October 16, 2008
Elaine Meinel Supkis
The Big Bad Bank Bail Out didn't create any bubble. After a one day celebration, reality came roaring back and stocks fell back to where they came from: the cellar. The bear market continues despite all the money being tossed to the Derivatives Beast. Nothing has been fixed. But today, we take a break again and look to the past as well as examining GAAP [Generally Accepted Accounting Principles], SWF [Sovereign Wealth Funds] and the continuing moves by the Chinese to take over the important parts of international banking. Also, time to talk yet again about the treasonous lout running the Treasury and Goldman Sachs at the same time. Arrest Paulson!
Markets feel the chill from China
Share prices tumble amid fears that downturn is spreading east
The sell-off [yesterday] was prompted in part by warnings that China's economy, which has been expanding at breakneck speed for years, would "pause for breath". Guy Elliott, the finance director of Rio Tinto, the mining giant, said: "We are confident about the future in China, but at the moment there is a deceleration of demand that won't pick up again until next year."His comments caused panic in the commodity markets. The oil price dropped by 5 per cent to a 13-month low, and copper, aluminium and nickel all slumped. Only gold, seen as a safe haven in troubled times, stayed stable.
Economists are already cutting forecasts for China. The International Monetary Fund (IMF) last week predicted growth of 9.7 per cent this year and 9.3 per cent in 2009. The danger is that the health of China's economy is hard to measure, and Beijing's economic policy even harder to predict.
China's economic policies are NOT hard to predict. I wonder why this fabulous lie is constantly repeated? Is it supposed to make things mysterious so people reading the news can't see the future? I find the future tremendously easy to predict simply because I know some people's long range plans. These plans don't always work out exactly as expected so they shift gears periodically to steer things back to the original goal.
For example, I know that the ruling elites are constantly worried about their ability to produce heirs. This plagues all rich and powerful people. It seems that fertility declines with each generation of rulers. Every once and a while, there is a productive queen or king. So Victoria, for example, had many children. They spread across the planet, marrying other royals and their children were thus, very closely related to the other imperial thrones. Suddenly, we had a genetic mess where first cousins were TOO closely related and all of them married each other in quick succession.
The resulting children had a number of genetic weaknesses and diseases. The Islamic royals dealt with this problem of inbreeding by having harems drawn from the entire empire. But this floundered because they and the Byzantines preferred to be ruled by eunuchs who were men who destroyed their ability to have children. This happened to Manchu China, too. So the most able, sane and ambitious sons were all eliminated from the gene pool while the ones who wanted simply to breed mindlessly would have many children in their harems.
So the ruling elites who observed all of this formed genetic societies that would make a stronger genetic future by eliminating the weak, etc. This fused with Naziism and the whole business about the Aryan Race business. To this day, the conflict between people who want 'white Europeans' to breed and thus, are fighting abortion, etc, and the women of the ruling class who don't want to be tied down by child bearing, rages in the US. In Europe, they basically decided to simply cease child bearing to the point, the replacement rate has fallen.
Back to China: China has a goal. The Chinese are very leery of establishing a dynasty. The Maos failed to produce powerful children and Stalin, for example, literally murdered his wife and destroyed his own children. Hitler was hopelessly unable to breed at all. The Chinese hope to have a meritocracy whereby the best and brightest move to the top. In addition, they planned to 'be bank' long ago. They recognized that their loss of power in the past was due to their inability to keep up with changes in global finances such as when Spain flooded China will silver after conquering the New World.
This caused great distress in China as the value of the silver and gold holdings of the traders and the Dragon Throne suddenly began to drop, rapidly. This was stopped by the desperate move to close China to trade with Spain. This, in turn, started the European wars with China. The Chinese wish very much to understand the history of gold, silver and international trade so they can chart a course whereby this will never happen to them again. The flood of US dollars into China, for example, is a similar problem to the 1650 crisis.
The news from China is interesting today. They are changing direction. No question about this. The world banking system is still in crisis as bankers pretend they have infinite resources yet they must borrow from each other all over the place as they shift funds like mad trying to give the appearance of liquidity. The Federal Reserve has decided to inflict terrible inflationary losses on all savers as it tries to save the madcap 'consumer society' of reckless American spending.
From Xinhua:
China's top leader Hu Jintao has called for accelerating banking reform to push forward the sustainable and healthy development of the country's financial sector.
Hu, state president and general secretary of the Communist Party of China (CPC) Central Committee, made the call on Wednesday when presiding over a brainstorm of the Political Bureau of the CPC Central Committee.
Members of the Political Bureau attended and discussed the lectures by two banking experts, Ba Shusong, a researcher from the State Council Research Center for Development, and Li Fu'an, a senior economist from the China Banking Regulatory Commission.
Hu pledged in his speech to push forward banking reform in an all-around way, focusing on building a modern banking system and innovating organization, service and administration of the sector.
He stressed to accelerate the banking reform for the countryside, and push forward the healthy development of the financial market.
OK, I don't know what these reforms are but the fact that the Finance Minister was suddenly demoted and kicked out the door right after the Bank of China opened its vault holding Americans certificates of deposit only to discover these were frauds, China has decided suddenly and unilaterally to change direction. We will see the increasing gale force winds from this change in the next year. I predict, this will overturn our expectations of eternal cheap prices and easy loans. I suspect the third part of the Great Plan To Bankrupt America will be set into motion. This plan was but a gleam in Chinese leadership's eyes back in the mid 1980's. But it is the long range plan.
*snip* [A long series of statistics which all readers should examine]This is where the Chinese step in: they faithfully raised interest rates and the value of the yuan and Japan and the US have joined Europe in ganging up on China. Playing this game has earned them nothing at all. The Chinese are now having a brainstorm meeting to decide if it is time to change world banking systems. Already, we feel the effects of them withholding cheap loans to the US and sucking down US dollars in the form of FOREX reserves. The US rates dare not drop below Chinese rates. As I show here, the US rates are similar to the rates in China for 60 month CDs.
This is because we run in the red. We have to find buyers for our government bonds. Japan holds the world's biggest amount of US bonds. China is #2. The Chinese have ceased buying these. The US needs super-low interest rates so we can run up bigger debts but we can't do this if the world can buy higher-return rates in China! And China won't buy this from us if they make more money at home. Obviously. And if we are determined to have a trade war with China, then we will have to play the interest rate war, too. Chopping rates is not a great step forwards for the US. If the US imitates Japan even more and drived down inflation by crushing workers completely, this will not save us since this will cause Japan to collapse as buyers of goods in America vanish.
Already, the Chinese are beginning to bet that the free trade free ride of the US is pretty much over. They know that we can't borrow forever. In banking, if you run up too much in debt, banks and credit cards raise your interest rates because you become a risk for bankruptcy. This drives people into bankruptcy faster, of course, the snowball effect. But this is also true of nations. We can't stop spending suddenly. Yet our attempts at controlling our debts have failed. The 0% loans from Japan has wrecked our ability to control ourselves. This is super-free money when inflation is more than 5%! China has flooded us with goods only because they have cheap labor but China wants to improve the lot of the workers so they can be an internal economy. This sounds strange since we see many stories about the horrors of labor in China and the pollution, etc. This is true but then, this is typical of any nation that is industrializing. The US, Britain and Europe went through these same, exact stages. In Japan, anyone pointing out poisonous pollution was beaten or killed by goons working for the industrialists...in the 1970s! The pious chat about protecting workers is all garbage. After all, conditions here in America are so degraded, many citizens have been forced out of various jobs and replaced by illegal aliens working for less than former union wages.
Last year, China did a ruthless shift in authority. Here in the US, we just saw such a shift. Paulson took over Congress and the Presidency and now is the autocrat ruling our nation. For some stupid reason, people are being told that this gnome straight out of the Gollum Sachs black hole will save us. I am pleased to see that the majority of Americans are very suspicious of this little monster. But our elected representatives, for the most part, are quite pleased with the Paulson coup. If things continue to go bad, they can blame him, not look in the mirror at the true authors of this mess.
