Friday, July 15, 2011

Video: Lindsey Williams Claims: America Will Default on It's 14+ Trillion Dollar Debt : Alex Jones Show

William's predictions have been eerily correct this year. Is he right about what is coming next?

From YouTube:
Alex welcomes back to the show pastor Lindsey Williams. Since Lindsey appeared on the show earlier this year, his prediction about a war in the Middle East expanding into World War 3 are coming true as the U.S. prepares a ground invasion of Libya.

Thursday, July 14, 2011

Video: Countdown to US Dollar Collapse? Peter Schiff on the Debt Ceiling - July 14, 2011

Think Peter Schiff is right again? Your comments below.

Study: US Housing Collapse Worse Than Great Depression

And you thought things couldn't get any worse? Everyone was hoping the housing collapse was over, or not nearly as bad as we thought. Wrong!
Recent news of a study claiming the current U.S. housing collapse is worse than during the Great Depression and will continue to fall for the rest of the year means greater emphasis by banks on foreclosures and increased need for homeowners facing foreclosure to protect themselves when dealing with the banks, according to Vito Torchia, Jr. managing attorney of Brookstone Law.

"Banks are more likely now to place a premium on reducing inventory and liabilities so will be more aggressive about foreclosures and fewer consumers will be able to keep their homes," said Vito Torchia, Jr. "It is already nearly impossible for a homeowner without expert legal help to stop foreclosures, so Banks being even more difficult will be a nightmare for consumers."

Brookstone Law, PC: Worst US Housing Collapse Since Great Depression Means Even More Problems for Homeowners Facing Foreclosure

Swiss Franc Becomes Safe Haven for Those Fleeing US Dollar

Is there anything safer than the Swiss Franc right now?
The Swiss franc rose to fresh high levels against the dollar and euro on Thursday, as investors turned to the refuge currency amid the widening debt crisis in Europe and the United States.  The Swiss currency was being traded at 0.8087 franc for a dollar and 1.149 franc for a euro shortly after midnight.

The franc eased somewhat on Thursday, but remained at peak levels of 0.8151 franc for a dollar and 1.1594 franc against the euro in mid morning trading.  "The Swiss franc is in demand," noted Zuercher Kantonalbank analysts.
Swiss franc climbs to record against dollar, euro - The Economic Times

S&P Credit Warning Sends Dollar Reeling

Will the US become like your deadbeat brother-in-law you made the mistake of loaning money to years ago? The credit ratings services are starting to think so and that means more bad news for the dollar.
The U.S. dollar fell in early Asian trade on Friday after ratings agency Standard & Poor's warned it would downgrade the United States credit rating while Asian stocks are expected to start on a weaker note following a lower close on Wall Street. S&P said there is at least a 1 in 2 chance it could cut the U.S.'s much prized "AAA" rating if a deal on raising the government's debt ceiling is not agreed soon. Earlier this week, Moody's warned of a possible downgrade.

The euro hit an intraday high of nearly $1.42 versus the dollar after the S&P announcement before trimming some of its gains to settle back at $1.4160.
Dollar reels after S&P credit warning; bonds firm | Reuters

Gold at Record High as Dollar Continues to Fall

Got gold? Might not be too late to get in before the dollar crash.
Gold surged to a record near $1,590 an ounce on Wednesday as the possibility of more Federal Reserve stimulus coupled with Europe's deepening debt crisis fueled bullion's longest winning streak in five years.  Bullion's gains accelerated after Federal Reserve Chairman Ben Bernanke said the Fed is ready to ease monetary policy further if economic growth and inflation slow much more. Silver rallied nearly 6 percent, moving in tandem with commodities, U.S. stock markets and risk assets.
Gold hits record high on Bernanke, euro worries | Reuters

US Dollar in Full Retreat: New Zealand Dollar Soars to 30 Year High

Anybody else considering moving to New Zealand . . . or at least swapping our dollars for theirs?
The U.S. dollar was on the run in Asia on Thursday after a ratings warning from Moody's and a hint of further policy easing from the Federal Reserve unleashed a wave of panic selling, much to the relief of the hard-pressed euro.  The New Zealand dollar was a stand out performer, soaring to 30-year highs after data showed the economy grew far faster than expected in the first quarter.

