Top Job Going at the Federal Reserve

Want a Top Federal Reserve System Job?

Top Fed­er­al Reserve Sys­tem Job

Fan­cy a cushty job at the Fed­er­al Reserve? Nice and easy like their mon­e­tary pol­i­cy? The rumor mill is busy sug­gest­ing that Ben Bernanke will do a run­ner at the end of the year — just before con­tract renew­al in Jan­u­ary 2014.

Go on! give it a try — you might just get it! I mean, how hard is it to print mon­ey, because that is the only “tool” in the Fed­er­al Reserve arse­nal of tools.

Give it a try because you might just get it 😉

© Copy­right MMXIII

The Most Over/Under-Valued Housing Markets In The World

This is very inter­est­ing (and seri­ous):

OECD compare the prices

OECD com­pare the prices

House prices — with respect to both lev­els and changes — dif­fer wide­ly across OECD coun­tries. As a sim­ple mea­sure of rel­a­tive rich or cheap­ness, the OECD cal­cu­lates if the price-to-rent ratio (a mea­sure of the prof­itabil­i­ty of own­ing a house) and the price-to-income ratio (a mea­sure of afford­abil­i­ty) are above their long-term aver­ages, house prices are said to be over­val­ued, and vice-ver­sa. There are clear­ly some nations that are extreme­ly over-val­ued and oth­ers that are cheap but as Soc­Gen’s Albert Edwards notes, it is the UK that stands out as author­i­ties have gone out of their way to prop up house prices — still extreme­ly over-val­ued (20–30%) — despite being at the epi­cen­ter of the glob­al cred­it bust. Sum­ming up the cen­tral bankers anthem, Edwards exclaims: “what makes me gen­uine­ly real­ly angry is that bur­den­ing our chil­dren with more debt to buy ridicu­lous­ly expen­sive hous­es is seen as a solu­tion to the prob­lem of exces­sive­ly expen­sive hous­ing.”

Screwed (ie SELL!):

  • UK
  • Spain

Not-Screwed (ie BUY!):

  • Por­tu­gal
  • Switzer­land

So quite sim­ply sell any prop­er­ties that you have in the screwed group and buy them back in the not-screwed group. Voila! These coun­tries break down into Five Cat­e­gories:

Where hous­es appear broad­ly cor­rect­ly val­ued. This cat­e­go­ry includes the Unites States, where prices have start­ed ris­ing again after a sub­stan­tial cor­rec­tion; Italy, where prices are falling rapid­ly; Aus­tria, where prices are ris­ing; and Ice­land, Korea and Lux­em­bourg where prices are rough­ly flat.

Where hous­es appear under­val­ued and prices are still falling. This cat­e­go­ry includes Euro­pean coun­tries hit hard by the cri­sis – Greece, Ire­land, Por­tu­gal, Slove­nia, Slo­va­kia and the Czech Repub­lic – but also Japan.

Where hous­es appear under­val­ued but prices are ris­ing. This cat­e­go­ry includes only Ger­many and Switzer­land, two Euro­pean coun­tries where strong growth in house­hold dis­pos­able income and favourable financ­ing con­di­tions have boost­ed prices (despite macro-pru­den­tial mea­sures in Switzer­land).

Where hous­es appear over­val­ued but prices are falling. This cat­e­go­ry is the largest as it includes many Euro­pean coun­tries where the post-cri­sis hous­ing mar­ket cor­rec­tion is still ongo­ing, most notably Spain, but also the Unit­ed King­dom, Bel­gium, Den­mark, Fin­land, the Nether­lands and one non-Euro­pean coun­try, Aus­tralia. While price cor­rec­tions in these coun­tries are nec­es­sary, they are also con­cern­ing as they weak­en house­holds’ finan­cial health and poten­tial­ly frag­ilize bank­ing sec­tors.

