16 December 2010

Hyper Report - 101216


First...
Moody's Warns it May Downgrade Spain's Debt
Looks like Moody's is playing catch up. Moody's, which lowered Spain's rating from Aaa to Aa1 in September, warned it may downgrade Spain's debt because the government is vulnerable to a borrowing crunch next year. Spain's bond yields have risen to high levels in recent weeks amid the Europe-zone market turmoil; which only adds more bond competition to U.S. Treasuries.

Next...
The Dire Collapse Taking Place
According to Jim Sinclar, 40 now identified U.S. states are using the same risky bookkeeping that camouflaged Greece’s financial weakness. The municipal bond market is in a second free fall as entities are failing in paying their obligations to suppliers and services. In watching the decline of the euro, we are witnessing the best precursor for the terminal attack on the U.S. dollar very soon.

Next...
U.S. Called Vulnerable to Rare Earth Shortages
Products ranging from electric cars to wind turbines are made with rare earth minerals; unfortunately, 96 percent of which are produced by China and Beijing has wielded various export controls on them. Just imagine what would happen if China just stops all shipments to the U.S. We have the minerals, but have not taken advantage of our own natural resources.

Next...
Best Buy's Results Are the Canary in the Coal Mine
While the number of Best Buy stores went from 873 in 2007 to 1,297 in 2010, the third quarter figures are very telling. Same-store sales have dropped by 5%, while total sales fell by 3% to $8.7 billion. Best Buy's domestic sales have dropped by 11% while entertainment software sales, making up 15% of the total, slid 14%. Looks like consumers need more of that Obama Money.

Next...
Justice Department Sues BP for Gulf Oil Spill
The Justice Department is suing BP, and eight other companies, over the monetary damages from the Gulf Oil Spill. They are asking that the companies be held liable without limitation and also seeks civil penalties under the Clean Water Act. The Clean Water Act specifies that companies can be fined between $1000 and $4300 for each barrel of oil spilled. If successfully fined and using very conservative estimates for the number of barrels spilled, we would get a figure of nearly 4.7 Trillion dollars.
  • 1 barrel of oil = 42 gallons
  • 10,000 barrel/day * 109 days = 1,090,000 barrels
  • 1,090,000 barrels * $4,300/barrel = $4,687,000,000
Hey, if we have three more PB disasters we will have solved the debt crisis!

Next...
Chinese Rush To Gold
Because of the inflation in China, the higher than normal imports of gold has turned into a rush. This, despite China being the world's leading gold producer. So, you better have your hands on physical gold and silver and not soon-to-be worthless paper.

Finally,
Please prepare now for the forthcoming economic, and subsequent social, unrest that will hit the US.
Good Day

14 December 2010

Hyper Report - 101214


First...
The End Game for the Euro
The whole idea of creating a single monetary unit — the euro — on the shaky foundation of 16 different governments, each taxing and spending at their own whim, was insane from Day One. The Irish Times has just run a headline "Ireland likely to leave the euro." In short, we are witnessing the repercussions of divergent economies using the same currency. Not Good.

Next...
Few Businesses Sprout, With Even Fewer Jobs
Calvin Coolidge once stated that the business of America is business. Historically, it's the young, small businesses that take off that add lots of jobs; however, the number of companies with at least one employee fell by 100,000, or 2%. Sadly, the number of start-up's are being out-paced by the number of closings.

Next...
Judge Calls Health Law Unconstitutional
Odrama is spitting mad folks! The 42 page federal ruling stated that Odramacare exceeds the constitutional boundaries of congressional power. Finally a judge who actually applies the constitution to a ruling, rather than bending the law to meet a political agenda. It is not over because Odrama's lackeys will appeal this anti-American hogwash to the U.S. Supreme Court.

Next...
Moody's May Cut US Rating on Tax Package
Moody's warned that it could move closer to cutting the U.S. Aaa rating if Odrama's tax and unemployment benefit package becomes law. For the United States, the loss of the Aaa rating would reduce the appeal of U.S. Treasuries, which currently rank as among the world's safest investments. Safest Investments? Give me a break. Unfortunately, the U.S. should have lost its Aaa rating some time ago.

Next...
JP Morgan Admits Defeat
According to the Financial Times, JP Morgan has reduced a large position in the US silver futures market which had been at the center of a controversy about its impact on global prices of silver. If JP Morgan is administrating SLV and GLD, how can they no longer be largely involved? Something stinks here and it is not kimchi. This may be a red herring for the gullible; therefore, keep buying physical silver!

