tMoA

~ The only Home on the Web You'll ever need ~


    INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Share
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Mon Jun 19, 2017 10:50 am

    Stunning Footage Of American's Crumbling Infrastructure
    Jun 18, 2017


    It’s no secret that America’s infrastructure is in dire need of repairs. Earlier this year, America received her infrastructure report card from the American Society of Civil Engineers’ and received a repulsive D+. The ASCE guesstimates the US would need to spend $4.5 trillion by 2025 on infrastructure.

    Here’s the breakdown of the report card:

    Aviation: D
    Bridges: C+
    Dams: D
    Drinking Water: D
    Energy: D+
    Hazardous Waste: D+
    Inland Waterways: D
    Levees: D
    Parks and Recreation: D+
    Ports: C+
    Rail: B
    Roads: D
    Schools: D
    Solid Waste: C+
    Transit: D-
    Wastewater: D+


    With that being said, I’ve spent the entire weekend inspecting America’s infrastructure at the Port of Baltimore.

    At some locations, I was given special access to a behind the scenes view of America’s crumbling infrastructure that the public is not allowed to see. The reasons you’re left out of the know is because it destroys the mainstream narrative that everything is awesome.

    Even Jack Ma, the founder of Alibaba Group says, “the US wasted trillions on warfare instead of investing in infrastructure”.

    In the Sunday Edition, Alastair Williamson is on site at a marine terminal in the Port of Baltimore. He provides an interesting view of America’s deteriorating infrastructure blended with the current shape of the US economy.

    In this video, Alastair is given special access to behind the scenes of America’s crumbling infrastructure. This view is rarely seen by the mainstream public. Enjoy!




    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Mon Jun 19, 2017 12:00 pm


    Hong Kong’s pegged exchange rate should stay as it has served the city well through financial crises for more than 30 years, the chief of its de facto central bank said.

    “Hong Kong is a small and open economy,” Hong Kong Monetary Authority Chief Executive Norman Chan said in a statement as the city approaches the 20th anniversary of Chinese rule. “Keeping a stable exchange rate between the Hong Kong dollar and the U.S. dollar is the most suitable arrangement. We have no need and no intention to change such an effective system.”

    The city linked its currency to the greenback in 1983, when negotiations between China and the U.K. over Hong Kong’s return to Chinese rule spurred a capital exodus. The Hong Kong dollar has come under pressure this year amid a widening interest-rate gap with the U.S., with the local exchange rate touching the lowest level since January 2016 on Friday.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Jun 23, 2017 11:25 am

    The Real Purpose Behind The Russian/Trump Conspiracy Propaganda
    http://www.zerohedge.com/news/2017-06-22/real-purpose-behind-russiantrump-conspiracy-propaganda
    Jun 22, 2017
    Authored by Brandon Smith via Alt-Market.com,

    Just after the US presidential election in 2016 I published an article titled 'Order Out Of Chaos: Defeat Of The Left Comes With A Cost', covering a rather difficult subject matter, namely the concept of “4th Generation Warfare” and how it is used by establishment elitists to defeat popular resistance to their agenda of centralization and globalization. 4th Gen tactics are confusing to many because most people think in terms of single movements and direct correlations; they think that a punch thrown is a punch intended to strike, rather than intended as a feint or misdirection.

    I'll put it another way – some people play chess and they only see the attack in front of them. Others play chess and they see the attack three moves ahead. 4th gen warfare is a “three steps ahead” style of fighting that focuses on a very specific goal: Tricking the enemy into destroying himself, or enslaving himself, so that you don't have to take any risks by moving against him directly. That is to say, 4th gen warfare is first and foremost about psychology. That which you see with your eyes is usually not what is actually happening.

    For example, when predicting the election win of Donald Trump and the passage of Brexit, I based my conclusions on a 4th gen strategy. According to the behavior and rhetoric of globalists and their organizations at the time, it seemed to me that they were allowing sovereignty and conservative movements to gain a foothold in the political arena. They were letting us THINK that we were winning.

    This accomplishes a few things – it takes conservatives off their guard and convinces them to think in terms of defending government rather than overthrowing government. The corruption has not changed, but now we have a vested interest in keeping the system going and attempting to change it “from the inside”. I hope it is clear to the majority of liberty activists today that this is a naive notion.

    Conservatives are also now willing to argue in favor of the election system, because many of them think that because Donald Trump “won” the system must be at least partially legitimate. News Flash: Our election system has been fraudulent for decades. The only candidates that ever make it past the DNC and the RNC filters are the candidates the elites WANT the public to choose from.

    The American public is also now viciously divided over Trump's ascendance to the White House. The political left has been driven to the point of utter insanity, not that they weren't already stark raving mad to begin with. Conservatives are next to be targeted with psychological manipulation, as the leftist zealotry pushes us towards the other end of the spectrum and a potentially dangerous mindset of rationalizing a totalitarian response. Where extreme social divisions exist, civil unrest and war are not far behind.

    Finally, the existing economic and social framework of the US in particular has a finite lifespan. Economic instability is rampant as I noted and evidenced in last week's article, and this has been a process ongoing since the initial 2008 credit and derivatives crisis. The old structure of America is being deliberately torn down to make way for a new structure; a single global edifice in which we are not a nation but a feudal vassal with no ideas of sovereign self determination. That said, the old world cannot be torn down outright. The globalists do not plan to take any blame for the crisis that would inevitably follow. Enter Trump, the perfect scapegoat for the next stage of fiscal collapse, and perhaps a pied piper convincing enough to lure numerous conservative groups into taking the blame as well.

    Trump, a seeming enemy of the globalist agenda, takes office, then surrounds himself with the same bankers and globalists he admonished during his campaign. He continues his anti-globalist rhetoric, but his actions tend to help them. Conservatives, desperate for a hero on a white horse to ride in and stop the rushing tide of cultural Marxism, were given one... just not in the manner they were hoping for.

    In the meantime, the establishment has sought to keep social tensions high. How? The political left has been played like a marionette since the election with a narrative of "Russian conspiracy". You see, hatred is psychologically exhausting. Mobs tend to dissipate and become impotent over time. It is hard to sustain the hatred of a large mass of people without consistent propaganda. Thus, it is important to give people a reason to hate; a reason that fuels perpetual reinforcement. For leftists, the desire to hate Trump runs deep. They think he represents everything that stands in opposition to their ideology, and zealots cannot tolerate the existence of opposing ideals. But there has to be more. The left has to be convinced that Trump is a thief, a thief so heinous that he stole an election with the help of a foreign power.

    Now, not only is Trump the anti-christ to leftists, he is also a false president – a pretender to the throne. This narrative is more than enough to keep the left frothing at the mouth for months if not years.

    As many analysts have pointed out, there is absolutely no evidence whatsoever that Trump “stole” the election, let alone colluded with the Russian government to steal the election. Former FBI director James Comey's recent testimony before the Senate Intelligence Committee produced nothing; no memos, no paper trail, zip, zilch. The very existence of the “Comey memos” is likely a farce.

    But here is where I break with many in the liberty movement – some analysts assume that Trump is being “targeted” and that the goal is to remove him from the White House. This makes little sense to me. If the elites wanted to stop Trump they would have done it during the RNC selection process just as they did to Ron Paul, and just as the DNC did to Bernie Sanders.

    Clearly, Trump is more valuable to them sitting in the Oval Office, as I outlined above. The Russian circus is going nowhere because it was never meant to go anywhere. It is distraction and drama, a soap opera for the ignorant masses. Trump will not be removed from office. If he does end up impeached, the impeachment will fail. As I have said since before the election, the establishment needs Trump as president.

    So, if I am correct and the Russian conspiracy narrative is not intended to take Trump down, what is it intended for? As stated earlier, this is 4th gen warfare, and the intended target for propaganda is not always the obvious target.

    As noted, Leftists are the initial target. They will continue to believe that Trump is a Russian collaborator because they want to believe it, regardless of how absurd the whole idea is. They will ignore the fact that there is no evidence to support the accusation. They will embrace the propaganda wholeheartedly and develop more violent methods to express their outrage.

    The secondary target of the Russian conspiracy manipulation is conservative groups.

    Here is the reality of our predicament; the US system is going to move into the next phase of collapse under Trump's watch. Period. The math is undeniable. Every economic indicator except stocks is in severe decline, the Federal Reserve is raising interest rates to deliberately ignite greater instability and time is running out. I believe that this phase will begin before the end of 2017. When the next downturn arrives on the doorstep and in the pocketbooks of the average American, the leftists and most of the world will blame Trump as an “incompetent buffoon” or a “vitriolic fascist”.

    Just as the elites need to make Trump and conservatives the best possible scapegoat for the left; they also need a perfect scapegoat for the political right. The narrative will be turned against the leftists and conservatives will exclaim that Trump was not able to reverse economic damages “created by the Obama administration” because leftists used the fake Russian conspiracy as a means to undermine him at every opportunity. Leftists will be labeled economic and political saboteurs, and this accusation will work to a point, because it is partly true.

    Finally, as America's decline accelerates, Eastern nations will without a doubt decouple completely from the US dollar as the world reserve currency and begin using the IMF Special Drawing Rights basket structure as a replacement. Russia will most likely lead this charge along with China. Americans will blame Russia in part for the demise of the dollar's buying power around the world. And, the rest of the world will blame the U.S. for the dollar's demise due to U.S. “imperialism” and overt sanctions against Russia. They will say we had it coming.

    Perhaps you have noticed a particular pattern here? Every piece of the narrative I have outlined has already been initiated, if perhaps only in early-to-mid stages of development. This is an open dialogue common in the mainstream. And in every case, the offered culprit behind the downfall of America is always someone other than the banking elites. Anyone other than the banking elites.

    THE BLAME GAME

    Leftists and socialists around the globe will blame Trump and conservative principles. Conservatives will blame the left and their obstructions of Trump. The West will blame the East. Globalists will blame “populists” and nationalists, and nationalists will be scrambling to protect their ground by any means necessary, including unconstitutional measures, which will only help the globalists in the long run.

    A core catalyst for this geopolitical blame game is the Trump presidency and the use of the Russian conspiracy to ensure that the left remains crazy, inspiring the right towards extreme measures. Again, this is not about removing Trump, it is about manipulating the left; it is about using the Left's cultural Marxism to trigger an iron-fisted reaction from the political right.

    In my recent article 'Operation Temperer - U.K. Will Likely Institute Martial Law Measures Within A Year', I warned readers that the UK government has already set in motion martial law measures in response to a growing number of Islamic terrorist attacks. In the US, I think the same march towards totalitarianism will occur, but for reasons beyond foreign terrorism. Economic uncertainty coupled with a volatile left hellbent on supplanting the presidency by any means necessary may very well be exploited by Trump and the elites surrounding him to establish martial law measures in the US. And, I have little doubt that a portion of conservatives will cheer this action.

    If this takes place and conservatives come out in majority support, then the globalist use of 4th Gen warfare will have succeeded. They will have won. For if conservatives abandon the constitution, then no one will be left to defend the principles and heritage it represents. We will have destroyed ourselves, and the elites will have barely lifted a finger to make this happen. The game can be changed entirely, but only if we are smart enough to recognize the narrative for what it is, and only if we turn our sights on the globalists instead of hyperfocusing on the scapegoats they offer us.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sat Jun 24, 2017 9:13 am

    WHAT HAPPENED TO LIBYA'S GOLD? - QUESTIONS FOR CORBETT - THE CORBETT REPORT
    https://www.bitchute.com/video/XW3dW7JzbHE/

    SHOW NOTES AND MP3: https://www.corbettreport.com/?p=23097

    Libya had 144 tons of gold in the vaults when NATO's humanitarian love bombs began raining down in 2011. So now that the company has been utterly destroyed and discarded like yesterday's newspaper, what happened to all that gold, anyway? Join James for this month's #Q4C as he delves into the topic of Libya's gold and fields your questions on Skull & Bones, CIA art, open borders, education in Japan and much more.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Wed Jun 28, 2017 2:11 pm


    https://www.youtube.com/watch?v=p28WN6RnRoA&app=desktop
    Greg Hunter and James Howard Kunstler -
    Major Crisis of Culture and Economy Coming Soon

    Published on Jun 27, 2017
    How does James Howard Kunstler think all the rigged financial markets and fantasy economy will play out? Kunstler says, “There is an appearance that they can carry on these shenanigans forever, but sooner, rather than later, we are going to see consequences. My guess is it will appear in the form of people losing their confidence in the value and the meaning of the money they are using. That would be a currency crisis. Right now, they have no reason to believe in the value of the things in the markets because the markets have been so distorted. Eventually, I think it will be a matter of them losing confidence in the currencies themselves. I think that’s where it’s going to start to accelerate into a major crisis of culture and economy.”

