The Beginning Of The End Ad
Gold Buying Guide: Golden Eagle Coins

Recent Posts

The Preppers Blueprint Economic Collapse Blog Get Prepared Now Ad

Enter your email to subscribe to The Economic Collapse Blog:

Delivered by FeedBurner

Bam! Bam! Bam! Huge Financial Bombs Just Got Dropped All Over Europe

Share on FacebookTweet about this on TwitterPin on PinterestShare on Google+Share on LinkedInShare on StumbleUponEmail this to someone

The European debt crisis has just gone to an entirely new level.  Just when it seemed like things may be stabilizing somewhat, we get news of huge financial bombs being dropped all over Europe.  Very shortly after U.S. financial markets closed on Friday, S&P announced credit downgrades for nine European nations.  This included both France and Austria losing their cherished AAA credit ratings.  When the credit rating of a country gets slashed, that is a signal to investors that they should start demanding higher interest rates when they invest in the debt of that nation.  Over the past year it has become significantly more expensive for many European nations to borrow money, and these new credit downgrades certainly are certainly not going to help matters.  Quite a few financially troubled nations in Europe are very dependent on the ability to borrow huge piles of cheap money, and as debt becomes more expensive that is going to push many of them over the edge.    Yesterday I wrote about 22 signs that we are on the verge of a devastating global recession, and unfortunately that list just got a whole lot longer.

Over the past several months we have seen quite a few credit downgrades all over Europe, but we have never seen anything quite like what S&P just did.  Standard & Poor’s unleashed a barrage of credit downgrades on Friday….

-France was downgraded from AAA to AA+

-Austria was downgraded from AAA to AA+

-Italy was downgraded two more levels from A to BBB+

-Spain was downgraded two more levels

-Portugal was downgraded two more levels

-Cyprus was downgraded two more levels

-Malta was downgraded one level

-Slovakia was downgraded one level

-Slovenia was downgraded one level

This is really bad news for anyone that was hoping that things in Europe would start to get better.  Borrowing costs for many of these financially troubled nations are going to go even higher.

In addition, there was another really, really troubling piece of news that came out of Europe on Friday.

It was announced that negotiations between the Greek government and private holders of Greek debt have broken down.

The Institute of International Finance has been representing private bondholders in negotiations with the Greek government about the terms of a “voluntary haircut” that is supposed to be a key component of the “rescue plan” for Greece.

Greece desperately needs private bondholders to agree to accept a “voluntary haircut” of 50% or more.  Without some sort of an agreement, the finances of the Greek government will collapse very quickly.

For now, negotiations have failed.  There is hope that negotiations will resume soon, but Greece is rapidly running out of time.

The Institute of International Finance issued a statement on Friday which said the following….

“Unfortunately, despite the efforts of Greece’s leadership, the proposal put forward … which involves an unprecedented 50% nominal reduction of Greece’s sovereign bonds in private investors’ hands and up to €100 billion of debt forgiveness — has not produced a constructive consolidated response by all parties, consistent with a voluntary exchange of Greek sovereign debt”

The IIF says that negotiations are “paused for reflection” right now, but they are hoping that they will be able to resume before too long….

“Under the circumstances, discussions with Greece and the official sector are paused for reflection on the benefits of a voluntary approach”

Something needs to be done, because Greece is experiencing a complete and total financial meltdown.

Back at the end of July, the yield on one year Greek bonds was sitting at about 40 percent.  Today, the yield on one year Greek bonds is up to an astounding 396 percent.

That is how fast these things can move when confidence disappears.

Those living in the United States should keep that in mind.

Unfortunately, Greece is not the only European nation that is completely falling apart financially.

We aren’t hearing much about it in the U.S. media, but Hungary is a total basket case right now.  The credit rating of Hungary was reduced to junk status some time ago, and now the IMF and the EU are threatening to withhold financial aid from Hungary if the Hungarians do not run their country exactly as they are being told to do.

In particular, the IMF and the EU are absolutely furious that Hungary is trying to take more political control over the central bank in Hungary.  The following is from an article in the Daily Mail….

The European Union has stepped up pressure on Hungary over the country’s refusal to implement austerity policies and threatened legal action over its new constitution.

The warnings escalated the standoff between Budapest and the EU, as Hungary negotiates fresh financial aid from Europe and the International Monetary Fund.

Over the past months, the country’s credit rating has been cut to junk by all three major rating agencies, unemployment is 10.6 percent and the country may be facing a recession.

But bailout negotiations broke down after Budapest refused to cut public spending and implemented a new constitution reasserting political control over its central bank.

Slovenia is a total mess right now as well.  The following comes from a recent article posted on….

Slovenia’s borrowing costs have reached ‘bail-out territory’ after lawmakers rejected the premier-designate, putting the euro-country on the line for further downgrades by ratings agencies.

Zoran Jankovic, the mayor of Slovenia’s capital Ljubljana, fell four votes short of the 46 needed to be approved as prime minister by the parliament, with the country’s president set to re-cast his name or propose someone new within two weeks.

Some time ago, I warned that 2012 was going to be a more difficult year for the global economy than 2011 was.

Well, things are certainly starting to shape up that way.

Europe is heading for some really hard times.  What is about to happen in Europe is going to shake the entire global financial system.

Those that live in the United States should take notice, because the U.S. financial system is far more fragile than most people believe.

Our banking system is a gigantic mountain of debt, leverage and risk and it could fall again at any time.

In addition, the U.S. debt problem is bigger than it has ever been before.

For example, did you know that the federal government is on a pace to borrow 6.2 trillion dollars by the end of Obama’s first term in office?

That is more debt than the U.S. government accumulated from the time that George Washington became president to the time that George W. Bush became president.

For now the U.S. government is still able to borrow giant piles of super cheap money, but such a situation does not last forever.

Just ask Greece.

Already there are indications that foreigners are starting to dump large amounts of U.S. debt.  If this trickle becomes a flood things could become very bad for the United States very quickly.

We are on the verge of some very bad things.  The kinds of “financial bombs” that we saw dropped today are going to become much more frequent.  As governments, banks and investors scramble to survive, we are going to see extreme amounts of volatility in the financial marketplace.

Things are not going to be “normal” again for a really, really long time.

Hold on tight, because 2012 is going to be a very interesting year.

  • McKinley Morganfield

    The zombie banks are going to dead walk us into a global depression.