Next...
Detroit Is Halting Garbage Pickup
The Motor City is bankrupt and it just refuses to admit it. The latest plan, put forth by the city mayor, is to cutoff city services including road repairs, police patrols, street lights, and garbage collection in 20% of the 139 square miles of the city. Needless to say, these outlaying lawless areas will quickly become gang territories and sadly, these drastic measures are coming to a U.S. city near you.

Finally, please prepare now for the forthcoming economic, and subsequent social, unrest that will hit the US.
Good Day

09 December 2010

Hyper Report - 101209


First...
China's Credit Bubble on Borrowed Time as Inflation Bites
The Royal Bank of Scotland has advised clients to take out protection against the risk of a sovereign default by China. Officially, inflation in China was 4.4 percent in October and may reach 5 percent in November; however, vegetables have risen 20 percent in a month. This may be one reason for China's monetary tightening. Believe it or not, China's economy appears to be entering stagnation. If this keeps up, things in China are going to get ugly and that may not be where you want your money.

Next...
Food Stamp Rolls Continue to Rise
Some 42.9 million people collected food stamps last month, up 1.2% from the prior month and 16.2% higher than the same time last year. The state with the greatest month-to-month increase is Illinois at 8.5%. The state with the greatest year-over-year increase is Idaho at 39.1%. The state with the greatest percentage of people on food stamps is the District of Columbia at 21.5% followed by Mississippi at 20.4%.

Next...
Plunging Home Prices Fuel Property Tax Appeals
The backlog of cases from taxpayers seeking to lower property-tax bills of more than $100,000 shot up to 14,236 this year. Of course, with falling property tax revenue because of the adjustment in housing value, cities and towns are going to be even more cash strapped to provide the day-to-day essential services.

Next...
Dead Cat Bounce
Mike Maloney presents an excellent video detailing how the current world-wide fiat currency system is developing cracks and that people are beginning to rush to real money. Every 30-40 years the world has a new currency system and we are in the process of going into another one that coincides with market overvaluation. Please watch this eleven minute video and get out of stocks and get into precious metals..

Next...
8 Alarming Forecasts for 2011
The experts from Money and Markets have issued eight 2011 predictions.
  1. Nearly every debt-ridden government in Europe will be forced to implement harsh austerity measures.
  2. Washington will also be forced to pass very harsh austerity measures as well.
  3. China, because of inflation, will revalue its currency higher - causing defacto U.S. dollar devaluation.
  4. The Fed will shock the world with its policies to save the dollar.
  5. Expect an initial correction in emerging markets in early 2011 because of austerity in the US and China... this will be a buying opportunity.
  6. Precious metals will have a sudden pull-back in early 2011. The corrections will not alter the long term bull market though
  7. Other commodities will suffer a correction; however the Fed's money printing will drive them back up again.
  8. Oil will soar well over $100 a barrel, and alternative energy will emerge as an investment sector.

Next...
US Treasuries Hit by Biggest Sell-off in Two Years
US Treasuries suffered their biggest two-day sell-off since the collapse of Lehman Brothers. The market moves came after the $120 billion tax holiday agreement. The market is saying something.


Finally, please prepare now for the forthcoming economic, and subsequent social, unrest that will hit the US.
Good Day

03 December 2010

Hyper Report - 101203


First...
Chinese Gold Imports Surge By 500% Through October
China, the world's biggest gold producer, has been importing gold and it has jumped by over 500% in the first 10 months compared to 2009 on concerns of inflation. Imports gained to 209 metric tons compared with 45 tons for all of 2009. It would be nice if they could do the same with silver imports... Speaking of Silver.

Next...
Want JP Morgan to Crash? Buy Silver
The campaign to buy silver, by Max Keiser, to force JP Morgan into bankruptcy could work, because of the liabilities accrued by its short-selling. This story has gone main-stream.

Next...
Bank Of America Sets Up Swat Team To Combat Wikileaks
It appears that Bank of America, and not JP Morgan, may be the target of the upcoming Wikileaks disclosures detailing possible illegal and unethical behavior. To that end, Bank of America, has set up a legal swat team in case they are indeed the target. I guess the new Bank of Americas motto is "We have nothing to hide or fear while hiding behind our army of lawyers."

