Daily Digest

Daily Digest - June 2

Wednesday, June 2, 2010, 10:00 AM
  • May 2010 American Silver Bullion Coin Sales Highest Since December 1986
  • National Debt Continues to Climb
  • Soaring Costs Force Canada To Reassess Health Model
  • Country-By-Country Look At Europe's Debt Crisis
  • New York Pension Fund Gains 26%, Most Since 2004; Holdings Shift
  • Peter Schiff: Gold to $10,000? 
  • Foreclosures Pose Threat During Hurricanes
  • BP's $70 Billion Whipping
  • Health of Pension Plans of S&P 1500 Changes Little in 2009
  • Japan Steelmakers’ Costs to Rise $11 Billion, Nippon Steel Says
  • European Debt Crisis Feeding Into Economy, Data Show
  • State Budget Deficit Grows To $1.23 Billion
  • Australian Government Operating Deficit Rises In Q1
  • Expected Federal Money For Arizona Now In Question
  • Key Political Risks To Watch In Argentina
  • Poland Said to Earn $1.8 Billion as Tauron IPO Starts
  • Foreclosures Are Going Upscale Across The Bay Area
  • More than 7m Distressed Loans Weigh on Early Signs of Housing Stabilization
  • State Foreclosure Filings Rose 5% in May
  • Gulf Oil Spill Threatens More U.S. States

Economy

May 2010 American Silver Bullion Coin Sales Highest Since December 1986

The United States Mint’s bullion 2010 American Silver Eagles posted their best May and second best sales month in history, according to the most recent figures available from the Mint.

In just the one month, buyers purchased an astonishing 3,636,500 of the one ounce .999 fine silver coins. This number smashes the old May record of 1,904,500 set last year.

National Debt Continues to Climb

Congress is on its holiday break this week, but there's no break in the steady increase of the national debt which is now up to $13 trillion. It took the Federal government 206 years to hit the first trillion dollars in debt. And to go from $12 to $13 trillion --just six months.

Soaring Costs Force Canada To Reassess Health Model

Pressured by an aging population and the need to rein in budget deficits, Canada's provinces are taking tough measures to curb healthcare costs, a trend that could erode the principles of the popular state-funded system.

"We can't continually see health spending growing above and beyond the growth rate in the economy because, at some point, it means crowding out of all the other government services."At some stage we're going to hit a breaking point."....Ontario says healthcare could eat up 70 percent of its budget in 12 years, if all these costs are left unchecked.

Country-By-Country Look At Europe's Debt Crisis

Europe's governments are struggling to deal with a mountain of debt made worse by the past three years of global financial and economic turmoil. Here are thumbnail sketches of how some of the countries involved are faring — and what they're doing to escape the crisis.

ITALY:

2009 debt: 115.8 percent of gross domestic product Deficit: 5.3 percent of GDP.

New York Pension Fund Gains 26%, Most Since 2004; Holdings Shift

Over the past five years, the fund’s average annual investment return was 4.6 percent, down from 8.8 percent for the previous 20 years, Whalen said. New York state and local governments face a 61 percent jump in pension costs in February to the highest rate in six years, as the public retirement fund rebuilds following investment losses.

The 2011 payments due in February will amount to 11.9 percent of the public employee payroll, up from 7.4 percent, DiNapoli said in 2009. For police and firefighter pensions, contributions will rise to 18.2 percent of pay, from 15.1 percent.

Peter Schiff: Gold to $10,000? 

When benchmarked against the CPI, money supply and GDP, there is no doubt that gold can easily double from here, according to David Rosenberg, chief economist and strategist at Gluskin Sheff + Associates.

He added: “And, we know what the marginal cost curve is doing because there is so little cheap supply left in the ground that gold companies now have to drill as much as 2.3 miles to get to the yellow metal in South Africa (and all Bernanke has to do is press a button).”

Foreclosures Pose Threat During Hurricanes (Video)

Homes in foreclosure could bring danger to neighborhoods if a hurricane approaches. Thousands of foreclosed homes are literally falling apart, with the potential to become projectiles when the wind starts blowing. <>Foreclosed homes are not typically prepared for disaster, and they can be found in most area neighborhoods. Open doors or a missing garage door means hurricane-force winds could rip through the structures and lead to more flying debris.

