Daily Digest

Daily Digest - November 28

Saturday, November 28, 2009, 12:02 PM
  • US Mint Runs Out Of Gold Coins
  • Citibank Used Bailout Funds For $8 Billion Loan To Dubai
  • Citigroup Had A Positive Outlook On Dubai's Economy
  • Dubai Debt Woes Raise Fears Of Wider Problem
  • Dubai's Threat To US Banks)
  • A Five-Star Ghost Town At The End Of The World
  • Can Dubai Survive The Storm?
  • Audit The Fed Would Hurt Economy: Bernanke In Wasington Post
  • Bankruptcies Up 34.5%
  • US Taxpayers Now Back 80% Of All New Home Loans
  • Whose Side Is Obama On?
  • 'Cash For Clunkers' Over, Next Up: 'Cash For Appliances'
  • Workers Of The World Vs China Inc
  • Introducing The Most Efficient Solar Power In The World
  • Christian Parenti on Enduring “Zombie Nuke Plants” Nationwide
  • On The Road, Signs Of The Apocalypse Hit Home
  • Nine of Humanity's Greatest Environmental Successes
  • Chemicals In Water Alter Gender Of Fish

Economy

US Mint Runs Out Of Gold Coins (M.W.)

The U.S. Mint has announced that it will stop selling 1-ounce gold buillion coins. Demand has been so strong that they've effectively run out of 2009 American Eagle coins.

Citibank Used Bailout Funds For $8 Billion Loan To Dubai (M.W.)

(Mar 2009) The US public will be “outraged” by Citibank’s $8 billion loan to Dubai just 6 wks after the bank was bailed out, US House of Representatives domestic policy subcommittee chairman has said. Dennis Kucinich commented on the Dubai loan and other US banking investments as a congressional panel released a report that strongly questioned Citibank’s actions.

Citigroup Had A Positive Outlook On Dubai's Economy (M.W.)

(Dec 2008) With questions about Dubai's looming debt obligations swirling, Citigroup said it had raised $8 billion for Dubai and had a positive outlook on its economy. Citi Chairman Bischoff said that Citigroup continues to see Dubai as among its "most significant markets."

Dubai Debt Woes Raise Fears Of Wider Problem (M.W.)

In a worst-case contagion, Bank of America analysts wrote, “One cannot rule out a case where this would escalate into a major sovereign default problem, which would then resonate across global emerging markets in the same way that Argentina did in the early 2000s or Russia in the late 1990s.” And not just emerging markets. “Dubai shows us that what we are now facing is a solvency issue, not a liquidity issue."

Dubai's Threat To US Banks (M.W.)

Although there's little direct exposure to Dubai World's default risk, U.S. financial institutions could take major indirect hits. According to CMA DataVision, which tracks credit markets, there's a 35.82% probability that Dubai will default.

A Five-Star Ghost Town At The End Of The World (M.W.)

Three miles off the coast of Dubai is a cluster of 300 man-made islands, each named after a country or city, and shaped like a map of the globe. 'The World', a massive archipelago that stretches across 6 miles, was constructed with more than 5,000 tons of coral, making it the largest artificial reef on the planet. A pet project of Dubai's ruler, it is a cautionary tale about the feverish excesses of Dubai's 21st century boom.

Can Dubai Survive The Storm? (M.W.)

The issue is whether this folie de grandeur of a desert kingdom is containable or a more worrying outrider for a wider sovereign debt crisis which might eventually engulf major, advanced economies. Everyone thought the financial implosion was largely behind us – yet Dubai has reminded us that if nations start defaulting, then it may be about to enter a new and even more frightening phase.

Audit The Fed Would Hurt Economy: Bernanke In Wasington Post (M.W.)

"These measures would seriously impair the prospects for economic and financial stability in the United States," Bernanke wrote in a column on the Washington Post's website. The rare newspaper column by a Fed chairman comes shortly before Bernanke testifies before a Senate panel on his renomination.

Bankruptcies Up 34.5% (M.W.)

