FLASH: GREEK CENTRAL BANK CHIEF SAYS DEPOSIT OUTFLOWS IN SEPT-OCT REACH 13-14 BLN EUROS
Get your bank run hats on.
Comments »“FDIC Sponsored Fraud”
$200 Million of the Missing MF Global Money Turns Up at JPM in Britain
Corzine Gambled $11.5 Billion on Euro Bets; Twice The Amount Disclosed to Investors
Bazooka Paulson Drops Privy Information on Financial Crisis to Hedge Fund Managers
Paulson tipped off some hedge fund mangers about the governments plans for FNM & FRE. There is no evidence the money ,managers traded on the information…..yet
Comments »Don’t Leave Home Without a Hearing Aid
I’m quite sure an intelligent person would not have made this mistake….and I’m not talking about wearing a hearing aid.
Comments »Fun for Banks: Maxine Waters in Line to Replace Barney Frank
Claims are being made that if elected banks will long for the days of Frank.
Comments »Bernie Fine Fired; Evidence Reveals Wife Watched Molestation
Then the wife seduces the molested boy years later.
WTF is wrong with people ???????????????????
Comments »BREAKING: IMF Drafting Up 517 Billion Fund to Save Europe
German Finance Minister Exploring European Stability Union
Should the Fed Save Europe From Disaster?
Euro Zone May Free Banks from Taking Bond Losses
In a sentence, plans are taking shape to socialize all the losses over in the Euro Zone.
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Euro zone states may ditch plans to impose losses on private bondholders should countries need to restructure their debt under a new bailout fund due to launch in mid-2013, four EU officials told Reuters on Friday.
The possible move helped push stocks up in Europe and the U.S.
Discussions are taking place against a backdrop of flagging market confidence in the region’s debt and as part of wider negotiations over introducing stricter fiscal rules to the EU treaty.
Euro zone powerhouse Germany is insisting on tighter budgets and private sector involvement (PSI) in bailouts as a precondition for deeper economic integration among euro zone countries.
Commercial banks and insurance companies are still expected to take a hit on their holdings of Greek sovereign bonds as part of the second bailout package being finalized for Athens.
But clauses relating to PSI in the statutes of the European Stability Mechanism (ESM) — the permanent facility scheduled to start operating from July 2013 — could be withdrawn, with the majority of euro zone states now opposed to them.
The concern is that forcing the private sector bondholders to take losses if a country restructures its debt is undermining confidence in euro zone sovereign bonds. If those stipulations are removed, most countries in the euro zone argue, market sentiment might improve.
“France, Italy, Spain and all the peripherals” are in favor of removing the clauses, one EU official told Reuters. “Against it are Germany, Finland and the Netherlands.” Austria is also opposed, another source said.
A third official said that while German insistence on retaining private sector involvement in the ESM was fading, collective action clauses would only be removed as part of broader negotiations under way over changes to the EU treaty.
Berlin wants all 27 EU countries, or at least the 17 in the euro zone, to provide full backing for alterations to the treaty before it will consider giving ground on other issues member states want it to shift on, officials say.
Germany is under pressure to soften its opposition to the European Central Bank ![[cnbc explains]](http://ibankcoin.com/news/wp-content/imagescaler/b095857bc35684a1ecf9bbc7c44ce936.gif){kind=small}
playing a more direct role in combating the crisis, and member states also want Berlin to give its backing to the idea of jointly issued euro zone bonds.
German officials dismiss any suggestion of a ‘grand bargain’ being put together, but officials in other euro zone capitals, including Brussels, say such a deal is taking shape and suggest Berlin will move when it has the commitments it is seeking, although it’s unclear when that will be.
German Chancellor Angela Merkel said after meeting French President Nicolas Sarkozy in Strasbourg on Thursday that there was no quid pro quo being set up.
“This is not about give and take,” she said.
Euro zone finance ministers will discuss the ESM at a meeting in Brussels on Nov. 29-30, including the implications of dropping collective action clauses from its statutes.
Complications
While most euro zone countries just want to forget about enforced private sector involvement, some are adamant that there must be a way to ensure banks and not just taxpayers shoulder some of the costs of bailing countries out.
Read the rest here.
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Banks Build Contingencies for Breakup of Euro
By LIZ ALDERMAN
PARIS — For the growing chorus of observers who fear that a breakup of the euro zone might be at hand, Chancellor Angela Merkel of Germany has a pointed rebuke: It’s never going to happen.
But some banks are no longer so sure, especially as the sovereign debt crisis threatened to ensnare Germany itself this week, when investors began to question the nation’s stature as Europe’s main pillar of stability.
On Friday, Standard & Poor’s downgraded Belgium’s credit standing to AA from AA+, saying it might not be able to cut its towering debt load any time soon. Ratings agencies this week cautioned that France could lose its AAA rating if the crisis grew. On Thursday, agencies lowered the ratings of Portugal and Hungary to junk.
While European leaders still say there is no need to draw up a Plan B, some of the world’s biggest banks, and their supervisors, are doing just that.