BP's $70 Billion Whipping

Since the accident happened April 20, which resulted in 11 deaths and an oil leak of up to 19,000 barrels per day, BP shares have fallen nearly 40%, wiping out nearly $70 billion in shareholder value. Before the accident the company had a market capitalization of nearly $183 billion. Now it's just below $115 billion.

Health of Pension Plans of S&P 1500 Changes Little in 2009

Despite strong asset returns and significant contributions, median pension funded status improved only three percentage points to 75% at fiscal year-end 2009, as falling discount rates rapidly increased liabilities.

Japan Steelmakers’ Costs to Rise $11 Billion, Nippon Steel Says

Japanese steelmakers face about a 1 trillion yen ($11 billion) cost increase in the fiscal first half as iron ore and coal prices soar, according to an estimate by Nippon Steel Corp., the nation’s largest mill.

European Debt Crisis Feeding Into Economy, Data Show

Signs emerged Tuesday that Europe’s sovereign debt crisis was feeding through into the euro-area economy, as unemployment rose and a survey pointed to a slowdown in the recovery of manufacturing, with a sharp decline in Greece.

While Greece accounts for less than 3 percent of the euro-area gross domestic product, a survey of purchasing managers by Markit Economics pointed to a plunge in manufacturing that will make it that much more difficult for the country to solve the debt problems that are at the heart of Europe’s crisis. Manufacturing growth in Spain also may be losing momentum, according to Markit.

State Budget Deficit Grows To $1.23 Billion (Pennsylvania)

The state budget deficit for fiscal 2009-10 continues to widen, reaching $1.23 billion at the end of May, Sen. Jake Corman, chairman of the Senate Appropriations Committee, said today.

That figure is up by $125 million over April 30, due to continuing declines in major state revenues such as sales taxes, personal income taxes and corporate taxes.

Australian Government Operating Deficit Rises In Q1

The Australian government recorded a net operating deficit of A$13.83 billion between January and March, data released by the Australian Bureau of Statistics showed on Tuesday. A net operating deficit of A$5.56 billion was recorded in the final three months of 2009. Taxation revenue decreased 3.1% in the March quarter compared to the previous quarter to A$84.33 billion.

Expected Federal Money For Arizona Now In Question

The U.S. House on Friday approved a spending bill that omitted the health care money because of concerns about the federal budget deficit. Gov. Jan Brewer's budget director, John Arnold, says there's no final congressional decision yet. But he says the likelihood of states getting the extra money is diminishing.

The money would pay for maintaining Medicaid eligibility for 310,000 people. There's a federal mandate to maintain eligibility but Arnold says it's too early to say how the state could afford to do that.

Key Political Risks To Watch In Argentina

President Cristina Fernandez faces rising debt obligations, but she will be reluctant to slow spending in the run-up to the election even as inflation quickens to an annual rate estimated at more than 20 percent.... The euro zone crisis and soaring yields have complicated Argentina's plans to issue a new global bond after the exchange of bonds and cash for defaulted sovereign debt.

Poland Said to Earn $1.8 Billion as Tauron IPO Starts

Tauron Polska Energia SA, Poland’s second-largest power producer, will start its initial public offering on June 4 in what is set to be Europe’s third-biggest IPO this year.

The government seeks as much as $10 billion from asset sales to finance a widening budget deficit. Apart from stakes in five utilities, including 10 percent in Tauron’s bigger rival PGE SA, the country will offer shares in other companies, including refiner Grupa Lotos SA and the Warsaw Stock Exchange.

Foreclosures Are Going Upscale Across The Bay Area

Nearly 1,000 homes valued above $730,000 were repossessed by banks in the nine-county region in each of the past two years, according to a Chronicle review of public records compiled by MDA DataQuick, a San Diego research firm. This year is on track for similar numbers, with 223 homes in that price bracket repossessed by banks since January.

Back in the real estate boom year of 2005, just 42 Bay Area homes valued above $730,000 went into foreclosure; in 2006, the number was 80.

