The leading institutions of the bankrupt trans-Atlantic financial system issued a report on 16 August, warning that there are no mechanisms in place at this time that can prevent a blow-out of the $600 trillion-plus global financial derivatives bubble, should any one major party default on its derivatives.
Australia’s big banks are careening along a cliff’s edge at breakneck speeds with ordinary investors strapped to their bumpers as human shock absorbers.
Bank regulator APRA is allowing the big banks to sell to unsuspecting Australian investors products that are illegal for banks in other countries to sell to anyone but other financial institutions.
Treasurer Scott Morrison has fudged his latest attempt to defend Australia’s banks against calls for a full Glass-Steagall separation of deposit-taking commercial banking from riskier financial activities.
On 1 January depositor “bail-in” came into effect across the European Union. Just in time for a new, rapidly building global financial crisis, the EU’s bail-in regime empowers financial authorities to confiscate money from bonds and deposits in order to save collapsing banks.
Although the Paris terrorist attack overtook the planned agenda of the 14-15 November G20 Leaders’ Summit in Turkey, nevertheless that summit accepted the Financial Stability Board’s (FSB) demand for a “bail-in” regime to prop up the 30 global too-big-to-fail (TBTF) banks.
Newly sworn in Prime Minister Malcolm Turnbull has a big black mark on his curriculum vitae, in the name of Goldman Sachs, that should ring alarm bells. Goldman Sachs’s influence in government the world over has been a story of misery and economic destruction.
