• Tag Archives Catalonia
  • Trump Tax Cuts – The Spark That Burns Down The EU

    Authored by Tom Luongo,
    For most of this year I’ve been wondering what would the spark that would set off a banking panic in the European Union.
    I know, but what do I do for fun, right?
    I’ve chronicled the political breakdown of the EU, from Brexit to Catalonia to Germany’s bitch-slapping Angela Merkel at the ballot box. All of these things have been open rebukes of EU leadership and it’s insane neoliberal push towards the destruction of national sovereignty and identity.
    And what has propped up this slow train-wreck to this point has been the world’s financial markets inherent need to believe in the relative infallibility of its central bankers.
    Because without competent people operating the levers of monetary policy, this whole thing loses confidence faster than you can say, ‘Bank run.’
    The confluence of these things with the big changes happening politically here at home with President Trump are creating the environment for big trend changes to begin unfolding.
    And, as always, you have to look to the sovereign bond and credit markets to see what’s coming.

    This post was published at Zero Hedge on Thu, 12/28/2017 –.


  • “This is Groundhog Day”: Spanish Stocks Battered By Catalan Vote, Bitcoin Crashes

    Spanish stocks and the euro fell, while Spanish government bond yields hit their highest levels in over a month after Catalan secessionists delivered an unexpected blow to the government of Spanish PM Rajoy by winning the Catalan regional election. Meanwhile across the Atlantic, U. S. equity futures and the dollar rose on the last trading session before the Christmas holiday. The MSCI index of world stocks was flat.
    Europe’s Stoxx 600 Index traded sideways as Spain’s Ibex 35 underperformed, dropping as much as 1.6%. Spanish stocks dominated Europe’s biggest fallers, confirming analyst expectations that any shake-out from the Catalonia vote would be mostly confined to Spain. Spain’s bonds also fell along with peripheral European government debt, though bunds were little changed after a selloff this week drove yields to five-week highs. For those who missed it, Catalan separatist parties triumphed in regional elections, outperforming some polls and reigniting Spain’s political trauma. While the Euro has stabilized since, it suffered a mini flash crash in the illiquid aftermath of the Catalan election news, momentarily dipping to $1.1817 before trimming losses to last stand at $1.1853, down 0.2 percent.

    This post was published at Zero Hedge on Dec 22, 2017.


  • Forget About Catalonia And Brexit, The Next European Black Swan Could Be Transylvania

    Via ValueWalk.com,
    Over the past 100 years, the borders in Central and Eastern Europe have been redrawn time and time again, often leaving groups of people separated from their home country by new borders. Although land often changed hands relatively peacefully, suddenly finding one-selves as an ethnic minority in a new country was bound to lead to tension and resentment.
    ***
    While these resentments may reveal real disenfranchisement of ethnic minorities in Central Europe, politicians, especially populist figures, have seized on the outsider narratives inherent in the diaspora experience.

    This post was published at Zero Hedge on Nov 27, 2017.


  • Russia-Gate Spreads To Europe

    Ever since the U. S. government dangled $160 million last December to combat Russian propaganda and disinformation, obscure academics and eager think tanks have been lining up for a shot at the loot, an unseemly rush to profit that is spreading the Russia-gate hysteria beyond the United States to Europe…
    ***
    Now, it seems that every development, which is unwelcomed by the Establishment – from Brexit to the Catalonia independence referendum – gets blamed on Russia! Russia! Russia!
    The methodology of these ‘studies’ is to find some Twitter accounts or Facebook pages somehow ‘linked’ to Russia (although it’s never exactly clear how that is determined) and complain about the ‘Russian-linked’ comments on political developments in the West. The assumption is that the gullible people of the United States, United Kingdom and Catalonia were either waiting for some secret Kremlin guidance to decide how to vote or were easily duped.

    This post was published at Zero Hedge on Nov 18, 2017.


  • Sicily votes 81% against the EU Status Quo – It Begins!

    The contagion from Catalonia is indeed spreading to Italy. The Democratic Party (PD) led by former Italian Prime Minister Matteo Renzi has suffered a severe defeat in Sicily. The Eurosceptic parties have won the election sending yet another warning sign to Brussels that they refuse to accept demand reform.
    The Democratic Party has lost the regional elections in Sicily in a very DRAMATIC way. Renzi’s party came in third place with just 19% of the vote. The candidate, supported by Silvio Berlusconi, has won around 40%. I have written before that RELIABLE sources revealed that the EU had staged a coup in Italy to overthrow Berlusconi because he was proposing back then to exit the Euro.

