Saturday, October 9, 2010

Jobs number horrific..Problems continue in the Mortgage Mess..commentary Oct 9.2010

Good morning to you all:
First of all, I would like to inform you that Sheila Bair gave employees the long weekend off as there were no casualities that entered the banking morgue.
Gold rose yesterday up by $10,30 to close the comex session at $1344.10.  Silver was the big percentage winner as it rose by 52 cents to $23.09.
In the access market, gold finished trading at $1347.00 and silver at$23.22.
As I told you on Wednesday, for the past 8 years or so, the bankers always seem to raid gold on the eve of the jobs report.  Even though many know the numbers are fudged,
the media hype this number and the world seems to fixate on the USA jobs number.
On Thursday afternoon we got the Wednesday open interest number for gold and it showed total OI at 621,000 with a high 444,000 OI for the front month of December.
The silver comex OI was 154000 with the front month at a high of 105,000.
That was our clue that the bankers needed to raid and try and shake the "leaves"  ie. the open interest on the front month of December to fall.
December is the only month of the year that both gold and silver are delivery months.
I will discuss the jobs number in the regular part of my economic report but suffice it to say, the number of jobs lost was lousy with 93,000 losing their jobs and there is going to be
a revision of another 366,000 job loss adjustment. The USA lost 2.1 million jobs ending March 2010 instead of 1.7 million jobs.  Gold and silver just took off and never looked back.
I would like to go into detail on some of the comex numbers.
In gold:  the total open interest fell slightly by 1,425 contracts to settle at 620,516.  The banking cartel were shaking in their boots when they got this number
Thursday night.  We got this number last night.  The front month of December saw its open interest decline ever so slightly to 441,487 from 444,000.
The Oct delivery month of gold saw its OI remain very high at 746  ie.  74,600 oz of gold remain to be served.
In silver:
the total OI rose slightly by a few contracts (70) to 152,725.  Again our banker friends did not like that no leaves left the tree.

The front month of December saw its OI fall a bit to 103,244 contracts which is still extremely high after a raid.
The October silver open interest remains at 8 contracts or 40,000 oz to be delivered upon.
Let us now go straight to the silver and gold deliveries and inventory changes.
For comparison, here is Thursday's chart:
October 7.2010
Withdrawals from Dealers Inventory   nil oz
Withdrawals from customer Inventory  n/a oz
Deposits to the dealer Inventory   n/a oz
Deposits to the customer Inventory 626,245  oz
No of oz served  (contracts 02 only  10,000  oz
No of oz to be served 10  50,000 oz
Withdrawals from Dealers Inventory 
 zero oz
Withdrawals from customer Inventory   n/aoz
Deposits to the dealer Inventory  zero
Deposits to the customer Inventory  32 oz
No of oz served (contracts 24  2400 oz
No of oz to be served 742  74200 0z oz
and now for last nights data:
October 8.2010
Withdrawals from Dealers Inventory   nil oz
Withdrawals from customer Inventory  7167 oz
Deposits to the dealer Inventory   n/a oz
Deposits to the customer Inventory 55,635  oz
No of oz served  (contracts 00 only  zero  oz
No of oz to be served 8  40,000 oz
Withdrawals from Dealers Inventory 
 zero oz
Withdrawals from customer Inventory   n/aoz
Deposits to the dealer Inventory  zero
Deposits to the customer Inventory  2411 oz
No of oz served (contracts 130  13000 oz
No of oz to be served 746  74600 0z oz
We shall now begin with silver and remember that October is a non delivery month.
We saw two transactions in silver in the customer inventory:
1. a deposit of 55,635 oz
2. a withdrawal of 7167 oz.
thus we got a net deposit of  48,468 oz of silver.
Note that we did not get any silver arrive at any dealer vault.
The number of notices sent out yesterday for servicing was zero.
The number of oz to be served dropped to 8 from 10 so only 40,000 oz of silver are left to be served.
The total number of notices sent out so far in silver total 32 or 160,000 oz.
The total number of oz standing in this non delivery month is as follows:
160,000 oz plus  40,000 oz  =  200,000 oz
There were no adjustments in the inventories of silver.
And now for gold and October is a delivery month.
The comex notified us of a small deposit of 2411 oz of gold to the customer inventory.
There were no adjustments.
Please note that again no gold is entering the comex dealer vaults.  In a delivery month, this is very, very unusual.
The comex folk notified us that a larger than normal 130 notices were served upon our patient longs.  This represents 13000 oz of gold.
The total number of notices served thus far total 5941 or 594100 oz of gold.
The number of notices that remain to be served remain at a relatively high 746 contracts. or 74600 0z  of gold.
The total number of gold oz standing in this delivery month of Oct is as follows:
594,100 0z (already served)  +  74,600 0z (to be served upon)  +  70,800 oz (options exercised the prev. month)=   739,500 0z of gold or  23.03 tonnes of gold.
(we got some of lost gold standing back).
And now for the committment of traders report:
First, let us go to the Gold report: (remember this is basis Tuesday night  Oct 5 2010)

