U.S. Dollar Weakness Shows Gold and Silver are the only Real Currencies

Dollar weakness that has continued will continue. That is to make US goods cheaper and more saleable as exports, but the flip side is that imported goods are more expensive and that creates inflation. Such a policy is foolhardy versus foreign nations that have export advantages. Besides the US does not have the predominance of mass to compete on this level. If tariffs on goods and services were implemented that would be another story. That accompanied by a change in tax laws for transnational corporations, that would force them to return the $2 trillion they have offshore and pay normal taxation which would be very beneficial to solve tax, production and employment problems.

Remember, we have lost about 9 million jobs over the past 11 years, as well as 440,000 businesses due to free trade, globalization, offshoring and outsourcing. Tariffs would level the playing field and leave no advantage to cheapening one’s currency, because it would be accounted for in their tariff structure. Having lost our export markets we have a jobless recovery that can never improve, nor can our balance of payments deficit and our increasing debt cause not only falling revenues, but falling job creation. This is just another artifice to try to stave off the inevitable. Lowering the dollar is not the answer. Having a level playing field is the answer.

Price fixing is an exercise in futility and so is a course of mandatory wage increases pursued to play catch up with runaway inflation. Even though higher numbers show sales growth they are misleading and only a reflection of higher pressing inflation. This is not economic growth; it is price inflation. Such an exercise is geared to keep people and business solvent, but in the long term it accelerates inflation and leads to worse problems down the road. The economy is exhibiting deterioration at the edges and that is to be expected for an economy that has been so badly misused. What is left of manufacturing is in decline and until the system is purged such deterioration will continue. It is not only the US, but also the UK and Europe that have followed the Keynesian course and then display suppression when inflationism overrides their systems. These governments are shortsighted and do not posses the strength to cut expenses and raise taxes. They will come slowly when it is to late.

They do not seem to understand balance and sacrifice. Price regulation and wage controls are artificial answers and only expose economic decay and in time fail to work. This value distortion leads eventually to a barter type system, which is inefficient. Then again this would not be necessary if the currency system had not been abused as it had been. This is what happens to nations that wallow in debt in excess of 100% of GDP. The excuses are multifold but the results are always the same, and that is default. Those who created the system in which we are now enmeshed know exactly what they are doing. This game of controls and more money and credit only buys time to pick the right spot to pull the plug and begin another war. We can never understand how bankers can believe the system will collapse, but they remain immune. These same bankers have been in part responsible for current and future inflation and the proliferation of derivatives, which create a faux system within a system. Once these derivatives unravel they will create an explosion at the heart of the banking system. That will take out the top five banks in the US.

There has been no reform and there will not be any. Tariffs will come when it is too late, as will regulatory reform. The proliferation of fiscal debt will continue, as will the exorbitant creation of money and credit. They cannot stop. If they do the system will collapse. That will happen, but only when those driving and controlling the system allow it to do so. We have just witnessed the disinformation calculated to deceive the public into believing that there is a recovery afoot. Nothing could be further from the truth. What little upside that was seen was a lift via price inflation. When figures are released there is never an addendum explaining that if inflation were removed, what the statistics would really be. That is why we have a 5 to 10 year bull market in gold and silver ahead of us, whose presence is so powerful that no governments or central banks can regulate, suppress or overwhelm it.

We have learned from studying the history of currencies for the last 6,000 years, that gold and silver are the only real currencies. Recently we have seen a 40-year hiatus, but, of course, in the history that is the blink of an eye. Being mortal is disturbing because you can see history, but not the future. But we say you can approximate the future by learning about the past. His-story, the history of man. Bankers wed to the fractional banking system really despise gold as a backing for currencies, because it dos not allow them to create infinite amounts of money and credit. This leads in time to monetary debasement and the kind of conditions we are witnessing today. As we said previously, we have seen an almost entirely unnoticed titanic struggle between the US dollar and gold over the past 2-1/2 years, and gold has been the winner hands down. Now we are seeing the inflation factor come into play. The Fed at the same time continues to support the bond market to keep interest rates low, even going to the extent of manipulating the Treasury Inflation Protection Securities to create an illusion that inflation is a minor factor. The manipulation of bond prices in the US Treasury market has all but driven all investors, both foreign and domestic, away from these markets. Finally investors, particularly professionals, see the situation for what it is – plain and simple fraud. In addition, they are tired of observing the scams totally lacking in prosecution to say nothing of the selective corporate welfare, which has been doled out to fellow Illuminists. All they can see is unbridled monetization and inflation and lower dollars as far as the eye can see.

In recent developments the US, England and France have declared a so-called NATO war against Libya. They have frozen $32 billion held in trust by the US in the US. That is the largest amount ever held by the US concerning a foreign country’s asset. The three countries want Libya’s oil, four water aquifers, central banks and their 484.5 tons of gold, plus the Libyan funds held by other countries. These three want to steal it all and leave the country destitute. The EU has in addition frozen $67 billion. It is thought that because the US is desperate for funds that they will now put into the economy those funds to help keep the economy from collapsing.

The US Treasury and the Fed have created a giant bond fraud and the world’s professionals and governments are well aware of it. If they have to take the US dollars in trade they have to take the inflation that comes with them.

