Daily Digest

Daily Digest - September 9

Wednesday, September 9, 2009, 11:09 AM
  • UN Wants New Global Currency to Replace Dollar
  • Crack Dealer to Crack Addict: It's Human Nature, I'm Just THE Enabler (Video on page)
  • Soros & Ron Paul: Collapse (Video, H/T TheComingDepression)
  • China, Bernanke, and the price of gold (H/T SaxPlayer00o1)
  • Swiss topple U.S. as most competitive economy: WEF
  • WEF ranks US among most economically unstable nations (H/T SaxPlayer00o1)
  • Getting better all the time!
  • Keiser on GS (Video)
  • Bullish on Gold (H/T Tonguefu)
  • 80% Tax Hike Needed to pay off debt (Video, H/T TheComingDepression)

Economy

UN wants new global currency to replace dollar

The dollar should be replaced with a global currency, the United Nations has said, proposing the biggest overhaul of the world's monetary system since the Second World War.Crumpled dollar bill - UN wants new global currency to replace dollar

Crack Dealer to Crack Addict: It's human nature, I'm just THE enabler (Video on page)

Soros & Ron Paul: Collapse (Video, H/T TheComingDepression)

China to diversify out of U.S. dollars

According to an account published in the Daily Telegraph by Ambrose Evans-Pritchard, the Chinese government is quite anxious about money printing in the United States and the effect this printing could have on China’s dollar denominated reserve assets.



For months now, the Chinese have signalled growing unease with U.S. monetary policy. And now comes the clearest signal yet that they are moving away from the dollar.  Cheng Siwei, a former vice-chairman of the Standing Committee, said point blank that the Chinese central bank was actively diversifying new reserve assets away from the U.S. dollar and into currencies like the Yen and the Euro.  He also mentioned Gold as an alternative the Chinese are exploring.

China, Bernanke, and the price of gold (H/T SaxPlayer00o1)

Where is the gold going to come from?

Swiss topple U.S. as most competitive economy: WEF

Switzerland knocked the United States off the position as the world's most competitive economy as the crash of the U.S. banking system left it more exposed to some long-standing weaknesses, a report said on Tuesday.



WEF ranks US among most economically unstable nations (H/T SaxPlayer00o1)

"Repeated fiscal deficits have led to burgeoning levels of public indebtedness, which are presently being exacerbated by significant stimulus spending," it added.

Getting better all the time!

Keiser on GS (Video)

Bullish on Gold (H/T Tonguefu)

taking a $5.6 billion hit to third-quarter earnings, the world's top gold miner said on Tuesday.

For Barrick, which expects gold prices to keep rising, the deal should remove what has been a big drag on its shares, the legacy of the company's past reliance on hedging, a practice it abandoned in 2003.

During times of weak prices, gold miners often sell a portion of their future production to protect, or hedge, against the possibility that prices will fall.

When prices rise, as they have done since 2001, the company suffers because value of the future production they've sold does not increase with the gold price.

"It's long overdue," John Ing, president of Toronto investment dealer Maison Placements, said of the move.

80% Tax Hike Needed to pay off debt (Video, H/T TheComingDepression)

35 Comments

saxplayer00o1's picture
saxplayer00o1
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Re: Daily Digest - September 9
Social Security will face a cash shortfall for the first time in decades next
year, according to a little noticed report released late last month by the
Congressional Budget Office (CBO).

As a result, seniors could face benefit cuts in as little as three years.
Congress could instead raise taxes or authorize new borrowing to close the
shortfall, but has never before addressed a Social Security deficit through
long-term borrowing.


http://www.reuters.com/article/pressRelease/idUS137485+09-Sep-2009+BW20090909
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Re: Daily Digest -September 9-question regarding public spending

re- the last Beck video:

I have very mixed feelings about Glenn Beck to start with, but I am confused about a fundamental point of government strategy that I THOUGHT I understood.

Beck and his guest criticize public spending as lunacy, in light of towering debt.  However, I thought I understood from the Crash Course and Grignon's "Money as Debt" that public spending, (at least in the form of improving infrastructure, investing in public works, etc.) was one of the more dependable ways to simultaneously create real wealth and (trying to) reverse a recession/depression.