osted Friday, 8 October 2010 | Digg This ArticleDigg It! | Share this article | Source: 

Gold COT Report - Futures

Large Speculators

















Change from Prior Reporting Period


















Small Speculators






Open Interest















non reportable positions

Change from the previous reporting period


COT Gold Report - Positions as of

Tuesday, October 05, 2010


In gold, those large speculators that have been long continued to pile on adding a huge 3199 contracts to their totals.
Those large speculators that have been short for some reason continued to pile on their shorts to the tune of 1328 contracts and they were the suppliers of the unbacked paper
And now for the all important commercial sector:
Those commercials that have been long lessened those positions to the tune of 3205 contracts. ( That is in essence when more short).  These guys are the intermediate bankers
and those financial institutions that are close to gold as they buy the gold output from the miners.
Those commercials that have always been short like JPMorgan and HSBC  removed a huge chunk of their gold short by a quantity of contracts numbering 6,447.
The gold steam room was a little too hot for our bankers.  In a rising gold price this is very intriguing!!.
The small speculators  that have been long pitched over 5633 longs  as thus did not partake in the gold rise. Those small speculators that have been short lessened a tiny 420 contracts from their short position.
On the whole, a pretty good COT report on gold for our gold bulls.
In silver,

Silver COT Report - Futures

Large Speculators

































Small Speculators






Open Interest















non reportable positions

Change from the previous reporting period


COT Silver Report - Positions as of

Tuesday, October 05, 2010


a different story:
those large speculators that have been long decided that silver was too frothy for them and they lightened up on their long position to the tune of 2385 contracts.
those large speculators that have been short, added a smallish 613 contracts to their short position.
In the all important commercial category:
those commercials that have been long added 989 contracts to their long positions.  However those commercials that have been short decided to lessen
their huge short position to the tune of 2297 contracts.
The small specs are not a major player in the silver market.
Again, a very bullish silver COT report. 
In other physical news, word came to us that the GLD liquidated 13 tonnes of gold from its ETF.
from John Brimelow:

The GLD ETF reported shedding a large 13.37054 tonnes to 1,288.54205 tonnes.

another clue that a raid was being planned by our banking cartel.
The premiums on our ETF's fell on Thursday with the raid on gold and silver.
The Central Fund of Canada has its premium to NAV fall to 3.1% and the PHYS fell to 2.6%.  It did recover on Friday and I will report that number to you
on Tuesday.
Anglo Gold reported that they paid cash for settling their huge gold short position. Thus the bankers do not get the 3.2 million oz lent by the bulllion banks to Anglo who then sold
that gold for cash.  The banks are now in a serious derivative problem as physical gold and silver disappear and the only thing left is paper gold and paper silver with their monstrous leverage short position.
from Adrian Douglas of and MFA:

Anglogold paid an average of $1,300 a troy ounce to dissolve the remaining hedges, which Mr. Cutifani told reporters during a conference call was slightly higher than AngloGold had expected to pay.


Not a gram of physical gold changed hands!! They didn’t buy gold to deliver into these hedges they paid cash to absolve them of their obligations. Somebody didn’t get their 3.2 Mozs of gold back from this hedge; they just got a pile of fiat money. Who ever got the money will not be able to buy 3.2 Mozs at $1300/oz on the open market to replace it. The gold has gone and is probably hanging around the necks of some Indian ladies, or perhaps sitting in vaults in China and Russia.

I would also like to report to you that certain commodities went limit up on Friday. The big shocker was corn.
The entire CRB index rose by an astonishing 7.14 to 295.15
Here is the big story on corn: (from the Dow Jones news serice)

Crop Report 'Shocker' Ripples Through Agriculture Sector

CHICAGO (Dow Jones)-- Government forecasters slashed estimates for the U.S. corn harvest Friday, causing futures prices to surge while igniting shares of many agriculture companies.

