less about the population or what they want (for now).

This side of the world has intrigue as well with the IG report due out today on the presidents birthday which will give us about 500 pages to read on the criminals (hired to protect us from?) activity inside our government. Apparently, good ol’ Mueller Appears to Have Screwed Up by ‘Accidentally’ Exposing Names in the Manafort Case. In my line of thinking, “accidentally” really means “intentionally” to a supposed professional government employee who has been doing his job for how long now?

The world is changing at an accelerated pace but not as fast as our presidents speed. One has to wonder about the most recent events like the N.Korean denuking deal which was started back in April with no insider news leaks present. Does this mean the Trump White House plumbing repair job was successful in stopping all leaks? How about the latest FOMC meeting? Did the other central banks know or was their response a reaction? Answers will come later, but for now, HODLING precious metals seems to be the most sane thing to do. So stay close to your metals, and as always…Stay Strong!

J. Johnson

 

Jim/Bill,

Walking through headlines today is like walking through a minefield in Afghanistan.

Americans On Unemployment Benefits Drop To 45 Year Low

Yes, a 45 year low may well be true.  But why?

If all those unemployed run out of benefits, then they drop off the rolls but are still unemployed.

Just no accounted for.

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It’s been reiterated many times that 102 million Americans are now no longer in the workforce.

In other words, if you are not gainfully employed, or collecting benefits, you no longer exist.

CIGA Wolfgang Rech

Americans On Unemployment Benefits Drop To 45 Year Low
June 14, 2018

For the first time since November 1973, there are less than 1.7 million Americans claiming jobless benefits…

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And while ‘everyone’ will proclaim this an Obama victory, we note that the pace of the collapse in unemployment rolls has accelerated dramatically as Trump’s reign has continued…

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No big hamburger, and what does it matter now?

Courtesy of JB.

Jim

Court Sets Hearing on Motion to Compel Email Testimony from Hillary Clinton
June 13, 2018

Hearing in Judicial Watch Lawsuit Set for October 11

(Washington, DC) – Judicial Watch announced a federal court ordered a hearing for Thursday, October 11, 2018, on a motion to compel testimony about the email practices of former Secretary of State Hillary Clinton. The order was issued by U.S. District Court Judge Emmet G. Sullivan.

The development comes in a Judicial Watch Freedom of Information Act (FOIA) lawsuit about the controversial employment status of Huma Abedin, former Deputy Chief of Staff to Clinton. The lawsuit, which seeks records regarding the authorization for Abedin to engage in outside employment while employed by the Department of State, was reopened because of revelations about the clintonemail.com system (Judicial Watch v. U.S. Department of State (No. 1:13-cv-01363)).

In 2016, Hillary Clinton was required to submit, under oath, written answers to Judicial Watch’s questions. Clinton objected to and refused to answer questions about the creation of her email system; her decision to use the system despite warnings from State Department cybersecurity officials; and the basis for her claim that the State Department had “90-95%” of her emails. Judge Sullivan is considering Judicial Watch’s motion to compel answers to these questions.

In her responses sent to Judicial Watch and the court on October 13, 2016, Clinton refused to answer three questions and responded that she “does not recall” 20 times concerning her non-government clintonemail.com email system. She preceded her responses by eight “general objections” and two “objections to definitions.” The words “object” or “objection” appear 84 times throughout the 23-page document submitted to the court and Judicial Watch.

More…

 

Courtesy of JB.

Jim

Do FBI emails ruin official Clinton timeline?
June 13, 2018

 

Jim/Bill,

All coming to head.

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Trade wars, old fashioned military wars, all markets at historical highs, gold repatriation, EU breakdown, China’s recessionary collapse, etc.

It’s beginning to make sense now.

CIGA Wolfgang Rech

Global Earnings Recession All But Certain As World Trade Weakens
June 14, 2018

Authored by Adem Tumerkan via Palisade-Research.com,

Markets have rallied into summer. The mess in Italy – which hasn’t resolved itself at all – is yesterday’s news.

