It’s Official: $16,015,769,788,215.80 – BaRaCK OBaMa’S HoPeLeSS DeBT BRoKe BaND…

It’s Official: $16,015,769,788,215.80 (ZeroHedge, Sep 4, 2012):

A week ago, following the unsettled auction of the just concluded 2 Year bond issue, we calculated that the total US debt just crossed a psychological boundary that it will never cross to the downside ever again. Today, we just got the official confirmation courtesy of all auctions from last week finally settling. Sure enough, as of Friday, the official debt tally is now $16,015,769,788,215.80.

And for those who care about such things, the total debt/GDP is now, assuming the same GDP growth in Q3 as in Q2, at 102%, up from 76.5% when President Obama took office.


BaRaCK OBaMa’S HoPeLeSS DeBT BRoKe BaND… (ZeroHedge, Sep 4, 2012):


’30 Percent Complete’: Iran’s ‘Better’ Substitute For S-300 May Be Ready In 2013

’30 per cent complete’: Iran’s ‘better’ substitute for S-300 may be ready in 2013 (RT, Sep 4, 2012):

Iran has constructed nearly a third of the missile defense system it is developing in lieu of the S-300 system Moscow refused to sell it. The Islamic Republic hopes the system will be completed by next year, a senior military official said.

Brigadier General Farzad Esmaili, a commander of the Iranian army’s air defense force, said the Bavar-373 (Belief-373) system was 30 per cent complete while speaking to reporters on the National Day of Air Defense in Tehran on Monday.

Read more’30 Percent Complete’: Iran’s ‘Better’ Substitute For S-300 May Be Ready In 2013

‘US To Iran: In Case Of Israeli Strike, Don’t Fire On Our Bases’

FYI.


Washington tells Tehran that it will not join in an Israeli attack on Iran’s nuclear program


The flight deck of the USS Abraham Lincoln as it patrols the Persian Gulf

‘US to Iran: In case of Israeli strike, don’t fire on our bases’ (The Times of Israel, Sep 3, 2012):

The United States has no intention of joining in a preemptive Israeli strike on Iran and expects the Islamic Republic to refrain from attacking US targets in the case of such an attack, senior Washington officials told their Iranian counterparts, according to a report in Yedioth Ahronoth on Monday.In recent days, senior administration officials reportedly sent messages to Iran, through diplomats from two European states, addressing the possibility that Israel would launch a unilateral strike and establishing that the US expects Iran to not draw it into a conflict by firing on American army bases and aircraft carriers in the Persian Gulf.

Monday’s report came amid widespread debate over the level of coordination between Israel and the US on halting Iran’s nuclear program, which — despite assurances by US Ambassador to Israel Dan Shapiro on Sunday that the relationship is as good as ever — appeared to be strained.

While Israel has warned that the Iranians are quickly approaching a potential weapons capability and that the use of force must be seriously considered, the US says sanctions and international diplomacy must be given more time to work.

Read more‘US To Iran: In Case Of Israeli Strike, Don’t Fire On Our Bases’

What About Israel’s Nuclear Weapons? (Washington Post, Sep 1, 2012)

What about Israel’s nuclear weapons? (Washington Post, Sep 1, 2012):

Readers periodically ask me some variation on this question: “Why does the press follow every jot and tittle of Iran’s nuclear program, but we never see any stories about Israel’s nuclear weapons capability?”

It’s a fair question. Going back 10 years into Post archives, I could not find any in-depth reporting on Israeli nuclear capabilities, although national security writer Walter Pincus has touched on it many times in his articles and columns.

I spoke with several experts in the nuclear and nonproliferation fields , and they say that the lack of reporting on Israel’s nuclear weapons is real — and frustrating. There are some obvious reasons for this, and others that are not so obvious.

Read moreWhat About Israel’s Nuclear Weapons? (Washington Post, Sep 1, 2012)

19 Signs That Israel And Iran Are On The Verge Of War

FYI.