U.S. corn futures soared to a daily trading limit on the Chicago Board of Trade when the market opened, rising 30 cents, or 6%, to $5.82 1/4 a bushel -- near a two-year high. Soybean and wheat futures also hit their exchange-imposed trading limits at the market opening.

"Shocker may be an understatement," said Jason Britt, president of Central State Commodities, a Kansas City brokerage. "It's very out of character for the USDA to lower the corn yield so much."…

The U.S. Department of Agriculture projected a national corn yield of 155.8 bushels an acre, well below last month's projection of 162.5 bushels and lower than analysts' average forecast of 159.9 bushels per acre.

The USDA was projecting a record crop a couple months ago. But farmers have largely been disappointed as harvest progresses. The crop faced problems from excessive rains early in the season that washed away supplies of nitrogen, a crucial nutrient, and was also stressed by unusually hot night-time temperatures all summer.

While many traders and analysts could see this year's corn crop yield drifting down to 155 bushels an acre, few expected the USDA to make such an aggressive revision so soon. The U.S. harvest is roughly 50% complete.

"This is a very tight balance sheet we now have to live with for a long time," said Sal Gilbertie, lead manager of the Teucrium Corn Fund, an exchange-traded fund based on corn futures…


I would also like to bring you this major story where the CFTC commissioner is demanding an explanation as to what

happened in silver from his fellow commissioners:  (the article is written by Rob MacKinlay of the CityWireMoney)


Silver Price Manipulation:  "Public deserves answers"  by Rob MacKinlay

US regulators have been urged to reveal the results of a two-year-long investigation into silver and gold price manipulation allegations. The findings are keenly awaited by investors and organisations who have been making allegations about silver and gold price manipulation for decades. 

The investigation was based on a claim that large traders, like banks, had been selling huge amounts of silver on the futures market to keep prices down. A substantial short position - believed to be equivalent to 25% of the annual global mining supply of silver - was exposed during the financial crisis.      

Bart Chilton, a commissioner at the US Commodities Futures Trading Commission (CFTC), which is investigating the claims, said: 'I think the public deserves some answers in the very near future.'

He said: 'I expect the CFTC to say something on our silver investigation within weeks. I can't pre-judge what that will be. I can't even guarantee that the agency will speak. That said, if the agency remain silent for much longer, I intend to speak out on the matter in an appropriate fashion.'

Geoffrey Aronow, a former CFTC investigator, told Citywire that there was a chance the investigation could affect silver prices: 'I would say that, generally speaking, results of investigations have not had direct market impacts, but it may depend on whether the Commission concludes that there is any ongoing questionable conduct.'

Ben Davies, chief executive of Hinde Capital, a london-based gold hedge fund manager said that it looked like the activity which had raised the original concerns had stopped and so a direct effect on the price of silver was unlikely.

Back in March 2010 Chilton suggested that CFTC investigators had madesignificant discoveries: 'We have looked at the silver market like we have never before and I think there is a window of success that has been opened for understanding about what has been going on and why.'

In the statement he said this was the first full investigation into the silver market since 1979 when the Hunt brothers cornered the market and the silver price spiked.

Until 2008 the CFTC believed that these allegations were groundless, a view still held by some gold experts.

However the product manager of ZKB's physical gold exchange traded fundsuggested that concerns about the global gold and silver markets had motivated significant investments. He said that clients liked the Switzerland-based ZKB ETF because ZKB was the product's sole market maker which minimised reliance on global gold markets. /




There are 5 commissioners of the CFTC.  The chairman of the CFTC is Gary Gensler.

The  4 other commisioners are as follows:


1. Michael Dunn  appointed in Dec 2004 and he is Republican and a die hard banker.

2. Jill Sommers appointed in  August 2007 and another supporter of the banks.

3. Bart Chilton appointed also in August 2007.  He is thoroughly annoyed at what the bankers are getting away with.

4. Finally, we have Scott O'Malia appointed in Oct 16.2009. 


It is clear that Gensler and Bart Chilton are championing change and they are up against the two old guards of Dunn and Sommers.

The swing vote is O'Malia and we do not have a read on him as of yet.


It was O'Malia who asked me at the hearings whether I thought that the comex could fail.  It stated that it is conceivable that as demand for gold and silver

continue to pick up speed, foreign nations like Russia, China, South Korea could drain the comex of the large known amount of gold. This would be tantamount

to a bank run.