    This post was published at Armstrong Economics on Nov 10, 2017.


  • Is There Any Way Out of the ECB’s Trap?

    The ECB faces the Devil’s Alternative that Frederick Forsyth mentioned in one of his books. All options are potentially riskly. Mario Draghi knows that maintaining the so-called stimuli involves more risks than benefits, but also knows that eliminating them could make the eurozone deck of cards collapse.
    Despite the massive injection of liquidity, he knows that he can not disguise political risks such as the secessionist coup in Catalonia. The Ibex reflects this, making it clear that the European Central Bank does not print prosperity, it only puts a floor to valuations.
    The ECB wants a weak euro. But it is a game of juggling to pretend a weak euro and at the same time a strong economy. The European Union countries export mostly to themselves. Member countries sell more than two-thirds of their goods and services to other countries in the eurozone. Therefore, the more they export and their economies recover, the stronger the euro, and with it, the risk of losing competitiveness. The ECB has tried to break the euro strength with dovish messages, but it has not worked until political risk reappeared. With the German elections and the prospect of a weak coalition, the results of the Austrian elections and the situation in Spain, market operators have realized – at last – that the mirage of ‘this time is different ‘in the European Union was simply that, a mirage.

    This post was published at Ludwig von Mises Institute on 11/09/2017.


  • Technical Scoop – Weekend Update Nov 5

    Weekly Update
    To the moon, Alice!
    Ralph Kramden, The Honeymooners
    And at the current rate it might not be too long before it’s actually there. The moon, that is. No, not Alice – Bitcoin. Yes, Bitcoin crossed $7,000 this week. It was less than a month ago Bitcoin passed $5,000. The riches are dazzling as Bitcoin is up 640% this year alone. Bitcoin now has a market cap of $100 billion. How much longer before it’s bigger than Amazon or Apple or worth more than the entire gold stock market? But the question continues to beg – is Bitcoin an historic bubble? Until it bursts, the question is strictly academic. And don’t forget, not only is there Bitcoin but there are now over 1,000 other cryptocurrencies. And Bitcoin has forks as well called Bitcoin cash and Bitcoin gold.
    Okay, we are not going to get into a huge discussion of Bitcoin and how it is structured and what blockchains are all about. It is mind boggling enough trying to figure all of that out. We will have further comments on our weekly ‘Bitcoin Watch!’ commentary.
    The stock markets made new all-time highs again this past week. That comes against the backdrop of the terrorist attack in New York City, indictments in the Russia investigation including former top aides of President Donald Trump, and possible brewing trouble in the Mid-East. There is also the escalating crisis in Catalonia in the heart of the EU, ongoing trouble between Kurds and Iraq/Iran/Turkey, and continued moves afoot to lessen the use of the US$ in world trade. As well, a new Fed chairman has been proposed. But all the stock market cares about is the potential to pass the tax bill that could put billions into corporations and the 1% even as it could create deficits estimated at up $1.5 trillion over the next decade.
    Maybe the stock markets are also headed for the moon, albeit at a much slower pace. Still, the records just keep on falling and there seems to be little in the way of stopping it. We may wring our hands over the alleged terrorist attack that killed 8 and injured many more but largely ignore an attack in a Walmart in Colorado that left 3 dead that occurred not long after the NYC attack. And I might add as we prepare this for distribution another attack in some small Texas town in a church that has left multiple fatalities.

    This post was published at GoldSeek on 5 November 2017.


  • Spain Just Lit a Fuse Under Catalonia – its Richest Region

    Acute uncertainty is like sand in the gears of the local economy.
    It’s amazing how fast the wheels of the Spanish justice system go round when the establishment wants them to, and how slowly they revolve when it doesn’t, which is usually when members of the same establishment – senior politicians and civil servants, bankers, business owners, or even royalty – are in the dock, which is happening with disturbing regularity these days.
    On Thursday we saw Spanish justice at its fastest. In the dock was the recently sacked vice president of Catalonia’s separatist government, Oriol Junqueras, and seven other elected representatives of the breakaway region who stand accused of a litany of charges, including rebellion, which carries a maximum sentence of 30 years’ imprisonment.
    The counsel for the defence had less than 24 hours to prepare the case. After just a few hours of hearing preliminary evidence, the National Court Judge sent half of Catalonia’s suspended government to jail without bail. On Friday, the same judge issued an international arrest warrant for Carles Puigdemont, the disputed Catalan president who fled to Brussels on Monday, as well as four other former ministers who did not show up to court on Thursday.