They not only have to tend to inflation in their own economies, but fight off dollar inflation as well. That is why nations are dumping US dollar as soon as they receive them by buying raw materials, investing in land, real estate, plant and equipment and gold and silver.

The bankers and the western governments now expect us to believe that Osama bin Laden is dead. He died years ago. This is just more propaganda for a distraction to more important matters, such as the deterioration and collapse of the western financial system. Anything to keep the game going, anything to deceive. We see no comment in any media that the US and European countries had frozen some $32 billion in US banks and $67 billion in European banks of Libyan sovereign wealth funds. As you have seen desperate people do desperate things. These funds do not belong to Mr. Gaddafi, they belong to the Libyan people. It is simple the west is broke and needed the funds. When you see Chatham House all over the European news you know the black nobility executed this.

As such events occur we have Fed Chairman Mr. Bernanke totally lacking integrity telling us there is little inflation and that the Fed just needs more time to complete recovery. What recovery, it must be hiding because we do not see it? What the Fed is doing is no monetary experiment. It has been tried over and over again through the centuries and it is well known among professionals that what Mr. Bernanke is doing does not work. When you hear from Mr. Bernanke that commodity price effects will likely prove transitory, when there has been a bull market in commodities since 1999, and that bull market is getting stronger, you have to question Mr. Bernanke’s integrity. He reminded us of the dollar’s previous comeback proved the safe-haven status of the dollar. How laughable. The rally created by banks was market rigging and we exposed what they were up to early. They are now running the euro up to make even more profits. This week or next the euro should reverse its rally as meetings resume in Greece. To these people currencies, gold and silver, commodities and markets are like footballs to be kicked around. It is not surprising that long-term confidence in the dollar is falling as uncertainty and instability, along with climbing inflation are becoming noticeable. There is no question the Fed has spent many years off course serving its owners and controllers in banking and on Wall Street. This time it is different. This time they are taking the whole system down deliberately to force the peoples of the US, UK and Europe to accept world government. This is not abrogation of responsibility or incompetence; this is willful greed and destruction. In QE1 and QE2, the banks and Wall Street were saved and then the Treasury. Little was done to address what was going on in the real economy. All credit, monetary and fiscal policy, was used to extend the health of the financial community and select transnational conglomerates.

Speculation has been the result of credit expansion almost all of which was pointed at Wall Street, banking and AAA rated transnational conglomerates. We find it interesting that all commentary and reports are based on Fed assumptions. Their policies and end game are rarely questioned, especially when other professionals know what they are up too and they know it does not work. Is it because they are Keynesians? In part yes, but the key is they are afraid to speak out, because if they do they lose their jobs, or in some cases are suicided. These people play hardball and they are unmerciful killers. If you don’t believe that just look at all the wars they have created and financed on both sides. You cannot approach what the money powers are up to with logic and reason. You are dealing with a predatory animal that will out of hand kill its own for power and survival.

How can anyone believe the Fed Chairman when he tells us that there are well-anchored inflation expectations, when real inflation is about 10% and even the uneducated public understands that? This is a monstrous lie, all and sundry know that, yet the media and the powers behind government perpetuate that lie cloaked in propaganda.

As a results of such prevarication gold and silver hit new highs. That has of course brought a barrage of sell recommendations from the regular suspects on CNBC, CNN and Bloomberg, along with the comments of silver mania, bubble, etc. What is worse though are the 96% of newsletter writers who have been consistently wrong for the past five years. It is sell, sell and switch to gold. The coin dealers go right along with the program for profit of course. What a woeful gaggle of dunces and opportunists.

The public doesn’t believe the Fed inflationary lie nor do professionals believe a weak dollar is good for the economy. For Bernanke to even allude to higher official interest rates is laughable. These same “expert”’ observers go right along with the perpetuation of what the Fed has done for a century and that is rob the public blind. Very few want to return monetary policy to the Treasury and perhaps honest transparent policies, that put the American people first, not Fed shareholders.

As we said three years ago, the Fed will expand money and credit until it cannot any more and then they’ll have a new world war to eliminate population and distract the public’s attention away from social, financial and economic chaos.

Right now the big push is to sell silver to buy gold based on the gold-silver ratio. We have been in the markets for 52 years and that ratio has never worked. All the traders who listen to this foolishness will end up last in line. Jackrabbit trading is for losers, we know we were traders for 25 years.

What does not seem to be self-evident among investors and others in that the same group controls Treasury and the Fed. They do what they feel like doing and the media, which they own and control, does exactly as they are told. Writers and commentators say we need more rules to control the Fed. What we need is an end to the Fed, but these weak willed characters refuse to say that because they do not want the wrath of the elitists down on them. What a scurrilous group. There are not going to heavy new rules, because the people who control the Fed have purchased 95% of congress and the judiciary. There has to be violent and radical change and unfortunately there is only one way that can come about.

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Will gold, silver prices plunge?

Gold has been on a bulllish rally for the last two years. Silver has been following gold and has in fact outperformed the yellow metal. Where is gold price heading? Is there any chance that gold and silver prices would plunge in the near future?

A new report prepared by goldcore.com says that gold and silver prices are undre pressure these days. The main reason why precious metals prices are getting challenged is on account of the prospect of the interest rate hike in the US and European Union.

