The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Wednesday, July 25, 2012

Audit the Fed musters vote in House but appears dead in the Senate

The long standing legacy of Congressman Ron Paul has reached its climax just months before his inteded retirement from the House.  On July 25, Congress voted 327-98 to demand an audit of the U.S. central bank and private Federal Reserve.

However, Senate leaders, many of whom are bought and paid for by the banking industry, immediately condemned the vote, and do not even plan on allowing a floor vote.

Never mind that the Fed audit is dead in the Senate — Majority Leader Harry Reid’s office has said he won’t bring it up.
And Hoyer said no matter how many Democrats are co-sponsors, he still thinks the bill is bad policy — and he’s urging Democrats not to support it.
“Whatever the motivation is, and however broad the sponsorship is, my own view is that it’s bad policy,” Hoyer told reporters on Wednesday. “It will undermine the independence of the Federal Reserve and will, therefore, undermine the competence in the Federal Reserve, which plays a significant role in stabilizing the economy and addressing the creation of jobs.” - Zerohedge

American Poverty: After trillions spent on the war on poverty is it time for trillions more

Lyndon Baines Johnson is the father of the American welfare system.  His Great Society program, which has led to 10's of trillions spent to fight poverty in America, has finally reached its tipping point as new data from July 24 shows that percentage wise, more people are now living in poverty since the 1960's when the great program was implemented.

As world leaders finally begin to admit that we are smack dab in the middle of another Great Depression and the economy stands at the cusp of another earth-shaking collapse of the financial system, the US census reports that nearly 100 million Americans are now classified as living in poverty or are considered “near poor.”
That’s nearly 1/3 of our populace who are living in the worst economic conditions in nearly fifty years.

We haven’t seen these highs since the mid ’60s. That survey indicates the poverty level has grown from 15.1% to as high as 15.7% [since 2010], and it’s spreading at record levels to many socio-economic groups from unemployed workers, suburban families, to the poorest poor.

…More discouraged workers are giving up on the job market and unemployment aid is running out. They found that the suburbs are seeing an increase in poverty…

 Those experts surveyed also predict poverty will remain above the pre-recession level of 12.5% for many more years. -
With deteriorating currencies, and a potential drive to deflation on the horizon for Americans, all that one can say is, the worst laid plans of mice and bleeding heart politicians.

Republican leadership breaks 2010 campagin promise by saying they will fund Obamacare

Every two to four years, the American people flock from one political party to the next, telling themselves that THIS TIME it will be different.  Well, according to Republican Speaker of the House John Boehner, not only is today not different, but in fact, it is the same.  In an interview on July 24, Boehner said that the Republicans will not allow the government to shut down during the coming debt ceiling debate, and will in fact vote to fund Obamacare.

When asked whether the House Republicans would permit or not permit funding for Obamacare in whatever legislation is enacted to fund the government after Sept. 30--when the current funding legislation runs out--House Speaker John Boehner responded that "our goal would be to make sure the government is funded," thus indicating that House Republicans do plan to fund implementation of Obamacare past Sept. 30. - CNS News

Is it too late for Americans to realize that the Republicans and Democrats are simply two sides of the same coin?  The election of 2012 will eventually bear this out as the people choose between a Marxist (Obama) and Globalist progressive (Romney), to the detriment of what is left of America.

Monday, July 23, 2012

How the Second Amendment would have stopped Colorado shooting massacre

Almost like clockwork, the liberal activists, government agents, and mountpiece journalists immedately called for gun control over the American people after the July 19 shooting massacre in Colorado.  Not too mention, the coincidence of a gun event taking place just days from the U.N. Small Arms Treaty being signed by the United States.

However, just as the city of Kinnesaw, Georgia proves, citizens who carry guns according to their Second Amendment rights, not only deter gun crimes from happening, most very often, stop potential massacres from taking place.

Clint Eastwood?  Nope... just an average senior citizen with a concealed carry and the WILL to use it.

Imagine what would could have been stopped in 1930's Germany if every Jew had a mauser, 20 rounds of ammunition, and the WILL to use it?  Hitler would have been just a footnote in the annals of history.

Pop goes the Treasury bubble

After the bursting of the housing bubble in 2007 and 2008, the Fed began to pump trillions of dollars into the markets to keep the economy out of a depression.  That money went somewhere, and for the most part, it has gone to prop up the insolvent government through the selling of Treasuries.

After 4 years, that glut of treasury buying has reached maximum velocity as yields on these bonds have fallen to their lowest levels in history.