    This post was published at Wolf Street by Don Quijones ‘ Nov 3, 2017.


  • Spain Order Jailing Of Catalan Leaders: ‘What Happens Next’ To Puigdemont?

    Here is the photo of Puigdemont having coffee in Brussels this morning when he was meant to be in court in Madrid. Caught by @adelgadoRne pic.twitter.com/Njr3niwpAh
    — The Spain Report (@thespainreport) November 2, 2017

    The Spanish public prosecutor on Thursday ordered the country’s High Court that the Catalonian secessionist leaders be jailed. An arrest warrant be issued for ousted Catalan president Carles Puigdemont and eight members of his former government.
    Investigative magistrate Carmen Lamela issued the ruling on Thursday at the request of prosecutors who are pursuing a criminal case stemming from the declaration of secession the Parliament of Catalonia made Friday. The eight are Oriol Junqueras (Deputy First Minister, economy), Jordi Turull (spokesman), Raul Romeva (foreign affairs), Josep Rull (territory), Meritxell Borrs (public administration), Carles Mund (justice), Dolors Bassa (work & social affairs), Joaquin Form (interior).
    Earlier, the prosecutor’s office requested the jailing of Catalonian Vice-President Oriol Junqueras and seven other officials charged with rebellion, sedition and embezzlement of public funds, while the probe is ongoing, La Vanguardia reported. The prosecutor also asked the judge to issue a European arrest warrant for former leader Carles Puigdemont while also requesting that counselor Santi Vila, who resigned from government before Catalonia declared independence, be released on bail of 50,000.

    This post was published at Zero Hedge on Nov 2, 2017.


  • Why Switzerland Could Save the World and Protect Your Gold

    – Precious metals advisor Claudio Grass believes Switzerland can serve as an example to rest of world
    – Switzerland popular for gold storage due to understanding of the risks inherent in fiat money and gold’s value as a store of wealth.
    – International investors opt to store gold in Swiss allocated accounts due to tradition of respecting private property.
    – Country respects the importance of gold ownerships and 70% of world’s gold is refined there
    Across Europe many voters and politicians are expressing their dislike at the bureaucratic and overarching approach of the European Union. There are also regions and countries pushing to break ties with others that they have long been associated with. Catalonia is just the most recent example, many in Scotland are also calling for independence.
    It is not an understatement to say that the role and influence of government is currently at the forefront of many citizens’ minds. This is understandable given political upheaval but also thanks to decisions by authorities that are arguably not in the best interests of the electorate. Bail-ins are just one very important example.

    This post was published at Gold Core on November 2, 2017.


  • The Rising Separatist Movements in Europe-Eastern Europe

    There are many in Spain who just outright disagree with any right of Catalonia to be independent. History, culture, language, nothing really matters. Some have said it is the Spanish Constitution and all of Spain should vote to let Catalonia leave or stay. All of that said if Madrid had just allowed a fair referendum then whatever the vote was should have stood.
    This is all about saving the EU and not Spain. It was the oppression that probably made others vote to leave. All of Spain cannot vote against one region. London did not vote on Scotland and neither did Toronto against Quebec. California has people pushing to separate and that is not a right to be decided by me in Florida.

    This post was published at Armstrong Economics on Nov 1, 2017.


  • Invest In Gold To Defend Against Bail-ins

    – Italy’s Veneto banking meltdown destroyed 200,000 savers and 40,000 businesses
    – EU bail-in rules have wiped out billions for savers and and businesses, with more at risk
    – Bail-ins are not unique to Italy, all Western savers are at risk of seeing savings disappear
    – Counterparty-free, physical gold bullion is best defence against bail-ins
    One of Italy’s twenty regions is calling for more autonomy from the state following a nonbonding referendum. Why? Because a government supported ‘rescue package’ caused the lifesavings of 200,000 savers to be wiped out during the implosions of Popolare di Vicenza and Veneto Banca.
    Since then the banks have been rescued in one way or another yet the impact of the collapse on individuals and small businesses is only just becoming clear.
    As in Spain’s Catalonia the region of Veneto is wealthier than the average Italian region, with its own industries and language yet it has been left with a pile of ash when it comes to its banking sector.

