The Ongoing Evisceration of the Middle Class... Courtesy of the Fed Posted by: Phoenix Capital... Post date: 09/23/2013 - Finally the mainstream media is beginning to get the problems with the Federal Reserve.

20 Ordinary Americans Talk About The Economic Despair That Is Growing Like A Cancer All Around Them

There are hundreds of formerly prosperous communities all over America that are being steadily transformed into rotting, decaying hellholes. The good paying middle class jobs that once supported those communities are long gone, and they have been replaced with low paying service jobs if they have been replaced at all. When you visit those communities, it is almost as if all of the hope has been sucked right out of the air. It can be absolutely heartbreaking to look into the hollow eyes of someone that has totally given in to despair, but unfortunately the number of Americans that are giving up on the economy continues to grow. Today, the labor participation rate is the lowest that it has been in 35 years, and more than 100 million Americans are enrolled in at least one welfare program. It is easy to say that they should just "get a job", but as I have written about repeatedly, our economy simply is not producing enough jobs for everyone anymore. The percentage of working age Americans with a job has remained at the same level that it was at during the worst days of the last recession, and meanwhile the quality of our jobs has continued to steadily decline. Median household income has fallen for five years in a row, but the cost of living continues to rise rapidly. The middle class is being systematically shredded, and poverty is growing at an alarming rate. The U.S. economy has been in decline for a long time, and the really bad news is that it appears that this decline is about to accelerate. (Read More....)

`Fed Owns More Debt Than America Amassed From Washington Through Clinton...`

Women That Are Man Enough: Girls Who Run the World Posted by: Pivotfarm Post date: 09/23/2013 - Men have had their stab at making the world into what they wanted and they made a pretty poor show of it all we might say when we look at the economy.

`Ted Turner: Men Should Be Barred From Political Office For 100 Years... { Indeed, Ted … but, just decades at best … }`

Gold, Einstein And The Great Fed Robbery

Submitted by Tyler Durden on 09/20/2013 - 18:42

One week after we released the following damning evidence (below) of fraud in the "markets", CNBC has now claimed their scoop. Crucially, it seems, after reading Nanex's concise explanation of the proof of fraud, the Fed has now launched a probe into the release of its own FOMC statements. ... Our question then is, unless Nanex and ZeroHedge had pointed out this obvious cheat, would the fraudsters still be considered too big to care about special relativity, and if a fallen HFT tree collapses its wave function in the forest, and nobody reports, did an HFT tree just fall?

One of Einstein's great contributions to mankind was the theory of relativity, which is based on the fact that there is a real limit on the speed of light. Too bad that the bad guys on Wall Street who pulled off The Great Fed Robbery didn't pay attention in science class. Because, as Nanex shows below, hard evidence, along with the speed of light, proves that someone got the Fed announcement news before everyone else. There is simply no way for Wall Street to squirm its way out of this one...

AIG CEO Compares Anger At Wall Street Bonuses To The Lynching Of Black People In The South

Submitted by Tyler Durden on 09/24/2013 - 13:22

As if you needed any more evidence of how disconnected, entitled, irrational and sociopathic the heads of financial firms in America are these days, along comes AIG’s CEO Robert Benmosche to dispel any lingering doubts. In a highly disturbing interview with the Wall Street Journal, Mr. Benmosche compares the murder of black people in the deep south based on racial prejudice and hate to the vast majority of Americans expressing disgust with the fact that Wall Street decided to suspend capitalism when it was in their best interests in order to give themselves trillions of dollars. He actually compares an environment where the rule of law was often completely suspended to allow the murder of a disenfranchised racial group, to widespread public anger about the suspension of the rule of law to benefit the wealthiest, most connected people in the nation.

2 Year Bond Sells To Mixed Demand

Submitted by Tyler Durden on 09/24/2013 - 13:13

The mixed demand for near cash-equivalent paper continues, with today's $33 billion 2 Year Note selling at a yield of 0.348%, stopping through the 3.55% When Issued by a solid 7 bps. That was the good news. The not so good news was that once again, the Bid to Cover was modest at best, down from 3.21 to 3.09, well below the 3.47 TTM average, and one of the lowest in the past four years. As we have noted repeatedly in the past, the Bids to Cover for virtually all auctions have been declining in recent months, and today was no exception. Additionally, while the Direct take down was stable at 21.8%, or just short of the 23.3% TTM average, it was the Indirects that continue to buy the near absolutely minimum, taking down another 25.4% in September, on top of the TTM average, and far below historical volumes. The balance, or 52.5% was once again allotted to Primary Dealers. Overall, nothing to write home about, especially since the bonds will be promptly converted into HQ collateral, and the cash infusion will allow those who bought the bonds to go ahead and reinvest the proceeds in other far riskier assets, even as the velocity of collateral picks up a tad at least until the bond is also monetized by the Fed.

Treasury Yields Plunge To 7-Week Lows

Submitted by Tyler Durden on 09/24/2013 - 12:56

With yields down for 11 of the last 13 days, 10Y Treasuries are trading at their lowest interest rate since August 13th. The 5Y yield has collapsed 45bps since September 6th when the 10Y briefly broke above the 3.00% Maginot Line. This is the largest absolute decline in interest rates in a 13-day period since the summer of 2011 and the US downgrade... it seems Ray Dalio might be on to something...

Carl iCahn Is Long Ben Bernanke

Submitted by Tyler Durden on 09/24/2013 - 12:24

Strong Pakistani Earthquake Creates New Island Off Country's Coast

Submitted by Tyler Durden on 09/24/2013 - 12:06

As reported earlier, Pakistan and India were both shaken by a strong 7.8 magnitude earthquake with numerous aftershocks. While the damage and the casualties from the quake are not fully known yet although according to Raza news agency the latest death toll is at 45, one quite stunning development has emerged, quite literally, out of the sea. As Pakistani's The News reports, an entire island emerged off the country's Gwadar coast in the aftermath of the quake. "According to DIG Gwadar Moazzam Jah, the island's altitude is 20 to 40 feet and width around 100 feet. Talking to Geo news, the DIG said that the island emerged at a distance of 350 feet in the sea from the Gwadar coast."

BofAML Warns S&P 500 Vulnerable To A Deeper Correction (On A Close Below 1,700)

Submitted by Tyler Durden on 09/24/2013 - 11:43

Risk assets remain under pressure, BofAML's MacNeill Curry warns and with equities vulnerable to a deeper correction, a close below 1700 (on the S&P 500) would confirm a near-term top and a correction to 1653 (the 10-month trendline support). This morning's action is very much focused on the 1,700 level with this latest rebound not being seen in Treasury yields which continue to push lower (driven by VIX on POMO excitement). As Curry adds, Treasury yields should continue their downside correction with 2.668% as interim support but sees 2.46% as possible.

Guess Which Country Obama Was Really Talking To

Submitted by Tyler Durden on 09/24/2013 - 11:29

... and no love for Europe?

Bridgewater Goes Long Treasurys

Submitted by Tyler Durden on 09/24/2013 - 11:01

Whether this also means that the fund is bearish on overall growth, bullish on deflation, and very bullish that in the Taper is not only off the table but there is potential for even more easing by the Fed, is unknown. What is known is that once the piggyback crew jumps on the Bridgewater bandwagon, which is now saying rates will drop (ostensibly leading to the end of the Great Rotation and perhaps the start of the Great Unrotation out of stocks and into bonds), expect to see some substantial price realignment between the two main assets classes: stocks and bonds.

What Shadow Banking Can Tell Us About The Fed's "Exit-Path" Dead End

Submitted by Tyler Durden on 09/22/2013 - 22:08

As it turns out, a lot... and also very little.

