• Tag Archives Refugees
  • Greece Is The Patsy For Europe’s Failure (And The Ordeal Is Far From Over)

    Authored by Raul Ilargi Meijer via The Automatic Earth blog,
    I feel kind of sorry this has become such a long essay. But I still left out so much. You know by now I care a lot about Greece, and it’s high time for another look, and another update, and another chance for people to understand what is happening to the country, and why. To understand that hardly any of it is because the Greeks had so much debt and all of that narrative.
    The truth is, Greece was set up to be a patsy for the failure of Europe’s financial system, and is now being groomed simultaneously as a tourist attraction to benefit foreign investors who buy Greek assets for pennies on the dollar, and as an internment camp for refugees and migrants that Europe’s ‘leaders’ view as a threat to their political careers more than anything else.
    I would almost say: here we go again, but in reality we never stopped going. It’s just that Greece’s 15 minutes of fame may be long gone, but its ordeal is far from over. If you read through this, you will understand why that is. The EU is deliberately, and without any economic justification, destroying one of its own member states, destroying its entire economy.

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


  • The Flattening US ‘Yield Curve’? NIRP Refugees Did it

    Sez Fitch & Yellen
    US Treasury securities are doing something that is worrying a lot of folks, including Fed Chair Janet Yellen: While short-term yields are rising in line with the Fed’s hikes of its target range for the federal funds rate, longer-term yield have done the opposite: they’ve been declining. This has flattened the ‘yield curve’ to a level not seen since before the Financial Crisis.
    This chart shows the yield curve of today’s yields (red line) across the maturity spectrum against the yields of exactly a year ago, after the rate hike at the time. Note how short-term yields on the left have risen in line with the rate hikes, while toward the right of the chart, long-term yields have fallen:

    This post was published at Wolf Street on Dec 14, 2017.


  • Demographic Dysphoria: Swiss Village Offers Families Over $70,000 To Live There

    Across the world, demographic dysphoria is taking shape, creating numerous headaches for governments. To avoid the next economic downturn, governments are searching for creative measures to increase population growth and deliver a sustainable economy. In Europe, a near decade of excessive monetary policy coupled with a massive influx of refugees have not been able to reverse negative population growth – first spotted in 2012.

    This post was published at Zero Hedge on Nov 25, 2017.


  • EU Unveils Plan To Resettle More North African Refugees, Support Project With 500 Million Euros

    Following Roy Moore’s decisive win in Alabama earlier this week (something we covered here), Steve Bannon has predictably seized on the momentum vowing that it is only the beginning of his “war” against the Republican establishment. Per McClatchy:
    ‘There’s a time and season for everything under heaven. And sometimes there’s a time for peace. And sometimes there’s a time for war,’ he told a raucous, religious revival-style crowd packed into a barn.
    ‘Yeah!’ a woman yelled back.
    ‘We’re not going to hug out our differences,’ he continued. ‘We’re going to have to fight for our differences.’
    With several seats opening up in the Senate in 2018, including Senator Bob Corker’s of Tennessee who recently announced his retirement, conservatives see no reason why they can’t beat out establishment Senators across the deep south.
    The hard-right’s fight for total control of Donald Trump’s Washington is just getting started. The victory of deeply conservative candidate Roy Moore in Tuesday’s hotly contested Alabama Senate primary has emboldened activists and potential candidates alike, threatening to set off a wave of tough GOP races and ushering in a new era of internecine Republican warfare that party leaders had hoped would end when they won control of the government.
    ‘There’s no doubt in my mind that this is going to be a determining factor for a lot of Deep South states, no question,’ said Mississippi State Sen. Chris McDaniel, who lost a hugely controversial primary contest against Sen. Thad Cochran in 2014 but is considering another Senate primary run in 2018. ‘If Alabama can send a true conservative to Washington, and Texas can send a true conservative to Washington, so can Mississippi and Tennessee and Florida and other states.’

    This post was published at Zero Hedge on Sep 28, 2017.


