The Stupid, Foolish Jerk Spoke Again; Bush Homeownership Gimmick Will Compound the Crisis

August 31, 2007 (LPAC)--No doubt pushed by the force of the rapidly unraveling economic situation, President Bush today unveiled a "plan" for helping the people in danger of losing their homes. Flanked by Treasury Secretary Hank Paulson, undoubtedly one of the authors of the scheme and Alfonso Jackson, the Secretary of Housing and Urban Development, Bush presented his proposal. The total fairyland nature of Bush's grasp of what he's dealing with, was revealed as soon as he opened his mouth, again describing the "strength" of the American economy.

Generals Will Take No Responsibility for Bush's Iraq Plan

August 31, 2007 (LPAC)--A report by McClatchy Washington Bureau's Nancy A. Youssef today makes clear that the top US generals and Defense Secretary Gates are avoiding any responsibility for Bush's forthcoming September appeal to "stay the course" in Iraq. Rather than present him with any one recommendation, Gates and the Joint Chiefs and other generals will each give him their individual recommendations, beginning in a scheduled meeting between Bush and the Joint Chiefs today. "If there are differences, the President will hear them," said Pentagon spokesman Geoff Morrell.

Indonesia Successfully Arranged Taliban Release of South Korean Hostages

August 31, 2007 (LPAC) - While the world press is reporting the release of the last of the 23 South Korean Christian proselytizers held hostage by the Taliban (other than the two they had killed), it is generally unreported that the deal was worked out by Indonesia, which never broke relations with the Taliban when the U.S. invasion drove them from office in 2002.

California's Electricity Grid Still Crippled by "Enron''

August 31, 2007 (LPAC)--The aftermath of the 2000-2001 manufactured California energy crisis, which bankrupted one of the country's largest utilities, and nearly the state, and threw millions of people unnecessarily into darkness, reared its ugly head this week, as a shortage of electric generating and transmission capacity led to calls for "conservation," [turning off air conditioners in 100+ degree heat], and almost shut off power to large industrial users. Thanks to deregulation, California does not have enough capacity to weather heat waves and keep the power on.

A Crises Within a Global Crisis: Saxony Finance Minister Resigns in Germany Due to SachsenLB Crisis

August 31, 2007 (LPAC)--According to Sueddeutsche.de, Horst Metz, the Finance Minister of the German state of Saxony announced his resignation on Friday effective on September 30 as a consequence of the crisis at the SachsenLB. As Finance Minister Metz was also the chairman of the Board of Directors of the SachsenLB. Metz continued to defend the emergency sale of the SachsenLB the previous weekend without the agreement of the Parliament as required by the Constitution.

Russian Space Agency Announces New Initiative for Moon Mission

August 31, 2007 (LPAC)--Russian Space Agency head Gen. Anatoly Perminov announced new plans for the Russian space program on August 31, which adds bold new missions to what has been a stagnant policy. According to space.com, it includes the first post-1960s official intention to send cosmonauts to the Moon, which should be possible by 2025. Perminov referred to the creation of "a new manned spaceship," which could be the reusable Clipper, and would replace the vintage 1950s Soyuz. Interestingly, these are two programs that were promoted by former Energia Corp.

Walmart, Home Depot, Now Sears: U.S. Retail Sales Collapsing

August 31, 2007 (LPAC)--Offering steep discounts didn't stop sales falling for the second quarter this year at two more big discount chains in the U.S. On August 30, Sears announced that its sales had fallen 4.3% in the last quarter, and that Kmart's fell by 3.8 percent. As a result, Sears profits fell by 40% in the quarter, the second quarter in a row they declined.

Two other retail chains directed at America's lower 80%, Walmart and Home Depot, announced their sales had declined two weeks earlier.

Ray McGovern and Paul Craig Roberts Duck the Issue in Calling for Impeachment of Both Bush and Cheney

August 31, 2007 (LPAC)--In two separate items, which appear on AntiWar.com authors Ray McGovern and Paul Craig Roberts sound the alarm on the imminent danger of war being launched against Iran. Both call for impeachment as the only way to prevent such a war. Ray McGovern writes in his item entitled "Bush Puts Iran in Crosshairs": In my view, air strikes on Iran are inevitable, unless grassroots America can arrange a backbone transplant for Congress. The House needs to begin impeachment proceedings without delay."

British Press Plays Up Russian Vulnerabilities To Financial Crisis

August 31, 2007 (LPAC)--At a point when President Vladimir Putin has called for a new financial architecture, and his government has at least somewhat curtailed the furious activity of Russian firms on British markets, in particular, Ambrose Evans-Pritchard writes in today's Daily Telegraph of London about imminent dangers to Russia from the financial crisis abroad.