Fund Warns US Oil To Surge Above Global Benchmark On Cushing Shortage

Submitted by Tyler Durden

With WTI crude oil prices hovering at record levels for this time of year, the spread to Brent crude has bounced from zero as Syria started up to around $4.50. At the time time we noted the plunge in the spread was as much related to US infrastructure and technical issues as the war premium and now Pierre Andurand, manager of one of this year's most successful commodity hedge funds, believes US crude will trade at a premium to the Brent benchmark within weeks, counter to the expectations of many in the market. As The FT reports, the ex-Goldman trader is known for taking bold positions, and while not commenting in specific trades, he noted "In order for Cushing inventories to stop drawing and start building, I think WTI [the US benchmark] should be at a premium to Brent [the global benchmark]," within weeks.

Housing "Recovery" Endgame Escalates

Submitted by Tyler Durden

Och-Ziff were perhaps a little early but used the last 10 months to unwind their real estate and exit the landlord business as the hedge-fund sponsored echo-bubble in housing rolled over into the mainstream. "American-Homes-4-Rent"'s IPO suggested a scramble to exit. With 60% of home purchases now being cash-only (explains the ongoing and massive layoffs in the mortgage business not just due to rate-driven weakening of demand), it is therefore a concern when one of the biggest funds playing in this space - OakTree Capital - announces plan to exit the buy-to-rent trade - selling roughly 500 fully-leased homes. As Reuters notes, it is yet another indication that early investors are looking to cash-out on the "recovery" in U.S. housing prices. Who will be left holding the bag this time?

QE Worked For The Weimar Republic For A Little While Too

Submitted by Tyler Durden

There is a reason why every fiat currency in the history of the world has eventually failed. At some point, those issuing fiat currencies always find themselves giving in to the temptation to wildly print more money. Today, the Fed finds itself faced with a scenario that is very similar to what the Weimar Republic was facing nearly 100 years ago. Like then, the U.S. economy is struggling and like the Weimar Republic, the U.S. government is absolutely drowning in debt. Unfortunately, the Fed has decided to adopt the same solution that the Weimar Republic chose. The Fed is recklessly printing money out of thin air, and in the short-term some 'positive things' have come out of it. But quantitative easing worked for the Weimar Republic for a little while too.

A Baby-Boomer's Apology: "What Were We Thinking?"

Submitted by Tyler Durden on 09/23/2013 - 19:38

The younger generation will ask of us, "what were you thinking?"

Somehow I caught the bug that "I am not really worth very much unless I have something more."

Quantitative Easing Worked For The Weimar Republic For A Little While Too

There is a reason why every fiat currency in the history of the world has eventually failed. At some point, those issuing fiat currencies always find themselves giving in to the temptation to wildly print more money. Sometimes, the motivation for doing this is good. When an economy is really struggling, those that have been entrusted with the management of that economy can easily fall for the lie that things would be better if people just had "more money". Today, the Federal Reserve finds itself faced with a scenario that is very similar to what the Weimar Republic was facing nearly 100 years ago. Like the Weimar Republic, the U.S. economy is also struggling and like the Weimar Republic, the U.S. government is absolutely drowning in debt. Unfortunately, the Federal Reserve has decided to adopt the same solution that the Weimar Republic chose. The Federal Reserve is recklessly printing money out of thin air, and in the short-term some positive things have come out of it. But quantitative easing worked for the Weimar Republic for a little while too. At first, more money caused economic activity to increase and unemployment was low. But all of that money printing destroyed faith in German currency and in the German financial system and ultimately Germany experienced an economic meltdown that the world is still talking about today. This is the path that the Federal Reserve is taking America down, but most Americans have absolutely no idea what is happening. (Read More....)

Druckenmiller Blasts "The Biggest Redistribution Of Wealth From The Poor To The Rich Ever"

Submitted by Tyler Durden on 09/19/2013 - 09:38

Reflecting on exactly what was said yesterday, Duquesne's Stanley Druckenmiller is initially perplexed as Bernanke explained 'financial conditions' - not interest rates - have prompted the decision to forestall any taper. His confusion is that financial conditions are actually slightly better than they were in June and "a stock market at an all-time high would suggest we don't have a problem with financial conditions." While he dismisses surveys, the big-money was betting that they were going to taper as is clear from the moves in gold, bonds, and stocks; and it appears the Fed "lost their nerve." In fact, Druck continues, the Fed "blew it... they had a freebie," they could have started the process to "get us off the dope." This action, or inaction, he warns "is going to make it so much harder for the next Chairman to start the process." In fact, he concludes, that from beginning to end - once markets adjust from these subsidized prices - that the wealth effect of QE will have been negative not positive.

McCain's self-defeating Pravda op-ed can only help Putin Washington Post (blog) ‎- by Max Fisher ‎ Senator John McCain, a frequent critic of the Kremlin, responded to Russian President Vladimir Putin's New York Times op-ed with his own, ...

{ How laughable to hear of ‘never-saw-a-war-he-didn’t-like’ neo-con mccain try to lecture the historically formidable Vladimir Putin on the ‘rule of law’. What parallel universe is senile mccain operating in? ( I’m going to even give ‘songbird’ mccain a pass on his violation of military code while a POW so criticized by his fellow POWs).The law is something that I know a lot about; from intense study and direct experience, while mccain can’t possibly say the same. After all, there are indeed a plethora of rules of law in pervasively corrupt, defacto bankrupt america. The problem is, in venal america, they are not meaningful rules of law as applied to some and not others (him and his et als in the latter category). Wow! Talk about out of touch … or maybe he’s just used to such drivel/propaganda being lapped up by the dumbed down american masses! See http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm http://albertpeia.com/fbimartinezcongallard.htm for reality! }

5 Years After the Financial Crisis, The Big Banks Are Still Committing Massive Crimes Posted by : George Washington Post date: 09/20/2013 - Still Laundering Terrorism and Drug Money ...

This Time Around The Fed IS The Bubble Posted by: Phoenix Capital... Post date: 09/20/2013 - In the past, the Fed has been the fuel for bubbles. This time around, the Fed IS the bubble itself, with its balance sheet expansion driving ALL assets higher.

Ron Paul on U.S. Fed QE: Prepare for the Destruction of the Dollar Posted by: GoldCore Post date: 09/20/2013 - David Asman: What happens now? If it’s Yellin she'll be like Bernanke on steroids. What does that mean for our economy? Dr Paul: Prepare for the destruction of the dollar and the crash of...

American hedge fund manager: Fed Robbing from Rich to Give to Poor

CNBC | Fed shifting a massive amount of wealth from the middle class and poor to the rich.

Too Big To Fail Is Now Bigger Than Ever Before

The too big to fail banks are now much, much larger than they were the last time they caused so much trouble. The six largest banks in the United States have gotten 37 percent larger over the past five years. Meanwhile, 1,400 smaller banks have disappeared from the banking industry during that time. What this means is that the health of JPMorgan Chase, Bank of America, Citigroup, Wells Fargo, Goldman Sachs and Morgan Stanley is more critical to the U.S. economy than ever before. If they were "too big to fail" back in 2008, then now they must be "too colossal to collapse". Without these banks, we do not have an economy. The six largest banks control 67 percent of all U.S. banking assets, and Bank of America accounted for about a third of all business loans by itself last year. Our entire economy is based on credit, and these giant banks are at the very core of our system of credit. If these banks were to collapse, a brutal economic depression would be guaranteed. Unfortunately, as you will see later in this article, these banks did not learn anything from 2008 and are being exceedingly reckless. They are counting on the rest of us bailing them out if something goes wrong, but that might not happen next time around. (Read More....)