  • Germany’s New Political Party Is Just Another Big-Government Party

    The German election is a month away and with that also from a real rarity: a party getting into parliament which is on the “right” of Angela Merkel’s CDU and its Bavarian partner, the CSU. Over the last decades, this has been a no-go zone in German politics, too severe were the memories of the Nazi era. But come September, the Alternative fr Deutschland (Alternative for Germany), or AfD, will set a landmark, beating the five percent threshold to get into parliament in all likelihood (currently they are polling between seven and ten percent).
    As we have seen throughout the years, those considered as ‘right-wing populists’ in the mainstream are by no means a homogeneous group, from Brexiteers in the UKIP and on the fringe of the Tories as somewhat favorable examples to more frightening ones like Marine Le Pen in France. But what kind of party is the AfD?
    The AfD was founded in 2013 by a bunch of economics professors – at first they were mockingly called’Professorenpartei’ (‘professor’s party’) – who were fed up by the crisis in Greece and demanded a German exit from the Eurozone. Among them were economists like Joachim Starbatty and Roland Vaubel, known in Germany for their free-market ideas. The goal was to found a party which would reconcile the cultural conservatism that was lost in the conservative CDU and the liberal economic policies that were lost in the classical-liberal party, the FDP. However, the AfD focused increasingly on refugees instead of the euro, which led to the departure of many of its founding members in 2015, including the leader up to that point, Bernd Lucke.

    This post was published at Ludwig von Mises Institute on August 30, 2017.


  • “The Perfect Storm Is Brewing”: Goldman Warns Italy Has The Lowest Capacity To Absorb Migrants

    While Europe’s economy and capital markets have been spared any major shocks in the past year, and in fact European GDP has been on a surprisingly resilient uptrend in recent quarters led higher by the relentless German export-growth dynamo (courtesy of the very, very low Deutsche Mark and a lot of broke Greeks), an old and recurring problem has re-emerged, one which threatens the stability and cohesion of the European Union itself: the latest surge of refugees which, arriving mostly from North Africa in recent months, has made Italy its primary landfall target resulting in a surge in migrant arrivals on Italian shores. However, with the rest of Europe largely shutting its borders to this refugee influx forcing Rome to deal with what many in Italy see as an unwelcome presence, a distinct sense of bad-will has been floating around Europe in recent months as Rome’s pleas for more solidarity from its European peers have been stubbornly ignored. Meanwhile, Italy has accepted nearly 100,000 refugees in the first six months of the year and the number is rapidly rising.
    Now, a new report issued by Goldman Sachs will likely pour even more gasoline on the fire, as it finds that just as Rome alleges, “Italy has the lowest capacity to absorb migrants among the major EU economies. This is measured using three indicators of integration: (1) economic integration; (2) social integration; and (3) policy effectiveness.”
    While hardly new for regular readers, this is how Goldman lays out the problem:

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


  • It’s Really Crazy What This ECB Has Wrought

    In the land of NIRP refugees and ‘Reverse Yankees,’ who will get crushed? At the end of the week, something special happened, something totally absurd but part of the new normal: the average yield of euro-denominated junk bonds – the riskiest, non-investment-grade corporate bonds – dropped to the lowest level ever: 2.77%.
    April 26 had marked another propitious date in the annals of the ECB’s negative yield absurdity: the average euro-denominated junk bond yield had dropped below 3% for the first time ever.
    By comparison, what is considered the most liquid and save debt, the 10-year US Treasury, carries a yield of 2.33%; the 30-year Treasury yield hovers at 3%.

    This post was published at Wolf Street on May 14, 2017.


  • Italian Prime Minister Secretly Meets With George Soros In Rome Amid Migrant Transport Scandal

    In the past few weeks, the transport of migrants from the African shores has become a case of national importance for Italy, and is now under investigation from the prosecutor of Catania, who recently testified to the Defence Committee of the Italian Senate and will meet soon with the Superior Council of the Magistrates.
    Harsh criticism of the activities of the NGOs has come from opposition parties Forza Italia, Lega Nord and even Movimento 5 Stelle, normally more neutral on immigration issues, while Prime Minister Gentiloni has opted to let the judicial system run its course.
    Yet, a new element will further exacerbate the situation; George Soros, a billionaire who is incredibly active politically on both sides of the Atlantic, met in secrecy with Prime Minister Gentiloni, less than a week after the latter had commented on the NGOs activities. The meeting was not listed on the website of the Italian government as official and its timing is at the very least suspicious.
    George Soros had penned multiple arguments in favour of immigration, suggesting that Europe should welcome ‘at least one million refugees a year’ and that the EU should create EU-bonds to support attendant expenses.

