AMERICAN(& U.K.) FINANCIAL FIASCO AS MAJORS JUMP SHIP

GREETINGS,

  REPORTS ARE NOW CIRCULATING ABOUT MAJOR COMPANYS AND FOREIGN COUNTRIES ARE NOW MAKING A RUN FOR THE FINANCIAL EXIT DOORS.RUMORS ABOUND ON HOW THE FED IS MONETIZING DEBT AT UNHEARD OF RATES TO TRY TO STEM THE TIDE OF LOOSINGT FOREIGN BUYERS OF DEBT.

  IT IS BEING SAID PRIVATELY THAT AMERICA IS REALLY A BANANA REPUBLIC.MOST NATIONS ARE SAID TO BE SICK AND TIRED OF FINANCING THE AMERICAN EMPIRE AND THE UNBRIDLE AND UNREPENTING U.S. MILITARY MACHINE WHO WAGES WAR WITHOUT RESPECT OF LIVES ,LAWS,OR SOVEREIGNTY OF OTHER NATIONS.

  A RECENT REPORT SAYS THAT THE WORLD’S LARGEST BOND FUND,A COMPANY WITH THE ACRONYM  “P.I.M.C.O.” IS NOW SO SCARED OF THE ECONOMIC OUTLOOK OF AMERICA AND THE U.K.,IT IS NOW IN A RUSH TO CUT ITS HOLDINGS OF U.S. AND U.K. DEBT IN MORTGAGE BACKED SECURITIES.

Pimco Cuts U.S., U.K. Bonds as Borrowing Increases (Update3)

January 03, 2010, 11:05 PM EST

(Adds Pimco’s outlook on emerging-markets, TIPs and municipal bonds in last four paragraphs.)

 

By Wes Goodman

Jan. 4 (Bloomberg) — Pacific Investment Management Co., which runs the world’s biggest bond fund, is cutting holdings of U.S. and U.K. debt as the two nations increase borrowing to record levels.

Pimco is “more cautious” on corporate bonds and holds fewer mortgage-backed securities than the percentages in the benchmarks it uses to gauge performance, wrote Paul McCulley, a portfolio manager and member of the investment committee, in his 2010 outlook. The company is also underweight Treasury Inflation Protected Securities, according to the report on Newport Beach, California-based Pimco’s Web site.

“This all leaves us with portfolios that appear, more than at other times, to be hugging the benchmarks with no bold positioning,” McCulley wrote. “We’re making a very active decision to run light on risk.”

Yields, which move opposite to prices, will rise in the U.S. and the U.K. this year, according to Bloomberg surveys of economists. Treasuries fell 3.7 percent in 2009, the most in more than three decades, according to indexes compiled by Bank of America’s Merrill Lynch unit, as the U.S. increased debt sales to snap the biggest economic slump since the 1930s. U.K. gilts fell 1.3 percent last year, the indexes show.

The yield on the benchmark 10-year note rose four basis points to 3.87 percent as of 12:22 p.m. in Tokyo, according to BGCantor Market Data. The 3.375 percent security dropped 9/32, or $2.81 per $1,000 face amount, to 95 31/32. Yields advanced to 3.91 percent on Dec. 31, the highest level in six months.

Yield Outlook

Yields will climb to 3.97 percent by year-end, according to a Bloomberg survey with the most recent forecasts given the heaviest weightings. U.K. 10-year rates will advance to 4.31 percent from today’s 4.01 percent, a separate survey showed.

Bill Gross, who manages the record $199.5 billion Pimco Total Return Fund, cut government debt holdings and boosted cash to the most since Lehman Brothers Holdings Inc. collapsed in 2008, the company reported on its Web site on Dec. 18. The fund returned 13.8 percent last year, beating about half of its competitors, according to data compiled by Bloomberg.

Under what Pimco has termed the “new normal,” investors will face lower-than-average returns with heightened government regulation, lower consumption, slower growth and a shrinking global role for the U.S. economy.

Tight Credit

Federal Reserve Vice Chairman Donald Kohn said tight bank credit and caution among households and businesses may impede spending amid an improvement in financial markets, speaking yesterday to the American Economic Association in Atlanta.