“We cannot be, and are not, complacent on this front,” Andrew Bailey, a regulator at Britain’s Financial Services Authority, said this week. “We must not ignore the prospect of a disorderly departure of some countries from the euro zone,” he said.
Banks including Merrill Lynch, Barclays Capital and Nomura issued a cascade of reports this week examining the likelihood of a breakup of the euro zone. “The euro zone financial crisis has entered a far more dangerous phase,” analysts at Nomura wrote on Friday. Unless the European Central Bank steps in to help where politicians have failed, “a euro breakup now appears probable rather than possible,” the bank said.
Major British financial institutions, like the Royal Bank of Scotland, are drawing up contingency plans in case the unthinkable veers toward reality, bank supervisors said Thursday. United States regulators have been pushing American banks like Citigroup and others to reduce their exposure to the euro zone. In Asia, authorities in Hong Kong have stepped up their monitoring of the international exposure of foreign and local banks in light of the European crisis.
But banks in big euro zone countries that have only recently been infected by the crisis do not seem to be nearly as flustered.
Banks in France and Italy in particular are not creating backup plans, bankers say, for the simple reason that they have concluded it is impossible for the euro to break up. Although banks like BNP Paribas, Société Générale, UniCredit and others recently dumped tens of billions of euros worth of European sovereign debt, the thinking is that there is little reason to do more.
“While in the United States there is clearly a view that Europe can break up, here, we believe Europe must remain as it is,” said one French banker, summing up the thinking at French banks. “So no one is saying, ‘We need a fallback,’ ” said the banker, who was not authorized to speak publicly.
Read the rest here.
Comments »Prepare for Riots in Euro Collapse, British Embassies Warn
British embassies in the eurozone have been told to draw up plans to help British expats through the collapse of the single currency, amid new fears for Italy and Spain.
By James Kirkup, Deputy Political Editor
10:00PM GMT 25 Nov 2011
As the Italian government struggled to borrow and Spain considered seeking an international bail-out, British ministers privately warned that the break-up of the euro, once almost unthinkable, is now increasingly plausible.
Diplomats are preparing to help Britons abroad through a banking collapse and even riots arising from the debt crisis.
The Treasury confirmed earlier this month that contingency planning for a collapse is now under way.
A senior minister has now revealed the extent of the Government’s concern, saying that Britain is now planning on the basis that a euro collapse is now just a matter of time.
“It’s in our interests that they keep playing for time because that gives us more time to prepare,” the minister told the Daily Telegraph.
Read the rest here.
BREAKING: Pakistan Stops NATO Supplies After Raid Kills Up to 28
NATO helicopters and fighter jets attacked two military outposts in northwest Pakistan on Saturday, killing as many as 28 troops and plunging U.S.-Pakistan relations, already deeply frayed, further into crisis.
Pakistan retaliated by shutting down vital NATO supply routes intoAfghanistan, used for sending in just under a third of the alliance’s supplies.
The attack is the worst single incident of its kind since Pakistan uneasily allied itself with Washington in the days immediately following the September 11, 2001 attacks on U.S. targets.
Relations between the United States and Pakistan, its ally in the war on militancy, have been strained following the killing of al Qaeda leader Osama bin Laden by U.S. special forces in a raid on the Pakistani garrison town of Abbottabad in May, which Pakistan called a flagrant violation of sovereignty.
A spokesman for NATO-led troops in Afghanistan confirmed that NATO aircraft had been called in to support troops in the area and had probably killed some Pakistani soldiers.
“Close air support was called in, in the development of the tactical situation, and it is what highly likely caused the Pakistan casualties,” said General Carsten Jacobson, spokesman for the International Security Assistance Force (ISAF).
He added that he could not confirm the number of casualties, but ISAF is investigating the “tragic development.”
“We are aware that Pakistani soldiers perished. We don’t know the size, the magnitude,” he said.
The Pakistani government and military brimmed with fury.
“This is an attack on Pakistan’s sovereignty,” said Prime Minister Yusuf Raza Gilani. “We will not let any harm come to Pakistan’s sovereignty and solidarity.”
The Foreign Office said it would take up the matter “in the strongest terms” with NATO and the United States.
The powerful Chief of Army Staff, General Ashfaq Pervez Kayani, said in a statement issued by the Pakistani military that “all necessary steps be under taken for an effective response to this irresponsible act.
“A strong protest has been launched with NATO/ISAF in which it has been demanded that strong and urgent action be taken against those responsible for this aggression.”
Two military officials said that up to 28 troops had been killed and 11 wounded in the attack on the outposts, about 2.5 km (1.5 miles) from the Afghan border. The Pakistani military said 24 troops were killed and 13 wounded.
EARLY MORNING ATTACK
It remains unclear what exactly happened, but the attack took place around 2 a.m. (2100 GMT) in the Baizai area of Mohmand, where Pakistani troops are fighting Taliban militants.
“Pakistani troops effectively responded immediately in self-defense to NATO/ISAF’s aggression with all available weapons,” the Pakistani military statement said.
