QE 2.5 or QE3 will Bernake do it, he's doomed either way!

It's a known fact that traders are anticipating some form of additional stimulus at the end of September. However it could be self defeating for it will foster higher oil prices which would most certainly deliver a recession. Low interest rates now are enough, too much stimulus is bad for the economy. Balanced budgets will always deliver  the fairest outcome for all in society, if only our government mandarins where educated enough or not corrupted for seeking power and self profits, we would be better of today. The Romans society failed due to inequality and we now have such levels which could top current society and it's fat currencies. The recent global riots are a signal to the Mandarins. The past presidents and prime ministers will all go down in history for all the wrong reasons for most are to blame for what could be THE END.....

Riots in London

Riots in London at Hackney Croydon and Lewisham, latest news Cobra are to have a meeting at 9am on the 9th August 2011.

Are the riots in London more than just a reflection of a young man being shot dead?

I'd have to answer that with a YES. Lets face it, what's looting from Debenhams store in Clapham got to do with a protest of a youth being shot dead....(NOTHING). Argos robbed, PC World, JJB Sports cleaned out. The setting of fires across parts of London hasn't been seen for 25 years, this unfortunately is very vicious and worrying for many residents who live above shops, there must be a arsonist amongst the youths. The police must place great emphasis on catching these prople. There is a complete loss of law and order being built upon day by day. The core of this is coming from criminality and high unemployment in the youth sector, a youth that is being squeezed by high inflation on day to day commodities (food), energy (petrol, gas and electricity), increased higher education prices, less opportunity than there parents had, years of long term negativity and inflation stupidity, the list goes on. The Keynesian policies of printing money to feed the fat cat bankers with free money print bonuses delivering phoney inflation in society is starting now to back fire in the G7 nations, this is one of my predictions. It was only a matter of time before the disillusionment spread from Arab nations into the G7. Although this can't be condoned, the seeds where sewn and any respectable government and police force must of been waiting for the flash point to occur, this is and has been expected. The rioting must stop, the inflation must stop....hopefully the recent crash in stocks will continue and provide some reprieve on inflation to help the young and old alike.

Some people, including the X Lord Mayor of London think we more should be de by the government and less cuts should be made by government. The problem with this is debts MUST be dealt with, for if they are not dealt with then you get high inflation which is self defeating, higher taxes which pay off higher interest and ultimately a Greek style economy which leads to default and worse pain. The boom cycle which was instigated by the labour party has created the situation we're in now, more of a Labour policy will just make the situation worse. Sure like any any drug addict you'll feel good for a short period but ultimately you'll just crash and burn.

I think there's also a strong possibility of the youth being so lawless stemming form nancy boy discipline that exists in schools fostered by the UK Labour party. Isn't it time we got tough by instilling discipline at schools?

So what's the quick fix to the riots......temporarily shut down facebook, twitter and all major social networks. They're not essential to peoples lives whereas a fire to your house is. I doubt this will happen, but it would reduce the organisation and looting scramble. Other suggestions are to impose military intervention or curfews.

No Debt Downgrade By USA Rating Agencies

As of today no rating agency has downgraded the USA treasuries to AA. However China's leading credit rating agency Dagong Global Credit downgraded USA sovereign debt to A from A+. The agency has also put the USA on negative outlook.

The decision came despite the U.S. raising the debt ceiling and averting a default, and even as both Fitch and Moody's re-affirmed the U.S.'s Triple-A rating. China's central bank urged the U.S. to act "responsibly" on the debt situation. We're still awaiting S&P decision on their rating, they have indicated a downgrade based on the current Obama plan, S&P where looking for $4 trillion in cuts, rather than the approximate $2 trillion, of which only approximately $1 trillion of cuts have been worked out. Most of the cuts (2/3rds) will only occur in the latter years of the 10 year period. This is utterly ludicrous and a con to the American people. 

One thing the world takes from the USA ratings decision not to downgrade their OWN countries debt is they're too close to be trusted on bias to the ratings. There is strong potential for manipulation for their own gains or pressure put on them from political connections. We all know how they missed (or turned a blind eye) to the credit & housing bubble. Do we think they could miss a sovereign debt default in their own country, "why sure they can"! This is the reason impartial views should be given stronger weight, with the leading Chinese rating agency downgrade it's a indication of the USA taking their first step onto the debt default slide to oblivion. The demonstration over the past 10 years of politicians taking their country to war level 100% debt to GDP levels, is a strong indication that they're not getting the deficit under control. This is why Gold is on an upward trend.

As they where unable to demonstrate the full cuts to the budget and are passing that decision to someone else in 2017, basically Obama doesn't want to deal with the issue during his term. He'll pass that problem onto the other party who get in power ensuring his ride from here on in is easier than it should be. It will take a far stronger set of characters than those that exist in the USA political world to get this issue of debt onto a sustainable path. This is something that should of been done a long time ago.

Why won't they tax their people at a sensible level, specifically the wealthy. Here's the issue, senior politicians are always too close to the high wealth citizens and are manipulated by the flow of money which in effect is power. They must tax more and regulate better, I would also recommend that they set up a separate independent budget office with links to the IMF and other agencies to assist in getting their debt under control far faster than the current Obama plan that's in place. You have got to deal with this some day otherwise you will default and the USA will end up like Greece. Politicians are just too stare crazy over share prices.

Share Prices are now heading down based on know QE, low growth and Sovereign debts which are out of control and heading for default. The banksters screwed up and passed the screw up onto the public, immoral at the least. Savers have been shafted over the past decade and instead of being allowed to be investors in sensibly priced investments, governments have to constantly create bubbles to enslave people, ensuring the rich stay rich and poor stay poor.

Too long has the world been driven by a flawed Roman Usury banking system which robs from society and feeds the elite families who control our world. It's a system which can give too much wealth to individuals when others are starving to death and have poor access to education. The wealth is delivered to these individuals off the back of main street, yet they refuse to give up their bloated profits for the good of humanity. Without taxes on the rich we can't deliver high levels of education to the masses of young, which in turn develop humanities future and speed of progression.