According to the report, gold’s two consecutive days of nominal record highs have seen some profit taking as oil is flat, the dollar is marginally higher and the euro has fallen. The ECB’s 0.25 % interest rate hike may lead to further profit taking today but rising interest rates in an increasingly inflationary environment will be positive for gold as it was from 1965 to 1981.

“It is only when real interest rates turn positive (nominal interest rates are again above the nominal rate of inflation) that gold and silver’s secular bull markets may be challenged. Inflation in the eurozone is 2.6%. Today’s interest rate rise will leave eurozone interest rates at 1.25% well below the 2.6% rate of inflation meaning that savers continue to lose out due to very low yielding deposits,” it says.

Similarly in the US, the cost of consumer goods and services has climbed 2.1% (as measured by the CPI) over the past year while Ben Bernanke has kept interest rates at 0% for over two years now.

These inflation numbers are official government statistics and are subject to hedonic and other peculiar statistical adjustments which underestimate the real rate of inflation as being experienced by the public who are feeling the pinch from rising food, energy, insurance, healthcare and other costs.

Negative real interest rates will likely lead to precious metal prices continuing to rise or rather very low yielding fiat currencies falling in value versus non yielding finite gold. Rising interest rates are bullish for gold also as they may see the primary asset classes of equities, bonds and property come under pressure again.

The safe haven, inflation hedging, liquidity and diversification benefits of gold have never been more needed by the investment and savings public.

Here is more on the gold and silver price fluctuations from goldcore.com

Despite this need for gold as a safe haven and diversification to protect from inflation and negative real interest rates, most of the non financial media has ignored and barely reported gold’s record nominal highs in recent days. Despite, incredibly uncertain geopolitical and macroeconomic conditions facing people internationally.

In the same way that sections of the media ignored and downplayed the risk posed by debt, derivatives and property bubbles prior to the subprime debt crisis and bursting of various property bubbles, so today the monetary and macroeconomic risks and the risks posed by inflation to the public and our economies are being downplayed and largely ignored.

What little coverage there is of gold, continues to often be slightly biased with negative terminology such as “gold hits new peak”, “gold peaked today”, “investors piled into gold”, “investors flock to gold” and “speculators hoard gold”. All of which are factually inaccurate and misleading..Headlines regarding “gold peaking” have abounded since gold rose above $700/oz. Given our inability to forecast the future movement of any asset it is always best not to predict if something has ‘peaked’ – especially in a headline.

Also, many journalists continue to fail to report the important fact that the record highs are nominal highs and that adjusted for the significant inflation of the last 31 years, gold remains well below its inflation adjusted high of $2,400/oz.

The primary indicators of investment demand for gold – the Commitment of Traders (COT) data and Total Gold ETF Holdings continue to clearly show that little or no one is “piling into” gold – not even the speculators.

It is interesting that such negative terminology is rarely used with regard to equities and bonds – especially as bonds are likely the largest bubble in the world today.

When the non financial press cover gold they often quote bankers, stock brokers, CFD providers and other financial service providers warning about gold and suggesting gold is a bubble and is risky. It is interesting that these same individuals never advised their clients to own gold but now they believe they are experts on the gold market and can advise people not to buy or to sell.

Instead of urging diversification, they give simplistic reasons as to why gold may or “will fall”. Diversification is what they should have been advising for years and their clients would be in a far better position if they had.

Since gold rose above $800/oz in 2007 there have been umpteen definitive statements that gold was in a “speculative” bubble and would fall. If I had an ounce of gold for every time I have heard such “experts” warn regarding gold being a bubble, I would be rich as Croesus.

To be fair, it is likely that part of the reason for the very limited coverage and somewhat negative treatment of gold is that some journalists and editors genuinely believe that gold is a speculative bubble. They may be being cautious after the experience of recent bubbles when much of the media failed to warn regarding, and indeed cheer led, recent equity and property bubbles.

They are right to be cautious in this regard. At the same time, they have a duty to report all of the facts in a non biased manner and to offer a plurality of opinion regarding all markets – including the gold market. Focusing on any one asset class and ignoring others is a failure to report the markets.
Lack of knowledge regarding financial markets, investments and savings is detrimental to the wealth of individuals, families and nations. In the coming years many will look back at the lack of and biased coverage of the gold market and wonder as to how it could have been so biased and myopic.

US Elections, Global Banking, Nuclear Weapons and Democracy

 

SUPERPOWER: Feature Documentary

Order from Global Research
– 2010-10-21
 
THE GLOBAL ECONOMIC CRISIS.

The Great Depression of the XXI Century
– by Michel Chossudovsky, Andrew Gavin Marshall – 2010-10-20
 
America´s Shadow Class War and the 2010 Elections. The Rich are Getting Richer.