The Fed may amend its promise to hold interest rates at a record for an “extended period,” though it will refrain from raising borrowing costs in 2010, according to Pimco, which is a unit of Munich-based insurer Allianz SE.

“The moment the Fed changes any one of its words, it’s going to be a very unpleasant experience,” McCulley wrote.

Treasuries tumbled in 2009 as U.S. marketable debt increased to a record $7.17 trillion in November from $5.8 trillion at the end of 2008.

Fed officials are considering a proposal to schedule limited sales of bonds as part of a range of tools for withdrawing record monetary stimulus. The U.S. central bank has purchased mortgage-backed securities, Treasuries and federal housing agency debt, expanding its balance sheet by more than $1 trillion during the crisis.

Asset Sales

The Federal Open Market Committee discussed asset sales at its November meeting, with some members in favor and others warning it would cause “sharp increases” in longer-term interest rates, according to minutes of the meeting released on Nov. 24.

U.K. bond sales will surge to a record 220 billion pounds ($354.4 billion) in the fiscal year ending March 31, a 50 percent jump from the previous year and a fourfold increase from the average in the five years before Lehman Brothers collapsed in 2008.

Pimco is turning less optimistic on corporate bonds and mortgage-backed securities following their gains in 2009, McCulley said.

The company’s money managers favor sovereign debt, corporate bonds and currencies in emerging markets, he wrote.

Extra Holdings

Pimco added to its holdings of securities sold by governments and companies in the Middle East after Dubai World on Nov. 25 asked to delay payments on some of its debt, triggering a slump in some emerging-market assets, Michael Gomez, co-head of emerging markets at the money manager said Dec. 10.

Pimco holds fewer Treasury Inflation Protected Securities than the amounts in its benchmarks, McCulley wrote. “Risks are currently weighted toward a disinflationary environment,” the report said. Disinflation is a slowing of inflation. Pimco is “modestly bullish” on bonds from the countries that share the euro, according to the report.

The company is positive on Build America Bonds and is “fairly neutral on plain old municipal bonds,” the report said.

–Editors: Nicholas Reynolds, Garfield Reynolds

To contact the reporter on this story: Wes Goodman in Singapore at +65-6212-1568 or wgoodman@bloomberg.net.

To contact the editor responsible for this story: Garfield Reynolds at +61-2-9777-8695 or greynolds1@bloomberg.net.”   NOW, TO SHOW YOU JUST HOW TIMELY MESSENGER ELIJAH MUHAMMAD’S TEACHINGS ARE ,LET US TAKE A LOOK IN THE BOOK TITLED “THE FALL OF AMERICA” ,WHERE HE TIED THE DOOM OF ENGLAND AND AMERICA TOGETHER AND TIED THE FALL OF THEIR CURRECIES TOGETHER…..HE WAS THE FIRST TO DO THIS…I WILL NEVER LET ANYONE FORGET THIS!!

                  ” Decline of the Dollar “

 The strong-hold of the American government is falling to pieces. She has lost her prestige among the nations of the earth. One of the greatest powers of America was her dollar. The loss of such power will bring any nation to weakness, for this is the media of exchange between nations. The English pound and the American dollar have been the power and beckoning light of these two great powers. But when the world went off the gold and silver standard, the financial doom of England and America was sealed.

 The pound has lost 50 percent of its value. America’s dollar has lost everything now as power backing for her currency, which was backed by gold for every $5 note and up. All of her currency was backed by silver, from a $1 note up.

But today, the currency of America is not backed by any sound value – silver or gold. The note today is something that the government declares they will give you the value in return, but does not name what the value is. But they definitely are not backing their currency with silver or gold.

 This is the number – one fall, and it is very clear that the loss of the power of the American dollar means the loss of the financial power of America. What will happen since there is no sound backing for her notes we do not know.

 What should we expect even in the next twelve months under the fall of the power of America’s dollar? This means that we have 100 percent inflation. What could happen under 100 percent inflation? Your guess is as good as mine. The power of gold and silver was once abundant in America. But the touch of the finger of God against the power of so mighty a nation has now caused the crumbling and fall of America.