    This post was published at Gold Core on November 1, 2017.


  • BoE Expected To Vote 6-3 For Rate Increase And Signal Markets Underpricing Future Hikes

    The last time the Bank of England raised rates was July 2007, when rates increased to 5.75%. Credit markets began to dislocate a month later (when LIBOR diverged from Fed Funds), equity markets peaked three months after the increase andthings eventually got much worse.
    So, the track record is not auspicious, but the alleged global macro narrative this time is one of synchronised global growth, notwithstanding Catalonia, North Korea and embryonic concerns about Chinese deleveraging. On the domestic front, UK inflation is a bit too warm, growth a bit too tepid and Brexit a bit too uncertain.
    Nonetheless, the BoE is expected to vote 6-3 in favour of a rate hike from 0.25% to 0.50% on Thursday, as Bloomberg reports, not everyone at the Bank of England will be on board with raising interest rates.
    While Nov. 2 may see the U. K.’s first rate increase in more than a decade, economists surveyed by Bloomberg say three out of nine officials on the Monetary Policy Committee will vote against the move. That’s based on the median estimate from 24 responses. Any divide within the BOE panel reflects the conflicting signals from the economy, which is seeing both a currency-driven inflation surge and weaker expansion. While for some officials, the economy may still be too fragile to endure a rate increase, Governor Mark Carney and others see Brexit reducing potential output, making the U. K. more vulnerable to overheating.

    This post was published at Zero Hedge on Oct 31, 2017.


  • Fragmenting Countries, Part 1: Catalonia Is Just The Beginning

    Picture a life where you do most of your shopping through Amazon.com and the local farmers’ market, most of your communicating through Facebook and Instagram, much of your travel via Uber, and much of your saving and transacting with bitcoin, gold and silver.
    Do you really need an immense, distant, and rapacious central government? Maybe not. Perhaps your region or ethnic group would be better off forming its own independent country.
    This question is being asked – and answered – in a growing number of places where distinct cultures and ethnic groups within larger nations now see their government as more burden than benefit. The result: Secession movements are moving from the fringe to mainstream.

    This post was published at DollarCollapse on OCTOBER 30, 2017.


  • OCT 27 A/GOLD RISES BY $2.15 ON NEWS THAT TRUMP IS LEANING TO POWELL FOR NEXT FED CHAIR/CATALONIA VOTES TO SECEDE FROM SPAIN/

    GOLD: $1271.15 UP $2.15
    Silver: $16.75 DOWN 5 cents
    Closing access prices:
    Gold $1273.60
    silver: $16.85
    SHANGHAI GOLD FIX: FIRST FIX 10 15 PM EST (2:15 SHANGHAI LOCAL TIME)
    SECOND FIX: 2:15 AM EST (6:15 SHANGHAI LOCAL TIME)
    SHANGHAI FIRST GOLD FIX: $1287.45 DOLLARS PER OZ
    NY PRICE OF GOLD AT EXACT SAME TIME: $1266.65
    PREMIUM FIRST FIX: $20.80(premiums getting larger)
    xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
    SECOND SHANGHAI GOLD FIX: $1287.45
    NY GOLD PRICE AT THE EXACT SAME TIME: $1266.75

    This post was published at Harvey Organ Blog on October 27, 2017.