THe CoNTiNuouS FaRCe oF BiG NoSe JaMie... Posted by: williambanzai7 Post date: 09/23/2013 - Fulla Bologna!

THe CoNTiNuouS FaRCe oF BiG NoSe JaMie...

Submitted by williambanzai7 on 09/23/2013 12:31 -0400

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Political Dis-Unity, Fed Dis-Credited, And Market Dysphoria

Submitted by Tyler Durden on 09/24/2013 - 10:36

Markets, risk assets in particular, do not like political dis-unity. The FOMC seem dis-unified; delivery differing messages. Comments by Dudley and Fisher were not just marginally different, but rather stark contrasts. Trust in the Fed and in its’ communication strategy have been tarnished. Markets are now confused as to when, why, and how the Fed will be able to change course. When the taper is in full-swing that equities and bonds will drift to lower prices. However, the immediate trade may require paring risk, and rebalancing portfolios, i.e. stocks down, bonds drifting higher in price (risk off).

Consumer Confidence Drops Most In 6 Months To 4 Month Low

Submitted by Tyler Durden on 09/24/2013 - 10:11

Following UMich confidence's biggest miss on record, the Conference Board misses expectations printing at its lowest since May 2013 as the last data was revsied higher. This is the largest MoM drop since March. Crucially, the headline index was saved by a surge in the "present situation" as expectations for the future plunged. As a reminder, Consumer Confidence has an awkward 4 year 4 month pattern of dysphoria to euphoria (though at progressively lower levels) and today's data merely confirms that the cycle of exuberance may have been broken.

President Obama Addresses The UN - Live Webcast

Submitted by Tyler Durden on 09/24/2013 - 10:02

This should be fun. With Rouhani in the house, Nobel-Peace-Prize-winner President Obama will address the oh-so-supportive-of-his-wars United Nations this morning. As AP reports, seeking to build on "diplomatic opportunities" is expected to signal his openness to discussions with Iran (even a wink in his direction would work since there has been no face-to-face contact in 30 years). Also high on Obama's agenda at the U.N. was rallying Security Council support for a resolution that would establish consequences for Syrian President Bashar Assad's regime if it failed to adhere to a U.S-Russian plan to turn over its chemical weapons. And we wonder if he'll mention them nasty Republicans wanting to shut his government down?

The Unstoppabull "Housing Recovery": Despite Bankruptcy Detroit Home Prices Soar To Five Year High

Submitted by Tyler Durden on 09/24/2013 - 09:38

If anyone had reservations about the monthly Case-Shiller report, or at least the logic in the methodology used by the S&P data collectors, we present Exhibit A, which should solidify any such doubts. Below we show Detroit "home prices", which according to the just announced July NSA data, soared even higher, to level of 90.8, which just happens to be a 17% increase Y/Y, and the highest print since August 2008. Bankruptcy? Pfft - who cares when the government is funding Blackstone REO-to-Rent made-to-flip purchases.

July Case-Shiller Housing Index Misses For Third Month In A Row, Pace Of Increase At 10 Month Lows

Submitted by Tyler Durden on 09/24/2013 - 09:21

There was something for everyone in the just released July Case-Shiller house price index. On one hand, on a year over year basis, the NSA Composite 20 city index rose 12.39% in July, up from 12.07% in June, and in line with expectations of a 12.40% increase. This was the highest annual price increase since the start of the great financial crisis. On the other hand, the same Composite-20 Index increased by just 0.62% in July on a SA M/M basis, missing expectations of a 0.80% increase, and down from the 0.88% increase in June. This was the third consecutive miss on a M/M basis, and while the Case-Shiller index continues to still rise, the momentum as can be seen in the chart below, is starting to fade, with the monthly increase posting at the lowest rate since September of 2012 when the rise was 0.52%.

Goldman Promptly Jumps On The Bullish AAPL Momentum Bandwagon, Hikes Price Target To $560

Submitted by Tyler Durden on 09/24/2013 - 08:56

Whether or not AAPL's reported sales are accurate or merely the latest manifestation of channel stuffing is irrelevant: what matters to the sellside is that upside momentum, at least for a few days, seems to be back in the biggest tech stock and the immediate result is quite predictable - the sellside resumes piling in and selling their axed exposure to clients. In other words, they are coming out with increased price targets on the stock, most notable this morning from Goldman which just hiked its AAPL target from $530 to $560.

Credit Suisse Closing "Non-Super Rich", "Risky" Client Accounts

Submitted by Tyler Durden on 09/24/2013 - 08:35

In a move that clearly seeks to distance the second largest Swiss bank from potentially "risky" or just not that profitable (read "rich or super rich") accounts, Credit Suisse announced today that it plans to close some clients' accounts as it focuses on high-value customers in some countries and pulls out of others altogether. The development is somewhat ironic: while banks around the world scramble to obtain ultra cheap funding, of which deposits are currently the cheapest alternative, Credit Suisse is saying to people, thanks but no thanks, we don't want your money. Then again, perhaps this is an admirable stance by the bank. It certainly is preferable to CS eagerly accepting every last Swiss Franc only to pull a Cyprus in a few months (indicatively speaking) and "bailing in" said money. It does however pose the question: has CS found an alternative method of funding its assets now that it is actively deleveraging, and if so what, and who is the source?

Major 7.8 Magnitude Earthquake, 5.9M Aftershock Shakes Pakistan, India

Submitted by Tyler Durden on 09/24/2013 - 08:01

A few minutes ago headlines hit that as a result of a strong earthquake, buildings shook in Delhi, India. Moments later, the USGS confirmed that a major 7.8 magnitude earthquake with an epicenter 9 miles below the Awaran/Balochistan region in Pakistan had struck, some 43 miles NNE of Awaran, and close to the India border. It is unclear yet if the two quakes were the same although it seems likely. Reuters had this preliminary report: "An strong earthquake struck remote western Pakistan on Tuesday and was felt in the Indian capital of New Delhi where buildings shook. The United States Geological Survey said that a 7.8 magnitude quake struck 145 miles southeast of Dalbandin, in Pakistan's western province of Balochistan."

This Deutsche Bank-er Is Skeptical Of AAPL's Sales Report

Submitted by Tyler Durden on 09/24/2013 - 07:48

"As an anecdotal aside it was interesting that Apple yesterday reported above consensus iPhone sales on the first weekend of the new launches. When I upgraded in a phone shop on Friday there was no queue, a load left in stock and a number of extra staff put on who were standing around doing nothing. They said they all arrived early to handle the queues, only to find that their first customer didn't arrive until 30mins after opening. So my experience seemed to be different from the rest of the world as Apple climbed +4.97% yesterday after the impressive sales numbers and also guidance at the top of the range from the company on revenues and gross margins." - Deutsche Bank's Jim Reid

Frontrunning: September 24

Submitted by Tyler Durden on 09/24/2013 - 07:28

Iran Icebreaker Set at U.N. (WSJ)

Chrysler Feud Triggers IPO Filing (WSJ)

JPMorgan Chase, 12 More Banks Said to Be Sued Over Libor (BBG)

Regulator sues Morgan Stanley, eight others over faulty securities (Reuters)

Monte Paschi Seen Boosting Cost Goals to Meet EU Demands (BBG)

Here we go again - "not enough funds": CFTC chair Gary Gensler warns on fund cuts to police derivatives (FT)

Congress Fuels Private Jails Detaining 34,000 Immigrants (BBG)

KKR, Sycamore looking to buy Jones Group this week (NYPost) - take with lots of salt

Fiat rethinks alliance with Chrysler after IPO filing (Reuters)

Young Invincibles Caught in Crossfire Over Obamacare Cost (BBG)

Mayfair Office Squeeze Spawns New London Real Estate Hubs (BBG)

Ongoing Deterioration In Core Europe Pushes Dollar Higher, Risk Lower

Submitted by Tyler Durden on 09/24/2013 - 07:03

Everything was proceeding according to central-plan with a gradual rise in risk and a decline in the USD until 4 am Eastern, when the German IFO Business Climate data was released and missed across the board (107.7 vs Exp. 108.0; Current assessment 111.4 vs Exp. 112.5; Expectations 104.2 Exp.104.0), reminding everyone now that Merkel is cemented for the near future, the immediate prerogative for Europe is to get the EUR lower, one way or another. A returning bid to the dollar also has pushed 10 Year yields under 2.70%, while once again sending various EM currencies sliding, and bringing back cross asset volatility to a world whose Sharpe ratio over the past several months has plummeted into negative territory. Increasing concerns about a government shutdown (misplaced) will likely prevent a solid bid from developing under markets.

