Austerity

Tsipras Rejects EU Ultimatum, Demands Bridge Deal: “Greeks Can’t Take More Disappointment”

Zerohedge Speaking defiant tone on Sunday evening, Greece's new Prime Minister Alexis Tsipras showed no signs of backing away from the commitments and pledges he and his party made to the Greek people (and that so many staunch status-quo huggers believe he will back down from). Raging that Greece "won't…
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Austerity

Eurogroup Gives Greece 10 Day Ultimatum: Apply For Bailout Or Grexit

Zero Hedge Update: And now this: "Moody's places Greece's Caa1 government bond rating on review for downgrade" The key driver for the review for downgrade is the high level of uncertainty over the outcome of the negotiations between Greece and its official creditors over the terms of Greece's support programmer.…
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Austerity

IMF Announces Staff Level Agreement with Ukraine on US$14-18 Billion Stand-By Arrangement

The mission has reached a staff-level agreement with the authorities of Ukraine on an economic reform program that can be supported by a two-year Stand-By Arrangement (SBA) with the IMF. The financial support from the broader international community that the program will unlock amounts to US$27 billion over the next…
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Austerity

Ukraine To Stun Citizens With 40% Gas Price Hike, Tax Deposits Over 100,000 Hryvnia (To Appease IMF?)

Gas Zero Hedge Alas, Ukraine's honeymoon period with its new rulers may end far sooner that most expect, and it will be certainly accelerated with news such as this. A few hours ago, Interfax reported that Ukraine expects to increase domestic gas prices by 40% once discounted import prices from…
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The Tanks Are Rolling In Post-Devaluation Kazakhstan

Zero Hedge Following the 20% devaluation of Kazakhstan's currency on Tuesday, the nation has quietly drifted into a very un-safe scenario. As the following clip shows, tanks and Humvees are lining the streets around Almaty as stores are closed and food is running desperately short. Local accounts note that the…
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Germany: Bundesbank calls for capital levy to avert government bankruptcies

Reuters (Reuters) - Germany's Bundesbank said on Monday that countries about to go bankrupt should draw on the private wealth of their citizens through a one-off capital levy before asking other states for help. The Bundesbank's tough stance comes after years of euro zone crisis that saw five government bailouts.…
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Austerity

Detroit: Orr temporarily halts pension freeze to allow more time for mediation

Detroit News Emergency Manager Kevyn Orr on Monday temporarily halted a Dec. 31 freeze of pension benefits for 5,600 non-uniform employees to give retirees and labor unions more time to negotiate in bankruptcy mediation sessions. Orr made the decision hours after The Detroit News first reported that he quietly imposed…
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Susan George on the secret capitalist cabal behind European austerity

The Guardian by Claire Provost In a discreet villa in Switzerland, carefully chosen experts have been assembled by a shadowy group of wealthy and powerful commissioners and tasked with answering a single big question: how, amid the global financial crisis, can a renaissance of western capitalism be best ensured? This…
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Spaniards seek free food as soaring costs bring cruel Christmas

Yahoo Barcelona (AFP) - After dropping off her children at school in Barcelona, Esmerelda Ingles eats out for breakfast, not at one of the Spanish Mediterranean city's swanky cafes but at a soup kitchen. The 31-year-old mother of three survives the winter on free food, as the soaring cost of…
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A face to Detroit’s bankruptcy: Paralyzed firefighter to lose health benefits

Fox The federal government has money problems. So, imagine the federal government telling wounded warriors coming back from overseas that they'll no longer take care of them, and instead, those veterans will get $200 a month for healthcare and a pair of broom sticks to walk around on. Outrageous right?…
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The Connection Between Gov Shutdown & Customer Deposit Grabs

Occupy Corporatism Speaking of the threat of government shutdown, Senator Tom Harkin warned: “It’s dangerous. It’s very dangerous. I believe, Mr. President, we are at one of the most dangerous points in our history right now. Every bit as dangerous as the break-up of the Union before the Civil War.”…
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June Restaurant Spending Plunges By Most Since February 2008

Zero Hedge On one hand restaurants and bars have been a boon to the US economy. As first reported in June, and updated two weeks ago, America's waiters and bartenders (increasingly more of which are part-time) have made up a disproportionately large portion of job creation in the nation, rising…
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New EU Plan Will Make Every Bank Account In Europe Vulnerable To Cyprus-Style Wealth Confiscation

The Economic Collapse Did you actually believe that they were not going to use the precedent that they set in Cyprus?  On Thursday, EU finance ministers agreed to a shocking new plan that will make every bank account in Europe vulnerable to Cyprus-style ; In other words, the wealth confiscation…
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Dr. Doom: “A Lot Of Problems Are Coming… Revolution… Social Strife…”

Famed economist and investment guru Dr. Marc Faber of the Gloom, Boom and Doom Report weighs in on global happenings. He predicted the collapse of global financial markets in 2008, and pegged their subsequent rise to the day back in 2009. If there’s someone out there with his finger on the pulse of the…
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David Stockman’s Non-Recovery Part 5: Peak Debt And The Wages Of Keynesian Sin

Zero Hedge In the final section of this five-part series (Part 1, Part 2, Part 3, and Part 4) on the dismal reality behind the non-recovery, David Stockman explains what lies ahead. He details in his new book 'The Great Deformation', that the mainstream notion that there is a choice…
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Detroit Recovery Plan Threatens Muni-Market Underpinnings

Bloomberg Emergency Manager Kevyn Orr’s plan to suspend payments on $2 billion of Detroit’s debt threatens a basic tenet of the $ trillion municipal market: that states and cities will raise taxes as high as needed to avoid default. Orr, appointed by Republican Governor Rick Snyder to oversee Michigan’s largest…
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Greek Bonds Plunge As Ruling Coalition Partner Pulls Out, Withdraws Ministers