    This post was published at Zero Hedge on May 4, 2017.


  • Poland – The Next Crisis for the EU – Independent Sovereignty is the Issue

    Poland represents a major threat to the EU. The entire idea of the EU was the propaganda that Member States would successively grow into a real Union through a longer integration process. GDP was supposed to grow, not decline, and the threat of war would vanish by surrendering sovereignty to Brussels. In reality, the exact opposite has unfolded. GDP has progressively declined and the risk of a European war has been increased with the idea of surrendering sovereignty to Brussels.
    Throughout Europe, there is a growing ‘populist’ movement especially ignited with the attempt to force member states to accept refugees when this was an unilateral decision exclusive made by Merkel to save her public image after being hard on Greece.

    This post was published at Armstrong Economics on May 3, 2017.


  • Ready, Set, Splat.

    As I write, the French stock market (the CAC 40), is doing a grand jet (up 4.5 percent!) in celebration of Emmanuel Macron’s assumed slaying of the dragon Le Pen. But that was just the first round under the interesting French election system. Consider that two other candidates who were eliminated, Monsieurs Fillon and Mlenchon, got nearly 40 percent of the vote. Are we so sure about where their voters go in the second and final round two weeks from now?
    I suspect that most Americans – even the ones who follow Rachel Maddow – are about as interested in French politics as differential calculus. Macron, 36, is a blank slate. He was finance minister under current president Franois Hollande, of the Socialist Party, but declared during the election campaign that he’s not a socialist, he only wanted to be of service to his country, and this time he ran under his own party, En Marche! He appears to represent the continuation of business-as-usual with the European Union, which seems to put him on the wrong side of history at this crucial moment – if you suppose, as I do, that the EU is so riddled with hopeless financial contradictions and centrifugal political tensions that it is unlikely to persist.
    Yet, understandably, people are reluctant to change the system they’re living under. Le Pen wants to blow the EU up, especially the bureaucracy lodged in Brussels that has become a self-serving and self perpetuating monster. Blowing up the EU would necessarily, it seems, mean the end of the European Central Bank, and with it the scams and Ponzi schemes that have provided an appearance of normality, despite an official 10.5 percent unemployment rate in France and a constant chain of public massacres by resident Jihadistas of one sort or another, some of them perpetrated by radical refugees allowed in under EU policy.

    This post was published at Wall Street Examiner on April 24, 2017.