Is This The Start Of China's Gold Miner Buying Spree?

Submitted by Tyler Durden on 09/23/2013 - 23:51

Back in October of 2012, Hugh Hendry proposed a very simple investment thesis: '"I am long gold and I am short gold mining equities. There is no rationale for owning gold mining equities. It is as close as you get to insanity. The risk premium goes up when the gold price goes up. Societies are more envious of your gold at $3000 than at $300. And there is no valuation argument that protects you against the risk of confiscation. And if you are bullish gold why don’t you buy gold ETFs, gold futures or gold bullion." Since then, anyone who listened to Hendry has made a substantial double digit return (yes, one can make double digits returns on gold even when gold is sliding: such is the "magic" of long gold, short GDX pair trades). However, following a massive, 50%+ selloff, there comes a time when even gold miner stocks become attractive to those with deep pockets filled with reserve fiat. For someone like China, that time may be now. The WSJ reports that China's largest gold company, China National Gold Group Corp., has talked to Ivanhoe Mines "about buying a stake in or asset from the company."

Guest Post: Bitcoin: As Good As Gold?

Submitted by Tyler Durden on 09/23/2013 - 21:54

Only a few years back, the majority of people were saying that the dollar was as good as gold. Today, even those who insist that fiat currencies are not only safe, but the only means by which commerce can reasonably occur, are admitting that they are getting a bit nervous regarding the assurance that their own currency will not be either somehow confiscated or grossly devaluated. But there is a new currency arising - Bitcoin - and it promises, like banknotes before it, to solve all the problems of currencies. Just as paper gold is proving not to truly exist, except as a promise by financial institutions, and fiat currencies are also teetering on the edge, there is every reason to believe that the latest in “theoretical” currencies may disappear at some point in the future. However, as they have throughout millennia, precious metals will continue to shine in all corners of the globe.

German Coalition Negotiations: Key Players To Watch

Submitted by Tyler Durden on 09/23/2013 - 21:35

After a surprisingly manic election night the focus in Germany now shifts to the tricky task of forming a government. As Open Europe explains, many options remain possible. Merkel looks unlikely to gain a majority on her own while the FDP and AfD are certainly out of the Bundestag. This leaves a Grand Coalition, a CDU/CSU and Greens coalition or (as a very, very longshot) some form of SPD-Greens-Die Linke (Red-Red-Green) coalition or alliance which could still mathematically have a majority. Little progress is expected before the end of the week, with the SPD holding a small party conference on Friday where it will determine its strategy for the negotiations. SPD Chancellor Candidate Peer Steinbrück has already said that the “ball is now in Merkel’s court”, suggesting he expects her to propose the terms of any Grand Coalition. Meanwhile, Greens leader Jürgen Trittin has said that, while open to negotiations over a coalition with Merkel, the chances of finding an agreement are “extremely limited”.

Fund Warns US Oil To Surge Above Global Benchmark On Cushing Shortage

Submitted by Tyler Durden on 09/23/2013 - 21:06

GALLUP: Belief That Gov't Too Powerful Hits Record High...

Parisian cat cafe offers 'purr therapy'...

Brazil's president hammers Obama over spying...

'Serious violation of human rights, disrespect to sovereignty of my country'...

'Without the right of privacy, there is no real freedom of speech'...

REPORT: Michelle O has nearly 2 million FAKE TWITTER followers...

T-MINUS 6 DAYS: Not plan president sold America...

Horror stories emerge: Family's premiums triple...

Doctors Brace for Surge of Patients...

Frustration Mounts...

Many small-business exchanges not ready...

SPOOKED: Obama taps 'Secretary of Explaining Stuff' to sell...

IN MEMORY OF MRS BaNZai7... Posted by : williambanzai7 Post date: 09/24/2013 - This one's for you Mom...

IN MEMORY OF MRS BaNZai7...

Submitted by williambanzai7 on 09/24/2013

MRS BANZAI7

My Mom passed away two weeks ago today.

Many of you know that she was an avid reader of Zero Hedge.

While it is true that she read every Banzai7 post including all of the comments and links, she also read many of the other posts on the site, particularly those that she was able to navigate without a background in finance (try though she did).

My Mom and Dad both survived the worst hardship and suffering inflicted in the middle of the last century, in particular WWII.

It is no surprise she hated everything about war and the corruption that we know goes with it.

Consequently, she was one of my two main barometers when it came to measuring the current state of world affairs against the past, the other being my Dad.

As I have mentioned, she was appalled by everything that has happened since 9/11 and more recently the kleptofascist freakshow we call Wall Street and Vichy DC. For a person in her mid-eighties, she had an uncanny grasp of what was happening and made no secret of it. She got some of the names mixed up at times, Ben Corzine, Lloyd Bernanke etc., but she knew the score.

Her demise was unexpected and although she was thoroughly disgusted by current events, I am pleased to report that she was cheerfully living a pleasant and active life style to the very end.

I was with her during her final moments via two iPads and made a point of telling her, among other important things, that we were not going to war in Syria and I am sure she heard what I said about the latest episode of the Obozo show.

Rather than keeping this to myself, I have decided to share it with you for two reasons.

First, many of you have said some very nice things here that were meant as a compliment to her. I want you to know that those comments did not go unnoticed and genuinely made her day. They served as a direct affirmation of her unequivocable support for what I have been doing since 2008.

On her behalf, thank you.

Second, as I now do these posts I am still comforted by the warm feeling of knowing how much she approved. I won't be able to review the posts with her daily on Skype (sorry NSA), but I know what she would have thought and that just quadruples my resolve to keep doing what I am doing.

It is estimated that 250 people attended Mom's memorial service, a standing room only crowd.

This was a person who touched many people in a positive way and will be deeply missed in her community.

During all the frustration we have experienced during the past several years she would constantly recite the serenity prayer:

“Lord grant me the serenity to accept the things I cannot change,

the courage to change the things I can, and the wisdom to know the difference.”

Wise words to follow.

This one's for you Mom...

R.I.P.

Your loving son,

WilliamBanzai7

Looking at guns in Mexico and at some farmers that take law into their own hands Posted by : hedgeless_horseman Post date: 09/23/2013 - "My daughter was raped and abducted," said a Mexican farmer. President Obama says, "What's different in America is it's easy to get your hands on a gun."