More than 7m Distressed Loans Weigh on Early Signs of Housing Stabilization

Early signs of stabilization in delinquent and foreclosure inventories were overshadowed by an elevated pool of more than 7m distressed loans by the end of April, according to the latest mortgage report by Lender Processing Services

State Foreclosure Filings Rose 5% in May (Wisconsin)

Foreclosure filings in May rose about 5% in Wisconsin from the same month last year, as consumers continued to face the threat of losing their homes amid high unemployment.

Environment

Gulf Oil Spill Threatens More U.S. States

Mississippi and Alabama are the latest states whose coastlines are threatened by the spread of oil leaking into the Gulf of Mexico. US forecasters made the prediction yesterday as the country acknowledged the spill as its worst environmental disaster.

Louisiana’s wetlands and fishing grounds have been the worst hit so far, but the National Oceanic and Atmospheric Administration said moderate southerly and south-westerly winds this week could start moving oil closer to the Mississippi Delta. Experts have now warned that the leak might not be plugged before August. At least more than 20 million gallons of oil have now spilled into the Gulf of Mexico, affecting more than 70 miles of Louisana's coastline.

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25 Comments

saxplayer00o1's picture
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Re: Daily Digest - June 2

"Wary investors pushed up Spain's borrowing costs on Wednesday as a debt downgrade from last week cast a shadow over the country's efforts to avoid a Greek-style debt crisis. Good news on the jobs market seemed to give markets little cheer.

The spread — the difference in the interest rates between the Spanish bond and its German equivalent — reached 176 basis points, or 1.76 percentage points, at midday Wednesday.

The figure is a key indicator of how risky markets think Spain is. The bigger the spread, the less confidence in Spain's government finances. The record spread had been 164 points on May 7, but that was surpassed Tuesday when it reached 173. As recently as April, the spread was as low as 100 basis points."

.........................1A) Spain's $38 Billion Maturing Debt Fuels Sovereign Swaps Surge

"June 2 (Bloomberg) -- Credit-default swaps on European sovereign debt rose for the third day as speculation Spain will struggle to refinance $38 billion of debt next month stoked concern the region’s deficit crisis may worsen."

"New York state delayed paying $2.5 billion of bills as a short-term way of staying solvent but its cash crunch could get even worse in August and September, Budget Director Robert Megna said on Tuesday.

This is the third time since December the cash-poor state has withheld funds.

This time, the state's general fund, which counts everything but federal aid and some specific revenues, ran in the red by about $500 million to $600 million, Megna told reporters. The state was able, however, to borrow from other funds, including the short-term investment fund.

About $1.5 billion of the withheld funds must be paid to schools in June. The rest of the total could be paid in July."

"LISBON, June 2 (Reuters) - Portugal sold 560 million euros ($680.3 million) in three-month t-bills on Wednesday, more than initially planned as demand grew, but at yields nearly four times higher than in the previous sale in April.

The average yield soared to 1.861 percent from just 0.476 percent in the previous auction of the same maturity, but was in line with secondary market yields."

"The package would add another $39 million to the more than $600 million in debt service the state already must pay annually on more than $6 billion in debt."

"CMBS became one of the most favorite forms of real-estate finance during the boom years. Roughly $700 billion of the securities are outstanding, more than the amount of securitized credit-card, student-loan and car-loan debt combined.

Investors have seen a steady rise in defaults for months. The delinquency rate reached 8.4% in June, more than triple the level one year earlier, according to Trepp, a New York company that tracks the commercial-property market.

But other bad news for CMBS investors also is beginning to surface. Historically, when mortgages that were bundled into CMBS run into problems and are foreclosed on or sold, investors have lost, on average, 37% of their principal. But according to a study to be released by Fitch on Wednesday, that figure, known as the "loss-severity rate," averaged 57% last year, an all-time high. The rate will continue to exceed the historical average, through 2011, Fitch projects.

"The worst is yet to come," said Howard Chin, a managing director of the Guardian Life Insurance Co. of America, who oversees a CMBS portfolio of about $1 billion."

"ATHENS -(Dow Jones)- The Greek government Wednesday announced long-delayed plans to privatize state-owned companies as part of its attempt to fix the country's public finances and chip away at the massive public debt.