Justice Department "Talking To" Allawi's Bush-Connected Law Firm

August 31, 2007 (LPAC)--Ayad Allawi's Bush-family-connected lobbying firm, Barbour Griffith & Rogers, has been questioned by the Justice Department, and is now trying to figure out how to amend its foreign-agent filing, since Allawi disclosed on CNN on August 26th that an unidentified Iraqi financial supporter was paying his lobbying bills. Allawi is campaigning to replace current Iraqi President Maliki.

LaRouche Gets a Good Laugh Out of Fed Chairman Bernanke

August 31, 2007 (LPAC)--In a display of abject simplemindedness which sent economist Lyndon LaRouche into peals of laughter,[img:align=right;class=pictures;date=2007-08-31;desc="Ben+%22Bubbles%22+Bernanke%2C+has+taken+over+his+protege+the+one+time+Bubbles+Creator+Alan+Greenspan";layout=standalone;pid=4414;size=article;src="\/files\/pictures\/0ba36021008c65f063e592eb545d50f5\/article.jpg";title="Bubbles+Bernanke"] Federal Reserve chairman Ben Bernanke today described the ongoing blowout of the global financial system as an "episode," when he gave his much ballyhooed address to the Federal Re

Gone But Not Forgotten: Alberto Gonzalez is Under Justice Department Investigation

August 30, 2007 (LPAC)--U.S. Senator Patrick Leahy, Chairman of the Senate Judiciary Committee, announced that he had received a letter today from Department of Justice Inspector General (IG) Glenn Fine, affirming in response to Leahy's letter two weeks ago, that the Office of the IG will be looking into Leahy's concerns "about potentially false, misleading, or inappropriate testimony" by resigned Attorney General Alberto Gonzales before Congressional committees, centering on five subject matters.

LaRouche Urges Caution on Russian "Train Salon" Speculation

August 30, 2007 (LPAC)--Lyndon LaRouche today urged caution, in attempting to sort out the complicated circumstances, surrounding the murders of a number of prominent Russian and Russian-based journalists. LaRouche was responding to reports from several well-placed U.S. intelligence sources, who said that some of the journalists who have been lionized by the John Train Foundation and like-minded Anglo-American spook circles, were not, during their lifetimes, necessarily "Train salon" assets. The sources singled out two murdered journalists, Anna Politkovskaya and Paul Klebnikov.

Columbine, MySpace, and Facebook--a Deadly Mix--Named In Investigation of Virginia Tech Killer, Seung-Hui Cho

August 30, 2007 (LPAC)--There are grave and frightening clues in the just-released report of Governor Tim Kaine's Virginia Tech Review Panel that Seung-Hui Cho was exactly the kind of violent-media and video game addict about which LPAC has been warning since April 16, when Cho killed 32 people, then himself, in two separate campus locations. It was the worst youth school shooting in history---in any country.

Chilean Labor Demands a "New Deal" from President Bachelet

August 30, 2007 (LPAC)--"Chile tomorrow will have greater dignity because its working men and women today are saying "listen to us." "Chile demands a New Deal, a new social and political commitment, and we're going to demand that from the streets, no matter what the cost." With these words, Arturo Martinez, Secretary General of the CUT labor federation summed up the events of Aug.

Army Contracting Probe Based on Cheney's "Laws": Privatization and Permanent War

August 30, 2007 (LPAC)--Yesterday, Secretary of the Army Pete Geren announced that he had established two commissions to look into Army contracting, once internal to specifically look into problems in the contract management office in Kuwait, and the second, an external panel, to look more broadly at how the Army does contracting in general. The problem is that Geren's mandate for both investigations accepts Dick Cheney's assumptions that led to the contracting problems that Geren seeks to address.

Facing a Tidal Wave of Foreclosures, Activists in California and Michigan Are Calling For "New Deal'' Legislation

August 30, 2007 (LPAC)--As Lyndon LaRouche noted on August 21, when he put out the initial call for a [a:href="http:\/\/larouchepac.com\/news\/2007\/08\/22\/larouche-proposes-homeowners-and-bank-protection-act-foreclo.html";title="Homeowners and Bank Protection act"]Homeowners and Bank Protection act[/a], to avert a grave social crisis, there is a tidal wave of foreclosures across the nation. While many stop-gap measures are being proposed and discussed, none of them measure up to the top-down solution laid out in LaRouche's proposal.

LaRouche denuncia las mentiras bélicas de los británicos

29 de agosto del 2007 (LPAC).— Lyndon LaRouche denunció hoy el estudio de un centro de análisis británico que sostiene e e que Estados Unidos pueden destruir el programa nuclear de Irán, su infraestructura de defensa y su gobierno en cosa de horas, como "una obscena sarta de mentiras" con el único objetivo de inducir al presidente George "Mi nombre es legión" Bush a un ataque suicida contra la República Islámica, que arrojaría al mundo al cataclismo de una Guerra de Cien Años.