Within the last two weeks, the VIX is down 35% – investors’ fears are essentially gone.

If you turn on CNBC, you’ll see that the U.S. ‘goldilocks’ economy’s intact, and big names like Larry Kudlow – Trump’s Top Economic Advisor – stating that the U.S. could hit 5% growth.

But, if you take the contrarian approach and do some digging yourself, you’ll see things are deeply troubling – especially with global earnings. . .

Last month, I wrote about the alarming signal coming from the little-used-but-highly-accurate South Korean Export Growth (SKEG) Indicator. It’s telling us that there’s a global earnings recession right around the corner.

Over the last 25 years – the SKEG has preceded each boom and each bust in global earnings. That’s because it’s a leading-indicator – meaning it’s a measurable economic element that changes before the economy starts to follow the trend.

The SKEG is a valuable tool for us to gauge where global earnings are headed.

More…

 

Courtesy of Dave.

Bitcoin’s Skyrocketing Growth Was ‘Fraud And Manipulation’ – Report
June 13, 2018

The record growth in bitcoin last year was actually a coordinated market manipulation, according to recent research by University of Texas Finance Professor John Griffin.

Griffin, who has 10 years of experience in detecting financial fraud, examined millions of transactions on cryptocurrency exchange Bitfinex. In his paper, Griffin says that the US dollar-pegged cryptocurrency tether was used to buy bitcoin at the times that the latter was falling, which helped “stabilize and manipulate” the cryptocurrency’s price.

“Fraud and manipulation often leave footprints in the data and it’s nice to have the blockchain to track things,” Griffin told CNBC. Whenever bitcoin fell, tether was used to buy it to prop up the price of the leading crypto.

“It was creating price support for bitcoin and, over the period that we examined, had huge price effects,” Griffin said. “Our research would indicate that there are sophisticated people harnessing investor interest for their benefit.”

More…

 

CIGA Werner sends us clear evidence of “excess”.

Bill

Excesses At The Top
June 5th, 2018

Excesses are signs of economic tops.  They readily appear in stocks, real estate, and art.  If inflation is running amuck, gold and silver can see excesses.  Right now, though, we can be certain that there are no excesses in the metals.

Stocks are just off their all-time highs, and stock perma-bulls are confident that continuing to “buy the dips” is the right strategy.  Yet stocks have not topped their January highs and the moving averages (MAs) are starting to converge.

If the 50-day MA drops through the 200-day MA, that is the “death cross,” which often has signaled the end of stock bull markets.  In March, the spread between the 50-day MA and the 200-day MA on the Dow Jones Industrials exceeded 1,750 points.  Now, the spread has narrowed to less than 400 points.  The death cross usually sets off selling by investors who follow technical indicators.

More…

 

This is not sustainable! Hence why gold (and especially silver) is breaking out!

GG

COMEX EFP Use Continues To Surge – Craig Hemke- (12/06/2018)
June 12, 2018

Back in April, we first reported upon the surge in the use of “Exchanges For Physical” on the COMEX. We thought we should provide an update today.

As a refresher, here’s a link to the first report from eight weeks ago:

Recently, it was reported that Chris Powell of the Gold Anti-Trust Action Committee (GATA) had requested action and an investigation into this process from the U.S. Comptroller of the Currency, Joseph Otting. Below is a link to Chris’ letter, but note that Chris reports he has yet to receive any acknowledgment from the Comptroller’s office. This, despite the fact that the letter was dated five weeks ago!

So, again, why is this important to gold investors? Simply put, the increasing use of EFPs on the COMEX is very likely a sign of physical demand stress within the digital derivative pricing scheme. Why? Consider the sheer size of the EFP activity.