While it seemed somewhat inevitable given the trend, the dismal reality from Europe has sent investors scurrying for the 'safety' of the US Treasuries overnight. The entire yield curve has fallen to all-time record lows with 10Y trading below 1.40% and 30Y below 2.48%. 7Y - the seeming cusp of Twist - is below 90bps now and 2Y below 20bps. The shortest-dated T-Bills still trade around 4-6bps (as opposed to the deeply negative rates in Switzerland and Germany this morning with FX risk premia expectations, and Twist+, affecting this differential). Not a good sign at all - and definitely not yield curve movements on the basis of renewed QE as we see stock futures plunging to the old new reality (as those pushing dividend yields as the 'obvious move here may note that since Friday's highs, you've lost half a year's dividend as equity capital has depreciated 2%). Perhaps the sub-1% 10Y we noted yesterday is not such a crazy idea after all... - Zerohedge

Debt and deflation.  The deathburger of a market menu.

August market preview built on June swoon in economic data

Welcome to July 23, where all hell is breaking loose in the Western economies.  The Euro teeters just above the 120 support level, and the dollar is gaining strength just below 84.  In Spain and Italy, governments have issued short selling bans, which limit the amount of pressure to balance stocks and usually leads to massive selloffs by investors.

But the end of July, and beginning of August forecasts are not created out of thin air, but appear to be built on the dire economic indicators which came during the month of June.

Chart courtesy of Bloomberg

Only 7 out of 23 economic indicators showed positive in June, and this is normally a month with much lower volume in the stock markets.

More than anything, the markets are screaming for recession and deflation.  And Ben Bernanke is nearing the bottom of his bottle of Jack Daniels to stomach the actions the Fed will be forced to do.

The common man's guide to the coming economic collapse

With the financial system and talking heads throwing convoluted terms such as derivatives, risk, austerity at the public in the hopes of making them feel that the economy and markets are beyond their scope of understanding, Future Money Trends has nicely put the entire picture into an easy to follow video that shows what has happened, where we are going, and the end game result of our monetary system.

Economic Collapse is coming... and why it is vital you have the knowledge of what to expect.

Thursday, July 19, 2012

Ron Paul explains what Audit the Fed legislation means for America

The House of Representatives asked Congressman Ron Paul on July 19 to create a short video explaining what Audit the Fed legislation means for America, and to garner public support for the bill.

Here is the video.

Without government or public controls over the central bank which controls our money supply, no American is ever safe in an economic system run by a select few.

Obama track record during first term

As the Chicago machine known as the Obama campaign continues to try to 'kill Romney', the President proves that there is very little in his first term of merit that validates his receiving of a second term.  However, rhetoric and vitriol aside, the best thing to do is let the facts of Obama's promises speak for themselves.

So without further delay, we give you President Obama's greatest moments.

If an sane person failed on so many promises to the American people, they would not be worshiped as a Messiah figure, but instead, run out of town on a rail.

If the U.S. government were a household

Ever wonder what the Federal budget would look like if it were a single family household?  A little bit of math, along with a pinch of common sense shows that not only is our government fiscally irresponsible, but no financial entity on the planet would consider them a valuable credit risk to continue to pour money on.

Lesson # 1:

* U.S. Tax revenue: $2,170,000,000,000
* Fed budget: $3,820,000,000,000
* New debt: $ 1,650,000,000,000
* National debt: $14,271,000,000,000
* Recent budget cuts: $ 38,500,000,000

Let's now remove 8 zeros and pretend it's a household budget:

* Annual family income: $21,700
* Money the family spent: $38,200
* New debt on the credit card: $16,500
* Outstanding balance on the credit card: $142,710
* Total budget cuts so far: $38.50

Even the proverbial drunken sailor would have been thrown out of the bar long before his tab was allowed to get this bad.

Postal Service once again fails to deliver a solvent business model

It's that bi-annual time again for the U.S. Postal Service to come before Congress and the American people to tell us how needed they are, and how without more bailout cash, your mail might not be delivered.

While lawmakers continue to fight over how to fix the ailing U.S. Postal Service, the agency's money problems are only growing worse.

The Postal Service repeated on Wednesday that without congressional action, it will default—a first in its long history, a spokesman said—on a legally required annual $5.5 billion payment, due Aug. 1, into a health-benefits fund for future retirees. Action in Congress isn't likely, as the House prepares to leave for its August recess.

The agency said a default on the payment, for 2011, wouldn't directly affect service or its ability to pay employees and suppliers. But "these ongoing liquidity issues unnecessarily undermine confidence in the viability of the Postal Service among our customers," said spokesman David Partenheimer.

The agency says it will default on its 2012 retiree health payment as well—also roughly $5.5 billion, due Sept. 30—if there is no legislative action by then. - Wall Street Journal via Zerohedge

However, don't expect too much from Congress.  As the vastly intelligent progressive Harry Reid tells us...