– by E.J. Dionne Jr. – 2010-10-12
 
  Inside the Global Banking Intelligence Complex, BCCI Operations

Part II
– by David DeGraw – 2010-10-12
 
  No International Justice for Congo. UN Coverup of War Crimes

– by Ann Garrison – 2010-10-12
 
  Britain: Frog Numbers Plummet 80% as Virus Decimates Adult Population

– 2010-10-12
 
  Nuclear Weapons and the Survival of the Homo Sapiens (Part II)

Michel Chossudovsky’s presentation at the University of Havana
– by Fidel Castro Ruz – 2010-10-12
 
  Bolivia: ‘Never Before Have We Seen Such Changes’

– by Alina Canaviri Sullcani – 2010-10-12
 
  Judge Bars Torture Evidence in Ex-Guantánamo Detainee Trial

– by Bill Van Auken – 2010-10-12
 
U.S. Threat to Attack Iran with Nukes is “Criminal”

– by Sherwood Ross – 2010-10-11
 
The Top Censored Stories From 2009-2010

– by Project Censored – 2010-10-11
 
  America’s “Afghan Trap” Enters 10th Year

– by Robert Bridge – 2010-10-11
 
Foreclose This: There’s More Than Robo Signatures To Blame For The Ongoing Foreclosure Scandal

– by Danny Schechter – 2010-10-11
 
  Israel’s Other ‘Peace’ Plan. Arm-Twisting Obama

– by Jonathan Cook – 2010-10-11
 
  Who Controls “Big Money”? The Barclay’s Octopus

– by Matthias Chang – 2010-10-11
 
Reports Expose White House Cover-up of BP spill

– by Tom Eley – 2010-10-11
 
  Over 60 Percent of Afghans Suffer Mental Health Problems

– 2010-10-11
 
  Argentina Protests UK Falklands Military Exercise

– 2010-10-11
 
Afghanistan: Global NATO’s First Ground War In Its Tenth Year

– by Rick Rozoff – 2010-10-11
 
Invasive Cyber Technologies and Internet Privacy: Big Brother is only a “Ping” or Mouse Click Away

– by Tom Burghardt – 2010-10-11
 
  Why Is Unemployment Rising?

– by Washington’s Blog – 2010-10-10
 
Does Your Food Contain Genetically Modified Organisms?

– by Rady Ananda – 2010-10-10
 
The Wealthy are Bursting from their Financial Seams: The Struggle for a Workers’ Recovery

– by Shamus Cooke – 2010-10-10
 
  Pakistani, European Officials Charge US Manufactured Terror Scare

– by Robert Stevens – 2010-10-10
 
The Ecuadorian Coup: Its Larger Meaning

– by James Petras – 2010-10-10
 
  The Afghan War, Past and Present

– by FAIR – 2010-10-09
 
  US Banks Fake Documents to Rush Foreclosures

– by Tom Eley – 2010-10-09
 
  The US Economy is Faltering. An Inflationary Depression is in Progress

– by Bob Chapman – 2010-10-09
 
  Impasse of US-NATO Military Adventure: Coalition loses 150 Tankers in Pakistan

– by Syed Moazzam Hashmi – 2010-10-09
 
The Nightmare: The Iraq Invasion’s Atrocities, Unearthing the Unthinkable

– by Felicity Arbuthnot – 2010-10-09
 
  The Financial Crisis Continues to Take its Toll. The Burden That Haunts Obama

– by Danny Schechter – 2010-10-09
 
Elections in Brazil: US Covert Intelligence Operations in Support of “Democracy”

– by Nil Nikandrov – 2010-10-09
 
Side-by-Side Gaza Flotilla Timeline Report

– by Friends of Charities Association (FOCA), International Bureau of Humanitarian NGOs (IBH) – 2010-10-09
 
Pentagon Partners With NATO To Create Global Cyber Warfare System

– by Rick Rozoff – 2010-10-09
 
Nuclear Weapons and the Survival of the Homo Sapiens

– by Fidel Castro Ruz – 2010-10-08
 
  Cuban 5: 34 Years of Impunity

– 2010-10-08
 
  The Rwandan Genocide: Revenge Tragedy

– by John Laughland – 2010-10-08
 
  US and Japanese Air Forces Target North Korea

Misawa American Base Town in Northern Japan
– by Saito Mitsumasa – 2010-10-08
 
Corporate Cash Floods US Congressional Elections

– by Patrick Martin – 2010-10-08
 
  October 7: Ten Years of War in Afghanistan. Obama Should End the War or He Will Pay a Heavy Political Price

– by Kevin Zeese – 2010-10-08
 
  America’s Third World Economy

– by Paul Craig Roberts – 2010-10-08
 
Fraud in Home Mortgages: “ForeclosureGate” and Obama’s “Pocket Veto”

– by Ellen Brown – 2010-10-08
 
IMF Calls for Huge New Round of Bank Bailouts

– by Washington’s Blog – 2010-10-08
 
  Afghanistan: 57 NATO Tankers Set Ablaze in Fresh Assaults

– 2010-10-08
 
The Rights of America´s Veterans: Protests of Bonus Army ¨Were Not In Vain; Their Effort Led To The GI Bill of Rights

– by Sherwood Ross – 2010-10-08
 
What’s Behind the One Nation Rally

– by Jack A. Smith – 2010-10-08
 
Media Disinformation: Washington´s “Regime Change Hit List”: Iran versus Honduras

Part 1
– by Edward S. Herman, David Peterson – 2010-10-07
 
Political Terminologies and “Terrorism”

Newt Gingrich’s ‘Terrorism’
– by Ramzy Baroud – 2010-10-07
 
  Is America Under Attack? … Or Are the Barbarians Inside the Gates?