The kiwi flew to $0.8491, a rise of 3.7 percent in just two sessions, as the upbeat news revived the chance of a rate hike before year-end.  That stood in stark contrast to the United States, where Fed Chairman Ben Bernanke had canvassed the idea of further quantitative easing should the economy stall
Dollar in full retreat, NZD storms 30-year peak | Reuters

Wednesday, July 13, 2011

Moody's Preparing to Downgrade US Credit Rating as Debt Limit Talks Stall

Think the debt limit talks couldn't get any worse? How about the US having to pay more for the dollars it has to borrow?
Moody’s Investors Service put the U.S. under review for a credit rating downgrade as talks to raise the government’s $14.3 trillion debt limit stall, adding to concern that political gridlock will lead to a default. The Aaa ratings of financial institutions directly linked to the U.S. government, including Fannie Mae, Freddie Mac, the Federal Home Loan Banks, and the Federal Farm Credit Banks, were also put on review for cuts, Moody’s said in a statement today.

The U.S., rated Aaa since 1917, was put on review for the first time since 1995 on concern the debt limit will not be raised in time to prevent a missed payment of interest or principal on outstanding bonds and notes even though the risk remains low, Moody’s said. The rating would likely be reduced to the Aa range and there is no assurance that Moody’s would return its top rating even if a default is quickly cured.
Moody’s Places U.S. on Review for Downgrade As Debt Talks Stall - Bloomberg

Video: Ron Paul Says the World Will Give Up on the US Dollar

New Video: Peter Schiff Says US is in Depression, Dollar Crisis Coming

From YouTube:
The phony stimulus has briefly interrupted depression but as long as the U.S. spends borrowed money the economy won't recover, contends Peter Schiff, Chief Global Strategist at Euro Pacific Capital. In a Newsmax.TV video, Schiff says the dollar could lose 50%-70% of its value. He explains how he's positioning clients as the U.S. faces possible QE3 and default through inflation.

Dollar Hits Four Month Low Against Japanese Yen!

Have we hit bottom yet? Sure doesn't look like it.
The dollar dropped to a four-month low against the yen in Asia Wednesday, as talks on the U.S. debt ceiling became bumpier, while mounting concerns over contagion of euro-zone debt problems left the Japanese currency as the least unattractive option.

In thin trade early Wednesday morning in Asia, the dollar fell to Y78.48, its lowest since March 17. Yet unlike that day, when the greenback's slide to a post-World War II low at Y76.25 ramped up pressure for intervention-which came the following day-Japan's currency authorities seemed unlikely to wade into the market for now.

"The time is not yet ripe for action" as yen-selling intervention could prove futile without progress solving the European debt woe, which has been the primary driver of the Japanese currency's recent rise, said Masafumi Yamamoto, chief currency strategist in Japan for Barclays Bank.

WORLD FOREX: Dollar Hits 4-Month Low Vs Yen, China Data Help Euro - WSJ.com

Dollar Weakens on News of China Growth

More good news for China, bad news for the US Dollar.
The dollar and the Swiss franc weakened against the euro for the first time in four days as Asian stocks rose and Treasuries declined amid renewed demand for higher-yielding assets.

The U.S. currency slid against the Australian and New Zealand dollars as China’s economic growth exceeded analysts’ estimates and minutes from a Federal Reserve meeting showed some policy makers felt additional U.S. stimulus may be needed. The euro was stronger against all but two of its 16 major peers monitored by Bloomberg as Italian and Spanish bonds rose for a second day. The yen weakened versus the 17-nation currency amid speculation Japan will sell its currency to support exporters.

Dollar, Franc Weaken on China Growth Optimism, Fed Minutes; Euro Advances - Bloomberg

Breaking US Dollar Collapse News

What's Behind the Decline of the US Dollar?

This is one the of the best and simplest explanations we have seen:
The U.S. dollar's downward slide is accelerating as low interest rates, inflation concerns and the massive federal budget deficit undermine the currency. - Wall Street Journal, April 23, 2011
Interestingly, the Federal Reserve is responsible for, or an active participant in all three of these factors.