Islamic Terror Groups Are Killing Christians All Over The World And Obama Wants Us To Ally With Them

Over the past couple of days, we have witnessed some absolutely horrific examples of Islamic terror groups specifically targeting Christians and those from other non-Muslim religions. Sadly, this is not a new phenomenon. Radical Islamic jihadists are constantly attacking churches and slaughtering Christians all over the planet. The recent events in Pakistan, Kenya and Egypt may have taken this persecution to a new level, but this is just the continuation of a trend that has been building for years. Unfortunately, Barack Obama does not seem too concerned about Islamic terrorism. In fact, he specifically directed that “all references to Islam” be removed from terrorism training materials that the federal government uses. If that wasn’t bad enough, now Obama is actually supplying weapons to the radical jihadist rebels that want to take over Syria, and he appears to be very ready to use the U.S. military to attack the Assad regime directly if “negotiations” with the Syrian government fail. In essence, Obama wants the United States to be allies with psychotic jihadists that have the exact same radical philosophy that those who are killing Christians in Pakistan, Kenya and Egypt have. (Read More.....)

Door-To-Door Identity Theft Likely Under Obamacare

Kit Daniels | Navigators may knock on your door to enroll you in Obamacare and potentially steal your identity.

State of Connecticut Refuses to Release Adam Lanza’s Medical Records

Paul Joseph Watson | Assistant Attorney General: Identifying antidepressants Lanza was taking could “cause a lot of people to stop taking their medications.”

Off Duty Soldier Armed With Handgun Saves 100 Lives During Mall Siege

Paul Joseph Watson | Another pro-gun story you won’t see covered by the US corporate media.

Islamic Terror Groups Are Killing Christians All Over The World & Obama Wants Us To Ally With Them

Michael Snyder | Over the past couple of days, we have witnessed some absolutely horrific examples of Islamic terror groups specifically targeting Christians.

20 Ordinary Americans Talk About The Economic Despair That Is Growing Like A Cancer All Around Them

Michael Snyder | There are hundreds of formerly prosperous communities all over America that are being steadily transformed into rotting, decaying hellholes.

The dentistry holocaust: How America has been mercury poisoned by an industry in denial

Mike Adams | The city council of Berkeley, California, voted to keep mercury hidden in dental fillings, keeping consumers in the dark on the fact that they are all being poisoned.

World Citizen Asks United Nations to Disarm America: “The World Cannot Stand Idly By”

Mac Slavo | In his latest article, London Observer writer Henry Porter denigrates American gun owners.

GMO-Riddled ‘Lucky Charms’ Makes it to UK Supermarket, Parents Outraged

Elizabeth Renter | In the U.S., we tend to live in a bit of a bubble, accepting everything we are exposed to on a daily basis as normalcy.

20 Ordinary Americans Talk About The Economic Despair That Is Growing Like A Cancer All Around Them

Michael Snyder | There are hundreds of formerly prosperous communities all over America that are being steadily transformed into rotting, decaying hellholes.

Quantitative Easing Worked For The Weimar Republic For A Little While Too

Michael Snyder | There is a reason why every fiat currency in the history of the world has eventually failed.

Pope attacks global economics for worshipping ‘god of money’

Reuters | “We don’t want this globalised economic system which does us so much harm.”

Americans’ Belief That Gov’t Is Too Powerful at Record Level

Gallup | Record number of Republicans say the federal government has too much power.

Guardian Editor: NSA surveillance goes beyond Orwell’s imagination

London Guardian | Guardian editor says depth of NSA surveillance programs greatly exceed anything the 1984 author could have imagined.

Off Duty Soldier Armed With Handgun Saves 100 Lives During Mall Siege

Paul Joseph Watson | Another pro-gun story you won’t see covered by the US corporate media.

Islamic Terror Groups Are Killing Christians All Over The World & Obama Wants Us To Ally With Them

Michael Snyder | Over the past couple of days, we have witnessed some absolutely horrific examples of Islamic terror groups specifically targeting Christians.

The dentistry holocaust: How America has been mercury poisoned by an industry in denial

Mike Adams | The city council of Berkeley, California, voted to keep mercury hidden in dental fillings, keeping consumers in the dark on the fact that they are all being poisoned.

Internet Sales Tax Could Crush Small Businesses

Ron Paul | One unique aspect of my homeschool curriculum is that students can start and manage their own online business.

Kerry to Spend $10 Million to Fight ‘Gender-Based Violence’

Weekly Standard | “Secretary of State John Kerry announced Monday the provision of $10 million in funding for a new U.S. initiative, Safe from the Start.”

Making $100,000? Then Flipping Burgers May Be In Your Future

Zero Hedge | “I’m not going to sit on my laurels and say I was an executive making six figures and traveling the world,” 77-year-old Tom Palome says.

Step Aside Trillion Dollar Coin, Here Comes The Trillion Dollar Bill

Zero Hedge | The issue of a government shutdown with no counterproposal on the table is suddenly concerning.

Spy Agencies Are Doing WHAT? Posted by: George Washington Post date: 09/23/2013 - New Revelations Are Breaking Every Day

Revelations about the breathtaking scope of government spying are coming so fast that it's time for an updated roundup:

The government is spying on essentially everything we do. It is not just "metadata" ... although that is enough to destroy your privacy

The government has adopted a secret interpretation of the Patriot Act which allows it to pretend that "everything" is relevant ... so it spies on everyone. For example, the NSA "oversight" court believes the mere claim that terrorists use the phone system is enough to show that all phone records are relevant

NSA whistleblowers say that the NSA collects all of our conversations word-for-word

It's not just the NSA ... Many other agencies, like the FBI and IRS – concerned only with domestic issues - spy on Americans as well. The Drug Enforcement Administration has had direct access to AT&T phone records for 25 years

The information gained through spying is shared with federal, state and local agencies, and they are using that information to prosecute petty crimes such as drugs and taxes. The agencies are instructed to intentionally "launder" the information gained through spying, i.e. to pretend that they got the information in a more legitimate way ... and to hide that from defense attorneys and judges

The Department of Health and Human Services will also have access to vast quantities of sensitive federal data on Americans as part of Obamacare (here's the underlying Government Accountability Office report)

The NSA not only shares our information with other American agencies, it also gives personal, sensitive unfiltered information on Americans to Israel and other foreign nations

And it's not only governments. Private contractors can also view all of your data (and the government isn’t keeping track of which contractors see your data and which don’t). And because background checks regarding some contractors are falsified, it is hard to know the types of people that might have your information. Indeed, private contractors are involved in spying on behalf of governments world-wide

It's not just your computer and your phone. It is well-documented that the government may be spying on us through cars and buses, streetlights, at airports and on the street, via mobile scanners and drones, through our smart meters, and in many other ways

Top counter-terror experts say that the government’s mass spying doesn't keep us safe

Indeed, they say that mass spying actually hurts U.S. counter-terror efforts (more here and here)

They say we can, instead, keep everyone safe without violating the Constitution ... more cheaply and efficiently than the current system

There is no real oversight by Congress, the courts, or the executive branch of government. And see this and this.

Indeed, most Congress members had no idea what the NSA is doing. Even staunch defenders of the NSA - and congress members on the intelligence oversight committees - now say they've been kept in the dark

A Federal judge who was on the secret spying court for 3 years says that it's a kangaroo court

Even the current judges on the secret spying court now admit that they're out of the loop and powerless to exercise real oversight.

