THE EU QUESTION: Lies, damned lies, and sins of omission

600KSunlie

meglycinessnip In a lingering, floundering spirit of ecumenical olive branches re Brexit, I offer the above as another attempt to persuade the Left Remains that yes, it is possible to discern Leave lies too. But that one was cooked up by Newscorp: and whereas the Brussels Sprouts are merely pompous chocolate soldiers with delusions of grandeur, Newscorp doesn’t need to fantasise about power….as yesterday’s events showed, it still runs pretty much everything in Cruel Britannia. This judgement does not, however, stop me from pointing out that EU and HSBC coverups are just as wicked as big fat fibs


Here, for example, is something that the Dutch hairdressing salon magnate Jeroen Dijsselbloem didn’t want to talk about before June 23rd:

Drivelboom

Once again, Drivelboom has hit the nail into the head here: Jereboam was a great coffin nail hitter during the Greek campaign, and so he knows about these things. The eurozone needs a specific solution, and that means talking about banks in Italy. He tells us that Italy must accept his bailin template, which is rather like f**kwitted courtiers telling Canute to roll the waves back.

What this means is that Drizzlebong scored 100% on ‘specific’ at the press conference, but 0% on the solution thing. During the UK referendum on the EU, he said nothing. (Draghi said once that steps were being taken, but he thinks he got away with it.)


And so on to Omission Impossible – Deutsche Bank.

Miles above anything Brexit might trigger – or even Italy, where Mario Ponzi can fairly easily keep the balls-up in the air – is Deutsche Bank. The bank’s solution has been to yell “Rubbish!” in a less than convincing manner for nearly five years, but now the management has changed tack: the strategy going forward is to distract attention by talking about answers to the Italian problem – see above.

In its latest Focus Europe note, DB’s chief economist Mark Wall puts forward a six-step plan he believes will help the EU come out the other side of the Italian Job in one piece. But Mr Wall is deficient re the problem with his own institution.

This morning the German bank hired Ben Adubi to join its sovereign, supranational and agency syndicate team. His appointment will be effective from September 5th. What difference that might make is anyone’s guess, but Silver Doctors’ Jim Willie opined four days ago that “it has three months at most before it collapses, and then it’ll be like Lehman times five”. I don’t have a single Wall Street or City contact that disagrees with him.

Did anyone in the Remain team either here or in the EU ever call the inevitable demise of DB “five times any Brexit”? They did not.


The only consideration that was put forward of any substance by the Western media today was that Theresa May’s ‘Brexit-lite’ approach “would be welcomed by the markets”. When DB + Italy hits the fan, I expect these same idiots will want Brexit-heavy.

When that time arrives, who will want to rake over who said what in the referendum campaign? Attention will turn away from all that, to one of reducing the euro’s value to toilet paper, and how to take advantage of that while keeping an eye on when falling dominos in the European banking theatre (including the UK). It will mean overnight bailins. In that moment, Forex rates will become a relatively minor consideration.

Another day, another Dollar.

17 thoughts on “THE EU QUESTION: Lies, damned lies, and sins of omission

  1. I might not agree with everything you say but I appreciate your thoughts in these dark times. Thanks for taking the trouble.
    “In a time of universal deceit, telling the truth is a revolutionary act”.

    Liked by 1 person

  2. When I was asked incredulously by many seemingly well informed people as to why I voted OUT, I answered:
    (1) Lack of democratic accountability within the EU and EZ, especially the ESM
    (2) Transition of same to a supra-national entity without legitimacy, so divorce now better than later
    (3) Economic disaster of politically inspired Euro, and counter-productive anti-people [ie voter] policies to save the damn thing
    (4) Consequent imminent financial crisis and likely presentation of bill to UK, possibly linked to next recession – not far off IMO
    (5) Specifically Italian Banking system and DB as first dominos of many
    (6) Conclusion – we need to get out asap.

    ALL my pals told me that they could not believe the Euro was a disaster (I guess they are not one of the 20M+ unemployed) or that DB and Italy was such a mess. I see now that we gets hints in the MSM post 23rd June. Most readers here will have seen this coming for months by not looking too hard. It is hard not to see conspiracy – but in an age when “teenage” journalists cannot spell and punctuate what is the chance they understand international economics?

    Will, as kfc404 says, the problem can be solved by printing lots of dosh? I do hope so as the alternative is truly awful. Yet we have Dijsselbloem stating very publically that “creditors” [read depositors] must take the hit. Well what could possibly go wrong??? Now I do hope that this is really a game and sense will prevail. Past experience tells us not to hope too hard and that these clowns won’t engineer a monumental cock up. Let’s hope it kills off this monster once and for all, though the short term cost is likely to be a depression.

    And what happens if DB goes before Italy? Hmmm? There will be an accounting fix – can kicked. All will out in the end. I guess that will be when the ESM swings into action with its criminal immunity. Very worrying. People who forget their history are doomed to repeat it…

    Incidentally I read this book recently (after the vote):
    https://www.theguardian.com/books/2016/apr/25/and-the-weak-suffer-what-they-must-yanis-varoufakis-review-europe-austerity-threat-global-security

    Not my usual politics, but an interesting inside take on many of the reasons I voted for OUT and the intrinsic failures of the EU and EZ and worth a read if you have some time and an ice pack.

