The Biggest Con Job in World History - Wall Street!

Paul Craig Roberts: Bond Bubble In Big Trouble

Economist and nationally syndicated columnist Paul Craig Roberts joins the show today to discuss how the bond bubble is in big trouble.
http://www.paulcraigroberts.org/
http://www.infowars.com/the-liquidity…

Gerald Celente – Trends In The News – “China Does Business. US Loves War”

China’s central bank cuts lending, deposit and reserve ratios

ChinaFotoPress | Getty Images

China's Central Bank

China's central bank cut its benchmark lending rates by 25 basis points to 4.85 percent on Saturday, the fourth reduction since November, as it gears up to lower borrowing costs and support a slowing economy.
The People's Bank of China (PBOC) also reduced one-year benchmark deposit rates by 25 basis points to 2 percent, it said in a statement on its website, adding that the reductions would take effect on Sunday.
Why China's RRR cut reeks of desperation
The PBOC last cut interest rates on May 10, lowering one-year benchmark lending rates by 25 basis points to 5.1 percent, and lowering one-year benchmark deposit rates by 25 basis points, to 2.25 percent.
Weighed down by a property downturn, factory overcapacity and local debt, growth in China's economy is expected to slow to a quarter-century low of around 7 percent this year. That is down from 7.4 percent in 2014, even with expected additional stimulus measures.
While more cuts had been expected as economic growth sputters, Saturday's changes follow a plunge of 20 percent in China's stock market in the last two weeks.

Thousands of jobs lost in UK

Via WSWS. This piece was reprinted by RINF Alternative News with permission or license.

By Margot Miller

Thousands of workers are losing their jobs across all sectors of the UK economy.

The losses belie the latest figures, hailed a miracle achievement by Prime Minister David Cameron, registering unemployment as dropping to a seven-year low of 5.5 percent. The figures only register the growth in low-paid, part-time, temporary and zero-hours contract jobs as the government drives people into cheap-labour employment in welfare to work programmes.

The latest onslaught of redundancies come before austerity measures, planned by the newly-elected Tory government comprising tens of billions of pounds in further spending cuts, have begun to be implemented.

Following the loss of 90,000 public-sector jobs in the last parliament, resulting in the lowest employment in the sector since the Second World War, a further 100,000 jobs are set to go over the next five years.

On Monday, rail freight-company DB Schenker announced plans to cut 234 jobs, mainly across the north of England. The firm plans to close its depot in Worksop and merge depots in Gateshead and on Teesside. Jobs may go at DB Schenker’s headquarters in Doncaster and at sites in Carlisle and Warrington.

On June 17, joint administrators Baker Tilly announced that 55 of the 79 employees at the Dobson & Crowther Limited printing company, based in Llangollen, Wales, would be laid off.

In April, Tullis Russel, a papermaker based in Fife, Scotland, went into receivership. Some 325 workers were made redundant at the company formed in 1809. This month, almost all the remaining workforce was made redundant, totaling some 475 jobs lost. The administrators cited weakening global demand for printed materials, rising raw material costs and the strengthening of sterling against the euro.

Also in Scotland, hundreds of workers at two nuclear plants due to be decommissioned face redundancy. There are 238 workers at the Hunterston A plant near Ayrshire and 422 at the Chapelcross plant near Dumfries. These losses are part of 16,000 jobs to be axed at 12 nuclear plants in the UK.

UK retail giant Boots announced it is to axe 700 jobs, half of which will be from their headquarters in Beeston, Nottingham, which employs 4,000. Boots, founded in 1849, has 60,000 employees across a chain of 2,500 stores. The redundancies follow the merger last December between Alliance Boots and the US-based pharmacy group Walgreens.

Workers at the Wigan site of breadmaker Hovis face 48 redundancies. Owned jointly by the Gores Group and Premier Food plc, Hovis employs 3,800 people nationally at 10 bakeries, six flour mills and two regional distribution centres. The job cuts follow 900 redundancies made since November 2012, after the closure of four sites nationally. Two years ago, workers at the factory struck in a dispute over the use of agency workers and zero-hour contracts.

High street bank National Westminster is to close 11 branches across Wales and replace them with mobile van branch services to the rural districts. The bank cited the increased use of Internet and telephone banking for the closures, due in September.

These follow the announcement earlier this month by HSBC Holdings bank that around 8,000 jobs are to be lost in the UK as part of major global restructuring operation. Some 25,000 jobs are to be lost internationally, with a further 25,000 threatened.

The insurance sector is not spared, with market leader Aviva to shut three offices by the end of 2016. These currently employ a workforce of 780 in Salisbury, Stretford and Salford. More job losses are to follow in Dorking, Exeter and Manchester over the next 18 months.

20 workers out of a remaining workforce of 98 face redundancies at the Ensus bio-ethanol plant near Redcar, in the north east of England. The plant uses wheat to create bio-ethanol, which is added to petrol. The remaining protein and grain is used to make thousands of tonnes of animal feed and carbon dioxide for soft drinks.