Británicos incitan la guerra de E.U. contra Irán

28 de agosto de 2007 (LPAC).— Dos centros de análisis británicos produjeron un informe de 80 páginas donde alegan que Estados Unidos tiene la capacidad militar para destruir el programa nuclear de Irán, su base industrial y su infraestructura de gobierno en cosa de días, si no de horas, con una campaña de bombardeo masivo, que ya está lista y que, por órdenes del presidente Bush, se podría activar en cualquier momento.

Iran Contra Hit Man, Yair Klein, Arrested in Moscow; Links Lead to Elliot Abrams

August 29, 2007 (LPAC)--Russian authorities arrested retired Israeli Lt. Col. Yair Klein in Moscow on August 27, as he prepared to board a plane back to Tel Aviv, using a false passport. The arms trafficker, notorious for his role in arming conflicts from the Americas to Sierra Leone, has been wanted by Colombian authorities since he was convicted in absentia in 2001 of training the drug cartel's paramilitary forces in terrorist tactics in the late 1980's.

Both Barclays and Royal Bank of Scotland have Dumped Hedge Fund CDO Chiefs.

Aug. 30 (LPAC) - In another act signifying the disaster facing the largest British banks, Royal Bank of Scotland (RBS), the Queen's own bank, has announced the "resignation" of Rick Caplan, who was managing director at RBS Greenwich Capital in Connecticut, where he headed the Collateralized Dept Obligations department. Caplan had previously worked for Citigroup, where he created a "structured financing" mechanism called "Yosemite prepay structures" for Enron, intended to reduce Citigroup's exposure to Enron.

"Britain's Role in the New Cold War"

August 30, 2007 (LPAC)-- In July, British Defense Secretary Des Browne, informed parliament that the U.S.-run Royal Air Force (RAF) base, Menwith Hill, which is the largest spy base in the world, would be incorporated in the U.S. Ballistic Missile Defense (BMD) system. Defence Secretary Browne also said that a new early warning radar at RAF Fylingdales would also be part of the U.S. BMD plan.

Former GOP Congressman: 'Absolute Nonsense' for Congress To Put Up With Cheney-Bush Stonewalling

WASHINGTON, August 29, 2007 (LPAC)--Former U.S. Representative Mickey Edwards (R-OK) laid into both Republicans and Democrats in Congress today for failing to fulfill their Constitutional responsibilities, especially with regard to Congress's recent passage of the bill which gutted the Foreign Intelligence Surveillance Act (FISA) and vastly expanded the Administration's powers to conduct warrantless wiretapping.

Bernanke, Trying To Bail the Stock Market, Promises Liquidity

August 29, 2007 (LPAC)--Federal Reserve chairman Ben Bernanke promised the Fed is "ready to act" whenever needed to pump more liquidity into financial markets, in a letter written to Sen. Charles Schumer (D-NY) so that Schumer could release it today. It was identical to the wording of the Federal Reserve statement of Aug. 17, when it dramatically cut the discount rate by half a point.

Le Figaro Discusses the Chances That 'Toxic' Cheney Must Go

PARIS, August 29, 2007 (LPAC)--The Aug. 27 issue of Le Figaro has a major article by Washington correspondent Philippe Gélie on the mounting pressure on Cheney to resign. Entitled, "Dick Cheney, A Controversial Vice-President," the article has a big picture of Bush and Cheney, with a caption: "Dick Cheney has become a millstone around Bush's neck. At his lowest in the polls, he is often designated as the 'worst vice president in the history' of the United States."

'There Ain't No Recovery Here' Is the Real Picture from Census Poverty Data

August 29, 2007 (LPAC)--The U.S. Census report, released yesterday, has prompted headlines such as this one on the front page of the Indianapolis Star today: "In Indiana, 37,500 sink into poverty," with a kicker, "2006 rise echoes a reality food pantries, social services agencies already know." The Star's analysis reports this rise into poverty in 2006 has cost "the state's economy at least $100 million a year in lost productivity, health care and crime."

Democrats Flunking Foreclosure Crisis; LaRouche Proposes FDR Approach

August 29, 2007 (LPAC) Democratic Presidential pre-candidate Barack Obama chose the London Financial Times to lay out his plan to deal with mortgage foreclosures in the United States: Fine the subprime lenders who sold deceptive mortgages to homebuyers, and use the proceeds to help bail out these borrowers. Obama's villain behind the subprime crisis is "the lobbyists" for the subprime industry, rather than the hedge funds and predatory financial institutions. Some 90 of the lender firms he'd like to fine, have gone under this year!

