Daily Digest

Image by soozaphone, Flickr Creative Commons

Daily Digest 10/6 - Wells Fargo's Master Spin Job, Why the American Economy Is in Big Trouble

Tuesday, October 6, 2015, 10:28 AM


Wells Fargo's Master Spin Job (richcabot)

For those who are fortunate enough to have forgotten, robo-signing was a common practice that devastated families during the foreclosure crisis. People all over the country found themselves booted out of their homes thanks to bogus affidavits signed by "vice presidents" and "regional managers," who were often scraggly kids just out of college blindly signing hundreds of documents a day, if not more.

China’s Nightmarish Citizen Scores Are a Warning For Americans (Adam L.)

In addition to measuring your ability to pay, as in the United States, the scores serve as a measure of political compliance. Among the things that will hurt a citizen’s score are posting political opinions without prior permission, or posting information that the regime does not like, such as about the Tienanmen Square massacre that the government carried out to hold on to power, or the Shanghai stock market collapse.

U.S. Tax Dollars and Ukraine’s Finance Minister (richcabot)

Before taking Ukrainian citizenship and becoming Finance Minister in December 2014, Jaresko was a former U.S. diplomat who served as chief executive officer of the Western NIS Enterprise Fund (WNISEF), which was created by Congress in the 1990s with $150 million and placed under the U.S. Agency for International Development (USAID) to help jumpstart an investment economy in Ukraine.

Treasury Sells 3-Month Bills At 0% Yield For First Time Ever (richcabot)

"Investors" are so desperate to hold on to short-term paper that they paid $100 for a 3-month Treasury-bill at today's auction. That is a 0% yield - for the first time ever - lower even than the auction right after Lehman's bankruptcy in Nov 2008.

Austerity vs. Hyperinflation: Which Is the Precursor to Revolution? (Aaron M.)

Some people try to claim that hyperinflation is caused by paper money rather than revolution that results in hunting the rich. The German hyperinflation followed the same sequence; the Communist Revolution in 1918 also defaulted on the national debt of the prior government. The default, not paper money, distinguishes both hyperinflation events because CONFIDENCE simply collapsed and the economy imploded. By attributing this to “fiat” paper, they then assume that we must go into hyperinflation simply because we too have paper money. That is an unsupported analysis that distorts the entire sequence of events. This analysis is highly dangerous and amounts to consumer fraud.

How Will We Get There? Three Potential Paths to a Free Society (Steve R.)

Let me preface my description of the first path by declaring that it is presently my personal favorite. I want to be transparent about that ahead of time. This path I am calling “bottom up” because it describes a future where the liberty movement becomes predominately a movement of disadvantaged/lower class people. I have written before about how I think that the seeds of our ideas might find fertile ground among such people. Too often, in my opinion, liberty advocates assume that people without decent education or prospects will necessarily demand more government. They assume that such people will not be able to understand our ideas or be willing to consider them. But I do not think that this is the case, nor do I think that such assumptions are fair to them. Such assumptions strike me as overly cynical and ultimate harmful to our movement.

Why the American Economy Is in Big Trouble (Tiffany B.)

The hints that have peppered Wall Street are the layoff announcements from the companies that are doing the actual hiring, not an estimate of who hired whom and who fired whom.

Challenger, Gray & Christmas, Inc. — a staffing company that compiles all the layoff announcements each month — posted its results for September on October 1, and it wasn’t pretty.

"Life Is Unfair": Talking Inequality With The Hedge Fund Industry's Biggest Cheerleader (jdargis)

Scaramucci, a fervent Republican political fundraiser, was the national finance co-chairman for Scott Walker’s presidential campaign. After Walker’s exit from the race, he signed on to raise Wall Street money for Jeb Bush. We sat down with him last week at the Hunt & Fish Club, the midtown restaurant that he co-owns and that we once called the “Worst Place in Manhattan,” for a conversation about out-of-touch Wall Street elitists, inequality in America, and staying off drugs.

Crucial hurdle overcome in quantum computing (Arthur Robey)

In classical computers, data are rendered as binary bits, which are always in one of two states: 0 or 1. However, a quantum bit (or 'qubit') can exist in both of these states at once, a condition known as a superposition. A qubit operation exploits this quantum weirdness by allowing many computations to be performed in parallel (a two-qubit system performs the operation on 4 values, a three-qubit system on 8, and so on).