In a news conference, Finance Minister George Papaconstantinou said the government would move to privatize 49% of the operations division of loss-making state owned railways company OSE.

Other moves will include privatizing state holdings in various casinos, selling a 39% stake in the Greek post office, and disposing of stakes in a variety of state-owned services including the waterworks companies of Greece's two major cities.

The government is also restructuring Greece's natural gas monopoly to prepare it for privatization."

....................6A) Greece to Sell State Assets to Raise 3 Billion Euros

"As the stagnant European economy weighs heavily on the euro forcing it into a downward spiral, the Central Bank of Iran (CBI) unveils a major plan for converting 45 billion of its euro reserves into dollar and gold ingots."

"(Reuters) - The U.S. mint sold 190,000 1-ounce American Eagle gold coins in May, the largest number since January 1999, and the most in any month so far in 2010, according to a spokesman for the U.S. agency.

In January 1999, the U.S. mint sold 208,500 gold 1-ounce coins, with only five other months exceeding May's gold coin sales since the program was launched in 1986, the Mint's spokesman told Reuters."

"June 2 (Bloomberg) -- BP Plc’s failure since April to plug a Gulf of Mexico oil leak has prompted forecasts the crude may continue gushing into December in what President Barack Obama has called the greatest environmental disaster in U.S. history.

BP’s attempts so far to cap the well and plug the leak on the seabed a mile below the surface haven’t worked, while the start of the Atlantic hurricane season this week indicates storms in the Gulf may disrupt other efforts.

“The worst-case scenario is Christmas time,” Dan Pickering, the head of research at energy investor Tudor Pickering Holt & Co. in Houston, said. “This process is teaching us to be skeptical of deadlines.”"

  • Other news and headlines:

Supra-national SDR reserves plan gains momentum

Japan May Face Fiscal Crisis in 15 Years, Komine Says

Military spending at over a trillion dollars  (World military spending)

Stimulus shock: India's deficit up 25%

Cramer: US Needs to Refinance to Prevent Liquidity Crisis (Too much short term debt)

Lockheed F-35's Projected Cost Rises to $382 Billion

Czech Yields May Increase as Bond Sales to Double

Hedge funds post worst show since Lehman

Ireland's unemployment rate hits 16-year high and Ireland to Bail out Anglo Irish Again This Year: PM

State facing threat of $30M deficit (Washington)

Pelosi: House Will Pass COBRA Subsidies, State Aid (Initial cost would have been $200 billion)

Bankruptcy Filings Continue to Increase in Arizona

BP spill costs could reach $37 billion: analyst

Strike in China hints at long-range change

Pa. teacher pension blowup: Retirement fund is coming up way short ("The beast is at the doorstep.")

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Re: Daily Digest - June 2

Rock on, Saxplayer!!

Full Moon's picture
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Re: Daily Digest - June 2

  I am always getting the same kind of message from my friends .   " What are you so worried about  ?  We are all going down together !"    and "Well we know where you live if times get that bad ."    and  " Really how much worse can it get anyway ?"     This is not making me feel one bit better .   Remember I live in the  ( bread basket of the world )  and the area that has been least effected so far . Probably even profiting some.    Granted there are many here that are able to care for themselves and the population is so small that  I have little doubt that there are enough resources to survive . Most everyone has a large garden this year  we have enough bread, beef ,  and milk.       BUT... peak oil will change our world too .  We would not be able to work all this land with so few people as we have . We would not be able to get the food to those that  can not feed themselves.

  What are some of the excuses you are hearing from those who are not even trying to protect themselves and their family ?     " He who does not provide for his own family is worse than an infidel."

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Re: Daily Digest - June 2

My relatives didn't even want to hear when I made perfectly sensible suggestions about investing a few years ago. I have since been proved right by the falls in interest rates, but I suspect my relatives drink too much to even remember what I told them in the first place!

I have tried pointing out to my mother that she should have some extra food, and cash out of the bank. I might as well have been talking to myself!

Sensible friends that accept what I say, are living so 'hand to mouth' they do not have any spare cash to keep at home or spend on extra food.

