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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: elmatador who wrote (101253)6/19/2013 6:20:00 PM
From: THE ANT  Read Replies (1) | Respond to of 218118
 
Quite simply, the wealth effect is rendered moot by languishing incomes.

zerohedge.com

The Fed has made a tremendous mistake and is trying to back track. The wealth effect is far surpassed by the falling income effect. QE is a tax--only the wealthy benefit and their spending does not counter act the income fall that QE causes. It also distorts investment. Their policy is ultimately deflationary even if they continue it. Where is inflation? At the right time deficit spending will be needed. It should come from cutting out the FICA tax on individuals, but a divided congress and incompetent President unlikely to see this or react in the correct manner. Most likely a crash in the mkts will lead the Fed to continue QE for the next 20 years leading to a long Japanish deflationary outcome.If this happens it should mean low interest rates for as far as the eye can see. The Fed started QE because no one would act on the fiscal side. They should have stopped after QE II and dared congress to let the economy go down the hole (not have increased deficit spending) One side didnt trust Obama with spending and he wouldn't cut taxes



To: elmatador who wrote (101253)6/19/2013 7:47:21 PM
From: Cogito Ergo Sum  Read Replies (1) | Respond to of 218118
 


From: russet6/19/2013 12:27:58 PM
of 4410
The Defining Image Of Brazil's Largest Protest In 20 Years

Michael KelleyJun. 18, 2013, 11:30 AM

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Brazil is currently gripped by its largest protests in 20 years — about 200,000 demonstrators marched through the streets of Brazil's biggest cities on Monday — driven by public frustration over shoddy public services, police brutality, economic instability, and government corruption.

The turmoil, which has been simmering for months, arises as the country hosts the Confederations Cup soccer tournament (i.e. the preliminary for next year's World Cup) and prepares for a visit from the pope next month.

Images being shared on social media show police beating unarmed protesters with batons, in addition to dispersing crowds with rubber bullets and tear gas, and have only caused the protests to expand.

The terrifying event shown below happened in Rio de Janeiro, where local police said 100,000 people had gathered on Monday evening. It seems that the most dangerous thing the woman is carrying is a cigarette.

AP

[UPDATE 2:56 EDT] A reader claims that the police officer pictured here is spraying the woman pictured with a cooling agent that "actually helps to calm the effects of pepper spray." The AP caption reads: "A military police [officer] pepper sprays a protester during a demonstration in Rio de Janeiro, Brazil, Monday, June 17, 2013."

From NYC Mag:

The photographer, Victor Caivano, tells Daily Intelligencer that the woman, who appeared to be a "normal, middle-class university student," was standing completely alone at around 11:20 p.m. yesterday on a "deserted corner" after the police had cleared the area. "The protest was over, riots included," Caivano says.

Three riot officers approached the woman and told her to leave. When she resisted — the woman either questioned the order or insisted that she wasn't doing anything wrong, Caivano recalls — she was pepper-sprayed. "This policeman just didn't think twice," Caivano says.

As we saw recently in Turkey, a single photo of a protester being sprayed with tear gas at point blank range can galvanize a movement instead of quashing it.

REUTERS/Osman Orsal

"The lady in red"

And as we saw in the case of University of California-Davis, pepper spraying people who are peacefully protesting never looks good and can be costly for authorities.

Wayne Tilcock, The Davis Enterprise

Here's how Todd Benson and Asher Levine of Reuters, reporting from Sao Paulo (where 65,000 people gathered on Monday), described the overall situation:

Contrasting the billions in taxpayer money spent on new stadiums with the shoddy state of Brazil's public services, protesters are using the Confederation's Cup as a counterpoint to amplify their concerns. The tournament got off to shaky start this weekend when police clashed with demonstrators outside stadiums at the opening matches in Brasilia and Rio.

"For many years the government has been feeding corruption. People are demonstrating against the system," said Graciela Caçador, a 28-year-old saleswoman protesting in Sao Paulo. "They spent billions of dollars building stadiums and nothing on education and health."

Here's a picture of the streets of Rio ( there's a Vine too):



Read more: http://www.businessinsider.com/police-pepper-spraying-brazil-protester-2013-6#ixzz2WgDwBocp
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To: elmatador who wrote (101253)6/20/2013 1:29:31 AM
From: Hawkmoon  Read Replies (1) | Respond to of 218118
 
Definitely starting to see this impacting Indonesia.. (I'm currently in Jakarta)..

The IDR is above 10,000 to the USD now.. Been flirting with it back and forth over the past few days since the Indo CB raised rates.. But it appears that is not stifling further degradation of the Rupiah's value..

China is definitely playing a role in all of this too with the credit crunch and interbank lending rates soaring to 25% now..

I'm reading that Indonesia's CB thinks that by ending gasoline subsidies they can strengthen the Rupiah back below 10,000 to the USD.. I'm not so sure. I think China's financial crisis may potentially spiral out of control and impact the entire region..

Hawk