The factory, part of the German Crop Energus group and considered vital to the UK meeting renewable fuel targets, was closed four months ago, after bio-ethanol prices were hit by lower oil prices and falling demand in Europe.

Next month, 200 out of 700 jobs are to go at the Kellingley coal mine near Knottingley, Yorkshire. Kellingley, along with Thoresby, are two of the UK’s three remaining pits and face complete closure in the next year. Thoresby employs 600 miners. In 1983, just prior to the year-long miners’ strike, there were 174 deep pit coal mines in the UK, employing 180,000.

Huge cuts to education are planned by the Conservative government. On June 4, Chancellor George Osborne announced almost a billion pounds in cuts to the budgets of the Department for Education and the Department for Business, Innovation and Skills (BIS). Both departments were instructed to make £450 million in savings in the 2015-16 financial year. A Treasury statement disclosed there would be “savings in higher education and further education budgets in BIS, and savings in the administration of arms lengths bodies in the Department for Education.”

Job losses in the sector are proceeding apace ahead of these cuts. Some 25 lecturers face redundancy at Sheffield College. Staff struck for 24 hours on June 10, in an ongoing dispute over job losses precipitated by £3 million in cuts to government funding. Earlier this year, 15 staff were made redundant.

London Metropolitan University plans to shed 165 academic and support posts. This month, teaching and support staff staged a one-day strike in protest.

At Exeter University, more than 200 jobs, including academic posts and support staff, out of a total workforce of almost 4,400, are being shed.

At the University of Birmingham, 49 staff in the Neuroscience and Pharmacology departments at the Medical School and 59 Engineering Department employees are threatened with redundancy.

Earlier this year, 700 job cuts were announced in six of the newly-formed private Community Rehabilitation Companies (CRCs) run by Sodexo. The CRCs were set up in April as a result of the privatisation of the UK’s probation services.

The Guardian reported that an increase in “non-standard employment” (temporary jobs, zero hours contracts, self-employment and part-time work) accounted for all net jobs growth in the UK since 1995.

This is part of a growing international phenomenon. According to the Organization for Economic Cooperation and Development, 50 percent of all new employment in its 34 member countries, also since 1995, comprised non-standard jobs, which it declared was a contributory factor in growing inequality.

Poorly paid jobs, record numbers of families reliant on food banks, and little investment characterise the British economy. At the other pole, vast amounts of wealth are being accumulated through rampant financial speculation.

The Bank of England recently reported that any growth in employment in the past two years was confined to growth in lower skills occupations.

Youth unemployment remains high, with 943,000 young adults aged between 16 and 24, for the period January to March 2015, classed as not in education, employment or training.

The trade unions play a critical role in facilitating these job losses. After not lifting a finger over the last five years in the face of mass austerity, the unions have begun where they left off before the general election. In just the first few weeks since the Conservatives election victory, they have already sabotaged national disputes by rail workers, probation staff and steel workers.

Greece on the Edge: Bailout Extension Rejected, But Referendum Still On

The Eurogroup has refused to extend Greece’s current bailout deal, which is set to expire on June 30, days before a referendum is set to take place on the financial aid package currently being negotiated.
Greek Prime Minister Alexis Tsipras reportedly called European leaders, including German Chancellor Angela Merkel and French President Francois Hollande on Saturday to tell them, “Democracy is of the highest order in Greece and the referendum will take place regardless of the Euro group decision.”

Greek Prime Minister Alexis Tsipras. (Photo: Daniele Vico/flickr/cc)

In a press conference on Saturday, Greek finance minister Yanis Varoufakis said that a deal between Greece and its creditors could still be reached before Tuesday’s expiration date. But he slammed the Europgroup for rejecting Greece’s request to extend the current bailout to give the country enough time to put the proposed deal to a popular vote.
“The refusal of the eurogroup today to endorse our request for an extension of this agreement for a few days, a couple of weeks, to allow the Greek people to vote on their proposals – even when there is a very high probability that Greeks will go against our recommendation and vote yes – will certainly damage the credibility of the eurogroup as a democratic union of partner member state,” Varoufakis said. “I’m very much afraid that damage will be permanent.”
This story is developing. Follow the Guardian‘s live updates here.
Greek Prime Minister Alexis Tsipras this week called for a referendum on the financial aid deal that is currently at a standstill in negotiations, putting the future of the bailout package to a popular vote at the last minute as he rejected another austerity-heavy plan from creditors.
Greeks will now be asked to vote on whether to accept or reject the deal put forth by the Troika—the European Union, the European Central Bank, and the International Monetary Fund. The Syriza cabinet will meet Saturday to get the vote in line with the Greek constitution.
In a televised national address late Thursday night, Tsipras slammed the deal put forward by the Troika as “blackmail,” saying the terms “clearly violate European social rules and fundamental rights.” But he added that he would respect the outcome of the referendum.
The announcement followed an emergency meeting of his cabinet in Athens. Syriza officials emerged from the meeting saying they were confident Greeks would vote no on the “barbaric measures” of the deal, which include massive tax hikes and punishing cuts to social benefits—conditions which the Troika set in order to release bailout funds and which Tsipras had rejected over and over during high-stakes talks in Brussels.
“After five months of hard negotiations our partners, unfortunately, ended up making a proposal that was an ultimatum towards Greek democracy and the Greek people, an ultimatum at odds with the founding principles and values of Europe, the values of our common European construction,” Tsipras said in a national address late Thursday night.
Tsipras said Greece now faces a “historic decision” to respond to the deal by popular vote, adding that he had asked leaders of France, Germany, and the European Central Bank to extend their current bailout by a few days “so this democratic process could take place.”
“These proposals, which clearly violate the European rules and the basic rights to work, equality and dignity, show the purpose of some of the partners and institutions was not a viable agreement for all parties, but possibly the humiliation of an entire people,” he said during his address.
“The question is not whether we will remain in the eurozone,” said government spokesperson Gavriel Sakellarides. “The Greek people should not be afraid.”
The Guardian‘s correspondent in Greece, Helena Smith, elaborates:

The recipient of €240bn in bailout funds – the biggest rescue programme in global financial history – Greece has seen its economy contract by more than a quarter, unemployment soar and poverty levels rise precipitously under the weight of draconian budget cuts and tax increased demanded by creditors.
“It is a democratic decision and the Greek people are being called to give a democratic answer. And that answer is going to be a resounding no,” Lafazanis told Kontra TV.
“If the Greek people say a big no, it is going to be impossible for those who wield power not to take note unless democracy no longer exists.”
Echoing that sentiment, the Greek finance minister, Yanis Varoufakis, tweeted: “Democracy deserved a boost in euro-related matters. We just delivered it. Let the people decide. (Funny how radical this concept sounds!).”

Source: Nadia Prupis, Common Dreams, 27 June 2015

Charter-Time Warner Cable Filing Shows Huge Deal Payoffs For CEOs And Bankers

Sometimes it pays to come in second: Time Warner Cable CEO Rob Marcus stands to collect a whopping $91.9 million if the deal to sell his company to Charter Communications goes through, according to a 700-plus page preliminary proxy filed at the SEC today. He might see $21.8 million in cash, $67.1 million in equity, $396,156 in benefits — mostly for financial planning — and $2.6 million in other awards including a special bonus TWC gave execs for increasing video subs in Q1.

That last bonus is unusual, and seems to give TWC brass a special reward just for doing their jobs: The company agreed to give execs 5% of their 2015 target cash bonus if in any quarter this year the cable company “experienced a net increase in residential video subscribers.” TWC met that goal in Q1, so the board decided to renew it — this time excluding Marcus — to “continue to motivate participants to work to add customers.”
Charter CEO Tom Rutledge can’t complain. He could see $74.6 million from the deals to buy TWC and Bright House Networks if he were to be terminated without cause. That would consist of $15.3 million in cash and $59.3 million in equity.

The document cautions that tallies are estimates based on “multiple assumptions that may or may not actually occur.”
In addition to the pay information, the proxy offers several details about the proposed transaction — as well as its background.
Charter agreed to pay TWC a $2 billion breakup fee if the government blocks it or it doesn’t close at the latest by November 23, 2016. Comcast wasn’t obligated to pay a break-up fee in April when its TWC acquisition deal fell apart.  TWC pays Charter $2 billion if it backs out, for example to make a deal with someone else.
The proxy says that the Comcast deal effectively died on April 22 when the FCC and Justice Department held separate meetings with the cable giant, TWC, and Charter — which stood to benefit from side agreements with Comcast if it bought TWC. Both agencies voiced concerns, and the FCC said that it would recommend that the deal be designated for a hearing. The following day Comcast told TWC that it  had asked the FCC whether any conditions could satisfy its concerns but was told that was “unlikely.”
Rutledge didn’t waste a minute when the companies pulled the plug on April 24. He and his biggest shareholder, John Malone of Liberty Media, spoke to Marcus that day about doing a deal with Charter.
TWC’s representatives received a call in early May from billionaire Patrick Drahi’s Luxembourg-based Altice Group — referred to in the proxy as “Company A.” On May 8 it said that it was willing to pay as much as $200 a share for TWC, far more than Charter’s proposal valued at $172.50. Ten days later Charter raised its offer to $190.
TWC wanted to move quickly, but Altice said on May 20 that it couldn’t immediately come back with a formal offer. The same day Charter raised its cash and stock offer to roughly $200. On May 23 TWC’s board agreed to a deal after its advisers briefed members about Charter’s agreement to pay a $2 billion break-up fee and other conditions.
It paid off well for the advisers. TWC agreed to pay Morgan Stanley $40 million (including $32.5 million when the deal closes). Citigroup Global Markets is up for $32.5 million ($25 million at closing). And Allen & Co and Centerview Partners each are due $27.5 million ($20 million at closing).
On Charter’s side: Goldman Sachs is up for $42.5 million when the TWC deal closes, and another $15 million when the one for Bright House is complete. LionTree Advisors is due $32.5 million when TWC closes, plus $15 million for Bright House.