 We can easily and truthfully liken the fall of America to the prophetic symbolical picture given in the (Bible) Revelation of John 18:2. The name Babylon used there does not really say whether it is ancient Babylon or a picture of some future Babylon.

 The description it gives is as follows:

“And he (angel) cried mightily with a strong voice (with authority) saying, Babylon the great is fallen, is fallen and is become the habitation of devils, (Allah has declared the people to be a race of devils) and the hole of every foul spirit and a cage of every unclean and hateful bird.” The description here give to the Babylon by the prophets compares with the present history and people of America and their fall.

The picture shows the cause of her fall. Number one, she had become the habitation of devils, and being the habitation of devils makes her a haven for every people that love the works and doings of the devil. Here the prophet refers to them, symbolically, as being a hole of every foul spirit, and a cage of every unclean and hateful bird.

 People are referred to as birds, snakes, beasts, fish and other animals to tell or represent the characteristics of that person. It is universally known that the very beginning of the American people was from the lower class of European people. And their first ruler (President Washington) was a fugitive from England. And the common, dissatisfied and lower grade of European people followed and boosted his authority. This filled and inhabited America with a very low class and low-based people.

And then this type of people went into Africa and purchased slaves from among our people who were also uneducated, most of them; but there were a few who were highly educated. All of these began to mix with the low-based, evil-minded, real citizens of the Western Hemisphere (whites). And when America began to get strong in power, she opened her doors to the underprivileged (laborers) in overpopulated countries such as China, Japan, and in Europe to seek citizenship in America.

This brought into America one of the most mixed people, who were granted the freedom to live any kind of life they chose. They were not forced to serve the God of the universe who made heaven and earth nor any religion. They had freedom of worship. This made America a haven for any people who wished to be free of the compellers of religion and just rule and authority. This people for the past five hundred years have put into practice every evil that is imaginable.

 The freedom of uncleanliness is granted and is worshiped. The percentage of sexual worship of the same sex is greater than any government on the face of the earth. Little children are bing taught sex almost from the cradle, making the whole nation, as one man put it, “nearly 90 percent freaks of nature.”

 It is common to see on the streets of any metropolitan city of America men sweethearting with men and women sweethearting with women. Little boys with boys and little girls with girls.

 It is common that a decent family is puzzled as to where to send their children for schooling. There are no all girl schools as there once were. They are all girls schools of sweethearts; the same sex falling upon their own. Boys’ colleges are breeding such filthy practice; the jail houses, prisons, and the federal penitentiaries are all breeding dens of homosexuals.

As the Prophet says in the 18th chapter; “She is a cage of every unclean and hateful bird.” There are types of hateful birds. This is why a symbolical name is given. It means human beings. There are birds of prey and birds that are unclean such as crows, owls, buzzards and ravens who live and thrive off the carcass of others. And there are unclean people living and thriving off the unclean.

 It is time that God intervenes to bring about an end of such people as the wicked of America. She offers the same filth to all of the civilized of the earth, and she hates you if you are against her way of life and will threaten you with death as the Sodomites did Lot and his followers. But I say to you as the 4th verse of Revelations, Chapter 18 says: You that want to be a better people than this, “come out of her.”

 The so-called American Negroes are referred to here in the 4th verse as being God’s people (“My people”) Come out of her…that ye be not partakers of her sins and that ye receive not of her plagues.”

This is a call to the American so-called Negroes to give up a doomed, wicked people that has destroyed them from being a people worthy of recognition, and who have now become lovers of their enemies and destroyers.

The 5th verse tells us that “Her sins have reached into heaven and God has remembered her iniquities and is ready to destroy her.” Her destruction cometh quickly, according to the 8th verse, that plagues of death, mourning and famines which cometh in one day (one year) then after that she shall be destroyed by fire, utterly burned.”

 This is backed up by the words: “Strong is the Lord God who judge her.” Here it gives us a knowledge that He who judges is well able with power, with wisdom, and with deliberate and careful maneuvering to make judgement against her. “

Click here for reuse options!
Copyright 2010 Hiram's 1555 Blog

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.