tv [untitled] April 5, 2013 11:00pm-11:30pm EDT
welcome to the kaiser report i max kaiser the where the concerned trolls they cut and paste are concerned for your well being oh my god george soros is selling his paper gold just like he did last year and the year before that and the quarter before that every other quarter before that of course he is and was buying the paper gold right back after the headlines concern trolled you into selling your real gold and in the meantime having sold or real gold you are now no longer a hedge against inflation deflation confiscation stacey or max they're so concerned for your well being they're only telling you this because they're worried about you gold bubble scene turning to bear market by soc gen on recovery investors are unlikely to resist gold holdings because inflation has remained low signs that the
economy is improving may spur the federal reserve to curb stimulus and the dollar has strengthened stopped and said today in a report oh this is a financial narcissism because the dow jones is hitting all time highs but that down jones is the inflation the money printing eighty five billion dollars a month by ben bernanke is being front run by manipulators and stock traders who then are gaining on the gift from bernanke and they're saying that's on place during a song flesh mary that we're channeling greenspan said they're just channeling money directly from the federal reserve bank into stock manipulation and then calling that growth when there's no job growth there's no wage growth there's no g.d.p. growth there's only confiscation using manipulation of the fed and the inflation is dow jones fourteen thousand that's the inflation but by saying that's not inflation it's zero for what i call financial narcissa. which is
a disease but many investors are not actually buying it for inflation it's the chinese government buying it to protect against inflation is the russian government doing it to protect against inflation know they're doing their purchasing gold in large quantities by the tons in order to protect against the collapse of the global fee currency system on the side of the argument in other words is gold in a bear market or is gold telegraphing something about inflation and yes i would agree that's another false statement because the inflation in stock prices is being hedged by china india and these other countries by buying gold which is a natural inflation hedge and that's why these countries have never bought more gold ever in the history of these countries now the fact that it's going sideways at the moment consolidating is meaningless the what george soros does on any given day of any given moment is about as important as studying a net on the butt of angelina jolie and saying based on this net on angelenos
but i'm going to conclude that prices for the gold market are going to go that way or that george soros is a peanut compared to china compared to india compared to these global macro trends he's a he's a parasite he's an opportunist doesn't make him a bad guy doesn't make him a bad trader but i would use him as an indicator of anything other than george soros now the other concern out there is this are bitcoins killing gold price the use of big queen seems to have increased dramatically in spain italy greece cyprus and elsewhere in southern europe over the last two weeks this is most likely driven by increased concerns about the future value of the euro historically these kinds of concerns would have had investors headed for the safety of gold instead the value of big points and shot up in relation to the euro and remember during the cyprus crisis there was a one point three million dollars purchase on mt gox for bitcoins and that's the thing is like. you know they have capital controls they have people at the airports
looking to see if you have more than a thousand euros cash however if you have a thumb drive. you can cross the border or you can keep a big coins in a mind a wallet and you know if you just memorize the address you can walk around anywhere in the world with a million two million five million twenty million dollars in bitcoin and you can use that as good currency and i just want to point out that when the cyprus crisis hit bitcoin it was just getting to that forty to forty five range i said it would get two hundred fifty on the cyprus crisis it did in fact get to one forty eight which is you know good does a good is one hundred fifty i was one hundred percent correct on that another relationship between big coin gold and silver i think it's a bit premature to make those kind of connections because the market cap of bitcoin is not quite heavy or big enough however i will say that those who are owning and buying and building positions in bitcoin you would it would be prudent to peel ten percent off of those profits and park the profits into silver because silver is the
natural hedge of bitcoin going forward big corn and silver will be vying as who will be the global currency that will replace all the other fianna currencies like the dollar and and the year all these other currencies bitcoin especially in places like africa will explode in value the america i predict will be so frickin stupid as to try and outlaw bitcoin that would take them out of the global economy completely and all all economy would shift to the south in africa and eastern asia so this is how you how you play it going forward how i look at it is that gold and silver protection against the collapse of your government and society where is because it is a protection against the collapse of the banking system and confiscation therefore that happens from those deposit accounts so you know they work hand in hand one doesn't discount the other and discredit the other you know they do work together they're the only three hard currencies in the world gold silver and bitcoin they're going to have different relationships price wise going forward and. the point is is
the rise of bitcoin sucking capital out of gold and silver i think no not no not yet but it will especially in bitcoin gets to run of the same market capitalization of silver so that would imply a price of bitcoin of twenty seven hundred dollars per bit coin up from the current hundred twenty hundred fifty range which i see happening you know in the not too distant future then you'll see a lot more money flow back and forth from so over bitcoin gold etc but these are the only three hard currencies in the world today one of the other ways to protect yourself from the collapse of our financial system and our economies and inflation and things like that is your wage and your income now on the top level we have many of the top one percent of course don't actually work for a living they receive income through dividends and capital gains national grid links dividend to inflation the national grid has reaffirmed its commitment to increase dividends and least in line with the rate of u.k. inflation for the foreseeable future now max this is me of what you have always argued to u.k.