At Eric Sprott’s urging, on November 24, 2017, we first began to monitor the increasing daily totals of Exchanges For Physical. As noted in our previous post, the best explanation of this process can be found in this link from 2009 with the key excerpt posted below:

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More…

 

That is why these the citizens of these countries should buy gold and silver! It’s the only way to preserve their power!

GG

“I Would Recommend You Panic” – Peso Pounded, Lira Lashed, & Rand Routed As EM Crashes
June 14, 2018

The big headline maker of the day so far is not stocks but the FX markets as the dollar index exploded to 8-month highs (second biggest daily gain of the year) after a dovish Draghi sent EURUSD tumbling…

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This is actually the highest close for the dollar since July 2017…

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And despite numerous interventions, promises of intervention, and threats – Emerging Market FX was a bloodbath…

More…

Posted by & filed under Jim's Mailbox.

The mess we are in is coming to a head!

JB

Judicial Watch Experts Tom Fitton and Chris Farrell Available to Discuss IG Report on DOJ/FBI
June 12, 2018

(Washington, DC) – Judicial Watch announced today that its key spokespeople, Judicial Watch President Tom Fitton and Director of Investigations and Research Chris Farrell, will be available to discuss the long-anticipated report from the Department of Justice Inspector General regarding the investigation of Hillary Clinton’s mishandling of classified information through her unsecure, non-state.gov email system.

In a letter to Senate Judiciary Committee Chairman Chuck Grassley (R-Iowa), DOJ Inspector General Michael Horowitz said that he planned to release a report on Thursday, June 14.

The report is expected to address many issues concerning the FBI under former Directors James Comey and Andrew McCabe, as well as the Justice Department under former Attorney General Loretta Lynch.

Judicial Watch’s investigations and lawsuits are the proximate cause for uncovering Clinton’s illicit email system and have been at the forefront of the search for information on the actions of Comey, McCabe and Lynch. For example:

Judicial Watch Uncovers Hidden Strzok Emails in Latest Production of Clinton-Lynch Tarmac Meeting Docs—Strzok Email Suggests Clinton Investigation Decision Made in April 2016

Judicial Watch Fights State Department for Full Accounting of Clinton-Related Emails on Anthony Weiner’s Laptop

Judicial Watch: FBI to Ask Strzok and Page to Preserve Records

More…


Jim/Bill,

Nothing profound.

Just a bit of reality with a touch of common sense. Traits sorely lacking amongst today’s investors.

I’ve always tried to impress upon my constituents to never, ever, lose sight of this fact. Debt begets more debt.

CIGA Wolfgang Rech

US Budget Deficit Hits $530 Billion In 8 Months, As Spending On Interest Explodes
June 12, 2018

The US is starting to admit that it has a spending problem.

According to the latest Monthly Treasury Statement, in May, the US collected $217BN in receipts – consisting of $93BN in individual income tax, $103BN in social security and payroll tax, $3BN in corporate tax and $18BN in other taxes and duties- a drop of 9.7% from the $240.4BN collected last March and a clear reversal from the recent increasing trend…

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More…


Courtesy of Dave.

Jim

Are YOU Brainwashed?
June 11, 2018

By Uri Avnery

“Information Clearing House” – IT’S FRIGHTENING. Unprincipled psychologists, in the service of a malignant regime, use sophisticated techniques in order to control the mind of a person from afar.

The term “brainwashing” was born in 1950. It is a Chinese word (“xinao”, literally wash brain). Originally it served to describe a technique used – so it was claimed – by Chinese masterminds to manipulate the minds of American prisoners in the Korean War. They changed their unconscious mental processes and turned them into agents of sinister forces.

Many books and movies purported to show how this works. For example, the classic film “The Manchurian Candidate” shows how the communists take an American prisoner-of-war in the Korean war, an officer, manipulate his mind and give him an order to kill the US presidential candidate. The American officer does not know that he has been turned unconsciously into a communist agent. He does not remember the order given him under hypnosis and does not know that he acts accordingly.