  • No one said it would not be a roller coaster ride, but this ride seems to only go down, down and down with no end in sight.
    While our Government and press say, No Worries, Go Back To Sleep, Everything IS Just Fine.
    “What flavor Cool-aide are they serving in the soup kitchen?”
    See how to Survive an Economic Collapse at:

  • Michael

    FRance was already treated, on the debt markets, like a AA country for 3 months…. so, the impact should be not hard.

  • Learn how to get along without money by finding alternative means of obtaining water, food, shelter, and security.

    I live a double life riding the bus to my government job during the week and living in a home in the city. We spend weekends at the off-grid retreat becoming self-sufficient. One day we will simply stop going back to the city.

  • newton

    ” just when it seemed like things might be stabilizing somewhat ”

    your ************** us right ?

    Right ?????

  • Bone idle

    This is really bad news for anyone that was hoping that things in Europe would start to get better.

    Who in their right mind expected things to get better in Europe?

    Greece is due for elections in April. Greece is already in depression. Basic items are already starting to run short.
    Brace for some sort of political upheaval before the elections. Don’t be surprised if the general population revolt, demand an exit from the Euro and return to sovereign currency.

  • mel

    Coming into 2012 and beyond.. only these 6 D are certain..
    Debt ,Deficit, Deleveraging, Delusional, Denial and Depression!!

  • Alasha

    I saw on the Fox Business crawl? Are the credit ratings overrated after the downgrades were announced. And then it is done on a Friday. I would not be surprised if the 9 country downgrade goes over as a DUD!

    Go figger…

  • Gutter Economist

    From Richard Young, 01/13/2012

    The European Disintegration that’s on course to demolish America’s economy.

    Why be afraid of a European banking collapse? Because their banking system is four times the size of the U.S. banking system. And it is filled to the brim with debts that are impossible to repay.

    When the banks go, there is no money and no credit. The entire financial structure of the European Union (EU) will collapse.

    Worse, this already developing EU collapse will cause a corresponding meltdown of the United States financial system. Our banking system and corporations are closely linked with theirs. For example, you’ve seen how whenever fragile EU stocks suffer a setback, it hits the New York Stock Exchange like a car bomb.

    Look how every “new Euro bailout agreement” shoots the Dow up for triple digits. And a few days later, the buzz wears off. The realization sets in that no solution exists. Then the Dow drops even more than it shot up.

    So just imagine how the U.S. markets will be blown away when the bodies from the EU meltdown wash up on our shores. It will look like a financial massacre.

  • Rancher

    I suggest you all request cash and get it out of any markets or banks. Protect your seed or principle at all costs.

  • BenjiK

    As quoted from a source inside the Greek debt-talks this morning:

    “Yesterday we were cautious but confident, today we are much less optimistic…..”

  • M. Hapney

    Thank you sheeple (not folks here) for not caring that a private cartel of foreign banksters (the Fed) are running this country into the ground so they can profit from the collapse.

    Better to focus on what puppet will fill the White House and other distractions and nonsense. The bankster’s media determines what is and what is not important to the sheeple.

    Apathetic Americans really do deserve what is coming. We are no different than 30s Germans. Actually worse because we have access to truth and information, but don’t care.

    • Lennie Pike


      • Lennie Pike

        No one comes to God unless through Jesus Christ.

  • Mario

    Well as I see it man has had his crack at running the world on his own for the last 6,000 years and boy he has really messed it up. The only solution I can see is to let God have a crack at it, after all he knows how it works he designed it, who better to run it. The last time he was in control of the world we had a great garden till we told God we could do better.What have you got to loose?
    We can start by seeking out his Son Jesus. He came to earth about 2,000 years ago to pave the way for us to find our way back to His Father by paying for our sins with his life.
    What have you got to loose, it looks like we are about to loose everything else we have, are you ready to loose your enternal life as well? Do you really want to take that gamble? Look around you do you really think that it is going to get any better?
    Jesus is our only Hope.

    Keep up the good work Micheal, we all need to hear the REAL truth because the regular media seems to be asleep. thanks.

    • Michael

      Thank you for the encouraging words Mario. 🙂


    • justamom

      Spot on, Mario!

    • Gary2

      Do have a brother named lougi?

  • Ken

    It’s a good thing I recently paid off my mortgage early ahead of the coming economic martial law, and there’s no way I’m going to marry a student loan.

  • mondobeyondo

    Mayday! Mayday! We’re all going down! It’s shocking to see so many European countries getting their credit ratings downgraded.

    It’s looking like Europe is about to implode, explode, and just plain go bankrupt.

    Pay attention. We’re next.

  • r.bitting

    These are the days that the Bible spoke of, a time of immense suffering and war. It’s a time when, because iniquity will abound, the love of many will grow cold. America will fall because, just like with the nation of Israel, after God blessed the nation and prospered her in every concievable way, the people became proud and complacent and turned their backs on God, rejecting the truth found in his word and over the course of just a few generations have become wicked beyond anyones imagination. What happens to a nation that once held the truth of the bible in the highest regard, only to throw it away. In two words…. Spiritual darkness, the kind described in Romans ch. 1. This nation is being judged and unless a miracle on the order of Nineveh happens where the nation repents and turns back to God, this nation will be distroyed

    • r.bitting

      Gods already sent plenty of Jonahs to America and she only became more wicked, God had Jonahs warning this nation for generations ( Billy Graham and David Wilkerson come to mind, though there are many, many others ) and the nation has only become that much more wicked. You as an individual need to get alone with God and humble yourself and seek his forgiveness. Repent and trust in Christ. He died for the sins of the world, that all who will come to him he will by no means cast out. No person, no matter how bad, is beyond the love of God. God seeks after you like a Father seeks after his own children because thats exactly what you are, his children. If you come to the cross, there you will find forgiveness for ALL SINS, and God will call you sons and daughters… ” And you, he ( God ) made alive, who were dead in your trespasses and sins, in which you once walked according to the course of this world, according to the prince of the power of the air ( satan ), the spirit who now works in the sons of disobedience, among whom also WE ALL once conducted ourselves in the lusts of our flesh, fulfilling the desires of the flesh and of the mind, and were by nature children of wrath just as the others. But God, who is rich in mercy, because of his great love with which he loved us, even when we were dead in tresspasses, MADE US ALIVE TOGETHER WITH CHRIST ( by grace you have been saved ) and raised us up together , and made us sit together in the heavenly places in Christ Jesus, that in the ages to come he might show the exceeding riches of his grace in his kindness towards us in Christ Jesus. Ephesians 2:1-10… I pray that you will turn from your sin and trust in Christ to pay your sin debt and be with God in heaven for eternity. God only has one way, and it’s through Jesus Christ.Trusting in His sacrificial death on the cross is mine and your only hope to be able to stand before God and be justified.