Not that Paulson isn't also responsible! More about him later. Back to my own musings in the past, here is another old story from last year, exactly one year ago, today:
October 16, 2007: Money Is Flowing AWAY From USA
The US has floated our Titanic Consumer Economy on a sea of money that poured into our pond. Now the money is draining out due to the weak dollar and even weaker banking situation here. Somehow, Wall Street mananged to heave upwards, the DOW for a few precious weeks, time enough for the Big Players to either sell out or to extricate themselves from their financial failures. The bad news now is so overwhelming even people who watch Cramer strut and fret are scratching their heads and saying, 'You know, maybe there is something wrong. Gold and oil are climbing faster than a mountain goat while my house dropped another $10,000 in value this week!'Most Americans pay no attention to the flow of money but everyone who ever watches or plays the FX markets knows that this is a very important thing to watch. The relative value of currencies, the financial health of countries are bound up in this matter. One day, money might be pouring into a country and all is well. Suddenly, the money doesn't just stop, it begins to flow outwards at sometimes astonishing speeds. Argentina might be the destination of all loose change one day and bankrupt a week later.
So this flow change is going to be felt by everyone if it continues. The US is far bigger than Argentina so flow changes don't hit us directly instantly, but it is an insidious force that can, over time, eat away at the foundations of our present economic system. Our system that is already in terrible arrears: nearly everything is running in the red!
Just one and a half months after the 'scary Hu speech' the world monetary flows shifted decisively. And are still flowing in the new channels opened by Hu. The effects have been most startling. And it is due to China deciding it is time to permanently change the direction, rate and type of flows in international trade. The days of China being the cheap labor repository for the West is ending. The era of China as the world's central bank is rising relentlessly. This happens to be exactly half way through the amazing 50 year plan cooked up 25 years ago. Let's take yet another look at Sovereign Wealth Funds and how China and the US are dealing with all this wealth creation.
Just last week, the IWG had a big meeting that wasn't covered much in the mainstream media. Indeed, few people outside of the esoteric circle of gnomes, pirates and noisy online commentators of a certain stripe like myself, the SWF managers met and finalized the Santiago Principles. Here is one of several press releases:
Statement by the Finance Minister of Singapore on the Santiago Principles
October 11, 2008
At the Ministerial Meeting of the International Working Group of Sovereign Wealth Funds (IWG), held on October 11, 2008, Mr. Tharman Shanmugaratnam, Finance Minister of Singapore, made the following statement on the Santiago Principles:
"The IWG has produced a meaningful and credible set of principles and practices for the Sovereign Wealth Funds (SWF), which most would want to follow. Concerns over SWFs' due to their being government-owned are prospective in nature, rather than reflecting their actual conduct in global financial markets to date. However, it is important for SWFs to continue building trust with investment recipient countries. The GAPP is a major milestone in this respect."Singapore supports the GAPP principles in full. The Government of Singapore Investment Corporation (GIC) and Temasek Holdings adhere to these principles and practices, and will continue to do so in the future.
"A key component of the GAPP, involving the need for adequate public disclosures, will enhance understanding of their roles as financially-orientated players whose investments are aimed at maximising risk-adjusted returns. Such disclosures have to be shaped by the SWF's characteristics as long-term investors, with the ability to take risks distinct from the global market benchmarks and to ride out cycles.A short-term focus in financial disclosures would be inconsistent with such strategies, and would not shed light on the right areas. In this regard, the GAPP strikes an appropriate balance in the level and type of public disclosures. It also makes clear that public disclosures complement the more detailed reporting by SWFs on their operations, financials and performance to their owners, to whom they are accountable.
"The complementary effort by the OECD in developing a set of principles for inward investment regimes of recipient countries is equally important. Investment recipient countries should maintain an open investment regime towards SWFs and not discriminate against them."
This all sounds so boring, doesn't it? But then, the whole business of Sovereign Wealth Funds have roiled the Ancient Regime of Europe and the US. All of these funds were launched ONLY after the Floating Currency Regime was launched. Like all the many investment systems set into motion with the death of the gold standard, these instruments are repositories for floods of money during incremental waves of inflation. We live in an inflationary system that has gone off the cliff and is now requiring literally infinite infusions of money to keep running.
The SWF, on the other hand, are the repositories of all this money. They expect to expand for the simple reason that the US and Europe have decided to flood the world with dollars. Since all parties from top to bottom all want a strong dollar, this is a quandary. The meeting to strengthen these holding pools for US dollar inflation is a sign that the various parties doing this are now coordinating themselves so they can establish a SWF status quo.
This is the NEW WORLD ORDER. It is not exactly like the one envisioned by the rulers in the old NATO alliance. For the parties who will be wielding the global power in this new system will be the Chinese, not the US.
Notice what Singapore says in this news release: RECIPIENTS of SWF money must cooperate or else! They must be OPEN to these funds so the funds can BUY UP the systems, commodities and industries of the recipient countries. Which is, far and above all, the US itself! The OECD
'brings together the governments of countries committed to democracy and the market economy from around the world to:
• Support sustainable economic growth
• Boost employment
• Raise living standards
• Maintain financial stability
• Assist other countries' economic development
• Contribute to growth in world trade'
Like all international organizations, the OECD is a total failure. It was founded in 1960 to collect information. Information is power. Over the years, it has grown in size and power as it, like the central banks, the IMF, etc, ends up trying to 'drive' the economy rather than collect information. These many international systems like the one set in motion upon the death of the great European Empires after the Great Depression began like the BIS in Basel, has used internationalist expansion of powers to take over nationalist levers of control of global trade and finances. But there has been a huge flaw in all this: note how the OECD likes to yap about 'democracy and freedom' but are not either.
We have been steadily losing our POLITICAL freedoms and our democracies in Europe as well as the US have been in steep decline as international systems take over former nationalist systems. Yet the real winner who is taking over all of these international systems is not Jews, nor is it the Ancient Regime's left overs in Europe, nor is it brash Americans....it is nationalist China! The Chinese and the very nationalist Japanese are the counter parties to all these international systems. Both play these international games but keep very powerful control over their own nationalist bases.
There are quite a number of international readers of Culture of Life News. I try to examine things from a perspective that includes the concept of nationalist strengths are the basis of power of ALL nations. Any nation that resigns this power loses power. And this loss is a loss of SOVEREIGNTY. We go back to the amazing words that describe the true creditor funds on earth: SOVEREIGN wealth funds! Ah! And when any nation from Norway, Iceland, Australia, Russia or China, when any nation has to attract SWF money to keep in business, when the US has to strive hard to entice SWF money into the US, this is a sign of weakness. When China or Saudi Arabia builds up and uses SWFs, they are more powerful. And thus, can dictate terms to the debtor nations.
Not all of the US is a debtor entity. Alaska, for example, has an oil SWF. Note that Palin was an enthusiastic member of a sessionist group that wants to split from the US and become a Saudi Arabia of north oil. It is fitting that the GOP that has worked day and night to destroy US sovereignty is fired up by this flame throwing female! Let's visit a portal that collects information about all SWFs:
The Sovereign Wealth Fund Institute:
The Sovereign Wealth Fund Institute is an impartial organization designed to study Sovereign Wealth Funds and their impact on Global Economics, Politics, Financial Markets, Trade, and Public Policy.We provide specialized services such as research and consulting to various corporations, funds, and governments. We strive to be the leading resource regarding these funds.
What is a Sovereign Wealth Fund?
A Sovereign Wealth Fund (SWF) is a state-owned investment fund composed of financial assets such as stocks, bonds, real estate, or other financial instruments funded by foreign exchange assets. SWFs can be structured as a fund or as a reserve investment corporation. Some funds also invest indirectly in domestic state owned enterprises. In addition, they tend to prefer returns over liquidity, thus they have a higher risk tolerance than traditional foreign exchange reserves.
Since 2005, 12 SWFs have been created and the US Department of Treasury estimates they control around $2.5 trillion. As other countries grow their currency reserves they will seek greater returns. Their growth has also been skyrocketed by rising commodity prices especially oil & gas.
Funds may have their origin in:
Commodities - Created through commodity exports, either taxed or owned by the government.
Non Commodities - Usually created through transfers of assets from official foreign exchange reserves.
In other words, SWFs are risky. They are also subject to economic chaos. They are not safe. Smart nationalist rulers like the crew running China, don't put all their FOREX eggs in the SWF baskets! The Chinese, for example, put a very conservative amount in these risky funds. Alaska puts most of its money at risk. Iceland put all of its money and lost every krona of it. Iceland is now bankrupt and begging Russia to put its SWF into Iceland.
China and a very few other non-commodity/oil sovereigns move money from FOREX reserves into the more active SWF systems. This is to increase the value of their holdings and to FIGHT INFLATION. All of these systems are set up to either prop up the dollar or to protect themselves from a devaluing dollar. I would say that SWFs are the world's biggest true hedges.
