Tastin' Like Chicken,
Julian Assange announces more proof of Hillary Clinton's pudding, as Wikileaks prepares to release another large, searchable batch of her State Department emails, with which she was so careful to keep to herself. Thanks Ray.
Vote is June 23, and it looks like the "Go" vote is ahead and gaining daily. British debt will get a big ratings downgrade, but the EU might be hurt worse than that. Ambrose Evans Pritchard:
"Britain will be stripped of its coveted AAA status immediately and may face a double-barrelled downgrade if the country takes a leap in dark, jeopardizing its trading and financial ties to its biggest market."
S&P currently rates the EU at AA+ with a negative outlook. It said the EU’s assets are just $58bn, far too little to cover its complex web of liabilities through a plethora of bodies. The agency warned that the ‘Juncker Plan’ for $315bn of investment projects contains “first lost” provisions that could effectively lead to a 20-day margin call on losses. “This would significantly increase the EU’s off-balance sheet exposures over the short term, backing projects that target a higher risk profile. We see this as a marked increase in the EU’s contingent liabilities.” http://www.telegraph.co.uk/business/2016/06/09/brexit-might-trigger-run-on-britains-record-financial-debts-sp-w/
Ambrose states his personal position here, and acknowledges the costs. "With sadness and tortured by doubts, I will cast my vote as an ordinary citizen for withdrawal from the European Union.Let there be no illusion about the trauma of Brexit. Anybody who claims that Britain can lightly disengage after 43 years enmeshed in EU affairs is a charlatan, or a dreamer, or has little contact with the realities of global finance and geopolitics. Stripped of distractions, it comes down to an elemental choice: whether to restore the full self-government of this nation, or to continue living under a higher supranational regime." http://www.telegraph.co.uk/business/2016/06/12/brexit-vote-is-about-the-supremacy-of-parliament-and-nothing-els/
"The European Central Bank (ECB) said they are gearing up for the UK leaving the European Union (EU) by activating swap lines to financial institutions should the Brexit trigger capital outflows in the short-term. Meanwhile, major European Banks are already facing declines in stock valuation." More hints at how big a risk this is to European banking. http://inserbia.info/today/2016/06/european-central-bank-preparing-for-brexit/
Dmitri Orlov is in fine form here today, explaining why interest rates had to shrink to zero, as the projections for future economic growth shrunk. The logical extension for the day that growth is over, and officially acknowledged, is that you will get paid monthly to keep your interest-only negative-interest-rate-mortgage. This is swell, until you look at problems arising, which he does. http://cluborlov.blogspot.gr/2016/06/the-money-cult.html
Pension funds the world over are near having to admit that they will never actually be able to pay everybody what they owe them, based on their 7%-growth-forever projections of investment income. (This is going to take lots of little lies frequently over a long period of time, and enough other really scary news for people to hold themselves fortunate to have cat food and Diet Pepsi.) https://www.sprottmoney.com/blog/the-pension-bubble-how-the-defaults-will-occur-peter-diekmeyer.html
You know those payroll taxes that come out and get sent to the IRS every 2 weeks? It turns out that sudden drops in that income signal that a recession is underway, or half a year or so before it's impossible to hide, and has to be admitted/announced. We're there again. https://mishtalk.com/2016/06/09/us-tax-receipts-signaling-recession/
Syrian government army forces have cut ISIS off from it's main supply and oil smuggling route into Turkey. (tick, tick, tick, tick...) http://sputniknews.com/middleeast/20160611/1041163997/manbij-turkey-route.html
El Nino is officially over, which leaves California still in drought, and Texans wondering how this July and August will play out. (Really wondering, y'all...)