Iranian President Miscalculating Iran War Danger

August 29, 2007 (LPAC)--Iranian President Mahmoud Ahmedinejad is making a dangerous miscalculation when he repeatedly says that U.S. forces are too over-stretched, and the domestic political climate too unfavorable, to be able to make an attack on Iran. Ahmedinejad repeated the assertion today while on a state visit to Russia, stating "Washington's threats of a military solution [of the Iranian nuclear question] are largely propaganda."

LaRouche: Se tiene que actuar inmediatamente para septiembre, octubre

27 de agosto de 2007 (LPAC) — Lyndon LaRouche respondió hoy de la siguiente manera a un correo electrónico que recibió de Giorgio Vitangeli, economista, escritor y director del semanario "Finanza Italiana" en Roma: "Las acciones de reforma necesarias tienen que empezar de inmediato, en las semanas de septiembre y octubre, que se desenvuelven rápidamente . La ferocidad cada vez mayor de la desintegración ya en marcha ha creado la posibilidad de lanzar la primera de una serie de reformas por etapas.

Copenhagen Mayor Supports New Kattegat Bridge Conference

COPENHAGEN, Aug. 29, 2007 – The mayor of Copenhagen expressed her support yesterday for having Copenhagen co-sponsor a large conference to investigate the possibility of building a direct connection between Copenhagen, and Denmark 's second-largest city Aarhus, across the Kattegat Sea.

The Kattegat connection, including a high-speed magnetically levitated rail line, has been a key proposal of the Danish Schiller Institute, collaborators of Lyndon LaRouche, to integrate the nation into the Eurasian Landbridge.

British Hype U.S. War With Iran

August 28, 2007 (LPAC)--Two British think tankers have produced an 80-page report arguing that the United States has the military capability to destroy Iran's nuclear program, its industrial base and its government infrastructure in a matter of days, if not hours, through a massive bombing campaign, that has already been set in place, and could be activated at any moment, by orders from President Bush.

Italian Senator Says Subprime Mortgages Only Tip of Iceberg

August 28, 2007 (LPAC)--Italian Senator Mario Baldassarri, Vice-Minister of Economics and Finance from 2001 to 2006, stated in an interview with EIR that the real crisis goes well beyond the question of mortgages, and has to do with the structure of the real economy. Baldassarri said, "the high-risk, or sub-prime, mortgages which everyone is talking about, are only the tip of the iceberg, in the sense that the real issue is the U.S. imbalance, the imbalance of the global economy."

Rates of Medically Uninsured in the U.S. Increases For the Sixth Consecutive Year

August 28, 2007 (LPAC)--Bloomberg.org reporting on a new study by the U.S. Census Bureau notes that forty-seven million Americans went without health insurance in 2006, an increase of 2.2 million people from the year before. For the second year in a row, the percentage of children without medical coverage increased. The Census Bureau estimates 8.7 million children or 11.7 percent had no insurance. Once again President Bush's home state of Texas has the highest rate of uninsured in the country with 24 percent of its population without coverage.

La Reserva Federal tuerce las reglas para salvar al Citigroup y el Bank of America

24 de agosto de 2007 (LPAC) — La Reserva Federal lanzó otra acometida desesperada esta semana, enviándole cartas tanto al Bank of America como al Citigroup el 20 de agosto, autorizándoles a "saltarse" los límites legales de cuánto pueden prestarle a sus propias firmas de correduría, según reveló hoy la revista Fortune. Fortune comenta: "Esta medida inusual de parte de la Fed muestra que las mayores firmas de Wall Street continúan teniendo problemas para financiar sus operaciones en las actuales dificultades del mercado, según escépticos de la industria bancaria.

LaRouche: Dada la crisis financiera mundial, los EU deben retirar de inmediato las tropas de Iraq

26 de agosto (LPAC) — Lyndon LaRouche exigió hoy el retiro inmediato de todas las fuerzas militares estadounidenses en Iraq, citando el desarrollo combinado de las crisis hipotecaria y bancaria que hacen que cualquier prolongación del compromiso militar en Iraq sea una locura total. LaRouche advirtió que "ahora tenemos una combinación de las crisis bancaria y de vivienda, que sólo es el preludio del derrumbe financiero más grande de la historia moderna. Cualquiera que hable de una prolongación de la guerra en Iraq, bajo estas condiciones ya en desarrollo, está loco".

