Keiser Report №6: Markets! Finance! Scandal!
Every week Max Keiser looks at all the scandals behind the financial news headlines. This week, Max Keiser and co-host Stacy Herbert look at sad Santa stories and bailout largess for the politically connected. Keiser also speaks to economist and best-selling author Ravi Batra about wage gaps and revolution in America.
Duration : 0:27:23
[youtube 0QeOrfHPD-g]
Tags: Bill O'Reilly, economic, financial, Fox news RT, global economy, Goldman Sachs, JP Morgan, Keiser report, Mark Keiser, markets, O'Reilly factor, RT, Scandal, Stacy Herbert, stock markets, technology, Wall Street
January 18th, 2010 at 9:23 am
Woah, Max.
Don’t …
Woah, Max.
Don’t you know the “Global Warming” is total fraud?
I would have thought you did.
January 18th, 2010 at 9:23 am
maybe a hangover
maybe a hangover
January 18th, 2010 at 9:23 am
Is stacy on drugs …
Is stacy on drugs or something? What is with the halting delivery? And I agreed with Max on the economy but I think he is full of when it comes to global warming. Max doesn’t know about the climate and shouldn’t be bullshiting about something he knows nothing about.
January 18th, 2010 at 9:23 am
It is incredible …
It is incredible but whoever disagree with the status quo don’t get airtime in the States. Why Max has to go to RT? Why is he not in MSNBC or CNN?
January 18th, 2010 at 9:23 am
@Choros22 – your …
@Choros22 – your number on the total Derivatives market is exaggerated.
The statistics show that it was money velocity, not money stock, driven by the animal spirits of speculation from rising housing prices and reduced regulations on lending standards and securitization that opened the floodgates into mortgages.
It was Ron Paul’s “Liberty and the Free Market” of animal spirits speculation and loosened regulation.
Google: “The Fed Did NOT Cause the Credit Crunch, It Was Securitization”
January 18th, 2010 at 9:23 am
Technology is also …
Technology is also replacing workers which likewise draws down on demand.
January 18th, 2010 at 9:23 am
The derivative …
The derivative market, reported at over a quadrillion dollars, was not caused by the Fed it was caused by financial market deregulation. These banks however were able to source low interest loans for financial speculation simply by borrowing from another US bank that was linked the the Federal reserve system. When the Fed lowers rates it actually increases the supply of credit all around the world due to the global nature of the financial system.
January 18th, 2010 at 9:23 am
That is incorrect, …
That is incorrect, the majority of debt in the United States is not actually from foreign savings but rather sourced straight from the Fed. Around 70% of Americas debt has been created by the fed. To blame this on capital inflows is to divert blame from the people really responsible for causing this crisis.
January 18th, 2010 at 9:23 am
You apparently …
You apparently ignore the fact that is physically not possible to have an asset price bubble without an expansion in the supply of credit, and it is low interest rate policies that expand the supply of credit. Just because you have low interest rates will not guarentee that a bubble will form, but it is not possible to have a bubble in the first place without low interest rates. The Fed caused the great depression with low rate policies and they have done the same thing again.
January 18th, 2010 at 9:23 am
@Choros22 – and it …
@Choros22 – and it was the Investment Banks that were doing the bulk of the securitization and those investment banks were not part of the Federal Reserve System, such as Goldman Sachs and Morgan Stanley that did not become bank holding companies and a Fed member until Sept. 2008 to avoid collapse like Lehman, which was also not a Fed member bank..
January 18th, 2010 at 9:23 am
@Choros22 – Foreign …
@Choros22 – Foreign savings fueled the securitization bubble that fueled the mortgage credit bubble.
Central bank loans are loans of last resort where private sector lending is not available because the Fed-member bank is in distress.
The Fed-member bank is supposed to obtain financing from the private capital markets as was the case that fueled the securitization bubble of the housing bubble.
January 18th, 2010 at 9:23 am
@Choros22 – the …
@Choros22 – the deciding factor was not interest rates, it was the money velocity into risky mortgages due to loosened lending standards that produced a flood of risky mortgages that were securitized into fixed income bonds and sold to investors, which included many of the Wall Street investment banks, which led to their collapse..
January 18th, 2010 at 9:23 am
@Choros22 – the US …
@Choros22 – the US and global economy is far more complex than just blaming it all on “interest rates” as the Ron Paul kooks do.
Central Bank interest rates were a part of it, but we don’t have a new housing bubble now with even lower Central Bank interest rates because we’ve eliminated the RISKY MORTGAGES!!!!
The facts are the facts. Countries with lower interest rates had no housing bubbles while the US had one and countries with higher interest rates than the US had a worse housing bubble.
