Cats to eat rats, then rats to eat some cats

[Sumerian..]

It looks that the old joke became reality.. : Q: How to create a self sufficient business? A: Let cats eat  rats, then kill some cats to feed the rats and so on.. Sell tanned cats skins.. Now.. I am afraid apart from the serious academic analysis that pops up around the globe, that the thieves are using much more simpler methods than our estimations.. We are possibly giving the thieves a credit they don't deserve Very worrying also if it will be on global scale, to contain efforts of nations by the Banks Lobby. (Bank of England on top, in addition to one of its main subsidiaries: The US Federal Reserves).. So we can imagine that efforts of China will all be contained in this same manner, similar to what happened to Japan, which finally became part of big Western Banker millers. S1000+ Is THIS how the bank bailout money is being used? http://www.youtube.com/watch?v=1eSVIXQzsFs PS: Thanks to Rebel and Xi.. And here is the comment of Xi on the above link: Of course. He treats several topics. Let us go one by one: 1.- Where is the bank bailout money utimately going? Of course, most of them go to hedge funds affiliated to banks, to their subsidiaries, etc. in order to fill their holes and their losses. My question is: is it a surprise? It is a bank bailout, that is what a bank bailout is. Everybody knew it since the very begining of the Toxic Assets Relief Program, it is to fill what toxic assets substracted from their balance sheets. Once their balance sheets are recovered they could start to supply credit again starting from scratch. In theory, they will pay back with future profits if they get profits one day. 2.- 2010 budget a big scam? I guess they mean next budget, the Obama s budget. Not the previous one. To be honest I do not know how this budget has been communicated to Americans. My perception is that it has not been communicated at all, but I can be wrong. There are experts on US Federal budget as it is probably the most spaghetti-alike budget that any coyntry in the world has, if I made myself understood. I have read that next budget seems to be very similar to any other US budget in the past. If it has been communicated as the solution to this crisis it is not true, of course, but maybe it has been the usual politic "exhuberance of messages" or maybe a scam, I cannot know sorry. In any case the solution to this crisis will not come from any budget because economic authorities cannot know now what they might need within coming months. There are too many scenarios, too many risks arounds and nobody can know for sure how they all will behave. The solution must come if necesary from off-budget  (such as further stimulous) or from financial policies such as higher indebtness or on the contary from sudden and dramatic cut of expenditures depending on which risks US economy faces within next months. As he tells, and as usual in all US budgets, the defense budget is one of the main reasons of this crisis (if not the main one) and it does not change in this budget. . 3.- Privatization of transport network and other governmental assets. It might be. What he tells is a potential scenario that makes sense. But I cannot judge on intentions. 4.- The evil cycle banks-Fed-US government-US taxpayers. That is absolutely true. But that happens when a country has a private central bank that lends money to government at a certain interest. If amounts are low it is moderately outrageous, if amounts are high (such as a $1.5 trillions) it is 1.5 trillion times more outrageous. About last comments about what they are going to do with that money I cannot prejudge as I told. I can say that last months they used it to fill their losses and right now they are mostly using that money (or rather lending again with fresh money) mostly to fund carrytrade, but it could end up from one day to the next one, as soon as the Fed decides to change its policy. It is related to my post "What exactly Bernanke aims? and what Americans want" http://groups.google.com/group/world-thread/browse_thread/thread/eff6c6f7c3c15634?hl=en# I hope it helps. If not, please, somment here whatever you want. Thanks a lot for your message, I guess it can help many people to understand better what is happening. Peace and best wishes. Xi ======= S1000+ =======

[xi]

<<So we can imagine that efforts of China will all be contained in
this same manner>>

Or maybe not. We do not know yet.
China Banks Fill Syndicated Loan Void as RBS Retreats
http://www.bloomberg.com/apps/news?pid=20601087&sid=a4iYO7Ud35LA&pos=7

<<similar to what happened to Japan, which finally became part of big
Western Banker millers.>>

Game is not over, at least not yet. PM Mr. Hatoyama East Asia
Community goes into that direction. It is a matter of size.
Same as with Taiwan...
Bank of China, ICBC Seek Taiwan Branches as Ties Warm
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aynRmQSr6L5g

They made a severe mistake in July 2008. It seems to me that now wind
blow in the right direction.

Who knows. We do not give up.
Zhou Says China ‘Passive’ as Dollar Drop Pulls Yuan
http://www.bloomberg.com/apps/news?pid=20601087&sid=aNqcse7ka5pw&pos=3

I guess we will not until one or two months after inflation will be
possitive in China that probably will happen in January or February.
Therefore, first yuan apreciation will not come before March.

Nowadays the game is growth against contraction and speculation. The
faster the global economy grows the better for all of us, the little
human beings.

Peace and bst wishes.

Xi

> Americans want"http://groups.google.com/group/world-thread/browse_thread/thread/eff6...