In The Dark Of Night - Debt Limit To Be Increased

In This Newsletter
  • In The Dark Of Night - Debt Limit To Be Increased
machinehead's picture

Usgov's Looming ARM Rate Reset -- UH OH!!!

Remember when Mad Al Greenspasm, with his policy rate set at ZERO, advised home buyers that ARMs (Adjustable Rate Mortgages) were a great deal? That was in 2004. Three short years later -- KAPOOM! Rates reset higher; payments exploded; borrowers defaulted; housing imploded. You didn't need to be no rocket surgeon to see that it would all end in tears.

rowmat's picture

Can you believe this?

Not satisfied being taxed to death or losing your home, pension, retirement savings or job due to the greed of the banksters?

Now that they've got their taxpayer funded bailout bonuses the country is in dire debt.


Because your government had to borrow money from the banks (at interest) to bailout... (wait for it)... the banks. (did you get that?)

Of course you'll now be taxed even more and 'nickel and dimed' at every turn but hey, c'mon, show some compassion.


The Martenson Insider - September 23, 2009

In This Newsletter
  • Treasury Purchases: Foreigners Can't Get Enough
  • The Liquidity Flood

The FDIC Is Broke - Now What?


Below is this week's Martenson Report.

It speaks to some enormous pressures and possible changes coming to the FDIC method of protecting consumer deposits.

Your faithful information scout,
Chris Martenson

Ready's picture

Nearly 1/4 Trillion in Treasury Auctions this week

investorzzo's picture

Alchemists in Action

I'm no expert, but I wonder if they are diluting gold in order to keep the game from ending?

On Saturday, July 11, 2009, GATA board member Adrian Douglas published a paper titled, The Alchemists. Disturbingly, what this paper chronicles is how the New York and Tokyo commodity exchanges have been permitting their gold futures contracts to be settled not in real metal but in shares of gold exchange-traded funds (ETFs) in a transaction known as an Exchange of Futures for Physicals (EFP).

tx_floods's picture

Bond Markets For Dummies; Treasuries 101

I wanted to start a thread, but I'm hesitant to call this a "definitive" thread. From everything I've read, the entire economic future of the country (and, possibly, the world) depends on our Treasury Bond Auctions. The system is kept alive by selling our debt via Treasury Securities, both short and long term. If the bond market is that important to the system, seems reasonable I should try to learn more about the details of how that system works.


The Five Horsemen

Executive Summary:

  • What can we expect next, and how will we recognize it?
  • A series of sharp, interrupted shocks is more likely than a major sudden collapse.
  • Five game-changing events, what I call The Five Horsemen, will indicate that the rules have changed and a new reality is about to take over:

  • The First Horseman: New credit growth falls below interest payments
  • The Second Horseman: The Fed monetizes debt
  • The Third Horseman: Government spending exceeds 10% of GDP
  • The Fourth Horseman: The dollar goes down, while interest rates go up
  • The Fifth (and final) Horseman: US debt becomes denominated in foreign currencies

  Severe structural damage has already been inflicted on our economy. As I wrote two weeks ago in It Has Hit the Fan:

If you have been waiting for further confirmation about the direction of the economy, or waiting for a sign that it's now time to get serious about preparing for a future filled with less, this report is written for you.

You are living in the midst of the collapse of western economies, which are moving from a more complicated state to a less complicated one. This is it.  Keep a journal, because it's happening right now.

After the Great Depression, many people remarked that it was only obvious in retrospect. While it was unfolding, things steadily eroded. But 75% of the workforce remained employed, while hopeful signs of progress were constantly trotted out by various politicians, private economists, and official-sounding government agencies. It is often quite difficult to appreciate the true magnitude of sweeping change while it is occurring.

The most pressing question now is this:  What can we expect next, and when? 

In this report, I will give you the precise combination of macro-events that will cause me to issue an alert and kick my thinking and actions into new orbits.