When these judges raised concerns about NSA spying, the Justice Department completely ignored them

A former U.S. president says that the spying program shows that we no longer have a functioning democracy

The chairs of the 9/11 Commission say that NSA spying has gone way too far

Top constitutional experts say that Obama and Bush are worse than Nixon ... and the Stasi East Germans

While the government initially claimed that mass surveillance on Americans prevented more than 50 terror attacks, the NSA’s deputy director John Inglis walked that position back all the way to saying that – at the most – one (1) plot might have been disrupted by the bulk phone records collection alone. In other words, the NSA can't prove that stopped any terror attacks. The government greatly exaggerated an alleged recent terror plot for political purposes (and promoted the fearmongering of serial liars). The argument that recent terror warnings show that NSA spying is necessary is so weak that American counter-terrorism experts have slammed it as "crazy pants"

You're much more likely to be killed by brain-eating amoeba, lightning or a toddler than by terrorism. Even President Obama admits that you're much less likely to be killed by terrorists than a car accident. So the government has resorted to lamer and lamer excuses to try to justify mass surveillance

Experts say that the spying program is illegal, and is exactly the kind of thing which King George imposed on the American colonists ... which led to the Revolutionary War

A Harvard law school professor - and director of the Berkman Center for Internet & Society at Harvard University - says:

"The NSA has mounted a systematic campaign against the foundations of American power: constitutional checks and balances, technological leadership, and market entrepreneurship. The NSA scandal is no longer about privacy, or a particular violation of constitutional or legislative obligations. The American body politic is suffering a severe case of auto-immune disease: our defense system is attacking other critical systems of our body".

The top counter-terrorism Czar under Clinton and Bush says that revealing NSA spying programs does not harm national security

The feds are considering prosecuting the owner of a private email company - who shut down his business rather than turning over records to the NSA - for refusing to fork over the information and keep quiet. This is a little like trying to throw someone in jail because he's died and is no longer paying taxes

Whistleblowers on illegal spying have no "legal" way to get the information out

Spying started before 9/11 ... and various excuses have been used to spy on Americans over the years

Governments and big corporations are doing everything they can to destroy anonymity

Mass spying creates an easy mark for hackers. Indeed, the Pentagon now sees the collection of "big data" as a "national security threat" ... but the NSA is the biggest data collector on the planet, and thus provides a tempting mother lode of information for foreign hackers

Mass surveillance by the NSA directly harms internet companies, Silicon Valley, California … and the entire U.S. economy. For example, Facebook lost 11 millions users as of April mainly due to privacy concerns (and that was before the Snowden revelations). And see these reports from Boingboing and the Guardian

IT and security professionals are quite concerned about government spying

Some people make a lot of money off of mass spying. But the government isn't using the spying program to stop the worst types of lawlessness

The NSA spying program is unambiguously being used for industrial espionage, by spying on large foreign corporations, and the biggest financial payments systems such as VISA and Swift. Indeed, in a slide leaked by Edward Snowden, "economic" was one of the main justifications for spying

The top U.S. spy's justifications for such financial spying is not very reassuring:

"We collect this information for many important reasons: for one, it could provide the United States and our allies early warning of international financial crises which could negatively impact the global economy. It also could provide insight into other countries' economic policy or behavior which could affect global markets."

Top financial experts say that the NSA and other intelligence agencies are using the information to profit from this inside information

The Wall Street Journal reported that the NSA spies on Americans’ credit card transactions. Many other agencies are doing the same. In fact, virtually all U.S. intelligence agencies – including the CIA and NSA – are going to spy on Americans’ finances. The IRS will also be spying on Americans’ shopping records, travel, social interactions, health records and files from other government investigators

Polls show that the public doesn’t believe the NSA … and thinks that the government has gone way too far in the name of terrorism

While leaker Edward Snowden is treated as a traitor by the fatcats and elites, he is considered a hero by the American public. Members of the Executive, Legislative and Judicial branches of government have all praised the debate on spying which Snowden's leaks started

The heads of the intelligence services have repeatedly been caught lying about spying. And even liberal publications are starting to say that Obama has been intentionally lying about spying. The government claimed that most spying programs ended in 2011, when - in fact - they were expanded that year

Obama says he'll rein in spying ... but his words and deeds indicate that he won't. Indeed, Obama appointed the fox to guard the chicken coop. No wonder only 11% of Americans trust Obama to actually do anything to rein in spying

A huge majority of Americans wants the director of intelligence - Clapper - prosecuted for perjury. One of the chairs of the 9/11 Commission agrees

While the Obama administration is spying on everyone in the country – it is at the same time the most secretive administration ever (background). That’s despite Obama saying he’s running the most transparent administration ever

The NSA treats the American people with contempt. For example, Spiegel notes:

"The authors of the [NSA slides] draw a comparison with "1984," ... revealing the agency's current view of smartphones and their users. "Who knew in 1984 that this would be Big Brother …" the authors ask, in reference to a photo of Apple co-founder Steve Jobs. And commenting on photos of enthusiastic Apple customers and iPhone users, the NSA writes: "… and the zombies would be paying customers?

Worse, the intelligence agencies often view normal, true-blue Americans as potential terrorists (and see this)

A Congressman noted that - even if a mass surveillance program is started for good purposes - it will inevitably turn into a witch hunt

There are indications that the spy agencies aren't just passively gathering information, but are actively using it in mischievous ways

Surveillance can be used to frame you if someone in government happens to take a dislike to you

Government spying has always focused on crushing dissent … not on keeping us safe

An NSA whistleblower says that the NSA is spying on – and blackmailing – top government officials and military officers (and see this)

High-level US government officials have warned for 40 years that mass surveillance would lead to tyranny in America

A top NSA whistleblower says that the only way to fix things is to fire all of the corrupt government officials who let it happen. As the polls above show, the American public is starting to wake up to that fact

Making $100,000? Then Flipping Burgers May Be In Your Future

Submitted by Tyler Durden on 09/23/2013 - 18:06

"I'm not going to sit on my laurels and say I was an executive making six figures and traveling the world,” 77-year-old Tom Palome says, "I tell people I demonstrate food and I do short-order cooking. I don’t mind saying it. What's important is that I can work today." As Bloomberg reports, the former vice president of marketing for Oral-B juggles two part-time jobs: one as a $10-an-hour food demonstrator at Sam’s Club, the other flipping burgers and serving drinks at a golf club grill for slightly more than minimum wage; a sad but all too real reflection of the new normal 'job' gains that our economists and politicians love to crow about. Why is he still working? Like most Americans, he didn't save enough for retirement (despite working hard his entire career). About 7.2 million Americans over 65 were employed last year, a 67% increase from a decade ago as 59% of households headed by people over 65 have no retirement assets.

Guest Post: Bakken - Hype Versus Reality

Submitted by Tyler Durden on 09/23/2013 - 19:03

As Wall Street, CNBC, and feckless politicians tout American energy independence from the miracle of shale oil, reality is already rearing its ugly head. Production grew by 24% over the first six months of 2012. Production has grown by only 7% over the first six months of 2013. That is a dramatic slowdown. The fact is that these wells deplete at an extremely rapid rate. Oil companies will always seek out the easiest to access oil first. They have already accessed the easy stuff. This explains the dramatic slowdown. Peak Bakken oil production will be below 1 million barrels per day. The last time we checked, we consumed 18 million barrels per day. We wonder when that energy independence will be achieved?

Profiting Off Prisoners

Submitted by Tyler Durden on 09/23/2013 - 18:32

With some politicians arguing private prisons help states save money and other politicians arguing the system is rife with corruption, there can be no debate about this basic fact: The private prison system has surged in size since the U.S. began experimenting with private prisons in 1984. Between 1990 and 2009, the inmate population housed in private prisons grew by more than 1,600 percent. As the following infographic suggests the trends are not your friend in this case.