– by Washington’s Blog – 2010-10-07
 
Lieberman Speaks for All of Israel. The dangers of ‘recognition’

– by Jonathan Cook – 2010-10-07
 
VIDEO: Hungary Struggles to Stem Toxic Sludge

Breaking News on GRTV
– 2010-10-06
 
Neoliberalism in South Africa: Dead in the Water

Development Goals Will Not Be Met
– by Prof. Patrick Bond – 2010-10-06
 
Financial Toxic Waste Continues to Unravel. Loan Assets “Created Out of Thin Air”

The Circumvention of Basel Accord Capital
– by Matthias Chang – 2010-10-06
 
  Supply Blockade Enters 7th Day as NATO Tankers Sabotaged Once Again

– by Syed Moazzam Hashmi – 2010-10-06
 
  Nine Years of US Presence in Afghanistan: What Next?

– by Boris Volkhonsky – 2010-10-06
 
U.S. And NATO To Wage 15-Year War In Afghanistan And Pakistan

– by Rick Rozoff – 2010-10-06
 
  The China-Japan Conflict: The Senkaku/Diaoyutai Islands Clash

– by Tanaka Sakai – 2010-10-06
 
Washington´s Fear Campaign: US Issues Terror Alert for European Cities

– by Patrick Martin – 2010-10-06
 
The Criminality of Nuclear Deterrence. The World is at the Precipice of another World War

– by Prof. Francis A. Boyle – 2010-10-06
 
Yemen: The Covert Apparatus of the American Empire

– by Andrew Gavin Marshall – 2010-10-05
The American Empire in the Gulf of Aden and Africa
Evidence Refutes BP’s and Fed’s Deceptions

– by Dahr Jamail, Erika Blumenfeld – 2010-10-05
 
Yugoslavia’s US Sponsored “Democratic Revolution”: Nice Guys Finish Last

– by Diana Johnstone – 2010-10-05
 
  How the CIA Ran a Secret Army of 3,000 Assassins

– by Julius Cavendish – 2010-10-05
 
Globalism Destroys America’s Middle Class

Record income gap between rich and poor
– by Dr. Jerome Corsi – 2010-10-05
 
Reclaiming Rationality and Scientific Method

The Life-Coherence Principle as Global System Imperative
– by John McMurtry – 2010-10-05
 
  Karzai: ‘US Not After Terrorists in Afghanistan’

– 2010-10-05
 
  Neoliberalism in Australia: Government Introduces Savage Spending Cuts

– by Patrick O’Connor – 2010-10-05
 
  Russia Increases Combat Capabilities in Arctic

– 2010-10-05
 
Ecuador Coup Attempt Engineered by the CIA

– by Nil Nikandrov – 2010-10-05
 
Obama’s Cave-In To Israel

– by Jonathan Cook – 2010-10-05
 
The Protest Movement. Financial Fraud in Iceland

– by Rady Ananda – 2010-10-05
 
  U.S. Economic, Political and Military Expansion in the Asia-Pacific Region

– by Dana Gabriel – 2010-10-05
 
Crypto Wars! Obama Wants New Law to Wiretap the Internet

– by Tom Burghardt – 2010-10-04
 
We’re In a Global Currency War … But What Does It Mean?

– by Washington’s Blog – 2010-10-04
 
  Global Currency Wars and the Police State

Selected Articles
– 2010-10-04
 
  “We Demand Change in America”: The Real Significance of the One Nation Rally

– by Shamus Cooke – 2010-10-04
 
Venezuela: Left wins, but Right Makes Gains

– by Federico Fuentes – 2010-10-04
 
  Marching on Washington: The Joy of Victory and the Agony of Defeat as my Feet Hurt and Heart Ached

– by Danny Schechter – 2010-10-04
 
Economic Shock Therapy for Wall Street: Mortgage Lenders Could Soon be Falling like Dominos

JP Morgan suspends 56,000 foreclosures, GMAC and BOA
– by Ellen Brown – 2010-10-03
 
  Workers Rights and the Economic Crisis: Striking in a Time of Austerity

– by Scott Neigh – 2010-10-03
 
US Sponsored “Civil War” in Colombia: Piedad Córdoba and Her Fight for Peace

– by Fidel Castro Ruz – 2010-10-03
 
Obama’s Congo Moment: Genocide, the U.N. Report and Senate Bill 2125

– by Ann Garrison – 2010-10-03
 
  VIDEO: China Labour Strikes Gain Momentum

Despite ban, workers seeking more rights step up strikes across the country.
– by Steve Chao – 2010-10-03
 
  11 US Soldiers Killed in Philippine Anti-Terror Campaign Since 2002

– 2010-10-03
 
  Volcker: “The Financial System is Broken” and “the Mortgage Market Has Become a Subsidiary of the U.S. Government”