For those who have lots of time on your hands, my testimony is on the front right side of my


I have had numerous emails with Bart that I wish to keep private but I can assure you this gentleman is sincere and wishes to stop

the nonsense of the phony bank exemptions and huge posiition limits placed by the bankers with no official backing.

He is very worried about the huge unregulated OTC market with its monstrous derivatives.




As I mentioned in my opening remarks the jobs number was horrific and caught the street off guard.

Not only did the usa lose 93,000 jobs last month but they also revised the previous months to show further job losses of 15,000.

In a preliminary benchmark revision, they estimate that a further 366,000 jobs were lost.  Thus for the 12 month period ending March 2010

a total of 2.1 jobs were lost not 1.7 million.





Here is the official report from the Bureau of Labour:


US payrolls fall 95,000, jobless rate at 9.6 pct

* Nonfarm payrolls fall 95,000 in September 
* Private employment rises 64,000 
* Unemployment rate unchanged at 9.6 pct 
*Average work steady at 34.2 hours

WASHINGTON, Oct 8 (Reuters) - The U.S. economy unexpectedly shed jobs in September for a fourth straight month as government payrolls fell and private hiring was less than expected, hardening expectations of further Federal Reserve action to spur the recovery.

Nonfarm payrolls dropped 95,000, the Labor Department said on Friday. Private employment, a better gauge of labor market health, increased 64,000 after rising 93,000 in August.

A total of 77,000 temporary jobs for the decennial census were terminated last month.

Analysts polled by Reuters had expected overall payrolls would be unchanged, with private-sector hiring gaining 75,000.

The government revised data for July and August to show 15,000 more jobs lost that previously reported. It also said its preliminary benchmark revision estimate indicated employment in the 12 months to March had been overstated by 366,000.

The unemployment rate was unchanged at 9.6 percent in August.

In the wake of dovish speeches by senior Fed officials, including Chairman Ben Bernanke, analysts believe it now almost certain the U.S. central bank will launch a second round of asset purchases -- with many expecting a move in November.

"They may delay it till December, but the odds favor we get something," said Michael Strauss chief economist at Commonfund in Wilton, Connecticut.

Expectations the Fed, which has already pumped $1.7 trillion into the economy by buying mortgage-related and government bonds, would announce a second phase of quantitative easing at its Nov. 2-3 meeting have buoyed U.S. stocks and prices for shorter-dated government debt and have undercut the dollar.

The employment report is last before the Nov. 2 mid-term elections in which President Barack Obama's Democratic Party is expected to suffer large losses amid voter dissatisfaction with the economy.

Opinion polls suggest Republicans will take control of the U.S. House of Representatives, which may give them a platform to pursue their agenda of restricting government spending to reduce a record budget deficit.

The recovery from the longest and deepest downturn since the 1930s has been slow to generate jobs.

Private hiring last month was held back by the goods-producing industries, where payrolls contracted 22,000 as manufacturing employment fell 6,000 after declining 28,000 in August. Construction payrolls fell 21,000, reflecting the lasting troubles in the housing market, after August's boost from the return of striking workers.

Private services sector employment rose 86,000 after increasing 83,000 in August. Temporary help services -- seen as a harbinger of permanent hiring - increased 16,900 last month after rising 17,700 in August.

"Job growth in the goods producing industries has been bottoming out. What we need to see, to get a really positive feed back loop in the economy, is the services sector start to edge up," said Troy Davig, senior U.S. economist at Barclays Capital in New York.

The end of temporary census jobs and the loss of 76,000 local government jobs pushed total government payrolls down 159,000 last month.

The length of the average workweek was unchanged at 34.2 hours for a third straight month.







Dave Kranzler reports on this lousy jobs number:( from the Golden Truth)


The jobs report was very ugly on the headline and even uglier below the surface. Non-govt hiring rose a lot less than expected and the Govt cut more than expected. But look at this: "The Labor Department today also published its preliminary estimate for the annual benchmark revisions to payrolls that will be issued in February. They showed the economy may have lost an additional 366,000 jobs in the 12 months ended March 2010." (Bloomberg)

That means that for the 12 months ending March 2010, the economy lost over 2.1 million jobs instead of the 1.7 million originally reported. I wonder what the REAL number is. Also, the U-6 non-headline unemployment rate buried in the actual report and never reported by CNBC shows an unemployment rate that jumped over 17%. This is getting closer to John Williams' estimate of 21% or something like that.