workers here is that you should tie your wages to inflation to the money supply in fact but at least here this is the why you see this growth in inequality is that at the top in the top one percent they insist on being compensated for inflation and risk well the top one percent through their channel let's say the b.b.c. is saying that inflation is not a risk thing and inflation's under control because there's no inflation the bank of england going to keep interest rates down to near zero at the same time they're telling their one percent clients that because there's so much friction inflation we're going to tie dividends to higher rates of inflation so you're not gobbled a lot by the real inflation number one number two how can this company the grid afford to pay these escalating dividends to keep up with inflation they borrow the money from the central bank at near zero percent so it's a mechanism what i call interest rate apartheid so if you're on one side of the apartheid wall of interest rates you get dividends from a company that can borrow from. the bank of england
a near zero percent and as the replacement really bites you're protected because now you're dividends are going higher if you live on the other side of the interest rate apartheid wall then you borrow money from some company to wanda to make ends meet for the end of the week and they charge you on an annualized basis four hundred five hundred six hundred percent again you're the financial n word which are not allowed to say because people would panic and you end up being slaughtered so let's talk then about george osborne and his financial non-computer because he looks out at the economy and what he sees as too many workers having too many rights because we have minimum wage could be frozen or cut if it starts to cost jobs or damage economy government suggest the minimum wage for millions of people could have to be capped or frozen in the future if it risks damaging jobs or the economy the government has said so when you look at this economy if you look out here what you see has happened in the global economy over the last five years it's
been too much debt right this collapse has been a problem of god there are just too many damn wages out there people are just earning too much money doing their jobs you know it's been too much student debt too much housing debt too much credit card debt too much debt and the government instead piles on more debt and looks out and says we need those low wage jobs or nurse to just take less pay according to the low wage commission to get back to this financial apartheid when using interest rates everyone has massive amounts of debt the difference is that if you live on one side of the wall your interest on that debt is near zero or zero or less than zero if you live on the other side of that wall your you pay twenty thirty forty eight hundred nine hundred thousand percent annualized interest on that debt everyone has debt but the difference is it what what side of the apartheid wall you live in do you live in the interest rate ghetto or do you live in the interest rate valhalla my second point is that even the telegraph would. this is the conservative newspaper here in the u.k.
argues that minimum wage should be raised germy water arguing that minimum rate should be raised for all the reasons that he states that it makes sense that i've already stated that he is now stating by cutting a minimum wage unit with while while the same time allowing speculators to borrow near zero percent that's not even bad policy that's cruel that's cruelty beyond even financial pressure who's orchestrating this is it gangs con is it a solid in law is it king kong is it godzilla no it's george frickin osborne that put you first and it is a number eleven downing street shame on him now george osborne stood in front of a whole bunch of workers you know workers at a warehouse at a supermarket low pay sort of guys and you talked about the spongers and the welfare bums the people do you want to have to support those people and this is why we should cut benefits but the queen gets five million pound pay rise from taxpayer
grant to cover household running costs rises to thirty six point one million pounds up from thirty one million pounds in diamond jubilee year that's up sixteen percent more like the real rate of inflation the queen does an important role in attracting lots of tourists so i think that's not necessarily bad i think she's not overpaid but i think george osborne is overpaid because he doesn't attract any tourists he just attracts the regions and blues we remember at the olympics he went out to say hello to everybody through garbage out of this that's a guy you're paying too much you're paying him much less than minimum wage you bring him too much and uses it in duncan smith who suggested he could live on fifty three pounds a week or a month that's the guy you want to keep track of because that's the guy we're going to see that's our ok stacey we've got to go thanks for being on the kaiser report thank you max stay to have a second half will be talking to simon rose of save our savers.