One Pre-FOMC Link That Seems To Explain Everything

Submitted by Tyler Durden on 09/23/2013 - 17:43

The hullabaloo over the Fed’s communications should be the least of our concerns. It’s outranked by actual policies, which seem to be once again destabilizing markets, encouraging reckless behaviors, perpetuating global imbalances and enriching the parasitic practitioners of so-called financial innovation at the expense of the middle class. On the other hand, Chairman Bernanke claims that clear communications are a key part of his approach, forward guidance being one example of how he manipulates the economy by telling us what to expect. And yet, it sure seems like the more he and his colleagues talk, the less we know about what they’ll do next. In light of this, the best explanation for the Fed’s surprising untaper last week appears to be from Vince Reinhart’s musings and inside information about the Fed. He offers a short but interesting history on the FOMC’s attempts to increase transparency, and then goes on to share some thoughts on how the decision making has evolved and why it tends to confuse us.

JPMorgan Brings The Second Public Coming Of Chrysler

Submitted by Tyler Durden on 09/23/2013 - 17:18

Four years after it filed for Chapter 11 bankruptcy protection, and was purchased from the depths of bankruptcy court hell by Fiat S.p.A., the circle (jerk) is complete, and thanks to lead underwriter JPM, the second coming of Chrysler, this time for sale to a whole new batch of gullible ROI chasers, is now a fact with the S-1 statement filing moments ago, in which the only cash transfer will be from the VEBA Trust to new shareholders and no new cash will go to the actual company. In other words, the UAW is selling to the general public.

Kenyan Foreign Minister Confirms Mall Attack Was By Al-Qaeda

Submitted by Tyler Durden on 09/23/2013 - 16:54

UPDATE: Kenyan interior ministry tweets that authorities are in control of Westgate mall

As the dreadful Nairobi Mall attack/siege enters its third night with at least 69 dead, the Kenyan foreign minister has clarified one point:

Despite earlier reported condemnations from Al-Qaeda and an assumption that Al-Shabaab (who claimed responsibility), it appears the terrorists who just lost their Syria/Iraq leader are responsible.

Step Aside Trillion Dollar Coin, Here Comes The Trillion Dollar Bill

Submitted by Tyler Durden on 09/23/2013 - 16:32

Bernanke Stock-Boost Busted, Bonds Best Bid

Submitted by Tyler Durden on 09/23/2013 - 16:07

Despite the best efforts to squeeze shorts from the European close (end of POMO), the afternoon session punctuated by Fed's Fisher notable comments pushed stocks back lower with the S&P joining the Dow in the all-FOMC-gains-gone club. Financials and Materials (-1.5% from FOMC) are the worst performers since Bernanke did not say "Taper" and while stocks have given it all back, bonds remain at their highs (in price) and lows (in yield) from that un-announcement. Treasury yields dropped 2-3bps more today (still down 15-20bps depending on maturity) as growth hopes fade. JPY strength was trumped by EUR weakness today which pushed the USD higher from overnight opening lows (from China PMI and Merkel) but by the close the USD was unch. Gold and silver were holding positive until Fisher's comments and they slid to -0.5% or so. WTI dropped 1.2% to $103.50. The S&P had its 3rd down day in a row for the first time in 5 weeks (as momo names join the financials among the leaders lagging).

The Big-Picture Economy, Part 1: Labor, Imports And The Dollar

Submitted by Tyler Durden on 09/23/2013 - 15:51

Many well-meaning commentators look back on the era of strong private-sector unions and robust U.S. trade surpluses with longing. The trade surpluses vanished for two reasons: global competition and to protect the dollar as the world's reserve currency. It is impossible for the U.S. to maintain the reserve currency and run trade surpluses. It's Hobson's Choice: if you run trade surpluses, you cannot supply the global economy with the currency flows it needs for trade, reserves, payment of debt denominated in the reserve currency and credit expansion. If you don't possess the reserve currency, you can't print money and have it accepted as payment. In other words, the U.S. must "export" U.S. dollars by running a trade deficit to supply the world with dollars to hold as reserves and to use to pay debt denominated in dollars. Other nations need U.S. dollars in reserve to back their own credit creation.

Mapping The Collapse Of European Democracy

Submitted by Tyler Durden on 09/23/2013 - 15:31

Democracy has regressed in 15 out of the 17 euro-area countries since 2008, according to the Economist Intelligence Unit’s democracy index, as economic policy was increasingly influenced by the ECB, the EU and the IMF, instead of elected politicians - something Nigel Farage has been vociferously concerned about.

On This Day 15 Years Ago The LTCM Bailout Ushered In "Too Big To Fail"

Submitted by Tyler Durden on 09/23/2013 - 15:12

While the commemoration of the 5 year anniversary of the start of the Great Financial Crisis is slowing but surely fading, another just as important anniversary is revealed when one goes back not 5 but 15 years into the past, specifically to September 23, 1998. On that day, the policy that came to define the New Normal more than any other, namely the bailout of those deemed Too Big To Fail, a/k/a throwing good (private or taxpayer) money after bad was enshrined by Wall Street as the official canon when faced with a situation where capitalism, namely failure, is seen as Too Dangerous To Succeed. This was first known as the Greenspan Put, subsequently the Bernanke Put, and its current iteration is best known as the Global Central Banker All-In Systemic Put. We sow the seeds of bailing out insolvent financial corporations to this day, when instead of making them smaller and breaking them up, they are rewarded by becoming even bigger, even more systemics, and even Too Bigger To Fail, and their employees are paid ever greater record bonuses.

Bernankus Maximus: Richard Fisher Exposes The Chairman Dictator

Submitted by Tyler Durden on 09/23/2013 - 14:57

Perhaps no sentence sums up the dismal reality investors face with the 'communications' strategy, the credibility, and the actions of the Federal Reserve, better than the following statement from Dallas Fed's Fisher:

FED'S FISHER SAYS VOTE LAST WEEK NOT TO TAPER DID NOT REFLECT THE DISCUSSION AT THE POLICY-SETTING TABLE

It seems that we should therefore ignore each and every Fed whisperer and President (voting or non-voting) as only man counts... Et Tu Yellen...

Hackers Breach iPhone 5S Fingerprint Security

Submitted by Tyler Durden on 09/23/2013 - 14:25

Dubbed as a "game-changer" despite being around on devices for years (Motorola Atrix anyone); a 'paradigm' shift in mobile payment security; and a revolution in handheld devices by any and all investors bullish of the stocks; Appl's fingerprint-scanning TouchID is everything you want it to be - apart from secure. As Der Spiegel reports, the well-respected German hacker group Chaos Computer Club (CCC) has thrown a wrench in the works by bypassing the smartphone's much-heralded fingerprint scanner just two days after launch. The CCC, as the clip below illustrates, successfully bypassed the biometric security system, called TouchID, using "easy everyday means." A CCC spokesperson noted "It is plain stupid to use something that you can't change and that you leave everywhere every day as a security token," So, the question now is - will the NYPD demand everyone downgrade their phones?

Fed Soaks Up $11.8 Billion In Liquidity In First Fixed-Rate Reverse Repo Test

Submitted by Tyler Durden on 09/23/2013 - 14:02

As further explained (confounded) by Bill Dudley as part of his speech earlier today, the Fed is pushing on with its Fixed-Rate Reverse Repo test, which while supposedly is meant to assist the Fed in extracting liquidity from the market once the mythical balance sheet unwind begins, what it really does is set a level the playing field for banks and non-banks, by disintermediating their collateral eligibility, and in the process collapsing the spread between the IOER and General Collateral rates. It will likely have many more side effects, now that non-banks can compete with banks for the Fed's IOER, all of which will be largely unexpected and as the impact on collateral bifurcation moves from the purely theoretical to the real world.

NJ property taxes up 13% under Christie...

Obama applauds mayoral candidate's vow to hike taxes in NYC...