Zero Hedge As reported yesterday, Greece has stormed right back to the top of the crisis charts, not only due to the previously reported news that the IMF may be withholding further payments until Greece finally gets its house in order (three years later one can forget this will happen),…
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“Dirty Haircut”: New Zealand’s Plan to Confiscate Bank Deposits

John van Zeist When New Zealand politicians say the “haircut” OBR document from 2011 is different from what is happening right now in Cyprus, they’re just spouting propaganda. Yes, in small detail it may be a little bit different, but in its designed effect just the same. And how is…
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Saxo Bank CEO On The ‘Eurozone Minefield’: “This Crisis Will Not Pass”

Zero Hedge Niall Ferguson recently remarked, " is a politicial experiment gone wrong. The experiment was to see if Europeans could be forced into an even closer union - despite their wishes - by economic means, because the political means failed." In this brief clip, Lars Seier Christensen, co-CEO and…
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Greece starts firing civil servants for first time in a century

Christian Science Monitor Pushed by its European creditors amid its crippling economic crisis, Greece began this week to do something it hasn't done in more than 100 years: fire public-sector workers en masse. Following weeks of tough negotiations with its lenders – the "troika" of the International Monetary Fund, the…
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The Global Status Quo Strategy: Do More Of What Has Failed Spectacularly

OfTwoMinds blog The global Status Quo--the , the , China, Japan, Cyprus, Greece, Italy, Spain, et only one choice: do more of what has failed spectacularly. A key goal of propaganda is to mystify and obscure the Power Elites' real quandary and agenda. For example: we're just trying to help…
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As Forewarned, The Irish Savers Have Just Been “Cyprus’d”, And There’s MUCH MORE “Cyprus-ing” To Come

Zero Hedge This is likely to be the biggest finacial story of the month, a story that's bigger than Cyprus, and a story that you're not going to see in American mainstream media - not by a long shot. Let's take this from the top, for BoomBustBloggers were warned weeks…
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Swiss To Vote On Gold Repatriation – “Gold Is The Only Valuable Asset On The SNB’s Balance Sheet”

Zero Hedge A few weeks ago, we wrote of the Swiss People's Party's efforts to gain enough signatures to force the Swiss National Bank (SNB), who 'supposedly' guarantees the price stability in Switzerland, to stop selling its gold reserves. This last week, as the FT reports, they reached the required…
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Fed Governor Stein Warns When A TBTF Bank Fails, Depositors Will Be Cyprus’ed

Zero Hedge Two months ago, Fed governor Jeremy Stein caused a major stir among the very serious excel-using economists and other wannabe "scientists"-cum-voodoo witchdoctors, when he hinted that it was the Fed's actions that were leading to "overheating" in the markets. It took quite a bit of rhetoric by other…
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Germany raids hundreds of homes looking for tax cheats

AP German authorities launched dawn raids on the homes of over 200 suspected tax cheats Tuesday, acting on information gleaned from a CD containing the confidential account details of thousands of Swiss bank clients. The top tax officials in the southwestern state of Rhineland-Palatinate said he expected to net some…
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Fed Orchestrated Smash In Gold: “Stocks of Physical Gold are Declining”

“I have assumed from the beginning that it is the Fed’s concern with the dollar because the dollar is being printed in huge quantities at the same time that other countries are abandoning the use of the dollar as international payment. The exchange value of the dollar is (being) threatened,…
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German ‘Wise Men’ push for wealth seizure to fund EMU bail-outs

Telegraph Professors Lars Feld and Peter Bofinger said states in trouble must pay more for their own salvation, arguing that there is enough wealth in homes and private assets across the Mediterranean to cover bail-out costs. “The rich must give up part of their wealth over the next ten years,”…
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Bail-in and the Confiscation of Bank Deposits: The Birth of the New Financial Order

James Corbett and Prof Michel Chossudovsky The recent bail-in in Cyprus has given the world a glimpse at the future of the banking landscape. Now, as Canada gets set to hardwire the bail-in process into law, analysts like Michel Chossudovsky are warning how the big banks can use this template…
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The Wall Street Ticking Time Bomb That Could Blow Up Your Bank Account

Cyprus-style confiscation of depositor funds has been called the “new normal.”  Bail-in policies are appearing in multiple countries directing failing TBTF banks to convert the funds of “unsecured creditors” into capital; and those creditors, it turns out, include ordinary depositors. Even “secured” creditors, including state and local governments, may be…
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Cyprus Central Bank In Shambles Following Third Board Member Resignation

Zero Hedge Perhaps the most underfollowed story of the day is the blatant takeover of the Cypriot Central bank by the ECB, which as we reported earlier, has been ordered to sell their gold by the ECB's Mario Draghi, even though the disposition decision of the "independent" central bank of…
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Cyprus Bailout Size Increases By 35% In One Month To €23 Billion, 120% Of GDP

Zero Hedge As was reported in the previously presented Cypriot Debt Sustainability Analysis, which among other things had this stunner inside of it, things in Cyprus have gone from bad to worse in the brief span of a month. 35% worse to be exact, because this is how much the…
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Europe Extends Confiscatory Non-Template ‘Template’ To Interbank Deposits

Zero Hedge While every European leader, banker, street-sweeper has made a point to use the phrase “Cyprus was not a template” in the last few weeks since D-Boom dropped his tape-bomb, it appears that in reality plans continue to push ahead to indeed ‘legalize’ these confiscations. As Reuters reports, European Union…
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