Cheney ‘interfered directly’ to get terror plea bargain

Vice President Dick Cheney cut a deal with the prime minister of Australia to orchestrate a plea bargain with an Australian terror suspect that would keep him out of sight until after Australia’s national elections next month, an Australian television station reported. Cheney “interfered directly” to secure Guantanamo Bay detainee David Hicks’ guilty plea to […]

The Rise of the Have-Nots

The American middle class has toppled into a world of temporary employment, jobs without benefits, and retirement without security. Harold Meyerson | September 28, 2007 | Last week over lunch, a friend in his 30s prodded me to explain how my generation, the boomers, had botched so many things. While not exactly conceding that we […]

Asia’s biggest state-owned investment company opens

China Investment Corp., the nation’s US$200 billion ($246 billion) sovereign wealth fund, has started operations as the Government seeks to boost returns on the world’s biggest foreign-exchange reserves. The investment agency will come under the direct supervision of the nation’s cabinet, the State Council. Lou Jiwei, former vice finance minister, will act as director and […]

Credit Fuelled US Economy Becoming Like Soviet Union

Posted by Bill Bonner on Sep 28th, 2007 Now we’ve finally figured it out. We were sitting in a pub, listening to a crazy woman. All of a sudden, it was clear…what went wrong with the US economy, we mean.The dollar has dropped so low that America is becoming a shopping paradise for foreigners. Of […]

Credit Crisis Worse Than Long-Term Capital Management Collapse in ’98

Posted by Marc Faber on Sep 20th, 2007 Unlike all the Wall Street strategists who compare the current credit crisis to the credit crisis of 1998 (Long Term Capital Management), I believe that the ongoing credit problems will be far worse and of a longer-term nature. This will make it difficult for the market to […]

CREDIT WRAPUP-Credit fears spread, Australia quashes rumours

By Ian Chua HONG KONG, Sept 18 (Reuters) – Credit fears flared in Asia on Tuesday prompting Australia’s central bank to quash speculation that one or more regional banks had asked for emergency funding, a day after savers rushed to withdraw deposits from a British lender. Japan’s finance minister provided soothing words to investors, saying […]

Failing banks, toxic bonds and mortgage laundering

The Triumph of Structured Finance By Mike Whitney  The entire global financial structure is becoming uncontrollable in crucial ways that its nominal leaders never expected, and instability is its hallmark. The scope and operation of international financial markets, their “architecture”, as establishment experts describe it, has evolved haphazardly and its regulation is inefficient — indeed, […]

Greenspan on 60 Minutes: It was all Bush’s fault

By Mike Whitney 09/17/07 “ICH” — – Alan Greenspan’s appearance on 60 Minutes was preceded with all the pomp and ceremony of a royal wedding. The public relations blitz dragged out for a whole week. What profound truisms would the elusive former-fed master divulge to the News Magazine’s withered-coquette, Leslie Stahl? Would he produce his […]

Fed to meet for US rate decision

The Federal Reserve is preparing to meet to decide whether US interest rates should be reduced from 5.25%. Most analysts believe the Fed will cut rates to try and prevent a housing market downturn and the credit crunch from severely denting the economy. By making money cheaper to borrow, people would spend and invest more, […]

Credit crisis: Meltdown!

In the past 100 years, the rollercoaster ride that is the world of high finance has seen some spectacular lows. Sean O’Grady looks back at four episodes that not only came to define their times but also served as lessons for the future Published: 15 September 2007 1907: The Bankers’ Panic Sometimes, all that is necessary […]

Bank of England in dramatic intervention

 Northern Rock forced to seek emergency funding · Savers are assured that their money is secure Ashley Seager Friday September 14, 2007 The Guardian The Bank of England was last night forced to hand emergency funding to one of Britain’s biggest mortgage providers – Northern Rock – as it became the first major financial institution […]

Leading article: A crisis that spread from Wall Street to the high street

Published: 13 September 2007   Have we reached the moment when the contagion in the rarefied world of the credit markets finally begins to infect the real economy? This week two well-known fashion retailers, French Connection and Next, warned that trading conditions are likely to become a lot more difficult in the coming months. And yesterday, […]

Economic Crisis: The U.S. Political Leadership Has Failed

by Richard C. Cook Global Research, September 12, 2007 As the 2007 economic collapse picks up speed, it’s time to take a hard look at the performance of the U.S. national political leadership in meeting some of their most fundamental responsibilities. It’s time to face the fact of serious failure over the last quarter century. […]

US, NZ ‘on a date’ for free trade pact

By Audrey Young  Richard Armitage Former US Deputy Secretary of State Richard Armitage likens US relations with New Zealand at present to “dating”. “It’s just like dating. I think we are on a date now,” he said at the second US-NZ Partnership Forum in Auckland, which finished yesterday. “We’re going to see if this works.” […]

Is Eating Local the Best Choice?