Did I misinterpret?  Am I not understanding what is meant by "public spending"?  Is Beck just an uninformed reactionist? I would like to hear some people's opinions on this.

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Re: Daily Digest - September 9

"80% Tax Height Needed to pay off debt"

What kind of reporting that is, he does not explain how the debt has build up , who's responsible, how,!

they don't have time to give reasons about why they believe govt. is responsible and has curbed or is going to curb the freedom of "corporate america"..........   they sure know how to put on a show and form public opinion the way they want to.

 

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Gold Rally Signals Move Away From Currencies, Greenspan Says

Gold Rally Signals Move Away From Currencies, Greenspan Says

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Re: Daily Digest - September 9

JAG

Gold Rally Signals Move Away From Currencies, Greenspan Says

Does this mean its time to move into currencies? Innocent

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Re: Daily Digest -September 9-question regarding public ...
yoshhash wrote:

re- the last Beck video:

I have very mixed feelings about Glenn Beck to start with, but I am confused about a fundamental point of government strategy that I THOUGHT I understood.

Beck and his guest criticize public spending as lunacy, in light of towering debt.  However, I thought I understood from the Crash Course and Grignon's "Money as Debt" that public spending, (at least in the form of improving infrastructure, investing in public works, etc.) was one of the more dependable ways to simultaneously create real wealth and (trying to) reverse a recession/depression.

Did I misinterpret?  Am I not understanding what is meant by "public spending"?  Is Beck just an uninformed reactionist? I would like to hear some people's opinions on this.

yosh -

You probably didn't misinterpret.  Beck's best work is when his mouth is shut IMO (his version of Common Sense is a great read) so he probably shouted and opined and Shakespeared his way into obscuring his message.

My take was that he was very critical of the flavor of "public spending".  The examples of spending you cite are good examples of worthwhile efforts with a good ROI, but Beck tends to wear his political leanings on his sleeve and was yammering on about wasteful, pork barrel spending efforts.  Both sides of the aisle are guilty of such spending - I think that's the kind of spending Beck was carrying on about.  To that end, he's right on - we could put a big dent in things if we curtailed the pork.

Unfortunately, he used a shotgun when a Lapua .338 sniper rifle was called for.

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Re: Golden Moments & The Waterfall

all sorts of Interesting news on the gold front

http://news.goldseek.com/GATA/1252392300.php

The Waterfall Effect -  Deflation vs Inflation ...  not as important as money adjusting to reality 

http://www.fofoa.blogspot.com/2009/08/waterfall-effect.html

 

 

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Re: Daily Digest -September 9-question regarding public ...

Remember, the government cannot give unless it first takes it away, therefore true productivity must come from the private sector otherwise there is no net gain.  Spending on infrastructure is necessary, but what new industries does it really create.  We pave the bad roads with new asphalt and then we go home.  America needs innovation, productivity, things we can sell to the rest of the world (or at least things we buy from ourselves and not others).

Think about it.  We have been on this trend for at least 30 maybe 40 years of selling out our jobs and industries.  It's not going to turn around in a couple of months or even a couple of years.  We are in for a new way of life for a long time.

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Its All Over...Shut This Site Down

Davos, your out of a job.

This just in:

Fed Survey: Worst Recession Since 1930s Appears to Be Over

Its time to close-up shop and for us all to go home. Thanks everyone, I had a blast.

(or has it just begun?)

 As Captain Sheeple, I issue a standing order to my sheeple to celebrate!

(edited for more dramatic punch)

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Re: Daily Digest - September 9

Schiff on Gold and the inflation causing its rise

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Re: Daily Digest - September 9

Gerald Celente on the coming depression. He claims the crash already happened, everything now is just the a cover-up.

Part 1:

Part 2:

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Re: Daily Digest - September 9

Yet another county saying it's broke and others

cutting  expenses "to the bone"

 

I was just looking over some old news, but I just wanted to show one of the best purchases that

Goldman Sachs ever made:

April 18, 2007

Totals

That's how you turn a million dollars into billions.