Sharks in the Waters: Merrill Lynch Targets its Rivals, Bear Stearns, Lehman Brothers Holdings and Citigroup

August 28, 2007 (LPAC)--"There has been no good place to hide during the month of August, which must surely go on record as one of the industry's most hair-raising ever," wrote Guy Moszkowski a Merrill Lynch & Co. analyst as he recommended the companies rivals be lowered from a "buy" rating to "neutral." He co-authored a report entitled "Differentiation Escalates," in which the case was made that Merrill rivals, Lehman Brothers Holdings Inc., Bear Stearns Cos. and Citigroup Inc.

British Empire Front Groups Profit on American and Iraqi lives

August 28, 2007 (LPAC)--The British defense contractors' stock prices have increased tremendously since the Iraq war began 4 years ago. According to a report in today's Timesonline, the stock price of the following companies experienced unprecedented increases:

* Chemring, which makes missile counter measures, had its stock increase by 609%;

* BAE Systems has risen 225%;

* Ultra Electronics, which makes battlefield information technology systems, rose 156%; and

* VT group, which builds and maintains warships, advanced 187%

José López Portillo was right in 1982, and is even more right today

See the new 15-minute video

Excerpts from the speech delivered by Mexican President José López Portillo to the United Nations General Assembly, October 1, 1982

(On behalf of the General Assembly, it is an honor for me to welcome to the United Nations the President of the United Mexican States, his excellency Mr. Jose Lopez Portillo, and I invite him to deliver his speech.)

———————-

José López Portillo tuvo razón en 1982, y tiene aun más razón hoy

Ve el video de 15 minutos

Extractos del discurso pronunciado por José López Portillo, Presidente de México, ante las Naciones Unidas, 1 de octubre de 1982

(A nombre de la Asamblea General, es un honor para mi dar la bienvenida en las Naciones Unidas al Presidente de los Estados Unidos Mexicanos, su excelencia el señor José López Portillo, y le invito a que pronuncie su discurso.)

—————————

Will Fran Townsend be the Attorney General Nominee?

August 27, 2007 (LPAC)--With today's announcement by President George W. Bush that he has accepted Alberto Gonzales' resignation as Attorney General, the question on everybody's mind is: Who will Bush choose as Gonzales' replacement? Well-placed Washington sources have told Executive Intelligence Review that, despite all of the media hype about the current Homeland Security Secretary Michael Chertoff, the actual White House favorite is Fran Townsend, who is the counter-terrorism and homeland security aide to the President.

El economista italiano Antonino Galloni pide un Nuevo Bretton Woods

23 de agosto del 2007 (LPAC) — El economista italiano Antonino Galloni le envió a la EIR una declaración donde dice que "las actuales turbulencias financieras son apenas una probada de lo que nos espera, empezando este otoño". El sistema, continúa Galloni, "se caracteriza por un exceso evidente de liquidez en los sectores especulativos, tales como los fondos compensatorios y los derivados, y por una falta de capital para las inversiones".

Declaration of Independence

WHEN, in the Course of human Events, it becomes necessary for one People to dissolve the Political Bands which have connected them with another, and to assume, among the Powers of the Earth, the separate and equal Station to which the Laws of Nature and of Nature's GOD entitle them, a decent Respect to the Opinions of Mankind requires that they should declare the Causes which impel them to the Separation.

LaRouche: "With this Global Financial Crises Unfolding, U.S. Must Withdraw Troops from Iraq Immediately"

August 26, 2007 (LPAC)--On Sunday, Aug. 26, Lyndon LaRouche called for the immediate withdrawal of all American military forces from Iraq, citing the unfolding combined housing and banking crises, that make any extension of the U.S. military engagement in Iraq a total folly.

Iraq War Debacle: Civilian Death Toll Running Ahead of 2006

August 25, 2007 (LPAC)--According to an analysis by the Associated Press, more Iraqis have died due to war related violence through August of 2007 than died in all of 2006. AP reported 13,811 deaths, last year, and 14,800 so far this year. The Iraqi Red Crescent organization also reports that the number of internally displaced Iraqis increased from 411,337 on January first to 1.14 million on July 31.

Hey Bush! Even Generals Say Iraq Troop Levels Must be Reduced

August 25, 2007 (LPAC)--For months, mixed messages have been coming out of the Pentagon over how many troops the Army and the Marines will sustain in Iraq. Army Chief of Staff Gen. George Casey has been making the case that the Army cannot sustain current troop levels much past April, 2008, warning recently that "We're consumed with meeting the current demands and we're unable to provide ready forces as rapidly as we would like for other contingencies." Chairman of the Joint Chiefs of Staff Gen.

Pentagon Makes Excuses Over Failure to Deliver Urgent Armored Vehicles

August 25, 2007 (LPAC)--The Pentagon's mad scramble to provide the urgently needed MRAP (mine resistant ambush protected) armored vehicles for troops in Iraq appears to be actually slowing down the production and shipping process. Earlier, this week, officials revealed that the Defense Department will fall short of its goal of shipping 3,500 vehicles to Iraq by about half. Maybe 1,500 of them will actually arrive by year's end.

