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Posts Tagged ‘QE3’

Brazil’s finance chief attacks US over QE3

Posted by seumasach on October 8, 2012

FT

20th September, 2012

Guido Mantega, Brazil’s finance minister, has warned that the US Federal Reserve’s “protectionist” move to roll out more quantitative easing will reignite the currency wars with potentially drastic consequences for the rest of the world.

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Federal Reserve has already started QE3, says investor Jim Rogers

Posted by seumasach on September 4, 2012

Telegraph

3rd September, 2012

Mr Rogers, who co-founded the Quantum Fund with George Soros, believes that America’s central bank is secretly printing money to avoid “getting egg on their face again” after previous attempts to kickstart the faltering economy with $2 trillion of QE failed.

“I do not know if they [the Fed] will announce it,” he told India’sEconomic Times. “I know they are going to print more money. They already are. If you look at their balance sheets, you will see that something is happening, assets are building on their balance sheets and they are not coming from the tooth fairy.

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The Mystery of Quantitive Easing

Posted by seumasach on February 10, 2012

Craig Murray has hit the nail on the head. The official narrative is devoid of sense – it is merely a cover for the reality of further bailouts. We should be opposing QE i,e, bailout and, as a logical corollary, calling for the banks to be put through bankruptcy proceedings. This is the next step which must be taken if we are to avoid disaster. The state would have to take on some of the banks liabilities, having foolishly bought large shareholdings in some of them, and would have to guarantee deposits. The state itself would then be bankrupt and would have to negotiate a settlement with our creditors. Debt could be written off in exchange for our abandonment of our current aggressive foreign policy, our leaving NATO, and adoption of a policy of cooperation with our international partners. Like Scrooge buying a turkey for Bob Cratchet on Christmas Day, we would present the world with the long-awaited, ever more needed, peace dividend.

Craig Murray

10th February, 2012

The headlines all say that the Bank of England has pumped another £50 billion into the economy in the third round of quantitive easing. In fact, the money will not get far into the economy. It is given to the banks and other financial sector companies, and evidence from the previous £250 billion worth of quantitive easing is that almost all of it will stay there, being very handy stuff with which to fund massive salaries and bonuses.

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British pound to reverse course as BoE expands QE

Posted by seumasach on February 4, 2012

The British Pound extended the advance from the previous month to reach a fresh yearly high of 1.5882, but we are going to see the sterling come under pressure next week should the Bank of England take additional steps to stimulate the ailing economy. Although the BoE is widely expected to keep the benchmark interest rate at 0.50%, all of the 50 economist polled by Bloomberg News see the Monetary Policy Committee expanding its Asset Purchase Facility beyond the GBP 275B target, and the central bank may keep the door open to expand its balance sheet further in an effort to stem the risk of a double-dip recession.

This is a rather immodest proposal framed framed in the most modest terms: “Bankers of the realm, do you accept another tranch of newly minted cash in exchange for the worthless assets you are still holding on your balance sheets without daring to mark to market? We do!” reply the blushing bankers in unison, “till death us do part” Thus we will see in the coming weeks the consumation of the marriage between our elected representatives and the City if London. Of course, the BOE claims the money is for purchase of government securities rather than further bailout. They would say that and its hardly good news that we have to print money to sell guilts. Still, this will be at least in part another bailout of the banks, gratefully accepted. It is this money printing prowess that our pundits have been boasting about as the great trump card of the British economy which still has its own currency, unlike the hapless Greeks. Yes, but if we are to devalue our currency in perpetuity why would anyone accept or hold assets denominated in it. they would only do so if they had no choice- if all the other options had been knocked out. Hence the desperate campaign against the euro, but the euro will continue to be a viable alternative and the emerging econo ies are looking into new ways of bypassing the dollar and the pound. The “bearish” forecast is thus more than justified with all the horrors that that entails for an economy totally dependent on imports.

Fundamental Forecast for British Pound: Bearish

Daily Fix

4th February, 2012

 

The British Pound extended the advance from the previous month to reach a fresh yearly high of 1.5882, but we are going to see the sterling come under pressure next week should the Bank of England take additional steps to stimulate the ailing economy. Although the BoE is widely expected to keep the benchmark interest rate at 0.50%, all of the 50 economist polled by Bloomberg News see the Monetary Policy Committee expanding its Asset Purchase Facility beyond the GBP 275B target, and the central bank may keep the door open to expand its balance sheet further in an effort to stem the risk of a double-dip recession.