Here is John Williams on the government numbers:  note the huge upward revision in underemployment at 22.5% and a

big rise in U6 to 17.1%

(from Jim Sinclair commentary)

Jim Sinclair’s Commentary

Here is John William’s take on today. I find his for payment subscription extremely valuable.

- Outright Contraction in September Payrolls Net of Temporary Census Workers 
- Current Payroll Level Overstated by Roughly 550,000, Based on Announced Benchmark Revision / Broad Unemployment Rates Soar 
- September Unemployment Rates: U.3 at 9.6%, U.6 at 17.1%, SGS at 22.5% 
- M3 Annual Decline Narrows

The number of usa citizens on food stamps continues to rise.  It is now up to 42 million people:

Jim Sinclair’s Commentary

42,000,000 Americans are on food stamps as of today. That is one out of every eight US citizens.

There is no precedent for this kind of growth over time. Where is the recovery on Main Street?

Also note in the graphics the high birth/death plug number used in yesterday's job number.

Without it the jobs number would have been a catastrophe!!


Where is the recovery on Main Street?  (from Jim Sinclair commentary)

If jobs grew at 50,000 per month it would only take 13 years to regain the jobs lost. 
Where is the recovery on Main Street?



The job creation histogram, mathematically smoothed to reduce volatility, is beginning to roll over again. This suggests that annual job creation (or destruction) will soon be unable to meet the labor force growth (or contraction) rate. In other words, if jobs are being created, the growth rate will be slower than the labor force expansion. Or, if jobs are being destroyed, they are doing so at a faster rate than the labor force contraction. Either way, it leaves Main Street fighting over a shrinking pool of jobs despite the best efforts of heavily spun, the liquidity driven recovery.


Job Creation Histogram (JCH): Net Nonfarm Payrolls Added/(Lost) less Civilian Labor Force Added/(Lost), 12 Month Average: 



The second big economic story has to do with the Mortgage Mess.



There are two big stories here.  O'Bama used his veto power to nullify giving the banks the right to foreclose with fraudulent paper


from :

.Jim Sinclair’s Commentary

The fact that Wall Street tried to sneak a bill through to trash Main Street tells you they are scared to death of the critical weakness of securitized debt on mortgages. The collateral is so weak they actually tried to make forgery legal. The banksters make the residents of Lanka look like saints.

If it was not for the November elections it would have survived.

Obama vetoes foreclosure bill. 
In the first effective veto of his presidency, Obama blocked a bill that would have required state and federal courts to accept the validity of out-of-state document notarizations; the bill would have made it harder to challenge the authenticity of foreclosures and other legal documents. Opponents argued the bill would let banks involved in the recent robo-signing scandal off the hook (including such heavyweights as BofA (BAC) and JPMorgan (JPM)), and would make it harder for homeowners to stop foreclosures. Following the veto, the bill will be sent back to Congress, while regulators continue to move ahead cautiously with their investigation of banks’ foreclosure practices.




and second,  this extremely important announcement from Bank of America;


Bank of America’s Big Freeze Chills Housing Recovery 
On Friday October 8, 2010, 1:53 pm 
By: Diana Olick

It was bound to happen, and it did.

Bank of America extended its foreclosure freeze to all 50 states as it continues internal "assessments" of its foreclosure practices. "Our ongoing assessment shows the basis for our past foreclosure decisions is accurate," reads their statement.

Bank of America (NYSE: bac) is one of the highest volume loan liquidators. This means we’re going to see a huge slowdown in sales of bank owned properties in the coming months, which have been running at roughly one third of all home sales. It also says something about what happens next.

"It’s really only a matter of time before there is effectively a national foreclosure moratorium," notes Guy Cecala of Inside Mortgage Finance. "We already have moved way beyond having foreclosure concerns in just certain circumstances in certain states. There are concerns/challenges being raised about all foreclosures."

I put in the call to JP Morgan Chase (NYSE: jpm) to see if they will follow. "No comment at this point," answered spokesman Thomas Kelly.