Bankruptcy filings in federal courts jumped by more than one-third this year, as businesses and individuals struggled to regain their footing in a weakened economy.

US Taxpayers Now Back 80% Of All New Home Loans (M.W.)

Wall Street has a lot to be thankful for. Fannie and Freddie now stand behind 80% of new home loans. Meanwhile, the FHA is underwriting loans at quadruple the rate.

Whose Side Is Obama On? (M.W.)

While most of the country is hunkered down, Wall Street continues to feast on a bounty of profits.The response from the administration has been to try to convince us that there's little we can do, or should do, to ensure that the economic harvest is more equitably distributed.

'Cash For Clunkers' Over, Next Up: 'Cash For Appliances' (M.W.)

The government is expected to finalize details of another tax-supported shopping extravaganza, known as "Cash for Appliances.' The program will offer rebates to consumers who buy energy-efficient refrigerators, dishwashers, air conditioners and other appliances.

Workers Of The World Vs. China Inc. (M.W.)

China now ranks as the No. 1 foreign investor in countries as diverse as Sudan and Cambodia. In exchange for the natural resources needed to feed China's economic engine, Beijing began an assiduous campaign to win foreign hearts and minds by financing stadiums, hospitals and lavish gov't offices. Some countries, however, are no longer as willing to extend a red carpet toward the globetrotting Chinese.

Energy

Christian Parenti on Enduring “Zombie Nuke Plants” Nationwide (Video) (Samuel A.)

"One of the problems is that radiation makes metal brittle, so these plants are in serious disrepair. There were designed to last 40 years and now will be used for 60 years. On top of that, there's a process called uprating whereby these operators can apply to increase the rate in which to operate the plant and in some cases up to 120% of design capacity. For example, Vermont Yankee outside Brattleboro, Vermont runs at 120% of its design capacity and it's at the end of its life. All over the country there are these problems of leaks, emergencies and it remains largely under the radar."

Introducing the Most Efficient Solar Power in the World (cat233)

It's taken 25 years, but a new solar-thermal plant in New Mexico has finally broken the old efficiency record.

Environment

Nine of Humanity's Greatest Environmental Successes (cat 233)

On The Road, Signs Of The Apocalypse Hit Home (M.W.)

To create the post-apocalyptic world of The Road – the new film based on the Pulitzer Prize-winning novel by Cormac McCarthy in which an undefined cataclysm has incinerated most life on Earth – director John Hillcoat didn't have to use computer-generated imagery. He simply pointed his camera at landscapes that man or nature had already blasted. “We did an extensive tour of apocalyptic America,” Hillcoat said.

Chemicals In Water Alter Gender Of Fish (M.W.)

Pollution brings worrying signs for fish populations. Chemical pollution seems to be disrupting the hormones of fish in the United States' rivers, lakes and ponds. Worse, most U.S. drinking water comes from the same sources.

11 Comments

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4149
Re: Daily Digest - November 28

"DUBAI (Zawya Dow Jones)--Debt-laden Dubai World's unit Jebel Ali Free Zone Authority, or Jafza, faces on Monday a coupon payment on a 7.5 billion U.A.E dirham ($2.04 billion) Islamic bond in the first key test of whether it will default.

The Islamic bond, or sukuk, was issued in November 2007 through a Cayman Islands-registered company called JAFZ Sukuk Limited and pays 130 basis points over the six-month Emirates Interbank Offered Rate, according to Zawya.com.

The coming coupon payment is estimated to be between AED125 million and AED135 million, according to analyst calculations."

"Nov. 27 (Bloomberg) -- Dubai’s debt woes may worsen to become a “major sovereign default” that roils developing nations and cuts off capital flows to emerging markets, Bank of America Corp. said.

“One cannot rule out -- as a tail risk -- a case where this would escalate into a major sovereign default problem, which would then resonate across global emerging markets in the same way that Argentina did in the early 2000s or Russia in the late 1990s,” Bank of America strategists Benoit Anne and Daniel Tenengauzer wrote in a report.