Many hedges in the West were based on debts, not wealth. Many of the hedges were and still are set into motion to reduce 'risk' so lower interest rates can be charged. True sovereign wealth LOVES higher interest rates for this is all about SAVINGS and PROFITS, not piles of debt. It also must be mentioned here that the world stock markets that rose the most violently in this last bubble were virtually all those which had piles and piles of debts put on top of all systems.
Stocks soared when take over/buy outs were announced. Those organizations making the deals plus the victims of these deals all saw their stocks shoot up in value. But none of this was sovereign-wealth-creating systems. They were all either sucking up sovereign wealth which took over these systems or were trying to lure SWFs into buying into these or sponsoring these deals. The biggest bankers from Bears Stearns and Lehman Brothers to the remaining giants like Goldman Sachs and JP Morgan, all made lots of money funneling a stream of fees from these destructive deals.
The seeming strength of stocks was fake. The markets are now tanking badly....BECAUSE THESE DEALS ENDED LAST YEAR. The DOW is collapsing today because the SWFs of the commodity countries are now being hammered and the key ETFs are collapsing from 0 last year to -45 and dropping faster during September than during the entire last year put together. So both equities and commodities are collapsing. The DOW is now entering the 7,000 range. All stocks lose value in these sorts of markets.
The SWFs still have lots and lots of loot to throw into the game but like any smart investor over the long run, the Chinese are NOT throwing in their entire FOREX reserves. They have tapped only .2% or less of these massive reserves. These are being held for the obvious purpose of making China the global banking power. If the US throws away the dollar, we go bankrupt like poor little Iceland.
Is Iceland stronger today? Or is Iceland negotiating handing over power to Russia and turning its ports to Russian domination? SWFs love markets that go up, of course. They would dearly love a system with no depressions, no inflation. But since they don't control the printing of trade dollars, they have to set up systems that operate under the US Floating Currency Regime....until the Chinese terminate this. And they shall. The only question is, when? And this is where the 50 year plan comes in: we will be living in the new gold-based world order when I am 78 years old. Thanks. I can't wait....gah.
CDOs Imperiled by Collapse of Iceland Banks, S&P Says
(Bloomberg) -- Iceland's collapsed banks pose a ``substantial'' risk to collateralized debt obligations that made bets on corporate debt, according to Standard & Poor's.Kaupthing Bank hf, Landsbanki Islands hf and Glitnir Bank hf were included in 376 CDOs worldwide, S&P said. Another 297 made bets on two of the three banks. The CDOs packaged credit-default swaps that pay investors if there is a default, and the government's placement of the banks into receivership triggered a settlement of the contracts.
Because the so-called synthetic CDOs also bet on Lehman Brothers Holdings Inc., which filed for bankruptcy on Sept. 15, and Washington Mutual Inc., the bankrupt holding company of the largest U.S. lender to fail, the ``impact of these exposures is likely to be significant,'' S&P said in the statement yesterday.
KBC Group NV, Belgium's biggest financial-services company by market value, yesterday wrote down 1.6 billion euros ($2.15 billion) on its CDOs. Moody's Investors Service said Oct. 14 that it's reviewing 2.88 billion euros of the Brussels-based lenders' five CDOs linked to Icelandic banks.
Let's all thank Derivatives Beast. I notice across the net, writers are taking up the practice of calling this charming creature, 'Derivatives Beast.' Heh. A real fad here! Back to business; if the US continues this stupid course of trying to get more debt, we will be totally bankrupt just like Iceland. Here is a list of all the sovereign wealth funds tracked by the SWF news:
All the top funds are Arab OPEC oil rulers. They are absolute rulers and can dictate financial events at will. They are not as foolish as they were when they went through the first oil inflation cycles. Abu Dhabi is the biggest SWF but only because they stupidly put most of their FOREX savings into their fund. The Chinese, on the other hand, put in .2%.
I don't know why Australia was listed as 'non-commodity' on this list. For most of the SWF finances came from the sales of commodities to Asia. Ireland is in as much trouble as Iceland. The banks are going belly up, fast, and a huge 36% of their SWF is trapped in the general market meltdowns we see this last two months.
The press release from the Sovereign Wealth Nations also mentions GAAP. So let's take yet another look at the world's accountants, those people with the green eyeshades who are supposed to be hard nosed, hard number drones:
Generally Accepted Accounting Principles
Financial accounting information must be assembled and reported objectively. Third-parties who must rely on such information have a right to be assured that the data are free from bias and inconsistency, whether deliberate or not. For this reason, financial accounting relies on certain standards or guides that are called "Generally Accepted Accounting Principles" (GAAP).Principles derive from tradition, such as the concept of matching. In any report of financial statements (audit, compilation, review, etc.), the preparer/auditor must indicate to the reader whether or not the information contained within the statements complies with GAAP.
Principle of regularity: Regularity can be defined as conformity to enforced rules and laws. This principle is also known as the Principle of Consistency.
Principle of sincerity: According to this principle, the accounting unit should reflect in good faith the reality of the company's financial status.
Principle of the permanence of methods: This principle aims at allowing the coherence and comparison of the financial information published by the company.
Principle of non-compensation: One should show the full details of the financial information and not seek to compensate a debt with an asset, a revenue with an expense, etc.
Principle of prudence: This principle aims at showing the reality "as is" : one should not try to make things look prettier than they are. Typically, a revenue should be recorded only when it is certain and a provision should be entered for an expense which is probable.
Principle of continuity: When stating financial information, one should assume that the business will not be interrupted. This principle mitigates the principle of prudence: assets do not have to be accounted at their disposable value, but it is accepted that they are at their historical value (see depreciation).
Principle of periodicity: Each accounting entry should be allocated to a given period, and split accordingly if it covers several periods. If a client pre-pays a subscription (or lease, etc.), the given revenue should be split to the entire time-span and not counted for entirely on the date of the transaction.
Coherence? HAHAHA. World markets are now nearly totally incoherent due to the banking gnomes sleeping with the goddess of Inflation and then promising to raise her baby, the Derivatives Beast. They faithfully fed this monster who is now much bigger than all the world's wealth and thus, nearly totally indestructible. The SWF nations want to have sane accounting rules so they can protect their interests. But this is now impossible. Totally and utterly impossible.
Prudence: I call her 'Safety.' Speculators hate her, they live 'Risky' who is a frisky, cheeky prostitute of a girl goddess. Safety is an angel and thus, hated by all gnomes. Being creatures of the night, they love caves and death. As for recording revenues correctly: instead of stopping this mess after Enron and the collapse of that hedge fund run by math geniuses, all the things wrong were made worse, not better. This is what 'continuity' is all about and the GAAT people know this is BAD. They even say, it negates prudence!
But they accept this because the status quo is the status quo. Instead of reforms, all the reforms being proffered are hedged by lots of things requesting we keep the status quo! This is silly. This is childish. This is monumental wishful thinking. A crisis means, SOMETHING ISN'T WORKING. Ergo: the status quo must shift!
The last line about not pro-rating deals across time: how amazing that this even has to be mentioned! Of course, this is how we should do things. Bookkeepers going back to Marco Polo knew this! This is the fundamental basis of all bookkeeping! To break down deals and rate their effects over time. Say, if I raise a cow from a baby and then sell it, I have to go back over the time frame of raising and feeding it to calculate my profits. This includes putting in my labor. And the aging of the barn, the tractor aging, etc. Replacement costs over time must be part of all this. Otherwise we get a false sense of profit and wealth! Simple, isn't it?
Now, off to the Bank of China which is taking over all systems, systematically;
2008-09-18
Bank of China (“BOC”) and La Compagnie Financière Edmond de Rothschild (“LCFR”) have signed a long-term strategic investment and business cooperation agreement covering private banking and asset management businesses in their respective domestic markets and other strategic geographies. Pursuant to the agreement, BOC will acquire a 20% stake in LCFR. After this investment, the controlling shareholder, Benjamin de Rothschild, will hold 74.19% of LCFR, and BOC will become the second largest shareholder. This is the first strategic investment by a leading Chinese bank in a Eurozone bank.
