every green little her till. four thirty am in the russian capital good to have you with us here on our team these are your headlines russia's security services brief the country's lawmakers on the investigation into last month's bombing of moscow's domodedovo airport seven accomplices of the suicide bomber have been identified this after russia's most wanted terrorist doku umarov says he ordered the attack. on wiki leaks founder julian assange battling attempts to extradite him to sweden in a london court for the second day with the hearing set to start again friday in the sun his lawyers said he'll be denied justice by stockholm and handed over to the u.s. the fear is persecution for revealing secret american diplomatic documents for the war. plus president hosni mubarak attempts to appease egypt's opposition with even

more concessions by demonstrators in cairo remain defiant the man being tipped to replace mubarak has links with the cia fueling fears that washington may be pulling strings vice president omar suleiman is former head of egyptian intelligence which has been widely criticized for its systematic use of torture and. coming up parties financial guru max kaiser takes a look at how one arrest in the middle east could hit food prices closer to home kaiser report coming your way in a few moments. i am asked times are this is the kaiser report you probably haven't thought much about eating plastic chickens eating plastic eggs or chilling down on some plastic rice we're going to be talking about that shortly but first let's bring in the

state you see her skies there hey you know what the biggest story of course is this revolution sweeping the world revolutions the one in egypt of course everybody's looking for the causes inflation and the inflation of food prices is that the rising inequality reflected in the genie co-efficient index here's some reasons that i'm going to look at first headline tony blair mubarak is quote immensely courageous and a force for good. yes he actually said this on the piers morgan show we're not going to actually listen to his words because i just can't stand listening to him but i'm going to say what i think he was actually saying mubarak is immensely courageous for looting so much money from his people so openly and brazenly and a force for good kickbacks barack obama tony blair they're good if there's a revolution great will send in the vodaphone of the starbucks no revolution great will send in some bombers and some tear gas canisters we make money no matter what

happens because we're over drugstores and politicians but the other important thing about this this is. class of global kleptocrats of globally connected elite who plunder their own countries together and this brings me to this next story egypt's mubarak likely to retain the vast wealth mubarak family may have as much as seventy billion dollars stashed away a money jamal who is a professor at princeton said that mubarak's assets are most likely in banks outside of egypt possibly in the united kingdom and switzerland mubarak his wife and two sons were able to also accumulate wealth through a number of business partnerships with foreigners for a while the club to craft the plunder together stay together you know this is the global kleptocratic class and they are all working together there colluding as adam smith pointed out in any situation where capitalism is the prevailing economic

model you have naturally a to propensity toward collusion and that's why you need very stiff regulations to try to keep these guys from fixing prices but all the regulations are now in the mid two thousand a lot of the regulations that were taken away in egypt it was deregulated and this is when the wealth and income gap just skyrocketed and it's also why the central banks of their money printing to feed the pockets of the kleptocrats of causes huge spike in food prices so as you know as you point out it's a combination of the gini coefficient which measures the wealth or income gap around the world plus the relative amount that is spent personal income on food so on and in egypt much of the personal income goes to food plus you have the gini coefficient exploding equals revolution so if you want to handicap which countries are next to pop that's the way you do it well i have a headline here max if inequality is a factor for egypt. if you take

a look at that little chart this is the journey coefficient index which zero is perfect equality everybody is. exactly the equal amount one hundred is only one person owns all of the wealth of the nation so the closer one hundred you are the higher the number the more on equal it is pakistan is thirty point six egypt thirty four israel thirty nine point two tunisia forty and the us forty five yeah the us is very high on that list which would portend insurrection and regime change but the thing that keeps it from happening is that percentage of income toward food is still low because of the us dollars world reserve currency so food and energy are still relatively low this is what is keeping the wave of global insurrection at bay in a country like the us but it will get there and when it does get there it'll be three hundred sixty degrees of global insurrection against banker occupation and then we can hope to see

a complete total global regime change of all the corrupt bankers including life masters over there j.p. morgan who will be talking about blank in the second half so don't go away but but but but tell he was slower more you're still it's more ok we're talking about the global insurrection against banker occupation part of the things that bankers have done is create volatility in their major agricultural products and inflation here they have i mean it's not since reconstruction how we've seen cotton this high that's right the price of cotton is skyrocketing it's at one hundred fifty year high not since the civil war in reconstruction in the carpetbaggers the famous down there in the south of america has cotton been so high and as i've been saying on their shows days ever before long they don't want to play or occupation in america will be cotton picking and they're going to course think those old spirituals like jump down turn around pick about cotton and others. well another part of the reason