Iraq Failure: Three Unpleasant Realities the White House Doesn't Want to Hear

August 25, 2007 (LPAC)--In the rush to set the stage for the post-Labor Day report by Gen. David Petreus and Ambassador Ryan Crocker to the U.S. Congress on the political and military success of the "surge" of American forces in Iraq, President Bush has ignored three unpleasant facts. Washington sources report that the White House goes livid when these issues are brought up. In addition, high level retired policy officials warn that Iraq could become "Dunkirk in the Desert" if the administration doesn't face the reality that withdrawing from Iraq is the only possibility for peace.

Federal Reserve Officials Conduct Brainwash Session at Southern Governors Conference

August 25, 2007 (LPAC) --The Southern Governors Association Annual meeting opened at a casino in Biloxi, Miss., on the "redneck Riviera" today, with three regional Federal Reserve Presidents conducting a brainwashing seminar on the virtues of the "service economy." Despite the recent weeks of turmoil on financial markets due to the ongoing crash of the housing bubble, and the unraveling of financial institutions which engaged in heavy speculation on housing related paper, not a word was spoken on this topic.

Are Cheney and The British Plotting a Coup Against Al-Maliki?

August 25, 2007 (LPAC)--There is mounting public evidence that the Bush Administration and the British government are actively plotting the overthrow of the al-Maliki government in Iraq, and its replacement by a "strongman" tied to Iyad Allawi and the recast Iraqi intelligence service. According to one well-placed Arab source, the U.S. and British governments are actively working behind the scenes to isolate and discredit the current Iraqi prime minister, with accusations that he is an Iranian agent or, at least, a Shi'ite-only sectarian leader, who cannot hold the country together.

South Africa Secures National Uranium Supply Against Speculators

August 25, 2007 (LPAC) -- South Africa may compel local miners to offer uranium first to the state to feed the country's expanding nuclear energy program, a senior official said on Wednesday, reported South African news media two days ago. The government announced this month it would ramp up use of nuclear energy as it moves to meet fast-growing demand for power, using the country's large reserves of uranium.

Typical British Propganda Campaign to "Cleanse" the Collapsing Markets

August 25, 2007 (LPAC)--In the context of the acute problems faced by Barclays Capital in London, a backgrounder in Frankfurter Allgemeine today recalls the derivatives affair of 2000-2001, when Barclays sold CDOs worth hundreds of millions euro each, to German state banks like Sachsen LB, West LB, LB Schleswig-Holstein and LB Hamburg (both now merged in HSH Nordbank)--and even to the London-based European Bank of Reconstruction and Development (EBRD). Those CDOs suffered massive losses, later on.

El desplome del crédito internacional alcanza a los bancos británicos; ¿saldrá Canadá al rescate?

26 de agosto de 2007 (LPAC) — Los esfuerzos del Banco de Inglaterra por declarar al Reino Unido a salvo de la tormenta financiera internacional se vieron alterados esta semana. El martes, los mercados saltaron ante la noticia de que una institución no mencionada había recurrido a un préstamo de los mecanismos de emergencia del Banco de Inglaterra, desatando una búsqueda frenética del prestamista.

Hostigan a periodista boliviano por transmitir programa con vocero de LaRouche

La Paz, 23 de agosto (LPAC) — El periodista Aníbal Aguilar, cuyo programa semanal "Bolivia viable" por el canal 13 de la televisión universitaria en La Paz y Radio Cruz del Sur ha buscado durante siete años cultivar un sentido de optimismo de que Bolivia puede desarrollarse como una nación soberana unificada, informó que ha sido objeto de una creciente campaña de calumnias y amenazas que buscan silenciarlo.

NY Fed Admits it is Taking Garbage as Collateral

August 24, 2007 (LPAC) - The Federal Reserve Bank of New York has officially "affirmed its policy to consider accepting as collateral investment quality asset-backed commercial paper" (ABCP) for its discount window, according to Bloomberg today. Decorating the garbage with the silver wrapping of "investment grade" fools no one, as it has been widely exposed that the rating agencies have applied A1 ratings to ABCP which is re-packaged BBB- garbage from the sub-prime gutters.

Gen. Pace to Call For a Cut in Troops by One Half

August 24, 2007 (LPAC) - "The chairman of the Joint Chiefs of Staff (Gen. Peter Pace) is expected to advise President Bush to reduce the U.S. force in Iraq next year by almost half, potentially creating a rift with top White House officials and other military commanders over the course of the war." This comes from Julian Barnes and Peter Spiegel at the LA Times. This credible report comes one day after Sen. John Warner defied the Administrations request that there be no comment on Iraq until after Gen.

