The financial system established in England after 1688, based on usurious lending to the state by private bankers, is reaching its final blowout in the form of a series of devastating bubbles and a massive bailout of the financiers with public money. But the issuance of money doesn’t have to be in the hands of a private consortium: another credit system is possible.
Posted by seumasach on January 16, 2013
John Butler
11th January, 2013
In a report published today, the Official Monetary and Financial Institutions Forum (OMFIF), a global organization of central banks and sovereign wealth funds, recommends that gold be remonetized for use as international money, alongside major currencies.
Posted in Financial crisis | Tagged: gold, new financial architecture | Leave a Comment »
Posted by seumasach on January 16, 2013
15th January, 2012
The move marks an extraodinary breakdown in trust between leading central banks and has set off ferment among gold enthusiasts, with some comparing it with France’s withdrawal of gold from the US under President Charles de Gaulle as the Bretton Woods currency system crumbled in the late 1960s.
Posted in Financial crisis | Tagged: german gold reserves | Leave a Comment »
Posted by seumasach on January 10, 2013
8th January, 2013
Brighter economic prospects, diminishing fears about a U.S. fiscal crisis and the idea that the beginning of the end is in sight for a period of ultra-easy monetary policy have sent government bond yields racing higher at the start of the year.
Posted in Financial crisis | Tagged: bond bubble, dollar collapse | Leave a Comment »
Posted by seumasach on January 8, 2013
“What’s more, capital flows from the eurozone to perceived “safe havens” such as the UK are slowing as the crisis eases.”
As these columns have consistently pointed out this was the real motive for the campaign against the euro. It succeeded in that it gave the totally bankrupt British economy a couple of years grace reinforced by the illusion that we were cutting our fiscal deficit.
Nearly thirty years of current account deficit have been covered by pounds sterling. These in turn will have been mainly reinvested in UK government bonds. This the free lunch that Prof. Michael Hudson talks about with respect to the US economy. The end of the free lunch is the end of the game. We have no choice but to negotiate our terms of bankruptcy with our international partners. Demilitarisation and definancialisation of the key cards we will use in these negotiations
Jeremy Warner
7th January, 2013
It’s the sort of problem you might have thought disappeared with the 1970s, but as the Coalition renews its wedding vows, that’s the unsettling possibility raised by economists at both HSBC and Royal Bank of Scotland. With fears of a eurozone break-up, a calamitous fiscal contraction in the US, and a hard landing in China now fast receding, it is possible financial markets will refocus their attentions on more conventional concerns. The failings of the UK economy might be prime among them.
Posted in UK economy | Leave a Comment »
Posted by seumasach on January 6, 2013
Why We’re Ungovernable, Part 6: Here Comes the Debt Ceiling
5th January, 2013
The fiscal cliff was always going to end with a whimper because that was the obvious path of least resistance. In the end, simply avoiding big tax increases and spending cuts while adding a few more trillion to the coming decade’s deficit was rewarded by the markets with a huge rally. Everybody went home happy, or at least still in possession of their political office.
Posted in Financial crisis | Tagged: dollar collapse | Leave a Comment »
Posted by seumasach on January 5, 2013
The great British crisis hasn’t really even begun. The great Euro scare has enabled the pound to increase its overvaluation over the last couple of years and, therefore, allowed the free lunch to run on. We continue to run a permanent current account deficit financed by a fiat currency, a fiat currency which is being quantitatively eased. This little noted anomaly is unsustainable and the day of reckoning is nigh.
4th January, 2012
Triple dip here we come. That’s the clear message from the latest health check on the services sector from CIPS and Markit. To say the report was a disappointment is an understatement. News that activity fell for the first time since December 2010, when Britain was shivering under a foot of snow, came as a real jolt after the slightly better news from manufacturing earlier in the week.
Posted in UK economy | Leave a Comment »
Posted by seumasach on December 13, 2012
5th December, 2012
Depuis 2008, Conscience Sociale suit au quotidien les évolutions du marché des Bons du Trésor américain, et publie régulièrement des notes sur ce sujet. Cet intérêt est justifié par le fait que ces Bons du Trésor sont la forme la plus concrète et la plus fondamentale de l’influence mondiale des Etats-Unis. Tout ce qui reste aujourd’hui de la puissance des U.S. réside uniquement dans la capacité de son gouvernement à émettre de nouvelles dettes, qui servent en grande partie à entretenir le budget de la Défense, donc directement l’influence géostratégique mondiale des U.S. Les dettes étant très majoritairement émises sous forme de Bons du Trésor, ces derniers constituent le pilier du “mur dollar” dans le système monétaire mondial actuel.
Posted in Financial crisis | Tagged: dollar collapse, QE3 | Leave a Comment »
Posted by seumasach on December 4, 2012
What Britain’s business leaders have to understand is that City of London interests take absolute priority
3rd December, 2012
The chairman of the London Stock Exchange, Chris Gibson-Smith, simply does not have the time to speak. Christopher North, the boss of Amazon in Britain, is too busy as well. And Charles Dunstone, the founder of the mobile phone retailer Carphone Warehouse, also has an exceptionally full agenda.
Posted in Battle for Europe, UK economy | Leave a Comment »
Posted by seumasach on December 3, 2012
Paul Craig Roberts
2nd December, 2012
Is the “fiscal cliff” real or just another hoax? The answer is that the fiscal cliff is real, but it is a result, not a cause. The hoax is the way the fiscal cliff is being used.
Posted in Financial crisis | Tagged: dollar collapse | Leave a Comment »
Posted by seumasach on November 30, 2012
For all the talk of Britain suffering because of the Euro crisis the reality is that she has been the main beneficiary: even a hint of the resolution of the Euro crisis will expose the exceptional vulnerability of the Pound
30th November, 2012
The pound fell to a five-week low against the euro amid speculation European officials are making progress in stemming the region’s debt crisis, damping demand for the relative safety of the U.K. currency.
Posted in UK economy | Leave a Comment »
Posted by seumasach on November 21, 2012
21st November, 2012
George Osborne‘s chances of meeting his deficit reduction targets this year took another blow on Wednesday with the news that the government borrowed much more than expected last month.
Posted in UK economy | Tagged: bankrupt Britain | Leave a Comment »
In These New Times 