is you see this inflation hitting china and china the chinese take a cotton to hoarding apparently farmers in china are hoarding their cotton up to nine percent of the world's cotton supply and the reason being that they are holding out for higher prices even though they're at one hundred fifty year high they're aiming to help overcome higher costs of labor and fertilizer the cost of fertilizer for example is up twenty percent in the last year or so they're not covering their costs even with cotton that one hundred fifty year highs right well fertilizer of courses is a chemical petroleum based product and the price of oil is skyrocketing as well it's important in mind that the reason these prices are skyrocketing sunk because of increased demand on the side of the user is not because suddenly there's a demand for food in oil the reason the prices are going eyes the supply of cheap money that was thrown into the system after the credit crash of the two thousand and seven two thousand and eight period in the banks on wall street told the federal reserve we need money to pay our our young payments and we can't get it

because the system is frozen can you please give us two trillion dollars and ben bernanke he said ok here's two trillion dollars so the bankers on wall street could pay their yacht payments but it had the perverse effect of feeding speculation in agricultural commodities and cotton to the point where it starving people in these countries so once again to give you the formulation wall street bankers fed starving people fed gives the money to the bankers who make their yacht payments but it has the perverse effect of starving people around the world so wall street bankers are starving people like jamie diamond is committing murder he's killing people. so the starving people are not fed because of the fed this man is causing people not to be fed. well we've always talked about how inflation. it helps the rich because of course they own the assets into which a lot of the money goes but also they get money for zero percent from the fed and

then are able to speculate on all sorts of products quickly think of it as a river e-mail the river flows down so that the fed creates a flow of cash and the people toward live near the fed like on wall street that they get the fresh water the clean water need to live downstream you get the dirty water and that's the what happens in the global financial markets and it increases the price of agricultural products food and we see that related to these headlines these coming out these just these charts actually to show you what the difference between the revolutions happening in the middle east and why no revolution is yet happened in asia so if you take a look at this wheat chart you'll see it's rocketing and then take a look at the rice chart you'll see that that's not gone up nearly as much so because rice has not gone up the main staple of the peasant in asia you're not seeing as much perhaps yet strife right but the whole commodity complex is moving higher due to this incredible influx of money that's been directed by the bankers

for the bankers at the exclusion of the rest of the global population no willing to commit mass genocide of the global population by increasing food prices to the extent of causing starvation just to keep that multi hundred billion dollar bonus peel pool active on wall street that's the only reason this is happening those people are culpable in a mass homicide mass genocide. well just to show you another reason why perhaps the prices and to increase as much here's the headline for you max china makes fake rice from plastic vietnam reacts so parenting according to a korean language weekly hong kong newspaper china is mass producing fake rice this rice is a mix of potatoes sweet potatoes and plastic it is formed by mixing the potatoes and sweet potatoes into the shape of rice greens then adding industrial synthetic

resins apparently experts are advising that the synthetic resins can be very harmful have consumed and a chinese restaurant association official said that using three bowls of this fake rice would be like eating one plastic bag this is like even if you don't plaster old notes almost all those prone forms go through those little overlook those delicious this completely fake rice of course in china now they have the added situation i guess you could call it of mcdonald's as half of their restaurants are going forward will be these drives to restaurants so presumably you'll be going through a drive through restaurant on the highway in the middle of a ghost city in china ordering a big bag made out of plastic rice and trying to drink on the macside may also point out the fake stimulus fake money printing fake g.d.p. growth fake goods and services being produced is causing us forcing us to consume fake food it's not food because we can't afford real food because we have no real

growth we have no real economy we have no real industry we only have fake stuff makes sense so we're only eating fake food so you have fake currencies and is causing fake food and goods are real food now is too expensive nobody can afford real food is that making fake food. and so final have on here max iceland proves ireland did wrong things sacrificing tax payers. ok this is from bloomberg apparently unlike other nations including the u.s. and ireland which injected billions of dollars of capital into their financial institutions to keep them afloat iceland placed its biggest lenders and receivership it chose not to protect creditors of the country's banks whose assets have ballooned to two hundred nine billion dollars eleven times the gross domestic product and the icelandic economy this year is projected to grow three percent bloomberg says iceland's decision to let the banks fail is looking smart and may prove to be a model for other absolutely that's what i've been saying on the show michael

hudson dr michael hudson economist has been advising countries to close their banks and default on the loans but i might add max actually for one hundred fifty years since cotton was at a last all time high we have known that if you let the failures fail and you don't rescue them this is the heart of what capitalism is supposed to be not rescue and bail out the crony capitalists the neo liberal crony capitalists know where that would be capitalism we don't talk about capitals only in iceland you find goebbels exactly but it's not a new model it's an old old model and bloomberg is talking about it as if it is a new model that wow we're shocked how is this happening wow maybe we should all study this but there are thousands of books about this do you could study that we could have looked at that most of the idea of a free market capitalism and competition has been and is so horribly diluted and ignored during this crisis that the idea of actually having a company or