    Join Greg Hunter as he goes One-on-One with journalist James Howard Kunstler, author of the new book “A Safe and Happy Place,” his 20th book.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sat Jul 01, 2017 3:02 pm



    The World Is Now $217,000,000,000,000 In Debt And The Global Elite Like It That Way
    http://theeconomiccollapseblog.com/archives/the-world-is-now-217000000000000-in-debt-and-the-global-elite-like-it-that-way
    By Michael Snyder, on June 29th, 2017

    The borrower is the servant of the lender, and through the mechanism of government debt virtually the entire planet has become the servants of the global money changers. Politicians love to borrow money, but over time government debt slowly but surely impoverishes a nation. As the elite get governments around the globe in increasing amounts of debt, those governments must raise taxes in order to keep servicing those debts. In the end, it is all about taking money from us and transferring it into government pockets, and then taking money from government pockets and transferring it into the hands of the elite. It is a game that has been going on for generations, and it is time for humanity to say that enough is enough.

    According to the Institute of International Finance, global debt has now reached a new all-time record high of 217 trillion dollars…

    Global debt levels have surged to a record $217 trillion in the first quarter of the year. This is 327 percent of the world’s annual economic output (GDP), reports the Institute of International Finance (IIF).

    The surging debt was driven by emerging economies, which have increased borrowing by $3 trillion to $56 trillion. This amounts to 218 percent of their combined economic output, five percentage points greater year on year.

    Never before in human history has our world been so saturated with debt.

    And what all of this debt does is that it funnels wealth to the very top of the global wealth pyramid. In other words, it makes global wealth inequality far worse because this system is designed to make the rich even richer and the poor even poorer.

    Every year the gap between the wealthy and the poor grows, and it has gotten to the point that eight men have as much wealth as the poorest 3.6 billion people on this planet combined…

    Eight men own the same wealth as the 3.6 billion people who make up the poorest half of humanity, according to a new report published by Oxfam today to mark the annual meeting of political and business leaders in Davos. This didn’t happen by accident. Sadly, most people don’t even understand that this is literally what our system was designed to do.

    Today, more than 99 percent of the population of the planet lives in a country that has a central bank. And debt-based central banking is designed to get national governments trapped in endless debt spirals from which they can never possibly escape.

    For example, just consider the Federal Reserve. During the four decades before the Federal Reserve was created, our country enjoyed the best period of economic growth in U.S. history. But since the Fed was established in 1913, the value of the U.S. dollar has fallen by approximately 98 percent and the size of our national debt has gotten more than 5000 times larger.

    It isn’t an accident that we are 20 trillion dollars in debt. The truth is that the debt-based Federal Reserve is doing exactly what it was originally designed to do. And no matter what politicians will tell you, we will never have a permanent solution to our debt problem until we get rid of the Federal Reserve.

    In 2017, interest on the national debt will be nearly half a trillion dollars.

    That means that close to 500 billion of our tax dollars will go out the door before our government spends a single penny on the military, on roads, on health care or on anything else.

    And we continue to pile up debt at a rate of more than 100 million dollars an hour. According to the Congressional Budget Office, the federal government will add more than a trillion dollars to the national debt once again in 2018…

    Unless current laws are changed, federal individual income tax collections will increase by 9.5 percent in fiscal 2018, which begins on Oct. 1, according to data released today by the Congressional Budget Office.

    At the same time, however, the federal debt will increase by more than $1 trillion.

    We shouldn’t be doing this, but we just can’t seem to stop.

    Let me try to put this into perspective. If you could somehow borrow a million dollars today and obligate your children to pay it off for you, would you do it?

    Maybe if you really hate your children you would, but most loving parents would never do such a thing.

    But that is precisely what we are doing on a national level.

    Thomas Jefferson was strongly against government debt because he believed that it was a way for one generation to steal from another generation. And he actually wished that he could have added another amendment to the U.S. Constitution which would have banned government borrowing…

    “I wish it were possible to obtain a single amendment to our Constitution. I would be willing to depend on that alone for the reduction of the administration of our government to the genuine principles of its Constitution; I mean an additional article, taking from the federal government the power of borrowing.”

    And the really big secret that none of us are supposed to know is that governments don’t actually have to borrow money.

    But if we start saying that too loudly the people that are making trillions of dollars from the current system are going to get very, very upset with us.

    Today, we are living in the terminal phase of the biggest debt bubble in the history of the planet. Every debt bubble eventually ends tragically, and this one will too.

    Bill Gross recently noted that “our highly levered financial system is like a truckload of nitro glycerin on a bumpy road”. One wrong move and the whole thing could blow sky high.

    When everything comes crashing down and a great crisis happens, we are going to have a choice.

    We could try to rebuild the fundamentally flawed old system, or we could scrap it and start over with something much better.

    My hope is that we will finally learn our lesson and discard the debt-based central banking model for good.

    The reason why I am writing about this so much ahead of time is so that people will actually understand why the coming crisis is happening as it unfolds.

    If we can get everyone to understand how we are being systematically robbed and cheated, perhaps people will finally get mad enough to do something about it.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Jul 14, 2017 1:55 pm


    AND ANOTHER THING: CHASE WAS HIT BEFORE JULY 4th TOO…
    https://gizadeathstar.com/2017/07/another-thing-chase-hit-july-4th/

    Let's posit a hypothetical bank, say, Deutsche-Manhattan-Cheese Banco dei Flaschi di Cesspool, and let's say that, just before the beginning of August, when the entire country of France goes on vacation holiday, Deutsche-Manhattan-Cheese Banco dei Flaschi di Cesspool announces in the Toulouse Daily Whistle, that it is going to shut down its systems to make improvements just before the next holiday, stranding thousands of Frenchmen at their ATMs and keeping Paris unusually populated for the month of August.

    That's quite an improvement, for during this period of being "down," one might - just as a kind of hypothetical high octane speculation - be able to access the funds that its depositors could not access, and via a variety of cutouts, fronts, and so on, be able to place gobs of trades, make huge amounts of money, keep it all off the books (remember, the system is down - just before the holidays - to make "improvements"), trigger various flash crashes in various markets, and perhaps even target specific equities to be re-evaluated because of the reset when the circuit breakers kick in and halt all the trading.

    But of course, nothing like that could ever happen, because we all know that big international mega-banks like Deutsche-Manhattan-Cheese Banco dei Flaschi di Cesspool are cleaner than a Wall Street toilet.

    And thank goodness too, because I was beginning to lose my faith in crony finance crapitalism.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sun Jul 16, 2017 1:08 pm


    The case for free-market anticapitalism
    https://capx.co/the-case-for-free-market-anticapitalism/

    This is a very interesting article interviewing Elon Musk. It is interesting to think about a number of things in it that are referenced worth considering. First he talks about technology in 40 years moving from 2D pong video games to our current level of virtual reality where eventually and shortly virtual reality and reality in fact become indistinguishable. We are moving to a place where virtual reality may even seem more real than reality itself. He addresses that if we do not regulate it in time there will be the threat of the evolution of Artificial Intelligence to become self aware and exceed human capabilities in all areas and the potential of the soulless machine become the demise of or slave master of humanity. Even with regulation there could be those rogue who violate those regulations. In the past he has discussed the possibility we are already living in a computer simulation of virtual reality much like the movie the matrix. It is interesting to contemplate all of this, isn't it.




    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Swanny

    Posts : 592
    Join date : 2010-04-13
    Location : The Shire of Wilts

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Swanny on Mon Jul 17, 2017 4:19 am

    Have a listen to this


    Red Dwarf better than life

    The crew play an artificial game called "Better than life" which makes the players' wishes come true,



    https://www.youtube.com/watch?v=dDoItNNdLg0
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Mon Jul 17, 2017 10:41 am

    Over $7 Million Stolen After CoinDash Initial Coin Offering Hacked
    http://www.zerohedge.com/news/2017-07-17/over-7-million-stolen-after-coindash-initial-coin-offering-hacked
    by Tyler Durden
    Jul 17, 2017 11:26 AM

    It was bound to happen: after hundreds of millions of capital was raised through "Initial Coin Offerings", with the recently concluded Tezos coin offering raising a record $232 million in 2 weeks, it was inevitable that (at least) one would get hacked. On Monday morning, that's precisely what happened to CoinDash, a blockchain startup focusing on "cryptocurrency social trading and portfolio management platforms", which sent out an urgent warning to investors advising of a severe cyber security breach of its crowdfunding page.

    Apparently the hack involved switching over the legitimate address to a fake one, to which "investors" were sending their funds. The CoinDash warning reads:

    This is an emergency message delivered to you in order to stop you from sending your money to an unauthorized ETH address. It seems like our Token Sale page was tampered and the sending address was changed. Please stop from sending your funds to any of the addresses until we say otherwise. We are currently examining the situation and will shortly send further instructions.


    The site also issued a follow up announcement:

    CoinDashers, soon we will get the site back and release our official announcement about what just happened. Everyone who participate, both with the right & fraud address will get his CDT. Pleases be patient as we are trying to make things clear

    Less ambitious than the Tezos offering, the CoinDash Token Sale only started a bit earlier today (July 17th, 2017), and was supposed to last for 28 days or until the funds raised reach a $12 million hard cap.

    This is what the ICO's bonus structure was supposed to look like:

    First day bonus – 30%
    First week bonus – 20%
    Second week bonus – 10%
    Rest of the Token Sale period bonus – 0%

    However, it was not meant to be, and moments ago the startup tweeted that "The Token Sale is done, do not send any ETH to any address. Official statement regarding the hack will be released soon."


    Some background on this particular ICO and statup, courtesy of Finance Magnates, which recently conducted an interview with CEO Alom Muroch:

    The Coindash platform will enable cryptocurrency investors to manage and analyze their portfolios, share insights about the market and display achievements, as well as copy-trade and receive trading signals.

    Coindash’s current partners include CryptoCompare, Smith & Crown and RSK Labs, WINGS, ethere.camp, Antshares and HyperChain Capital. Back in May 2017 Coinsilium Group Limited (NEX:COIN), the London-based blockchain venture investment fund, confirmed that it has completed its investment of $75,000 in Coindash.
    The scammer’s address has been quickly tracked down: https://etherscan.io/address/0x6a164122d5cf7c840d26e829b46dcc4ed6c0ae48

    While the monetary damages have yet to be confimed, according to Etherscan it appears that over $7 million was already "stolen" in 2130 transactions, as a result of the address redirection hack.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Mon Jul 17, 2017 10:46 am


    Authored by Don Quijones via WolfStreet.com,

    But the IMF has suggestions on how to win the War on Cash...

    In January 2017 the European Commission announced it was exploring the option of imposing upper limits on cash payments, with a view to implementing cross-regional measures as soon as 2018. To give the proposal a veneer of respectability and accountability the Commission launched a public consultation on the issue. Now, the answers are in, but they are not what the Commission was expecting.

    A staggering 95% of the respondents said they were opposed to a cash ceiling at EU level. Even more emphatic was the answer to the following question:

    “How would the introduction of restrictions on payments in cash at EU level benefit you, or your business or your organisation (multiple replies are possible)?”