Gold & Silver

Click to read the PM Daily Market Commentary: 10/5/15

Provided daily by the Peak Prosperity Gold & Silver Group

Article suggestions for the Daily Digest can be sent to [email protected]. All suggestions are filtered by the Daily Digest team and preference is given to those that are in alignment with the message of the Crash Course and the "3 Es."


saxplayer00o1's picture
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4260
central bank stimulus (search link)

Stimulus and rumors of stimulus. See for yourself:

central bank stimulus (search link)


IMF now sees Latam recession this year as Brazil slumps

Reuters - ‎51 minutes ago‎
LIMA Oct 6 The International Monetary Fund said Tuesday that it now expects Latin America's economy to shrink 0.3 percent this year instead of growing 0.5 percent, largely due to a steep recession in Brazil and slumping commodity prices. It would be ...

IMF predicts lowest global growth since recession year of 2009

Irish Times - ‎8 minutes ago‎
China's slowdown and tumbling commodity prices will push global economic growth this year to the lowest level since the recession year 2009, the International Monetary Fund has predicted. In a report in advance of the IMF-World Bank annual meetings in ...

German factory orders fall as global growth slows

RT-6 hours ago
August German factory orders slid unexpectedly for the second month running; a sign Europe's largest economy is being hit by slowing global growth. Orders ...

Fitch: Emerging Market Vulnerability Weighing on Global Growth Outlook

Business Standard - ‎9 hours ago‎
In its latest Global Economic Outlook (GEO) Fitch Ratings forecasts the global economy will grow by just 2.3% in 2015, the weakest since the global financial crisis in 2009, dragged down by a recession in Brazil and Russia and a structural slowdown in ...
sand_puppy's picture
Status: Diamond Member (Offline)
Joined: Apr 13 2011
Posts: 2069
Are you guy's watching the drama in Syria?

Lots going on there.

blackeagle's picture
Status: Silver Member (Offline)
Joined: May 16 2013
Posts: 229
Syria Drama

SP, any link?


Bankers Slave's picture
Bankers Slave
Status: Platinum Member (Offline)
Joined: Jul 26 2012
Posts: 523
For those in the UK, 9/11 doumentary film to be released 9/11/15


thc0655's picture
Status: Diamond Member (Offline)
Joined: Apr 27 2010
Posts: 1744
Another car we're not allowed to buy in the US


Would you be interested in a brand-new, fully warranted, five-door crossover SUV built by a major, name-brand automaker that gave you 50-plus MPG with a gas (not diesel or hybrid) engine, that has a top speed around 125 mph, is capable of getting to 60 in 12 seconds (about the same as a Prius hybrid) that stickered for less than $5,000?Kwid lead

Yeah, me too.

It’s called the Renault Kwid (see here) and it looks kinda-sorta like a Nissan Juke or Kia Soul and is about the same size as those units.

It isn’t a latter-day Yugo either.

The Kwid comes standard with AC, power windows and a digital dashboard, a seven-inch LCD display in the center stack and most of the apps you’d find in a new Soul or Juke.

It also has a modern, fuel-injected engine and a five-speed overdrive transmission.    

The difference is the Kwid costs about a third what a new Juke or Soul would cost you to buy: Its base price is just $4,700 (not counting taxes and tags).    

Too bad we can’t buy one.

Not because such a vehicle isn’t available.

It’s just not available here.

Neither are other such cars, like the Suzuki Alto 800 (53 MPG and a base price of $3,870; $5,755 loaded) and the Hyundai Eon (50 MPG and $4,856 to start; $6,636 loaded).Qwid interior

Because Uncle.

His “safety” mandates make these vehicles illegal for sale in the United (at gunpoint) States. Even though the Kwid has an air bag – the main fetish item of America’s gone-off-the-deep-end Safety Cult.

It just doesn’t have enough of them...

Nor the fact that the Kwid’s emissions are also a fraction of those produced by cars that were legal for sale in this country as recently as the 1990s. Unfortunately – for us – the Kwid doesn’t meet current federal standards, which ceased being reasonable back in the ’90s. Current federal standards pursue the remaining 1-3 percent of a new car’s exhaust emissions not yet “controlled” with an Inspector Javert-like mania – irrespective of cost and even when achieving compliance results in more emissions, grand scheme of things.

It doesn’t matter that the Kwid’s less-than-one-liter three cylinder engine produces a smaller total volume of exhaust – because it burns less fuel – which means that on the whole, its emissions output is lower than U.S.-legal cars with much larger (1.8-2.5 liter four cylinder, typically) engines that burn much more fuel overall and so produce a greater volume of exhaust gas.

And, therefore, more emissions...

The problem isn’t the Kwid’s emissions – or its “safety.”

It is both reasonably clean and safe – as well being extremely fuel efficient (surpassing by at least 10 MPG the highest numbers achieved by any non-hybrid car currently available for sale in the United States).

It is that the Kwid is inexpensive – and that is a dagger aimed at the heart of the debt-financed Jenga castle that is the U.S. economy.

If this car were available here, people would once again be able to stroke a check for a brand-new car. No monthly payment for the next six years. They’d have money in the bank – rather be in hock to bankers.debt pic

The Kwid costs less than the options packages on many new cars. The Hyundai Eon costs even less.