  • mondobeyondo

    Countries around the world are addicted to debt.

    In the infamous (?) words of Andrea Love’s 1976 hit disco song:

    “More, more, more!
    How do you like it? How do you like it?
    More, more, more!….”

    Oh by the way… you do know you’re supposed to pay your lenders back eventually, right? Yes, it’s true! Because if you don’t, well… they’ll take you to court and sue you, or they’ll just come across the ocean and buy up everything for pennies on the dollar.

  • bongstar

    All these countrys are in debt to the same monster. They have intentionaly extended credit too far, as of to keep the money rolling in.Banks dont make money by loans getting paid back they get paid by intrest.Its just like a refinance on your home, go deeper into debt so you can never get out from under the loan. This is why socialist agendas and unstistainable programs are implemented. it makes nations dependent on money from the FED and the IMF. And remember the more bonds the FED holds the more assets they have. Fun Fun Fun.

  • bongstar

    ( addition to my first comment) with these mechanisms of central banking and fiat currencys and bond backed asset values They are littealy sucking all of our nations and all other industrialized nations wealth.It is the most gut wrenching theivery that has ever occured on the planet.

  • Jay

    You called this one on your last article before it even happened! It seems like the crash is moving faster than expected and this is going to make it difficult for people who are just now starting to get prepared.

    The best time to plant a tree was 10 years ago.
    The best time to start preparing was a year ago.
    The next best time for both is today.

    • Rancher

      Much better to do what it takes to be able to join people with a retreat location older fruit trees, gardens and the whole nine yards… Do the math.

  • tappedops

    Sorry dont hold your breath… the west is printing more then a billion a day and we will keep the EU above water till the time is right…once a major FF goes live here in the NAU and WW3 is in full swing, then look for bank runs and full NDAA/EEA…

  • Otown Right Guy

    On top of all the Europe mess, we have psychopaths in this country who want to drop real bombs on Iran and start WWIII! Like all of the Republicans EXCEPT Ron Paul!

    If the Israel-first chickenhawks in DC and Manhattan start a war with Iran, it could well start some states on the road to secession. This thing is coming apart. The USA may not even make it to Dec. 21!

    • tak

      I would rather bomb iran then have bombs hit the US

      • knightowl77

        I am more afraid of my own federal government than I am by anyone in the Middle East….

        It is the US Gov’t and not the Iranians who taking my rights away

      • Rancher

        I can name many countries with many bombs and no one is using them on others. Except…us.

  • McKinley Morganfield

    “Already there are indications that foreigners are starting to dump large amounts of U.S. debt. If this trickle becomes a flood things could become very bad for the United States very quickly.”

    Things are starting to turn wobbly in China because they have a huge bubble ready to pop in their domestic real estate market (sound familiar?). If they think their economy is going to tank, they hold a WMD of 2.5+ trillion of US debt in their hands. So if they think they are heading for a steep down turn and wish to hurt the USA, their only rival on the global stage, all they have to do it short USA t-bonds and dump their holdings on the market. Bye-bye the ability of the USA to raise more money to deficit spend 1+ trillion a year.

  • Ben Dover

    Good for you, Hungary. Dump the whole central bank thing while you are at it. The madder an action makes the banksters, the more wise it is.

    Bail on the EU entirely.

  • Frim from Oz

    Hello from Australia. This website is great and very informative. It really looks like things are starting to speed up in terms of euro collapse. I just spent a few weeks in Europe and one could really feel the negativity and concern about the situation. I especially noticed the contrast to Australia where we have been relatively lucky so far in terms of global recession. However, I suspect the way things are going in the northern hemisphere we will not be unaffected by the huge problems of the European Union. Scary times!! Thanks for keeping us informed.

  • Joshua10

    Friday the 13th just took on a whole new meaning. It seems like Fridays are to be avoided at costs if you’re a bankster. I suspect we will continue to see the bombing yields and frequency increase as the dominoes begin to fall faster in Europe starting with Greece. One year Greek government bonds exceeded 400% yield yesterday and it’s not coming back down. They’re toast.

  • THanks for the info even if it is bad news. Just goes to show how important it is for individuals to do whats right; to prepare for the worst.

    The bible has a lot of truth… “be indebted to no man” & that “the borrower is slave to the lender”. Imagine if we as individuals & as a nation we practiced that – if we did we would not be in this mess.

    Oh well, buckle up


  • MK

    more will die from this event than any in history. our fricken finacial system- basically the human ego- more powerful than the most powerful natural disasters on earth.

  • mondobeyondo

    Tune in tomorrow for the latest episode in My Big
    Fat Grecian Formula 16 Nightmare. Coming soon to a constitutional republic near you.

    Europe will have a very hard time bailing itself out. The ECB bank, based in Frankfurt, Germany (I may be wrong, feel free to correct me if I am) could print up hundreds of thousands of euros overnight.

    But they won’t. Why not? Because they’re smart, that’s why.

    Meanwhile, the Fed continues to print money like there’s no tomorrow. Because they’re right. There is no tomorrow, for the U.S. economy. It’s all about today and now.

  • 007

    The ECB loans money to the broke European banks at 1%. The banks then loan the money to buy the broke European governments bonds at 7%. The banksters make a tidy 6% profit. The banks then pledge the toxic bonds back to the ECB to obtain more low interest loans to buy more toxic European debt.

    Theoretically this can go on forever. The ECB almost has to keep doing this. The only thing that can stop it is when inflation gets so painful it causes civil unrest. Unfortunately, we are basically in the same situation with the Federal Reserve and our 16 trillion in debt.

    What a complete and utter mess. I think it’s time to buy some more gold.

    • 007

      Inevitably, the crumbs that fall off of the banksters plate will seep into the economy and cause inflation. The ever growing toxic government debt will cause the economy to slowly dramatically. There will be deep recession or depression high inflation and unemployment.

      But be positive. Maybe they can keep this game going for a few years.