a bank fail is considered new by bloomberg as a new idea yes call capitalism something brimming with crazy kid. you compete and if you don't win you know you've got to be shuffled off and let somebody else try wow what a concept i wonder if that'll catch on well in iceland i think about gets on before plastic rice does ok stacey thanks so much for being on the kaiser report thank you all right now when we come back a new book about that tyrant blith masters i'll be here with the off there don't go away plenty of fireworks coming your way. through is that so much difficulty for you to be sitting on the market to limit democracy versus stability can egypt. are the u.s. and its own. hungry for the food we've gone to.

the biggest issues get a human voice face to face with the news makers on. ok we are back this is the kaiser report you know every crisis in the world usually can be traced back to a woman who's now the financial crisis is no exception here she is. blith masters this is the the woman who is at the heart of the entire global financial meltdown she is the power behind lloyd blankfein she's the power behind j.p. morgan i've got pierre gena novick german who is complex so much for being on the show i want to jump right in here and talk about exxon valdez catastrophe yes and talk a little bit about that as covered in the book of course it's covered the exxon valdez

was the facts which helped to create two credit default swap because a jeep in morgan didn't want to to lend to eggs and five billion dollars without any guarantees they were scared that they might go bankrupt ok so this was after the exxon valdez or catastrophe right so they couldn't get any money they couldn't borrow any money so black masters especially she's the inventor of the credit default swap this is the origin of this and this is the the instrument effectively that has mushroomed to become the key the terrorist financial terrorist weapon of choice and the domestic stronger in fact in this is that she went to a bank which was invented by the french president also me to hone to be. a bongo pin and she convinced the president at the time to swap the default of x. on. this summit and of that it was you know like holt as we used to say in french

before the revolution and this is how everything started to because it was easy money. said ok if eggs involved is going to examine so it is going to be bankrupt would be a difference who paid five billion dollars back to the j.p. morgan so sense that going forward from that moment exxon valdez what was the. what's the next major milestone in this credit default swap history of the major was. introduction and public introduction of the concept the. til he concept which was called again was a french name. like a french you know and that was introduced to the public in ninety ninety eight in new york along with the matter of it was a huge party in new york to distributed her what they called her black book. it was g.p. morgan interaction introduction to credit derivatives on which she wrote and her

name was wasn't there so this is her book the black book is for me the has the extreme the same force as the capital of kalmucks or the little red book of mao because the effect of this just tiny book is absolutely amazing it just destroyed the whole world exactly like that's capital you know land give wars all over europe and i have my book is like a repudiation of capitalism it's the opposite of capitalism it's saying we don't want to compete anymore we just want to create spells from a little black cauldron of derivatives to make us rich and everyone else poor and now the little black book what is exactly black masters what is your actual position within j.p. morgan what your title what what it has to fit and how else is the head of

committees so she gave up on the kurds a full swaps in two thousand and seven on the on the fifteen or seventeen of. the member and she gets her title of head of commodities and science then this is extremely interesting because at least what you can see in this book is that what is interesting is not that the fact that she invented the credit default swap what is it interesting it's that sense two thousand and seven she's buying. commodities she's buying through foods she's buying sugar in two thousand seven eight she was already in brazil buying everywhere you know. sugar or pork bellies live cattles and unnerving and this is why you know the prices are going up and to doing your thing the results because she. was her traders along with morgan stanley and. goldman sachs you know they're just putting all the prices up and up and up and wisdom with the quantity of easing of the burn i can't this is going to explode so

this is a she says she's the mastermind if i can say of the new revolution the worldwide revolution price or the wicked witch life masters and our little black book of spells concocted to financial derivatives to monopolize commodities all over the world drive the price to unheard of levels as a way to basically this is a nail imperial model doesn't because if you control the food you control the world this is a j.p. morgan to tell you things and then for her that she's anguish yes she's anguish oh my god so the empire is there right so and in your book you detail here on page thirty three actually eve got this is kind of insider information is this this is not this is this is you know this is the confidential plan of the g.p. morgan committee's. decision is actually what they're going to do in on which places and what they're going to buy you know department by department so it's it's extremely interesting and the interim very fascinating thing is that i give the

manuscript to the printer in the beginning of general and last words were we're going to see revolution in tunisia in france in the jury oh angle and i refrigerate cause of doing. rises of the group to reprocess and look what happened and it just the beginning it is time to beginning so for twenty five years let's say going back to the fact the reagan revolution deregulation liberalization and they could. ation shillings of dollars of the currency that was used to create all these banking fees up until the point of the crash of two thousand and seven two thousand and eight but now we're in a position with peak credit and peak oil where it's a scramble now of the richest to control what's left of the resources so the rich so j.p. morgan goldman sachs and wall street they're basically they want to get out of the paper game they want to get out of the vienna currency again they want to control the stuff that they want to control the food they want to control the industrial metals they want to control the precious mines in this decision that was made at least by by blights my service in the end of two thousand to two thousand and seven