The objective of this strategic agreement is to leverage both parties’ strengths and well established franchises in their respective markets;
HAHAHA. Yes, the Chinese don't give a fig about Jerusalem. They want the world, not that besotted place. The Rothschilds know they are finished in the West. The Chinese didn't want 2% of this power. They took a huge hunk. The Rothschilds imagine the Chinese are naive and won't take over. HAHAHA again. Gads. Never underestimate what people want to do. China has 500 years of revenge bottled up. The Chinese will allow the Rothschilds to make them richer and in return, the Rothschilds will get some of this SWF in the form of fees. But the end will be the Chinese taking over.
Right now, they need agents to do their business. They are much too big a target, by themselves. Now, back to the Goldman Sachs gnome community.
Goldman Sachs conspires to make themselves richer at the expense of the American economy. I collected a number of articles, most of which were sent by a group of wonderful readers who send me many links. Thank you! Goldman Sachs should be raided by the SEC and the Secret Service. Remember, the Secret Service was set up to go after counterfitters and fraudsters as well as tax cheats! And Goldman Sachs has taken over our entire economic and banking systems and are utterly destroying them and should be arrested and charged with treason. Alas, they have also taken over our election system via 'campaign contributions.'
*snip*
Goldman Sachs controls our Treasury and quite a few aspects of the banking system and has a huge influence on more than one country's central banks. A Goldman Sachs man took over the banking system of Canada this week, for example. Just last month, Bernanke had a lunch with Paulson, the Goldman Sachs head of the Treasury. This meeting was all about Goldman Sachs screaming at Bernanke, 'There is BLOOD in the streets!' Bernanke, impressed by the tearful wails that the world was coming unglued, assented to a huge interest rate cut via selling securities to itself, thus causing inflation to rise and the dollar to fall against the euro. Paulson's further meetings and phone calls that day are not known yet but before anyone supposedly knew of the big rate cut/inflation creation announcement, Goldman Sachs drove up the stock market from minus 400 pts to above 100 pts in only one hour.Goldman Sachs has always irritated me because they are the ultimate insider traders. This is why they spend so much bribing politicians as well as gaining access to the very innermost workings of the machinery of the banking and financial systems. They are not geniuses, they are conspirators.
When Goldman Sachs announced they had an amazingly profitable summer, I was astounded. Of course, their blasted stocks shot up in value upon this amazing announcement. How could there be blood in the streets if Goldman Sachs was doing just wonderfully? I was quite puzzled when they announced this so smugly. I decided, to cut to the chase, that they were lying. After all, these criminals lie all the time. They are such habitual liars that even if blood WAS running down Wall Street's gutters and they were standing in in their rubbers and umbrellas, I still won't believe them.
A reader sent me this link:
From Edgar Online: http://sec.edgar-online.com/2008/01/29/0000950123-08-000857/Section57.asp
And, look at this list of off-shore Goldman accounts in the Cayman Islands:Scadbury Funding Limited Cayman Islands
Scadbury II Assets Limited Cayman Islands
GS Killingholme Cayman Investments Ltd. Cayman Islands
GS Killingholme Cayman Investments II Ltd Cayman Islands
Forres Investments Limited Cayman Islands
GS Funding Management Limited (1) Cayman Islands
GS Capital Funding (Cayman) Limited Cayman Islands
Goldman Sachs Investments (Mauritius) I Limited Mauritius
Goldman Sachs LLC Mauritius
Tiger Strategic Investments LTD Mauritius
MLT Investments LTD. Mauritius
JLQ LLC Cayman Islands
Goldman Sachs (Japan) Ltd. British Virgin Islands
GSEM Bermuda Holdings, L.P. Bermuda
GS Equity Markets, L.P. Bermuda
Goldman Sachs (Cayman) Holding Company Cayman Islands
Linden Wood, LTD. Cayman Islands
Goldman Sachs Credit Partners L.P. Bermuda
Goldman Sachs Specialty Lending CLO-I, LTD. Cayman Islands
Amagansett Funding Limited Cayman Islands
Amagansett II Assets Limited Cayman Islands
GS European Funding I LTD. Cayman Islands
GS Funding Europe II Ltd. Cayman Islands
Click here for the Goldman Sachs site.
As I keep saying, Goldman Sachs is a pirate operation that is evading taxes, undermining America and Paulson has a huge, huge conflict of interest here. He should be arrested, not feted. The fact that his trillions of bail outs of his buddies has not stopped the general collapse of our banking systems and our stock markets means maybe he will be arrested! I would at least ride him out of DC on a rail.
Zurich Bank's Vault Is `Full to the Top' With Gold
(Bloomberg) -- Zuercher Kantonalbank, the Swiss lender that manages about $107 billion, said its gold vault is full after a surge in demand from investors seeking a haven during the credit crunch.Assets in the Zurich-based bank's ZKB Gold ETF, backed by about 2.66 million ounces of the metal, have risen to a record for seven consecutive weeks. That amount of gold is worth about $2.25 billion at today's prices and equal to about 12 days of global production.
``Demand is so strong,'' Susanne Toren, a metals analyst at the bank, said by telephone from Zurich today. ``Our vaults are full right up to the top.''
Investors are buying gold coins and bars, and exchange- traded funds backed by physical metal, after banks including Lehman Brothers Holdings Inc. collapsed. Assets in SPDR Gold Trust, the largest ETF backed by bullion, advanced to a record 770.64 tons (24.78 million ounces) on Oct. 10.
Switzerland briefly joined the anti-gold party last year. The attempt was to simply spook the Russians, Chinese and Indians who were all hoarding gold. Now, the scramble for gold is intensifying. There is precious little real gold available! The gold ETFs have fallen with all the other ETFs but real gold is more, not less precious. As Gollum says over and over, while thinking about the golden Ring of Power, 'My Precccciousssss!'
Swiss wealth is based on loot which the Swiss mercenary free armies gained while looting cities in Europe during the religious wars of the Catholics against the heretics as well as the Pope against Italian free cities like Milan, etc. They took this gold and hid it in Switzerland and then lent against it, becoming bankers instead of looting mercenary hordes. They briefly lost their heads and a lot of loot lately but are returning to gold as I expected. So gold FUTURES are still falling, it is now in the $700 range. But physical gold is going up.
Just like interest rates are dropping to zero but MORTGAGES are shooting up! Over 100 basis points in the last two months alone! Here is a good read from Market Oracle:
How Central Banks Destabilized the World's Economies By: Gerard_Jackson
The crisis that America finds itself in is not political in origin nor can it be laid at the feet of any individual or party. The whole world, including Europe, is experiencing a massive monetary disruption. Moreover, it is not the first time that the world has been shaken by a financial crisis. It happened in 1824 and it happened again after WW I. What is depressing is that though these crises have but one single cause today' s central bankers and legions of economists find themselves utterly clueless, readily taking as a causes those data which are in fact symptoms of a very deep monetary disorder.
*snip*
If Fisher and his disciples had been correct he would not have lost his fortune and much of his reputation as an economist. During the 1920s the Fed almost doubled the money supply. So why didn' t this raise prices? It did. Commodities boomed as did the demand for capital goods. Because of the focus on consumer goods the prices of capital goods and land were ignored. What makes this observation of critical importance is that it blows away the theory that prices can be stabilised. They cannot.Changes in money streams will always change the price structure and hence the pattern of production. (Richard Cantillon, Essay on the Nature of Commerce in General , Transaction Publishers, 2001, written about 1734 and first published in 1752). These money streams are brought into existence by the central banks forcing down the rate of interest below its market rate. Consequently businesses take on more time-consuming projects, projects that are economically justifiable because the necessary capital is not available to complete them. What central banks are in effect doing is substituting credit for capital. In the mid-'20s it was observed that the tendency to substitute bank credit for real capital [capital goods] was looked upon as a very ominous tendency. The years 1924-29. . . abundantly justified these apprehensions. (Benjamin M. Anderson, Economics and the Public Welfare: A Financial and Economic History of the United States 1914-1946 , LibertyPress, 1979, p. 99).
The second fallacy is that recessions are caused by "deficient demand". This is probably the most dangerous economic fallacy around. Its adoption by the mass of economists and hence central banks is a curse for which we can thank Lord Keynes. This invites a simple question: Why is it that more and more monetary injections are needed to prevent recession?
It is a real pleasure to read a good, clear commentary! Enjoy!
Lindsey Williams was 100% right. Oil collapsed on cue for the elections. Hasnt helped Mcinsane much YET. However, that can change fast. The Arabs are on the path to being bankrupted by BIG OIL, and Dubai to become a ghost town. The dollar will collapse soon after the electiions, and we will have run-away hyperinflation and 3rd world status. Who is going to buy all of Paulsons new bonds to finance wall st. bailouts and largesse? Arab petrodollars certainly will not.