Next....
Goldman Sachs Forecasts Gold Prices

Goldman Sachs expects gold prices to peak at $1,750 in 2012 and sees strong U.S. economic growth in 2011 and 2012 as real interest rates begin to rise. They also forecast gold to rise to $1,690 within the next 12 months. Personally, I believe gold's price will be a lot higher. Also, just how do they believe the U.S. will have strong economic growth?

Next...
Delaying Tax Vote Could Crash Stock Market
If Congress does not vote to extend the Bush tax cuts, investors wanting to lock in gains at the current lower rate, will spark a stock market sell off starting December 15th. With record-breaking insider selling going on for months now, are they seriously going to blame the sell-off on this? Give me a break!

Next...
Heating Bill Assistance Funds Quickly Depleted
Despite the freezing temperatures, hundreds in Marietta, Georgia, many of whom spent the night in the parking lot, waited to apply for federal aid to help pay their heat and power bills this winter. While over 500 were granted appointments; sadly, dozens were turned away because funds were depleted.

Next...
Jimmy Carter Lies on NPR
Jimmy the dictator loving ex-president Carter stated on NPR radio he never criticized the Tea Party movement, despite calling them racists in 2009 on an NBC interview with Brian Williams. There might be a logical explanation... Perhaps, he believes calling people racists is no longer a criticism.

Next...
FCC Commissioner Calls For Greater Regulation of News Media
The liberal FCC Commissioner, Michael Copps, wants oversight of the news media. He claims that people are not getting essential news and information they need. Translation "The news media are not towing the big government is wonderful tow line." What does he have against freedom? Joseph Goebbels would be so proud of him.


Finally, please prepare now for the forthcoming economic, and subsequent social, unrest that will hit the US.
Good Day

02 December 2010

Hyper Report - 101202


First...
S&P: Possible Portugal Downgrade
S&P has warned that it could downgrade Portugal’s long-and short-term sovereign debt ratings in the next three months because of increased risk from the possibility of a bail-out. To make things worse, S&P also forecast a sharp recession for Portugal in 2011, with the economy contracting 2 percent.

Next...
The Danger of a Global Double Dip Recession Is Real
The majority of Western governments are running fiscal deficits of 10 percent plus relative to GDP. They will be forced to deal with personal, corporate, and sovereign debt. We are witnessing an inevitable rise of the East and a decline of the West. In short, it is coming time to pay the piper.

Next...
Deficit Panel's Painful Budget
As a starting point for controlling for efforts next year to control the nation's ballooning debt, the debt commission drew sharp challenges from both the left and right. It aims to reduce federal red ink by nearly $4 trillion within a decade. Either from entitlements like Social Security or cuts in other areas like the military. Unfortunately, the debt commission has a very powerful enemy... Benji Bernanke and his quantitative easing policies. Speaking of the Fed...

Next...
Fed Data Show Firms on the Brink (Link 2) (Link 3)
The Fed provided 21,000 emergency loans totaling $3.3 trillion during the financial crisis. The Fed made $9 trillion in emergency overnight loans with Merrill Lynch, Citigroup, and Morgan Stanley at about $2 Trillion each. In addition, the Fed gave emergency loans from McDonalds to Harley Davidson and essentially supported the U.S. market well into the summer of 2009. It also appears as the U.S. Federal Reserve has become the central bank of the world with $350 billion plus, in loans, going to foreign banks in Europe. Was this to keep Europe using US Dollars or maybe another form of AIG bailout? We shall see.

Next....
US Bank Implicated In WikiLeaks Trove
Early next year, WikiLeaks will show a big US bank engaging in "flagrant violations" and "unethical practices", according to WikiLeaks founder Julian Assage. Let's see could it be... JP Morgan? We shall see. No wonder Interpol wants this guy.

Next....
BitTorrent Based DNS To Counter US Domain Seizures
To limit the power governments have over domain names, some enthusiasts are working on a revolutionary system that can not be influenced by a government. This is because the system is distributed among many computers instead of a small group of central servers.

Next...
Mom Brings Kid To Crack Deal
A woman was arrested selling 1.5 grams of crack to an undercover cop in Charlotte Florida. She brought along her 9 year old son with her... She must have thought it was take your child to work day.


Finally, please prepare now for the forthcoming economic, and subsequent social, unrest that will hit the US.
Good Day