Proof of 600 Trillion Dollar debt, Financial Meltdown Caused by Bankers for Profit

Read this article thoroughly. It is imperative that people understand where our economy is going and why it currently exists in the state that it is in.

STAR AND FLAG THIS PEOPLE, THIS IS A STORY THAT NEEDS TO BE HEARD BY ALL OF OUR MEMBERS, AND ITS THE ONE CONSPIRACY ON THIS FORUM THAT HAS ABSOLUTE PROOF.

Snippet from source.

By Abigail Moses

May 22 (Bloomberg) -- The market for derivatives expanded at the fastest pace in at least a decade last year as the global credit crisis spurred trading in contracts used to hedge against losses, according to the Bank for International Settlements.

Derivatives, including those based on debt, currencies, commodities, stocks and interest rates, expanded 44 percent from the previous year to $596 trillion, the Basel, Switzerland-based bank said in a report today. The amount of credit-default swaps protecting investors against losses on bonds and loans more than doubled to cover a notional $58 trillion of debt.

....

Investors turned to derivatives to bet that the $383 billion of credit losses and writedowns at banks and securities firms since the start of 2007 would push the world economy into recession....

I hope this last segment above rings a few bells. Investment banks packaged derivative products and sold them to investors as a BET (aka hedge) that paid off as the economy collapses. In other words, they made a credit problem worse by exploiting it to satisfy their own greed and lust for power.

Again, I encourage you to read this article with a fine eye for detail and understand the implications of what is/has occurred.

In the process of researching the current status of the debt, a friend of mine sent this article to me in order to show me the "smoking gun" behind the banking system and why they are pushing for a collapse.

Here is your source. This by no means is B.S., so, I would take the information in and research to find the facts that exist behind it.
www.bloomberg.com...

Also, note the extensive nature of the derivatives...including bets on weather futures. There's no limit to manipulation of markets for financial gain when one has $600 trillion to push around.

Weather Derivatives Source (Yes, I know this is a wikipedia link, but google it to find out more.)

Now, if there were ever a need or a reason to create technologies that can control the weather, I think we just found the primary one. PROFIT. (HAARP, EISCAT, Sura) What if the world's bankers are the controlling factor behind ALL OF OUR POLITICS and our world leaders are actually working towards One Goal? By the way, that was a rhetorical question because to me, this is clearly the case. Its about time for everyone to let your partisan differences slide and come to the conclusion that they've (the politicians/dems/repubs) ALL sold you out to the highest bidder. THE BANKERS.

Anyone notice a trend with earthquakes recently??? Iran, Indiana, Chicago, Haiti??? These are just the high profile areas that have made the news. They are literally betting on weather people. WHY? And, Just imagine if you/the government can always control the outcome of that bet. Again (HAARP, EISCAT, SURA, etc)


[edit on 13-2-2010 by EvolvedMinistry]

[edit on 13-2-2010 by EvolvedMinistry]

To give an idea how much one trillion is......if you start counting to a billion it would take you about 30 years.

A triljion however you will not even do in human history. Now you have an idea about mismanagement by the US governement.

You would expect people to be fired at.....well,..lets be reasonable.....1 triljon dollars? Or at least some people would try to investigate where the mistakes are made.

If you'd ask me this debt is made on purpose, stolen, or made by people who have no idea what they are doing and are plain stupid.

A highschool graduate would have done a better job if given the responsibillity. This a is a very, very serious amount of dollars that can...and has taken down the economic strength of the planet.

What I do not understand is that nobody demanded a thorough investigation about the mistakes or the LEAK. Why are the american citizens are not tired, sick and disgusted by the way their government is spending their earned money and demand the ones responsible to step forward so they can be judged for their actions.

The ones responisble walk away with their pockets and briefcases full with money to their mansions and new better paid job.

Ofcourse i exaggerate about the last part but it hurts to see this all happening.

It is as if the american people are stunned or paralysed and just hope for the next man to do better. Just wait until you owe the government 100 dollars and see how much money they are willing to spent to make you pay.