Posted by: ralph | October 16, 2008 at 12:33 PM
EU is pushing for the end of BWII and reversion to something like the original BW. Hat tip to Mish.
Posted by: K | October 16, 2008 at 01:13 PM
Elaine, thanks once again. Flat out.....the best description of SWF's I've read. Your knack for breaking down complex issues and terms are a treasure.
Posted by: Grok | October 16, 2008 at 01:18 PM
The thieving "New World Order" elites are consolidating power, finances and business very effectively. The irony may be that the biggest beneficiaries may be China, Russia and India as the consolidated NWO is being built on a rotten foundation.
Western protests against China, India, and Russia have begun to look hollow. China and Russia and India supposedly are inhumane countries, yet their citizens are united behind their governments in a renewed nationalistic fervor.
China and Russia rose and recovered faster than expected and quickly became exporting giants. Meanwhile, the west is like a junkie on the floor choking in their own puke.
The world cannot be lead by a bankrupt country that runs up huge deficits year after year. The world cannot be lead by a country whose own citizens no longer trust their government. The world cannot be led by a country whose leaders openly act in treason against it's people.
Of course, the elite power brokers never intended on leading the world in their new order. They seek to manage and control the world through brutal tyranny.
I think Elaine is right, the Chinese and Russians may simply sit back and watch the NWO consolidation with a smile. Knowing full well that they will be the banking power for all.
Posted by: DrKrbyLuv | October 16, 2008 at 01:46 PM
Oh very heaven sakes lets not be so melodramatic (I know coming from me that probably doesn't mean much....but...).
People are People. When push comes to shove we prefer smaller groups. Governments, just like corporations, are NOT alive. People are alive. Nations reflect the history of the People who live (or lived) in the Nation.
Most People just want some peace and harmony. Can we agree on this simple concept?
Peace,
Ken
P.S. If interested, click on my name above for a website with some idea in this regard. This is not an advertisement because the ideas in the aforementioned site, just as the ideas here, are FREE. That is what is great about the internet. Peace.
Posted by: Buffalo Ken | October 16, 2008 at 01:56 PM
Oh sorry, I meant my name below!
Up, down, left, right - ain't nothing but directional.
Time now. Time is not a direction. Time is of the essence. That is why a Time Machine can only happen in imagination.
Peace,
Ken
P.S. "blues" - I'm interested in what you have to say about "gold", but I think in a way, gold is everywhere.
Posted by: Buffalo Ken | October 16, 2008 at 01:58 PM
And shapes have mass. Shapes matter in a primary sense. Shapes literally matter more than numbers, but unlike numbers shapes are always in flux.
An element like gold with all of its unique attributes (kinetic and electrical) is special and we know this on a deep level. Same goes for silver and platinum and I'm sure many others.
I expressed prior to the Olympics my sentiment regarding China. My favorite part of the Olympics that I saw was watching the Chinese divers. I was blown away. They were beautiful, incredible, focussed, and amazing to me. Plus every now and then they smiled.
Peace,
Ken
Posted by: Buffalo Ken | October 16, 2008 at 02:05 PM
Are we seeing the beginning of a huge awakening taking place in the world?
I think all of us "contrarians" have wondered over and over why no one seems to notice that we are living in a vicious lie. Here's some encouragement:
"Israeli Bestseller Breaks National Taboo"
"Dr Shlomo argues that the idea of a Jewish nation is a myth invented little more than a century ago."
15/10/08 "Information Clearinghouse" - - TEL AVIV - "No one is more surprised than Shlomo Sand that his latest academic work has spent 19 weeks on Israel’s bestseller list – and that success has come to the history professor despite his book challenging Israel’s biggest taboo."
"Dr Shlomo Sand argues that the idea of a Jewish nation – whose need for a safe haven was originally used to justify the founding of the state of Israel – is a myth invented little more than a century ago."
"In addition, he argues that the Jews were never exiled from the Holy Land, that most of today’s Jews have no historical connection to the land called Israel and that the only political solution to the country’s conflict with the Palestinians is to abolish the Jewish state."
"Translations are under way into a dozen languages, including Arabic and English. But he predicted a rough ride from the pro-Israel lobby when the book is launched by his English publisher, Verso, in the United States next year."
“Zionism changed the idea of Jerusalem. Before, the holy places were seen as places to long for, not to be lived in. For 2,000 years Jews stayed away from Jerusalem not because they could not return but because their religion forbade them from returning until the messiah came.”
“I was not raised as a Zionist, but like all other Israelis I took it for granted that the Jews were a people living in Judea and that they were exiled by the Romans in 70AD.
“But once I started looking at the evidence, I discovered that the kingdoms of David and Solomon were legends.
“Similarly with the exile. In fact, you can’t explain Jewishness without exile. But when I started to look for history books describing the events of this exile, I couldn’t find any. Not one.
“That was because the Romans did not exile people. In fact, Jews in Palestine were overwhelming peasants and all the evidence suggests they stayed on their lands.”
"Dr Sand pointed to the strange state of denial in which most Israelis live, noting that papers offered extensive coverage recently to the discovery of the capital of the Khazar kingdom next to the Caspian Sea."
"Ynet, the website of Israel’s most popular newspaper, Yedioth Ahronoth, headlined the story: “Russian archaeologists find long-lost Jewish capital.” And yet none of the papers, he added, had considered the significance of this find to standard accounts of Jewish history."
"Dr Sand attributed his colleagues’ reticence to engage with him to an implicit acknowledgement by many that the whole edifice of “Jewish history” taught at Israeli universities is built like a house of cards."
http://tinyurl.com/5ywz9k
******************************************
I think Zionism is simply another ploy of the powerful elite bastards. They are equal opportunity thugs who will enslave christians, jews and muslims equally.
Hopefully the truth will begin to emerge on other lies and ploys such as 911, the Federal Reserve (and all central banks), bin ladin, the anthrax attacks, etc.
I hope the bastard elites stay up at night worrying about what the "ignorant masses" may do to them if they catch on.
Posted by: DrKrbyLuv | October 16, 2008 at 02:17 PM
OK - I promise (if anyone cares).
My wife and I are leaving for some NC Mountain "Anniversary Time" (10/19/1991 - hows that number!), so I won't be posting again for awhile.
All the best for everyone striving to make a different for the better.
Peace,
Ken
Posted by: Buffalo Ken | October 16, 2008 at 02:18 PM
This is great stuff, Elaine. I was going to say you know where all the bodies are buried, except they aren't buried. HankyPanky and his friends are like Zombies roaming the earth. They won't be happy until they suck the last bit of wealth out of our pockets.
Just in time for Halloween!
Posted by: KC | October 16, 2008 at 02:19 PM
It's things like this that make me ashamed to call myself a republican.
Posted by: Josh Neumann | October 16, 2008 at 02:39 PM
I'm ashamed to call myself a republican.
Posted by: Josh Neumann | October 16, 2008 at 02:39 PM
This was reported in the MSM. Reuters! What's next.....unbiased reports from Fox News?
http://www.reuters.com/article/newsOne/
idUSTRE49E5Q620081015
(all one line with no spaces)
Posted by: Grok | October 16, 2008 at 02:53 PM
And when the pirates meet to divide up the booty - laughing ar, ar! 'There fine booty on those ship of state'. 'Set sail for more plunder me; and nary a navy frigate defending the fleet - arrrr is good to be a pirate'.
Next use stealth to appear as they are doing a service while looting. 'We're cleaning up the mess left behind. This is going to work.' (fingers crossed behind back, too ... hard ... to ... keep ... straight face). Yahoo:
Posted by: RobG | October 16, 2008 at 02:55 PM
Try:
http://tinyurl.com/3s9c6r
Posted by: Grok | October 16, 2008 at 03:00 PM
Paulson needs "decapitation".
Posted by: DeVaul | October 16, 2008 at 03:42 PM
Japan bailout US?
http://biz.yahoo.com/ap/081016/as_japan_us_bailout_lawmaker.html?.v=1
Posted by: whine and cheese | October 16, 2008 at 04:24 PM
Professor Sand also said that he was not prepared to write and publish his book until he was safely installed in his professorship. He felt that doing so any earlier would have hindered his career. Terminated, more likely.