19 Signs That Israel And Iran Are On The Verge Of War (The American Dream, Sep 2, 2012):

There is going to be war in the Middle East.  It is just a matter of time until it happens.  Israel has decided that there is no way that it can ever allow Iran to develop the capability to build nuclear weapons.  Iran has gone “all-in” on developing a nuclear program and it has become a matter of national pride at this point.  Iran does not fear an Israeli attack against its nuclear program.  In fact, Iran anticipates that an Israeli attack would cause the Islamic nations of the Middle East to come together and declare war against Israel.  Sadly, there is a very strong chance that an Israeli attack on Iran would actually spark a larger regional war.  But there is no way that Israel is going to allow Iran to develop the capability to build nuclear weapons, and time for a strike may be running out.  It has become quite clear that the Obama administration does not want to strike Iran.  So if Israel wants to do something about Iran, Israel is going to have to be the one to do it.  But if Obama wins the U.S. election in November, he might work to actively block Israel from attacking Iran for his entire second term, and the Israelis believe that by 2016 it will be way too late to do anything about Iran’s nuclear program.  If Israel attacks before the election, Obama would be in danger of appearing to be “anti-Israel” if he came out against the attack.  And considering the fact that Jewish voters are a key voting block in swing states such as Florida that is not something he would want to do.  But after the election Obama would not have to worry about what Jewish voters think.  After the election Obama could move to block an attack on Iran indefinitely.

Read more19 Signs That Israel And Iran Are On The Verge Of War

18 Indications That Europe Has Become An Economic Black Hole Which Is Going To Suck The Life Out Of The Global Economy

18 Indications That Europe Has Become An Economic Black Hole Which Is Going To Suck The Life Out Of The Global Economy (Economic Collapse, Sep 3, 2012):

Summer vacation is over and things are about to get very interesting in Europe.  Most Americans don’t realize this, but much of Europe shuts down for the entire month of August.  I wish we had something similar in the United States.  But now millions of Europeans are returning from their extended family vacations and the fun is about to begin.  During August economic conditions continued to degenerate in Europe, but I figured that it wouldn’t be until after August that the European debt crisis would take center stage once again.  And as I wrote about last week, if there is going to be a financial panic, it typically happens in the fall.  The stock market has seen quite a nice rally over the summer, and many investors are nervous that we could see a significant “correction” very soon.  The month of September has been the absolute worst month for stock performance over the past 50 years, and it has also been the absolute worst month for stock performance over the past 100 years as well.  Of course that does not guarantee that anything is going to happen this year.  But things in Europe continue to get worse.  Unemployment rates are spiking, manufacturing activity is slowing down, housing prices are crashing and major financial institutions are failing.  What is happening in Europe right now appears to be an even worse version of what happened to the United States back in 2008.

Read more18 Indications That Europe Has Become An Economic Black Hole Which Is Going To Suck The Life Out Of The Global Economy

803 Years Of Global Inflation (Chart Of The Day)

Chart Of The Day: 803 Years Of Global Inflation (ZeroHedge, Sep 4, 2012):

Spot the point in this 803 year timeline of world inflation, when the Fed was created.

The chart above comes courtesy of Jim Reid’s fantastic “Journey into the Unknown” which we will dissect in much more detail shortly. For now we wanted to bring our readers attention to what is arguably the most important aspect of modern monetary times: the advent of persistent inflation, and the disappearance of deflation.

Read more803 Years Of Global Inflation (Chart Of The Day)

Fears Rising, Spaniards Pull Out Their Cash And Get Out of Spain (New York Times, Sep 3, 2012)

Fears Rising, Spaniards Pull Out Their Cash and Get Out of Spain (New York Times, Sep 3, 2012):

LONDON — It is, Julio Vildosola concedes, a very big bet.

After working six years as a senior executive for a multinational payroll-processing company in Barcelona, Spain, Mr. Vildosola is cutting his professional and financial ties with his troubled homeland. He has moved his family to a village near Cambridge, England, where he will take the reins at a small software company, and he has transferred his savings from Spanish banks to British banks.

“The macro situation in Spain is getting worse and worse,” Mr. Vildosola, 38, said last week just hours before boarding a plane to London with his wife and two small children. “There is just too much risk. Spain is going to be next after Greece, and I just don’t want to end up holding devalued pesetas.”

Mr. Vildosola is among many who worry that Spain’s economic tailspin could eventually force the country’s withdrawal from the euro and a return to its former currency, the peseta. That dire outcome is still considered a long shot, even if Spain might eventually require a Greek-style bailout. But there is no doubt that many of those in a position to do so are taking their money — and in some cases themselves — out of Spain.

In July, Spaniards withdrew a record 75 billion euros, or $94 billion, from their banks — an amount equal to 7 percent of the country’s overall economic output — as doubts grew about the durability of Spain’s financial system.

