Jim Rickards interviewed on King World News

Jim Rickards interviewed by Eric King on King World News on the year that was and looking forward to 2011........listen here

Banks vs. Wikileaks

France's AAA Grade at Risk as Rating Cuts Spread

From Bloomberg:

France risks losing its top AAA grade as Europe’s debt crisis prompts a wave of downgrades that threatens to engulf the region’s highest-rated borrowers, with Belgium also facing a possible cut.

Moody’s Investors Service said Dec. 15 it may lower Spain’s rating, citing “substantial funding requirements,” and slashed Ireland’s rating by five levels on Dec. 17. Standard & Poor’s is reviewing its assessments of Ireland, Portugal and Greece. Costs to insure French government debt rose to a record today with the country’s credit default swaps more expensive than lower-rated securities from the Czech Republic and Chile.

“Every sovereign may get penalized in the year ahead,” said Toby Nangle, who helps oversee $46 billion as director of asset allocation at Baring Asset Management in London. “It would be a big deal if France was to have its AAA rating stripped. I don’t think the likelihood of a downgrade is reflected in the market.”........read on

Admiral: U.S. 'very ready' to counter Iran

From the Winston Salem Journal:

MANAMA, Bahrain --

Iran is trying to build a nuclear bomb, posing a threat to its neighbors, and the United States is "very ready" to counter Iran should it make a move, the top U.S. military officer said Saturday.

Adm. Mike Mullen, chairman of the Joint Chiefs of Staff, sought to reassure Persian Gulf nations nervous that an increasingly militarized government in Iran might try to start a war.

"The United States takes very seriously our security commitments in the Gulf region," Mullen said after a meeting with Bahrain's king. Bahrain, directly across the Gulf from Iran, is home to a large U.S. Navy base that would be on the front lines of any war with Iran.

"We're very ready," Mullen said, an unusually direct acknowledgment that the United States has contingency plans to counter Iran should it make a move. "There are real threats to peace and stability here, and we've made no secrets of our concerns about Iran."

In Iran, the new foreign minister — and current nuclear chief — said Saturday that he wants to build the country's relationship with Saudi Arabia and strengthen ties with Turkey, China and Russia. The latter two countries have veto power on the U.N. Security Council that could help Iran as it tries to fend off tougher sanctions.

Ali Akbar Salehi, who heads the Atomic Energy Organization of Iran, replaced longtime foreign minister Manouchehr Mottaki, who was fired Monday by President Mahmoud Ahmadinejad without public explanation.

Iran denies it is seeking a nuclear weapon, and denies U.S. claims that it sponsors terrorists.

"Concerns about Iran's nuclear program are very real and inform a lot of the decision making" among Gulf nations, said Adam Ereli, the U.S. ambassador in Bahrain.

The United States fears that if Iran masters the technical challenge of building a bomb it could set off a nuclear arms race around the Gulf.

"From my perspective I see Iran continuing on this path to develop nuclear weapons, and I believe that that development and achieving that goal would be very destabilizing to the region," Mullen said.

Brilliant Video - Protection of Self

Whilst this video is off topic it is worth watching for its passion and common sense. We can protect our wealth with bullion, but our governments leave us unable protect our lives. Would Martin Bryant have made world-wide headlines at Port Arthur if Tasmania had concealed carry laws, or would have some brave citizen nailed him in self defense of himself or herself and others?

Bond market crisis will pull stock markets down

From ArabianMoney.net:

The logical conclusion of the growing global bond market crisis seems to be missing many equity investors. This is not going to be good for stock markets either. It is the long awaited second phase of the 2008 financial crisis.

All over the world bond yields are rising and bond prices therefore falling. Even in Japan bond prices are on the move for the first time in a decade. Something big has happened and it does not get any bigger than bond markets, the true giants of global finance......read on

On The Edge - Africa is the Prize

My Grandfather, who had been a very senior Mason, told me over 30 years ago that "Africa is the Prize" and that more wars were coming over mineral resources and land, first by proxy and then amongst major players, he also often said "The Skies will be Crimson" - not sure what that means, but I suspect it was some war or biblical reference, although he did go a bit funny in the head near the end.

WikiLeaks & the Banks

Silver Facts: History of Silver

Interesting history file on silver at the Silver Institute....read here

End of Empire: 19 Facts About The Deindustrialization Of America

From Rense.com:

The United States is rapidly becoming the very first "post-industrial" nation on the globe.

All great economic empires eventually become fat and lazy and squander the great wealth that their forefathers have left them, but the pace at which America is accomplishing this is absolutely amazing. It was America that was at the forefront of the industrial revolution. It was America that showed the world how to mass produce everything from automobiles to televisions to airplanes. It was the great American manufacturing base that crushed Germany and Japan in World War II. But now we are witnessing the deindustrialization of America.

