CLibertyC

Peter Schiff: The Half Full Economy

"The most recent GDP release from Washington has caused many to double down on their belief that the Federal Reserve will begin tapering Quantitative Easing sometime later this year. While I believe that is a fantasy given our economy's extreme dependence on QE, market observers should have learned long ago that the Bureau of Economic Analysis (BEA) initial GDP estimates can't be trusted. A perusal of their subsequent GDP revisions in the last five years reveals a clear trend: They are almost twice as likely to revise initial estimates down rather than up, and the downward adjustments have been much larger on average." Continue reading →

Continue ReadingPeter Schiff: The Half Full Economy

Real Personal Income Points to Recession

"If real (that is, adjusted for loss of purchasing power a.k.a. inflation) income is declining, households have less income to spend and less income to leverage more debt. There are two noteworthy points in this chart. One is that real personal income has been negative for the past five years, with one tax-related spike in late 2012 as those who could do so reported income in 2012 rather than 2013 to take advantage of the lower tax rates that expired in 2012. The second point is that every time the black line (the 6-month annualized rate of change) of real personal income fell below 0% (that is, went negative), a recession occurred." Continue reading →

Continue ReadingReal Personal Income Points to Recession

Why “Tapering” Will Not Go Smoothly — and What That Means for Bonds and Stocks

"If you buy the party line that Wall Street and the Federal Reserve is pushing, the process of 'tapering' back on Quantitative Easing (QE) will be relatively painless. All the Fed has to do is gradually, slowly, predictably, and gently ease back on its bond purchases and, they say, it will have minimal market impact. My take? Fuhgeddaboudit … it will be anything but smooth. And this week, I’ll use the Fed’s own comments — and a shocking Fed chart — to show you why." Continue reading →

Continue ReadingWhy “Tapering” Will Not Go Smoothly — and What That Means for Bonds and Stocks

‘Eminent Domain for the People’ Leaves Wall Street Furious

"Richmond became the first California city last week to move forward on a plan that has been floated by other California municipalities to ask big bank lenders to sell underwater mortgage loans at a discount to the city (if the owner consents), and seize those homes through eminent domain if the banks refuse. The city has committed to refinancing these homes for owners at their current value, not what is owed. City officials launched this process by sending letters in late July to 32 banks and other mortgage owners offering to buy 624 underwater mortgages at the price the homes are worth, not what the owners owe." Continue reading →

Continue Reading‘Eminent Domain for the People’ Leaves Wall Street Furious

Man who created own credit card sues bank for not sticking to terms

"Mr Argarkov's version of the contract contained a 0pc interest rate, no fees and no credit limit. Every time the bank failed to comply with the rules, he would fine them 3m rubles (£58,716). If Tinkoff tried to cancel the contract, it would have to pay him 6m rubles. Tinkoff apparently failed to read the amendments, signed the contract and sent Mr Argakov a credit card. Earlier this week a Russian judge ruled in Mr Argakov's favour. Tinkoff had signed the contract and was legally bound to it. Mr Argakov was only ordered to pay an outstanding balance of 19,000 rubles (£371)." Continue reading →

Continue ReadingMan who created own credit card sues bank for not sticking to terms

HBO says Game of Thrones ‘piracy’ is better than an Emmy

"According to Time Warner CEO Alan Bewkes the 'piracy' buzz around Game of Thrones is a good thing, so good that it's better than an entertainment industry award. The firm was talking about its latest financial results when it was asked about the so-called 'piracy' problem. 'I have to admit it, I think you're right. The much discussed fantasy series is HBO's most popular TV show, and if you go to people who are watching it without subs, it's a tremendous word of mouth thing,' he said, according to the Game of Thrones website White Harbour. In April, HBO programming chief Michael Lombardo said that 'piracy' should be taken as a compliment." Continue reading →

Continue ReadingHBO says Game of Thrones ‘piracy’ is better than an Emmy

Scott Brown’s brother arrested with weapons arsenal after impersonating officer and commandeering boat

"Bruce W. Browne told officers responding to the call that he was the owner of the vehicle, and he admitted to wearing battle dress uniform (BDU) pants and carry a 9mm weapon. Inside of the vehicle, officers located three 9mm handguns, two sets of handcuffs, 12 fully-loaded magazines and over 200 rounds of ammunition. Browne also had law enforcement gear, including a tactical bullet-proof vest with the word 'POLICE' on the front and back and a metal TSA badge. Browne had IDs from when he worked for the TSA and Coast Guard, but the Connecticut State Police determined that he was no longer affiliated with those agencies." Continue reading →

Continue ReadingScott Brown’s brother arrested with weapons arsenal after impersonating officer and commandeering boat

Hunger-striking California inmate on 27 years in solitary

"The core demand is an end to indefinite solitary confinement in Security Housing Units, known as SHUs. Some inmates have been in such cells for decades. Strike leaders – an unusual alliance of whites, African Americans and Latinos – say the conditions amount to torture and that the system for selecting those for segregation is callous and capricious. A condition of release into the general jail population is to 'debrief' – inform – against gang members. Authorities reject the criticism and say the strike is an attempt by gang leaders to regain the ability to terrorise fellow prisoners, staff and communities throughout California." Continue reading →

Continue ReadingHunger-striking California inmate on 27 years in solitary