THIS PLOT is ridiculous, like most of the pseudo-scientific descriptions. In practice, it is much easier to manipulate the minds of people, individuals and collectives.

For example, the Nazi “propaganda”. It was invented by Adolf Hitler himself. In his book, “Mein Kampf”, he describes how, as a soldier on the Western front in WWI, he witnessed the extremely successful British propaganda. The British dropped leaflets over the German trenches and shattered the soldiers’ confidence in their leadership.

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Jim and Bill have said this all along, it is MOPE!

Dave

The Real Economic Numbers: 21.5 Percent Unemployment, 10 Percent Inflation And Negative Economic Growth
June 13, 2018

Every time the mainstream media touts some “wonderful new economic numbers” I just want to cringe. Yes, it is true that the economic numbers have gotten slightly better since Donald Trump entered the White House, but the rosy economic picture that the mainstream media is constantly painting for all of us is completely absurd. As you are about to see, if honest numbers were being used all of our major economic numbers would be absolutely terrible. Of course we can hope for a major economic turnaround for America under Donald Trump, but we certainly are not there yet. Economist John Williams of shadowstats.com has been tracking what our key economic numbers would look like if honest numbers were being used for many years, and he has gained a sterling reputation for being accurate. And according to him, it looks like the U.S. economy has been in a recession and/or depression for a very long time.

Let’s start by talking about unemployment. We are being told that the unemployment rate in the United States is currently “3.8 percent”, which would be the lowest that it has been “in nearly 50 years”.

More…


Courtesy of Dave.

Jim

WaPo and SEC Commissioner Wake Up to Looming Crisis from Stock Buybacks
June 12, 2018

. . .

“Last year, public companies spent more than $800 billion buying back their own shares and, thanks to all the cash freed up by the recent tax bill, Goldman Sachs estimates that share buybacks will surge to $1.2 trillion this year. That comes at a time when share prices are at an all-time high — so companies are buying at the top — and when a growing global economy offers the best opportunity to expand into new products and new markets. This is nothing short of corporate malpractice…

“The most significant and troubling aspect of this buyback boom, however, is that despite record corporate profits and cash flow, at least a third of the shares are being repurchased with borrowed money, bringing the corporate debt to an all-time high, not only in an absolute sense but also in relation to profits, assets and the overall size of the economy…

“A decade ago, in 2008, there was $2.8 trillion in outstanding bonds from U.S. corporations. Today, it’s $5.3 trillion, after the record $1.7 trillion of new bonds issued last year, according to Dealogic, and $500 billion more issued this year.”

More…


Jim/Bill,

Could there be a problem with counterparty risk?

Think so?

CIGA Wolfgang Rech

SHAREHOLDER ALERT – Bronstein, Gewirtz & Grossman, LLC Notifies Investors of Class Action Against Deutsche Bank Aktiengesellschaft (DB) & Lead Plaintiff Deadline – August 6, 2018

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ACCESSWIRE June 13, 2018

INVESTOR ACTION ALERT: The Schall Law Firm Announces it is Investigating Claims Against Deutsche Bank Aktiengesellschaft and Encourages Investors with Losses in Excess of $500,000 to Contact the Firm

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ACCESSWIRE •June 12, 2018

DB SHAREHOLDER ALERT: The Law Offices of Vincent Wong Notifies Investors of an Investigation Involving Possible Securities Fraud Violations by the Board of Directors of Deutsche Bank Aktiengesellschaft

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Business Wire •June 12, 2018

INVESTOR ALERT: Levi & Korsinsky, LLP Reminds Investors of an Investigation Involving Possible Securities Fraud Violations by the Board of Directors of Deutsche Bank Aktiengesellschaft

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Business Wire •June 11, 2018

SHAREHOLDER ALERT: Brower Piven Notifies Investors of Class Action Lawsuit And Encourages Those Who Have Losses In Excess Of $100,000 From Investment In Deutsche Bank Aktiengesellschaft (NYSE: DB) To Contact Brower Piven Before The Lead Plaintiff Deadline