Where hous­es appear over­val­ued but prices are still ris­ing. This is the case in Cana­da, Nor­way, New Zealand and, to a less­er extent, Swe­den. Economies in this cat­e­go­ry are most vul­ner­a­ble to the risk of a price cor­rec­tion – espe­cial­ly if bor­row­ing costs were to rise or income growth were to slow.

Get the full scoop:

The Most Over/Un­der-Val­ued Hous­ing Mar­kets In The World

Hap­py House Hunt­ing …

© Copy­right MMXIII

IMF “to admit mistakes” in handling Greek debt crisis and bailout — My response…

Here is a short piece that I felt I had to inter­ject at The Guardian (UK)

RagingGoldenBul unleashes on The Guardian (UK) about the IMF (International Mafia Federation)

Rag­ing­Gold­en­Bul unleash­es on The Guardian (UK) about the IMF (Inter­na­tion­al Mafia Fed­er­a­tion)


Rag­ing­Gold­en­Bul — 05 June 2013 6:54pm

Rec­om­mend: 77

Let us not ponce about the prover­bial bush here my brethren:

The IMF (short for: Inter­na­tion­al Mafia Fed­er­a­tion) is noth­ing more than anoth­er pho­ny instru­ment cre­at­ed by the US gov­ern­ment, for the US gov­ern­ment, along with World Bank at that infa­mous Bret­ton Woods (1944) meet­ing where they strong armed the rest of the world over 21 long, gru­el­ing, and I would put it to you ardu­ous days (blood must have been pour­ing from the poor del­e­gates ears after day 12) while the world was still at WAR. Pic­ture it.

Oh how they seized their chance, dragged in John May­nard Keynes (UK in col­lu­sion – spe­cial rela­tion­ship you know), and invent­ed a crock, because no one had any choice. No Choice.

It is well known that M. Lagarde (after they ditched DSK) let the cat out of the “bail-in” bag way too ear­ly for the FedReserve, and the ECB, and thus both the Bernanke and the Draghi are now sour-puss­es. After those tril­lions of USDs that heli­copter Ben print­ed-up, M. Lagarde blew it in one momen­tary lapse of rea­son. Now Ben will bail-out him­self of the pic­ture at end of the cur­rent term as Gov­er­nor of the Fed.

Every­one knows that “Bail-ins” are com­ing now to a Bank near you real soon.…Are you ready for that?

Why does any­one lis­ten to a word these guys (Inter­na­tion­al Mafia Fed­er­a­tion) say any­more? Why do they point to them as if they are cred­i­ble?

It all leads back to one thing — US Dol­lar hege­mo­ny, and any­thing to keep that pup­py alive – alas brethren, the end is nigh.

Please excuse my rather fruity and col­or­ful lan­guage (sausage I hate US Eng­lish 😉 )…

Orig­i­nal Arti­cle:

The Inter­na­tion­al Mon­e­tary Fund is to admit that it has made seri­ous mis­takes in the han­dling of the sov­er­eign debt cri­sis in Greece, accord­ing to inter­nal reports due to be pub­lished lat­er on Wednes­day.

Doc­u­ments pre­sent­ed to the Fund’s board last Fri­day will reveal that the Wash­ing­ton-based organ­i­sa­tion under­es­ti­mat­ed the dam­age aus­ter­i­ty would cause to the euro­zone coun­try, which has required two bailouts in the past three years.

The Wall Street Jour­nal report­ed that the papers would say that finan­cial sup­port from the Fund, the Euro­pean Cen­tral Bank and the Euro­pean Com­mis­sion had bought time for Greece but had only been made pos­si­ble because the IMF had bent its own rules to make the coun­try’s debt look more sus­tain­able than it was. Accord­ing to the WSJ report, Greece failed to meet three of the Fund’s four tests to qual­i­fy for help.

A Fund spokes­woman said: “We will be pub­lish­ing a num­ber of papers on Greece lat­er today. The board met last Fri­day to dis­cuss sev­er­al doc­u­ments on Greece includ­ing the review of its pro­gramme and its annu­al eco­nom­ic assess­ment.”

