Money On The Never Never – Borrowed money that’s never repaid
By Dan Denning, Capital and Conflict, Thursday 28 July 2016
A perpetual bond is borrowed money that never has to be repaid. A government issues the bond at a fixed interest rate, payable via coupon in perpetuity, with the principal never to be repaid, unless the government chooses to redeem the bond. This may seem crazy. But keep in mind that Japan may join France and Spain, who’ve already taken advantage of ultra-low interest rates to sell bonds that mature in 50 years (2066). Ireland and Belgium have sold 100-year (or century bonds) in private placements (not auctions).
My point is: with official interest rates at record lows, governments are not shy about selling long-term debt now. The demand is voracious, as central bankers hoover up shorter maturities. And the cost is low. From a purely rational point of view, if you’re a government, why wouldn’t you borrow at these prices?
By Ambrose Evans-Pritchard, Telegraph, 28 July 2016 • 8:38pm
The International Monetary Fund’s top staff misled their own board, made a series of calamitous misjudgments in Greece, became euphoric cheerleaders for the euro project, ignored warning signs of impending crisis, and collectively failed to grasp an elemental concept of currency theory.
This is the lacerating verdict of the IMF’s top watchdog on the Fund’s tangled political role in the eurozone debt crisis, the most damaging episode in the history of the Bretton Woods institutions.
Read full story (Recommended): http://www.telegraph.co.uk/business/2016/07/28/imf-admits-disastrous-love-affair-with-euro-apologises-for-the-i/
Update on #chilcot #answer4iraq
Today we reached £125,000 on our CrowdJustice page. We are now only £25,000 away from our £150,000 target.
Because of your generosity and support, our legal team has been able to start work on our case, but we will need the full amount to enable them to finish it.
You have done so much for us already but we would be so grateful if you would continue to share our CrowdJustice page with any friends or family who might also give, and share on social media to raise awareness.
Here is a sample message for Facebook that some of our friends have been posting:
Following Chilcot, the families of soldiers killed in Iraq want to bring legal action against the politicians responsible. I’ve donated. Join me: https://www.crowdjustice.co.uk/case/chilcot/
Thank you again,
Roger Bacon and Reg Keys
Go to the case page!
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What better way to mark the end of the first full week of the new government than to be able to report that a TaxPayers’ Alliance proposal has already been adopted? In The Spending Plan which we published last year, we noted that the number of people registered with GP surgeries in England exceeded the actual population by more than 2.2 million due to double counting of people who have changed surgery, moved overseas or died. Given that surgeries receive an annual payment for each person on their roll, these “ghosts patients” are unfairly increasing the bill to taxpayers by more than £100 million. So we were delighted by the announcement that ministers are to take action to deal with the issue – news which our Research Director, Alex Wild, welcomed in this BBC radio interview.
A NEW Daily Express online poll has revealed that 98 per cent of respondents – 3,548 people – want the historic Brexit vote to be enacted now instead of Britain being embroiled in months or years of talks with Brussels bureaucrats.
Ed – Propaganda and bias ARE the BBC watchwords of our time. Just as the BBC editors are assessing every news story for sections to remove or massage to conform to their politically correct, left liberal, inclusive, diverse racist spin filter – so viewers must watch for the bits they don’t report to understand just how distorted their view of the world is. In doing so you can establish just how far gone the BBC is to losing whatever credibility its ‘news’ service has.
The BBC has unilaterally chosen not to report the Munich attacker’s full name, in what appears to be an attempt to scrub any Muslim or Islamic heritage link to its coverage of the incident.
Most sources at this point suggest that Ali David Sonboly – the Munich attacker who targeted children and killed nine yesterday – is not connected to radical Islam, but the BBC has gone to extraordinary lengths to try to keep any reference to his heritage out of its coverage, opting to name him only as “David Sonboly”.
Other news organisations including the Wall Street Journal, Independent, Daily Mail, and Sky News named the attacker as “Ali David Sonboly” or “David Ali Sonboly”. CNN even referred to him simply as “Ali Sonboly”.
Read full story: http://www.breitbart.com/london/2016/07/23/bbc-scrubs-muslim-name-ali-munich-killer-article/
One month on from the historic vote to leave the inward looking, protectionist and backward European Union, the British people are already reaping the rewards.
Since the vote, we’ve seen UK unemployment decrease, wages rise, mortgage lending increase, retail sales surge and UK borrowing slow. On the markets, the FTSE 100 is up and the FTSE 250 is still near its pre-Brexit record high. Interest rates have been held at 0.5% and the Bank of England has said that Brexit has not caused a sharp slowdown in the British economy. Indeed, the IMF has even admitted that the UK’s economy is due to outgrow both France and Germany’s and the new Chancellor, Philip Hammond, has confessed that there is no need for an emergency budget. Despite the recent PMI numbers, the evidence is overwhelmingly positive – including factory export growth at a two year high.
By William Watts Deputy markets editor, July 21, 2016
In coming weeks, the situation has the potential to create at least near-term global market turmoil as financial and political risks collide. It also threatens to catch many investors, who had assumed the world’s banking woes were largely in check after the financial crisis, by surprise.
With that in mind, here’s a short guide to what you need to know about Italy’s banks.
Read full story: http://www.marketwatch.com/story/why-italys-bank-crisis-could-be-ticking-time-bomb-2016-07-21
By Douglas Murray, 19 July 2016
Last Friday I noted that you don’t have to go back many months to get the latest mass-casualty terrorist atrocity in Europe these days. But even while people were still trying to find ways to portray the Nice truck driver as a victim of urban-planning laws we had the next attack.
Across Europe whole schools of sociology professors will now be being deployed to come up with any explanation for why people called Mohammed keep on shouting ‘Allahu Akbar’ and killing everyone.
Read full story (Recommended): http://blogs.spectator.co.uk/2016/07/french-mood-finally-snaps-marine-le-pen-will-waiting/
BRITAIN’s jobless rate has tumbled to its lowest level since 2005 amid increasing wages to signal further evidence of the UK’s robust economy, data revealed today.
The amount of people unemployed fell by another 54,000 between March and May to 1.65 million between – a rate of just 4.9 per cent, showed figures from the Office for National Statistics (ONS).