. two thousand and six because they know that the whole model of credit derivatives is going to explode you don't look at the g.p. morgan she saved the bank she said to t.p. morgan bank because her and her team then had the expertise to see that all this model of credit default swaps all the algorithmic smallville were fake were false so they didn't went into the toxic into sue prime's that's wired to read that book written about jamie dimon called you know the last man standing of course i mean they knew this look at the whole thing has got to explode so did they were not nuts the g.p. morgan chase didn't want him to surprise toxic stuff so down there claimed the right hook line there's no down to number one they lot of past that stuff pass through them yes they make a market they make a commission but it all ends up in pension funds and passive funds are places where the savers and the workers of the world have no recourse and they have no ability to fight back but now of course the savers are the workers of the world in cairo

and chillis and in dublin and in athens are realizing that blights masters the wicked witch of wall street has created and concocted the most potent a ray of financial cherice to rid of products ever conceived is trying to kill them so they are fighting back through their proxies like move barack obama in egypt the proxy of life masters and the evil on wall street they're fighting back how successful will they. being in fighting of the army of the of the old ration against up like master wicked witch the problem is that they don't have a clue for sure hoshi's but what do interesting point you know when they finish the book and i like the idea is the french revolution was french because now we have this this whole situation of revolution war and why it's not only in france like two hundred years after this is going to be would want and you have luis we do sixteen we says to medium and you have like masters the internet the interesting

point is that two times and compare her to mao you don't win it because she's extremely dedicated to she wants to be the queen of commodities so as to care about to these people who are you know they do not exist for her her eyes are not for her who the world as marie antoinette exactly and i stood up you were right in saying that i'm saying look i'm a brioche i let them eat cake you saying let them eat plastic rice exactly like let me read a. virtual article for example on farmville exactly you know there's a goldman sachs is trying to get a virtual food business by acquiring facebook of course they have farmville so she's marie antoinette and it is a revelation and it is caused by our food prices and going back to french astri of course to france louis the sixteenth they tried to float the acid got the currency here which was backed by you know commodities and real estate which i relapsed and they're not sort of terms of price of food what is was good does this exactly

history is repeating his self but on the global the global no don't forget before we lose sixteen dollars a fact into french history was don't look you know the ngos guy can maybe she is the regular regulation of the ilo on all of that you will spot going to john about that he invented by the way the money. so and the whole thing collapsed and. there was a rumor maybe revolution in paris you know there was like a ten or fifteen people dead you know who can compile and and this led to people where written of course you know they lost everything and know we're going to see exactly the same thing but you don't just get is it won't why don't all the system worldwide scituate you know with the television and radio and other frank internet so it's all on the home level of the globe is the game truly over for those who are not on the inside of the wicked castle of blight and her j.p.

morgan associates in other words well the global insurrection it was successful and the french revolution they had the reign of terror to get rid of a lot of bankers they were all hoping i'll be ok but while they succeed this time or is this the end game now we're all going to be slaves j.p. morgan plantation not it's the end of the game also for j.p. morgan for all it's really simple reason there is still four four million houses you know to be taken over by the banks so this is like eight hundred sixty billions of dollars they are not going to see so the whole game is right those that don't work and they said really they're insolvent we know that to be true they have no their balance sheet they've got to try to live till they said no no assets at all for this woman's wardrobe which is probably worth a few hundred thousand seized is the best i mean the seriously i read the book about jamie dimon the last man standing yeah and compare what she says she has done

compared to jamie dimon i mean she's you know she's definitely more interesting and . the banker and what she's doing because she's a very insure actual should simply because it's very interesting stuff jamie diamond parts all right so that i think number that we've got to go we've got to go we've got a judge just one got to go she said one thing i fall in love with scared to derivatives she said she said she wanted to make the. credit the relative i think gave birth to a swamp how serious is that all right so anyway jeremy a lot of back and june when the english version is out. it all should be next of pop in here so i thanks for being on the kaiser report thank you mike still is going to do it for this edition of the kaiser for me max keiser and stacy herbert was like my guest pierre just on the radio that's right if you want to send me an e-mail please do so at kaiser reported r t t v dot ru until next time this is nice guys are saying but i don't know.

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