HOW SHREWD ARE THE GERMANS!!      WHO WILL SUCCEED TARULLO AT THE FED?

THE BUNDESBANK IN ACTION AND THE POWER OF BREXIT

In a smart move at the end of last week, Germany’s central bank started to repatriate a hefty chunk of its gold reserves. This huge treasure trove is stored in New York, London and Paris.

After the USA, Germany has the largest gold reserves in the world with some 3400 tons. However, following Brexit, and the rise of populism worldwide which could lead to new governments in France and Italy, there is a growing fear within Germany that the rise of Marine Le Pen and the 5 Star Movement could lead to both countries ditching the Euro.

The conclusion reached by some German economists is that this gold would be required to back a new deutschmark if the Eurozone collapses! How long the EU would last after that is anyone’s guess. Wonder if Nicola and her Nat cronies have seen these reports? Of course, I was forgetting they seem to ignore events which dont suit their fantasy agenda.

We live in interesting times – Watch this space!

A SERIOUS MOVE AT THE FED

The President has signed an executive order limiting the reach of certain aspects of the financial reform law. Also at the end of last week, Daniel Tarullo, a Federal Reserve governor, and a tough enforcer of the 2010 Dodd-Frank Wall Street reform law, resigned.

Financial reform activists are reported to view Tarullo’s impending departure as signalling his lack of confidence in Trump’s enthusiasm for Wall Street oversight which ensures the safety and proper supervision of the financial system following the last financial crisis.

One of the Dodd-Frank Act’s most powerful tools is the setting and the enforcement of capital requirements for banks and other financial institutions.

Under Trump, it would appear that the groundwork is being laid for the repeal of the Dodd-Frank Act. How irresponsible is that?

The fat cats are smelling blood.

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