Now we're getting all this "good" economic news and "green shoots"

nonsense, even when the real unemployment rate is almost 17 percent ..... I think somewhere

 in the distance that I heard Obama, Bernanke

and Little Timothy Geithner singing something to the American public. It sounded

something like this.

 

 

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Re: Daily Digest - September 9

It would be greatly appreciated if anyone could explain this to me.  And if anyone could explain how they can get away with writing such things.

http://news.yahoo.com/s/ap/20090909/ap_on_bi_ge/us_economy

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Re: Daily Digest -September 9-question regarding public ...
yoshhash wrote:

re- the last Beck video:

I have very mixed feelings about Glenn Beck to start with, but I am confused about a fundamental point of government strategy that I THOUGHT I understood.

Beck and his guest criticize public spending as lunacy, in light of towering debt.  However, I thought I understood from the Crash Course and Grignon's "Money as Debt" that public spending, (at least in the form of improving infrastructure, investing in public works, etc.) was one of the more dependable ways to simultaneously create real wealth and (trying to) reverse a recession/depression.

Did I misinterpret?  Am I not understanding what is meant by "public spending"?  Is Beck just an uninformed reactionist? I would like to hear some people's opinions on this.

Yup, I posted it because of the 8-% tax bit and the nots on derivatives. Having said that, the last sentence in Greenspan's Irrational Exuberance speach says that "Democracy" (I'll read Republc) requires a sound economy, so I'm sure there will be some sort of shift, what we end up with I don't know. Not to sound conspiracy "ish" here but I'm seeing a lot of thing on the radar that I don't like seeing. Obama on the UN now? The Mass. quarentine plan. and on and on. 

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Re: Daily Digest - September 9

In regards to Glenn Beck's 80% tax height to pay off debt.  If you have followed Beck for the last two years he has explained how the debt has built up and who is responible for it. 

Thanks,

 

Paula

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Re: Daily Digest - September 9

So the dollar took another one on the chin today, but gold also fell.  Bonds were flat to rising, and the bid to cover on the auction today was good, and US stocks didn't do much at all, especially given the recent pounding of the dollar.

What the H is going on!? 

Normally a falling $ means rising stocks, rising gold, and falling bonds.  Everything is ass-backwards and cats are sleeping with dogs.

I smell a big SHTF moment coming very very soon.

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Re: Daily Digest -September 9-question regarding public ...

"productivity must come from the private sector otherwise there is no net gain."

So what? The problem with capitalism is that things must only get done for profit, not just because they are worthwhile.

This is how we got into this climate change (as just one example) fiasco, it's more profitable to burn fossil fuels than make alternative energy, so FFs keep on being burnt even in the face of the climate going pear shaped.

We're screwed, thank yo to capitalism..... and greed.

Mike  Having a dark day yet again.

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Re: Daily Digest - September 9

FB,

I have been following the market action at zerohedge and I agree that something has to give soon. With the Fed official proclamation today, I think its likely the market will embarrass them sooner rather than later..

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Re: Daily Digest - September 9
Farmer Brown wrote:

....Everything is ass-backwards and cats are sleeping with dogs.

FB -

And what exactly pray tell, is wrong with that?

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Re: Daily Digest - September 9

FB -

And what exactly pray tell, is wrong with that?

 

Haha!  Exactly nothing, especially in the state of Virgina where cat/dog co-sleeping is apparently legal ;)

 

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Re: Daily Digest - September 9

Who the heck is Glenn Beck anyhow?  Or maybe I should say, who the heck does he think he is.

Just because he somehow got his own show on Fox, (another questionable source of news) does that mean he is the word's expert on every subject?   He sure seems to think he is, and is ready to tell anybody who will listen, in no uncertain terms, and forcefully, exactly how they should believe it is.  He reminds me so much of Rush L.  They are both blowhards, and have no redeeming social qualities.

How about the networks get some folks on their airways who are true experts on various subjects, and get rid of the practiced talking heads who give opinions that are virtually worthless anyway.