Read moreFears Rising, Spaniards Pull Out Their Cash And Get Out of Spain (New York Times, Sep 3, 2012)

Spain Is Running Out Of Cash

Is Spain Running Out Of Cash? (ZeroHedge, Sep 3, 2012):

Some hours ago Spain finally bit the bullet, and after months of waffling had no choice but to hand over €4.5 billion (the first of many such cash rescues) in the form of a bridge loan to insolvent Bankia, which last week reported staggering losses (translation: huge deposit outflows which have made the fudging of its balance sheet impossible). As a reminder, in June Spain formally announced it would request up to €100 billion in bailout cash for its insolvent banking system, which subsequently was determined would come from the bank rescue fund, the Frob, which in turn would be funded with ESM debt which subordinates regular Spanish bonds, promises to the contrary by all politicians (whose job is to lie when it becomes serious) notwithstanding. And while Rajoy has promised that the whole €100 billion will not be used, the truth is that considering the soaring level of nonperforming loans in Spain – the biggest drain of both bank capital and liquidity – it is guaranteed that the final funding need for Spain’s banks will be far greater. As a further reminder, Deutsche Bank calculated that when (not if) the recap amount hits €120 billion, Spanish total debt/GDP would soar to 97% in 2014 from an official number of 68.5% in 2011 (luckily the endspiel will come far sooner than that). But all of that is well-known, and what we wanted to focus on instead was the fact that bank bailout notwithstanding, Spain will have no choice but to demand a full blown rescue within a few short months for one simple reason: its cash will run out.

Read moreSpain Is Running Out Of Cash

Overnight Sentiment: Hoping There Is Hope

The truth Mr. Schäuble is that …

The ESM Violates The Law And EU Treaties (Welt, Sep 4, 2012)


–  Overnight Sentiment: Hoping There Is Hope (ZeroHedge, Sep 4, 2012):

Yesterday we dedicated significant space to the most recent piece of perfectly ludicrous propaganda out of the ECB, namely that monetizing debt with a maturity up to three years is not really monetization but is instead within the arena of “money market management” (images of Todd Akin defining when something is ‘legitimate’ and when it isn’t swimming our heads). The implication of course is that debt under 3 years is not really debt, but some mystical piece of paper that nobody should be held accountable for. Hopefully all those consumers who have short-maturity credit card debt which nonetheless yields 29.95% APR are made aware of this distinction and decide to follow through with Mario Draghi’s logic, which is about to take the war of words between Germany and the ECB to the next level. Sure enough, this is precisely the news item that is dominating bond risk markets this morning, if not so much futures, and sending Spanish and Italian 2s10s spreads to record wides on hopes Draghi will definitely announce some sub 3 year monetization program for the PIIGS. Bloomberg summarized this best last night when it commented on the move in the EURUSD, since retraced, that we now have speculation Draghi’s move will bolster confidence.  In other words: the market is now hoping there is hope. Sure enough, even if Draghi follows through, for the ECB to monetize Spanish bonds, Spain still has to demand a bailout, which however is now absolutely out of the question as mere jawboning has moved the entire highly illiquid curve so steep Rajoy (and Monti) have absolutely no reason to hand over their resignations (i.e., request a bailout). And so we go back to square one. But logic no longer matters in these markets.

Read moreOvernight Sentiment: Hoping There Is Hope

The ESM Violates The Law And EU Treaties (Welt, Sep 4, 2012)

Google translation here: The ESM Violates the Law And EU Treaties (Welt, Sep 4, 2012):

The Federal Constitutional Court rules on 12. September on the constitutionality of the European Stability Mechanism (ESM) . The European Court verifies that violates the euro bailout of EU law. The Constitutional Court has already made clear that a new Euro Treaty and further financial support to weaker euro-zone countries do not cancel the Budget Law of the Federal Parliament must.

The ESM can buy directly from euro zone countries to provide them with government bonds or loans. This allowed the ECB officially not the EU Treaty. However, it emphasizes the federal government sees the ESM prior to a cap of 700 billion euros and limited the German share of it applies to “only” 190 billion euros. Apparently reading the Parties from politicians not or do not understand the details. The ESM is clearly illegal.

