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 […]

Continue reading →

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 […]

Continue reading →

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 […]

Continue reading →

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 […]

Continue reading →

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 […]

Continue reading →

Merkel Is Ready to Sell Out Germany to the NWO

Written by Gary North on November 18, 2011

Agela Merkel is an internationalist. She plays a political game. She says firmly in public that there must be no more bailouts, that the European Central Bank must not inflate. Then she goes behind the scenes and agrees with whatever the ECB wants to do. She is now saying that it is time for nations […]

Continue reading →

Should I Buy an Investment House for $30,000, Cash?

Written by Gary North on November 18, 2011

I plan to do this. It’s in a nice neighborhood in a bedroom community 40 minutes from Atlanta. It’s a foreclosure. But aren’t housing prices likely to fall? Yes. The latest data indicate that foreclosures rose by 14% between the second quarter and the third. This indicates that the inventory of unsold homes is rising. […]

Continue reading →

China’s Coming Economic Crash Will Shock the Markets

Written by Gary North on November 18, 2011

China’s economic growth is fake. The economy is not growing at 9% per year. It is contracting by 10%. So said a prominent Hong Kong economist in a lecture he did not know was being recorded. (Guys, it’s a cell phone¬† world!) The growth figures are fake. They are being pumped up by government spending […]

Continue reading →

$15t On-Budget (Admitted) Debt Limit Breached

Written by Gary North on November 18, 2011

The on-budget debt of the United States government breached the $15 trillion mark this week. This is the debt that is counted. It does not include the unfunded liabilities of Social Security and Medicare, which are now in the $100 trillion range over 75 years. Some estimates are higher. More important is the sources of […]

Continue reading →