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Ben Warns More Helicopter Drops May Be Necessary

Posted by seumasach on February 2, 2012

 

Watch out everyone- we’re in for “a period of balance-sheet adjustment”

ForexPros

2nd February, 2012

In a surprisingly (but also refreshingly) candid admission, Fed Chairman Bernanke declared last night that another round of quantitative easing may well be necessary to alleviate “high and persistent unemployment in an underperforming economy”. With inflation still low and Europe a potential drag on the economy, the Fed Chairman clearly feels that more asset purchases are a risk worth taking if it helps the recovery become more self-sustaining.

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John Williams – Accelerating great collapse & hyperinflation

Posted by seumasach on January 27, 2012

PoorRichard’s Blog

27th January, 2012

kingworldnews.com

John Williams, of Shadowstats, just issued the following warning and King World News wanted to pass it along to our global readers:  “The U.S. economic and systemic-solvency crises of the last five years continue to deteriorate.  Yet they remain just the precursors to the coming Great Collapse: a hyperinflationary great depression.  The unfolding circumstance will encompass a complete loss in the purchasing power of the U.S. dollar; a collapse in the normal stream of U.S. commercial and economic activity; a collapse in the U.S. financial system, as we know it; and a likely realignment of the U.S. political environment.”

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Fed prepares for QE3

Posted by seumasach on January 27, 2012

RT

26th January, 2012

The central bank of the United States believes that America is still a ways from economic recovery, which could soon prompt the Federal Reserve to announce a new round of quantitative easing, or QE3.

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Britain in the midst of first double dip since the 1970s

Posted by seumasach on January 22, 2012

Here are the main themes of the UK media’s coverage of our economic collapse: the recession is a “technicality”; it’s all Europe’s fault; things will get better with more QE just like they didn’t last time.

It’s hard to know what to say to this. Britain is a consumer economy or it is nothing. The recession is plain for all to see: all three of my favourite coffee shops in the West End of Glasgow have closed since Christmas. The streets and roads are emptying. This is a downward spiral, a reverse multiplier.

Since our exports to Europe never amounted to much, even with the pound approaching parity with the euro, Europe can hardly be to blame. Of course, hedge funds may be losing bullions speculating against the euro but that is a different matter.

QE did nothing to help last time: it merely generated inflation and gave the financiers a number of ingenuous options such as carry trades to make a quick buck.

As I say we’re a consumer economy or we’re nothing. It looks like nothing. Mired in debt, stuck in homes which can’t sold, overwhelmed by rising prices of food and fuel, facing unemployment and frozen wages, facing cuts in benefits, overburdened by unfair taxation such as the notorious council tax, a virtual poll tax   which hasn’t been introduced elsewhere, facing endless fines for trivial driving or parking offences, unable to afford the exorbitant cost of public transport, watching our business fail as disposable income dries up, wandering around half-empty supermarkets looking for bargains and finding everyone gathering round the reductions shelf, unable to get simple house repairs done and paying through the nose for the failed attempt, buried under a cruel and corrupt benefits system, fighting failing health as the government blasts us with dangerous and carcinogenic radiation. All this only to be told by the media and politicians that everything is fine apart from the Eurozone, to be lied to incessantly by an army of irremediably corrupted experts, to have our intelligence insulted and our pockets emptied. This is Britain before the abyss, blind and befuddled, threatening or hectoring our international partners, hubristic and delusional, smug and stupid, rejoicing in the woes of others whilst seemingly unaware of where we are going. We are going to hell.

Telegraph

22nd January, 2012

This week official growth numbers are expected to show that the economy shrunk by 0.1% in the final three months of last year.

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2012: The year of the world’s great geopolitical swing

Posted by seumasach on January 21, 2012

We always post GEAP’s public announcement with which we are once again largely concurrent, and we strongly recommend their website
GEAB no.61
16th January, 2012
This GEAB issue makes it six years that the LEAP/E2020 team have shared their anticipations with their subscribers and readers of their public briefing on the development of the global systemic crisis each month. And, for the first time, in the January issue which presents a summary of our anticipations for the year to come, our team anticipates a year which will not result solely in a worsening of the world crisis but which will also be characterized by the emergence of the first constructive elements of the “world after the crisis” to use Franck Biancheri’s phrase from his book « The World Crisis: The Path to the World Afterwards ».

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Putin brands US as ‘hooligans’ for printing money

Posted by seumasach on July 18, 2011

RIANovosti

11th July, 2011

Russian Prime Minister Vladimir Putin accused the US of hooliganism on Monday over the US government’s efforts to ease its financial problems by injecting hundreds of billions of dollars into the economy.

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China urges US to protect investors

Posted by seumasach on July 14, 2011

Google

14th July, 2011

BEIJING — China on Thursday urged Washington to protect the interests of investors after ratings agency Moody’s placed the United States’ triple-A debt rating on a downgrade watch.

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