CNN: 3 alleged Kenya attackers from USA...

Raises concerns in U.S....

Gunmen executed non-Muslims after asking them to name Prophet Mohammed's mother...

Deep cuts at agency responsible for investigating health-care fraud...

Secret American Subculture of Putin-Worshippers... { Secret … I doubt it … I believe the Russia/Putin ‘miracle’ is worthy of praise and world class global recognition as such! }

Movement grows to repeal Obamacare 'exemption' for Congress...

'Could they be more out of touch?'

Rand Paul To Introduce Amendment Outlawing Obamacare Exemptions For Government Employees

Steve Watson | “I think Congress should never exempt themselves from a law.”

HuffPo Poll Shows Support for Second Amendment

Kurt Nimmo | Brit argues the world must intervene and disarm lunatic Americans.

Terrorists Behind Mall Siege Threaten Bigger Attacks

Paul Joseph Watson | Bloodbath that killed 62 merely a prelude to “the real deal”.

Insider Reveals Arms Deals Behind Recent Major Events

Jim Marrs | Recipients of arms sales include the Department of Homeland Security.

Fox News Detroit: “Is Open Carry Good? Should We Ban It?”

Julie Wilson | “Open carry is a safety concern for the carrier because somebody may kill you just to get your gun.”

McCain and Graham: Traitors Who Should “Shut Up” and Return to the “Dark Shadows”

Kurt Nimmo | Former Powell Chief of Staff warns neocon duo stirring up trouble and pushing Iran attack.

CIA-Linked Vet Who Fought With Al-Qaeda Released From Jail

Paul Joseph Watson | Eric Harroun gets “sweet plea deal” despite supporting terrorists who killed US troops.

Video: Dad Charged with 2nd Degree Assault on Cop After He Questioned Common Core Curriculum

Julie Wilson | “He was not rude but they had security come in to take him out.”

Quantitative Easing Worked For The Weimar Republic For A Little While Too

Michael Snyder | There is a reason why every fiat currency in the history of the world has eventually failed.

Pope attacks global economics for worshipping ‘god of money’

Reuters | “We don’t want this globalised economic system which does us so much harm.”

Venezuela receives $5 billion credit line from China

AFP | Venezuelan President Nicolas Maduro met his Chinese counterpart Xi Jinping on Sunday.

Terrorists Behind Mall Siege Threaten Bigger Attacks

Paul Joseph Watson | Bloodbath that killed 62 merely a prelude to “the real deal”.

Fox News Detroit: “Is Open Carry Good? Should We Ban It?”

Julie Wilson | “Open carry is a safety concern for the carrier because somebody may kill you just to get your gun.”

Children in Syrian Town Simulating Beheadings Of Enemies

Prison Planet.com | The macabre culture of beheadings and body mutilations that the Syrian “revolution” has brought with it has rubbed off on little children.

Saudi Arabia Threatens to “End Career” of AP Reporter Over Chemical Weapons Story

Paul Joseph Watson | Journalist who exposed how rebels were behind August 21st attack faces intimidation.

Russian Lawmaker Wants Proof US Will Not Store iPhone Prints

RIA Novosti | “If it turns out that there is no guarantee against the theft of fingerprints, then the use of the 5S could be restricted for state officials at work.”

Snowden’s lawyer: US desperate to get Edward, still a threat to him

RT | Who pays for Snowden’s security in Russia? Where is he living?

Obama Care Supporters Plan to Add Birth Control to Water Supply

Prison Planet.com | Obama Care Supporters Sign Petition to Add Sterilants to Water Supply To Reduce Birthrates.

CIA-Linked Vet Who Fought With Al-Qaeda Released From Jail

Paul Joseph Watson | Eric Harroun gets “sweet plea deal” despite supporting terrorists who killed US troops.

The Credit Bubble Is Not Only Back, It Is 94% Bigger Than In 2007

Zero Hedge | If the Fed was worried about ‘froth’ in the markets earlier in the year, then this chart should have them panicking.

Marc Faber: “Fed’s Neo-Keynesian Clowns… Are Holding The World Hostage”

Zero Hedge | “There is nothing safe anymore, because the money-printing distorts all asset prices,” is the uncomfortable response Marc Faber gives to Thai TV during this interview when asked for investment ideas.

Summing It All Up In One Cartoon

Zero Hedge | “The new normal…”

Shock: Wells Fargo bank managers forge their customers’ signatures to commit fraud, contends lawsuit

Natural News | Signing up customers without their knowledge or consent.

OBAMA: Republicans 'trying to mess with me'...
'We are not some Banana Republic'... { Au contraire … http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm http://albertpeia.com/fbimartinezcongallard.htm }

13 shot in mass shooting at Chicago park...
3-year-old boy shot in face...

CA Dem wishes death upon Ted Cruz staffer's children...

17,679 things the federal government has done since sequestration...

BaNZaI7 ReVieWS TaPeR BaSiCS... Posted by: williambanzai7 Post date: 09/17/2013 - BANZAI7 FOOD AND BEVERAGE WARNING LEVEL 8

BaNZaI7 ReVieWS TaPeR BaSiCS...

Submitted by williambanzai7 on 09/17/2013 15:14 -0400

.

.

.
Bernanke's big nipples are sore

Jamie's been sucking them more

Jamie's so rough

And Ben's had enough

He's starting to feel like a whore

The Limerick King

.

.

The people are starting to feel

An end to the FED's QE deal

If tapers begin

Like staples on skin

The pain from the FED could be real

The Limerick King

WilliamBanzai7 Fine Art Prints

Inquiries: [email protected]

Our operatives are waiting to assist you...

Russia’s Putin Says He May Seek 4th Term as President { Indeed he should! }

RIA Novosti | Putin said Thursday that it was possible he would seek a fourth presidential term.

Three NATO Soldiers Killed in Afghan 'Insider Attack'...

Troop deaths hit record as America exits...

DOPE FIEND FUNNIES

DOPE FIEND FUNNIES, a photo by WilliamBanzai7/Colonel Flick on Flickr.

DEBT BROTHER

DEBT BROTHER, a photo by WilliamBanzai7/Colonel Flick on Flickr.

Thursday, September 19, 2013

Wednesday, September 18, 2013

QE 1929

QE 1929, a photo by WilliamBanzai7/Colonel Flick on Flickr.

TAPERED

MORNING LIGHT

MORNING LIGHT, a photo by WilliamBanzai7/Colonel Flick on Flickr.

Tuesday, September 17, 2013

MUTTI HAIRY

MUTTI HAIRY, a photo by WilliamBanzai7/Colonel Flick on Flickr.

DOCTOR OBAMACARE, a photo by WilliamBanzai7/Colonel Flick on Flickr.

Are You Prepared For An Extremely Bitterly Cold Winter? Solar Activity Is At A 100 Year Low

Are you ready for bone chilling cold this winter? The Old Farmer’s Almanac and other weather forecasters that rely on solar activity as a factor in their weather forecasts are projecting that this upcoming winter will be bitterly cold. Solar activity is at a 100 year low, and even though we were supposed to be in the midst of a solar maximum this year, our sun has been eerily quiet. So precisely what in the world is going on? There have been other periods throughout history when solar activity has been extraordinarily quiet, and those times have corresponded with periods of extreme cold. For example, the “Maunder Minimum” which stretched from 1645 to 1715 corresponded with the most bitterly cold period that the earth experienced in the last 1000 years. So could we be heading toward another “mini-ice age”? That is a question that some scientists are now beginning to ask.

Clearly, something unusual is happening with our sun. The following is from a Universe Today article that was posted back in (Read More....)