Friday, February 24, 2012

IS The United States Bankrupt?

"it depends on what the meaning of the word 'IS' is"  - Bill Clinton

Have a great weekend.  I hope everyone has been accumulating gold and silver at these fire sale prices.


  1. Blistering comments about JPM’s role in MF Global fiasco

    This IS applicable..from jesses cafe..

    “What is that [present government] of England? Do not its own inhabitants say, 'It is a market where every man has his price, and where corruption is common traffic, at the expense of a deluded people?'" Thomas Paine, The Rights of Man

  2. Stockton California Takes First Steps Towards Bankruptcy

    "Somebody has to suffer and in this case the city manager has decided it should be the bondholders who suffer."

  3. AMERIKAN OLIGARCH (w/Limerick)

    Warren is talking his book
    A guy who sure knows how to cook
    A thousand lies told
    About owning gold
    Another American crook!

    The Limerick King

    1. Warren Buffett Buys US Precious Metals Business from Cookson Group..

      Cookson Group Sells US Precious Metals Business To Richline Group
      2/23/2012 4:00 AM ET

      (RTTNews) - Cookson Group plc reached an agreement to sell its US Precious Metals business, an operation that forms part of its Precious Metals division, to Richline Group Inc., an unit of Berkshire Hathaway Inc.


    2. Brodsky On Buffet On Gold

      The first (of many we are sure), are Lee Quaintance and Paul Brodsky of QBAMCO who have just penned "Golden Boy" or the much needed "high society" response to the old man from Omaha: "Buffett may be a sage, a wizard, and an oracle when it comes to nominal relative value pricing of financial assets, but it is well worth noting that Buffett’s proclamations are not necessarily worthy of being considered “fact” in matters unrelated to finance, just as the legendary Joe Paterno’s judgment seems to have been sorely lacking when it came to sorting out matters unrelated to a winning football program....We must assume his aggressive gold comments have been meant to force the price of gold lower. (We do not know why he is so interested in doing so though we do have a reasonable theory, for another time). We strongly disagree with Mr. Buffett’s views and we thought it would be best to explore his comments and provide our counter-arguments."

  4. SEC probes exchanges and electronic trading firms ties-WSJ
    (Reuters) - The U.S. Securities and Exchange Commission has launched a probe into the ties between stock exchanges and certain electronic trading firms, the Wall Street Journal reported on Saturday, citing people familiar with the matter.

    BATS Global Markets Inc, a U.S. exchange operator that is planning an initial public offering, said in a government filing cited by the Journal that it got a request from the U.S. regulator's enforcement division for information on the use of order types and its communications with certain market participants.

    The SEC also asked BATS for details about its information technology systems and trading strategies, the filing said.

    The inquiry also was examining communications BATS has with certain members affiliated with certain stockholders and directors, the paper reported.

  5. The Media And GOP Are Suppressing The Reality That Ron Paul Has Reached Critical Mass

    Ron Paul is no longer a lone voice in the political wilderness. He is not a lion without a pride in these dark days. He is not fighting the good fight alone in an empty room anymore. Ron Paul is now a shepherd who is leading millions of politically aware individuals in America and around the world out of the dark woods of economic ignorance and political tyranny.

    The rise of Ron Paul is a great American success story. Throughout his political and medical career, Dr. Paul has lived the philosophy of the dark horse. Steady in stride, and determined in mission, the dark horse is the political world’s most noble creature. The Spirit of Endurance sets apart the dark horse from the rest of the field.

    Ron Paul is clearly leaving the competition behind in the 2012 Republican presidential race. Dr. Paul has won the hearts and minds of the nation and of the world by the sheer force of his independent will and the integrity of his arguments. Dr. Paul’s plan to reconstruct America’s foreign policy and financial infrastructure based on constitutional principles has caught on like wildfire with the American people.

    But the established system of fraud and war is resisting Ron Paul’s rise with: fraud and war.

    The frightened GOP establishment and state-run mass media are using fraudulent means to contain the fire of freedom that Ron Paul has started, while picking an unnecessary fight with Iran to boost Obama’s weak leadership credentials during an election year.

    The Establishment’s conspiracy against Ron Paul is a conspiracy against the American voter and the American taxpayer. Only Ron Paul represents the interests of the American people and the American nation. Every other political leader in the 2012 presidential race, including Barack Obama, represents the interests of the cannibalistic American ruling class and international banking cartel.

