Implode-Explode Heavy Industries news feed

Doug Noland - Flowing Funds Fund Geopolitical Strife

Sat, 08 Mar 2014 16:04:20 GMT

``I don't believe the ongoing melt-up in U.S. stocks and the rapidly deteriorating geopolitical backdrop are coincidental. Again, from my analytical framework, both are creatures of historic monetary inflation. Serious (faltering Bubble) stress at the "periphery" now dictates erratic behavior many would view (from the old world view) as irrational. Meanwhile, liquidity flooding into the "core" feeds a historic speculative Bubble''

C'mon baby, light my (Crimean) fire - Pepe Escobar

Sat, 08 Mar 2014 16:00:11 GMT

``this [new] "government" - supported by the US and the European Union - has already declared the referendum illegal. Proving its impeccable "democratic" credentials, it has already moved to ban the official use of the Russian language in Ukraine; get rid of the communist party, which amassed 13% of the votes in the last election, more, incidentally, than the neo-nazi-infested Svoboda ("Freedom") party, now ensconced in key government security posts; and ban a Russian TV station, which happens to be the most popular on Ukrainian cable. ''

Russia welcomes Crimean parliament's referendum to decide statehood-affiliation

Sat, 08 Mar 2014 15:58:23 GMT

``Matviyenko compared Crimea's referendum to the upcoming referendum for Scotland's independence, pointedly asking, "I wonder why no one said that a referendum on Scotland's independence... is a priori illegal. We have not heard such opinions. ... Then why should the people of Crimea be deprived of their right to legal self-determination?"''

The Mainstream Grapples with the Last Manipulated Asset Class

Sat, 08 Mar 2014 15:57:20 GMT

``it seems a bit irresponsible to have ignored the vast archives created by the Gold Antitrust Action Committee (GATA) or the constant commentary from its officers who ask the questions for them. Certainly, they Google "Ted Butler" and read one article from 20 years ago outlining the mechanism that is alive and well today, as this is typed and read. Even better, they could call them up or send them email for comment.''

China's Road To Secret Gold Accumulation (exclusive translation)

Sat, 08 Mar 2014 15:55:50 GMT

``Synopsis: China may gradually acquire gold on the international gold market through non-central bank financial entities, the newly acquired gold shipped back to China to be converted into central bank gold reserves. Credit in various forms including gold reserves will support China's Renminbi and its internationalization.''

Banks bear brunt of gold-fix blame (SA)

Sat, 08 Mar 2014 15:54:02 GMT

``Evidence emerging in the United Kingdom about the possible manipulation of the gold price for a decade could have major implications for South African investors and mining companies who might be able to sue for damages in terms of South African law.''

New Lenders Spring Up to Cater to Subprime Sector

Thu, 06 Mar 2014 13:58:29 GMT

As the economic recovery continues, new entrants see an opportunity to lend at interest rates approaching 10% and sometimes much more. That is a premium above prime loans--those made to borrowers with strong credit scores--but less than what many consumers pay for credit cards and payday loans.
Among firms that recently began originating loans for people with subprime credit is Lending Club, a peer-to-peer platform in which investors pool money to make consumer loans. Microsoft co-founder Paul Allen's firm, Vulcan Ventures, invested $125 million in FreedomPlus, a San Mateo, Calif., lender that opened its doors in mid-February.

FreedomPlus, an offshoot of firm Freedom Financial Network, is targeting about 80 million people with credit scores between 600 and 700. It offers loans up to $35,000, to be repaid over two to five years. Rates range from 7.49% to 36%, with an average of 18% to 20%.

BOE Heard Traders' Currency-Rigging Concerns Years Ago

Wed, 05 Mar 2014 22:37:39 GMT

``Bank of England officials knew of concerns the foreign-exchange market was being manipulated as early as July 2006, more than seven years before regulators opened formal probes into alleged rate-rigging... The notes raise questions about whether the BOE could have done more to stop practices at the heart of investigations by authorities around the world of allegations traders colluded to rig rates.''

Bruce Berkowitz's Bogus Bombast | David Stockman

Wed, 05 Mar 2014 18:56:59 GMT

``... now comes the patented crony capitalist rush. The worthless Freddie and Fannie preferreds have lately erupted from $0.25 per share to $12, meaning that some speculators have already garnered a paper return of 48X. And why did this revival miracle transpire? Quite simply because Berkowitz's Fairholme Capital and his posse of punters---John Paulson, Perry Capital and Pershing Square, among others--have taken turns bidding up the paper. Meanwhile, their deplorable plan to do the American people a favor and swap these bogus securities for those of a new tax-payer underwritten, mortgage guarantee stamping machine, has but one objective--that is, to put a statutory floor under the current $12 per share price and enable them to dicker with Capitol Hill staffs for an ultimate take-out at par($25) under the guise of "privatization". ''

A Different "Housing Crisis" in San Fran

Wed, 05 Mar 2014 18:53:08 GMT

``Even some tech entrepreneurs and programmers say they are being priced out. They are competing with co-workers who got in early on a tech start-up, or started one of their own, and have seemingly unlimited money at their disposal.''