The commander of NATO-led forces in Afghanistan, General John R. Allen, said he had offered his condolences to the family of any Pakistani soldiers who “may have been killed or injured.”
The U.S. embassy in Islamabad also offered condolences.
About 40 Pakistani army troops were stationed at the outposts, military sources said. Two officers were reported among the dead.
“The latest attack by NATO forces on our post will have serious repercussions as they without any reasons attacked on our post and killed soldiers asleep,” said a senior Pakistani military officer, requesting anonymity.
Reflecting the confusion of war in an ill-defined border area, an Afghan border police official, Edrees Momand, said joint Afghan-NATO troops near the outpost on Saturday morning had detained several militants.
“I am not aware of the casualties on the other side of the border but those we have detained aren’t Afghan Taliban,” he said, implying they may have been Pakistani or other foreign national Taliban operating in Afghanistan.
The Afghanistan-Pakistan border is often poorly marked, and Afghan and Pakistani maps have differences of several kilometers in some places, military officials have said.
However Pakistani military spokesman Major-General Athar Abbas said that NATO had been given maps of the area, with Pakistani military posts marked out.
“When the other side is saying there is a doubt about this, there is no doubt about it. These posts have been marked and handed over to the other side for marking on their maps and are clearly inside Pakistani territory.”
The incident occurred a day after Allen met Kayani to discuss border control and enhanced cooperation.
“After the recent meetings between Pakistan and ISAF/NATO forces to build confidence and trust, these kind of attacks should not have taken place,” a senior military source told Reuters.
BLOCKED SUPPLIES
NATO supply trucks and fuel tankers bound for Afghanistan were stopped at Jamrud town in the Khyber tribal region near the city of Peshawar hours after the raid, officials said.
“We have halted the supplies and some 40 tankers and trucks have been returned from the check post in Jamrud,” Mutahir Zeb, a senior government official, told Reuters.
Another official said the supplies had been stopped for security reasons.
“There is possibility of attacks on NATO supplies passing through the volatile Khyber tribal region, therefore we sent them back toward Peshawar to remain safe,” he said.
The border crossing at Chaman in Baluchistan was also closed, Frontier Corps officials said.
Pakistan is a vital land route for nearly half of NATO supplies shipped overland to its troops in Afghanistan, a NATO spokesman said. Land shipments only account for about two thirds of the alliance’s cargo shipments into Afghanistan.
A similar incident on Sept 30, 2010, which killed two Pakistani troops, led to the closure of one of NATO’s supply routes through Pakistan for 10 days.
NATO apologized for that incident, which it said happened when NATO gunships mistook warning shots by the Pakistani forces for a militant attack.
U.S.-Pakistan relations were already reeling from a tumultuous year that saw the bin Laden raid, the jailing of a CIA contractor, and U.S. accusations that Pakistan backed a militant attack on the U.S. embassy in Kabul.
The United States has long suspected Pakistan of continuing to secretly support Taliban militant groups to secure influence in Afghanistan after most NATO troops leave in 2014. Saturday’s incident will give Pakistan the argument that NATO is now attacking it directly.
“I think we should go to the United Nations Security Council against this,” said retired Brigadier Mahmood Shah, former chief of security in the tribal areas. “So far, Pakistan is being blamed for all that is happening in Afghanistan, and Pakistan’s point of view has not been shown in the international media.”
Other analysts, including Rustam Shah Mohmand, a former ambassador to Afghanistan, said Pakistan would protest and close the supply lines for some time, but that ultimately “things will get back to normal.”
Paul Beaver, a British security analyst, said relations were so bad that this incident might have no noticeable impact.
“I’m not sure U.S.-Pakistan relations could sink much lower than they are now,” he said.
Comments »Economist: The Sinking Euro
THE designers of the good ship euro wanted to create the greatest liner of the age. But as everybody now knows, it was fit only for fair-weather sailing, with an anarchic crew and no lifeboat. Its rules of economic seamanship were rudimentary, and were broken anyway. When it struck a reef two years ago, the water flooded one compartment after another.
Comments »Here is Why Nobody is Accountable For the Housing/ Financial Crisis (video)
[youtube://http://www.youtube.com/watch?v=qmO7W8iC5LE 450 300]
Comments »Weekly Round Up of Europe’s Notable 10 Year Yield Blow Outs
Hungary 8.3% to 9.56%
Italy 6.65% to 7.26%
France 3.45% to 3.69%
Germany 1.95% to 2.26%
Czech 3.95% to 4.33%
Austria 3.4% to 3.85%
Finland 2.6% to 2.99%
Netherlands 2.55% to 2.74%
Spain 6.4% to 6.7%
Portugal 11.3% to 12.2%
Poland 5.8% to 6.11%
Belgium 4.8% to 5.86%
ALERT: HUNGARIAN YIELDS GO APESHIT TO THE UPSIDE
+8.2% to 9.5%.
Across the board, yields are higher in Europe. Happy fucking Black Friday. I will see you on Black Monday.
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