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Re: Excuses

The best one- "I'll grow food if I need to - how hard can it be? Besides- our neighbor has a huge garden - they'll give us food" and they drive off in their 1980s Camero to a job that's one-way-hour away -  that's 2 hours driving each day in 2 cars (both husband and wife work in same town an hour away and drive separately).

Same people - I mentioned gas could be high this summer and they said - "Not a problem - if it gets too high - I'll just rent a room in town four days a week".  He once complained how much time it takes to mow a 2 acre lawn and I said "Get some no mowing grass" and she said "no, we'lll just buy some sheep to keep it down".  And I asked "do you make hay, have fencing, a water system or know how to butcher or sheer sheep?" "No, but how hard can it be?" . . . .mind you, these people are at least a ombined 150LBs over weight.

I think couples feed each other psychosis and each one of us prepare according to our beliefs but how can people not even keep an open mind about the facts in front of us is beyond me. There is no point in showing people who don't want to hear it - a logic board and demonstrate how just being on the safe side makes sense.

In the end, in the back of my mind, I hear a little voice that says "I see dead people" but what can ya do?

EGP

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Re: Daily Digest - June 2

 ECP , 

  This is sure to take care of the overpopulation problem .  (Wars and disease used to cover the situation .) Then the earth will again try to heal itself  and we can  do it again and again .

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Re: Daily Digest - June 2

 I know that  10 out of 10 of us eventually die  , but starving to death seems stupid .

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Re: Daily Digest - June 2

 

 I  realize that I am not in the overly intelegent amoung us  but  I know that  10 out of 10 of us eventually die  ,that   starving or freezing  to death  seems stupid .  And if I say more it will be CT .    Hope everyone here has at least figured out it  is utmost important to know how to do this much .  Cover the needs first ...  food , shelter , clothing .

 All else in my book comes under the more you have the more you have to lose  and many have their work cut out trying to insure they keep that .   Also it  is not *Things* that go with you when you die  . So what you leave behind ought to be worth leaving .

   FM

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Re: Daily Digest - June 2

no one is talking about the real worst case scenrio...that would be if one or both of the relief wells run into similar pockets of frozen methane that caused the original explosion...we could end up with more than one well spewing at even a greater rate than it is currently...and we're talking about a reservoir that could have tens of millions of barrels in it which would take years to deplete...

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Re: Daily Digest - June 2
  • From Treasury Direct. $50 billion more:

 

The Debt to the Penny and Who Holds It

( Debt Held by the Public vs. Intragovernmental Holdings )

Current Debt Held by the Public Intragovernmental Holdings Total Public Debt Outstanding
06/01/2010 8,572,779,158,729.50 4,478,047,302,157.47

13,050,826,460,886.97

 

05/28/2010 8,494,419,432,586.19 4,498,119,698,371.03 12,992,539,130,957.22
06/01/2010 8,572,779,158,729.50 4,478,047,302,157.47 13,050,826,460,886.97

 

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Re: Excuses
EndGamePlayer wrote:

The best one- "I'll grow food if I need to - how hard can it be? Besides- our neighbor has a huge garden - they'll give us food" and they drive off in their 1980s Camero to a job that's one-way-hour away -  that's 2 hours driving each day in 2 cars (both husband and wife work in same town an hour away and drive separately).

Same people - I mentioned gas could be high this summer and they said - "Not a problem - if it gets too high - I'll just rent a room in town four days a week".  He once complained how much time it takes to mow a 2 acre lawn and I said "Get some no mowing grass" and she said "no, we'lll just buy some sheep to keep it down".  And I asked "do you make hay, have fencing, a water system or know how to butcher or sheer sheep?" "No, but how hard can it be?" . . . .mind you, these people are at least a ombined 150LBs over weight.

I think couples feed each other psychosis and each one of us prepare according to our beliefs but how can people not even keep an open mind about the facts in front of us is beyond me. There is no point in showing people who don't want to hear it - a logic board and demonstrate how just being on the safe side makes sense.

In the end, in the back of my mind, I hear a little voice that says "I see dead people" but what can ya do?

EGP

My parents (both 65 and older) don't believe me and I feel like can't do anything to help them. I hope the actual "time" that comes will be after their time, not at the end of their time nor the end of their time.