there's is trash to get rid of. but it's also a treasure. that's worth fighting for. and a trap was no way out. let me let me i want to or not let me ask you a question from. here on this network is what will happen in the day we have our knives out from. the previous the sights banks thing there again we're in a situation where the united states talk about surveillance me.
welcome back to the kaiser report i'm max keyser time now to turn to simon rose of save our savior simon rose welcome back to the kaiser report thank you very much max some of those people talking about cyprus and the new cozy beheading not just the character of the job but the beheading now you point out here at the save our saviour's campaign that in the u.k. they've suffered a twenty percent decapitate of their money tell us about you know what we said we looked at how much they were getting on average before but up to that record low by five percent and we looked at what they did in the three years since it was cut and the actual loss to save it's been about one hundred billion pounds but of course inflation is be much higher than expected as well. the difference between. inflation and what you're actually getting fuel savings on your cash is an account from one hundred twenty so in total two hundred twenty billion pounds has been lost
by u.k. savers in four years alone in this country and given that we've got a total of five numbers just trip off the tongue one point one trillion but essentially it is twenty percent of the entire value of savings that's just gone never to be recovered in the last four years so why is the u.k. press getting so worked up about what happens in cyprus where they don't seem to give a monkey's about what happens in the u.k. it's ridiculous i think you bring up a few points there first of all this two hundred twenty billion pound figure put in the context are those who are arguing that the half a percent rate that is being on offer from the from the bank of england essentially is helping people pay their mortgages it's been calculated recently that mortgage payers are saving approximately seventy billion pounds what you're saying is that simultaneously the economy is losing three times that amount of money in lost income from the coal worship adventure series they're forcing down of interest rates in an. natural way from the normalized rate of four or five percent down to
this half a percent and so for every pound essentially that george osborne is gifting to the city of london he's stealing three from the other sixty five million british people who are now suffering as a result of this calculation this calculation would destruction of an economy by george osborne on behalf of a few speculators in fact it's de capitalized in the country and he kept listening so how can you have capitalism in any form without capital this crazy little is a rift on this dick capitalization theme for a second because there is a tower of london where they perform decapitations well high up the tower of london all about ground what people got killed for was high treason what was one of the crime so high treason deep basting the currency what else have they been doing but the banks in the currency now what people used to be sentenced to was you can get
tortured you didn't get caught but you got hung and drop and drawn to a place of execution and then. or woman than do you debase the currency but that is exactly what they have done so are saying is that george osborne were alive a couple hundred years ago three hundred years ago he would be roped time to run each of his extremities his arms and legs attached to horses and they would gallop off in opposite directions and he would be torn asunder then burned then home then spit on then killed why do i suddenly feel a lot happier. sadly that doesn't appear to be the case these days so this is an economic problem and it's a problem also of jurisprudence in other words the the the standards of justice in this country have collapsed because there's a treasonous treasonous no good nick that's being allowed to sashay around in the house of commons stealing money but it isn't just hey it's everybody we've got the
bankers we go the government you've got the opposition there are hardly any m.p.'s told seemed to understand what is going on very very few but he stood up in front of the group of workers with their reflective jackets on you know just ported over from the cross well project and he started talking about why these workers are important he speak to us with forked tongue or not only that but the latest thing is the people he's got his mean adopting estuary english which is latino was a white van way of talking right lifeguarding disorder is to us it's accent you know a guy original sound like one of the blokes is the i'm not a posh little you know it's the same thing with george already likes it just the accident just so to make it appear doesn't it george bush used to sound purposely stupid because in america if you sound like george bush stupid it means you're somehow honest so you have george osborne going from the posh accent to you know it's more cockney on the scale to sound real doesn't matter what he does i'm sort of going to have