  • 007

    This toxic government debt is like a game of musical chairs. The European banks keep buying the debt and hoping somehow they can get rid of it and find a chair when the music stops.

  • In 2012, it will be certain that there will be another Lehman momment. Different from 2008 (only corporation and bank at that time), in this time, all european sovereign nations are at stake and size is just too big. Once some of PIIGS nations get default on their obligation, this will ignite CDS to explode. This will lead to total financial collapse in US banking system since many too big to fail banks in US sold all the derivatives to the euro nation.

    In my opinion, US is toast…

  • RSteiner

    Many predicted that the Greek bailouts would not solve Europe’s problems:

    While the Greeks certainly profited in the short-term, civilization is slowly ending in Greece now:

    (Article is in German and explains the rise in suicides in Greece)

    Europe’s problems are moral problems.

  • It is incredible that people are still having money in the banks.

    We should take every dime out and in this way force the Government to replace the Central Banking Cartel with an interest free money supply.

    This is not ‘irresponsible’.

    What IS irresponsible is propping this system up by using it.

    There are currently three fully viable approaches that would stop this crunch over night.

    – Public Banking
    – Social Credit

    Or an interest strike:

    This is all just one gigantic hoax and its premise is we need the banks.

    Nothing of the sort!

    Take your money out of the bank now!

  • jack nichols

    Next stop WWIII

    • sensetti

      You have it right Jack. The powers that be will not go out quietly, they will start a World War.
      This will happen before the US economy and dollar hit the ground.


  • Borsabil

    It always puzzled me why private owners of Greek debt (we all get that the ECB and IMF will not be expected to take any haircut) would even be contemplating a negotiated write down. We’re talking about pension funds, private banks etc. They are hedged, many will actually make money of their CDS are triggered. So the only motivation for these guys is governments putting a gun to their heads, which will work for the Greek transport worker pension fund and the like, but for a London based hedge fund? Not so much.

    Anyway it is what it is I guess, a pit stop on the road to hell. Eventually Greek government bonds will be written off entirely, after all if you are going to be frozen out of the capital markets through a partial default where’s the downside in defaulting entirely? Then it’s back to the Drachma and rampant hyperinflation. And so on to Portugal, Spain and the rest.

  • Rob

    Time for a global jubilee???

  • Timothy Lee

    This is huge! I love the timing of the S&P down gradings-Friday night. The S&P wants to have the guts to say the truth, but they have to coat the crap with carmel by giving it on Friday night. They are the nerd hall monitor that has to hand out tardy slips to the jocks. The S&P knows they dropped the ball in 08 and also realizes that this is way worse and has to keep some kind of credibility, if this liner ever gets back on course and they still exsist.

    Don’t worry Michael Tim Teebow is on today and he will save everything.* (*sarcasim)

    I wonder how many Americans will be watching Teebow today and have no idea about this and the implications. It will be very interesting to see the outcome of this downgrade. Got Gold & Silver? Better get some, along with food, guns, and the esentials.

    I’m having a slow day at work, can you believe that the countries downgraded spells SP FASCISM, yep I have decoded that the S&P is a fascist company.



    France Austria Cyorus Italy Spain Malta


  • jox

    Very appropiate image for the article. And this too “huge financial bombs being dropped all over Europe”. This move is not innocent, is an attack from the anglosaxon finantial power. Perhaps a retaliation for the Tobin Tax.

  • JustanOguy

    I wish it would just happen already. There has been talk about this for over a year already.

    Get it over with and maybe Americans will wake up and get an understanding of what it all means…. and see first hand what is coming our way unless some REAL change is made in D.C.

    Vote Ron Paul 2012!

    • Paul

      Ron Paul?

      If he is democrat, why should he be different than current democrats?

      If he is republican, why should he be different than Bush, Bush and Reagan?

      Anyway, if only one man makes the difference, what do you need a parliament for?

      Don’t you have any alternative parties in the US? Some that didn’t cause all this ???

  • Borsabil

    “For now the U.S. government is still able to borrow giant piles of super cheap money, but such a situation does not last forever”

    Nope the federal government is handing over treasury bills, debt instruments denominated in dollars, and in return is receiving oil, gold, iPads and the wii fit bundle pack for fat aunt Martha. These debt bills promise to pay a certain amount on expiry, be it one month or ten years. They promise to pay back in federal reserve notes, yet another debt instrument. Unlike Greece the American government does, in theory, own the printing press to make more FRNs to pay off these bills, so the chances of actual default should be nil. Well they don’t actually own it, a private bank does, but hopefully they’ll do the stand up thing for the country when Mr. Chen asks for payment. Of course should we print to pay, then we’ll have to sell a lot more t bills to get our oil and the new release call of duty for the x box in the future, and we will also have to hope that Mr. Chen has a friggin short memory…all of which explains how owning a printing press ‘solves’ a sovereign debt problem.

  • Tim
  • JoeSoMD

    I think the author misses a key point about the Greek debt negotiations. There are three factors in the negotiation: haircut percentage, interest rate going forward on the restructured bonds, and most importantly, catagorization of the haircut as “voluntary”. If the haircut is formally agreed to as voluntary, it is unlikely that there will be CDS payouts. If it is a forced haircut, CDS payouts will kick in. It is these payouts that will bring the house of cards down. Look carefully in reporting for the word “voluntary” or “involuntary”. If involuntary, the financial disruption, nay collapse, will be way, way worse than the mortgage CDS debacle in the US.

  • Patriot Alice

    If the whole world gets downgraded, then it all becomes meaningless…The USA got downgraded last year, so what?

  • Time for a change??


    Congress fought with Obama for months to cut spending. They finally agreed to cut and allegedly save 2 trillion over 10 years. In that same 10 years, at the current rate of spending, we should only be 60 trillion in debt. Fortunately/Unfortunately,depending on your perspective, we don’t have 10 years. Does anyone remember the picture of the middle aged German guy pushing a wheelbarrow loaded with cash to buy a loaf of bread during the Wiemar Republic? That’s us in two years or less!

  • hoser

    ….and the Bank of International Settlements (BIS) will take us from one war to another. BANKS LOVE WAR! US Military works for the BIS. It’s taken me 30 years to figure that out.



    • David M

      Cut the caps please? I didn’t bother reading it.

  • So I’m still not sure who’s going to be right this year in the US, the deflationists (Harry Dent et al) or the Inflationists (most everyone else.)