None of my friends or other relatives believe me. The ones who seem to have some sense of what may be coming seem apathetic. Very frustrating.

Poet

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Re: Daily Digest - June 2

At work I am told that I should be optimist. I am respected : however, they see me as a little weird with my new farm and my 1997 TJ. (filled with tools in the back).  I certainly am not a good judge of my body language when I share any newly acquired info.  My boss is the most uninterrested of the group. He does not even want to see or hear any facts even the most basic ones.  The person the most interrested is the flight attendant.  She has been told not to discuss those issues.  She is contractual so she kindly agreed.  I feed her internet info outside of the work environement.  The other pilot is 55 years old and knows about the life of every body on american Idol and more.  Sometimes I comeback from a trip and I tell myself that I could be preparing too much.  I catch myself wishing I were like them, but I just can't.  Anyway thank you for listening. Have a good day.

Luc

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Re: Daily Digest - June 2

http://blogs.ft.com/energy-source/2010/06/01/how-difficult-are-relief-wells-some-comparisons-with-montara/

How difficult are relief wells?

Some comparisons with Montara

June 1, 2010 1:35pm

Although the LMRP plan is still under way, focus is turning to BP’s effort to drill relief wells to ultimately stop the oil gushing from Deepwater into the Gulf of Mexico.

The relief wells will be critical to finally stopping the flow, whether or not the temporary fixes now under way are successful.

The Obama administration in mid-May seemed to be sceptical that the relief wells were a sure thing, although BP’s America chairman Lamar McKay said the company had a “high level of confidence” that it would be successful.

The question is: how long will they actually take to work?

The FT today looks at comparisons between the Gulf of Mexico disaster and the massive blowout of Pemex’s Ixtoc 1 exploration well in Mexican waters in 1979, which became one of the biggest offshore oil leaks ever.

A more recent incident, last year’s Montara oil leak in the Timor Sea, was eventually stopped by a relief well operation after more than 10 weeks. It provides plenty of examples of just how difficult relief well operations can be even today.

BP's relief well diagram guide. Click through for full description  and full-size imageA few caveats: the circumstances of the Montara well leak and relief wells were quite different to BP’s leaking Macondo well. It was in much shallower water (about 75 metres compared to Macondo’s 5km), in a completely different region, and leaking at a much smaller rate. PTTEP, the Thai-based operator of the well, says it was 400 barrels per day; BP’s well is estimated at 12,000 to 19,000 barrels per day. However both are extremely deep below the seabed; Montara was 2.6km, while BP’s are expected to intercept the well at more than 5km below the seabed.

A quick breakdown of the Montara relief well efforts:

- Waiting for the relief well drilling rig (three weeks)
- Drilling the relief well itself (three-and-a-half weeks, as PTTEP had predicted)
- Reaching the site of the leak - (four weeks, requiring five ‘passes’ and some changes of equipment)
- Securing the well by pumping fluid - drilling ‘mud’ and sea water - (three days)

We’ll look at these segments, and other aspects of the operation, in more detail below.

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Re: excuses

Most of the excuses I've heard come from coworkers and some friends.  Many can accept the notion that things are at least somewhat worse than they appear, but generally refuse to even acknowledge the possibility that the future may be very different.  I say "government bonds face a potential crisis in the future if we don't dramatically change course" and the response is along the lines of "it won't get that bad" or a few times with the addtion "and in the very small chance it does, no sense worrying about it since everything would fall apart and it wouldn't be worth living anyway."  The last bit worries me intensely... I don't know how much of that is just a defense mechanism (something dismissive to say to avoid thinking about it), or if they really are that personally invested in the status quo that they can't possibly imagine going on living without it.  I'm hoping it's the former, and that the series of future 'wake up calls' will inspire them to adapt to a new paradigm.  Yet something tells me there will be plenty of people who choose the latter... people who will either simply lay down and expire, or instead follow any smooth talker who offers illusiory promises of a "return to the glory days" (sometimes with the addition "at any cost").  That's one of the things that concerns me; that the people I feel compassion for today will end up being adversaries and threats to my family's well-being tomorrow.  I guess there's no help for it other than let people make their decisions, let the cards fall where they may, and handle those things as they come. 