Tens of thousands of factories have left the United States in the past decade alone. Millions upon millions of manufacturing jobs have been lost in the same time period. The United States has become a nation that consumes everything in sight and yet produces increasingly little.

Do you know what our biggest export is today? Waste paper. Yes, trash is the number one thing that we ship out to the rest of the world as we voraciously blow our money on whatever the rest of the world wants to sell to us. The United States has become bloated and spoiled and our economy is now just a shadow of what it once was. Once upon a time America could literally outproduce the rest of the world combined.

Today, that is no longer true, but Americans sure do consume more than anyone else in the world. If the deindustrialization of America continues at this current pace, what possible kind of a future are we going to be leaving to our children?

Any great nation throughout history has been great at making things. So if the United States continues to allow its manufacturing base to erode at a staggering pace how in the world can the U.S. continue to consider itself to be a great nation? We have created the biggest debt bubble in the history of the world in an effort to maintain a very high standard of living, but the current state of affairs is not anywhere close to sustainable. Every single month America does into more debt and every single month America gets poorer.

So what happens when the debt bubble pops?

The deindustrialization of the United States should be a top concern for every man, woman and child in the country. But sadly, most Americans do not have any idea what is going on around them.

For people like that, take this article and print it out and hand it to them. Perhaps what they will read below will shock them badly enough to awaken them from their slumber.

The following are 19 facts about the deindustrialization of America that will blow your mind...

#1 The United States has lost approximately 42,400 factories since 2001.

#2 Dell Inc., one of America's largest manufacturers of computers, has announced plans to dramatically expand its operations in China with an investment of over $100 billion over the next decade.

#3 Dell has announced that it will be closing its last large U.S. manufacturing facility in Winston-Salem, North Carolina in November. Approximately 900 jobs will be lost.

#4 In 2008, 1.2 billion cellphones were sold worldwide. So how many of them were manufactured inside the United States? Zero.

#5 According to a new study conducted by the Economic Policy Institute, if the U.S. trade deficit with China continues to increase at its current rate, the U.S. economy will lose over half a million jobs this year alone.

#6 As of the end of July, the U.S. trade deficit with China had risen 18 percent compared to the same time period a year ago.

#7 The United States has lost a total of about 5.5 million manufacturing jobs since October 2000.

#8 According to Tax Notes, between 1999 and 2008 employment at the foreign affiliates of U.S. parent companies increased an astounding 30 percent to 10.1 million. During that exact same time period, U.S. employment at American multinational corporations declined 8 percent to 21.1 million.

#9 In 1959, manufacturing represented 28 percent of U.S. economic output. In 2008, it represented 11.5 percent.

#10 Ford Motor Company recently announced the closure of a factory that produces the Ford Ranger in St. Paul, Minnesota. Approximately 750 good paying middle class jobs are going to be lost because making Ford Rangers in Minnesota does not fit in with Ford's new "global" manufacturing strategy.

#11 As of the end of 2009, less than 12 million Americans worked in manufacturing. The last time less than 12 million Americans were employed in manufacturing was in 1941.

#12 In the United States today, consumption accounts for 70 percent of GDP. Of this 70 percent, over half is spent on services.

#13 The United States has lost a whopping 32 percent of its manufacturing jobs since the year 2000.

#14 In 2001, the United States ranked fourth in the world in per capita broadband Internet use. Today it ranks 15th.

#15 Manufacturing employment in the U.S. computer industry is actually lower in 2010 than it was in 1975.

#16 Printed circuit boards are used in tens of thousands of different products. Asia now produces 84 percent of them worldwide.

#17 The United States spends approximately $3.90 on Chinese goods for every $1 that the Chinese spend on goods from the United States.

#18 One prominent economist is projecting that the Chinese economy will be three times larger than the U.S. economy by the year 2040.

#19 The U.S. Census Bureau says that 43.6 million Americans are now living in poverty and according to them that is the highest number of poor Americans in the 51 years that records have been kept.

So, how many tens of thousands more factories do we need to lose before we do something about it?

How many millions more Americans are going to become unemployed before we all admit that we have a very, very serious problem on our hands?

How many more trillions of dollars are going to leave the country before we realize that we are losing wealth at a pace that is killing our economy?

How many once great manufacturing cities are going to become rotting war zones like Detroit before we understand that we are committing national economic suicide? The deindustrialization of America is a national crisis. It needs to be treated like one.

America is in deep, deep trouble folks. It is PAST time to wake up.