  6. Offshore banking benefits who?

    AIJ moved huge sums to Cayman Islands, Hong Kong

    AIJ Investment Advisors Co. transferred huge sums in corporate pension assets it manages to a fund in the Cayman Islands and then moved the money to the Hong Kong account of a major European bank, sources said.

    The Securities and Exchange Surveillance Commission has not been able to trace where the money went after reaching Hong Kong.

    The sources said the SESC was investigating the motive for transferring the funds overseas, including the possibility that the money may have been misappropriated.

    quite amazing...most people get detained trying to move more than $10,000 at an hey 100's of millions can't be traced?GFY

  7. The Securities and substitute observation Commission has not been bright to trace where the limescale went after acquiring Hong Kong.

  8. The rise of Ron Paul is a great American luck story. Throughout his political and medical career, Dr. Paul has lived the philosophy of the gloom horse. Steady in stride, and determined in mission, the dark horse is the political world’s mass noble creature. The Spirit of Endurance sets apart the gloom horse from the rest of the field.

  9. What Is the 'Spot Price' of Gold and Silver?

    What about the usual argument that the self-regulating proponents trot out that if the metals pricing is inefficient, it will create artificial shortages, and physical buying will break that scheme down over time?

    Participants in the futures are not able to seriously address a significant market mispricing because the prices set in the paper markets are not conducive to efficient arbitrage of inefficiencies. The rules of the exchange sets limits on the delivery of physical bullion, favoring cash settlement and the positions of insiders and those who make markets in paper shorts that may be in multiples of physical supply. The CFTC has shown a remarkable inability and some might say unwillingness to address this in the silver market for example, which is a scandal.

    Not even a motivated buyer with deep enough pockets would take on this market openly because all they would do is buy against themselves, and drive a default which would be cash settled by force. More likely they would be labeled as trying to 'corner' the market and punished severely.

    You might ask at this point, why would anyone ever wish to engage themselves in this market, besides those who must obtain supply for industrial or cosmetic uses? Few do actually, except to buy physical bullion at the retail level.

    From a purely economic perspective if I were going to set up a mechanism to allow price fixing and fraud to occur, I could do little better than what exists in the US today, except perhaps to set up something more like an opaque and self directing monopoly such as the Federal Reserve and its Banks have in their ability to create money virtually out of nothing.

  10. It seems many of its citizens are pretty close...

    In tough economy, people turning in rare, unique items in for cash
    Local businesses say residents are bringing historic currency, memorabilia to sell.
    FAIRFIELD — A weak economy and families struggling to pay bills and put food on their tables is forcing some people to search their homes for gold, silver, coins and unusual items to obtain extra cash.

    He said working at the store, which is a main retailer of coins for the company’s six locations in Greater Cincinnati, shows him how bad the economy really is.

    “Just the average person doesn’t see it. I see it everyday. People come in that are absolutely desperate for money. They’re good, hardworking people that just lost their jobs or have fallen on hard times. A lot of these girls only have a little bit of gold and it’s breaking their hearts to sell it. They tell me, ‘If I don’t get $100 by tomorrow, they’re going to kick me out of my apartment’ or ‘I’m going to lose my car.’ It just breaks your heart,” he said.

  11. Look who's laughing...

    For eighteen months the HUI can't get it up with a gold price at 1760 and the Barrons gold index is at 1980 level - how pathetic this gold community. They are running out of sheeple to suck in. All miners are getting downgraded by the main houses even if they havent gone anywhere since 2001. only a handful have done well because the sheeple were herded in by news letter writers.

    Love religious experience as Embry always says. they just want to sell there stuff to fools.

    Miners will never go anywhere again - energy costs.

    The only reason always given for the pathetic miners is the invisable hand - manipulation. Well every tradesman always blames his tools for a balls up.

    Can't even make a new high - the HUI.

  12. The only way miners have an up day is in fact by being manipulated up for at most two days and then they leak. real strength is when you have small moves going up for days before a sharp correction which is quick. So exactly the opposite to what is happening now. they always need to have something go up - either gold by a wide margin or stocks.

    They have never ever gone up by themselves because they may be undervalued. They aren't - they are exactly where they are supposed to be.

  13. Punk Economics: Lesson 2

    Irish economist David McWilliams explains the ECB's massive cash for trash scheme -- bailing out banks with your money.

  14. United state cannot encounter bankruptcy because united state is one of the develop country rather than Europe.