– by Washington’s Blog – 2010-10-03
 
What Classless Society? The Growing Rich-poor Gap in “Classless” America

Top 10% controls 96% of the wealth
– by Jack A. Smith – 2010-10-03
 
In Struggle With The American Mind

– by William Blum – 2010-10-02
 
  Crisis of US Monetary Policy: Quantitative Easing Doesn’t Work

Bernanke Knew This Back in 1988
– by Washington’s Blog – 2010-10-02
 
America’s Food Chain: The Crisis, the Attack, the Kill

The S-510 Legislation Spells Disaster
– by Rady Ananda – 2010-10-02
 
Towards an Inflationary Depression in America

– by Bob Chapman – 2010-10-02
 
Victim of FBI Raid Speaks Out

– by Tom Eley – 2010-10-02
 
  US House Passes Anti-China Trade War Bill

– by Barry Grey – 2010-10-01
 
  Turkey and Russia Defy America’s Imperial Design in the Middle East and Central Asia

– by Eric Walberg – 2010-10-01
 
“Underground” Group of Cadets Say Air Force Academy Controlled by Evangelicals

– by Mike Ludwig – 2010-10-01
 
  Scientists: 40 Times More Cancer-Causing Toxics in Gulf than Before Spill … Dispersants to Blame

– by Washington’s Blog – 2010-10-01
 
  Farewell to Arms: Jenny, Iraq and the Next War

– by Ramzy Baroud – 2010-10-01
 
Baltic States: Pentagon’s Training Grounds For Afghan and Future Wars

– by Rick Rozoff – 2010-10-01
 
Deceptions, A brilliant Clarion to save the Internet

Review of Chris Pratt’s film
– by Rady Ananda – 2010-10-01
 
  Ecuador: A third US sponsored coup d’etat against a member state of the Bolivarian Alliance of the Americas (ALBA)

– by Eva Golinger – 2010-10-01
 
  Ecuador: Wounded President denounces Coup

Chile’s Ghosts Are Not Being Rescued

The rescue of 33 miners in Chile is an extraordinary drama filled with pathos and heroism. It is also a media windfall for the Chilean government, whose every beneficence is recorded by a forest of cameras. One cannot fail to be impressed. However, like all great media events, it is a facade.

The accident that trapped the miners is not unusual in Chile and is the inevitable consequence of a ruthless economic system that has barely changed since the dictatorship of Gen. Augusto Pinochet. Copper is Chile’s gold, and the frequency of mining disasters keeps pace with prices and profits. There are, on average, 39 fatal accidents every year in Chile’s privatized mines. The San Jose mine, where the trapped men work, became so unsafe in 2007 it had to be closed – but not for long. On 30 July last, a labor department report warned again of “serious safety deficiencies,” but the minister took no action. Six days later, the men were entombed.

For all the media circus at the rescue site, contemporary Chile is a country of the unspoken. At the Villa Grimaldi, in the suburbs of the capital Santiago, a sign says: “The forgotten past is full of memory.” This was the torture center where hundreds of people were murdered and disappeared for opposing the fascism that General Pinochet and his business allies brought to Chile. Its ghostly presence is overseen by the beauty of the Andes, and the man who unlocks the gate used to live nearby and remembers the screams.

I was taken there one wintry morning in 2006 by Sara De Witt, who was imprisoned as a student activist and now lives in London. She was electrocuted and beaten, yet survived. Later, we drove to the home of Salvador Allende, the great democrat and reformer who perished when Pinochet seized power on 11 September 1973 – Latin America’s own 9/11. His house is a silent white building without a sign or a plaque.

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Everywhere, it seems, Allende’s name has been eliminated. Only in the lone memorial in the cemetery are the words engraved “Presidente de la Republica” as part of a remembrance of the “ejecutados Politicos”: those “executed for political reasons.” Allende died by his own hand while Pinochet bombed the presidential palace with British planes as the American ambassador watched.

Today, Chile is a democracy, though many would dispute that, notably those in the barrios forced to scavenge for food and steal electricity. In 1990, Pinochet bequeathed a constitutionally compromised system as a condition of his retirement and the military’s withdrawal to the political shadows. This ensures that the broadly reformist parties, known as Concertacion, are permanently divided or drawn into legitimizing the economic designs of the heirs of the dictator. At the last election, the right-wing Coalition for Change, the creation of Pinochet’s ideologue Jaime Guzman, took power under President Sebastian Piñera. The bloody extinction of true democracy that began with the death of Allende was, by stealth, complete.

Piñera is a billionaire who controls a slice of the mining, energy and retail industries. He made his fortune in the aftermath of Pinochet’s coup and during the free-market “experiments” of the zealots from the University of Chicago, known as the Chicago Boys. His brother and former business partner, Jose Piñera, a labor minister under Pinochet, privatized mining and state pensions and all but destroyed the trade unions. This was applauded in Washington as an “economic miracle,” a model of the new cult of neoliberalism that would sweep the continent and ensure control from the north.

Today. Chile is critical to President Barack Obama’s rollback of the independent democracies in Ecuador, Bolivia and Venezuela. Piñera’s closest ally is Washington’s main man, Juan Manuel Santos, the new president of Colombia, home to seven US bases and an infamous human rights record familiar to Chileans who suffered under Pinochet’s terror.

Post-Pinochet Chile has kept its own enduring abuses in shadow. The families still attempting to recover from the torture or disappearance of a loved one bear the prejudice of the state and employers. Those not silent are the Mapuche people, the only indigenous nation the Spanish conquistadors could not defeat. In the late 19th century, the European settlers of an independent Chile waged their racist War of Extermination against the Mapuche who were left as impoverished outsiders. During Allende’s thousand days in power, this began to change. Some Mapuche lands were returned and a debt of justice was recognized.