Thursday, July 12, 2012

Mayor Bloomberg channels his inner Communist for new housing in New York City

Mayor Bloomberg, the 1%er who has made his billions and now feels he has the right to dictate how New Yorkers can live their lives, is channeling his inner Communist as he seeks to create housing for the future.  That housing plan, would no longer be about quality of life in the financial capital of the world, but rather a segmented according to your needs project that would limit your available space to 300 square feet.

A pilot project slated for construction in Manhattan's Kips Bay section will feature rental apartments ranging from 275 to 300 square feet (26-28 square meters) with kitchens and bathrooms, the mayor's office said in a statement.

Bloomberg explained it was "critical to the city's continued growth, future competitiveness and long-term economic success" to develop "housing that matches how New Yorkers live."

"People from all over the world want to live in New York City, and we must develop a new, scalable housing model that is safe, affordable and innovative to meet their needs." -

Housing for citizens ACCORDING TO THIER NEEDS.  Interesting choice of words for a capitalist, and the city leader who feels its his duty to force people to limit their intake of coca-cola products.
Outside the attempts to create commune style dormatories and call them livable spaces, Mayor Bloomberg is willfully, or ignorantly following in the United Nations plans of Agenda 21, which advocate in one of their planks for sustainable development in high density urban areas.
Welcome to the global third world comrades!  Your choices are being made for you by power elites who live like kings, but feel you should live according to your limited needs.

Full time jobs are so last decade

Fellow Americans, welcome to the post credit crisis economy.  In a new report on July 11, new data is showing that part time jobs are replacing full time jobs at a rate of 10 to 1.  That is 10 part time job hirings for every full time position.

Recovery?  The drugs must be cheap for financial analysts who appear to smoke the crack each time they come before the television screen to lie about job growth and creation.

The more we sift through it, the more we didn't like it. Even with the bump in June hours worked and average weekly earnings, the reality is that the Q2 results for both slowed markedly. The economy has hit stall speed yet again — the third time in the past three years.
On top of that, some other details in the data were disturbing. The ranks of the unemployed rose 29k on top of a 220k surge in May. Those who were unemployed and just completed temporary work soared 218k after a 137k increase in May to stand at the highest level since November 2010 (right when QE2 began!). The total pool of available labour jumped 258k to 19.3 million which means that there is now but one job opening for every six people out there who are either actively or passively looking for work. No wonder wage pressures are fading fast.

There are some pundits who believe that the +25k pickup in temp agency employment is a good sign since in the past this sector acted as a leading indicator for job creation... if only we can bring back those old days. In today's world, the reliance on temp agencies is akin to "just in time" employment strategies — the use of temps is outpacing outright new hirings by a 10-to-1 ratio. The reality is that few businesses want to commit and this shows through in the Household Survey as well with part-time employment in an uptrend and full-time in a downtrend. Moreover, according to a Manpower survey, 30% of temporary staffing this year has led to permanent jobs, down from 45% in 2011. - Gluskin Sheff via Zerohedge
Welcome to the brave new world.  Welcome to the rewards of the Progressive utopian society, where government benefits spring eternal, and careers are nothing more than low wage jobs that have little security, but help politicians claim they are helping Americans with unemployment.

Wednesday, July 11, 2012

Corn losses due to drought will have wide effects on the entire food chain

Corn is one of the most abundant crops in America's farming complex.  Its uses stem from not just human consumables on the dinner table, but in the production of many processed foods, to animal feed, and even green energy.

So a slowdown in production of corn will automatically have wide ranging effects not just for food and export, but in the thousands of industries that require large amounts to produce items in the global economy.

Who knew the next black swan would be deep fried? The biggest piece of imminent food inflation news over the past months, coupled with what is shaping up to be another record hot summer (for the best tracking of real-time electricity consumption primarily for cooling news we recommend the following PJM RT tracker of power load), has been the collapse in the corn harvest due to the worst drought since 1988 as 56% of America is in drought conditions. Today, the US just added some burning oil to the popcorn by cutting the corn-crop forecast by 12% to 13 billion bushels on expectations of a 13.5 billion harvest. Then again, who needs corn, when you can have cake? - Zerohedge

Tuesday, July 10, 2012

Futures investors Corzined again as PFGBest caught for using customer money

After the MF Global fraud and debacle, a new verb was introduced into the Lexicon of American finance.  To have your segregated funds stolen and used fraudulently by a broker or investment bank is now considered to be Corzined.

In a not so shocking event which came to light on Jul 8, futures investors who held accounts with PFGBest awoke to discover than the firm had not only spent all their money, but was completely insolvent as investors discovered yet another corrupt firm gambled away their savings.