    In the curious absence of an explicit “not at all” option, 99.18% chose to respond with “no answer.” In other words, less than 1% of the more than 30,000 people consulted could think of a single benefit of the EU unleashing cross-regional cash limits.


    Granted, 37% of respondents were from Germany and 19% from Austria (56% in total), two countries that have a die-hard love for physical lucre. Even among millennials in Germany, two-thirds say they prefer paying in cash to electronic means, a much higher level than in almost any other advanced economy with the exception of Japan. Another 35% of the survey respondents were from France, a country that is not quite so enamored with cash and whose government has already imposed a maximum cash limit of €1,000.

    By its very nature the survey almost certainly attracted a disproportionate number of arch-defenders of physical cash. As such, the responses it elicited are unlikely to be a perfect representation of how all Europeans would feel about the EU’s plans to introduce maximum cash limits. Nonetheless, the sheer strength of opposition should (but probably won’t) give the apparatchiks in Brussels pause for thought.

    Respondents cited a number of objections to EU-wide cash restrictions, chief among them the convenience of using cash and the limited impact the measure would probably have on achieving its “stated” objectives of curbing terrorism, tax evasion, and money laundering. Of course, there are many other reasons to worry about living in a cashless (or “less cash”) society that were not offered as an option in the survey, including the vastly increased power it would give to political and monetary authorities as well as the near-impossibility of ever escaping from the clutches of the banking system or central banks’ monetary experiments.

    The biggest cited concern for respondents was the threat the cash restrictions would pose to privacy and personal anonymity. A total of 87% of respondents viewed paying with cash as an essential personal freedom. The European Commission would beg to differ. In the small print accompanying the draft legislation it launched in January, it pointed out that privacy and anonymity do not constitute “fundamental” human rights.

    Be that as it may, many Europeans still clearly have a soft spot for physical money. If the EU authorities push too hard, too fast in their war on cash, they could provoke a popular backlash. In Germany, trust in Europe’s financial institutions is already at a historic low, with only one in three Germans saying they have confidence in the ECB. The longer QE lasts, the more the number shrinks.

    Bundesbank president Jens Weidmann has already warned that it would be “disastrous” if people started to believe cash would be abolished — an oblique reference to the risk of negative interest rates and the escalating war on cash triggering a run on cash. The IMF has also waded into the debate with a working paper full of sage advice for governments keen on “de-cashing” – as the IMF calls this procedure – their economies against the will of their citizenry (emphasis added):

    The private-sector-led de-cashing seems preferable to the public-sector-led decashing. The former seems almost entirely benign (e.g., more use of mobile phones to pay for coffee), but still needs policy adaptation. The latter seems more questionable, and people may have valid objections to it. De-cashing of either kind leaves both individuals and states more vulnerable to disruptions, ranging from power outages to hacks to cyberwarfare. In any case, the tempting attempts to impose de-cashing by a decree should be avoided, given the popular personal attachment to cash.

    A targeted outreach program is needed to alleviate suspicions related to de-cashing; in particular, that by de-cashing the authorities are trying to control all aspects of peoples’ lives, including their use of money, or push personal savings into banks.
    It basically involves making it easier and cheaper for people to use electronic payment methods while subtly turning the screw on those who would prefer to continue using cash (for perfectly valid reasons, as the IMF itself admits), presumably by making it more difficult and expensive to do so. In many places it’s already happening.

    But a surprisingly large number of people still appear to have a strong sense of attachment to physical money, particularly in Europe’s most important economy, Germany. And if the survey is any indication, they have little interest in changing those habits.




    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Mon Jul 17, 2017 10:51 am

    Earth's Economy Glorifies Waste, Exploitation, Debt, Expediency, & Magical Thinking
    Read: http://www.zerohedge.com/news/2017-07-17/earths-economy-glorifies-waste-exploitation-debt-expediency-magical-thinking

    Authored by Charles Hugh Smith via OfTwoMinds blog,

    Humanity appears to default to magical thinking when faced with untenable situations that demand systemic change.

    How would extraterrestrial anthropologists characterize Earth's dominant socio-economic system? It's not difficult to imagine their dismaying report:

    "Earth's economy glorifies waste. Its economists rejoice when a product is disposed as waste and replaced with a new product. This waste is perversely labeled 'growth.'

    Aimless wandering that consumes fossil fuels is likewise rejoiced as 'growth.'

    The stripping of the planet's oceans for a few favored species of edible fish is also considered 'growth' as the process of destroying the ocean ecosystem generates sales of the desired seafood.

    Even more perversely, the resulting shortages are also causes of rejoicing by the planet's elites, as their ability to purchase the now-scarce resources boosts their social status and grandiose sense of self-worth.

    This glorification of waste is the same dynamic that destroyed the civilization on Zork.

    Earth's economy also glorifies exploitation, as this maximizes profits, which appears to be the planetary equivalent of a secular religion that everyone believes as a Natural Law.

    Thus slavery and monopoly are highly valued as the most reliable sources of profits. If ethical concerns limit the actual ownership of humans, Earth's economy incentivizes feudal arrangements that share characteristics of servitude and bondage. In the current era, the favored mechanisms are over-indebtedness (debt-serfdom) and taxation by the state, which extracts approximately 40% of all labor via threat of imprisonment.

    Earth's elites exhibit a pathological preference for micro-managing the commoners via criminalizing much of everyday life and imposing extremely harsh punishments for any dissent or resistance to elite domination.

    This is the same dynamic that doomed planetary civilizations in the Blug system.

    Earth's economy is currently dependent on depleting fossil fuels and borrowing from the future to fund consumption in the present, i.e. debt. Rather than face the reality that this is not sustainable and pursue other arrangements, Earth's elites have chosen expediency, responding to the inevitable crises caused by depletion and dependence on debt with expedient but ultimately destructive policies that paper over the crises but at the cost of generating greater crises in the next iteration.

    Humanity appears to default to magical thinking when faced with untenable situations that demand systemic change. This is eerily parallel to the now-lost civilization of Frum.

    It seems Earth's dominant species has selected the most destructive policies and mindsets to glorify and worship. Earth's current civilization is doomed, with near-zero prospects for the necessary transition to a more sustainable, less exploitive arrangement.

    Earth's decline is a tragi-comedy, much like the one on Ononon that entertained our home planet audiences for a time."

    In case you missed it, here's a snapshot of total debt as a percentage of median household income: from 79% to 584%.


    If this strikes you as "healthy growth" because "debt doesn't matter"-- welcome to the Wonderland of Magical Thinking.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Jul 21, 2017 9:48 am


    https://www.youtube.com/watch?v=-mejOviGyok&app=desktop
    The Biggest Scam In The History Of Mankind - Explained In 7 Minutes
    Our government is not in control of our money.

    The history of the Federal Reserve. Lack of Accountability, Transparency, and Responsibility. Group of Elite Bankers, in the form of shareholders (members), control the currency of the United States, the most powerful country in the world.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Sep 08, 2017 10:50 am


    https://www.youtube.com/watch?v=7oAEe_Xr3a4
    Greg Hunter - Weekly News Wrap-Up 9.8.17


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Sep 08, 2017 10:55 am

    Frontrunning: September 8
    Go here to access links below: http://www.zerohedge.com/news/2017-09-08/frontrunning-september-8
    by Tyler Durden
    Sep 8, 2017

    Hurricane Irma threatens power losses for millions in Florida (Reuters)

    Back-to-Back Hurricanes to Test FEMA Reforms (WSJ)

    How Would the U.S. Defend Against a North Korean Nuclear Attack? (BBG)

    Russia says too early to decide on U.N. resolution on North Korea: Interfax (Reuters)

    Strongest Quake in a Century Hits Mexico, 15 Reported Dead (BBG)

    Ryan Bears Brunt of GOP Anger Over Trump’s Deal With Democrats (BBG)

    Trump’s Debt Deal Moves Forward, With Help From Democrats (WSJ)

    Houston CEOs Race to Mend a Storm-Battered Workforce (WSJ)

    Consumers Struggle to Get Answers From Equifax After Hack (BBG)

    Irma Batters Reinsurance Mutual Fund as Hurricane Nears Florida (BBG)

    Uber Faces FBI Probe Over?Program Targeting Rival Lyft (WSJ)

    Three Equifax Managers Sold Stock Before Cyber Hack Revealed (BBG)

    Trump anger at Cohn raises doubts about his White House tenure: sources (Reuters)

    U.S. Wants Shkreli Jailed After Offer of Clinton Hair Bounty (BBG)

    Erdogan urges U.S. to review 'political' charges against (Reuters)

    Israel Has a Playbook for Dealing With North Korea (BBG)

    Will Saudi Aramco deliver world record profit for next year's IPO? (Reuters)

    Monsanto fights to sell Arkansas farmers herbicide linked to crop damage (Reuters)

    Overnight Media Digest

    WSJ


    - Amazon.com Inc on Thursday launched an plan to establish a second corporate headquarters in North America, creating up to 50,000 high-paying jobs, many in software development and most of them new. on.wsj.com/2wNapaV

    - President Donald Trump signaled he was open to making more deals with Democrats in Congress despite anger from fellow Republicans over a bipartisan agreement that passed the Senate Thursday. on.wsj.com/2wMN355


    Sponsored By MFS Investment Management
    Mitigating Fixed Income Risk Through Active Management
    Active managers can work to tame the various fixed income risks, such as credit, interest rate and others, in ways that passive managers cannot.

    - Authorities on Thursday ordered more than 650,000 people to evacuate the Miami area as Hurricane Irma churned toward a possible collision with the mainland U.S. and after the Category 5 storm killed at least 11 people in the Caribbean. on.wsj.com/2wN0SAz

    - Guo Wengui, Chinese businessman who has alleged corruption among China's political and corporate elites, said he is seeking asylum in the U.S., Beijing tries to discredit him and try him on criminal charges. on.wsj.com/2wNhKaq

    - President Donald Trump refused to rule out military action against North Korea on Thursday, but he stopped short of answering a reporter's question as to whether he would tolerate a nuclearized North Korean state if the threat were contained. on.wsj.com/2wMKxf5

    - Equifax Inc said Thursday that hackers gained access to some of its systems, potentially compromising the personal information of roughly 143 million U.S. consumers. on.wsj.com/2wMWJN9

    - The Food and Drug Administration issued a scathing warning letter to a Pfizer Inc unit that manufactures the emergency auto-injector EpiPen, saying the company "failed to thoroughly investigate" product failures depsite patients' deaths. on.wsj.com/2wMWWQ8

    - Eli Lilly Co announced plans on Thursday to cut roughly 8% of its global workforce, which includes 2,000 jobs in the U.S. on.wsj.com/2wMNIn5

    FT

    * U.S. President Donald Trump said on Thursday he would prefer to avoid military action to deal with North Korea’s nuclear threat, but said previous diplomatic efforts have failed to pressure Pyongyang from developing its missiles.

    * British PR firm Bell Pottinger told its staff that it is likely to go under administration as early as next Monday after it failed to find a buyer, according to people familiar with the matter.

    * Saudi Arabia is revising parts of an economic development plan released a year ago but key policies, including fiscal reforms and a massive privatisation programme, according to an internal document seen by the Financial Times.