I've had limited success in getting friends and family to prepare for hard times (save money, get out of debt, have some food tucked away, etc), but simply speaking most of them see it as something to ride out until things go back to normal.  I guess I should be thankful they make at least those minimal precautions, but still it's frustrating that I can only get my wife and one other family member to entertain the possibility (much less the near-certainty) of a dramatically different future.

- Nick

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Re: excuses
nickbert wrote:

 

..... but still it's frustrating that I can only get my wife and one other family member to entertain the possibility (much less the near-certainty) of a dramatically different future.

- Nick

Be thankful that you have your wife on board. I can't discuss it any more with my wife so I am left to try to do as much as I can on my own.

I had to tell her that all the food stored in our garage was for the several days we might not be able to get to the store if/when we have an earthquake. "That sure is a lot of food or a few days". Well, earthquakes make me hungry.Cool

Ken

 

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Re: excuses
Ken C wrote:
nickbert wrote:

 

..... but still it's frustrating that I can only get my wife and one other family member to entertain the possibility (much less the near-certainty) of a dramatically different future.

- Nick

Be thankful that you have your wife on board. I can't discuss it any more with my wife so I am left to try to do as much as I can on my own.

I had to tell her that all the food stored in our garage was for the several days we might not be able to get to the store if/when we have an earthquake. "That sure is a lot of food or a few days". Well, earthquakes make me hungry.Cool

Ken

Smile

So then, I'm curious as to how you plan to also explain the rocket stove, 120 rolls of toilet paper, boxes of candles, case of quality scotch, LED headlamps, duct tape, jars of honey, gun oil, and a Monopoly boardgame?  Avant garde camping trip?  Laughing

- Nick

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Re: excuses
nickbert wrote:

So then, I'm curious as to how you plan to also explain the rocket stove, 120 rolls of toilet paper

Only 120 rolls of TP?  Hmm perhaps I go to costco too much.  I find everytime I go  I walk through the store going, hmm that would be good to have and only stop when I figure it won't all fit in the car. SmileLately I've been wondering if I live to 100 if I'll use up all the household supplies I've filled the closets with...   I

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Re: excuses
nickbert wrote:
Ken C wrote:
nickbert wrote:

 

..... but still it's frustrating that I can only get my wife and one other family member to entertain the possibility (much less the near-certainty) of a dramatically different future.

- Nick

Be thankful that you have your wife on board. I can't discuss it any more with my wife so I am left to try to do as much as I can on my own.

I had to tell her that all the food stored in our garage was for the several days we might not be able to get to the store if/when we have an earthquake. "That sure is a lot of food or a few days". Well, earthquakes make me hungry.Cool

Ken

Smile

So then, I'm curious as to how you plan to also explain the rocket stove, 120 rolls of toilet paper, boxes of candles, case of quality scotch, LED headlamps, duct tape, jars of honey, gun oil, and a Monopoly boardgame?  Avant garde camping trip?  Laughing

- Nick

Sometimes you just have to let the "stuff" explain itself.  We have some of our things staged in our FROG (Fifth room over garage).  Our long storage buckets of food, 1 year rotating stock of canned goods, 10 gallons of honey, canned beans, pickles, tomato sauce, pears and peaches, bulk pasta, bulk dehydrated beef and chicken stock, Berkeley filter and filter candles, 12 cases of MREs etc are all in one place and out in the open.  My brother-in-law was over visiting and he saw all the stuff and jokingly asked "What are you guys getting ready for?  The end of the world?"

You should have seen the look on his face when I said "Yup, at least the world as you know it."  He's been through CC and still dismisses it with the old "Ah, they will do something about it."

I don't even bother anymore.

My parents had a much different response.  They were healthy skeptics until they watched CC.  Then my Dad rearranged his annuitized retirement and put a bunch of it in physical gold.  When asked what they were doing to prepare beyond that he smiled, winked and said "Keeping enough gas in the car to get to your house with the gold and you grandfather's guns."