Those who say eating local is not always the best choice for the planet are forgetting one very important part of the equation: community. Some 30 years ago NASA came up with another BIG idea. Assemble vast solar electric arrays in space and beam the energy to earth. The environmental community did not dismiss NASA’s […]

China denies role in NZ cyber attack

The Chinese Government denies it is involved in attempts to hack into New Zealand Government computer systems – despite strong hints that its spies’ activities had been detected. The Security Intelligence Service has confirmed that its staff detected information has been stolen and software installed to take control of computer systems. Prime Minister Helen Clark […]

Realtors Cut Forecast, Say Slump Will Extend to 2008

By Kathleen M. Howley Sept. 11 (Bloomberg) — The National Association of Realtors reduced its home sales forecast for the ninth time this year and said the housing slump will extend into 2008. Existing home sales will fall 8.6 percent in 2007, exceeding the 6.8 percent drop estimated a month ago. New-home sales probably will […]

Is China Dumping the U.S. Dollar?

« U.S. dollars change hands in Beijing, China. (STR/AFP/Getty Images) Is China Dumping the U.S. Dollar? September 10, 2007 | From theTrumpet.com Questions loom whether China is behind recent dollar sales—if it is, America’s way of life is about to change. The only question is how badly and how fast. By Robert Morley The U.S. […]

NZ Super Fund just grows and grows

By Graeme Hunt Adrian Orr says the fund is committed to ‘responsible investment’. Photo / Paul Estcourt It’s less than four years since the country’s most unusual Crown entity started investing with $2.4 billion of Government money. It received a further $7.7 billion from the state along the way and now has a fund worth […]

Nervous US investors start to fear recession

Friday’s news of a buckling United States job market sent stock investors running for the exits, and this week promises to be no less stressful as investors grapple with the increasing possibility of an economic recession. The weekend also gave investors time to reflect on news that US employers cut payrolls by 4000 jobs last […]

GAO report: Medicare not doing enough insurer audits

Private insurance companies participating in Medicare have been allowed to keep tens of millions of dollars that should have gone to consumers, and the Bush administration did not properly audit the companies or try to recover money paid in error, congressional investigators say in a new report. The investigators, from the Government Accountability Office, said […]

The Supply-Side Fraud: Republican Economics Don’t Work

By Hale Stewart, HuffingtonPost.com. Posted September 10, 2007.Supply-side economics is a great marketing concept, but in reality is a poor national policy. Tools Republicans are enamored by “supply-side” economics. Frankly, I have to admit it’s a very easy sell. Think about it. “Cutting tax rates stimulates the economy to such a high level that tax […]

Warning issued on Geneva Finance

By DAVID HARGREAVES – Fairfax Media | Tuesday, 11 September 2007Auckland-based consumer finance company Geneva Finance faces a possible future downgrade of its credit rating because of “increasing pressure” on its liquidity and funding, international credit ratings agency Standard & Poor’s said today. “We believe that there is a possibility that current financial market disruptions […]

Banks face 10-day debt timebomb

By Iain Dey, Sunday Telegraph Last Updated: 12:02am BST 10/09/2007 Britain’s biggest banks could be forced to cough up as much as £70bn over the next 10 days, as the credit crisis that has seized the global financial system sparks a fresh wave of chaos. The credit crunch is really hitting home Small businesses risk being […]

Central bankers warn housing crisis could hit whole US economy

BASEL, Switzerland (AFP) – The crisis in the US housing market risks spreading to the whole of the nation’s economy, European Central Bank chief Jean-Claude Trichet said Monday on behalf of world central bankers.Trichet was speaking in his capacity as head of the G10 group of central bankers from industrialised and emerging economies, who met […]

We’ll break US free trade barrier – Nats

National leader John Key today unveiled plans to negotiate a free trade agreement with the US, which the government is yet to succeed in doing since it came to power in 1999. National will soon release a foreign policy paper with the key objective of preparing the ground for negotiating a Free Trade Agreement (FTA) […]

American Economy: R.I.P.

Paul Craig Roberts was Assistant Secretary of the Treasury in the Reagan administration. He was Associate Editor of the Wall Street Journal editorial page and Contributing Editor of National Review. He is coauthor of The Tyranny of Good Intentions. A lifelong Republican.  By Paul Craig Roberts 09/10/07 “ICH’ — – The US economy continues its […]

Worst crisis for 20 years, say banks

LEADING bankers are warning of the worst crisis in the money markets for 20 years, which will come to a head this week when $113 billion (£57 billion) of commercial paper – market IOUs – comes up for refinancing. This huge refinancing, mainly through London, exceeds the $100 billion that became due in mid-August, and […]

Is China Dumping the U.S. Dollar?

September 10, 2007 | From theTrumpet.com Questions loom whether China is behind recent dollar sales—if it is, America’s way of life is about to change. The only question is how badly and how fast. By Robert MorleyThe U.S. dollar is standing at the edge of a cliff, and most people don’t even know it. Data […]