    NYT

    - Equifax Inc, one of the three major consumer credit reporting agencies, said on Thursday hackers had gained access to company data that potentially compromised sensitive information for 143 million American consumers, including Social Security numbers and driver's license numbers. nyti.ms/2xTtBRI

    - Amazon.com Inc took the unusual step on Thursday of announcing it wants a second home outside Seattle, starting what is sure to be a fierce bidding war to lure Amazon — and the thousands of high-paying jobs it will bring to town — using a combination of tax breaks and other sweeteners. nyti.ms/2wMJ1sQ

    - Two planned streaming services of Walt Disney Co took clearer shape on Thursday, as the entertainment giant vowed to bring "Star Wars" and Marvel movies to one and proposed a novel approach to the other: sports á la carte. nyti.ms/2f7TyFJ

    - The Food and Drug Administration this week accused the drugmaker Pfizer Inc of failing to properly investigate reports of malfunctioning EpiPens, including incidents when patients died or became severely ill after the device failed to work. Pfizer manufactures the EpiPen, which treats allergic reactions, for the drugmaker Mylan NV. nyti.ms/2ePWWZ0

    Canada

    THE GLOBE AND MAIL


    Veteran Canadian tech executive Les Rechan is joining Ottawa messaging and data-transfer technology firm Solace Corp as president and CEO, four months after the takeover of his previous company, Halogen Software Inc. (tgam.ca/2xQZud7)

    TransCanada Corp is seeking to halt a federal review of its C$15.7 billion ($12.97 billion) Energy East pipeline, raising the possibility the project could get scrapped in a move that would spare Prime Minister Justin Trudeau from having to make a politically charged decision on the project's fate. (tgam.ca/2xRwySm)

    The mayors of several Canadian cities are competing to become the home of Amazon.com Inc's second headquarters, a massive complex the company says comes with up to 50,000 jobs and more than $5-billion in investment over the next 15 years. (tgam.ca/2xRi0lk)

    NATIONAL POST

    Bell Media, the owner of TV networks CTV and TSN, on Thursday announced the promotion of three senior executives after its president of media sales, Steve Garvie, took a job as CEO of media investment firm GroupM's Canadian operations. (bit.ly/2xQZQAt)

    Britain

    The Times


    - Eicher Motors Ltd, the Indian company that owns Royal Enfield, is set to make a binding bid to buy Volkswagen-owned Ducati of up to $2 billion by the deadline at the end of the month, according to a report in the Economic Times. bit.ly/2xaewxz

    - The votes of a single City investment house, Schroders Plc , saved Keith Hellawell, the Sports Direct International Plc chairman. Schroders confirmed that it had voted its 5.05 percent stake in support of Hellawell at the retail group's annual meeting on Wednesday. bit.ly/2xauKXg

    The Guardian

    - Jaguar Land Rover Automotive Plc has become the latest large carmaker to say it will stop launching new models solely powered by internal combustion engines, two months after Volvo AB pledged to do so. bit.ly/2xa18cE

    - Increases in payouts to victims of car crashes and botched operations are to be scaled back after a furious backlash by the insurance industry against Ministry of Justice plans. bit.ly/2xadNfv

    The Telegraph

    - Bovis Homes Group PLC's share price has soared more than 8 percent as its new Chief Executive Greg Fitzgerald updated investors on his strategic review. bit.ly/2xa38Sc

    - Charlotte Hogg, who resigned from the Bank of England earlier this year after failing to declare her brother's job at Barclays Plc, has been named the new head of Visa Inc's Europe business. bit.ly/2x9V1oy

    Sky News

    - Public relations firm Bell Pottinger Private Ltd is on the brink of collapsing into administration, just days after controversial work for a South African client led to its expulsion from its industry association. bit.ly/2xa9wZD

    - British Airways faces union opposition over its plans to address a "significant and growing" funding deficit by closing its main pension scheme. bit.ly/2xaachM

    The Independent

    - European Central Bank President Mario Draghi has sounded a warning about the rapid appreciation of the euro and said there were concerns expressed by "most members" of the ECB's governing council at its meeting this week over the euro exchange rate. ind.pn/2xabR75

    - Consumer goods giant Unilever NV has snapped up tea group Pukka Herbs Ltd. ind.pn/2xasgbq


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Fri Sep 08, 2017 11:05 am

    Crashing Dollar Sends European Stocks, US Futures Reeling; Yuan Has Best Week On Record
    Graphs at link: http://www.zerohedge.com/news/2017-09-08/crashing-dollar-sends-european-stocks-us-futures-sliding

    European stocks dropped, Asian and EM market rose, and S&P were lower by 0.3% as investors assessed the latest overnight carnage in the USD which plunged to the lowest level since the start of 2015, sending the USDJPY tumbling to 107, the euro extending gains to just shy of $1.21 and a slowdown in China’s export growth which however did not prevent the Yuan from posting its best weekly gain on record.

    It was all about the seemingly huge currency moves overnight as the dollar plunged for the 7th day in a row, the biggest 7 day drop in 4 months, amid doubts about further Federal Reserve tightening, North Korea tensions and as Hurricane Irma threatens South Florida. The Yen rose to the strongest level against the dollar since Nov. amid nervousness about possible provocation from North Korea ahead of its foundation day on Saturday; yen surged past 108 per dollar as options barriers gave way, triggering a series of stop-losses. The Yuan rallied toward 6.45/USD in both onshore and offshore markets as traders speculate PBOC will tolerate a stronger currency after it rose past the psychological 6.50 mark Thursday. The Australian dollar surged to the highest in more than two years on the back of dollar weakness while the cherry on top was the 10Y TSY yield touching a YTD low of 2.014% before rebounding to ~2.035%.

    Meanwhile, natural disasters were aplenty, including the most powerful earthquake this century to shake Mexico, while Hurricane Irma is projected to hit Florida Sunday, and North Korea is widely expected to launch an ICBM on its September 9 holiday.

    As reported last night, the big overnight story was the dramatic plunge in the dollar in Asian trading....

    ... which also pushed the EURUSD to the highest level since January 2015, a move that was not helped by this morning's Reuters "trial balloon" according to which the ECB was considering 4 QE reducing scenarios.

    “At its current level, the Euro is not a threat for the Eurozone,” Philippe Ithurbide, global head of research at Amundi Asset Management, said in a report. “If the euro stabilizes, or continues a gradual appreciation path as in our base scenario, the ECB could announce -- maybe in October -- a reduction, starting in January 2018, of the quantitative easing program. Should the euro continue to appreciate rapidly, the ECB could become more dovish and postpone its tapering.”

    This morning, the USD has attempted to stabilize after said heavy selling in Asian session, which has seen the DXY hit a fresh YTD low. Meanwhile, the USD/CNH has bounced from levels last seen in Dec. 2015 after reports of Chinese concerns on yuan strength. The Yuan was set for its best weekly gain since records began in 2007. The onshore yuan headed for the third weekly advance in a row, with a gauge of the dollar tumbling toward the biggest decline since May. The CNY climbed 0.48% to 6.4543 per dollar as of 5:11 p.m. in Shanghai on Friday; extending the weekly advance to 1.6%, the most since Bloomberg began compiling CFETS data in 2007. On Friday morning, the PBOC strengthened the daily reference rate by 0.36% to 6.5032 per dollar, extending the 10-day run of increases to 2.4%. The Bloomberg replica of CFETS index, which tracks the yuan against 24 currencies, climbs 0.10% to 95.16

    The Yuan’s recent appreciation has been bigger than expected - and it’s also more than what can be explained by the dollar’s moves - which is likely driven by strong corporate dollar selling and positive market sentiment, UBS economist Wang Tao writes in report sent Friday. "Allowing the yuan to gain versus the basket is a step toward convincing the market of increased two-way flexibility; not expecting it to embark on a multi-year appreciation path in effective term" Wang adeded.

    According to Reuters, China policy makers are increasingly worried a sharp CNY rally could hurt exports and the economy, however China is unlikely to intervene forcefully to cap the CNY due to worries of criticism from the US.

    Overnight, NY Fed president Bill Dudley became the latest U.S. central banker to lay out his views ahead of a policy-setting meeting later this month as expectations for an interest-rate increase have been scaled back. According to Bloomberg, Dudley reiterated the need to continue raising rates while conceding that the Fed may have to rethink its inflation model.

    USD/JPY holds close to overnight levels after tripping downside stops through 108.00. As noted earlier, Bund futures sell off after latest ECB sources give more details on potential tapering, curve steepens. Treasurys partially retrace overnight spike higher, precipitated by the USD weakness.

    In equities, European equity markets open lower and slowly grind back to unchanged led by bank sector, Santander +2.5% after being upgraded at Morgan Stanley. Mining sector underperforms after base metals sell off aggressively in response to China trade data. Stocks in Europe struggled for traction as the euro extended its march above $1.20, while S&P 500 index futures dropped. The most powerful earthquake this century shook Mexico, adding to investor anxiety.

    Asia equity markets traded mixed following similar indecisiveness in US and as the region digested a slew of economic releases including Japanese GDP and Chinese Trade data. ASX 200 and Nikkei 225 were lower as financials mirrored the underperformance in their US peers, with Japan also dampened by a weaker than expected Final Q2 GDP which showed the largest downward revision since the current accounting method began in 2010. Shanghai Comp. and Hang Seng were positive despite another OMO skip by the PBoC which resulted to a larger net weekly liquidity drain W/W, as strength in property and energy names kept sentiment upbeat while traders mulled over the release of mixed Chinese Data. China released its latest trade balance data which showed that Exports missed, but Imports surpassed expectations to suggest strong domestic demand. Exports growth for China moderated to 5.5% yoy in August from 7.2% yoy in July, below expectations, while imports growth was up to 13.3% yoy from 11.0% yoy in July, above consensus. In sequential terms, exports contracted by 0.4% mom sa, albeit less than that in July ( -2.0% mom sa). Imports increased by 2.9% mom sa, rebounding from -1.9% mom sa in July. The trade surplus moderated to US$42.0bn from US$46.7bn in July

    Chinese Trade Balance (CNY)(Aug) M/M 286.5B vs. Exp. 335.7B (Prev. 321.2B)
    Chinese Exports (CNY)(Aug) Y/Y 6.90% vs. Exp. 8.70% (Prev. 11.20%)
    Chinese Imports (CNY)(Aug) Y/Y 14.40% vs. Exp. 11.70% (Prev. 14.70%)


    Meanwhile, the threat from North Korea lingers. U.S. President Donald Trump said it’s not “inevitable” that the U.S. will wind up in a war with North Korea over its continued development of nuclear weapons, though military action remains an option. Pyongyang may test a missile this weekend to coincide with its “founding day” on Sept. 9.

    Ten-year Treasury yields fell toward 2 percent and gold headed for a third week of advance ahead of a potential North Korean missile launch. Copper led most industrial metals lower and crude oil dropped. The yield on 10-year Treasuries declined less than one basis point to 2.04 percent, the lowest in 10 months. Britain’s 10-year yield advanced one basis point to 0.982 percent.

    West Texas Intermediate crude fell 0.4 percent to $48.91 a barrel, the largest fall in more than a week. Gold gained 0.2 percent to $1,351.25 an ounce, the strongest in almost 13 months. Copper declined 1.4 percent to $6,802.00 per metric ton, the lowest in more than a week on the largest drop in more than four months.

    Economic data include wholesale inventories.

    Market Snapshot

    S&P 500 futures down 0.4% to 2,455.75
    STOXX Europe 600 down 0.2% to 374.04
    German 10Y yield fell 1.3 bps to 0.294%
    MSCI Asia up 0.4% to 161.82
    MSCI Asia ex Japan up 0.4% to 534.48
    Nikkei down 0.6% to 19,274.82
    Topix down 0.3% to 1,593.54
    Hang Seng Index up 0.5% to 27,668.47
    Shanghai Composite down 0.01% to 3,365.24
    Sensex up 0.03% to 31,671.21
    Australia S&P/ASX 200 down 0.3% to 5,672.62
    Kospi down 0.1% to 2,343.72
    Euro up 0.2% to $1.2046
    Italian 10Y yield fell 10.2 bps to 1.634%
    Spanish 10Y yield rose 1.6 bps to 1.511%
    Brent Futures up 0.5% to $54.76/bbl
    Gold spot up 0.4% to $1,354.10
    U.S. Dollar Index down 0.4% to 91.27

    Top Overnight News

    Reuters: ECB discussed scenarios yesterday and agreed the next step is to cut stimulus but should be done with broadest possible consensus; options included reduction to EU20b or EU40b and extension by 6 or 9 months, according to people familiar; ECB’s Liikanen: Some QE decisions will be taken in December

    Fed’s Dudley: Appropriate to continue to remove monetary policy accommodation gradually, low inflation may be structural; Fed’s George says it’s time to continue with Fed rate hikes

    President Donald Trump said it’s not “inevitable” that the U.S. will wind up in a war with North Korea over its continued development of nuclear weapons, but that military action remains an option

    Trump suffered another setback on his travel ban, with an appeals panel leaving in place a lower-court ruling that forces the administration to accept people with grandparents, cousins and other relatives in the U.S.