Original article here: ESM verstößt gegen Gesetz und EU-Verträge (Welt, Sep 4, 2012):

Das Bundesverfassungsgericht urteilt am 12. September über die Verfassungsmäßigkeit des Europäischen Stabilitätsmechanismus (ESM). Auch der Europäische Gerichtshof prüft, ob der Euro-Rettungsschirm gegen EU-Recht verstößt. Das Verfassungsgericht hat bereits klargestellt, dass ein neuer Euro-Vertrag und weitere finanzielle Unterstützung für schwächere Euro-Staaten das Budgetrecht des Bundestages nicht aufheben dürfen.

Der ESM darf direkt von Euro-Zone-Staaten Staatsanleihen aufkaufen oder diesen Kredite gewähren. Dies darf die EZB laut EU-Vertrag offiziell nicht. Allerdings, so betont die Bundesregierung, sieht der ESM eine Haftungsobergrenze von 700 Milliarden Euro vor und begrenzt den deutschen Anteil daran eindeutig auf “nur” 190 Milliarden Euro. Offenbar lasen die Politiker den Vertag nicht oder sie verstehen dessen Details nicht. Der ESM ist eindeutig rechtswidrig.

Signs of Extreme Distress: Why You’re A Lot Poorer Than You Thought You Were

Signs of Extreme Distress -Why You’re a Lot Poorer Than You Thought You Were (CounterPunch):

by MIKE WHITNEY

You’re a lot poorer than you thought you were.

According to a report by Sentier Research “real median annual household income… has fallen by 4.8 percent since the ‘economic recovery’ began in June 2009.”

That’s worse than the 2.6 percent decline that took place during the recession itself. (between July 2007 to June 2009) All told–from the beginning of the slump in 2007 until today–median household income has dropped an eyewatering 7.2 percent. (“Changes in Household Income During the Economic Recovery: June 2009 to June 2012?, Sentier Research)

Like I said, you’re a lot poorer than you thought you were.

Read moreSigns of Extreme Distress: Why You’re A Lot Poorer Than You Thought You Were

Caption Contest: Defining ‘Legitimate Monetization’

Caption Contest: Defining “Legitimate Monetization”

The legitimacy of vulgar acts has been making headlines recently and so this morning’s rumors of Mario Draghi’s insistence to the European parliament that direct ECB buying three-year sovereign bonds is not ‘monetary’ state-financing got us thinking – just what is ‘legitimate monetization’ or perhaps “It’s not monetization if…”

or perhaps – George Costanza is on to something:


YouTube

30,000 Dead North Carolinians Registered To Vote

See also:

US Government Programmer Testifies Under Oath That Voting Machines Are Rigged (Video)


Group says it found 30,000 dead North Carolinians registered to vote (Charlotte Observer, Sep 3, 2012):

RALEIGH A Raleigh-based group devoted to reducing the potential for voter fraud presented the N.C. Board of Elections on Friday with a list of nearly 30,000 names of dead people statewide who are still registered to vote.

The Voter Integrity Project compiled the list after obtaining death records from the state Department of Public Health from 2002 to March 31 and comparing them to the voter rolls.

Read more30,000 Dead North Carolinians Registered To Vote

US Government Programmer Testifies Under Oath That Voting Machines Are Rigged (Video)

“It is enough that the people know there was an election. The people who cast the votes decide nothing. The people who count the votes decide everything.”
– Joseph Stalin



YouTube Added: 20.10.2011

Description:

20.10.2011 Rep. Tom Feeney (Fmr. Speaker of The House in Florida) employed this man from Oviedo, FL to rig elections and flip them 51% to 49%. Exit polling data was proven to be significantly different than the published results. Rep. Feeney was also the lobbyist for Yang Enterprises, the company who delivered the program.


THE ONION: Diebold Accidentally Leaks Results Of 2008 Election Early:

US Flew Highly Classified Global Hawk Spy Drone Missions From Australia


Photo: A Global Hawk spy drone inside a hangar at Andersen Air Force Base on Guam, safe from the prying eyes of Russian and Chinese satellites. (Supplied: US Air Force)

Revealed: US flew spy drone missions from Australia (ABC News, Sep 3, 2012):

The United States flew highly classified Global Hawk spy drone missions from the Royal Australian Air Force base at Edinburgh in South Australia from late 2001 until at least 2006.

The operations were detected by a group of Adelaide aviation historians who had a member monitoring aircraft radio frequencies 20 hours a day.

With a wingspan greater than a 737 airliner and a $200 million price tag, the RQ-4 Global Hawk is the biggest, most expensive unmanned aerial vehicle to ever take to the skies.

