“Euro And The Greek Confidence Vote
The EUR is set to remain under pressure as the uncertainty regarding Greece intensifies once again. Any comfort for the EUR from reports Merkel and Sarkozy are to meet with the Greek government and IMF officials Wednesday, ahead of the G20, is likely to be short-lived in our view.
Indeed, Friday’s confidence vote in the Greek parliament will be extremely important in our view and will likely set the pace of the anticipated EUR decline over the coming months. Greek Prime Minister Papandreou could now find it difficult to win a confidence vote (due Friday 10GMT) given the defections from the government leave only the slimmest of majorities (just 151 votes in the 300 parliament).
If the Greek PM fails to win the confidence vote then the government will fall. There is the possibility for a new Government under a different PM or the formation of a unity government. But these outcomes seem unlikely given that the opposition is strongly in favour of new elections. While new elections will delay the vote on the new budget reform measures and potentially delay the next round of bailout funds from the EU, this is likely to be seen as one of the most positive (least bearish) outcomes for the EUR as it will avoid a referendum. There could even be an initial relief rebound for the EUR on any news that a referendum is being avoided, by the continued uncertainty and delays with regard the passing of the new budget measures and payment of EU bailout funds will likely keep the EUR under pressure over the medium term.”
Via Zero Hedge
“Giving evidence to the Treasury Select Committee on Tuesday, Lord Turner said that while the direct exposure of British banks to Italy was not large, the country’s financial crisis, if it got worse, would be more damaging to the UK than those of Greece, Ireland and Portugal.
“Italy is the most concerning. That is the most important thing for us to focus on,” he said.
The Italian government is currently looking at ways to cut the country’s public sector debt of close to €2 trillion (£1.8bn) as well as sales of state assets. “
“Two U.S. lawmakers will introduce measures to impose a transaction tax on financial firms that resembles a proposal released by the European Union.
Senator Tom Harkin, an Iowa Democrat, and Representative Peter DeFazio, an Oregon Democrat, will introduce the bills tomorrow in their respective chambers. The bills will give the United States an increased role in the international debate over a transaction tax, which is likely to be discussed at the Group of 20 summit this week in Cannes, France.
“It’s a significant way to raise some needed revenue,” Harkin said in an interview today in Washington. “Quite frankly, I bet nobody would even feel it.” “
“Rep. David Schweikert (R-Ariz.) wants President Obama to give back the royalties on books purchased by the State Department, he said Tuesday.
“Imagine you’re in a foreign country, you’re visiting a foreign embassy, they hand you a very political book written by the president and you realize the president’s getting royalties on. It just, symbolically but also even mechanically, it doesn’t seem right,” Schweikert said on Fox News. “This is one of those occasions where, on the scale of what’s going on in Greece and Afghanistan, it may be very small, but the symbolism’s pretty powerful.”
Schweikert is following up on a report by the Washington Times from late October that found the State Department bought more than $70,000 worth of books authored by Obama. Embassies used the books as gratuity gifts and also to stock libraries in various countries. The largest single buy was by the U.S. Embassy in Egypt, which spent $28,636 for copies of Obama’s 2004 memoir Dreams From My Father.”
Via The Hill
“Frankly, folks in Washington, D.C., are more concerned about sucking as much as they can from the system before the whole thing collapses.
They’re more concerned about bailing out fellow friends and CEOs than they are about creating a friendly environment for entrepreneurs to thrive.
Take our currency, the U.S. dollar, for example…
It’s been nearly 40 years now since the dollar had even the slightest connection to gold.
Our money is backed by nothing but empty promises. The government holds the power to print itself out of any problem.
That “power” the government holds has corrupted the system. Banks and well-connected businesses know they are very likely to be backstopped by the feds.
So they can still pocket the profits… while you and I shoulder the risks of their bad decisions.”
“While the FDA says growing your own food is against your best interests, consuming raw milk is dangerous, and alternative medicines need to be controlled by large pharmaceutical companies, subcutaneous passive microchip implants capable of tracking and logging everything from your medical and financial history to your day-to-day movements around the city are perfectly acceptable:”
Via SHTF Plan
Bigger Than Solyndra: Over Half a Billion in Customer Funds Disappear Under Obama’s Top Wall Street Finance Man
“Making news in the last few days is the collapse of MF Global, one of the handpicked elite primary dealers that serve as trading counterparties of the New York Fed in its implementation of monetary policy. Primary dealers are supposed to be heavily regulated and monitored, as they are required to participate in Treasury auctions. As of October 31, there were 21 primary dealer club members including the likes of behemoths that include JP Morgan, Citigroup, Goldman Sachs, and Morgan Stanley.
What you may not know about MF Global and why it is important is that they are not only a primary dealer, but also a broker-dealer, which means they trade securities on behalf of their customers. Yesterday, they filed for bankruptcy, making them the 8th largest bankruptcy in U.S. history, to the tune of $40 billion.”
Via SHTF Plan
“Barack Obama acts as though he believes he’s auditioning for a role as Franklin Roosevelt during the 1936 campaign. Given the high degree of economic ignorance in the country today, it’s not surprising that people don’t know to be scared of repeating this ugly history.
Think about this scenario. A Democratic president is finishing his first term. He inherited a serious economic downturn that he blames on his Republican predecessor. In his first four years, he’s gotten sweeping social legislation passed that will radically affect the lives of Americans and major sectors of the economy. This legislation extended federal power in unprecedented ways. Republicans vowed that they shared the same goals, but didn’t want to go as far and wanted to roll back some of the programs. The economy isn’t turning around fast enough, so the president wants to raise taxes on “the rich” to pay for his programs to create jobs, which he claims are ending the economic downturn.”
Via Davis McElroy
“Get this, Business Insider is running a piece arguing that Peter Schiff is a racist. Gary Anderson write at BI:
Peter Schiff once said, and I paraphrase:
Employers should be able to discriminate based on race.
It is time to cut to the chase with regard to Schiff, Libertarianism, and racism. The libertarians will say, “Well, I want other people to hire based on race, but I would never do that”. So their argument is that they aren’t racist because they choose not to be. However, it is clear that this is a ploy, a scam if you will.
Anderson then goes on to paint with a broader brush:”
Via Lew Rockwell
“On The Colbert Report last night Stephen decided he wanted “in” on this Occupy Wall Street action, in hopes that he could co-opt it the way Dick Armey branded himself as Mister Tea Party. And so Colbert took the limo down to Zuccotti Park dressed as Che Guevera, so he could blend in. But soon after he arrived, those corporate masters on Wall Street decided to unleash a thunderstorm onto the protesters and Colbert, who fought back with the best means at their disposal: a dance party.”