  • America’s financial war strategy

    Abstract
    America’s renewed desire to escalate military tensions is a front for America’s continual financial war, this time directed at North Korea, Syria and possibly Iran. This is likely to be the opinion of China’s strategic advisors. We analyse the geopolitics and economics behind America’s war strategy from China’s perspective, concluding that it is entering its final phase. China’s exit plan appears to be to tie the pricing of energy and then other major commodities to gold, returning to the pre-1971 status quo, when the dollar was just a settlement link between commodity prices and gold. Except this time, the dollar itself will be side-lined, so far as China is concerned, which will use the yuan instead for its empire, which will be far larger than that of the US in time, measured by GDP.
    Introduction
    The day President Trump assumed office, it appeared that at last there would be dtente with Russia, leading to America’s withdrawal from unwinnable conflicts and towards a new peaceful agreement between these long-term enemies. However, within the traditional presidential bedding-down period of one hundred days, Trump has gone from his electoral platform of disengagement from foreign ventures to overt aggression in multiple locations.
    Something major has changed his thinking. Trump has committed no less than five acts of foreign aggression in that short time, with a sixth pending. The first was a joint operation with Emirati commandos in Yemen, which backfired, leading to the death of a Navy SEAL. The second was the recent attack on a Syrian airfield, in response to an alleged poison gas attack. The third is the escalation of military threats against North Korea. The fourth is the bombing of a cave network in Eastern Afghanistan. And the fifth is the deployment of more troops to Northern Iraq and Eastern Syria to step up the fight against ISIS. The rhetoric is also being ramped up against America’s long-term bogeyman, Iran.
    The three theatres of war that offer the best prospects for further escalation are Syria, Korea, and Iran. They are in two regions where significant quantities of dollars are owned and invested, offering the potential for capital flight, which should be kept in mind, when reading this article.
    Trump is also seeking congressional approval for an increase in defence spending totalling $54bn, a massive increase which, to put it in perspective, compares with Russia’s total defence budget of $66bn.
    The default assumption is that American military power and weapons technology guarantees battlefield objectives will be achieved. This hasn’t usually been the case since the first Iraq invasion in 1990. Since then, any initial success has been more than outweighed by subsequent failures and unintended consequences. It is because of American-led operations in Iraq, Afghanistan, Libya and Syria that Europe is flooded with refugees, bringing undercover terrorists with them. There can be little doubt that a dispassionate analyst would recommend America abandons military action, so there must be other reasons behind America’s war-mongering.
    China, itself a long-time strategic target for American aggression, is sure to be worried about the escalation of threats to North Korea, and with good reason. In terms of trade, South Korea is now an important trading partner, and for that reason, China will not want to see the situation on the Korean peninsula deteriorate. She will also not want America securing territory which abuts her border. Russia has a small border with North Korea as well and is likely to share that view. However, Russia’s trade is not so much with South Korea, but she is a major arms supplier to the North.

    This post was published at GoldMoney on APRIL 20, 2017.


  • Here’s Italy’s Latest Plan B Where Desperation Meets Insanity

    Selling securities backed by defaulted loans to NIRP refugees.
    Nerves are beginning to fray in Italy’s banking sector, as pressure rises on the worst hit banks to remove the most noxious elements off their books – most likely at big discounts that will further impair their balance sheets. On Saturday Italy’s finance minister, Pier Carlo Padoan, begged the ECB for more time for the banks to clean up their act.
    ‘We cannot demand that suddenly banks offload their NPLs, because this could be potentially destabilizing, especially if the problem involves several banks in the same banking system,’ Padoan told a news conference.
    By ‘several banks,’ Padoan means perhaps the 114 banks, of the close to 500 banks in Italy, that have ‘Texas Ratios’ of over 100%. The Texas Ratio, or TR, is calculated by dividing the total value of a bank’s non-performing loans by its tangible book value plus reserves – or as money manager Steve Eisman put it, ‘all the bad stuff divided by the money you have to pay for all the bad stuff.’

    This post was published at Wolf Street by Don Quijones – Apr 13, 2017.


  • After Destroying Cambodia, The US Wants The Country To Repay It For The Bombs They Dropped

    Cambodians are responding with outrage to the U. S. government’s demand that the country repay a nearly 50-year-old loan to Cambodia’s brutal Lon Nol government, which came to power through a U. S.-backed coup and spent much of its foreign funds purchasing arms to kill its own citizens, according to Cambodia’s current prime minister Hun Sen.
    ***
    While the U. S. was backing the Lon Nol government, it was also strafing the Cambodian countryside with bombs – a carpet-bombing campaign that would eventually see over 500,000 tons of explosives dropped on the small Asian country, killing hundreds of thousands of civilians and leaving a legacy of unexploded ordnances.
    ‘[The U. S.] dropped bombs on our heads and then they ask us to repay. When we do not repay, they tell the IMF [International Monetary Fund] not to lend us money,’ Hun Sen said at an Asia-Pacific regional conference earlier this month.
    ‘At the same time the U. S. was giving weapons to Lon Nol, it was bombing the Cambodian countryside into oblivion and creating millions of refugees fleeing into Phnom Penh and destroying all political fabric and civil life in the country,’ former Australian ambassador to Cambodia Tony Kevin told Australia’s ABC.
    ‘And all of this was simply to stop the supplies coming down to South Vietnam, as it was then, from the north,’ Kevin added. ‘So the United States created a desert in Cambodia in those years, and Americans know this.’