GlobeNewswire•June 11, 2018

Glancy Prongay & Murray LLP Continues Investigation on Behalf of Deutsche Bank Aktiengesellschaft Investors (DB)

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Business Wire •June 08, 2018

DEUTSCHE BANK INVESTOR ALERT: Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 Investing In Deutsche Bank AG To Contact The Firm

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PR Newswire •June 08, 2018

EQUITY ALERT: Rosen Law Firm Announces Filing of Securities Class Action Lawsuit Against Deutsche Bank Aktiengesellschaft – DB

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Business Wire June 08, 2018

Pomerantz Law Firm Announces the Filing of a Class Action against Deutsche Bank Aktiengesellschaft and Certain Officers – DB

GlobeNewswire•June 07, 2018

Jim/Bill,

ETP is an exchange of paper gold for physical gold between exchanges like the Comex and LME.

The Comex cannot deliver, so it leans on the LME.

But the rest of the exchanges are encountering major difficulty also.

Somebody is draining them! China?

CIGA Wolfgang Rech

COMEX EFP Use Continues To Surge
June 13, 2018

Written by Craig Hemke, Sprott Money News

Back in April, we first reported upon the surge in the use of “Exchanges For Physical” on the COMEX. We thought we should provide an update today.

As a refresher, here’s a link to the first report from eight weeks ago:

Recently, it was reported that Chris Powell of the Gold Anti-Trust Action Committee (GATA) had requested action and an investigation into this process from the U.S. Comptroller of the Currency, Joseph Otting. Below is a link to Chris’ letter, but note that Chris reports he has yet to receive any acknowledgment from the Comptroller’s office. This, despite the fact that the letter was dated five weeks ago!

So, again, why is this important to gold investors? Simply put, the increasing use of EFPs on the COMEX is very likely a sign of physical demand stress within the digital derivative pricing scheme. Why? Consider the sheer size of the EFP activity.

At Eric Sprott’s urging, on November 24, 2017, we first began to monitor the increasing daily totals of Exchanges For Physical. As noted in our previous post, the best explanation of this process can be found in this link from 2009 with the key excerpt posted below:

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More…

A Q photograph now has the internet abuzz.

JB

“It Looks Like An Ascending Missile,” Unidentified Object Photographed Over Washington State, Navy Denies
June 13, 2018

It’s time to get out that tinfoil hat.

Greg Johnson of Skunk Bay Weather, a local weather website that runs camera enabled weather stations on the northern Kitsap Peninsula; Kitsap County, Washington, recorded a mysterious object early Sunday morning that has social media buzzing.

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One of Johnson’s weather stations has a camera monitoring the Puget Sound at Whidbey Island from Skunk Bay, and at 3:56 a.m. Sunday by a high-resolution, 20-second exposure camera, snapped what looks like the impossible — a missile blasting off from what seems to be the Naval Air Station Whidbey Island.

More…

Posted by & filed under Jim's Mailbox.

Courtesy of Dave.

Jim

Putin And Xi Top The G6+1
June 10, 2018

. . .

“Strategic” game-changer

Meanwhile, over in Qingdao, the stunning takeaway was offered predictably by Chinese President Xi Jinping; “President Putin and I both think that the China-Russia comprehensive strategic partnership is mature, firm and stable.”

This is a massive game-changer because officially, so far, this was a “comprehensive partnership.” It’s the first time on record that Xi has put the stress on “strategic”. Again, in his own words: “It is the highest-level, most profound and strategically most significant relationship between major countries in the world.”

And if that was not far-reaching enough, it’s also personal. Xi, referring to Putin and perhaps channeling Trump’s bonhomie with leaders he likes, said, “He is my best, most intimate friend.”

More…

Courtesy of Dave.

Jim

“They Threw Russia Out”: On Trump’s Understanding of Recent History
June 12, 2018

Let me make this simple. The U.S. itself led the expulsion of Russia from the G-8 in 2014 to punish it for annexing Crimea.