Something is really deadly seriously wrrong in the US. And people who say it is all tin foil head conspiracy BS should see a doctor.

I find the OP article very interesting, especially since it is from May 2008, several months before the bubble burst "officially."

According to Paul Farrell, who writes for MarketWatch (Wall Street Journal Network), the total derivatives market is now $670 Trillion.

He has a rather bleak outlook what he is calling an imminent meltdown as the global economy collapses.

The Global-Debt Bomb Explosion

Even more interesting, is that Warren Buffet warned everyone about this in 2003. He has claimed that even he doesn't understand how these financial weapons of mass destruction fully operate. And he's a financial guru. What he did know is what they would inevitably do.

Buffet warns on investment 'time bomb'

There you have it. It's been done. There's nothing to be gained by arguing.

What shall we do now?

Are you sure $596 TRILLION is correct? If you divide that by the number of people in the US (304,059,724 according to Google public data), that is $1,960,141.26 owed by every individual. That's an absurdly large amount of money to be owed to the countries around the world. How is something like this even possible to be paid back? Will the rest of the world let America declare bankruptcy and start anew? I seriously doubt it.

reply to post by zatara

Agreed. The mess has become catastrophic.

Originally posted by SonicInfinity
Are you sure $596 TRILLION is correct? If you divide that by the number of people in the US (304,059,724 according to Google public data), that is $1,960,141.26 owed by every individual. That's an absurdly large amount of money to be owed to the countries around the world. How is something like this even possible to be paid back? Will the rest of the world let America declare bankruptcy and start anew? I seriously doubt it.

Yeah...I think you have a very good grasp on the scope of things. Star from me.

[edit on 13-2-2010 by EvolvedMinistry]

Originally posted by SonicInfinity
Are you sure $596 TRILLION is correct? If you divide that by the number of people in the US (304,059,724 according to Google public data), that is $1,960,141.26 owed by every individual. That's an absurdly large amount of money to be owed to the countries around the world. How is something like this even possible to be paid back? Will the rest of the world let America declare bankruptcy and start anew? I seriously doubt it.

I see where you are struggling, Sonic. Yes, it is TRILLION, and Yes, it is difficult to comprehend the nature of these derivative financial instruments.

This is not a debt that Americans owe to the rest of the world. This is a debt that the world owes to a handful of individuals and corporations. It is a debt that is incurred by the massive "printing" of money that is not backed by any tangible value. It is a scheme to create a Debt Obligation. When this $600 Trillion Vacuum Cleaner turns on, it sucks from the "real" economy. Since the total worldwide GDP is only $50 Trillion, it is a number that can never be repaid. It is just will continue to vacuum wherever it pleases. With the real estate collapse, it is sucking up land and property.

It gets even worse. Perhaps the most morbid derivative is the so-called "death bond," which pays a return on investment when the populace dies.

Businessweek: Profiting from Mortality


Now would be a good time to hug a tree. They are friendly.

reply to post by EvolvedMinistry
You must ask yourself who this debt is 'owed' to. The answer is counterfeiters pretending to be bankers. They loaned money that they issued! So frigin what if it is not paid back! Paying it back and pretending it was a legitimate debt is a way to be an accessory once you know this. And now I told you, so you are an accessory if you pay any bank loans back. How does it feel to be involved in counterfeiting? Counterfeiting that is 'allowed' by the bureaurats because they have been bribed thru political donations, and later to their PACs. And this phoney money has caused all depressions and recessions in America. Including THIS one. Derivates and CDOs only added to the crimes. Their bogus money dried up to the tune of $20Trillion, just in the US. Much more to come as the commercial loans go bad now. The Kenyan has printed about half that, so we still have massive deflation. Tho the guberment is now responsible for, I think it was 150Trillion in the future. Not going to happen. We can NOT ever pay it back, this criminal enterprise called government WILL default, declare bankruptcy. That is $150,000 BILLION dollars. But that financial collapse, do you think it will at all affect the banksters or their fellow gangsters the feds? Naw, just us common rabble. You read all this stuff on the debt and the printing of money causing inflation, but noone has the chutzpa to call a spade, a spade. Banksters are counterfeiting! And bribing the government to get away with it.