January 18th, 2010 at 9:23 am
@averageworkinggal …
@averageworkinggal I would add that the first financial crisis in history in 1340 occured in an environment where there was absolutely no financial market regulation at all and also no government as we now know it. To suggest that it was regulation was the cause is not the case, however the claim that the feds low interest rate policy is absolutely based in reality. The expansion in the supply of credit has always been a cause of crisis inc the 1340 episode.
January 18th, 2010 at 9:23 am
@averageworkinggal …
@averageworkinggal You are wrong it was the interest rates. The way that a central bank reduces interest rates is by increasing the supply of credit in the economy. This well tend to drive asset price bubbles. In order for expansionary monetary policy to actually affect the economy you must have demand for debt. There is a point where monetary policy will stop working like right now cause noone will borrow. Spain and Ireland were effected by US monetary policy due to the global nature of markets
January 18th, 2010 at 9:23 am
strongassodorman – …
strongassodorman –
You mark yourself as a Ron Paul kook with that interest rate obsession.
The US has lower interest rates now than during the housing bubble but no housing bubble now.
Germany and Japan had looser monetary policies than the U.S. but didn’t experience housing bubbles.
Spain and Ireland had tighter monetary policies than the US but even bigger housing bubbles.
It wasn’t the interest rates, it was the lower lending standards that created the flood of risky mortgages.
January 18th, 2010 at 9:23 am
strongassodorman – …
strongassodorman – you’re still a TOTAL FINANCIAL DOOFUS when it comes to the Derivatives market and understanding the exact causes of the 2008 Financial Crisis..
Derivatives are purely a “Ron Paul” market.
It’s purely unregulated, thus making it pure Ron Paul.
You’re clearly too stupid to grasp that.
Any criticism of the Free Market must be an attack on Ron Paul, since Ron Paul has stuck his ugly face out there as the Numero Uno “Liberty and the Free Market” pimp.
January 18th, 2010 at 9:23 am
My comments above …
My comments above regarding M. Keiser are, of course, just speculation. However regardless of that his show is very interesting although I do not trust him completely.
January 18th, 2010 at 9:23 am
Watch-out for the ” …
Watch-out for the “independent” activists and “experts” telling you lies mixed with truths!
Humanity needs SYSTEMIC change of the current capitalist economic-political system! Unfortunately as the history (and present time!) teaches us that change is not possible by means of negotiations with bloodsucking exploiters but only through a bloody revolution. There is NO other way!
January 18th, 2010 at 9:23 am
If they smell a …
If they smell a revolution in the air the capitalist oligarchy will wisely make a step backwards and loosen their grip on the government and other parts of the system which is supposed to protect the interests of the common people, but they know since the SYSTEM won’t be changed they will always be in position to control and exploit the society because in capitalist system money=power.
January 18th, 2010 at 9:23 am
Since capitalists …
Since capitalists are very clever they know when they have to loosen their grip over working class. Today synergy between the capitalist oligarchy and their puppets in the US government is too obvious. Therefore they will pay allegedly “independent” activists and “experts” to spread the propaganda of lies MIXED with truths. The propagandists will say “corporations control the government” what is true but then they will say “we need capitalism” because they know that in capitalism MONEY=POWER.
January 18th, 2010 at 9:23 am
In capitalist …
In capitalist system MONEY = POWER! That has ALWAYS been true, especially in the case of USA.
Communists have always been saying that capitalist oligarchy in USA controls the whole society for at least 150 years. Only brainwashed people will find themselves surprised today now when they realize that US government, US parliament, judicial system, army, corporate media, educational system, health-care system, factories… are controlled by the big capitalist oligarchy.
January 18th, 2010 at 9:23 am
P. Schiff and M. …
P. Schiff and M. Keiser will tell you “bankers are evil”, “they are stealing the money”… what are truths, but when people finally want REAL change of the failed SYSTEM they will say “Obama is a socialist” (what sounds like “bankers are communists”) or “we need capitalism”, what is a perverse lie.
January 18th, 2010 at 9:23 am
One will thus tell …
One will thus tell you:
1+1=2
2=1=3
what are the truths and then after the people see he is telling the truth they will tend to uncritically and blindly trust the person. And when he finally says:
3+1=5
people will fall into the trap and trust him.
January 18th, 2010 at 9:23 am
For some time I …
For some time I have been suspecting that M. Keiser is a puppet working for big capitalists, just like P. Schiff or A. Jones.
Capitalists are not stupid. They learn from their own mistakes from the past. They learn from the experience of the previous communist revolutions throughout the world. How to brainwash and manipulate the people? Certainly not by telling the (obvious) lies. Capitalists learned that from the past. Instead one can deceive and manipulate the people by MIXING truth and lies.