  • deadby2020

    This all seems very orchestrated to me..

  • tak

    Thank you god for everything that you do ,I trust in you fully everything that is going on in the world today he has allowed because it is what we deserve…………people I believe we are close to the 2nd coming now is the time to reflect on your life,look around and ask GOD for forgiveness and except his free gift on eternal life,if iam wrong what do you have to lose,if your wrong the decision you have to make has huge downside any one that reads this please make the right choice

  • Sweden WILL be living in wefare as long our right wing politican Carl Bildt & Co can create disputes, misunderstandings and wars in Africa! When problems are made we (they) then sell them weapons as cannons with names as Carl Gustav. Swedens prosperity comes from blood-money! But what goes around comes around! Sweden is a criminal and shady nation of silent corruption. The Bilderberg group came from this icy country. I´m ashamed to be a Swede. But ABBA was good, was it not?

    • knightowl77

      Abba was/is good 😉

    • Otown Right Guy

      Bofors too. Yes, what is it with Sweden and big guns?

      But ABBA was by far the worst weapon ever unleashed on the world by Sweden! A crime against humanity!

  • Proftel

    I’m 49 years old and I feel sorry for this world, I for my two children (the oldest in the fourth year of the Faculty of Civil Engineering and the youngest in the second year in the same Faculty).

    I am sad to telos, two more souls to suffer what is coming.


    Wars, pharmaceuticals, banks Argentario, global militarization, oil companies etc armed. . The world is just “going for the bag” as they say here in Brazil.

    Unfortunately the fuse is lit and the media does not account for the readers / assistants (on TV).

    Only in Blogs can be a real vision of what is happening in the world (most of the population will die sitting watching TV without realizing what or who knocked out).

    We have a situation much worse than the Cuban missile in 1964 and few see!

    I give Thanks for being in a position south of the equator, my home office window facing SW! I would not like to see a nuclear mushroom.

    Banks are things easy to manage when the State or political (see the example of Hungary is putting pandemonium in the European Union).

    Hungary is the Central Bank put them in harness!

    International bankers were crazy about the idea (lost the reins)!

    If the sample fails, end the hegemony (it has been done in Brazil and Argentina – things that the media does not talk)!

    This feature Google’s translation is great for people of good will wholly of what happens in other parts of the world.

    In fact, you know that there is no cure for cancer?

    Seek to know about a plant called “Avelós” It is of Latin origin, grown in the Cerrado. The Jewish Hospital in Sao Paulo-BR did research and stopped, the thing is in the hands of drug manufacturers, prevented further studies!

    Well, that’s it.



  • Proftel


    Information Avelós.

    It comes to native plant, hope not to be politically incorrect, I’m just passing on information, go to a doctor before taking action!


  • Antonio Gonzalez

    The game is more interes, S&P is Wall Street or not?

  • Michael:

    Some time I did a post like this:

    How to behave on the Internet:

    For those who do not know or realize what happens in the network as follows:

    1 – Never block comments;

    2 – Always be cordial (to the extent possible);

    3 – Expressing what’s on my mind is absurd;

    4 – Do not discriminate by race, color, creed and other options (however bizarre they appear);

    5 – Under no circumstances ignore texts written in other languages ​​or correct texts in the original language.

    So far tried to follow these “unwritten rules” always seeking our freedom, the same as the head of the Illuminati was born in France, who wrote the Constitution in the U.S. (sorry that the guys do not formulaic but much of economics, the world would not be in this they’re crap – thought prevailed at the time aware of the geographic population growth linked to the territory, states had been created and always focused on the job).

    Besides my old, we are here to fight with this democratic space (without advertisements) as always idealized.

    So sorry if I ramble.

  • horhey

    It amazes me to no end how so many are still asleep. Even the ones having a rough time. We (as all of us) are about to embark on a speedcoaster, of bibical perportions, it will be quite the ride. If you haven’t been on it before, your gonna throw up…..for sure. If you’ve been on it, you will kinda now how the ride goes. Most are already in line and have no idea what’s instore for them. I’ve tried to prep, but the thought still gives me vertigo. We are on the coaster, it has brought us up, I hear the chains clicking, I know the first drop is gonna lift my guts, but I know my ride will have an end. The fact is though, I just paid for my ride. Im locked in it and will ride it to the ennd. Remember, raise and scream all the way down.
    Metophores are fun…arnt they…..

  • Steve

    The Zombie Socialist countries will at some point take the world’s financial system over the cliff.

  • Carl

    Since banksters swindled these countries out of their money by selling them worthless debt instruments (such as Derivatives and the like), I think they should forgive all of these debts and take responsibility for taking these ill gotten gains. Then those banksters who are responsible for this fiasco should be arrested and imprisoned so this can never happen again.

    • McKinley Morganfield

      “Since banksters swindled these countries out of their money by selling them worthless debt instruments (such as Derivatives and the like), I think they should forgive all of these debts and take responsibility for taking these ill gotten gains.”

      If someone knocks on my door in Iowa, and tells me I can buy the Brooklyn Bridge for $1,000 with no money down, who is to blame if I sign on the dotted line? The scam artist or me? I say its impossible to be swindled unless you are seeking an impossible to fulfill get rich quick scam.

    • Syrin

      That’s WAY too simplistic. Banksters didn’t implement unsustainable cradle to grave welfare states. That’s the regressive liberal voting base. Now did banksters profit in the mnanner you’re speaking? Absolutely, but the banksters have NOTHING to do with social insecurity, ridiculously lavish and unaffordable gov’t employee pensions.

  • Proftel

    A Method to Address Economic Recession, Remove Poverty, Terrorism, Improve Law and Order, Reduce Drug Abuse, Inflation And Taxes in an Interest Free Based Economy.

    By: Dr. Niaz Ahmed Khan, FRCS, PhD

    I have developed a new financial instrument which will be much more valuable than the bonds or the treasury bills government sells in the open market to raise much needed funds to run the country. These are all interest based instruments and can only be used by institutions. The instrument I am proposing is without interest and will be used by everybody to purchase goods and services in the government and private sector resulting in up to 60% discounts. This is why these will be massively bought up front in large amounts in the shortest period of time of one month to run the country for at least a year and much more by the end of the year.