Supreme Court: No More Avoiding Whistleblower Lawsuits With Artful Subcontracting

Wed, 05 Mar 2014 18:50:36 GMT

The court ruled that two whistleblowers were legally protected against retaliation after they raised concerns to their employer, FMR LLC, the parent company of Fidelity Investments, about how some mutual funds were being managed. While Fidelity's mutual funds are public companies and are required to file reports with the U.S. Securities and Exchange Commission, management services are provided by private companies under contract with the funds, including Fidelity Brokerage Services LLC.
The case, which will now return to lower courts for further litigation, concerns claims made by former employees Jackie Lawson and Jonathan Zang, both of the Boston area. Both said they were retaliated against after highlighting what they believed to be improper company practices.

A Standoff of Lawyers Veils Madoff's Ties to JPMorgan Chase

Wed, 05 Mar 2014 16:33:22 GMT

That dispute, which positioned JPMorgan against the government and ultimately one government agency against another, traced to the point after Mr. Madoff's arrest in December 2008. Around that time, JPMorgan's lawyers interviewed dozens of bank employees who potentially crossed paths with Mr. Madoff's company.
Federal regulators at the Office of the Comptroller of the Currency sought copies of the lawyers' interview notes, the government document and other records show, hoping they would open a window into the bank's actions. The issue gained urgency in 2012, according to the records, when the comptroller's office conducted its own interviews with JPMorgan employees and discovered a "pattern of forgetfulness."

Crimean Crisis: All Eyes on Merkel

Wed, 05 Mar 2014 16:29:01 GMT

``As the conflict with Russia over Crimea intensifies, Germany is playing a central role in communications with Russian President Vladimir Putin. But the international community has doubts that Chancellor Angela Merkel can pull it off.''

Russia Tries to Keep Moldova From Getting Close to EU

Wed, 05 Mar 2014 16:26:13 GMT

``"Sixty percent of Moldovans believe things were better in the Soviet era," says Chirila. "And now a resurgent Russia is offering them an alternative with their Customs Union and deceiving them into believing that they can return into the lap of the former empire. They don't understand what the EU represents."''

China Banks Show Too-Connected-to-Fail Link to Loans

Wed, 05 Mar 2014 16:21:23 GMT

``Banks have more than their reputations on the line. They have channeled their own capital as well as clients' money through trusts to risky borrowers they're normally prohibited from lending to, such as coal mines and property developers, according to the Trustee Association... Banks had an estimated 6.6 trillion yuan of off-balance-sheet loans channeled mostly through trusts to risky corporate and local-government borrowers, according to Mike Werner, a Hong Kong-based analyst at Sanford C. Bernstein & Co. That figure is equal to more than 80 percent of banks' shareholder capital and has increased 65 percent annually for the past three years, Werner wrote in a Jan. 22 note.''

Barclays, Deutsche Bank Accused of Gold Fix Manipulation: Lawsuit

Wed, 05 Mar 2014 16:17:25 GMT

``Barclays Plc, Deutsche Bank AG and three other banks were accused in a lawsuit of manipulating the London gold fix, a benchmark used throughout the $20 trillion market for the metal. Kevin Maher, a New York resident who says he bought and sold gold and gold futures and options, sued yesterday in Manhattan federal court claiming the five banks overseeing the century-old benchmark colluded to manipulate it.'' -- It was only a short matter of time.

Spring fails in Ukrainian plunderland - Pepe Escobar

Wed, 05 Mar 2014 16:04:55 GMT

If a wide-ranging poll were to be conducted today, it would reveal that the majority of Ukrainians don't want to be part of the EU - as much as the majority of Europeans don't want the Ukraine in the EU. What's left for millions of Ukrainians is the bloodsucking IMF, to be duly welcomed by "Yats" (as Prime Minister Yatsenyuk is treated by Vic "F**k the EU" Nuland).
...
The endgame is all but written; Moscow controls an autonomous Crimea for free, and the US/EU "control", or try to plunder, disaster capitalism-style, a back of beyond western Ukraine wasteland "managed" by a bunch of Western puppets and oligarchs, with a smatter of neo-nazis.

Russia cancels Ukraine's gas discount and demands $1.5bn

Wed, 05 Mar 2014 02:17:04 GMT

``"They failed to pay off the debt, I think it's $1.5bn as of today, and if they don't pay for February it's going to be $2bn. So if you don't pay, then let's go back to regular prices."''

What I Know About Loan Modifications -- Mandelman Matters

Wed, 05 Mar 2014 02:11:15 GMT

``Here are 12 guidelines that I've developed after seeing that they've been helpful to homeowners in the loan modification process. They are listed in no particular order...''

Gold in 2013: the foundation for 2014 - Alasdair MacLeod

Wed, 05 Mar 2014 00:26:29 GMT

``In 2014 there is likely to be a growing realisation that the vaults in the West are very low on [gold] stock.''