The spy drone is the jewel in the crown of America’s global electronic intelligence-gathering network. Global Hawk operations are cloaked in secrecy, and the US Air Force likes to keep it that way.

Read moreUS Flew Highly Classified Global Hawk Spy Drone Missions From Australia

EU’s Poorest Member Country Smacks Down Euro As Bulgaria Refuses To Join Eurozone

EU’s Poorest Member Country Smacks Down Euro As Bulgaria Refuses To Join Eurozone (ZeroHedge, Sep 3, 2012):

If one needs a shining example of why the days of Europe’s artificial currency are numbered, look no further than the EU’s poorest country which moments ago said “Ne Mersi” to the Eurozone and the European currency. From the WSJ: “Bulgaria, the European Union’s poorest member state and a rare fiscal bright spot for the bloc, has indefinitely frozen long-held plans to adopt the single currency, marking the latest fiscally prudent country to cool its enthusiasm for the embattled currency. Speaking in interviews in Sofia, Prime Minister Boyko Borisov and Finance Minister Simeon Djankov said that the decision to shelve plans to join the currency area, a longtime strategic aim of successive governments in the former communist state, came in response to deteriorating economic conditions and rising uncertainty over the prospects of the bloc, alongside a decisive shift of public opinion in Bulgaria, which is entering its third year of an austerity program. The momentum has shifted in our thinking and among the public…Right now, I don’t see any benefits of entering the euro zone, only costs,” Mr. Djankov said. “The public rightly wants to know who would we have to bailout when we join? It’s too risky for us and it’s also not certain what the rules are and what are they likely to be in one year or two.

When a parasitic technocrat asks to shake your hand, you refuse:

Of course, Bulgaria is right: at this point the only “upside” to new EMU entrants is for the unelected Brussels technocrats, who are now the butt of every possible joke, to demand said countries hand over their middle class’ wealth in order to bailout Greece, Portugal, Ireland, Spain, Italy and all the rest of the “wealthy and developed.” And since. in trader jargon, by not being “long” the euro, Bulgaria is effectively “short” it, expect to hear some rather disparaging statements emanating out of Europe’s insolvent core vis-a-vis the poor nation shortly.

From the WSJ:

Prime Minister Boyko Borisov said concerns had been heightened by growing disputes between policy makers, some of whom back Germany’s call to give priority to fiscal discipline over growth, while others want a more expansionary policy.

Read moreEU’s Poorest Member Country Smacks Down Euro As Bulgaria Refuses To Join Eurozone

Socialist Lampoon’s European Vacation Is Over As Merkel Calls To Order

Socialist Lampoon’s European Vacation Is Over As Merkel Calls To Order (ZeroHedge, Sep 3, 2012):

Ahead of this week’s ‘critical’ game-changing events – or not – it seems Europe’s true overlord-ess is back, and now, tanned and relaxed, she is making clear that nothing about her (or her country’s) view of the world has changed – no matter how much Draghi, Monti, Hollande, Rajoy or Samaras jawbone about it. It would seem by her words that expectations are being set and conditionality remains key – which means no matter what the ECB does – it is a can-kick no nearer an end-solution; and the market in its wisdom will price through that can-kick (after knee-jerking first of course): (via Bloomberg)

  • *MERKEL SAYS `DEBT MEANS DEPENDENCY’
  • *MERKEL SAYS EU MUST ENSURE THAT IT FIRST EARNS WHAT IT SPENDS
  • *MERKEL SAYS `ECONOMY THERE FOR PEOPLE, NOT PEOPLE FOR ECONOMY’
  • *MERKEL SAYS EUROPE HAS TO LEARN TO ONLY SPEND WHAT IT TAKES IN
  • *MERKEL SAYS TOO MANY IN EUROPE HAVE LIVED BEYOND THEIR MEANS
  • *MERKEL ‘ABSOLUTELY CONFIDENCE’ ECB TO WORK WITHIN ITS MANDATE

Carpe Diem, Quam Minimum Credula Postero

Carpe Diem, Quam Minimum Credula Postero (ZeroHedge, Sep 3, 2012):

Via Mark J. Grant, author of Out of the Box,(Latin)

“Seize the day, put no trust in tomorrow.”