    Traders braced for economic damage to Florida from Hurricane Irma, set to make landfall on Sunday. The most powerful earthquake this century shook Mexico, adding to investor anxiety and sending the peso weaker

    Federal Reserve Bank of New York President William Dudley reiterated the need to continue raising interest rates while conceding that the U.S. central bank’s inflation model may be in for a rethink soon

    White House is considering at least six candidates to be the next head of the Fed; a chance Yellen will be renominated, though Cohn’s prospects have dimmed according to people familiar

    Chinese officials are beginning to worry about the rallying yuan due to the strain on exporters, according to people familiar: Reuters

    China Aug. Trade Balance: +$41.9b vs +$48.5b est; Exports 5.5% vs 6.0% est; Imports 13.3% vs 10.0% est.
    Delta Cancels Flights for South Florida Airports on Irma
    Strongest Quake in Century Hits Mexico, at Least Three Dead
    White House Is Said to Be Considering at Least Six for Fed Chair
    Equifax’s Historic Hack May Have Exposed Almost Half of U.S.
    U.S. Is Said to Target North Korea Violators, With ZTE’s Help
    BlackRock Is Said to Be in Talks for Calpers’s Buyout Business
    ECB Is Said to Study QE Options That Don’t Need Rule Tweaks
    Apple-Backed Billionaire Makes Case to Buy Toshiba Chip Unit
    China’s Export Engine Slows as Imports Maintain Steady Gains


    Asia equity markets traded mixed following similar indecisiveness in US and as the region digested a slew of economic releases including Japanese GDP and Chinese Trade data. ASX 200 and Nikkei 225 were lower as financials mirrored the underperformance in their US peers, with Japan also dampened by a weaker than expected Final Q2 GDP which showed the largest downward revision since the current accounting method began in 2010. Shanghai Comp. and Hang Seng were positive despite another OMO skip by the PBoC which resulted to a larger net weekly liquidity drain W/W, as strength in property and energy names kept sentiment upbeat while participants also mulled over the release of mixed Chinese Data where Trade Balance and Exports missed, but Imports surpassed expectations to suggest strong domestic demand. 10yr JGBs gained amid the risk averse sentiment in Japan and as yields tracked the declines seen in their US counterparts, while the BoJ were also present in the market for a total of JPY 880bln of JGBs across the curve. China policy makers worry a sharp CNY rally could hurt exports and the economy; China unlikely to intervene forcefully to cap the CNY due to worries of criticism from the US, according to sources.

    Top Asian News

    Tencent’s Giant Rally Is a Problem for Some China Investors
    SpiceJet Shows Long-Haul Intent With Boeing-Airbus Contest
    Japan’s GDP Growth Revised Down on Softer Capital Expenditure
    Citi Sees Pressure on Yuan, Philippines Peso Amid Reserves Trend
    China No. 4 Developer Seeks to Repay Overdue Debt at Lower Rate
    Topix Has Worst Week Since April on N. Korea, Natural Disasters
    Yuan Surge Feeds Speculation Policy Makers to Loosen Control


    Soft risk off tone has highlighted this lacklustre Friday morning, as much of the price action was seen yesterday. Equity markets opened marginally lower and have traded around these levels from the open with 8/10 Euro Stoxx sectors trading in the red. The stronger EUR has supported the mild risk-off tone following yesterday’s ECB meeting and the EUR continuing to ramp.

    Stock specific sees basic resources struggling, being affected by the pressure of copper prices, elsewhere the finance sector is one to trade in the marginal green, buoyed by Morgan Stanley’s upgrade of Santander. Peripheral bonds are seeing slight downward pressure, likely due to profit taking following yesterday’s outperformance amid the
    ECB press conference. Price action across European curves has been quiet, as the EU AAAs all trade around levels seen in the
    open.

    Top European News

    U.K. Manufacturing Jumps, Construction Falls as Quarter Starts
    Akzo Nobel Warns on 2017 Profit as Paintmaker Replaces CFO
    Nordea Move Has Riksbank Chief Warning of Dangerous Fallout
    Swedish Government Backs Away From Plan to Cut Riksbank Reserves
    Overlooked in Cancer, Glaxo and Sanofi Look to Get Into the Race
    Greene King Shares Slump on Trading Update, Dragging Pubs Lower
    Mercedes Fields Buzz Aldrin to Take on BMW While Fiat Stays Home
    Trinity Mirror Starts Talks to Buy Desmond’s U.K. Tabloids
    Germany’s Facebook Case Tackles Crucial Digital Issues: Mundt


    FX markets have seen subdued trade following yesterday’s volatility being followed by an attack on the greenback overnight. Much anticipation was on the UK Manufacturing and Industrial Production data, the formers slight beat vs. expected sparked little sterling buying, with the data causing no real price action. USD/JPY broke through the 108 handle during the Asia/European crossover, knocking through option barriers on the way through. The week’s aggressive buying between 108.00/108.50 has aided with the bearish pressure, as stops were triggered through the 108.00 level, now firmly through April’s low. July 16, 2016 high has paved some support for the pair, however, a break through 107.50 is likely to see a 105 print.

    In commodities, the US storms remain a concern to energy traders, the catastrophic events are likely to lead to refiners and recovery projects competing for the same labour, in turn driving up costs or causing labour shortages. Brent futures have flipped back into its pre-hurricane backwardation after fears of a significant drop in crude demand failed to leak into markets. Copper has been the noticeable laggard in metal markets, as the precious metals all perform well amid the risk-off tone.

    Looking at the day ahead, there is the final reading for wholesale inventories
    along with consumer credit data. Away from the data, the Philadelphia
    Fed President Harker will speak on consumer behaviour in credit.

    US Event Calendar

    8:45am: Fed’s Harker Speaks on Consumer Finance in Philadelphia
    10am: Wholesale Inventories MoM, est. 0.4%, prior 0.4%; Wholesale Trade Sales MoM, est. 0.5%, prior 0.7%
    3pm: Consumer Credit, est. $15.0b, prior $12.4b
    DB's Jim Reid concludes the overnight wrap

    So unsurprisingly the talk of the town over the past 24 hours has been the ECB and President Draghi. As expected there was no change to policy but that was never going to be the talking point. Draghi did however more or less confirm that a decision on tapering will likely be taken at the October meeting. A “very, very preliminary discussion” was said to have taken place within the governing council yesterday but the “bulk of decisions” will be made in October for beyond 2017 according to the President.

    The biggest focus going into the meeting though was on what sort of rhetoric we would get from Draghi around the recent strength in the currency. While questioned and addressed at least half a dozen times, the general feeling was that Draghi felt relatively comfortable suggesting that he and the council view Euro strength as a sign of improving economic fundamentals. That gave the green light for the single currency to rally another +0.89% yesterday and so close above 1.200 for the first time since January 2015. This morning it’s up further, at 1.2070 as we go to print. The President did yesterday highlight up front that “the recent volatility in the exchange rate represents a source of uncertainty which requires monitoring” along with making various other references. However Draghi also played up growth and failed to really downplay inflation. Draghi called growth “robust” and “broad based” and signalled that the ECB had upgraded this year’s growth forecast to 2.2% from 1.9%. 2018 and 2019 forecasts were left unchanged. On inflation the impact of the recent currency move was to only shade one-tenth off the 2018 and 2019 headline forecasts, and leave 2017 as is at 1.5%. That said core inflation expectations were revised down in 2019 by twotenths. Overall though it felt a bit like every time Draghi tried to downplay the currency he ended up caveating it with a positive.

    Away from that, another notable snippet from the press conference included Draghi saying that the ECB “haven’t really discussed the scarcity issue (for bond buying) because so far we’ve consistently shown that we’ve been able to cope with this issue quite successfully”. DB’s Mark Wall summed up in his report by saying that his baseline expectation is a “slow and extend” decision on QE at the October meeting, extending until mid-2018 at the slower rate of EUR40bn per month. He expects a dovish tightening and notes that the ECB could achieve this by justifying slower QE on the basis of partial normalisation of core while saying that full normalisation is susceptible to FX appreciation, and also maintaining the QE guidance by saying that the Bank is prepared to do more if necessary.

    The failure to temper the move in the currency resulted in an interesting market dynamic as it essentially cleared the path for European bonds to rally. 10y Bund yields closed -4.1bps lower at 0.302% and the lowest since late June. France and Netherlands were -5.0bps and -4.5bps lower respectively while the periphery outperformed with yields in Italy, Spain and Portugal -11.1bps, -7.3bps and -10.5bps respectively. The Stoxx 600 also rebounded from an early fall to close +0.27%.

    Meanwhile across the pond, 10y Treasuries plunged to a new YTD low during the day of 2.032% and are continuing to flirt with that 1% handle. They eventually closed just off that at 2.040% which is where they are this morning. That move for Treasuries appeared to be more European led but clearly the threat of Hurricane Irma (and two other Hurricanes) inching closer to Florida and reports per Bloomberg about another possible missile test by North Korea is keeping the bond market propped up. The cloud hanging over the Fed now with the all the antics in Washington and an uncertain Fed Board composition is clearly not helping too. The S&P 500 closed virtually flat (-0.02%), but within the sectors, health care rose but banks (-1.76%) and insurers (-1.90%) were hit given the potential drags from lower bond yields and Hurricane Irma respectively. Elsewhere, the US dollar index fell -0.68%, Gold rose +1.12% to a new one-year high but WTI Oil was little changed.

    On the topic of uncertainty, the feeling was that it might be a two-horse race between Janet Yellen and Gary Cohn to be the next Fed Chair, but Bloomberg reported last night that Trump may be considering six more possible candidates for the top job. The list is fairly broad and includes: Kevin Warsh (former Fed governor), Glenn Hubbard (professor at Columbia Uni.), John Taylor (professor at Stanford Uni.), Lawrence Lindsey (former economic advisor to President Bush), Richard Davis (former US Bancorp CEO) and John Allison (former CEO of BB&T). With the various other departures on the Board, Trump is going to have a rare opportunity to handpick and reshape the composition of the Federal Reserve. However as we’ve been saying in recent days, this very much keeps the clouds of uncertainty from dissipating over the Fed for a while.

    On a related note, following up from the Fed’s Vice-Chair Stanley Fischer’s early resignation the other day, our US team took a closer look at the potential implications. They argue that the FOMC has lost one of its more hawkish members and with the December FOMC decision already on a course to be contentious, it is possible that there could be at least three dissents to a rate hike decision.

    This morning in Asia, markets are heading into the end of the week a bit mixed. The Nikkei (-0.38%), Kospi (-0.13%) and ASX 200 (-0.36%) are all softer but the Hang Seng (+0.50%) and Shanghai Comp (+0.24%) have edged higher. It’s worth noting that trade data in China this morning showed export growth as slowing to +5.5% yoy in Dollar terms from +7.2%. Expectations were for a slower decline to +6.0%. Imports on the other hand surged to +13.3% yoy from +11.0% after the consensus was also for a slowdown in the growth rate. It’s worth noting that this is the second month in a row that export numbers have disappointed.

    Back to the US debt ceiling. Now that the September deadline has been extended to December, President Trump suggested yesterday that there are “a lot of good reasons” to get rid of the debt ceiling altogether. Senate minority leader Schumer and Senate Finance Chairman Hatch along with others supports the idea, but some do not, including House Speaker Paul Ryan who said that “there is a legitimate role for the power of the purse and Article One powers”.