    The world is facing many challenges with no solution in sight.
    The main cause of all these ills is the POVERTY. Float bonds which can be used by everybody rich or poor and are not debt to the state so there is no question of interest.
    How: Take the example of USA which is going through a great recession.
    USA borrows money by selling treasury bills and the interest based bonds. The suggestion is to sell these bonds on non interest basis.
    1. Buy all goods and services under govt control with these bonds and these bonds will replace dollar with bonds.
    2.10 million duty waved off.
    3.100 Billion dollars prize draw from the bonds held by the public every day.

    EXAMPLE: ONE dollar buys 5 bonds on the condition that the amount should be $100,000 or multiple of it. Fewer amounts will get the rate of four and three. This massive discount period is only for first month at the start of the implementation of this system. In the second month the rate will be 4 but the rate of 3 will apply to subsequent months for the same amount.
    1. All state controlled services and commodities.
    EXAMPLE: A bill of (any service or Commodity) $100 can be paid with 200 bonds and there will be no exception to this rule. A NET DISCOUNT OF 60%.
    A simple formula will apply: Total bill in dollars x2 is the number of bonds surrendered. Price in bonds will not be less than the cost price but without the direct indirect taxes and the duties which are added to the present cost to make it very expensive.
    It will attract at least 50 million people to take this opportunity as early as possible. And if one is sure of making 100% profit within 30 days there will be many more that will help themselves.
    RESULT: Government gets at least $5 trillion within a very short period of time of few days and much more in the rest of the year. THIS IS NOT A DEBT AS STATE HAS SOLD BONDS (Commodity) WHICH IS AN ALTERNATE CURRENCY AND DO NOT CARRY ANY INTEREST. One immediately thinks who will bear the loss and this loss to the state will not be more than total year budget of $2.5 trillion which it collects in one year with all the taxes and the duties but the bond price is simply a cost price without any kind of tax or duty. So there is a net gain of approximately 2.5 trillion within a short period of time. First floodgate of money has been opened.
    State will float tenders to select a private agency (USMF) UNITED STATES MONITORY FUND JUST A NAME GIVEN TO THIS ORGANIZATION with the lowest bid WHERE AS second, third and fourth bidders will be auditors of USMF. This agency will employ at least 20 million unemployed on 10% commission basis and without any salary. These agents will have to pay $500 as an annual fee to USMF in order to build the infrastructure for the sale of bonds. Agents’ quota will be $300,000 per month or they will be allowed to sell their whole year quota in one day or in a month. This will only materialize if the agent shares his commission with the buyer. Greater the share of commission quicker the sale. The investor or a buyer will sell these bonds at the same rate of 5 per dollar and his bonds will sell like hot cakes every day as there is no condition of the amount of money to purchase the bonds. In this way even the poorest person will get the same or near the same rate as the investor earns a profit from the commission which he takes from the agent and makes almost 100% profit by only investing $100,000. He will sell these bonds repeatedly and will keep almost 6% profit every day till the demand lasts. NOW THINK HOW MUCH FUNDS STATE HAS ACCUMULATED Much more than few years budget in matter of only one month.
    This is the second flood gate of money and there are still four more floodgates of money yet to open. So at the end of 30 days or even much earlier the government declares tax free country for ever. With the removal of all kinds of direct and indirect taxes and duties the price of oil electricity telephone and of all other services under government control is now almost 60% less than before as these are being purchased by bonds (which is the cost price) and not with dollars. The production cost of everything has come down tremendously.
    This was the third floodgate of money which is even bigger than the first one and the exact amount is impossible to asses unless the system is implemented.
    In order to provide cheap bonds throughout the year government offers three types of registration fees.
    1. Pay $100,000 in the start of the year and get the rate of 5 for the rest of the year and this will suit the professional’s and salaried person’
    2. Pay $10,000 yearly and get 20,000 new bonds at the rate 5 every month but one has to collect 10,000 bonds (equal to fee) to get this cheap rate throughout the year. Higher the registration fee more the entitlement of cheap bonds. This registration will suit any small time business who will sell his product cheaper provided 15% bonds are also paid with rest of cash money by the customer SEE THE NEXT REGISTRATION FOR FURTHER EXPLANATION OF15%BONDS. This will apply to all goods in private sector and does not apply to the government sector. This is a big incentive to accept bonds in the private sector as the business accepting more bonds will have more business than the trader not accepting the bonds so the bonds market will multiply and there will be a constant need for bonds in the open market.
    3. Third type of registration will be of $100,000 which will entitle the business to sell its products through USMF. The value of merchandise sold through this source will help the business to get the 5 bond per dollar rate or opt for the duty free option equal the amount sold. But with one condition of surrendering 15% bonds at each sale in dollars.
    MERCHANDISED SOLD THROUGH USMF $1000. BONDS SURRENDERED 150 ARE DEPOSITED IN STATE ACCOUNT TO BE SOLD AGAIN SO THE CYCLE OF BONDS IS ESTABLISHED .A receipt of bonds surrendered is obtained from USMF for evidence of sale of merchandise and this receipt will entitle the traders to get cheap bonds or the duty free option throughout the year BUT THE SAME RECEIPT CAN BE USED ONCE ONLY.
    3. The quota which can be sold is ten times the amount of Registration but not more unless the registration fee is increased. Now all the business will opt for this registration in order to reduce the cost of production. These 15% bonds the business will get back through a chain of dealers sub dealers and ultimately the customer will pay this bond portion as he will get the end product very cheap because of tremendous cut in the cost of production by the factors already mentioned. This will replace the GST or the VAT or the two price system seen all over USA. Almost everybody will sell their product through this channel as it will be much costlier to sell the product outside this system as cheap bonds are not available otherwise.
    According to rough estimate at least $10 trillion transactions are carried out every day in US and at each transaction 15% bonds are being surrendered, the price 15 bonds is $3. So 3% of 10 trillion will be $300 billion which goes into government account without any compulsion every day (UNBELIEVABLE). This is the fourth floodgate of money AND IS CALLED THE GOLD MINE. Now the state is sitting in the driving seat and all the money in banks of private sector has been transferred into government account and banks are no more the lenders but are borrower from the state which is the only source left and will invest in business with sound feasibility study checked by the state bank. The state will offer to invest 80% and the bank will bring investor who is willing to pool rest 20%. This 20% will be deposited in the bank and the bank will oversee the running the business, running expenses will be given to the investor from its share of 20%. There will be no collateral and share of the profit and loss will be shared in the ratio of 60 and 40. The bank will share the 60% with the investor and 40% will go to state funds and the state will provide everything under its control below cost which will farther reduce the cost of production and at the same time will MARKEDLY improve the profit margins OF ALL THE BUSINESSES. No major business can refuse this offer. Any bank showing repeated loss will go out of business as there will be no more funds available from the government source and all other interest based sources are not available any more. Interest based banking is gone forever or it may be at a very small scale and the state will not offer loans on interest as these are not any more profitable and risk free as there is no collateral. The amount of profit government will share will be unimaginable and this is the 5th flood gate opened.
    Last but not the least government will acquire all the land on lease without any force and will provide all the needs to the formers THROUGH CORPORATE FARMING SECTOR HIRED BY THE STATE below cost and will become the shareholder according to the mutual contract with the land owner this is the 6th flood gate of money opened.
    When all the possible land is being cultivated by best agriculture engineers there will be much better yield and much more profit to land owner then who will not join hands with the government.
    All the above claims have been proved to be true except the terrorism.
    We have to look at root cause and it is POVERTY and NOT the religion which is being falsely blamed. The going rate for a suicide bomber is $1,000 in Pakistan, Iraq and in Afghanistan. Can one believe that anyone having at least two meals a day will blow himself? Never the areas of the countries where these attacks are happening are extremely poor and the extremist elements who themselves are or were poor exploit these very poor people to carry out attacks for money to save their families dying from hunger and this is an open secret. Extreme elements has large force that is recruited from poor areas as there in no job anywhere and they provide these raw recruits with only food and shelter and at same time brainwash them and train some of them to carry out these attacks by giving them enough money in their lives to support their dependents. You might mention few isolated cases of being well to do and still carried out these attacks. Once the poverty is removed in these areas by implementing this system these attacks will come to an end immediately. This system is not only meant for USA but will be easily applicable to every country.