a drink down the pub with him all right let's move on because i mean that you know the whole of this easy money thing is just becoming up six would be in the course the one group the benefits most is. the governments on the one george was doing nothing about it you go back to two thousand and nine he was giving speeches about how the conservatives were going to help save us i mean the promises they made were quite extrude to the moment they got into power of course they just forget it now the economy of course this is what about this idea of he brought forward of cutting the minimum wage because interestingly enough in the telegraph. which is considered to be more you know right when. there was a story i forget who the jim hosley jerry warner was was arguing in favor of that actually minimum wage to be raised so here's another now first of all if if the left wing out there were smart they would jump all over that but of course none of them read the telegraph so they didn't even know that this right wing guy was arguing for higher minimum wage but what are your thoughts on what the trouble is i can see both sides of the only humans and i've read jeremy morse's piece and it seemed very reasonable went on kubrick the same time you know i've read hazlitt i
understand the libertarian view and there's the worry that the people who are actually damaging by having a minimum wage all the people who would want all stopping being stopped from getting getting jobs because employers simply called it was my point if you're going to keep a central bank that's forcing interest rates down while the same time flooding the money supply out there so the corporations of banks' balance sheets are exploding another words bankers and politicians essentially are paid on the growth of money supply whereas that labor is to be paid on something tied to inflation which is tied to the consumer price index why not try minimum wage to money supply and say you know the word if they're going to have a central bank that's manipulating interest rates then worker should have a should have some skin in the game and they're there and their salary their way should be tied in the same way to money supply or conversed only get rid of the central bank and have a free market off who ran before but you can't have a situation where it's a a give away
a gift george osborne gifting money to the city and then penalizing workers at the same time not what you say he's at. common sense but when was the last time you had common sense coming out of number eleven downing street or any politicians about the problems they will not admit to what they're doing they will not admit how they are deep basing the currency they will often miti into the true inflation numbers i mean we work these out on the fischel inflation figures which in the last five years we've had inflation about seventeen percent on r.p.i. or c.p.i. index but there's a city firm called who are the thought in the side of most economists because they actually look at the real picture first and they take over telaprevir blue collar to pre-born very good for. the cream bar i don't know if they got that may but they have two very good guys like every like more american like joe's data joe's data joe's they are going to work well you know their work and see for any way slim. they are called pre-born i'm going in just for you there are economists to morgan
calculated how much the prices of essential is going up because many people particularly save or save as members there are things they have to spend money on food energy these sort of things right now seventeen percent is an index encompassing all goods including things like i pads you know not all pensioners are going to able to afford a source there's really no real rate raising over the five years is not seventeen percent but thirty three percent who actually look at the economic figures and take that figure of thirty three percent to the last few years but it's not just the economy's been stagnant it's been going backwards very very quickly to the government says that inflation is roughly two point eight percent yet based on what you just said it's double the number yet at the moment it's not very much higher but certainly of the last few years yes it has been significant so when people have this sensation of the other month that they're not able to buy as much as they did the month before on start of they actually need like food energy things like this they're correct yes and it even on the official figures in real terms incomes in the u.k. much like in america are back to where they were about ten years ago so no wonder
most people feeling poor unless they're the beneficiary of things like q.e. and they're working in the city or there are politicians what's the breaking point . what point do you have like a poll tax right at what point do you have people saying you know what you've lied to me about inflation you've lied to me about your objectives in q.e. you've stolen twenty percent of the country's g.d.p. you've a fine feathers announced a financial terrorist without any legal recourse whatsoever i've had it that's it i'm going to revolt it were over we don't know in england i suspect the breaking point is is much later than everywhere else when you know we used to have fantastic revolts in the days when they put people in that place behind that but how assaulting is it for the government to give people one p. off a beer. while the same time giving the city of london billions and billions of but that is the headline and that's what many people will notice yeah and they won't understand what's happening to them but it's a good bit and they don't think they think it's hurting the public like monkeys like here's a here's a banana you fricken monkey zookeepers take it all the real money i mean it's not