Rep. Marcy Kaptur Leads Congressional Investigation of British Mercenaries in Iraq

August 24, 2007 (LPAC)--Rep. Marcy Kaptur has requested an investigation of Aegis, the infamous British mercenary firm run by former SAS officer Tim Spicer. The Special Inspector General for Iraq Reconstruction has agreed to conduct an audit. Between Aegis and its "rival" British mercenary outfit Erinys, the two largest contractors for security forces in Iraq, signed contracts in 2004 to defend the Army Corps of Engineers in Iraq, earning a total of $550 million since then - $200 million more than originally budgeted.

More Economic Insanity: Wild Speculation in Agricultural Commodities

August 24, 2007 (LPAC)--In the mist of the financial collapse, the insanity in the financial world will get wilder. For example, speculation in agricultural commodities is reaching record levels. Last May, Charlie Carey, Chairman of the Chicago Board of Trade (CBOT), offered this understated description to the Illinois Farm Bureau's Farm Week: "We see growth in commodity products worldwide." In 2006, the CBOT set its fifth consecutive record year for transactions, and as of the Spring of 2007, the trading pace was already 17% above 2006's rate.

Tracking of the Populations' Mood: Rep. Tom Davis Gets Attacked For Cheney's Iraq War

August 24, 2007 (LPAC)--Rep. Tom Davis' (R-Va.) appearance at a Town Hall Meeting on the Iraq War yesterday with Rand Beers, an Iraq War opponent and former aide to the Bush National Security Council, demonstrated again that the Cheney-Bush policy is destroying the Republican Party at all levels, and any association with it is proving highly toxic.

Sub-Prime Lenders Keep On Advertising, Despite Empty Cupboards

Aug. 24 (LPAC) - No one refutes that the sub-prime mortgage lenders are flat busted and rapidly going out of business. And yet, advertisements continue to appear peddling free money. The Washington Post today, asking sarcastically "What Credit Crunch? It's Still Subprime Time," pictures a few of these ads:

* Countrywide: "Refinance - no up-front cost or obligation;" * LendingTree: "$400,000 loan for $1,287/month - Refinance Today! - Save up to $400/month Bad Credit Options;" * MyRate: "Good Credit, or Poor Credit - Make it Easy to Refinance & Save - It Only Takes a Minute!"

Lehman cierra su unidad hipotecaria; despidos en todo el sector

22 de agosto (LPAC) — El explosión de la burbuja hipotecaria en los Estados Unidos empezó a golpear el empleo en todo el sector inmobiliario. La Lehman Brothers anunció que planea cerrar su negocio de hipotecas de alto riesgo, BNC Mortgage, recortando 1,200 puestos de trabajo. Al mismo tiempo, la financiera Accredited Home Lenders y el banco HSBC anunciaron pérdidas combinadas de más de 2,000 puestos de trabajo. Accredited Home Lenders Holding Co., con matriz en San Diego, anunció hoy que va a cerrar más de la mitad de sus operaciones hipotecarias y despedir a cerca de 1,600 empleados.

'Major, Major Credit Crunch' Has Takeovers Stopped Dead

August 24, 2007 (LPAC)--The amount of unsold "leveraged takeover debt" on the books of major banks--which may have to "eat" that debt themselves with major losses--has reached $325 billion, with nearly $200 billion on the books of a dozen or so investment banks according to a JP Morgan Chase report. Reuters news service today quotes a number of bank economists saying that there will be no more leveraged takeover deals for at least six months, probably longer.

PIMCO's Bill Gross Calls on FDR, But Calls for the Grossest Bailout Imaginable

August 24, 2007 (LPAC)--Bill Gross, CEO of the world's biggest bond trading company PIMCO, with a sober reputation for disdain for irrational speculation, calls for a huge Federal bailout of the mortgage industry in an op-ed published in several newspaper Aug. 24--yet uses the name of FDR and the language of the New Deal to describe this indiscriminate bailout of homeowners, speculators, and toxic mortgage-backed securities alike.

HISTORY: 'Jim Was Wright' on Protecting the Savings Banks in 1980s Foreclosures Crisis

August 24, 2007 (LPAC)--Lyndon LaRouche, in releasing his principles for an emergency action on the foreclosures crisis and growing credit panic--the[a:href="\/news\/2007\/08\/22\/larouche-proposes-homeowners-and-bank-protection-act-foreclo.html"] Homeowners and Bank Protection Act of 2007[/a] --pointed to crucial historical examples. Franklin Roosevelt asked Congress to take comparable action in April 1933. And in the 1980s Savings and Loan collapse/foreclosures crisis, 'Jim was Wright,' LaRouche said.

