Tuesday, September 27, 2011

There's no way in hell we're making it to Nov 2012

Posted by Ann Barnhardt - September 26, AD 2011 9:09 PM MST

Here is a piece from ZeroHedge.com that hopefully will make you all understand, once and for all, that this ain't the 1930's, and that there is absolutely no way in hell that this Republic is going to make it to November 2012.


Summary: The five largest banks in the U.S. (JP Morgan Chase, Citibank, Bank of America, Goldman Sachs and HSBC) are carrying $238 TRILLION dollars in derivative exposure. JP Morgan alone is carrying $78 TRILLION in derivative exposure BY ITSELF.

Okay, what the hell is derivative exposure? What this is referring to are over-the-counter non-exchange traded forward delivery (or "futures") contracts of various kinds. I am a futures broker, but I only execute futures contracts on the futures exchanges, namely the Chicago Mercantile Exchange and the New York Mercantile Exchange. About ten years ago a new "novelty" emerged in the futures business - the so-called "over-the-counter" contracts. There was a kid in the office I worked in who got wind of this and had all kinds of stars in his eyes about making a killing off of these "OTC" contracts because the brokers' commissions were not a flat fee but a percent of the contract value. Here's the problem with OTC contracts: there is no exchange standing between the buyer and seller as a guarantor.

In my business, when a customer executes a trade on a futures or options contract, it makes no difference who the other guy is on the other side of the trade, be it executed electronically or in the pit. None of us have to worry for a second about the counterparty on our executions because the EXCHANGE ITSELF stands between ALL transactions as the ultimate guarantor. The exchange then enforces the financial requirement rules with the Clearing Houses, the Clearing Houses enforce the financial requirement rules with the brokers, and the brokers enforce the financial requirement rules with the customers. That is the chain of financial responsibility. So, even if a customer bugs out and fails to financially perform on a contract, the contract WILL BE MADE GOOD by extracting the money from the broker, then the Clearing House and finally the Exchange. This massive enforcement buffering is what gives the system integrity.

OTC contracts have no exchange. They are a flipping free-for-all. If someone bugs out on a contract, the poop hits the fan. The counterparty has their pants around their ankles and the broker is caught in the middle. That's why when that kid in my office years ago got all starry-eyed, I thought to myself, "I wouldn't do that OTC crap if you put a gun to my head - no matter what the commissions were. It would be Russian Roulette. Eventually someone would default and it would financially destroy the broker instantly, and perhaps the counterparty as well."

Let's take my business - cattle futures. One contract is 40,000 pounds of live cattle. The spot contract settled at $119.725 per hundred pounds today. So, 40,000 pounds X $1.19725 (shift the decimal) = $47,890 total value of the contract. Since this is an exchange traded instrument, the customer doesn't really don't have to worry about default and can go ahead and book that $47,890 today, and it will be offset at a later time, and the net of the entry and exit will be the P&L. The contract isn't going to default, so the derivative exposure is limited.

Okay. These banks are carrying these OTC futures contracts with NO exchange to guarantee anything. And they are carrying these contracts largely WITH EACH OTHER. So JP Morgan might be the long and Goldman Sachs, or some insolvent bank in Europe is the short on the other side. If these banks default, which is now a mathematical certainty because they are not only insolvent, but insolvent multiple times over and there isn't enough money in the world to bail them out, there is going to be a cascading default on all of these OTC contracts.

Now look at the value and exposure of these OTC derivatives again: the top 5 banks in the US alone have exposure of $238 TRILLION dollars.
The total GDP of the United States is $14.5 Trillion.
The total GDP of China is $6 Trillion.
The total land mass on earth is 36.8 billion acres. If every acre of land on earth was "sold" for $6467 per acre, that would total $238 Trillion.
JP Morgan BY ITSELF has derivative exposure equal to over FIVE TIMES the value of the entire US GDP.
And no, there will not be a 1:1 offsetting in a collapse, because the collapse will be asymmetrical, and the bankrupt party will first pursue FULL payment on its "longs" (think of these as accounts receivables) while its "shorts" (accounts payable) will only pay out 20 cents on the dollar OR LESS. In other words, these entities will tear each other apart in a mad dogfight and this dogfight will take the entire world down with it.