Greece became the first euro­zone nation to require a bailout by the inter­na­tion­al com­mu­ni­ty in 2010, but need­ed a sec­ond round of finan­cial assis­tance in ear­ly 2012 when a deep reces­sion and high inter­est pay­ments threat­ened to send its debts spi­ralling out of con­trol.

The so-called troi­ka of the IMF, ECB and EC forced pri­vate sec­tor bond­hold­ers to write down the val­ue of their Greek bonds in an attempt to bring the coun­try’s debts down to sus­tain­able lev­els of 120% of nation­al income by 2020.

Chris­tine Lagarde, the man­ag­ing direc­tor of the Fund, has said many times over the past year that Greece should now be in a posi­tion to pay off its debts, but the WSJ reports that IMF staff believe this can­not be said with any cer­tain­ty.

In Athens, offi­cials react­ed with bare­ly dis­guised glee to the news.

The report con­firms what Greek offi­cials have long said: that the first bailout of uncom­pro­mis­ing bud­get cuts and tax increas­es, the price of 110 bn euro in emer­gency funds in May 2010, was the wrong pre­scrip­tion for a coun­try not only bat­ting a mon­u­men­tal debt load but ram­pant tax eva­sion and a flour­ish­ing black econ­o­my.

Under the weight of such mea­sures – applied across the board and hit­ting the poor­est hard­est – the econ­o­my, they said, was always bound to dive into an eco­nom­ic death spi­ral. “For too long they [troi­ka offi­cials] refused to accept that the pro­gramme was sim­ply off-tar­get by hid­ing behind our fail­ure to imple­ment struc­tur­al reforms,” said one insid­er. “Now that reforms are being applied they’ve had to accept the bit­ter truth.”

The Greek media recent­ly quot­ed IMF man­ag­ing direc­tor Chris­tine Lagarde describ­ing 2011 as a “lost year” part­ly because of mis­cal­cu­la­tions by the EU and IMF. The author­i­ta­tive Kathimeri­ni news­pa­per said the report iden­ti­fied a num­ber of “mis­takes” includ­ing the fail­ure of cred­i­tors to agree to a restruc­tur­ing of Greece’s debt bur­den ear­li­er – a fail­ure that had had a dis­as­trous effect on its macro-eco­nom­ic assump­tions.

From what we under­stand the IMF sin­gles out the EU for crit­i­cism in its han­dling of the prob­lem more than any­thing else,” said one well-placed offi­cial at the Greek finance min­istry. “But acknowl­edge­ment of these mis­takes will help us. It has already helped cut some slack and it will help us get what we real­ly need which is a hair­cut on our debt next year.

See the full sto­ry:

© Copy­right MMXIII

Jim Sinclair Meets The RagingGoldenBull in London

I just got­ta share this with you — Jim Sin­clair and the Rag­ing­Gold­en­Bull him­self. What a great hon­or!

Mr Jim Sinclair (Mr Gold) and Mr Farley Balasuriya (Chief GoldenBull) meeting in London June 2013

Mr Jim Sin­clair (Mr Gold) and Mr Far­ley Bal­a­suriya (Chief Gold­en­Bull) meet­ing in Lon­don June 2013

Was in Lon­don over the week­end and had the oppor­tu­ni­ty to talk to Mr. gold him­self — Mr Jim Sin­clair.

This was part of a closed door Lon­don Q&A Ses­sion on the very sen­si­tive top­ics of mon­ey and gold and where we are all head­ing.

The Two Core Mes­sages which rings through loud and clear are:

  • The End-Game is here now
  • Get out of the Sys­tem NOW!

I hope to elab­o­rate on his mes­sage and the oth­er things that were dis­cussed over the com­ing weeks on this blog, and in my emails (sub make sure your are reg­is­tered to our newslet­ter).


Ques­tion: Have you start­ed and what are you doing to pre­pare for the end-game that is cur­rent­ly upon us?


Check out the orig­i­nal here on Mr Sin­clairs (about two thirds down page).

© Copy­right MMXIII