  • OCT 26/GOLD AND SILVER DOWN ON COMEX OPTIONS EXPIRY/ECB EXTENDS QE BY PURCHASING 30 BILLION EUROS WORTH OF BONDS PER MONTH UNTIL SEPT 2018 AND THIS DOVISH RESPONSE IS BAD FOR GOLD?/SEE-SAW EVENTS…

    GOLD: $1269.00 down $8.80
    Silver: $16.80 DOWN 15 cents
    Closing access prices:
    Gold $1267.90
    silver: $16.80
    SHANGHAI GOLD FIX: FIRST FIX 10 15 PM EST (2:15 SHANGHAI LOCAL TIME)
    SECOND FIX: 2:15 AM EST (6:15 SHANGHAI LOCAL TIME)
    SHANGHAI FIRST GOLD FIX: $1291.03 DOLLARS PER OZ
    NY PRICE OF GOLD AT EXACT SAME TIME: $1280.50
    PREMIUM FIRST FIX: $10.53(premiums getting larger)
    xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
    SECOND SHANGHAI GOLD FIX: $1291.03
    NY GOLD PRICE AT THE EXACT SAME TIME: $1281.00
    Premium of Shanghai 2nd fix/NY:$10.03 PREMIUMS GETTING LARGER)
    xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
    LONDON FIRST GOLD FIX: 5:30 am est $1278.20
    NY PRICING AT THE EXACT SAME TIME: $1277.75
    LONDON SECOND GOLD FIX 10 AM: $1273.75
    NY PRICING AT THE EXACT SAME TIME. 1274.70 ??
    For comex gold:
    OCTOBER/
    NOTICES FILINGS TODAY FOR OCT CONTRACT MONTH: 85 NOTICE(S) FOR 8500 OZ.
    TOTAL NOTICES SO FAR: 3173 FOR 317,300 OZ (9.869TONNES)
    For silver:
    OCTOBER
    28 NOTICES FILED TODAY FOR
    140,000 OZ/
    Total number of notices filed so far this month: 1057 for 5,285,000 oz
    XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
    Bitcoin: $5834 bid /$58544 offer UP $155.00 (MORNING)
    BITCOIN CLOSING;$5833 BID:5853. OFFER up $155.00

    This post was published at Harvey Organ Blog on October 26, 2017.


  • Gold Will Be Safe Haven Again In Looming EU Crisis

    – Gold will be safe haven again in looming EU crisis
    – EU crisis is no longer just about debt but about political discontent
    – EU officials refuse to acknowledge changing face of politics across the union
    – Catalonia shows measures governments will use to maintain control
    – EU currently holds control over banks accounts and ability to use cash
    – Protect your savings with gold in the face of increased financial threat from EU
    Editor: Mark O’Byrne
    ***
    When we talk about the Eurozone crisis we are usually referring to the Eurozone debt crisis. According to the OECD the debt crisis of 2011 was the world’s greatest threat.
    In the years that followed, Germany, France and the UK led EU members in their efforts to stave off debt defaults from the likes of Ireland, Portugal, Italy, Spain and, of course, Greece. This was partly in order to protect the German, French and UK banks who had lent irresponsibly into the periphery EU nations and were very exposed.

    This post was published at Gold Core on October 26, 2017.


  • Catalonia is not Just About Spain – it is About Brussels!!

    There are of course those in Spain who side against Catalonia. Others write who are in Catalonia yet disagree with the separatists. Let me make this very clear. It is the government of Rajoy who has acted abusively, and this is all about protecting Brussels and federalizing Europe behind everyone’s back.
    Rajoy should have allowed a fair referendum and then negotiate if they won. Canada allowed two refferendums in Quebec and Britain allowed the Scottish referendum. This nonsense that the Constitution does not allow any democratic process is pure TYRANNY. That was the same argument in America by England and in France that led to revolution.

    This post was published at Armstrong Economics on Oct 23, 2017.


  • “It Could Open A Pandora’s Box”: Italy’s 2 Richest Regions Are Voting In Historic Autonomy Referendums

    Voters in Italy’s two wealthiest northern regions of Lombardy and Veneto are voting on Sunday in referendums for greater autonomy from Rome, in which a positive outcome could fan regional tensions in Europe at a time when neighboring Spain is cracking down to prevent Catalonia from breaking away.
    ***
    Lombardy, which includes Milan, and Veneto, which houses the tourist powerhouse Venice, are home to around a quarter of Italy’s population and account for 30% of Italy’s economy, the Eurozone’s third largest. Unlike Catalonia, the consultative votes are only the beginning of a process which could over time lead to powers being devolved from Rome. Also unlike Catalonia, which held an independence referendum on Oct. 1 despite it being ruled unconstitutional, the Italian referendums are within the law. Like Catalonia, however, Lombardy and Veneto complain they pay far more in taxes than they receive.

    This post was published at Zero Hedge on Oct 22, 2017.