Since then, a vicious, largely unreported war has been waged against the Mapuche. Forestry corporations have been allowed to take their land, and their resistance has been met with murders, disappearances and arbitrary prosecutions under “anti terrorism” laws enacted by the dictatorship. In their campaigns of civil disobedience, none of the Mapuche has harmed anyone. The mere accusation of a landowner or businessman that the Mapuche “might” trespass on their own ancestral lands is often enough for the police to charge them with offenses that lead to Kafkaesque trials with faceless witnesses and prison sentences of up to 20 years. They are, in effect, political prisoners.

While the world rejoices at the spectacle of the miners’ rescue, 38 Mapuche hunger strikers have not been news. They are demanding an end to the Pinochet laws used against them, such as “terrorist arson,” and the justice of a real democracy. On 9 October, all but one of the hunger strikers ended their protest after 90 days without food. A young Mapuche, Luis Marileo, says he will go on. On 18 October, President Piñera is due to give a lecture on “current events” at the London School of Economics. He should be reminded of their ordeal and why.

President Chavez ratifies denouncement of economic conspiracy against Bolivarian revolution

Caracas, May 13. ABN.- The President of Venezuela Hugo Chavez ratified that there is a, local and international, economic conspiracy against the Bolivarian revolution with a political purpose, aimed at promoting speculation in both transactions with the U.S. currency and consumer goods.

The denunciation was made by the Head of State during the inauguration act of the Bolivarian National Police Training Center in Caracas.

“Who are behind all this’ Big capitalist people, Venezuelan and foreigners, big companies; because, there is an economic conspiracy against the revolution to generate more inflation, shortages, and people’s displeasure.”

Chavez explained that he requested for support to the General Attorney Office, the National Bolivarian Intelligence System and any other investigation organ of the State to counter the speculation promoted by some financial sectors with the currency, trying to put pressure on parallel dollar exchange rates.

Likewise, he underscored that the Government is currently investigating some people that are bringing dollars to the country to promote the parallel market.

The Venezuelan President explained that these destabilizing actions belong to a political plan of Venezuela’s bourgeoisie as to win the parliamentarian elections next September.

“They will fail, but that is the plan: create shortages, economic problems, increase crime rates, because a great part of the crime in Venezuela has a political seal, are just induced crimes,” he stated.

Moreover, Chavez pointed out that these economic systems in which banks and stock houses take part, have some mechanisms and ways to make business that are unknown by most of the people.

Chavez strengthens socialist distribution networks and declares war against speculation

Chavez strengthens socialist distribution networks and declares war against speculation

Caracas, May 16. ABN.- The President of Venezuela Hugo Chavez declared the war against speculation and organized crime that want to destabilize the Venezuelan Government and its Bolivarian process. Likewise, he informed about the new institutions created that will join the food production and distribution system.

Putting in practice the socialist policies that will help the country to move towards the consolidation of food sovereignty, the President Chavez informed the people the last measures adopted by his Administration against speculation and the next works under construction for people’s welfare, during his weekly TV and radio program “Alo, Presidente.”

Fighting against speculation and building the socialism

In the framework of the fight against speculation and working for a price reduction of food products, the President of Venezuela inaugurated the supermarket Supermercal General Jose Laurencio Silva, which belongs to the food networks expansion plan in the country.

This food distribution center is the second largest of the governmental food network Mercal in the country.

Furthermore, the Venezuelan Head of State commented on the efforts done by the Bolivarian Government to recover the production capacity in the country, fight against speculation, and move forward towards the industrial development of the country.

In this regard, on Sunday, eighty communal mini-Mercal stores were inaugurated nationwide.

Chavez pointed out that in each state communal representatives received their food distribution competence certificate. These people will be in charge of distributing and selling basic-needs basket products in their regions.

In this regard, the Venezuelan President made them a call to multiply the small production units that can be found near the mini-Mercal stores and invited mayors and ministers to work on it.

Moreover, he emphasized that family “backyard” agriculture must be promoted. In this sense, he commented that his Government will resume a project with Brazil, where 70 percent of the agricultural production comes that way.

Afterwards, Chavez highlighted that the governmental food network Mercal sells products up to 60 percent under their regulated price, which contributes with people money saving and a better distribution of the resources among population.

During Chavez’s weekly, the first Social Supply Unit at the Commune Construccion Panal 2021 was also inaugurated. This communal supply center will sell products from the Venezuelan Food Corporation, CVA, and vegetables produced by farmers that have been supported by governmental policies.

President Chavez explained that in addition to the creation of new food distribution centers, the State will keep fighting against inflation and the indiscriminate rise of prices; therefore, he made a call to companies in the country to obey Venezuelan Laws.

He added that recent expropriations are aimed at fighting against the speculation, and making people to have access to basic food products. For instance, the expropriation of the company Molinos Nacionales (Monaca), will give the Government the capacity to process 45 percent of the corn consumed in the country, as well as to lower food costs.

Towards industrial sovereignty with China’s cooperation

The Head of State made reference to the meeting held with a top-level commission from China on Saturday night, aimed at looking over the work agenda for Asian investment in Venezuela to improve basic industries in the country.