Tomorrow, September 4, 2012 will be a defining moment. Mr. Draghi will release to the European Central Banks his plan to save the Continent. The plan will get leaked, no doubt, and the consternation will begin throughout Europe. Today the German Economy Minister went public and announced that he supports Weidmann, the head of the German Central Bank, in his opposition to the European Central Bank’s plans to buy debt of Eurozone countries with high borrowing costs, saying that they could not replace economic reforms. I think we may all read this as Frau Merkel’s position as well as Herr Roesler does not speak without approval. The stage is now set for battle.

“A good soldier in an enemy’s country should everywhere and at all times be on the alert. It has been one of the rules of my life, and if I have lived to wear grey hairs it is because I have observed it.”

-Sir Arthur Conan Doyle, The Adventures of Gerard

Spain wants the ECB to buy their debt without limit. France, Greece, Portugal, Italy and Cypress are lined up with Spain. The “have nots” are demanding divine intervention; the “haves” are not willing to tithe or to provide the necessary “indulgence” to send Madrid into Heaven. It is not the Barbarians but Martin Luther at the gate and I expect rancor and the spitting of Hell-fire. The Draghi plan, whatever it is going to be, will cause a very serious division of the faithful in Europe and I expect quite a fight. Spain and perhaps Italy are waiting on the plan before lining up for hand-outs and the trouble in Europe keeps escalating. Over the weekend the largest mortgage lender in France had to be bailed out and I expect the cost to be between $40-50 billion. In Spain Bankia had to be rescued and besides the initial payment of $5-6 billion you may expect a $30-40 billion injection required. In Italy the oldest bank in the world, Monte Paschi, turned to the nation to get bailed out in the last few days. The events may be isolated but a pattern is beginning to develop and the amount of money required will send shell-shocks through the national budgets of a number of countries in Europe.

“Once more unto the breach, dear friends, once more…”

-William Shakespeare, Henry V

The Battle Of Frankfurt

Read moreCarpe Diem, Quam Minimum Credula Postero

Global Manufacturing Update Indicates 80% Of The World Is Now In Contraction

Global Manufacturing Update Indicates 80% Of The World Is Now In Contraction (ZeroHedge, Sep 3, 2012):

With the US closed today, the rest of the world is enjoying a moderate rise in risk for the same old irrational reason we have all grown to loathe in the New Normal: expectations of more easing, or “bad news if great news”, this time from China, which over the weekend reported the first official sub-50 PMI print declining from the magical 50.1 to 49.2, as now even the official RAND() Chinese data has joined the HSBC PMI indicator in the contraction space for the first time since November. Sadly, following today’s manufacturing PMI update, we find that the rest of the world is not doing any better, and in fact of the 22 countries we track, 80% are now in contraction territory. True, Europe did experience a modest bounce from multi-month lows of 44 in July to 45.1 in August (below expectations of 45.3), but this is merely a dead cat bounce, not the first, and certainly not the last, just like the US housing, and now that China is officially in the red, expect the next shoe to drop in Europe. Also expect global GDP to eventually succumb to the manufacturing challenges faced by virtually every country in the world, and to post a negative print in the coming months.

And charted via MarkIt:

Read moreGlobal Manufacturing Update Indicates 80% Of The World Is Now In Contraction

Spain: For Whom The Bell Now Tolls

Spain: For Whom The Bell Now Tolls (ZeroHedge, Sep 2, 2012):

Via Mark J. Grant, author of Out of the Box,“It is an old saying; the Devil lurks behind the cross. All is not gold that glitters. From the tail of the plough, Bamba was made King of Spain; and from his silks and riches was Rodrigo cast to be devoured by the snakes.”

-Miguel de Cervantes, Don Quixote

It was not so long ago that I spoke at the “Strategic Forum” which was sponsored in part by TD bank. After my presentation about Europe where I had stated, quite clearly, that Spain would hit the wall I found myself accosted by the economist of one of Spain’s major banks. Fortunately Craig Alexander, the senior economist at TD, was walking next to me and as the quite impolite lady from Spain tried to verbally incase me in the famous “iron lady” of the Spanish Inquisition he grabbed my arm and led me out to the patio to speak with some other people and so saved me from not only the diatribe of the loca senorita but from saying several impolite things which I was about to say in retort. As I consider the latest data about Spain I think of this incident and take some delight in saying, “I told you so” or other things inadmissible in my commentary.