    This post was published at Zero Hedge on Mar 15, 2017.


  • All Eyes on Greece

    Prime Minister Alexis Tsipras has completely failed the Greek people. He was elected to exit the EU but instead he has wiped out his country trying to stay in the Eurozone. Pensions have been attacked 11 times since the crisis began in 2010. The very day Greece asked the IMF for help was precisely on the day of our target – Pi from the 2007.15 high. Today, Greece is even worse than the United States during the Great Depression from a social and economic situation.
    Greece is such a beautiful country and its people are among the most pleasant in Europe. Yet all because Merkel promised Greece would be made to repay, that promise has torn Europe apart at the core. Her polls crashed as everyone began turning against her citing that Greece forgave the debts that Germany owed it after World War II to help Germany get back on its feet. Merkel REFUSED to listen because that was her promise that Greece would repay. To boost her international image of being a loan shark, she turned within a few weeks and opened the gates to Europe for the refugees to change her personal image. Merkel transform the debt crisis into a refugee crisis and now we have both.

    This post was published at Armstrong Economics on Feb 15, 2017.


  • Stockman: “What’s Going On Today Is Complete Insanity”

    In his recent TV appearance, last week David Stockman suggested that President Trump would be better suited to spend some time actually addressing economic issues instead of the administration’s travel ban for immigrants from Middle Eastern countries, which Stockman called “a giant misfire.” Employing the 1992 Clinton Campaign motto of “it’s the economy, stupid,” Stockman noted “Trump was elected because flyover America is hurting economically. The voters of Racine, Wisconsin and Johnstown, Pennsylvania are imperiled not because of some refugees, they’re imperiled because their jobs have all been disappearing for decades.” He added, correctly, that “the problem is far more the Federal Reserve, Janet Yellen, the bubbles they’re creating on Wall Street.”
    Stockman went on to suggest that the Trump Administration is showing decreased interest in “draining the swamp”, having surrounded himself with, as he himself has now realized, the “Goldman Guys.”

    This post was published at Zero Hedge on Feb 14, 2017.


  • Exposing The “Outrageous Malevolence” Of The European Leaders

    Earlier this week I was talking in Athens to a guy from Holland, who incidentally with a group of friends runs a great project on Lesbos taking care of some 1000 refugees in one of the camps there. But that’s another topic for another day. I was wondering in our conversation how it is possible that, as we both painfully acknowledged, people in Holland and Germany don’t know what has really happened in the Greek debt crisis. Or, rather, don’t know how it started.
    That certainly is a big ugly stain on their media. And it threatens to lead to things even uglier than what we’ve seen so far. People there in Northern Europe really think the Greeks are taking them for a ride, that the hard-working and saving Dutch and Germans pay through the teeth for Greek extravaganza. It’s all one big lie, but one that suits the local politicians just fine.
    By accident(?!), I saw two different references to what really happened, both yesterday in the UK press. So let’s reiterate this one more time, and hope that perhaps this time someone in Berlin or Amsterdam picks it up and does something with it. There must be a few actual journalists left?! Or just ‘ordinary’ people curious enough, and with some intact active neurons, to go check if their politicians are not perhaps lying to them as much as their peers are all over the planet.
    What I’m talking about in this instance is the first Greek bailout in 2010. While there are still discussions about the question whether the Greek deficit was artificially inflated by the country’s own statisticians, in order to force the bailout down the throats of the then government led by George Papandreou, there are far fewer doubts that the EU set up Greece for a major league fall just because it could, and because Dutch, French, German politicians could use that fall for their own benefit.

    This post was published at Zero Hedge on Feb 13, 2017.


  • Economic Indicators Show Clear Signs The Economy Is Slipping Into A Depression – Episode 1191a

    The following video was published by X22Report on Jan 30, 2017
    US & UK move forward with trade deals. Americans are spending more money than they earn for 9 months straight . Starbucks is going to hire 10,000 refugees over 5 years. US Auto Industry is in crisis, the bubble is about to pop. Citigroup is getting out of the mortgage business. The latest economic indicators show that the economy is heading into a depression. ECB assets rise above 36% as the ECB continually purchases corporate debt.