    • Lennie Pike

      I got a couple of good choices of names for the bonds you propose – Confusion Bonds, or Burn Another One Bonds.

      Has cutting out of control government spending ever occurred to ya as a possible remedy?

      I apologize if your idea was simply over my head – could easily have been – what do I know?

      bonds, or burn another one bonds

      • mondobeyondo

        I like Barry Bonds myself. Invest in those, and you are guaranteed a home run! Har dee har harrr!

        Oh wait, wasn’t he involved in that whole steroids scandal? Never mind.

  • Tapper P.

    Cannot happen Carl. The banksters control governments and their courts. Most of all they have locked down all the MSM under their control and the sheep only believe what they learn from a boob tube.

    As Jordan Maxwell said a year ago after studying the banksters for 40+ years – they have won and the USA as we know it, living as ‘free men’ is coming to an end. Hope is gone. Now it is all about keeping the fake ponzi going as long as possible before the suffering begins (and will NEVER end). Other than that, enjoy the buffett.

    • Lennie Pike

      That’s a fact.

  • claudio

    ‎….There are no nations. There are no peoples. There are no Russians. There are no Arabs. There are no third worlds. There is no West. There is only one holistic system of systems, one vast and immane, interwoven, interacting, multivariate, multinational dominion of dollars. Petro-dollars, electro-dollars, multi-dollars, reichmarks, rins, rubles, pounds, and shekels. It is the international system of currency which determines the totality of life on this planet. That is the natural order of things today. That is the atomic and subatomic and galactic structure of things today! The world is a college of corporations, inexorably determined by the immutable bylaws of business. The world is a business. It has been since man crawled out of the slime. And our children will live, to see that… perfect world… in which there’s no war or famine, oppression or brutality. One vast and ecumenical holding company, for whom all men will work to serve a common profit, in which all men will hold a share of stock. All necessities provided, all anxieties tranquilized, all boredom amused…..

  • Charlie

    RIP: The Whole Tim Tebow Thing (October 23, 2011—January 14, 2012)

    Read more:


  • Owen

    All this is just another excuse to manipulate the markets in order to stampede the herd. It’s part of the plan to take what little the common man has left. If you are looking for evidence of a gloalist conspiracy, look no further. After they take what they can from you, they will take your life. For those who have not been reconciled to the Father by the Son of God, these are indeed dreadful times. To those who have already been washed in the blood of the Lamb, may God’s peace be with you.

  • bobbobbob

    u r fos!!! soros badmouths europe as he buys up its short term debt. the greeks still have dental ins u have ******.

    • bobbobbob

      when mitt privatises the VA within 12 yrs the tanks will be in DC

      • Robert Zraick

        You mean within twelve days don’t you?

  • I do not think that the average person reading about Hungery, and other nations faced with debt understand what “debt” in the modern sense is. Take Jamaica for example, they were some 30 years back ploding along in self sufficency with their own cow milk industry, food production, home crtaft industries etc. Now enters to factors: Greed, and as master plan (the hook) to do what the IMF wants from Switzerland.

    They, in order to gain capital and trade (part of the financial package) to upgrade the economy from a peaceful island country to a competitive part of the international globalization had to close their dairy industry and imnport milk and milk products. A shoe business was offered that employed hundreds, then it disappeared to asnother poor country who worked their labor force cheaper.

    All in all the package of money is not total cash it is at first a bribe to appeal to growth by bringing in business to employ people. Then the rug is pulled out gradually and you lose business and your venture capital.

    In my opinion Greece and Hungry are fighting the corrupt IMF system of control and ownership of real property confiscation . More power to them.

    The current economic model of globalization has failed in the sense that small business and imndependent small nations are squeezed out of the larger economies – yet the larget economies like France, Germany are on the list too. Give it another few decades and the USA will be like Jamaica, totally poor, chain linked in separation of the virtual homeless hungry people from the tour boat wealthy seeing only the plastic coconuts for sale “Made in Jamaica”

    Time to wake up and look at the bigger picture of world domination (globalization) and how it will effect your future.

    Old Timer

    • mondobeyondo

      The average person can’t even find Hungary on a map.

  • Forrestcat

    I am still perplexed that when bad things happen to americans and mjst be the end of the world..

    Up until the first world war the europeans and anglophiles exploited the colonies in Asia ans Africa which imposed seve hardship and humuliation of us until today but life goes on and we fight…we do not wish for bearded guy to slay heathens and take us all naked to heaven…the IMF and world bank lredicted that stubborn Asian nations like Malaysia that refuse ti abide to IMF standards will be become bankrupt..but we remain a strong economy and even a creditor nation while european nations which were poster boys like ireland and greece become lost in the dusbin of history

  • Syrin

    Want to know reality?