The Venezuelan President commented that the Chinese delegation made a tour by the raw materials companies in Venezuela and they were amazed of seeing huge mountains of iron and such a large reserve.

Water for everybody

Moreover, Chavez informed that he approved the allocation of more than 1.3 billion bolivares ($500 million) to guarantee drinkable water for Venezuelans.

“This revolution has to guarantee drinkable water for the entire Venezuelan people, but not a guarantee for today only (…) We are assuring to have water for the next 20 years,” Chavez said.

In this regard, he underscored that previous capitalist governments privatized the drinkable water “and rich people filled up their pools and washed their cars with it.”

Land recovery continues

In the framework of the fight against workers exploitation, the President made a telephone contact during the program with the President of the national land institute Juan Carlos Loyo, who talked about the progress achieved after 14 days a land was recovered by the Government.

According to Loyo, daily milk production in that place has been doubled after two weeks thanks to the rescue plan implemented by his institute, from 100 to 200 liters. In addition, expert technicians are executing a recovery project to safe the coffee production that was hardly affected by plague.

Chavez underscored that with the nationalization of this large-estate the State will give a better use of these lands.

Law Against Illicit Exchange Transaction comes into force

The President of Venezuela took advantage of the opportunity to sign the reform to the Law Against Illicit Exchange Transactions, passed by the National Assembly, and he urged population to denounce people that offer dollars at a different price of the one established by the Government.

The Law was reformed to face speculation with the exchange of dollars, bring to justice “dollar’s speculators,” and leave under Venezuelan Central Bank control any transaction done through exchange bonds, which were previously negotiated by the entire financial system.

Chavez reiterated his call to denounce people offering dollars at a different price through the phone numbers that he has published in his Tweeter account: @chavezcandanga. He informed that, to date, diverse raids have been done thanks to denouncements made by the people through the social network.

Inauguration of works for people’s benefit

At the end of his Sunday’s program, Chavez informed that he will inaugurate and supervise diverse works aimed at improving Venezuelan’s quality of life.

On Monday he will deal with the just reformed Law Against Illicit Exchange Transactions. On Tuesday, he will meet with the board of the United Socialist Party of Venezuela (PSUV) to appoint the National Campaign Command for the next parliamentarian election to be held on September 26.

On Wednesday, Chavez will preside over a ceremony to grant credits from the Bicentenary Fund to a group of small and micro companies to continue strengthening national production.

On Thursday, he will supervise some public works under construction, such as the railway system and he will inaugurate more health units at the Maternity Hospital Concepcion Palacios in Caracas, in the framework of the governmental maternity program Mision Niño Jesus.

On Friday, Chavez will inaugurate the new cellphone factory Orinoquia, which will produce mobiles with Chinese technology.

Venezuela reduces extreme poverty by 70 percent

Caracas, May 18. ABN.- Between 1990 and 2009, the Bolivarian Republic of Venezuela reduced in more than 70 percent the number of people living in extreme poverty, as well as the Rates of Prevalence of Malnutrition, which was reduced from 11 to 6 percent, that is to say, a reduction close to 50 percent.

The information was given by Isabel Iturria, Vice-minister of Health Resources of the Ministry of People’s Power for Health and President of the Latin American Children’s Cardiology Hospital, during the 63rd World Health Assembly organized by the United Nations in Geneva, Switzerland.

Iturria said that Venezuela has been working on the reduction of social gaps and inequalities, assuming health as a human and constitutional right and not as a merchandise, as done by the capitalist model.

In this regard, the health vice-minister assured that the current world financial crisis and climate change are absolute evidences of the failure of said model, and also that Southern countries are the most affected by its terrible consequences.

Iturria stated that since 1998, the Venezuelan State offers free medical attention to the 100 percent of the people affected by HIV/AIDS, including the supply of the antiretrovirals (ARV). In addition, the mortality rate due to tuberculosis was reduced 39 percent, that is, 2.15 for every 100,000 inhabitants.

Another achievement reached by the Bolivarian Government is the reduction by 81 percent of the people without access to drinkable water and the lack of access to sewerages was reduced by 67 percent.

Regarding the health system, the Venezuelan representative underscored that with the governmental program Mision Barrio Adentro that was created in 2003, the Government has guaranteed free access for everybody to an integral health care system, benefiting the entire population. In the last seven years, the number of facilities have increased from 4,804 to 11,915, which represents an increase of 248 percent.

Iturria also mentioned the construction of the Latin American Children’s Cardiology Hospital that has offered free medical attention on cardiovascular surgeries, hemodynamics and electrophysiology to more than 4,000 children. This is 1,418 percent more than the attention given to children in these areas in 1998.

In Venezuela, about 5,000 opthalmology surgeries were carried out per year; however, since the Government implemented the program Mision Milagro, 1,104,150 surgeries have been carried out in 6 years, including 333,710 foreign patients, which shows Venezuela’s solidarity in the framework of the South-South cooperation.

Iturria concluded saying: “The achievements of the Revolutionary Government of President Hugo Chavez, demonstrate that the Millennium Development Goals can be reached if there are radical changes on the development model, based on the essential principles of justice, equity and solidarity.

The current challenge for the Revolution consists on deepening these principles to consolidate in our country the Bolivarian and humanist socialism that was democratically chose by Venezuelans.”