BTW, over here in the land of the Mother of Parliaments, a Dr. Frederick Toben was arrested in transit when his flight made an intermediate stop at Heathrow Airport, and is now being held pending extradition to Germany. Dr. Toben is an Australian citizen, although he is of German birth. Dr. Toben's crime is to have made his research into many of the claims surrounding the events at Auschwitz concentration camp public knowledge. He also drew some conclusions that are deemed offensive, although inescapably logical, once one has seen his findings. He has a (rather poor quality) video on Google/YouTube about this. Googling "Judea declares war" should bring it up, for anyone interested. I will not post a link as this may also constitute an offence in EU/German law, although it is not illegal in the UK to do so. This is the exact same situation as Dr. Toben finds himself in, for "Holocaust denial" is not illegal in the UK, yet he is being extradited under EU law to be prosecuted/persecuted in Germany. This has wider, more complicated implications throughout Europe, especially in the internet age.
Whatever the pros and cons of Dr. Toben's research, this is a severe attack on the principles of free speech which, in my younger days, we were so proud of and separated us from the mindsets of those statist Continentals (those who live on mainland Europe, not the defunct currency!).
Incensed by this, I e-mailed my Member of Parliament, a Mr. Peter Bottomley, who had the courtesy to call me the same evening. However, he told me that it would not be an issue that he would be pursuing. Well, he's had a long career - long enough not to be alarmed by one more erosion of liberty.
I also rang Liberty, the civil rights organisation over here. I have read the comments of others about Liberty, saying they were sceptical of their anti-establishment credentials, but thought it worth pursuing. The person on the switchboard was unable to put me through to the person covering Dr. Toben's case. Actually, he had never heard of him, in spite of his case being widely reported in the press here. They were going to ring me back. They haven't. I'll try again tomorrow.
This may sound melodramatic but, if Dr. Toben is extradited for this thought crime, it will be the final nail in the coffin of me considering myself any longer British in a fundamental sense. However hypocritical British government actions have been, we were indoctrinated at school with those ideas of fair play, justice, personal liberty, and free speech (oddly, democracy was less emphasised, although the idea of 'robust' politics and debate was there).
As I say, info on Dr. toben's research is available to those who choose to pursue it.
Posted by: Bear of Little Brain | October 16, 2008 at 06:20 PM
Many would dearly love to eliminate free speech in America. Our constitution forbids this but it has been done in the past and will be done again and again. Only way to stop this is to fight it, not self-censor.
Europe is committing grave social crimes in order to please AIPAC. Just as AIPAC is pushing hard to censor Americans here. But it is back firing as I warned them.
Namely, the very effort to silence critics has ENNOBLED them! This is called 'making martyrs' of them and history is very stern about this: it will fail.
I happen to love open debate. Even outrageous or stupid views must be debated, not tasered or shot or put in prison. That is wrong, wrong, wrong.
Posted by: Elaine Meinel Supkis | October 16, 2008 at 07:37 PM
Elaine,
Based on your chart, I estimated that Singapore have 1.3 -1.4 trillion USD in total reserves (hidden as usual). That is amazing for a nation of 3 million people living on such an tiny island that have no resources at all - not even manpower!!
If you compare the amount of money earned by this group of Chinese per person and extrapolate that to China's population of 1.4 billion, that China have the potential to take on the G7's debt and more!!
Posted by: OC | October 16, 2008 at 08:00 PM
Yes, Singapore is a funnel for money offshore exactly like the Cayman Islands. Which have similar per capita stats.
Posted by: Elaine Meinel Supkis | October 16, 2008 at 08:03 PM
DrKrbyLuv,
Thank you! I can't wait until Americans read this. If they are allowed.
I had previously posted this very information on the TRUE Origins of the Ashkenazi Jews.
and their illegitimate claim on the Palestinians land.
Here it is again. I would hope it is not ignored a second time.
http://198.62.75.1/www2/koestler/
Also from a former Zionist who denounced the cause in 1961. It was ignored then too.
http://www.sweetliberty.org/issues/israel/freedman.htm
Posted by: CEO Nutcracker | October 16, 2008 at 08:36 PM
Maybe off topic here, but what is everyone's take on the polling data for this year's election? One poll (Gallup) has Obama with a mere 2 point lead and another has Obama with a 14 point lead. I realize data collection methods vary poll to poll, but they also are supposed to be scientific. The poll results for this years campaign strike me as odd; I don't recall wide gaps like this--so close to the election--before. Any input would be welcomed.
Posted by: Paul S | October 16, 2008 at 08:45 PM
Here is the article on Dr Shlomo Sands bestseller, "When and How Was the Jewish People Invented?"
http://www.newsvine.com/_news/2008/10/09/1977883-israeli-academic-dr-sands-best-sellerwhen-and-how-was-the-jewish-people-invented-
http://www.middle-east-online.com/ENGLISH/?id=28268
Posted by: CEO Nutcracker | October 16, 2008 at 08:57 PM
Dear God, $437.5 billion per day...
http://www.reuters.com/article/newsOne/idUSTRE49F97920081016
Banks borrow record $437.5 billion per day from Fed
"EW YORK (Reuters) - Financial institutions ran to their lender of last resort for record amounts of cash in the latest week, under extreme pressure from the worst global financial crisis in a generation, Federal Reserve data showed on Thursday.
Banks and dealers' overall direct borrowings from the Fed averaged a record $437.53 billion per day in the week ended October 15, topping the previous week's $420.16 billion per day.
Some analysts are concerned that banks' dependence on Fed lending might become long term and difficult to change.
"The banking system is going to become addicted to this very cheap money. Unwinding it will be very difficult," said Howard Simons, strategist with Bianco Research in Chicago.
"We have effectively allowed the central banks to disintermediate the banking system. Why would I want to borrow from you if I could do it with the central bank, because they can always print it up and say 'here'...and they are in the business now of making sure I stay in business," Simons said."
Posted by: GK | October 16, 2008 at 09:07 PM
CEO Nutcracker -
I knew I had seen something about the Khazar Empire on this blog - thanks!
________________________________
Bear of Little Brain -
Freedom of speech is being eliminated everywhere, for example:
- "Australia Australians will be unable to opt-out of the government's pending Internet content filtering scheme, and will instead be placed on a watered-down blacklist, experts say."
"Under the government's $125.8 million Plan for Cyber-Safety, users can switch between two blacklists which block content inappropriate for children, and a separate list which blocks illegal material."
"Pundits say consumers have been lulled into believing the opt-out proviso would remove content filtering altogether."
http://tinyurl.com/6kx5d9
Posted by: DrKrbyLuv | October 16, 2008 at 09:21 PM
Elaine,
I remembered when I was in Singapore during '97, there was comments by Muslim countries nearby Singapore comparing the similarities of Singapore to Israel.
If you were to compare the result of different political, social and economic approach by Singapore to Israel, you would realize how much the people of Israel have lost in these three aspects over the last 4 decades as Singapore became independent about the same time Israel came into existence.
Posted by: OC | October 16, 2008 at 09:24 PM
DrKrbyLuv,
the people who deserve thanks will be ignored.
Dr. Shlomo Sands and Koestler, deserve the Nobel Peace Prize for exposing this preposterous lie.
Posted by: CEO Nutcracker | October 16, 2008 at 09:26 PM
Good read. Good night.
The Thirteenth Tribe
The Khazar Empire and its Heritage
Arthur Koestler
This book traces the history of the ancient Khazar Empire, a major but almost forgotten power in Eastern Europe, which in A.D. 740 converted to Judaism. Khazaria, a conglomerate of Aryan Turkish tribes, was finally wiped out by the forces of Genghis Han, but evidence indicates that the Khazars themselves migrated to Poland and formed the craddle of Western (Ashkenazim) Jewry...
The Khazars' sway extended from the Black sea to the Caspian, from the Caucasus to the Volga, and they were instrumental in stopping the Muslim onslaught against Byzantium, the eastern jaw of the gigantic pincer movement that in the West swept across northern Africa and into Spain.
Thereafter the Khazars found themselves in a precarious position between the two major world powers: the Eastern Roman Empire in Byzantium and the triumphant followers of Mohammed. As Arthur Koestler points out, the Khazars were the Third World of their day, and they chose a surprising method of resisting both the Western pressure to become Christian and the Eastern to adopt Islam. Rejecting both, they converted to Judaism.
The second part of Mr. Koestler's book deals with the Khazar migration to Polish and Lithuanian territories, caused by the Mongol onslaught, and their impact on the racial composition and social heritage of modern Jewry. He produces a large body of meticulously detailed research in support of a theory that sounds all the more convincing for the restraint with which it is advanced.