    Liked by 1 person

  3. kfc1404 – I agree to a point; there is truly no limit to the sociopathic tendencies of the MotU – but what are the ramifications of the Ctrl+P you foresee? In the short term even more inflation in specific commodities and property, perhaps, resulting in even more ££ for the few and less for the many, but inflation too? Hyperinflation almost certainly with all the attendent horrors awaiting the unprepared. Whichever way it pans out, I’m feeling a tad Powell-ish and sensing a certain camaraderie with ‘The Roman’ …

    Like

  4. This is like 1973, without the inflation and oil price blackmail. The banks borrow short, lend long(in property),indulge in trading that goes wrong (DB), losses accumulate that are not recognised (Natwest 1974, anyone) and the entire Italian banking system has failed, government borrowing spirals out of control(Uk 1974, Greece today) , Spain’s Santander is bust, France has 2 major banks that are insolvent, and unheard of minor German lenders queue up to admit they are bust. Oh yes, where is the central bank, the lender of lender of last resort.? Give me a break, we are all focused on the 5 Presidents Report. Over to you, Goldman Sachs.

    Like

  5. http://www.zerohedge.com/news/2016-07-12/whos-most-afraid-contagion-italys-bank-meltdown

    As I said, an accounting fix. Govts issue bonds and banks buy them. Govt pays money to banks to recapitalise them. Banks re-finace bonds with ECB. All cool. Ctrl P. Can kicked.

    Target 2 goes up. Germany gets spooked. Recession hits. All bets off. Ctrl-alt-delete. Re-set.

    Meanwhile £ Ok, EZ in crisis, maybe Le Penn gets elected and Merkel has to flee to dacha east of Moscow…

    And don’t even get me started on China…

    Liked by 1 person

  6. And to add insult to injury, Jose Manuel Barroso has just been hired by Goldman Sachs to trouser his £50m or whatever screwing the whole of the world……….Max Keiser had a really good rant about it on RT news this evening……

    Liked by 2 people

  7. BREXIT may have played a part,a bit like a divorce. So now who owes what? Looks like Italy was a bit reckless with the credit card but it was a euro credit cards not a GBP one. DB the spoilt child who had to have all the best toys and derivatives are the IOU’s. This is not suggesting we have not got our own issues, but gold kiting especially by the BOE, extravagent unfunded liabilities all over the place … they have just not told us yet how much we owe, but it going to be alot. Well why let a good crisis go to waste!

    In the divorce part, who actually got the assets, follow that too? Well little old government sold everything off, turned it all into cash and promptly passed all the lolly to that secret lover somewhere elsewhere, not here for sure = USA.

    Like

  8. I do envy Mr Ward lazing in his garden admiring the setting sun with a bottle or so of decent red to hand. Plenty of land to grow lots of everything without really trying. Neighbours to trade and barter with, firewood to keep warm in winter, a reasonable population density and far enough away from the mega cities (and the UK) where havoc will quickly consume and pound notes will be cheaper than toilet paper. I imagine John & co living through the coming panic from the comfort of his swimming pool, a bit like watching an episode of the Walton’s from when i was a kid. Never really understood what the big deal was about the American depression, the Walton’s seemed to live in paradise, my family didnt have a car or a phone or a mansion with attached sawmill. I thought, well if thats a depression then bring it on!
    I hope you have a shotgun with lots of shells John, you never know you may need it one day. Whats coming in our direction doesnt look anything like the Walton’s to me.

    Liked by 1 person

  9. @ Mark Deacon – Surely Italy’s troubles started WAY before Brexit??? Sounds like a very convenient but feeble excuse to me and ZH mentions that the Chinese are also blaming us for some of their economic woes.
    So, we have Italy on the rocks, Greece beyond saving, DB about to implode, Spain & Portugal accused of failing to take “effective action to correct their excessive public deficit” thereby deserving a fine by the EU in accordance with the rules – but which will probably be “symbolic” because they most probably don’t have the wherewithal to pay it. The French Finance Minister says he doesn’t like Britain’s proposal to cut corporation tax – one wonders why – and Merkel, in the best EU tradition of not hearing, or ignoring the wishes of its citizens, “urges” Britain to clarify its relationship with the EU, insisting that access to the single market must include accepting all the basic freedoms and the free movement of people.” What a wonderfully dysfunctional family …

    Like

  10. It would appear that Brexit was the straw that broke the camels back. Some of the dirty washing of the EU is now in the glare of the daylight.
    . The Emperor EU is exposed in all his nakedness. DB bank with Trillion dollar derivatives liabilities,Italian banks going down the Swanee. It seems the UK jumped just in time from the sinking ship.
    The only means to cure a debt which is unrepayable is a debt jubilee.
    Of course the banksters ( aka masters of the universe) will let the financial system collapse in chaos before taking a hit.
    I should think they will try a bail-in first before running with the begging bowl to the Govt., but that well has also run dry.
    A great distraction is required to befuddle the masses, I am sure the EUs’ attack dog NATO can come up with something suitable to concentrate the minds of the people. Time to beat the war drums again and find an enemy to demonise and denigrate. Russia is always a good option for an enemy.(sarc)

    Liked by 2 people

  11. All Sloggers

    This impersonator won’t be back. However, as he tunes in every day in the mistaken belief that he is a nuisance as opposed to a slightly wobbly chairleg in a restaurant, I feel obliged to tell him that giving out personal details of another on the internet without permission is a criminal offence in 37 countries.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s