 

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Re: Excuses

   I  had an experience this week  ... I got a call from the Grocery store  saying  "Mrs.__  Chicken and orange juice  are going to be on a good sale this week , do you want me to order a couple cases for you ?"   And then when I went to pick it up  the bag boy said " You and Mrs. _ are the only ones that I have to carry these big loads for ... everyone else comes in every day  and the Ladies from the Commune came in and stocked up on beer . "    This store let me tap their Maple trees and will sell our eggs and extra vegs .   They also give us 50 cents off toilet paper when  we buy  $20 of groceries.   This store gives me the food at cost if I buy  by the case because it saves them putting it on the shelf !  This is about a 20% savings !

 Once in a while when the kids have extra friends out  I will slip up and say something  and my kids Say " Mom , people will think  you are weird ."   I say "HAHAHAH  and they would be right , just call me MRS. NOAH !"   They blow me off and go on about their way .   But  when a couple of my girls left for college , I told them they had to carry a BOB  in their car ,keep the tank full at all times, and we  found a  place they were to go to  wait until we were able to get to them , They fully understood and did not  give me any guff.     Once in a while when they have been to friends houses they come home and tell me that so and so must get it because they have huge gardens and toilet paper stored under the bed ,  Trying to prepare is a fine balance of teaching them  but not to scare them .   Good thing going green is an acceptable trend .

 Anyway in small community everyone knows all your business so I do not  know why I was so surprised , Thankful  that the commune has already gotten people accustomed to being different . 

  With more and more crud in the news people will come around and we will be more prepared to help them get ready .

 FM .

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Re: Daily Digest - June 2

Saxplayer...you're awesome....thanks for everything you do for all of us....

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Re: Daily Digest - June 2

Private Employment Grows Less Than Expected: ADP

The private sector added 55,000 jobs in May, less than expected as the employment picture continues a slow recovery, according to the ADP National Employment Report.

Unemployment line

The service sector added a net 78,000 jobs this month to spur the growth, but the goods producing sector saw a loss of 23,000 positions.

Stock futures briefly shed gains after the report but then turned around and continued to indicate a positive open on Wall Street.

The number compared with an upwardly revised gain of 65,000 in April, which was originally reported as a gain of 32,000.

The median of estimates from 31 economists surveyed by Reuters for the ADP Employer Services report, jointly developed with Macroeconomic Advisers, was for a rise of 60,000 private-sector jobs in May.

"While hiring as turned positive, the growth of employment to this point has been moderate," Joel Prakken, chairman of Macroeconomic Advisors, said in a CNBC interview. "Indeed, this month's number suggests some reversal of the speed in which employment has been expanding over the past several months."

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Re: Daily Digest - June 2

Nickbert -  Hey I think it was you who told me Rocket Stove!

We just got our Grover Rocket stove last week and I can't believe how cool it is! I love that I can do it myself if my husband is not around.  It dawned on me when CM wrote about his power outage that my propane was only half full.  I made my husband buy four tanks that day.  Our kerosene stove is kind of a pain for me, because I need fuel out of a 50 gallon drum to light it.  If my husband was not here when I needed to feed the family it could be tricky.  Anyway, I love the stove EVERY one should have it.  I can make up a stew on the patio with just sticks from my yard- and it's so cute!

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Re: Daily Digest - June 2

Swiss may hold a referendum on bank secrecy

http://news.bbc.co.uk/2/hi/business/10223545.stm

Switzerland could be heading for a referendum on an issue the country has long held sacred: the secrecy of its bank accounts.

The Swiss parliament starts a debate later on whether to approve a treaty with the US, which would mean its biggest bank, UBS, releasing the names of thousands of American account-holders. The US government wants the information to crack down on tax evasion. But some in Switzerland say a policy change on this scale must be put to a nationwide public vote.

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Re: Daily Digest - June 2

My experiences have been similar to the ones stated by others here.  Most people just don't want to accept the realities we face.  They say things like "I know but I can't talk about it anymore because I get too depressed."  I believe they inherently know things are worse than we are lead to believe, but they don't want to face the facts, so they crawl into their apathy and denial hole.  And of course, they say I am too pessimistic, I am a "downer" and I should be a more positive person.  Maybe I don't relate the information in a sugar-coated way, but it's pretty hard to buff up what we are all facing. I empathize with all of you and I appreciate all who post and contribute to this site.

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