The competitive pressure that the availability of such cars would put on the established automakers would be tremendous. They’d have to lower the cost of their cars, too, to remain in the game. People would realize that a decent new car, with more luxury amenities than most luxury cars had 20 years ago, need not cost $20,000 or even $15,000 – or even $10,000.

And they’d know exactly how much “safety” and “emissions” mandates emanating out of the various orifices in Washington have been costing them.

Most people are blind to it because these costs are very astutely folded into the cost of the car. There is no line-item for air bags, or the now-mandatory back-up cameras. Let alone the enormous costs imposed on consumers via the government’s various impact/rollover resistance standards...

Now – today – almost every new car has at least six air bags. Not only do the cars cost thousands more as a result, they also cost thousands more to fix (and insure).

They are heavier – and much less fuel efficient – than they might otherwise be. The Kwid and Eon and the Suzuki Alto are four-wheeled/real-deal proof of this. They show us what we could have – were it not for the effrontery (and cupidity) of the government (and the car cartels) who now work together to shear us like sheep, while telling us it’s all for our own good, to keep us “safe.”


Boomer41's picture
Status: Silver Member (Offline)
Joined: Nov 30 2008
Posts: 138
Cost of 'Safety'

The article about the "Car we are not allowed to buy in the US" claims a lot of the cost of a car we are allowed to buy here is in the hidden cost of safety features such as air bags. Allegedly, the Indians and Pakistanis (who can buy this car) don't value safety as much as Americans. But really, isn't this just another example of the Nanny State obliging us to pay for stuff we don't want or need.

When I was much younger, I used to tear around the UK in one of the original Mini Coopers. It had none of the safety features mandated in modern vehicles. No airbags, no anti-lock brakes, no back-up camera, no side impact beams. Maybe I was lucky, but I didn't die as a result - even when I rolled it over into a field.

Think how much money we, as a nation, would save if the government would just quit trying to 'keep us safe'. For example, we could board aircraft without standing in lines for hours in order to submit to the ritual humiliation at the hands of the proven-to-be-ineffective TSA. How many billions of otherwise productive man-hours would that save?

Eliminating the BATF would also save a lot of taxpayers money and I imagine it would have a negligible effect on our safety - might even improve it. Same with the 'War on Terror'. How cost effective has it been 'keeping us safe' from Al Qaeda?

Upon consideration, I would rather keep more of what I earn, take my chances with the terrorists and be responsible for my own safety.



Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
Watch Cancer Die.

I can see light at the end of the tunnel. 

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936

My understanding is that the MIC take a dim view of Vlad pummeling their "" moderate"" al Nusra boys.

(al Nusra is a rebranded al Qaeda. Remember them? 9/11? No? )

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
A good read Bankers

Nothing there but conformation, but it is good that there are still men in the world. 

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
Word of the Day.


In sociology and economics, the precariat is a social class formed by people suffering from precarity, which is a condition of existence without predictability or security, affecting material or psychological welfare as well as being a member of a proletariat class of industrial workers who lack their own means of production and hence sell their labour to live. Specifically, it is applied to the condition of lack of job security, in other words intermittent employment or underemployment and the resultant precarious existence.[1] The emergence of this class has been ascribed to the entrenchment of neoliberal capitalism.[2][3]




Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
A Jew criticizes Germany's suicide. 

A Jew criticizes Germany's suicide. 

HughK's picture
Status: Platinum Member (Offline)
Joined: Mar 6 2012
Posts: 764
Duckspeak at Peak Prosperity
Arthur Robey wrote:

A Jew criticizes Germany's suicide. 

"Major terrorist attacks are an inside job, and large, powerful governments present a greater danger to people than supposed rogue loners and terrorist networks"

"Muslims are terrorists and they will destroy Western civilization."

Quack quack quack

I'd spend more energy going over why the speaker in the linked youtube video and a few people here are engaging in doublethink if I thought that it would make a difference. 

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
Donald's Sinuses.

I'll let my video stand on it's own merits.

I would like to be a fly on the wall in a NATO planning room. Military  men can be very clear eyed about these things. Death has a way of clearing one's sinuses. 

LesPhelps's picture
Status: Platinum Member (Offline)
Joined: Apr 30 2009
Posts: 819
Wells Fargo HomeLIFT

Instead of forcing Wells Fargo to reimburse the people who were foreclosed on by fraudulent means, the court is having Wells Fargo dole out the money in designated neighborhoods to new home buyers in the form of down payment assistance.

So now, the courts and Wells Fargo are encouraging marginal home buyers to enter the home market when it's at a peak.  When the Fed finally looses control of the stock and bond markets and they drop to a more realistic valuation, house prices, in many areas, will follow the downward trend.