While some see today’s announcement as something of an admission:

"The national moratorium is what would be expected if they are truly concerned about the legality of their internal policy, procedures and processes. This is because in non-judicial states it is even easier to commit fraud, or act irresponsibly with respect to the quality of legal documents, than in the 23 judicial states in question because there is no judge involved," says mortgage consultant Mark Hanson.


and then this commentary from Dave Kranzler of the Golden Truth:

B of A halts all foreclosure sales

This is HUGE:
This is going to really cause problems in the system. I bet the Fed takes this on because somehow the exposure to housing loans on bank balance sheets is catastrophic, as is the lending exposure to hedge funds from banks which is used by hedge funds to leverage up their positions in mezzanine/equity investments in CDO's, which are littered with fraudulent REMIC paper.

This going to be a bigger problem than any of us can possibly comprehend. All of that CDO paper has derivative trades "wrapped" around them which hyper-turbo-charges the leverage affect.

Of course, what's catastrophic for the financial system is incredibly bullish for the metals/miners. We may as well go down on top...



Another of Obama's team is leaving the ship:


National Security Adviser to Resign, Officials Say 

President Obama will announce on Friday that Gen. James Jones, the national security adviser, is resigning and will be replaced by his deputy, Thomas E. Donilon, senior administration officials said.

General Jones’s departure had been long rumored, and he had previously indicated to his staff that he intended to leave by the end of the year. But the schedule was accelerated, and in recent weeks White House staff members had been increasingly critical of General Jones for statements that he apparently made to Bob Woodward, the author of “Obama’s Wars,” an account of the internal decision making on policy on Afghanistan and Pakistan.

Mr. Donilon began as a young political operative for President Jimmy Carter and later was chief of staff for Secretary of State Warren Christopher in the Clinton administration. He has long operated in the area between politics and national security. He coached Mr. Obama on foreign policy for his debates in the 2008 presidential campaign.

As deputy national security adviser, Mr. Donilon has urged what he calls a “rebalancing” of American foreign policy to rapidly disengage American forces in Iraq and to focus more on China, Iran and other emerging challenges. In the Afghanistan-Pakistan review, he argued that the United States could not engage in what he termed “endless war,” and has strongly defended Mr. Obama’s decision to withdraw American troops from Afghanistan next summer.




I find this story interesting: (from Reuters)

Bullard says Fed might hold off on easing in November

WASHINGTON (Reuters) - Federal Reserve officials could wait until December before making any decision to ease monetary policy further if they feel they need more clarity on the outlook, St. Louis Fed President James Bullard said on Friday.

"We did hit this soft patch in the economy but it's not so soft that it's obvious that you have to do a lot right now," Bullard told CNBC. "It's still possible to make the case that the economy will improve naturally."



i guess nobody told Bullard about the lousy jobs number!!


S and P has decided to lower by 3 to 4 notches, the Irish banks: Dow Jones services:


DJ S&P Says Irish Banks Downgrade Ranges From 3 To 4 Notches/


Ireland is is deep financial trouble!!




Finally, I will leave you with this commentary and this is on a speech written by none other than Ben Bernanke of the usa this week

stating how bad the financial shape the usa is in.

It is an important read for you:



Tuesday, October 5, 2010

Bernanke Tells the Truth: The United States is on the Brink of Financial Disaster

Yesterday, Federal Reserve Chairman Ben Bernanke delivered a speech before the the Annual Meeting of the Rhode Island Public Expenditure Council in Providence, Rhode Island. In the speech, he warned about the current state of the government finances. His conclusion, the situation is dire and "unsustainable".

It is remarkable that mainstream media has given this speech no coverage. I repeat, the central banker of the United States says in his own words:

Let me return to the issue of longer-term fiscal sustainability. As I have discussed, projections by the CBO and others show future budget deficits and debts rising indefinitely, and at increasing rates. To be sure, projections are to some degree only hypothetical exercises. Almost by definition, unsustainable trajectories of deficits and debts will never actually transpire, because creditors would never be willing to lend to a country in which the fiscal debt relative to the national income is rising without limit. Herbert Stein, a wise economist, once said, "If something cannot go on forever, it will stop."9 One way or the other, fiscal adjustments sufficient to stabilize the federal budget will certainly occur at some point. The only real question is whether these adjustments will take place through a careful and deliberative process that weighs priorities and gives people plenty of time to adjust to changes in government programs or tax policies, or whether the needed fiscal adjustments will be a rapid and painful response to a looming or actual fiscal crisis…

Bernanke Tells the Truth: The United States is on the Brink of Financial Disaster



To all our Canadian friends, I wish you a wonderful Thanksgiving Holiday and to our American friends, a very safe and happy Columbus Holiday



all the best




Search This Blog