Mr. Koestler concludes: "The evidence presented in the previous chapters adds up to a strong case in favour of those modern historians - whether Austrian, Israeli or Polish - who, independently from each other, have argued that the bulk of modern Jewry is not of Palestinian, but of Caucasian origin. The mainstream of Jewish migrations did not flow from the Mediterranean across France and Germany to the east and then back again. The stream moved in a consistently westerly direction, from the Caucasus through the Ukraine into Poland and thence into Central Europe. When that unprecedented mass settlement in Poland came into being, there were simply not enough Jews around in the west to account for it, while in the east a whole nation was on the move to new frontiers" ( page 179, page 180).
"The Jews of our times fall into two main divisions: Sephardim and Ashkenazim.
The Sephardim are descendants of the Jews who since antiquity had lived in Spain (in Hebrew Sepharad) until they were expelled at the end of the fifteenth century and settled in the countries bordering the Mediterranean, the Balkans, and to a lesser extent in Western Europe. They spoke a Spanish-Hebrew dialect, Ladino, and preserved their own traditions and religious rites. In the 1960s, the number of Sephardim was estimated at 500000.
The Ashkenazim, at the same period, numbered about eleven million. Thus, in common parlance, Jew is practically synonymous with Ashkenazi Jew." ( page 181).
In Mr. Koestler's own words, "The story of the Khazar Empire, as it slowly emerges from the past, begins to look like the most cruel hoax which history has ever perpetrated."
Mr. Koestler was an Ashkenazi Jew and took pride in his Khazar ancestry. He was also a very talented and successful writer who published over 25 novels and essays. His most successful book, Darkness at Noon, was translated in thirty-three languages.
As expected, The Thirteenth Tribe caused a stir when published in 1976, since it demolishes ancient racial and ethnic dogmas...At the height of the controversy in 1983, the lifeless bodies of Arthur Koestler and his wife were found in their London home. Despite significant inconsistencies, the police ruled their death a suicide...
Posted by: CEO Nutcracker | October 16, 2008 at 09:30 PM
I have been looking for a decent democrat and I have found one!
http://www.traficant.com/1999speecharchive.htm#nov1799
OMG And they threw this guy in jail!
I want this man to be the next president!
Posted by: Dutch Democrat | October 17, 2008 at 12:17 AM
Singapore is similar to Israel?
Singapore is just a pirate cove?
These comments make me laugh. Those of you who said this clearly have no perspective of international economics, trade and finance.
Posted by: David | October 17, 2008 at 12:18 AM
Beam me up!
Posted by: Dutch Democrat | October 17, 2008 at 12:18 AM
I wonder how many readers here know what ASEAN is. Or what NAM is.
Any of you know where Malaysia is?
Posted by: David | October 17, 2008 at 12:20 AM
David,
Do u actually read?? I told u I was in Singapore for a while ....do U know what ASEAN is ??? Do u know SAF is set up and trained by Isreal army??? Do u know what SAF is???
Posted by: OC | October 17, 2008 at 12:29 AM
Elaine,
The latest from LEAP2020:
http://tinyurl.com/6juujd
US to default in summer 2009
Posted by: OC | October 17, 2008 at 01:17 AM
"The only question is, when? And this is where the 50 year plan comes in: we will be living in the new gold-based world order when I am 78 years old. Thanks. I can't wait....gah."
I second that emotion. For some strange reason I have been finding myself feeling up when the market is down and vice versa. I have pondered why. Is it because I feel justified in my views that things are falling apart? And then it occurred to me that the anxiety of uncertainty is what is most troubling. Wouldn't it be nice to wake up tomorrow morning and everything was suddenly all Ozzie and Harriet like? Gollum forgets about his ring and the Sphinx suddenly finds a soul, and Bush announces he's backing Ron Paul for President.
But one way or the other, whether gloom, doom, and bust, or a return to the Golden Age of America, can't we just find some stability? All this volatility is unsettling. But then I had a feeling that somehow it was going to be all right. Am I justified in feeling this way? Wouldn't it be wonderful to see 3000 pound solid steel, gas guzzling, chrome laden behemoths tooling down the highways again? That's when America was something special.
Posted by: Zulu | October 17, 2008 at 01:39 AM
Freedom of speech it may be, but none of us here benefit from the company of neo-nazis.
Posted by: ziff house | October 17, 2008 at 02:13 AM
Dear OC,
I happen to be from ASEAN.
Are you aware that Singapore also conducts joint military exercises with Indonesia, Malaysia, Thailand, and other ASEAN countries?
Are you aware that when Singapore was considering setting up its army, Israel was not its first choice as a consultant?
Please get more than a passing knowledge of a subject before you comment on it. Superficial knowledge is dangerous, especially in the hands of those who spread it like a disease.
Posted by: David | October 17, 2008 at 02:14 AM
Paul S, from prev.post you said:
"I think the gnomes think they are invincible. These guys have engineered such a corrupt system that they will come out on top no matter what happens. Finding land in another country would be admitting the game is over and these guys' egos are WAY too huge for that."
--------------------------------------
Seems that's been checked off the list >>
October 15, 2006.....and the Bush Family, the purchase of nearly 100,000 acres of land in the South American Nation of Paraguay, and which is also confirmed by the Latin American News Service
http://www.thepowerhour.com/news2/bush_paraguay.htm
As I recall, this parcel is adjacent to an even larger one bought by the Rev.Sun Myung Moon...
http://dir.salon.com/story/news/feature/2003/09/24/moon/index.html
both parcels being over one of one of the largest underground water reserves in South America.
Posted by: JB | October 17, 2008 at 02:16 AM
OC, I believe David is speaking from the perspective of CNN, Fox, Bloomberg et al. And while he can see the forest, he has difficulty seeing the trees. Understandable. All people are limited by the comfort level of their belief system. We are no different, inspite having expanded beyond our original mindsets.
Singapore is a miracle State by international standards. It has nothing, even their water is pumped in from Malaysia. It never got a free ride, nor was it spoon fed by a nanny to the tune of hundreds of billions of dollars. In fact, maybe even Trillions, let's consider how much of the $2.7 Trillion unaccounted for by the Pentagon may be in Israel?
While Israel and Singapore have some similarities in size, birth date, etc., there the similarity ends. Singapore was and to this day has very strong Japanese ties. They trust the Singaporeans more than the Swiss, and current events have proven this to be the right decision considering the current pickle the Swiss bankers are in after their irresponsible foray into "gambling" with OPM (other people's money).
You are right OC, while each country was established a about the same time, etc., they took divergent paths. That's because the agenda for which they were created had very different goals. Even opposite goals.
A good amount of the Trillions you speak off are Japanese. And Indian. And Asian. And yes, Singapore is a tax haven, how else could it have become what it is today? Yet they have expanded into manufacturing, service, tourism, banking, to their credit. And it is here that I have to agree with David, to compare Singapore to the Queen's pirate coves would not be fair, in my opinion.
Singapore has always carried its own weight. It is built on the blood, sweat, tears, and resiliency of the Singaporean people. And much credit to Lee Kuan Yew, without whom this would not have been possible. Very far from Bermuda, BVI and the like. No comparison.
Perhaps the only real similarity Singapore has with Israel is the training of its Armed Forces which used Israeli Defense Force organic units for this purpose. But then so did many other Asian countries, and even British SAS, for that matter. Military arms sales and training is one of Israels biggest export industries.
Posted by: carli | October 17, 2008 at 03:05 AM
Carli,
I agree with many of the points u raised but u are not current with the Singapore's latest agenda. The PM (I refer to as Puppet Master) has set the new direction 2-3 years ago. Singapore is to be a financial center with manufacturing delegated to the sidelines i.e. farmed out to Batam (nearby Indonesian island) Vietnam and China. It aspires to be the equivalent of Switzerland in Asia and will get its wish soon. The latest move to allow casinos in Singapore is a step towards possible money laundering especially from regimes from ASEAN.
However, like any good Chinese, he set aside funds to turn Singapore into high end manufacturing and research center in areas such as pharmaceuticals, IT and green building technologies which is very different from Israel's export strengths. As I said, from the beginning, some circumstances between the two nations are similar but both end up in very different paths after 4 decades.
Posted by: OC | October 17, 2008 at 04:52 AM
Carli,
On a lighter note, Singapore is a real pirate cove back in 18th Century before the British turn up and turn it into its Colony. I think it was called Temasek (that's how Temasek Holdings get its name).