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Re: Daily Digest - September 9
RetiredBen wrote:

Who the heck is Glenn Beck anyhow?  Or maybe I should say, who the heck does he think he is.

Just because he somehow got his own show on Fox, (another questionable source of news) does that mean he is the word's expert on every subject?   He sure seems to think he is, and is ready to tell anybody who will listen, in no uncertain terms, and forcefully, exactly how they should believe it is.  He reminds me so much of Rush L.  They are both blowhards, and have no redeeming social qualities.

How about the networks get some folks on their airways who are true experts on various subjects, and get rid of the practiced talking heads who give opinions that are virtually worthless anyway.

Funny, I used to block all network traffic to Fox when my Father in Law visited. But I have to be honest, after watching Kneale I'd take Beck any day, hands down, I can see why CNBC lost 30 percent of it's traffic. In all honesty, I don't have TV, cable, or dish, I'll stick to the blogs.

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Re: Daily Digest - September 9

Ben, The Other, one each -

I agree with you 99%.  But I offer this, I've said this in a few other posts and it's worth repeating.

Beck's best work is when his pie hole is shut.  I read his version of Common Sense expecting apoplexy in written form and was very pleasantly surprised. 

'Common Sense' is a good read and worth your time.  You almost have to double check to make sure the author you are reading and the loon on TV are one and the same.

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Re: Daily Digest - September 9

Hello vinnya,

Regarding the Fed report, it's easy really, I tried it myself and it worked.

What you do is don a pair of glasses with rose coloured lenses, ignore U3 unemployment at 9.7% (or >16% U6), ignore the Consumer Credit record contraction, ignore the banks' (non-)stress tests, etc., etc....

See, it's easy!

DavidC

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Re: Daily Digest - September 9

Good Lord.

.Im ready but I'm scared

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Re: Daily Digest - September 9

Yep Mayan. Beck is always light on evidence. He seems to run more on emotion than fact plus I get the impression the guy is a crank.

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Re: Daily Digest - September 9

Wow, what a great collection of articles and videos today!!  Thanks Davos, Saxplayer, DCM and others for the great pointers.

FB and DIAP, gotta love a sense of humor at a time like this!

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Re: Daily Digest - September 9

Davos - you out did yourself today, you poured us giant pitcher of news.

yoshhash wrote:   re- the last Beck video

I have very mixed feelings about Glenn Beck to start with, but I am confused about a fundamental point of government strategy that I THOUGHT I understood.

Beck and his guest criticize public spending as lunacy, in light of towering debt. However, I thought I understood from the Crash Course and Grignon's "Money as Debt" that public spending, (at least in the form of improving infrastructure, investing in public works, etc.) was one of the more dependable ways to simultaneously create real wealth and (trying to) reverse a recession/depression.

Did I misinterpret? Am I not understanding what is meant by "public spending"? Is Beck just an uninformed reactionist? I would like to hear some people's opinions on this.

yoshhash, that is my understanding - debt will always be greater than money, why not make up the difference with new money.

The problem is that in our system, we may only borrow money into existence.  So, we must borrow to pay our debts.  One way out of this viscous circle would be to inject debt free money into the system.  There are many ways to do this and it seems to make mathematical sense.

Larry

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Re: Daily Digest - September 9

Farmer Brown I have pondered the same question. Every since the crash (I suppose the first leg of it) the market hasn't responded in any rational manner. It could be that no one knows what to think but when I see the Dow down all day then jump up 50 point 15 minutes before close it makes me think it is being manipulated some how. Can't prove it, just feel it.

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Why is this about Beck?

I strikes me as odd that we all gripe about the dearth of undistorted economic news and analysis on the mainstream, but then when a high profile individual comes along who does address the situation, albeit with simplicity and drama, the only comments are derogatory. 