    Staying with the US, we’ve had two more Fed speakers in the last 24 hours. The usually hawkish Cleveland’s Fed President Mester said she is “comfortable” raising interest rates again this year and added that not hiking rates between now and March 2018 is not her idea of a gradual rise. Elsewhere, The NY Fed President Dudley said that “I expect the US economy will perform quite well… as this occurs, I anticipate that wage growth will firm and price inflation will gradually rise” and that “we will continue to gradually remove monetary policy accommodation”.

    Moving on. The latest on Brexit talks yesterday saw EU Chief Brexit negotiator David Barnier say “I’ve been very disappointed by the UK position…there is a moral dilemma here, you can’t have 27 (states) paying for what was decided by 28” and that “the UK needs to tell us what it wants and we will see what is possible”. Elsewhere, the President of the European Parliament, Antonio Tajani, said “it would seem very difficult that sufficient progress can be achieved by October”. Here in the UK, the Guardian noted that PM May has rejected an invite to address the EU Parliament to explain Britain’s position, instead preferring to discuss with leaders in closed sessions.

    Before we take a look at today’s calendar, a quick recap of yesterday’s economic data. In the US, the initial impact of Hurricane Harvey has seen initial jobless claims rise 62k to 298k (vs. 245k expected), with applications in Texas up 52k. Continuing claims were broadly in line at 1,940k (vs. 1,945k expected). Elsewhere, the final reading for nonfarm productivity was above market at +1.5% qoq (vs. +1.3% expected), resulting in a through-year gain of +1.3% yoy.

    Back in Europe, the final reading on the Eurozone’s 2Q GDP was unrevised at +0.6% qoq and +2.3% yoy (vs. 2.2% expected). In Germany, July industrial production was flat (vs. +0.5% mom expected), but annual growth is still up +4.0% yoy (vs. +4.6% expected). In the UK, the Halifax house price index was well above market at +1.1% mom (vs. +0.2% expected) and +2.6% yoy (vs. +2.1% expected). Over in France, the trade deficit widened to EUR6.0bn in July, with +4.9% yoy growth in exports outpaced by +9.2% yoy growth in imports.

    Looking at the day ahead, Germany’s trade balance, current account balance and export / imports stats are due this morning. For the UK and France, industrial production (+0.2% mom expected for UK; +0.5% mom for France), manufacturing production and trade balance stats are also due. Over in the US, there is the final reading for wholesale inventories along with consumer credit data. Away from the data, the Philadelphia Fed President Harker will speak on consumer behaviour in credit.




    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Tue Sep 12, 2017 8:39 am



    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Thu Sep 14, 2017 9:24 am


    https://www.youtube.com/watch?v=ELhIlILGXsY
    Truth Bomb Just Exploded But Is Anyone Listening - Episode 1377b

    Economic Collapse
    Universal Medical to get everyone dependent on the government - eliminates co=pays and deductions
    Wikileaks, Sanctions on NK, NK is using block chain to go around sanctions (bitcoin) - but there is no proof.





    https://www.youtube.com/watch?v=mzb3dycKFdI
    Central Banks Of Central Banks Warns: This Is More Dangerous Than 2007 - Episode 1377a
    If the UK leaves the EU, Germany can face economic collapse. Germany is trying to stop a hard Brexit.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Wed Sep 20, 2017 12:58 pm

    USD Based World Trade System will soon End
    Jcollins / September 18, 2017 /

    Economics (https://philosophyofmetrics.com/category/economics/),
    Premium POM (https://philosophyofmetrics.com/category/premium-pom/)

    "There is one undeniable fact.  The current world trading system is based on the international role of the USD.  As the primary reserve currency which is accumulated in the foreign exchange reserve accounts of central banks around the world it has been positioned for seven decades as the “must have” currency.

    So when US officials begin to threaten a trade war with China, or remove China from the SWIFT international payment system, as well as suggest that the current trade system is unfair to American workers and has to be changed, those who understand the structure of that system can make some accurate educational predictions on what will come next.

    These events and statements are aligned with the unfolding POM thesis as presented over the last four years.  The transformation of the international monetary framework from the USD based structure to a multilateral and multi-currency structure, which will eventually evolve into a full SDR (Special Drawing Rights) reserve system, will require fundamental changes, such as ending the existing USD based trade system.

    It’s fascinating to watch the drama unfolding based on the Trump agenda and administration.  The accuracy of the prediction that Trump would be used to sell the multilateral transformation to the American people, while re-packaging trade deals and geopolitical alliances to accommodate the monetary adjustments is undeniable at this point.

    Whether its changes to NATO, the UN, exchange rates, trade deals, or geopolitical hotspots; all have been on the Trump radar since the beginning of the year.  The incremental movements and adjustments on these fronts will continue into the months and years.

    Ending the trade system will require conversations around the dollar exchange rate arrangements, and the necessary changes to that regime to facilitate the trade shifts.  Right now the USD is the reserve currency and most trade agreements are engineered to support the dollar in that role.

    Those promoting the dumping of dollars by China do not understand the situation. China cannot just dump dollars.  Someone has to be on the other end to purchase those dollars.  That is where America has a stronger position.  Until a broad agreement has been hashed out about reserve accumulation, and the substitution of those reserve, there is little China can do about dollars, unless of course they can talk someone, like the EU as an example, into buying their hoard of USD.

    This allows Trump and his administration to talk tough on China about everything from trade, deficits, currency manipulation, subsidizing industries, and international payment systems.  But before any real measures can be taken, there needs to be a system of substitution in place and ready to accommodate the large capital flows which will be sure to follow.

    This is unlikely to happen overnight, as all sides would need to avoid shocks to the existing system.  Everyone is under pressure in different and varying ways.  But the pressure exists and needs to be deflated with a unified approach.

    The selling of these approaches and policies will be sold to each nation’s population through different measures and reasons.  China will package and present the changes in a different fashion than Trump.  Making America strong again is the slogan being used over here. Bringing jobs back through changing trade deals is easy for people to comprehend and get excited about.  Understanding the complexity of the Triffin Paradox and effects of reserve accumulation on capital flows and trade deficits is not very stimulating or politically motivating.

    Feel confident in the POM thesis and each transition point.  It will never be presented in the manner we are learning it.  But the changes and patterns will be clear to see and understand.  Each passing year brings deeper and broader confirmation of everything we have been learning since January of 2014.  There is no reason to think this will not continue.  – JC


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Tue Sep 26, 2017 10:29 am


    https://www.youtube.com/watch?v=FolcYvfJKbg
    The Economic Mirage That The Central Bank Created Is Disappearing - Episode 1386a


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Thu Sep 28, 2017 2:23 pm


    https://www.youtube.com/watch?time_continue=2&v=vmnsxPSTvA4
    The Cracks In The Economy Are Getting Bigger, It's About To Break Apart - Episode 1388a

    New report out, there is 50/50 chances that the people of the UK will receive their full pension. Durable goods are pumped up by airline sales. New home, existing home and pending home sales all decline. Sam Zell says this is not the time to buy retail real estate.

    Trump waives the Jones act and supplies and relief will be headed to Puerto Rico to help the people. Wall Street and the banking system are worried about the Catalonia Referendum.  US sanction on Russia hurt Europe, was this planned this way. NATO is starting to split, Germany transfers for all military assets to Jordan. The IS is now being transferred to Libya. The eastern government of Libya banned US citizens from entering. The rival factions are talking peace in Tunisia. Russia officially rejects the Kurdish breakaway. Syria says they will discuss the Kurdish situation after the paid mercenaries are removed from their country.



    https://www.youtube.com/watch?v=qJkPbwTZ7Z0
    The World Is About To Change And Most Are Completely Unaware Of This Fact - Episode 1388b

    X22report.com

    https://www.youtube.com/channel/UC1rnp-CySclyhxyjA4f14WQ


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Thu Sep 28, 2017 3:55 pm

    Frontrunning: September 28
    Links at http://www.zerohedge.com/news/2017-09-28/frontrunning-september-28
    Sep 28, 2017

    GOP Tax Proposal Expected to Benefit Wall Street Firms (WSJ)
    Trump’s Tax Cuts May Produce Short Job-Growth ‘Sugar High’ (BBG)
    Playboy founder Hugh Hefner dies at age 91 (Reuters)
    Mountains of Aid Languish on Docks in Stricken San Juan (BBG)
    Janet Yellen Can’t Help Retirees (BBG)
    Macron's EU vision faces reality check at Estonia dinner (Reuters)
    EU's Barnier Says It May Take Months for Brexit Talks to Move On (BBG)
    Aramco listing reshapes Saudi Arabia's OPEC oil policy (Reuters)
    Health Insurers Stay in ACA Despite Fears of Last-Minute Exits (WSJ)
    Trump Prepares to Pick His Own Auditor at the IRS (BBG)
    Lyft close to selecting IPO adviser (Reuters)
    History Shows Even Sovereign Bond Default Won’t Unseat Maduro (BBG)
    ‘Amazon Effect’ Leads Investors to Sour on Retail Around the World (WSJ)
    Michael R. Bloomberg: Jeff Sessions Has a Point About Free Speech (BBG)
    Toshiba $18 billion sale of chip unit signed, but discord emerges immediately (Reuters)
    Here’s Where the Most Millionaires Are Being Minted (BBG)
    Video streamer Roku raises $219 million in IPO, prices at top of range (Reuters)
    Fighting the Toxic Nightmare Next Door (BBG)
    Apple Interested in Advanced LCDs for Some iPhones in 2018 (WSJ)


    Overnight Media Digest

    WSJ


    - U.S. President Donald Trump and GOP leaders proposed sharply reducing tax rates on businesses and many individuals, starting a major legislative push to overhaul the country's tax code this year. on.wsj.com/2fSLNUq

    - Hugh Hefner, the founder of Playboy magazine, died on Wednesday at the age of 91. on.wsj.com/2wYNup2

    - Hain Celestial Inc reached an agreement with activist investor Engaged Capital LLC calling for changes to the food-and-beverage company's board and opening the door to a possible sale, according to people familiar with the matter. on.wsj.com/2fSO4Pc

    - Federal securities regulators are investigating an allegation by PepsiCo Inc's former top lawyer Maura Smith that the company fired her in retaliation for the way she handled an internal probe into potential wrongdoing in Russia, according to people familiar with the matter and internal documents. on.wsj.com/2wTzd1v

    - Uber Technologies Inc on Wednesday confirmed it is shutting down its U.S. auto-leasing business, known as Xchange Leasing, which will affect about 500 jobs. on.wsj.com/2k6ugwi

    FT

    Labour Party leader Jeremy Corbyn set out plans to take on landlords, big business and the establishment in his speech to the annual party conference in Brighton by raising the prospect of tighter rent controls.

    HSBC Holdings Plc is aiming to become the first high-street lender to launch an app next year that allows customers to see all their accounts, as looming regulation threatens to weaken established lenders’ customer relationships.

    Drax Group Plc, owner of Britain’s largest power station, expects its plant in North Yorkshire to play a significant role providing services to UK’s National Grid, such as helping to keep the electricity fed through the system at a stable frequency and providing reserve power to cater for unplanned losses of generation or peaks of demand.

    Former Scottish National Party MP George Kerevan told a conference on Wednesday that he will apply for the top job at the Financial Conduct Authority after its current chairman steps down next year.