AND THE MASSIVELY CORRUPT AND INCOMPETENT SECURITIES REGULATORS, BOTH GOVERNMENTAL AND PRIVATE, SAT BY AND WATCHED THIS HAPPEN. That is what happens when you let a group of criminals run a bureaucracy of affirmative action hires to "audit" the financial industry. Scroll down and read my post titled "There Must Be A Reckoning."

It's over. There is no coming back from this. The only thing that can happen is a total and complete collapse of EVERYTHING we now know, and humanity starts from scratch. And if you think that this collapse is going to play out without one hell of a big hot war, you are sadly, sadly mistaken. 

Here is an intellectually honest trader who was interviewed this morning by the BBC. As much as you may not want to believe it, what this guy says is correct. This iteration of human civilization is approaching an end.

Saturday, September 24, 2011

Monday, September 19, 2011

There is a Worldwide Plethora of "Occupied" Lands

Countries who live in occupied glass houses shouldn't throw stones. But they do - only at Israel, of course.

There are many lands around the world that have been occupied not so long ago by other countries. Many of them are still subjugated to the rule of an occupying power. They were conquered during offensive or defensive wars, throughout the process of establishment of statehood or as a part of colonial and imperial policy.
The following is a far from complete list of the currently occupied lands:



Example: the annexed former eastern parts of Germany, which are now OFFICIALLY parts of Russia and Poland after World War 2


The Nazis and Fascists who Founded the European Union

(and Their Influence Today) 

“The European Union is based on the Nazi plans published in Berlin in 1942.” — Rodney Atkinson

“‘Nazi Leadership Officer’ became first head of  the European Commission in 1957.” – Atkinson
On February 26, 2008, director of the Freenations website Rodney Atkinson — former British Ministerial Adviser, author, and lecturer at University of Mainz in Germany — gave a speech at a public meeting at the House of Commons chaired by Philip Davies MP. Below is a transcription of his audio-visual presentation based on that speech:
“The Nazis and Fascists who founded the European Union and their influence today”

Sunday, September 18, 2011

Ann Barnhardt is NOT an IDIOT 2

This is what Ann wrote on her web site:

1. If you want to completely lose my respect, send me 9-11 truther garbage ...... You would be better off just having "idiot" tattooed across your forehead.

But this is something Ann, and people like her, ought to know:


Jezus’ getuigenis van Zichzelf-Jesus' testimony of Himself

Jezus’ getuigenis van Zichzelf 

Johannes 5  John 5:19-47

19 Jezus dan antwoordde en zeide tot hen: Voorwaar, voorwaar, Ik zeg u, de Zoon kan niets doen van Zichzelf, of Hij moet het de Vader zien doen; want wat deze doet, dat doet ook de Zoon evenzo. 20 Want de Vader heeft de Zoon lief en toont Hem al wat Hij zelf doet, en Hij zal Hem grotere werken tonen dan deze, opdat gij u verwondert. 21 Want gelijk de Vader de doden opwekt en doet leven, zo doet ook de Zoon leven, wie Hij wil. 22 Want ook de Vader oordeelt niemand, maar heeft het gehele oordeel aan de Zoon gegeven, 23 opdat allen de Zoon eren gelijk zij de Vader eren. Wie de Zoon niet eert, eert ook de Vader niet, die Hem gezonden heeft.
24 Voorwaar, voorwaar, Ik zeg u, wie mijn woord hoort en Hem gelooft, die Mij gezonden heeft, heeft eeuwig leven en komt niet in het oordeel, want hij is overgegaan uit de dood in het leven. 25 Voorwaar, voorwaar, Ik zeg u, de ure komt en is nu, dat de doden naar de stem van de Zoon van God zullen horen, en die haar horen, zullen leven. 26 Want gelijk de Vader leven heeft in Zichzelf, heeft Hij ook de Zoon gegeven, leven te hebben in Zichzelf. 27 En Hij heeft Hem macht gegeven om gericht te houden, omdat Hij de Zoon des mensen is. 28 Verwondert u hierover niet, want de ure komt, dat allen, die in de graven zijn, naar zijn stem zullen horen, 29 en zij zullen uitgaan, wie het goede gedaan hebben, tot de opstanding ten leven, wie het kwade bedreven hebben, tot de opstanding ten oordeel.
30 Ik kan van Mijzelf niets doen; gelijk Ik hoor, oordeel Ik, en mijn oordeel is rechtvaardig, want Ik zoek niet mijn wil, doch de wil van Hem, die Mij gezonden heeft. 31 Indien Ik getuig van Mijzelf, is mijn getuigenis niet waar; 32 een ander is het, die van Mij getuigt, en Ik weet, dat het getuigenis, dat Hij van Mij aflegt, waar is. 33 Gij hebt tot Johannes gezonden en hij heeft van de waarheid getuigd; 34 maar Ik behoef het getuigenis van een mens niet, doch Ik zeg dit, opdat gij behouden wordt. 35 Hij was de brandende en schijnende lamp en gij hebt u een tijdlang in zijn licht willen verheugen. 36 Maar Ik heb een getuigenis, gewichtiger dan dat van Johannes; want de werken, die Mij de Vader gegeven heeft om te volbrengen, juist die werken, die Ik doe, getuigen van Mij, dat de Vader Mij gezonden heeft. 37 En de Vader, die Mij gezonden heeft, die heeft van Mij getuigenis gegeven. Gij hebt nooit zijn stem gehoord of zijn gedaante gezien, 38 en zijn woord hebt gij niet blijvend in u, want die Hij gezonden heeft, gelooft gij niet. 39 Gij onderzoekt de Schriften, want gij meent daarin eeuwig leven te hebben, en deze zijn het, welke van Mij getuigen, 40 en toch wilt gij niet tot Mij komen om leven te hebben.
41 Eer van mensen behoef Ik niet, 42 maar Ik ken u: gij hebt de liefde Gods niet in uzelf. 43 Ik ben gekomen in de naam mijns Vaders en gij neemt Mij niet aan; indien een ander komt in zijn eigen naam, die zult gij aannemen. 44 Hoe kunt gij tot geloof komen, gij, die eer van elkander behoeft en de eer, die van de enige God komt, niet zoekt? 45 Denkt niet, dat Ik u zal aanklagen bij de Vader; uw aanklager is Mozes, op wie gij uw hoop gevestigd hebt. 46 Want indien gij Mozes geloofdet, zoudt gij ook Mij geloven, want hij heeft van Mij geschreven. 47 Maar indien gij zijn geschriften niet gelooft, hoe zult gij mijn woorden geloven?

Uit: NBG-vertaling 1951

Tuesday, September 13, 2011

Monday, September 12, 2011

Van nazi-crimineel tot Christus - From Nazi criminal to Christ

Minister van buitenlandse zaken onder Hitler

Minister of foreign affairs under Hitler

Sunday, September 11, 2011

Tien jaar na 9/11 - Ten Years after 9/11 - 2

Vandaag is het 10 jaar geleden dat de 'aanslagen' van 9/11 (11 september 2001) plaatsvonden.

Ik was thuis toen het gebeurde en mijn TV stond aan, want in die tijd keek ik regelmatig naar CNN, BBC-World en EuroNews om te zien of er mogelijk interessant nieuws zou kunnen zijn.

Tien jaar na 9/11 - Ten Years after 9/11


Vandaag is het 10 jaar geleden dat de 'aanslagen' van 9/11 (11 september 2001) plaatsvonden.

Ik was thuis toen het gebeurde en mijn TV stond aan, want in die tijd keek ik regelmatig naar CNN, BBC-World en EuroNews om te zien of er mogelijk interessant nieuws zou kunnen zijn.