I am no fan of television.  For ten years I had no access to television whatsoever . . . a choice to which I believe I owe my residual ability to think straight . . . With the arrival of cable internet, for better or for worse, I now have television service as well.  I do occasionally pop it on and scroll through to see what's being said, as a sort of contrarian indicator.  With few exceptions, that's the usual propaganda and reinforcement of the delusional right/left paradigm . . . But, recently, some of Beck's broadcasts, as posted here on CM, contain more elements of truth than I'm used to seeing on the mainstream networks . . . . This is not to say that he is not an instrument of an organization that has thrived on reinforcing the right/left paradigm . . . . But to fail to recognize his high-profile acknowlegement of certain truths simply because he is generally thought of as a "conservative" strikes me as analogous to opposing Ron Paul's initiative because he has chosen to align himself with the Republican party.  And, to dismiss, without qualification, Beck's presentations, on the grounds that they are simplistic and melodramatic is to fail to recognize the American public's short attention span and poorly developed ability to absorb complex concepts.  "It is what it is", as they say, and anyone hoping to shine a light into the average American cranium simply must take their audience's receptive ability into consideration.  Here on CM, we've grown accustomed to a more complex, facts based approach to problem solving . . . That kind of analysis is possible because, as we're fond of reminding ourselves, we are more heavily endowed with grey matter and, in the case of frequent posters, more at liberty to spend our time on such meditations.  But that is not the reality for the bulk of the U.S. population . . . . and that is clearly the population to which Beck is appealing.  Entirely aloof of his politics, I applaud his attempts to goad the public into a more realistic view of our economic situation.

I certainly do not align myself with any political party, nor with any point on the right/left continuum, and I find television in general, and television personalities in particular, abrasive in style, and inane in content.  Nonetheless, I do applaud Beck's recent attempts to discuss some of the real issues of our time.  Just as I don't allow myself to be hypnotized by charismatic figures, I won't allow myself to malign or reject truth, even if it is spoken by an individual whose style or politics are repugnant to me.  On the contrary, I applaud some of Beck's recent comments, while being on my guard not to swallow the flies with the soup . . . .

In essence, my question is:  Why is this dialogue about Glenn Beck?  Why is it not about the appearance of some grain of the truth on mainstream TV news? 

 

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Re: Daily Digest - September 9

C1oudfire-

I've watched Beck semi-regularly for probably a few years now, and I can understand why some people may not like him or refuse to listen to him.  IMO he is kind of a tool and irritating at times, and for all his rants against MSM he still IS a part of MSM.  But despite that, I've found value in his program simply because he brings up issues that you often don't see or doesn't get enough coverage in MSM.  And in fact he's kicked that up a few notches in recent months, undoubtably why we're talking about him now.  I often disagree with and don't place much value on his conclusions about said issues, but the mere fact that he introduces them at all is why I follow his programming.  But, as you said about not swallowing flies with the soup, it often requires application of one's BS filter Wink

- Nickbert

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Re: Daily Digest - September 9
nickbert wrote:

C1oudfire-

I've watched Beck semi-regularly for probably a few years now, and I can understand why some people may not like him or refuse to listen to him.  IMO he is kind of a tool and irritating at times, and for all his rants against MSM he still IS a part of MSM.  But despite that, I've found value in his program simply because he brings up issues that you often don't see or doesn't get enough coverage in MSM.  And in fact he's kicked that up a few notches in recent months, undoubtably why we're talking about him now.  I often disagree with and don't place much value on his conclusions about said issues, but the mere fact that he introduces them at all is why I follow his programming.  But, as you said about not swallowing flies with the soup, it often requires application of one's BS filter Wink

- Nickbert

Yup; I guess I think of the folks here as sophisticated enough to have their filters securely in place before viewing anything on the MSM.  Here on CM, I see clear evidence that the majority of people already see through the right/left distortion.  I sometimes forget that's not universally so.  For myself, I don't interpret any link to an MSM video clip as an endorsement of the subject's entire repertoire, or personality.  Nor, if I comment on a given commentator's words, would I expect that poster to take that as an affront to themselves, as I assume that the poster simply thought the material to be worth noting, and is putting it forth for comment, not that they are "married to" the content. 

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Re: Daily Digest - September 9

Turbo, great Gerald Celente clips as well.  i find it so refreshing when you get that rare opportunity to listen to those few individuals (like Chris) who speak [what I believe to be] the truth.  Like a refreshing drink of water!

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