First Successful Cyberattack on the USA

Written by Gary North on November 21, 2011

It had to come eventually, and it has. It was not a major facility. It was an attack on an Illinois water plant. The hackers burned out a water pump. Think of it as a test run. The hackers have not been identified. The Department of Homeland Security is saying nothing. The breach was a […]

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The End of the Road for Technology Sector Profits

Written by Gary North on November 21, 2011

I have read John C. Dvorak for about 28 years. He is perhaps the best-known commentator on all things PC — personal computers. He is always controversial, but he is very well-informed. In his latest essay, he warns that the era of the PC is coming to a geriatric phase. This has been predicted since […]

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European Debt Crisis Threatens the Dollar–Ron Paul

Written by Gary North on November 21, 2011

European Debt Crisis Threatens the Dollar Ron Paul writes: The global economic situation is becoming more dire every day.  Approximately half of all US banks have significant exposure to the debt crisis in Europe.  Much more dangerous for the US taxpayer is the dollar’s status as reserve currency for the world, and the US Federal […]

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Back-Door Bank Runs in Europe in 2012

Written by Gary North on November 21, 2011

The modern bank run is not where depositors line up to pull their meager funds out. It is when hedge funds and large investment funds refuse to roll over credit lines to banks. That takes place behind closed doors. In 2012, European banks must refinance $660 billion of loans. The banks are in hock to […]

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MF Global Collapse Threatens Commody Futrures Market

Written by Gary North on November 21, 2011

The bankruptcy if MF Global is creating ripples. The outfit was high leveraged, using commoidity futures. The managers used customers’ money — cash basis, no debt — to cover losses in its own speculations. The customers cannot get their money back. They must wait. They may suffer 50% losses. Always before, the clearing house assured […]

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Ron Paul Gets Cut Off on “Face the Nation”

Written by Gary North on November 21, 2011

The Sunday morning news show, “Face the Nation,” advertised an interview with Ron Paul. Paul is in a statistical tie in Iowa with Cain, Gingrich, and Romney. So, he is news. But he was not news enough. Halfway through the interview, Bob Schieffer cut him off. You can hear Paul try to say something, but […]

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Bureaucratic Lunacy: EU Denies That Water Stops Dehydration

Written by Gary North on November 18, 2011

North’s law of bureaucracy is simple to state: “Eventually, some bureaucrat will follow the rules exactly and do something incomparably silly.” A fine example of this law is a regulation from the European Union’s bureaucrats that sellers of bottled water are not allowed to claim that their products, made of 100% water, reduce dehydration. De-hydration […]

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Price Inflation Remains Low

Written by Gary North on November 18, 2011

I prefer to use the Median Consumer Price Index to the regular CPI. In October, prices rose 0.2%. They have been in this range for months. The more common index, the CPI, reveals a comparable low rate. As I have been saying for two years, price inflation is low because banks have stashed $1.6 trillion […]

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