A default would lead to a “sudden stop of capital flows into emerging markets” and be a “major step back” in the recovery from the global financial crisis, they wrote."

"ALBANY -- It's hard to believe, but New York's budget crisis is even worse than Gov. Paterson says it is.

State Comptroller Tom DiNapoli yesterday branded as "optimistic" Paterson's projection that the state would end the year virtually bankrupt, with just $36 million in the bank, if the Legislature failed to close the looming $3 billion-plus budget deficit.

"We think the governor's number is too optimistic," said DiNapoli spokesman Dennis Tompkins.

"We think if no action is taken, the state will end December with a negative balance, about minus $3 million," he said."

"The dollar briefly fell to 84.82 yen — surpassing Thursday’s low and prompting the country’s finance minister, Hirohisa Fujii, to tell reporters in Tokyo Friday that he was “extremely nervous and watching the market carefully.”

“There’s no doubt the market has moved too far in one direction,” Mr. Fujii said. “Moves right now are extreme, and it would be possible to take appropriate measures.”"

 

.........Off till Monday. Maybe by then we'll see what happens with Dubai and if the crisis spreads. Till then it looks like it's goodbye steak and lobster for investors in Dubai and hello

VeganDB12's picture
VeganDB12
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Posts: 740
Re: Daily Digest - November 28

Great, TARP went to support slave labor in Dubai. No wonder they can't say exactly how much is owed.

If they did Citi, JPMorgan and Goldman would have to tell everyone what they did with the money we gave them.

Undecided

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
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Posts: 3998
Re: Daily Digest - November 28

SA stands for South Australia.....

http://www.news.com.au/adelaidenow/story/0,22606,26413854-5006301,00.html

SA's fruit bowl losing battle

BRAD CROUCH
November 29, 2009 12:01am

WITH hundreds of Riverland farmers walking off the land and a third of irrigated farms now dormant, SA's food bowl is in crisis.

More than a third of SA's River Murray food bowl is vacant as grinding drought, low commodity prices, a high Australian dollar, cheap imports and a wine glut force irrigators to cut back on plantings or simply walk off the land.

A survey of more than 70,000ha of land irrigated from the Murray across 3667 properties found almost 24,000ha was left unplanted last year - almost the size of Coffin Bay National Park.

The survey, for the SA Murray-Darling Basin Natural Resources Management Board, found the area of vacant land had grown almost fivefold between 2005 and last year, as the drought tightened its grip.

GreGrenada's picture
GreGrenada
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Re: Daily Digest - November 28

Lemme try again, obviously the moderators don't like me linking to free downloads of copyrighted new movies! :-)

Question: Why would Anyone need more than $1,000,000,000 (or EURO) very soon?

You'll have to pay to watch the new movie called "2012", (don't illegally download it, e.g. via ed2k or bittorrent!) ;-)

Also watch these perfectly legal YouTube clips, in this order:





Now do you Geddit !?!?!?!

Time to buy a hermetically sealable cave up a very high mountain, or an ARK, and stock it well, methinks ! ;-)

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 3998
Re: Daily Digest - November 28
GreGrenada wrote:

Lemme try again, obviously the moderators don't like me linking to free downloads of copyrighted new movies! :-)

Question: Why would Anyone need more than $1,000,000,000 (or EURO) very soon?

You'll have to pay to watch the new movie called "2012", (don't illegally download it, e.g. via ed2k or bittorrent!) ;-)

Also watch these perfectly legal YouTube clips, in this order:





Now do you Geddit !?!?!?!

Time to buy a hermetically sealable cave up a very high mountain, or an ARK, and stock it well, methinks ! ;-)

You can't be serious.....?  I saw this movie last weekend, and could not stop laughing it was so over the top garbage!  Entrtaining, yes (hey, I laughed, right?) but no way would I build an ark after seeing it.....

Linux user too

GreGrenada's picture
GreGrenada
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Posts: 3
Re: Daily Digest - November 28

Wink Of course I wasn't serious!

...I can't _afford_ an ARK !