First, in a regime-change operation costing some $ 5 billion, the U.S. backed and funded a bloody putsch spearheaded by neo-fascists in Kiev in February 2014. It toppled a democratically elected president, replacing him with a right-wing regime committed to NATO membership and the expulsion of the Russians from bases in Crimea. These are bases Russia had held since the 1770s and retained by long-term agreement with Ukraine following the dissolution of the Soviet Union in 1991.

Donald, if you don’t know any of this stuff I don’t blame you. It wasn’t well covered on the news channels you watch. And I hear you don’t read much.

More…

Jim/Bill/Dave,

Read a good summary of the debt increase!

GG

Debt Clock Ticking
June 8, 2018

Rather go to bed without dinner than to rise in debt.

—Benjamin Franklin

What can be added to the happiness of a man who is in health, out of debt, and has a clear conscience?

—Adam Smith

There are no shortcuts when it comes to getting out of debt.

—Dave Ramsey

Modern slaves are not in chains, they are in debt.

—Anonymous

Debt isn’t always a form of slavery, but those old sayings didn’t come from nowhere. You can find hundreds of quotes on the Internet discussing the problems of debt. Debt traps borrowers, lenders, and innocent bystanders, too. If debt were a drug, we would demand it be outlawed.

The advantage of debt is it lets you bring the future into the present, buying things you couldn’t afford if you had to pay full price now. This can be good or bad, depending on what you buy. Going into debt for education that will raise your income, or for factory equipment that will increase your output, can be positive. Debt for a tropical vacation, probably not.

More…

I smell blood in the water.

Jim

Jim/Bill,

Taking a closer look at an innocuous headline reveals some serious underlying problems.

A trigger for a banking meltdown possible?

Maybe. Maybe not.

Looks to me like the political instability and tensions are catching up with banks. They are mired in quicksand and appear to be scrambling to get out.

CIGA Wolfgang Rech

Citigroup Backs Key Deutsche Bank Investor After Rout
June 12, 2018

Citigroup Inc. jumped in as a financier for a key Deutsche Bank AG shareholder after Bank of America Corp. dropped out to pare potential risks linked to the German lender’s stock rout, people with knowledge of the matter said.

Citigroup will finance a few hundred million euros for former Qatari Prime Minister Sheikh Hamad bin Jassim Al Thani’s margin loan after the value of his Deutsche Bank holding shrank, the people said, asking not to be named as details aren’t public. The rout in Deutsche Bank shares in recent weeks triggered a so-called “termination event” for the lender who had provided credit, backed by the stake, the people said.

While lenders frequently restructure loans to back clients during a market slump, Bank of America opted to withdraw because of the perceived risk involved and their own lower appetite for losses, they said. Representatives for Citigroup and Bank of America declined to comment, while spokesmen for Al Thani didn’t respond to requests.

More…

Courtesy of JB.

Jim

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Courtesy of JB.

Jim

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Courtesy of JB.

Jim

Trump To ‘Hannity’: Kim Jong Un To Start Denuclearization ‘Virtually Immediately’
June 12, 2018

President Trump, on the heels of his historic summit with Kim Jong Un, told Fox News’ Sean Hannity that he believes the North Korean leader will begin to work toward dismantling his country’s nuclear program “virtually immediately.”

The president left Singapore after the two leaders signed a document stating Pyongyang would work toward “complete denuclearization of the Korean Peninsula.”

In an interview with Fox News, Trump said the process is “really moving rapidly.”

“I just think that we are now we are going to start the process of denuclearization of North Korea, and I believe that he’s going back and will start it virtually immediately – and he’s already indicated that and you look at what he’s done,” Trump said.

The historic agreement came after the two leaders held several meetings throughout the day. Trump was asked by a reporter if Kim agreed to denuclearize and he said, “We are starting that process very quickly.”

More…