    NYT

    - Ford Motor Co and Lyft on Wednesday said they had struck a partnership to develop and test autonomous vehicle designs and technology, with the aim of putting Ford's self-driving vehicles on Lyft's ride-hailing network in the future. nyti.ms/2fAcEYj

    - Ryanair Holdings Plc, dealing with staff shortages that prompted the cancellation of 2,100 flights this month, said on Wednesday that it would cut 18,000 more flights. nyti.ms/2wkXCch

    - Brazil offered the world's oil companies a chance to bid for drilling rights in its waters on Wednesday, and it declared the results encouraging in which 20 companies from eight countries made bids. nyti.ms/2fSn0zK

    - Hugh Hefner, Playboy's founder died Wednesday at his home, the Playboy Mansion near Beverly Hills, California. He was 91. nyti.ms/2fTmW2N

    - Facebook Inc insisted it is pro-democracy and pro-truth and the German election shows it, after U.S. President Donald Trump took aim at Facebook on Wednesday calling the social network "anti-Trump." nyti.ms/2yazEF4

    Canada

    THE GLOBE AND MAIL


    ** Canadian Finance Minister Bill Morneau says the federal government's proposed new tax rules will target billions in "dead money" currently parked in small businesses, encouraging owners to pump those savings into the economy. tgam.ca/2hybJbG

    ** Netflix Inc will spend a minimum of C$500 million ($400 million) over five years on the production and distribution of Canadian movies and TV shows as part of a landmark agreement that will be at the centre of Ottawa's new cultural policy, federal sources say. tgam.ca/2yK3kpo

    ** Stelco Holdings Inc plans to raise C$150 million in an initial public offering, money that the Hamilton-based company will plow into production of high quality steel for auto makers and construction projects. tgam.ca/2yKBNEy

    NATIONAL POST

    ** There are 155,000 non-productive oil and gas wells sitting idle in Alberta that pose a potential C$8.6 billion liability to the energy industry and taxpayers, according to a new C.D. Howe Institute report. bit.ly/2yJ8H8k

    ** Most of Airbnb Inc revenue comes from people renting entire homes that they don't live in, according to a study by real estate company CBRE, and commissioned by Ottawa-based Hotel Association of Canada. bit.ly/2yIONKO

    ** Vancouver tech incubator Istuary Innovation Group is facing lawsuits from investors alleging fraudulent activity and "unjust enrichment." bit.ly/2yKjRKm

    Britain

    The Times


    Piers Pottinger has stepped down as chairman of Bell Pottinger's Asian division after its formal separation from its disgraced British parent company 10 days ago. bit.ly/2wXCwjK

    Scania has been fined 880 million euros ($1.03 billion) as the European Commission closed its file on a cartel of lorry makers told to pay 3.8 billion euros for rigging prices on more than nine out of 10 vehicles they sold in Europe over 14 years. bit.ly/2wWYUi0

    The Guardian

    Google's price comparison service will compete with rivals for the right to appear at the top of the search engine's home page, in an effort to comply with an European Union anti-trust ruling. bit.ly/2fA7xHR

    Ryanair Holding Plc is facing enforcement action from the Civil Aviation Authority for "persistently misleading passengers" about their rights, piling more woe on the no-frills carrier as it announced a second wave of flight cancellations that will affect 400,000 people. bit.ly/2wW6I3k

    The Telegraph

    Uber Technologies Inc has denied it treats drivers differently to other minicab firms in London as it appeals a landmark legal ruling that its drivers are owed workers rights such as sick pay and holiday leave. bit.ly/2yIRrQL

    Civitas Social Housing plc which buys stock from housing associations in order to provide affordable homes, is to launch a 350 million pounds ($469.11 million) equity raise. bit.ly/2fsesPH

    Sky News

    Sky News has learnt that talks about a takeover of Palmer & Harvey which supplies every Tesco Corp outlet in the UK, remained in the balance amid an increasingly urgent need for new investment. bit.ly/2fRlI8b

    Monarch Airlines has landed bids for parts of its struggling short-haul business from rivals including easyJet Plc and WizzAir as it seeks to extricate itself from a bitter industry price war. bit.ly/2xH1es3


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sun Oct 01, 2017 9:40 am


    https://www.youtube.com/watch?v=YTnBnkhHQdo
    The Financial Struggle Continues And The World Is Changing,
    Change Is Needed In The US: Harley Schlanger

    N.Korea is preparing for war. Not likely. Much designed to keep in the old paradigm to benefit banking establishment which is bankrupt who have driven the world economy to a cliff. The world really is on the edge of a new financial system.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sun Oct 01, 2017 9:48 am

    Money as a System-of-Control

    We know that money serves as: - A Store of Value (SoV) - A Medium of Exchange (MoE) and - A Unit of Account (UoA) But what happens when a fourth use of money...
    [Video]

    BitCoin for Everybody
    Quote


    Christine Lagarde, head of the IMF, warns central bankers that bitcoin is rising. She has told them not to discount digital currencies, because they are gaining more adoption and traction. Lagarde addressed this issue in a conference Friday in London. She said digital currencies might give existing currencies “a run for their money.”

    IMF Chief Lagarde Tells Central Bankers: "Not Wise to Dismiss Virtual Currencies"

    https://news.bitcoin.com/imf-chief-lagarde-tells-central-bankers-not-wise-to-dismiss-virtual-currencies/

    Bitcoin News
    IMF Chief Lagarde Tells Central Bankers: "Not Wise to Dismiss Virtual Currencies" - Bitcoin News
    Christine Lagarde, head of the IMF, warns central bankers that bitcoin is rising. She has told them not to discount digital currencies

    Bitcoinization continues in another country...

    Bitcoin Prices Skyrocket to $7200 on Zimbabwean Exchange During Economic Turmoil
    -

    https://news.bitcoin.com/bitcoin-prices-skyrocket-on-zimbabwean-exchange-during-economic-turmoil/

    Bitcoin News
    Bitcoin Prices Skyrocket to $7200 on Zimbabwean Exchange During Economic Turmoil - Bitcoin News
    According to various reports, the African country of Zimbabwe is suffering from severe economic hardships similar to the inflation and currency crisis,

    Christine Lagarde, head of the IMF, warns central bankers that bitcoin is rising. She has told them not to discount digital currencies, because they are gaining more adoption and traction. Lagarde addressed this issue in a conference Friday in London. She said digital currencies might give existing currencies “a run for their money.”

    Also read: Cayman Investment Forum Focuses on Rise of Bitcoin and Failing Dollar

    An ABC News article quoted her: “In many ways, virtual currencies might just give existing currencies and monetary policy a run for their money. The best response by central bankers is to continue running effective monetary policy, while being open to fresh ideas and new demands, as economies evolve.”

    Digital Currencies are Still in Their Infancy
    IMF Chief Lagarde Tells Central Bankers: "Not Wise to Dismiss Virtual Currencies"
    Christine Lagarde

    Lagarde went on to say that digital currencies will not replace the current currencies anytime soon. She believes bitcoin is still too volatile. This is why many institutional investors are still waiting on the sidelines. However, the time will come when they decide to jump in.

    “For now, Lagarde said, digital currencies are unlikely to replace traditional ones, as they are ‘too volatile, too risky, too energy intensive and because the underlying technologies are not yet scalable.'”

    She also mentioned that high profile cases of exchange hacks, like the Mt Gox debacle, has caused mainstream investors to be wary of big investments into the space.

    Technical Innovations Will Push Bitcoin Into the Limelight
    Nonetheless, Lagarde said there will inevitably and undoubtedly be more technical innovation. These digital currencies will continue to grow and thrive. She said, just like the internet, cryptocurrencies will scale and quickly slither their way into the mainstream consciousness. In other words, central bankers should not ignore the technology or underestimate it. The ABC news article quoted her:

    Not so long ago, some experts argued that personal computers would never be adopted, and that tablets would only be used as expensive coffee trays, so I think it may not be wise to dismiss virtual currencies.
    Furthermore, Lagarde believes computers will be able to assist governments and other organizations. They will be able to set policies, perform bureaucratic tasks, spot bubbles, and manage other aspects of the financial system.

    Mainstream Awareness and Other Perspectives
    IMF Chief Tells Central Bankers Not to Underestimate Bitcoin


    From the mainstream perspective, Lagarde represents a growing number of influential people who recognize the power of bitcoin and blockchain. However, there are still those who disagree or believe bitcoin is bound to break. People like Jamie Dimon and Jordan Belfort recently called bitcoin a fraud. Not to mention, China recently banned ICOs and acted to ban some bitcoin exchanges.

    However, these comments and actions did not harm bitcoin. For every negative comment or publicity, there are positive comments and activities. For instance, Japan recently endorsed 11 exchanges and became Asia’s dominant bitcoin hub. The love of bitcoin and cryptocurrency seems to be accelerating at a greater pace despite significant push back.

    Do you think the central bankers will respond to Lagarde? Will the mainstream fully embrace bitcoin soon? Let us know what you think in the comments below.

    Images via Shutterstock, Marieclaire.fr (cover photo), and Forbes

    At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol
    avatar
    Carol
    Admin
    Admin

    Posts : 21921
    Join date : 2010-04-07
    Location : Hawaii

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Carol on Sun Oct 01, 2017 9:54 am

    "This Is A Crisis Greater Than Any Government Can Handle":
    The $400 Trillion Global Retirement Gap

    http://www.zerohedge.com/news/2017-10-01/crisis-greater-any-government-can-handle-400-trillion-global-retirement-gap

    Submitted by John Mauldin of Mauldin Economics

    Today we’ll continue to size up the bull market in governmental promises. As we do so, keep an old trader’s slogan in mind: “That which cannot go on forever, won’t.” Or we could say it differently: An unsustainable trend must eventually stop.

    Lately I have focused on the trend in US public pension funds, many of which are woefully underfunded and will never be able to pay workers the promised benefits, at least without dumping a huge and unwelcome bill on taxpayers. And since taxpayers are generally voters, it’s not at all clear they will pay that bill.

    Readers outside the US might have felt smug and safe reading those stories. There go those Americans again, spending wildly beyond their means. You are correct that, generally speaking, we are not exactly the thriftiest people on Earth. However, if you live outside the US, your country may be more like ours than you think. Today we’ll look at some data that will show you what I mean. This week the spotlight will be on Europe.

    First, let me suggest that you read my last letter, “Build Your Economic Storm Shelter Now,” if you missed it. It has some important background for today’s discussiion.

    Global Shortfall

    I wrote a letter last June titled “Can You Afford to Reach 100?” Your answer may well be “Yes;” but, if so, you are one of the few. The World Economic Forum study I cited in that letter looked at six developed countries (the US, UK, Netherlands, Japan, Australia, and Canada) and two emerging markets (China and India) and found that by 2050 these countries will face a total savings shortfall of $400 trillion. That’s how much more is needed to ensure that future retirees will receive 70% of their working income. This staggering figure doesn’t even include most of Europe.

    This problem exists in large part because of the projected enormous increase in median life expectancies. Reaching age 100 is already less remarkable than it used to be. That trend will continue. Better yet, I think we will also be healthier at advanced ages than people are now. Could 80 be the new 50? We’d better hope so, because the math is pretty bleak if we assume people will stop working at age 65–70 and then live another quarter-century or more.

    That said, I think we’ll see a great deal of national variation in these trends. The $400 trillion gap is the shortfall in government, employer, and individual savings. The proportions among the three vary a great deal. Some countries have robust government-provided retirement plans; others depend more on employer and individual contributions. In the aggregate, though, the money just isn’t there. Nor will it magically appear just when it’s needed.

    WEF reaches the same conclusion I did long ago: The idea that we’ll enjoy decades of leisure before our final decline simply can’t work. Our attempt to live out long and leisurely retirements is quickly reaching its limits. Most of us will work well past 65 whether we want to or not, and many of us will not have our promised retirement benefits to help us through our final decades.

    What about the millions who are already retired or close to retirement? That’s a big problem, particularly for the US public-sector workers I wrote about in my last two letters. We should also note that we’re all public-sector workers in a way, since we must pay into Social Security and can only hope Washington gives us something back someday.

    Let’s look at a few other countries that are not much better off.

    UK Time Bomb

    The WEF study shows that the United Kingdom presently has a $4 trillion retirement savings shortfall, which is projected to rise 4% a year and reach $33 trillion by 2050. This in a country whose total GDP is $3 trillion. That means the shortfall is already bigger than the entire economy, and even if inflation is modest, the situation is going to get worse. Further, these figures are based mostly on calculations made before the UK decided to leave the European Union. Brexit is a major economic realignment that could certainly change the retirement outlook. Whether it would change it for better or worse, we don’t yet know.