What does 1 trillion dollars look like?

www.pagetutor.com...

reply to post by Gregarious


Yep, that's about the size of what we're dealing with. So...here it is. What happens now?

Traders that have been on Market Watch much longer than I, have noted that Paul Farrell has become more bearish and doom and gloom lately...rightly so.
Another one who tells it like it is about the state of the world and US economy is contrarian investment analyst and entrepreneur Dr. Marc Faber.
Dr. Faber ( Dr. Doom ) is an international investor known for his uncanny predictions of the stock market and futures markets around the world.

Marc Faber blog

reply to post by zatara


You see, you may get years in prison for stealing a loaf of bread.
But when it comes to big numbers - comparisons simply don't work. It cannot be measured. It is meaningless. That's how politics works: throw a small bone to people, they will gnaw on it forever, even kill each other arguing about the number of benches in the park, for instance, and spending billions or trillions of dollars on some imaginary goal to benefit will be approved without paying slightest attention at all.

you know I'm reminded of something that happend back when Standard Oil was taking over... there was a coal mine in Colorado, that turned into a blood bath and Rockefeller Jr, went there and made peace. so, what does that say -- until blood runs they are not going to change there plans.

archaeology.about.com...


[edit on 13-2-2010 by Anti-Evil]

reply to post by SonicInfinity


you write a number on a piece of paper and say - here you go~!
just as it was said - it will so be - out of air - back to air.

A picture is worth a thousand words as they say:

i204.photobucket.com...


[edit on 13-2-2010 by jtma508]

reply to post by zatara


What you talking about. Criminals will never give you the real account. They will always point their fingers to other and you will never find the other. Did you ever watched organized crimes of twenties. At that time criminals were uneducated and used guns. Today the criminals are educated and are in big offices. Try to reach one. I am serious. The people in the bottom will try to stop you because they are trained that way. Just as the TV programs are different from one another but the theme is the same. The same way Politicians are different from BoA and other big businesses but the theme is the same. Look at Health bill. Republicans in Senate totally refuse to go along Obama. We all know (common sense), that Government option will be good. Eventually if every body join the good, there will be no one left to join the Insurance Companies. They know it. This is why they are spending millions to defeat the bill. Defeating the bill, what ever it takes. Bribing the Congress, manipulating the Public by spending on advertisement etc. etc. If you cannot see that it is organized how they are controlling us. The Politicians are working for big businesses to make the laws and control us. Another good example. GM filed for Bankruptsy in 2009 and thus salary retirees lost their benefits. But does any body know that GM profits in China for the year was 56 trillion according to their internal finance report. The figure is trillion not billion. So GM staged a show of Bankruptsy and also got Bailout. Do you think Obama doesn't know about it. These are all Mafia activities that got out of hand. When things get out of control , nature kicks in. R e v o l u t i o n.

reply to post by charlie0


Slaves are the pillars of slavery...

reply to post by charlie0


Where did you find this 56 trillion of profit in China? Link?

Originally posted by CaptChaos
reply to post by charlie0

 

Where did you find this 56 trillion of profit in China? Link?

He's mistaken, it must be billion. $50 trillion is combined GDP of all nations.

Here's an article from Slate that attempts to explain how the derivatives market can rise to such astronomical figures without being factored into GDP or other economic indicators.

$596 Trillion!

It's important to understand the nature of derivatives is part of a "risk management" strategy that assumes that economic growth will never end, and therefore if risk is spread thin enough, it disappears entirely. A false premise, indeed.

In another article, we see that derivatives do not provide the market stability that they are "supposed to."

Trouble is, that the 4 to 7% daily movements that we have been experiencing lately in the underlying stock markets send shocks of 3.2 to 5.6 times their derivative stakes in one day! Worse, CDS involved in debt defaults, which are occurring at a brisk pace, represent much larger payouts, in the order of 833 times!

Source: Extreme Stock Market Volatility Equals Derivative Market Mayhem

This is, essentially, the largest casino floor in the world.