To use the analogy offered by Senor Cervantes I would say that Rodrigo, as representing Spain, is about to be devoured by the snakes. The central bank of Spain just released the net capital outflow numbers and they are disastrous. During the month of June alone $70.90 billion left the Spanish banks and in July it was worse at $92.88 billion which is 4.7% of total bank deposits in Spain. For the first seven months of the year the outflow adds up to $368.80 billion or 17.7% of the total bank deposits of Spain and the trajectory of the outflow is increasing dramatically. Reality is reality and Spain is experiencing a full-fledged run on its banks whether anyone in Europe wants to admit it or not.

Read moreSpain: For Whom The Bell Now Tolls

GAO Audit Of The Federal Reserve Reveals $16 TRILLION In Secret Bailouts

From the article:

Comment: It’s not “socialism for the rich”; that’s an oxymoron.

It’s corporatism, i.e. fascism, as defined by Benito Mussolini.


Audit of the Federal Reserve Reveals $16 Trillion in Secret Bailouts (Sott.net, Sep 1, 2012):

The first ever GAO (Government Accountability Office) audit of the Federal Reserve was carried out in the past few months due to the Ron Paul, Alan Grayson Amendment to the Dodd-Frank bill, which passed last year. Jim DeMint, a Republican Senator, and Bernie Sanders, an independent Senator, led the charge for a Federal Reserve audit in the Senate, but watered down the original language of the house bill(HR1207), so that a complete audit would not be carried out.

Ben Bernanke, Alan Greenspan, and various other bankers vehemently opposed the audit and lied to Congress about the effects an audit would have on markets. Nevertheless, the results of the first audit in the Federal Reserve’s nearly 100 year history were posted on Senator Sander’s webpage earlier this morning.

What was revealed in the audit was startling:

Read moreGAO Audit Of The Federal Reserve Reveals $16 TRILLION In Secret Bailouts

Verified Warnings From Former U.S. Presidents About The ‘Invisible Government’ Running the U.S.

Verified Warnings From Former U.S. Presidents About the “Invisible Government” Running the U.S. With “No Allegiance To the People” (Conscious Life News, Aug 31, 2012):

Those who do not learn from history are doomed to repeat it.”- George Santayana

Past presidents of the United States and other high profile political leaders have repeatedly issued warnings over the last 214 years that the U.S. government is under the control of an “invisible government owing no allegiance and acknowledging no responsibility to the people.”

According to a half-dozen of our former presidents, one vice-president,  and a myriad of other high profile political leaders, an invisible government that is “incredibly evil in intent” has been in control of the U.S. government “ever since the days of Andrew Jackson” (since at least 1836).  They “virtually run the United States government for their own selfish purposes. They practically control both parties… It operates under cover of a self-created screen [and] seizes our executive officers, legislative bodies, schools, courts, newspapers and every agency created for the public protection.”

As a result, “we have come to be one of the worst ruled, one of the most completely controlled and dominated, governments in the civilized world—no longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and the duress of small groups of dominant men.”

The sources for the above quotes (and more) are listed below. All of the quotes listed in this article have been verified as authentic and have associated links to the source materials.  Also included below are statements made by David Rockefeller, Sr, former director of the Council on Foreign Relations (CFR), and Federal Reserve Chairman’s Alan Greenspan and Ben Bernanke that appear to confirm some of the warnings.

Warnings About the Invisible Government Running the U.S.

The warnings listed below, which appear in chronological order, began with our first president – George Washington.  The last president to speak out was JFK, who was assassinated.    Read what they and other political leaders have said about the invisible government.


George Washington wrote that the Illuminati want to separate the People from their Government

“It was not my intention to doubt that, the Doctrines of the Illuminati, and principles of Jacobinism had not spread in the United States. On the contrary, no one is more truly satisfied of this fact than I am. The idea that I meant to convey, was, that I did not believe that the Lodges of Free Masons in this Country had, as Societies, endeavoured to propagate the diabolical tenets of the first, or pernicious principles of the latter (if they are susceptible of seperation). That Individuals of them may… actually had a seperation [sic] of the People from their Government in view, is too evident to be questioned.” – George Washington, 1st President of the United States (1789–1797), from a letter that Washington wrote on October 24, 1798, which can be found in the Library of Congress.  For an analysis of Washington’s warning, see the article “Library of Congress: George Washington Warns of Illuminati

Read moreVerified Warnings From Former U.S. Presidents About The ‘Invisible Government’ Running the U.S.