  • Why The Cold War Between Tech CEOs and Trump Is About To Go Nuclear

    Over the weekend, openly defiant CEOs, particularly among the tech sector, expressed their displeasure with Trump’s Friday executive order temporarily banning refugees and limiting travel from seven Muslim countries, with both words and deeds, among which the following (summary courtesy of Axios):
    VCs funding the ACLU: Several venture capitalists, as well as a few entrepreneurs, took turns soliciting donations to the American Civil Liberties Union through social media and personally matching those donations. Airbnb volunteers to help provide housing for impacted immigrants: The home-sharing company said that it will work with travelers and organizations to provide housing for those impacted by the executive order, whether through volunteer hosts or by funding housing. Lyft and Uber commit millions of dollars to legal aid: On Sunday, Lyft said it will donate $1 million to the ACLU over the next four years. Later in the day, Uber said it will create a $3 million legal defense fund for impacted drivers, as well as provide legal assistance and compensate their lost wages. Google is setting up a $2 million crisis fund: The search giant has set up a fund that will donate to the American Civil Liberties Union, Immigrant Legal Resource Center, International Rescue Committee, and UNHCR. On Monday morning, former US Treasury Secretary Larry Summers, speaking in an interview with Bloomberg Television, said that he is ‘gratified’ by what he heard from the tech community. ‘As global businesses, they have a huge stake in the United States being a nation of the Statue of Liberty rather than being a nation of refugee camps.’ He added that ‘they have a huge stake in the United States supporting an open and tolerant global system, they have that stake for their employees, their customers, they have it for the reputation of the United States and they have spoken out.’

    This post was published at Zero Hedge on Jan 30, 2017.


  • Abandoned Wal-Mart To Reopen As Shelter For Illegal Immigrants With Tax-Dollar Funding

    An abandoned Walmart in Brownsville, Texas will soon be home to 100’s of illegal immigrant “minors”, many of them late in their teen years, thanks to your federal tax dollars. According to a report from a local ABC affiliate in Brownsville, the facility is currently being converted into a shelter by a nonprofit organization called Southwest Key, which receives the majority of its funding from federal tax dollars via the Office of Refugees Resettlement.
    A Southwest Key spokeswoman confirmed the facility is set to open on March. They said it’ll be to welcome unaccompanied minors who crossed into the U. S. illegally. It will be the 4th facility in Brownsville to shelter children, under the age of 17, who have crossed into the U. S. without an adult.
    Southwest Key is federally funded by the Office of Refugees Resettlement. The group’s mission is to provide a safe environment for unaccompanied children while they wait to be reunited with a sponsor or relative in the U. S.
    Southwest Key officials said children are supervised during their stay. The program ensures youngsters have a safe place to sleep, are fed, educated and also have access to healthcare and counseling services.

    This post was published at Zero Hedge on Jan 26, 2017.


  • Merkel to Deport Refugees for Reelection

    The inundated Chancellor Angel Merkel has always had her own team who poll her popularity regularly. She cannot let go of power and she is known for not standing for anything but herself. She will change positions whenever necessary to maintain her popularity. Merkel created this entire refugee crisis because she was being criticized for her hardline on Greece. Now, Merkel is changing direction promising to deport 100,000 refugees.
    Merkel’s harsh actions toward Greece drew international condemnation. On July 15, 2015, Time Magazine wrote, ‘Berlin’s role as the enforcer in negotiations over Greece’s debt could cause lasting damage to Germany’s global image.’ Images of elderly Greeks committing suicide in Syntagma central square in front of the Greek Parliament in Athens made the front pages in the international press. Pictures surfaced of retired Greeks who were moved to tears after they were unable to withdraw money from banks and unable to buy food. Merkel’s image was becoming that of a money-grubber without any humanity.

    This post was published at Armstrong Economics on Dec 1, 2016.