 

Headless's picture
Headless
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Posts: 363
Re: Daily Digest - November 28

veganD said: "

Great, TARP went to support slave labor in Dubai. No wonder they can't say exactly how much is owed.

If they did Citi, JPMorgan and Goldman would have to tell everyone what they did with the money we gave them."

Welcome to the People's  History of the Fed/Government Sachs against Humanity (criminals still at large!): same as it ever was--though we now have the internet and reality-journalism to inform us...

There is no such thing as sufficient retribution by the innocent People of the world as regards the eventual downfall of  Government Sachs... What will happen to them will no doubt be heinous and un-broadcastable, but it will fall far short of compensating for multiple generations of billions of families around the world whose lives have been stolen in the name of insanity materialism and for the cocktail party opportunity to say "look at me--how important I am!"

P.S. Edit: For an immortal list of people who found themselves on the wrong side of history--a list which will inform future actual moral generations--refer to the 110th Congress as the governmental analogue of the anti-Christ...

 

 

maveri's picture
maveri
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Posts: 159
Re: Daily Digest - November 28

It appears that the Audit the FED push get a little bit closer (although I do think it will somehow get skuttled at the 11th hour because of the potential for total collapse if it ever goes ahead).

Max Keiser details what a FED audit could potentially cause..

Interesting indeed...

Smile

Johnny Oxygen's picture
Johnny Oxygen
Status: Diamond Member (Offline)
Joined: Sep 9 2009
Posts: 1443
Re: Daily Digest - November 28

Look you guys. I've said this before and I'm going to say it again. The FED will NEVER be audited...ever...never.

It is THE most powerful organization in the world. Do you really think they would allow a few senators in to expose their worldwide fraud? Come on. At best there will be some hand picked group to do some superficial, benign, innocuous 'investigation'.

Ruhh's picture
Ruhh
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Posts: 259
Re: Daily Digest - November 28

Just got back from seeing "The Road". It was one of the best books/movies I've read/seen in a long long time. I highly recommend both.

One thing I found kinda funny was there was a scene that hinted that in that particular world gold had absolutely no value.

Another funny thing I remembered that when my wife was done with the book and handed it off to me, she actually raised the topic that investing in a gun would probably be a good idea.

evohep's picture
evohep
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Joined: Nov 17 2009
Posts: 10
Re: Daily Digest - November 28

Hi from the UK.

As trillions seem to be thrown around like confetti nowadays, you know, everybody’s doing it…  I thought I’d try my hand at it.

OK. If my math on this is entirely wrong let me know immediately, and yes there will be many aspects I will have failed to mention in this post.

If the world were to invest $200 Trillion in wind farms.

On average a single turbine can yield 2 Megawatts and costs about $2 Million.

Therefore = 100,000,000 Mega Watts of potential energy yield.

That’s = 100,000,000,000,000 Watts of power

Or 100 Terra Watts

The world consumes 15 Terawatts of total energy. Oil, gas, nuclear… hamster wheels… the lot.

15,000,000,000,000 Watts

Thus $200Trillion investment gives the world over 6.6 times the energy it actually requires. Way too much energy for our current needs, we'd have electricity coming out our ears and most likely the world population’s hair would be stood on end. (For the physicists amongst you I used the phenomena of static electricity under poetic licence)

So let’s trim it down a bit to avoid the potential of electrocuting the populace of the world.

$200 Trillion divided by 6 (let’s say) = $33 Trillion for the cost of manufacture of the turbines to meet the worlds energy needs currently.

Add on another $25 Trillion for labour / installation.

You’ve only spent $58 trillion (less than the worlds GDP) and solved the world’s forthcoming energy crisis and employed at least a billion and half worldwide doing something very useful for mankind.

Of course there would be many, many more trillions of investment for the infrastructure to rely entirely on electricity.

How many trillions have been wasted on non productive endeavours such as war and has been spent and will be will be spent worldwide to try to prop up the failing economies and deal with the rising costs of oil in the forthcoming energy crisis?

Just a quick thought.

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