Tremonti Echoes LaRouche, Calls for Roosevelt's New Deal

August 24, 2007 (LPAC)--Giulio Tremonti, former Italian Finance Minister[img:align=right;class=pictures;date=2007-08-24;desc="Giulio+Tremonti%2C+Former+Finance+Minister+of+Italy%2C+at+the+2006-G8+Finance+Ministers%27+meeting.+Picture+can+be+found+at+www.g8russia.ru";height=250;layout=standard;pid=4386;size=article;src="\/files\/pictures\/03a96f74e12c37aa2bf8b824feb680de\/article.jpg";title="G8+Finance+Ministers%27+Meeting";width=200] and currently deputy chairman of the Italian Chamber of Deputies, reflected many aspects of Lyndon LaRouche's analysis and solutions to the current crisis in a

La banca española, cargada de préstamos malos y narcodinero

23 de agosto del 2007 (LPAC).— El diario alemán Neues Deutschland publica hoy que los supervisores de la banca española analiza el riesgo al que están expuestos 13 bancos prominentes de España con la crisis hipotecaria, entre ellos el Banco Bilbao y Vizcaya (BBVA) y el Banco Popular, lo cual ciertamente contradice una declaración reciente del primer ministro socialista Rodríguez Zapatero de que la "crisis no afectará a España".

El Washington Times filtra la estrategia de la "carta sunni" de Cheney

22 de agosto del 2007 (LPAC).— Un artículo de primera plana del Washington Times de hoy, documenta lo que previamente se había reportado aquí: la estrategia de Cheney para construir una "zona de alivio" sunni en Iraq, en contra de Irán y en contra del gobierno, encabezado por los shi'itas, de Nouri al-Maliki. El artículo titulado "Dirigentes Sunni ganan poder colaborando con los E.U." reporta cómo, pasando sobre la oposición del gobierno de al-Maliki, los dirigentes de las fuerzas armadas de E.U.

"Escandalosa" volatilidad en las tasas de los Letras del Tesoro EU muestra que la crisis no cede

22 de agosto de 2007 (LPAC).— Una jugada del Banco de la Reserva Federal de Nueva York el 21 de agosto, para tratar de revivir los atascados mercados que tienen que ver con los préstamos comerciales de corto plazo, al dia siguiente casi desató la paralización del mercado de las propias Letras del Tesoro de E.U. a 30 días, lo que muestra que la crisis del mercado crediticio internacional está causando pérdidas hasta en las tasas de la deuda soberana de los E.U.

Rating Firms Downgrade Mortgage-backed Securities to Junk

August 22, 2007 (LPAC) -- A drastic downgrading of the ratings on nearly $100 billion in mortgage-backed securities is currently underway.

Fitch Ratings agency said it is reviewing $92.1 billion "worth" of securities backed by pools of sub-prime mortgage debt. All but $4.2 billion of the securities under scrutiny are rated above BBB, or "investment grade," a rating which is no longer believable.

ECB Must Act Like Roosevelt, Not 'Like a Frightened Child'

August 22, 2007 (LPAC)--University of Maryland economics professor Peter Morici, in a column published today ("Hedge Fund Con Men at the Heart of Credit Crisis") makes this trenchant comparison between the actions of the central banks in the credit crisis, and those of U.S. President Franklin Roosevelt:

"It's a modern-day run on the bank, where the banks become the depositors, and the hedge funds and equity funds are the banks. Unfortunately, the ECB [European Central Bank] behaved as if it were Franklin Roosevelt, and is in out of its depth."

Declaración del LYM para Iberoamérica: Únete a LaRouche en la construcción del puente al futuro

Los informes económicos sobre el caos en los mercados que presentan los medios de comunicación en estos días, no son más que la lluvia de escombros que cae del cielo, de una explosión que ya sucedió. El sistema financiero, que en los últimos treinta años se montó sobre el proceso económico mundial, se agotó y, junto con él, nuestra capacidad física para mantenernos vivos. Sin embargo, esto no ha sucedido por falta de alternativas.

Lyndon LaRouche, el connotado economista y ex candidato presidencial demócrata estadounidense, advirtió de este proceso ¡hace más de 35 años!

Russia and Europe to Develop Next-Generation Spacecraft

August 22, 2007 (LPAC)--Russia and the European Space agency agreed to form a working group to develop a next-generation manned spacecraft, according to Novosti news agency.

Russia must either replace or substantially up-grade its time-honored Soyuz, while Western Europe has never developed an independent capability to send astronauts into space. The U.S. Shuttle program ends in 2010 with no immediate replacement.

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