    They are STILL graded WAY WAY WAY too high. ALL of these nations have debt well in excess of 100% of GDP, none have made ANY adjustments of any note to change their spend thrift ways, and at least half will be bankrupt within a year. You have to wonder what it takes to get the lowest rating. What does Zimbabwe get, a “B”?

  • matt

    Our US currency will fail , but our people wont . I have great confidence in a very freedom loving well armed nation . Our founders delberately put all the power ultimately in the hands of the people .
    Read “When Money Dies”.. We are there.

  • Gary2

    If Europe would not have tried to follow the failed conservative policies of the USA they would be fine. Look at the Scandinavian countries who rejected the neo con crap.

    • David M

      Gary2, you have elevated yourself to Troll status.

      Quote “If Europe would not have tried to follow the failed conservative policies of the USA.”

      Europe went Socialism and Fascism. The Airbus was financed by the governments, just for example.

      You have ZERO credibility.

      • View from Abroad

        “Europe went Socialism and Fascism”


        …where has torture become legal?

        …where has the government got the right to detain its own citizens without trial?

        …where have the corporations got the right to confiscate any private property they like (-> “eminent domain”)?

        …which country does have the greatest prison population on earth (as percentage of population)?


        Certainly not. Guess again.

        • Robert Zraick

          The U.S. has evolved to accept socialism and all that goes with it. But you are right that the U.S. empire is dispicable. War for profit, torture, depleated uranium.

          How can any sane people tolerate these crimes against humanity?

    • Rodster

      You’re a tool and a fool. George Soros sends his love.

  • mondobeyondo

    Family on a cross country road trip:

    Kid: “Are we doomed yet?”
    Dad: “You got that wrong. It goes, “Are we THERE yet?”
    Kid: No, I think I got it right. Are we doomed yet?”

  • Gutter Economist

    Multinational corporations truly believe that a New World Order with them in charge instead of sovereign governments will be the answer to the problem of world instability.

    After multinational corporations have better credit ratings than sovereign governments, guess where all the investment capital will be going?

    After multinational corporations acquire most of the investment capital, guess who will bail out (take over) sovereign governments?

  • Deborah

    I am an educated woman with a husband who supports my views (here 😉 but PLEASE what do you do when you are on a really fixed income and debt (mortgage and student loans only but 300000plus) how can I prepare? Help help help help! I am the worker and we are just one paycheck away from broke. what should we do? BTW Michael, I love your blog. we should possibly create a wonderful new utopia, Kevin (my spouse) and I will be happy to elect you president. You are a truth seeker like us!

    • Michael


      Thank you for the kind words.

      Right now, you just have to take it a week at a time.

      Focus on making next week better. Can you do something to save a little money? Can you do something to increase your income a little? Can you do something to put a little bit of food in storage? Can you do something to pay off a little debt?

      Small steps make a huge difference when you add them up over a year or two.

      Try to find some ways to bring in some extra money. You might have to be creative, and it might cut into your relaxation time, but it will be worth it.

      For much more on all this, please see this article I put together recently….

      And it is good that you are a truthseeker. We should all be open and looking for the truth.

      Myself, I just finished watching an awesome documentary about food called “Forks Over Knives” that I would recommend to anyone. I learned a ton by watching it…..

      Never stop learning – that is one of the secrets of life.


      • a better way

        Getting rid of processed foods is great and someday I’m going to write an article on how to do food storage with real foods, not all that hydrolyzed protein, soy products and endless noodle and wheat product crap in the pre-measured survival meals. But I adhere to the science in “Wheat Belly” by Dr. William Davis M.D.The science is much better documented than that in the China Study and Forks Over…. Getting rid of the frankenwheat (no wheat today is the way God made it, it’s been engineered for greater yield with horrible consequences on our health) and other “healthy whole grains” like corn, will do your body much better than getting rid of organically raised meat and dairy products. My health, well-being and blood work have never been better since reading Wheat Belly and getting rid of all wheat in my diet.

    • mondobeyondo

      Don’t ever give up.
      Stay strong, and keep fighting the good fight. There is a long, hard fight ahead. We need you.
      The only people who lose are the ones who give up and throw in the towel.

      • mondobeyondo

        Oh, by the way… We’re gonna win.

        This war is over. Jesus Christ won it on the cross on Calvary. It’s over. It’s done. Jesus holds the keys to Heaven, Hell, and Earth.

        The enemy (aka Satan, the demon who was formerly known as Lucifer) refuses to surrender. He expects to be victorious any day now. That is to be expected. But his fate is sealed.

        Just like Caesar. And Genghis Khan. And Napoleon. And Adolf Hitler. Just like everyone else who chooses this path. Greater than anyone who chooses to follow it. Who’s next, on The Price is Right? Any takers? Oh, you expected to see Bob Barker? Sorry, dude. He’s busy neutering puppies. You’ll have to settle for that fat movie star guy and talk show host..

        My God is a great and mighty God. Greater is he that is in me, than he that is in the world.

        • mondobeyondo

          Drew Carey.
          Sorry, couldn’t think of his name.


          mondobeyondo YOU ROCK!!!!!!!!!!!!!!!

  • Blaine

    Total World collapse is there adgenda when everything is bankrupt and ruined then the antichrist can take his seat.

  • Timo44

    People can come up with all the suggestions in the world. But if we don’t get the crooks out of the government and remove the central bank. Nothing will ever get done. We will live a life of misery and pain. People have to face the truth our government is so corrupt that it can’t be trusted. If we don’t put people in their that cares about people then you better just wait on Gods kingdom to come.

  • Paul

    What’s the problem?

    It will be more expensive for these countries to borrow money, therefore they got another incentive to save.

    But governments and states don’t matter so much.

    One cause of the current crisis is that the rich rather put their money into derivatives than infrastructure or research. Therefore they withdraw the money from the economy, and we got this moneycrunch.
    To counter that the governments could either tax the rich more or print more money.

  • Elysatio

    THE BORROWER IN THE LENDER’S SLAVE! Get out of debt now.

  • Jeff

    Man Spain and Italy’s Bond Rates have really increased since the S&P downgrade!- Sarcasm

Finca Bayano

Panama Relocation Tours



Facebook Twitter More...