PFGBest, which used to be the old Alaron Trading, has stolen at least $220 million of customer funds, which is fully HALF the entire customer asset base. The firm's owner attempted suicide this morning in the parking lot outside of the corporate HQ in Iowa.

While claiming to have over $200 million in bank accounts, it turned out that PFGBest only had $10 million at most. And they had been short NINETY-FIVE PERCENT of their seg funds for at least five months, and it may be closer to two years. The reportage on the timelines is very fuzzy. - Ann Barnhardt

The former futures broker predicted rightly that MF Global was not the only one to steal segregated funds to gamble on their own risky investments.  And as more and more investors in the corrupt U.S. markets discover the ponzi scheme of being Corzined, the sooner Americans will determine that the adage of if you don't hold, you don't own it is the standard for assets today.

City of Chicago unwittingly funds gun camp for youth

Back in the day, ingenuity and critical thinking was a mainstay of the American education system.  Through progressive policies and a dumbing down of students, the ability to profit from given situations is fewer and far between today.

Just look at our government and the economic crisis.

However, a studious group of gun owners and dealers found a way to not only provide young people in the Chicago area a way to learn about guns at camp, but to use Chicago's draconian polices of firearm buy backs to actually fund the instruction.

A pro-gun group claims it flipped the script on Chicago's firearms buyback program by selling old, broken rifles to the city and then using the money to buy guns and ammo for an NRA-sponsored shooting camp for kids.

"Guns Save Life," based in Champaign, Ill., recently sold 60 firearms to the Chicago Police Department -- 10 of which were manufactured before 1898 -- in exchange for $6,240 in gift cards, according to group president John Boch. The sale also included five BB guns and a rickety pump-action shotgun that was held together by duct tape and zip ties, he said.

"The real delicious irony here is that the city of Chicago is paying for rifles that we're giving away to young people as part of this camp," Boch told "The program was intended to get unwanted and unused guns off the street to make the community safer. We provided them unused and unwanted guns." - Fox News

So while Rahm Emmanuel and the progressives continue to think that removing guns from law abiding citizens will slow down their horrendous crime and violence rates, intelligent people in Illinois will be teaching and proving that it is the law abiding citizen, and their ABILITY under the constitution to have guns for protection, that will in the end, save many more lives than government policy will.

Monday, July 9, 2012

Santelli and Farage: when economic truth comes to town

There is a reason why CNBC is losing viewers almost as fast as MSNBC.  But it isn't because of tea party grandfather and bond analyst Rick Santelli.  The Chicago godfather of truth in our current market climate has all the credibility one could ask for in seeing the real picture.

Now, add Santelli to another anti-establishment voice (Nigel Farage), and you have the makings of a very insightful few minutes on the state of both the US, and European economies.

Forget the rah rah stock sellers who make up the crux of CNBC's lineup, and enjoy the refreshing truth without a hint of spin, that can really help you in the days going forward.

Tuesday, July 3, 2012

Gold prices rise back over $1600 as demand for gold coins increases

Even in a shortened holiday market, gold was the largest winner as it climbed $25 to $1624.  This move is on top of a $44 climb last week as investors realize there is little safety in bonds or currencies around the globe.

At the same time, outside the euro area, global crisis has entered a stage of stabilization (not growth, yet), which means that demand for gold as safe haven (rather than a hedge) should be moderating as well. This can be expected to have a more modest impact on coins sales than on gold sales and especially ETFs-instrumented gold sales.

In other words, fundamentals (inflation expectations, longer-term savings and investment objectives) should be driving current demand for gold coins.

And, this is exactly what we are seeing. In June 2012, the US Mint sold 54,500oz of coinage gold, up on 53,000 in May 2012. Total for H1 2012, US Mint sales of gold coins in terms of total weight sold are down 41.3% on H1 2011 and it is down 49.8% on H1 2010 and 50.3% on H1 2009. Dramatic? Sure, when one disregards consideration of drivers for 2009-2011 demand for coins being coincident with extreme risks in other markets. - Goldcore via Zerohedge
As the global banking system and sovereign nations keep trying to push the cratering economic system another few months, more and more consumers are not only taking their cash from insolvent banks, but realizing that gold is the only wealth protection their have.

U.S. now just $145 billion away from crossing a national debt of $16 trillion

The old adage of spending like a drunken sailor has morphed into an even greater cliche where the U.S. is now spending their future generations inheritance.  Even as investment banks and analysts across the board lower this years GDP expectations, the Federal government is increasing their dedicit spending, and is less than $145 billion dollars from crossing the $16 trillion dollar rubicon.

*Note the second chart, where the debt has crossed over the annual GDP.  This hasn't occurred in America since World War II.

Charts courtesy of Zerohedge