insulting i mean those who keep are georgia surprise you politicians i'm just surprised people put up with that i mean they're like oh we're peed off point to beer i'm so happy with their journey like a frickin monkey in a zoo you bozo the reason of course is because they make it sound so complicated when actually it's very simple they're basing our money it is worth less all the time and that is what everybody not just saves he's feeling poor and then on top of all that you've got the situation in cyprus which is made even worse by diesel blue whatever his name is saying well you know actually we might just take your money where that who we just saw you were going to in future so suddenly save those who have been losing money through inflation being out of an interest rates and saying to themselves if they've got any common sense hang on i thought saving cash deposit was a risk free thing to do what if it doesn't have a risk why are you going to do it for one percent of tell you when you might have forty percent or more of your money suddenly confiscated again let me tell truth let me repeat the big point here and that is that people who are upset about cyprus
have to realize that in the u.k. they've already had their cyprus i mean almost every western nation where they have this. it's still going on and going once it's getting i mean it all lost a lost budget has just done exactly the same thing as before we have a debt crisis here as you was point out our debt is between five and nine times we take everything together five and nine times our annual income that's right we. death toward economists who say it doesn't matter because we owe it to ourselves well i mean this is still going on it's getting worse not all that much it's not you know what in this not all you get out there is thirty percent is comes from overseas and at some point they'll pull the plug yeah absolutely so we've got all this debt and what does he do in the budget he tries to get people to take on more debt yeah well because you as you pointed out it works so well in america trying to encourage people called affordable houses to drive away fannie mae and freddie mac. a failure so why is i was born repeating that failed policy as if it's going to magically you know undergo some harry potter like transformation why i don't know i
think they expected a few years ago that things would just somehow magically get better and that robert would be pulled out of that well he's not going to have we know why because for forty or fifty years even though death has expanded every single decade there have been periods of growth yes that were growth has exceeded debt rate of increase but starting it but it is a bit of a ponzi scheme in two thousand and seven two thousand and eight the music stopped and for five years now no matter what they do there's no growth the growth rate is going rapidly in reverse and no matter how much money they print them out how much debt they inject there's not any growth above the route of debt that's growing now i think we have about a minute left let me just touch briefly on mark carney who's coming in to run the bank of england he wore an economy. smarmy carney smarmy carney ok you heard it here first any thoughts you got about twenty seconds on what might be we expect from a savings point of view imagine he's going to try and push inflation up even higher but that's no aunts ritually dumb passmore i'm thinking sadly the cover of the bank
of england's no they have to choose the chancellor i think he's going to work behind the scenes he's going to get rid of i was born he's got the regulatory purview now so easy cumulating power he's a power mad psycho ex hockey player they got him the head of the hockey but i think many times i think it would be good news for savers unfortunately for us to when you know we talked about this before when it went to people breaking but it's going to be reached i really don't know what we've already resolved this you know all right simon rose of save our savers runtime thanks for being on the kaiser report it's all right now going to do it for this edition of the kaiser report with me max kaiser and stays here but i think my guest simon rose of save our saviors the most important group now operating in this entire frickin country if you like to contact me please send a tweet find me there or perhaps you'd send an e-mail to kaiser report r t t v dot are you are you prepared for the truth.
potentially deadly blizzard taking aim for the northeast it's expected to hit stunning in a few hours from new york to maine we have team coverage of the storm. but what we're watching is the very heavy snow moving into boston proper earlier today it was very sticky you can see it start to become much more powdery down here the bottom line there is still a lot of snow out here a good place for snowball fight. jason it is going to be pretty incredible day there and even record snowfall throughout what's been like nobody's luxury driving lessons to them urgency fear lurks absence.