    A 2015 OECD study (mentioned here) found that across the developed world, workers could, on average, expect governmental programs to replace 63% of their working-age incomes. Not so bad. But in the UK that figure is only 38%, the lowest in all OECD countries. This means UK workers must either build larger personal savings or severely tighten their belts when they retire. Working past retirement age is another choice, but it has broader economic effects – freezing younger workers out of the job market, for instance.

    UK employer-based savings plans aren’t on particularly sound footing, either. According to the government’s Pension Protection Fund, some 72.2% of the country’s private-sector defined-benefit plans are in deficit, and the shortfalls total £257.9 billion. Government liabilities for pensions went from being well-funded in 2007 to having a shortfall 10 years later of £384 billion (~$500 billion). Of course, that figure is now out of date because, just a few months later, it’s now £408 billion – that’s how fast these unfunded liabilities are growing. Again, that’s a rather tidy sum for a $3 trillion economy to handle.

    UK retirees have had a kind of safety valve: the ability to retire in EU countries with lower living costs. Depending how Brexit negotiations go, that option could disappear.

    Turning next to the Green Isle, 80% of the Irish who have pensions don’t think they will have sufficient income in retirement, and 47% don’t even have pensions. I think you would find similar statistics throughout much of Europe.

    A report this summer from the International Longevity Centre suggested that younger workers in the UK need to save 18% of their annual earnings in order to have an “adequate” retirement income – which it defines as less than today’s retirees enjoy. But no such thing will happen, so the UK is heading toward a retirement implosion that could be at least as damaging as the US’s.

    Swiss Cheese Retirement

    Americans often have romanticized views of Switzerland. They think it’s the land of fiscal discipline, among other things. To some extent that’s true, but Switzerland has its share of problems, too. The national pension plan there has been running deficits as the population grows older.

    Earlier this month, Swiss voters rejected a pension reform plan that would have strengthened the system by raising women’s retirement age from 64 to 65 and raising taxes and required worker contributions. From what I can see, these were fairly minor changes, but the plan still went down in flames as 52.7% of voters said no.

    Voters around the globe generally want to have their cake and eat it, too. We demand generous benefits but don’t like the price tags that come with them. The Swiss, despite their fiscally prudent reputation, appear to be not so different from the rest of us. Consider this from the Financial Times:

    Alain Berset, interior minister, said the No vote was “not easy to interpret” but was “not so far from a majority” and work would begin soon on revised reform proposals.

    Bern had sought to spread the burden of changes to the pension system, said Daniel Kalt, chief economist for UBS in Switzerland. “But it’s difficult to find a compromise to which everyone can say Yes.” The pressure for reform was “not yet high enough,” he argued. “Awareness that something has to be done will now increase.”

    That description captures the attitude of the entire developed world. Compromise is always difficult. Both politicians and voters ignore the long-term problems they know are coming and think no further ahead than the next election. The remark that “Awareness that something has to be done will now increase” may be true, but there’s a big gap between awareness and motivation – in Switzerland and everywhere else.

    Switzerland and the UK have mandatory retirement pre-funding with private management and modest public safety nets, as do Denmark, the Netherlands, Sweden, Poland, and Hungary. Not that all of these countries don’t have problems, but even with their problems, these European nations are far better off than some others.

    (Sidebar: low or negative rates in those countries make it almost impossible for their private pension funds to come anywhere close to meeting their mandates. And many of the funds are by law are required to invest in government bonds, which pay either negligible or negative returns.)

    Pay-As-You-Go Woes

    Pay-As-You-Go WoesThe European nations noted above have nowhere near the crisis potential that the next group does: France, Belgium, Germany, Austria, and Spain are all pay-as-you-go countries (PAYG). That means they have nothing saved in the public coffers for future pension obligations, and the money has to come out of the general budget each year. The crisis for these countries is quite predictable, because the number of retirees is growing even as the number of workers paying into the national coffers is falling. There is a sad shortfall of babies being born in these countries, making the demographic reality even more difficult. Let’s look at some details.

    Spain was hit hard in the financial crisis but has bounced back more vigorously than some of its Mediterranean peers did, such as Greece. That’s also true of its national pension plan, which actually had a surplus until recently. Unfortunately, the government chose to “borrow” some of that surplus for other purposes, and it will soon turn into a sizable deficit.

    Just as in the US, Spain’s program is called Social Security, but in fact it is neither social nor secure. Both the US and Spanish governments have raided supposedly sacrosanct retirement schemes, and both allow their governments to use those savings for whatever the political winds favor.

    The Spanish reserve fund at one time had €66 billion and is now estimated to be completely depleted by the end of this year or early in 2018. The cause? There are 1.1 million more pensioners than there were just 10 years ago. And as the Baby Boom generation retires, there will be even more pensioners and fewer workers to support them. A 25% unemployment rate among younger workers doesn’t help contributions to the system, either.

    A similar dynamic may actually work for the US, because we control our own currency and can debase it as necessary to keep the government afloat. Social Security checks will always clear, but they may not buy as much. Spain’s version of Social Security doesn’t have that advantage as long as the country stays tied to the euro. That’s one reason we must recognize the potential for the Eurozone to eventually spin apart. (More on that below.)

    On the whole, public pension plans in the pay-as-you-go countries would now replace about 60% of retirees’ salaries. Further, several of these countries let people retire at less than 60 years old. In most countries, fewer than 25% of workers contribute to pension plans. That rate would have to double in the next 30 years to make programs sustainable. Sell that to younger workers.

    The Wall Street Journal recently did a rather bleak report on public pension funds in Europe. Quoting:

    Europe’s population of pensioners, already the largest in the world, continues to grow. Looking at Europeans 65 or older who aren’t working, there are 42 for every 100 workers, and this will rise to 65 per 100 by 2060, the European Union’s data agency says. By comparison, the U.S. has 24 nonworking people 65 or over per 100 workers, says the Bureau of Labor Statistics, which doesn’t have a projection for 2060. (WSJ)

    While the WSJ story focuses on Poland and the difficulties facing retirees there, the graphs and data in the story make clear the increasingly tenuous situation across much of Europe. And unlike most European financial problems, this isn’t a north-south issue. Austria and Slovenia face the most difficult demographic challenges, right along with Greece. Greece, like Poland, has seen a lot of its young people leave for other parts of the world. This next chart compares the share of Europe’s population that 65 years and older to the rest of the regions of the world and then to the share of population of workers between 20 and 64. These are ugly numbers.

    Source: WSJ

    The WSJ continues:

    Across Europe, the birthrate has fallen 40% since the 1960s to around 1.5 children per woman, according to the United Nations. In that time, life expectancies have risen to roughly 80 from 69.

    In Poland birthrates are even lower, and here the demographic disconnect is compounded by emigration. Taking advantage of the EU’s freedom of movement, many Polish youth of working age flock to the West, especially London, in search of higher pay. A paper published by the country’s central bank forecasts that by 2030, a quarter of Polish women and a fifth of Polish men will be 70 or older.

    Source: WSJ

    Next week we will look at the unfunded liabilities of the US government. It will not surprise anyone to learn that the situation is ugly, and there is no way – zero chance, zippo – that the US government will be able to fund those liabilities without massive debt and monetization.

    Now, what I am telling you is that every bit of analysis about the pay-as-you-go countries in Europe suggests that they are in a far worse position than the United States is. Plus, the economies of those countries are more or less stagnant, and they are already taxing their citizens at close to 50% of GDP.

    The chart below shows the percentage of GDP needed to cover government pension payments in 2015 and 2050. But consider that the percentage of tax revenues required will be much higher. For instance, in Belgium the percentage of GDP going to pensions will be 18% in about 30 years, but that’s 40–50% of total tax revenues. That hunk doesn’t leave much for other budgetary items. Greece, Italy, Spain? Not far behind.

    And there is other research that makes the above numbers seem optimistic by comparison. The problem that the European economies have is that for the most part they are already massively in debt and have high tax rates. And they can’t print their own currencies.

    Many of Europe’s private pension companies and corporations are also in seriously deep kimchee. Low and negative interest rates have devastated the ability of pension funds to grow their assets. Combined with public pension liabilities, the total cost of meeting the income and healthcare needs of retirees is going to increase dramatically all across Europe.

    Macron, the new French president, really is trying to shake up the old order, to his credit; and this week he came out and began to lay the foundation for the mutualization of all European debt, which I assume would end up on the balance sheet of the ECB. However, that plan still doesn’t deal with the unfunded liabilities. Do countries just run up more debt? It seems like the plan is to kick the can down the road just a little further, something Europe is becoming really good at.

    In this next chart, note the line running through each of the countries, showing their debt as a percentage of GDP. Italy’s is already over 150%. And this is a chart based mostly on 2006 and earlier data. A newer chart would be much uglier.

    I could go on reviewing the retirement problems in other countries, but I hope you begin to see the big picture. This crisis isn’t purely a result of faulty politics – though that’s a big contributor – it’s a problem that is far bigger than even the most disciplined, future-focused governments and businesses can easily handle.

    Look what we’re trying to do. We think people can spend 35–40 years working and saving, then stop working and go on for another 20–30–40 years at the same comfort level – but with a growing percentage of retirees and a shrinking number of workers paying into the system. I’m sorry, but that’s magical thinking. And it’s not what the original retirement schemes envisioned at all. Their goal was to provide for a relatively small number of elderly people who were unable to work. Life expectancies were such that most workers would not reach that point, or would at least live just a few years beyond retirement.

    As I have pointed out in past letters, when Franklin Roosevelt created Social Security for people over 65 years old, US life expectancy was about 56 years. If the retirement age had kept up with the increase in life expectancy, the retirement age in the US would now be 82. Try and sell that to voters.

    Worse, generations of politicians have convinced the public that not only is a magical outcome possible, it is guaranteed. Many politicians actually believe it themselves. They aren’t lying so much as just ignoring reality. They’ve made promises they aren’t able to keep and are letting others arrange their lives based on the assumption that the impossible will happen. It won’t.

    How do we get out of this jam? We’re all going to make big adjustments. If the longevity breakthroughs I expect happen soon (as in the next 10–15 years), we may be able to adjust with minimal pain. We’ll work longer years, and retirement will be shorter, but it will be better because we’ll be healthier.

    That’s the best-case outcome, and I think we have a fair chance of seeing it, but not without a lot of social and political travail. How we get through that process may be the most important question we face.

    I haven’t even thrown in the complications that are going to arise because of changes in the nature of employment and the future of work that will be caused by technological change in the next 10–20 years. That will mean even fewer workers for each retiree. Facebook’s Zuckerberg talks about a basic minimum income. I think that is the wrong thing to do. It is the nature of human beings to need to do things that contribute meaningfully to the lives of their family and society. But the reality is that increasing numbers of people are already having trouble finding that sort of work.

    Maybe we should think about basic minimum employment. FDR put a generation of people to work building public projects that helped get us through the Great Depression. Our world is going to change in ways that we don’t yet understand and that we are not prepared for, psychologically, socially, politically, or economically.

    In the US and much of Europe we have developed social echo chambers in which we talk just to ourselves and those who are like-minded, ignoring or demonizing the other side. We have lost the ability to disagree rationally and productively. When the children’s books written by Dr. Seuss are considered by some to have been written by a white racist and are therefore deemed unacceptable to be in a public library, you know the quality of civil discourse has spiraled downward.

    I do not like that, Sam I am.


    _________________
    What is life?
    It is the flash of a firefly in the night, the breath of a buffalo in the wintertime. It is the little shadow which runs across the grass and loses itself in the sunset.

    With deepest respect ~ Aloha & Mahalo, Carol

    Sponsored content

    Re: INTERNATIONAL FINANCIAL PROGRESS REPORT - part 2

    Post  Sponsored content


      Current date/time is Sat Dec 16, 2017 1:06 am