Now it is the preferred social, economic and political model for China.
Posted by: OC | October 17, 2008 at 04:57 AM
For those of us in the Land of Oz,
We might get cut off from this website:
http://tinyurl.com/5xturq
Big Brother is coming!!
Posted by: OC | October 17, 2008 at 05:42 AM
OC, no disagreement with anything you have said. And no, I was not aware of Singapore's pirate cove beginnings (more like Hongkong), although I quite up-to-date the Minister Mentor's plan for Singapore.
I would add that India is a very big part of Singapore's future. More so than China, I believe. Their population has in possession an estimated amount of gold that matches the total amount held by all the Central banks of the world (talk about hidden wealth), approximately 29,000 tons. India has been importing over 700 tons of gold a year for over 20 years.
Further, the "black money" held by the Swiss for RI's and NRI's is said to be in the range of $1.5 Trillion, the highest of any nation, with Russia a poor second. I expect that will very quickly find its way to Singapore considering how the Swiss banking systems starting to look like Swiss cheese.
Posted by: carli | October 17, 2008 at 06:36 AM
Elaine and fellow readers:
The following is an excerpt of an article I stumbled across on The Oil Drum about how the infinite growth dreams of classical economists are utterly incompatible with the reality of living on a finite planet, and how that incompatibility has contributed to the current crisis.
Herman Daly on the Credit Crisis, Financial Assets, and Real Wealth
The current financial debacle is really not a “liquidity” crisis as it is often euphemistically called. It is a crisis of overgrowth of financial assets relative to growth of real wealth—pretty much the opposite of too little liquidity. Financial assets have grown by a large multiple of the real economy—paper exchanging for paper is now 20 times greater than exchanges of paper for real commodities. It should be no surprise that the relative value of the vastly more abundant financial assets has fallen in terms of real assets. Real wealth is concrete; financial assets are abstractions—existing real wealth carries a lien on it in the amount of future debt. The value of present real wealth is no longer sufficient to serve as a lien to guarantee the exploding debt. Consequently the debt is being devalued in terms of existing wealth. No one any longer is eager to trade real present wealth for debt even at high interest rates. This is because the debt is worth much less, not because there is not enough money or credit, or because “banks are not lending to each other” as commentators often say.
Can the economy grow fast enough in real terms to redeem the massive increase in debt? In a word, no. As Frederick Soddy (1926 Nobel Laureate chemist and underground economist) pointed out long ago, “you cannot permanently pit an absurd human convention, such as the spontaneous increment of debt [compound interest] against the natural law of the spontaneous decrement of wealth [entropy]”. The population of “negative pigs” (debt) can grow without limit since it is merely a number; the population of “positive pigs” (real wealth) faces severe physical constraints. The dawning realization that Soddy’s common sense was right, even though no one publicly admits it, is what underlies the crisis. The problem is not too little liquidity, but too many negative pigs growing too fast relative to the limited number of positive pigs whose growth is constrained by their digestive tracts, their gestation period, and places to put pigpens. Also there are too many two‐legged Wall Street pigs, but that is another matter.
Growth in US real wealth is restrained by increasing scarcity of natural resources, both at the source end (oil depletion), and the sink end (absorptive capacity of the atmosphere for CO2). Further, spatial displacement of old stuff to make room for new stuff is increasingly costly as the world becomes more full, and increasing inequality of distribution of income prevents most people from buying much of the new stuff—except on credit (more debt). Marginal costs of growth now likely exceed marginal benefits, so that real physical growth makes us poorer, not richer (the cost of feeding and caring for the extra pigs is greater than the extra benefit). To keep up the illusion that growth is making us richer we deferred costs by issuing financial assets almost without limit, conveniently forgetting that these so‐called assets are, for society as a whole, debts to be paid back out of future real growth. That future real growth is very doubtful and consequently claims on it are devalued, regardless of liquidity.
What allowed symbolic financial assets to become so disconnected from underlying real assets? First, there is the fact that we have fiat money, not commodity money. For all its disadvantages, commodity money (gold) was at least tethered to reality by a real cost of production. Second, our fractional reserve banking system allows pyramiding of bank money (demand deposits) on top of the fiat government‐issued currency. Third, buying stocks and “derivatives” on margin allows a further pyramiding of financial assets on top the already multiplied money supply. In addition, credit card debt expands the supply of quasi‐money as do other financial “innovations” that were designed to circumvent the public‐interest regulation of commercial banks and the money supply. I would not advocate a return to commodity money, but would certainly advocate 100% reserve requirements for banks (approached gradually), as well as an end to the practice of buying stocks on the margin. All banks should be financial intermediaries that lend depositors’ money, not engines for creating money out of nothing and lending it at interest. If every dollar invested represented a dollar previously saved we would restore the classical economists’ balance between investment and abstinence. Fewer stupid or crooked investments would be tolerated if abstinence had to precede investment. Of course the growth economists will howl that this would slow the growth of GDP. So be it—growth has become uneconomic at the present margin as we currently measure it.
Posted by: Neon Vincent | October 17, 2008 at 06:53 AM
This Australian net filtering is the thin end of a very long wedge.
I intend to start a small library of downloaded YouTube vids (I use the app, "Miro") that may become 'undesirable'. There is now a full-scale attempt to shut down the internet as a medium for debate and enquiry, all under the ruse of paedophilia and terrorism. Somehow we may still be able to get information out, but I have no idea how. Maybe encoded bit torrent streams. I have no idea what I'm talking about but will start trying to find out.
Expect all "conspiracies" (Kennedy, Waco, Elders of Zion, 911, etc.) to become non-history. Winston Smith lives!
I hope everyone has read "1984" and "Brave New World" before they are banned.
Ignorance is strength! Love Big Brother!
Clever that 'Big Brother' is now a TV programme, nicely defusing its original subversiveness.
Apologies for being off-topic. The speed of economic events and the volatility has reduced me to observer status only. Ordo ab chao.
At least I still have my Canadian Maples...
Posted by: Bear of Little Brain | October 17, 2008 at 07:12 AM
well, OC,
It`s "God`s own Country" time in Oz again!
Next they`ll be bringing back the 6 O`clock Swill.
(for non Oz`s that`s a reference to the 18-00 closing time for Pubs introduced during WW1 and rescinded around 1966 - an Australian form of prohibition and late-night public urination control).
Posted by: Rowan | October 17, 2008 at 07:27 AM
Carli,
Ha!Ha!Ha! Goddammit, U an I disagree on minor stuff but always wind up agreeing on the big ones!! Hope u have plan a bolt hole for yourself in Singapore.
If things go BOOM here in Oz, that will be my option C. If u are there, I'll buy u a drink, mate!!
That PM as I call him or MM to u has laid long term plans too and it is all going along his way. Singapore will survive for a while even after he is gone from the scene. For all his personal faults, he is a good man to have as a leader and Singaporeans have chosen wisely for 40 years. They now have a very good chance of survival. Wish the same had happen here in US. Too late now. Once this baby blows, we are in for the ride of our life.
Posted by: OC | October 17, 2008 at 07:36 AM
Rowan,
I suspect Kevin is a closet Buddhist or PM like Lee in Singapore. Man is sharp as a whistle and control freak. Malcolm is going to have a tough fight for years if he wants that top dog position.
For those not from Oz, Malcolm Turnbull is the current opposition leader. He is just as sharp as Kevin Rudd so it will be a interesting death match for the seat of PM.
Posted by: OC | October 17, 2008 at 07:45 AM
Neon Vincent, I suspect that the sole purpose of derivatives as envisioned by the JP Morgan guys in 1997 was subverted and used to control the politics, power and growth of the rest of the world outside of the US & EU system. These instruments were tremendously abused, and greed gave them a life of their own.
You are right, it is really about perception, digits versus "real assets" or commodities. And while the coming collapse of the US$ may be a great burden on the American people, think of the hundreds of countries under the crushing debt regime imposed by the IMF and WB, in the very same dollars. The collapse of the US dollar to say 10% of its current value will allow these countries to liquidate their obligations (which btw have been paid many times over through interest).
The real losers in this game are the very same guys who are running around scaring everyone crying we have to bailout the banks! It is their money, the huge amounts they have stolen through deception that is going to be lost. Let them eat cake for a change, I say.
Posted by: carli | October 17, 2008 at 07:54 AM