HomeLIFT is, to a large extent, increasing the pool of people who will be subject to the next mass foreclosure event.

Insanity is running loose and rampant in the land of the free.

Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936
I think The Petro-dollar Just

I think The Petro-dollar Just died. 


Arthur Robey's picture
Arthur Robey
Status: Diamond Member (Offline)
Joined: Feb 4 2010
Posts: 3936


davefairtex's picture
Status: Diamond Member (Offline)
Joined: Sep 3 2008
Posts: 5738
russian missiles

Eh, I will be really impressed if Russia can "stabilize" the situation in Syria with a volley of missiles and a few thousand Hezbollah fighters who have already been engaged in Syria for years now.

But who knows, maybe it really is just that simple.



saxplayer00o1's picture
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4260
Once the Biggest Buyer, China Starts Dumping US Government Debt

Once the Biggest Buyer, China Starts Dumping US Government Debt

Wall Street Journal-9 hours ago
Central banks around the world are selling U.S. government bonds at the fastest pace on record, the most dramatic shift in the $12.8 trillion Treasury market ...

China's Foreign Exchange Reserves Drop $43.26 Billion in September

Wall Street Journal-8 hours ago
An analysis by consultancy McKinsey & Co. shows that China's debt load has increased to 282% of its GDP last year from 158% in 2007. But in recent months, ...

$3 trillion corporate credit crunch looms as debtors face day of ...

Telegraph.co.uk-25 minutes ago
Although governments in the developing world had taken the right policy actions to strengthen their public finances and reduce external debt, leveraged banks ...

UPDATE 1-Taiwan throws in towel on 2015 global export recovery ...

Reuters-4 hours ago
Exports sank last month for the eighth month in a row and at the second-fastest pace in over two years, reinforcing the rationale behind the central bank's ...

The Case for the World Economy's Defense as Recession Fears Rise

Bloomberg-6 hours ago
What about contemporary risks such as the slump in emerging markets in a world they hold greater sway, or a lack of room for central banks to inject more ...

Bond Selloff Wanes Amid Signs Europe Infected by Economic Slump

Bloomberg-1 hour ago
... earlier on Wednesday as the government prepared to auction debt securities ... Germany alloted 3.253 billion euros of 1 percent bonds maturing in 2025 at an ...

61064 Failing Bridges Must Wait as Cities Borrow at Decade Low

Bloomberg-21 hours ago
States and cities rely on the $3.7 trillion U.S. municipal-bond market to pay for roads, ... About $14.8 billion of municipal debt has been sold this year for highway, ...

Even top juniors are running out of money

MINING.com-20 hours ago
The drying up of equity and debt markets coupled with new lows in cash ... Market capitalization dropped significantly from $7.9 billion to $4.8 billion as of June, ...

Spain's Finance Minister Slams EU's Deficit Target 'Fixation'

Wall Street Journal-5 minutes ago
Spain's central government collected €175 billion in tax revenue last year, up from €161.8 billion in 2011. The deficit has dropped from 8.9% of GDP since Mr.

PSERS: Billions in Pa., local school pension dollars still not enough

Philly.com (blog)-1 hour ago
The total will be closer to $2.5 billion this fiscal year and is scheduled to rise ... last year to help fund PSERS and keep its multibillion-dollar deficit from growing.

PSERS misses earnings assumption, cuts investment expenses

Central Penn Business Journal-33 minutes ago
If low returns continue, they could lead to higher pension contributions from the ... As of the fiscal year that ended in June 2014, the system's unfunded liability ...

Norway to Start Withdrawals From Oil Fund to Plug Deficits

Bloomberg-6 hours ago
Norway predicts it will for the first time need to withdraw cash from its $820 billion sovereign wealth fund as western Europe's biggest oil exporter uses a record ...

Canada not prepared for 'demographic bomb,' Mulcair says as he ...

Vancouver Sun-14 hours ago
“By adopting Stephen Harper's budget and rushing to eliminate the deficit in just ... Mulcair also criticized Prime Minister Stephen Harper's announced $1 billion ...


Mark Cochrane's picture
Mark Cochrane
Status: Diamond Member (Offline)
Joined: May 24 2011
Posts: 1227
regarding Wells Fargo HomeLIFT

So let me understand this. HomeLIFT is designed to allow Wells Fargo atone for stealing from the poor people who were barely making ends meet (fraudulent foreclosures) and give it to even poorer people who can't possibly survive the home market, so that they can then again foreclose on those poor suckers and still keep their ill-gotten gains anyway. Talk about a whitewash of Wells Fargo's theft, the only thing accomplished is the destruction of even more people's credit scores. I just can't see how they will keep this limited to Wells Fargo, all the banks will want in on this scam.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Login or Register to post comments