that this is a call coming in from fannie and freddie they can buy some interest rate swaps and it's time to front on them the headline reads are wall street traders using secret had signals to manipulate derivatives wall street traders may be manipulating a key derivatives market in front running fannie mae and freddie mac. hurting the u.s. own mortgage giants in the process according to an f.b.i. intelligence bulletin reviewed by reuters so they're using unsophisticated tradecraft they call it hand jive making. telephone calls using a specific ring tone when it's fannie mae and freddie mac. calling to put in their huge interest rate swap orders and the interest rate swap market just so you know it's four hundred trillion dollars market right so it's a very freddie huge government entity essentially a government backed entity and they do a lot of business and it's the american people who are calling the floor of the exchange yes and then the traders are like down there like belly laugh and whoa whoa whoa whoa whoa rooster mrs jones let's let's cut the nuts off again why given

the but terrible execution and stealing all the love you see while yeah they hand signals ring tones it's an interesting environment the floor of the stock exchange it's a it's like a just a vast new pool of scum well the f.b.i. says that in particular there's a whistleblower from one bank they don't mention the bank which is doing this is that involved in this but this u.s. bank a trader from there is the one that was whistle blowing on them and he said there's a specific ring tone that traders know are conspiring to rig rates on large orders submitted by fannie mae and freddie mac. or front running them in the interest rate swaps market but the f.b.i. max said despite all this proof this evidence that they've been submitted that they have low confidence that law enforcement could prosecute suspected traders because the trades concern seemed to be completely legitimate completely legitimate to front run their american taxpayer on the. hundreds of billions of dollars of orders

to distil money yet there's still money is flowing from what friends are on the ring tone to be jingle bells yes jingle bells jingle bells it's christmas time for all you people or fetch marks and stealing all your the f.b.i. the f.b.i. they're in our pocket we give them a bonus every year and they do what ever we ever we the f.b.i. are crooks to the f.b.i. or it's funny it's a farce it's american justice is is a farce the f.b.i. is i think the cost of bribing the f.b.i. has gone down there is pure deflation the cost of bribing your appeal is going down in america under obama's america there's your deflation of course probably the f.b.i. and then i say of course our listening in to know what your intent and no probably they're probably front running as well now fannie mae and freddie mac. were prior to the collapse of the subprime mortgage market remember they were they claimed on all their bonds that were not backed by the government and government sponsored entities but we do not we won't back these bonds we won't pay you one

hundred cents on the dollar but because of the size of the fraud remember they were jam packed with fraud and they were jamming jiving hand fraud jiving and they had to take over the whole and mortgage market america is backed by fannie mae and freddie mac. owned by the taxpayer so fatty mae and freddie mac. which are government sponsored enterprises often submit large swap orders to hedge their huge holdings of home mortgages against swings in the bond market the size of the orders provide an incentive for front running ahead of the trades so the f.b.i. bulletin this is a bulletin that went out to various participants in market and said that these were targets for market manipulation trades that were put in by fannie mae and freddie mac. but again they reiterated it's perfectly legal and their interpretation of the law is going to buoy in the water flowing and there's a ship about to pass by the that's the fannie mae and freddie mac. orders coming to the floor then you get to make a bet on if that bill is going to go up or not based on the president so. this

enormous ship sailing by the blue it's a one hundred percent guaranteed trade so course you borrow money from the central bank and the others on wall street and the lender to you had zero percent interest to make a bet of any size you want on the sure one hundred percent guaranteed thing that this is going to happen in the next five minutes oh and by the way if for any reason it doesn't work out and you lose a penny you get to go down to congress like hank paulson did put a gun to the president said give me a chilean bellers or that's the other alternative you get either bilk you get to steal and it's all under the f.b.i. noses who you like the s c c are addicted to porn well a few things here first of all the brits say boy instead of booie for some reason second of all this is that hand job a fraud the the market a fraud is so packed with fraudsters all the exchanges all the markets so this banning him freddie being front run that's one fraud on top of all these other

fronts because of course the mortgage rates are set by libel rates which are being raised here in london and that is the fix to setting interest rate swap rates which is also being rigged here in london so there really have to regress to get to market manipulation is jam packed with. right banking fraud you know a lot of people say if it's so obvious and so clear why aren't more people doing it or why aren't why my not doing it you know i of course did that for many years as i've said on the show but i think there are still people out there because remember when you engage in a fannie mae freddie mac's front running scheme when you do this kind of engages type of trading you're putting money into the suicide bankers pockets who are committing genocide so max we're talking about this i had to have a fraud now we're going to cut to another headline about remember i said that here we have layer upon layer of fraud just on these fannie mae and freddie mac. interest rate swaps they're buying here metals currency regen worse than live or

baffin says germany's top financial regulator said possible manipulation of currency rates and prices for precious metals is worse than the libel rigging scandal which has already led to fines about six billion dollars the allegations about the currency in precious metals markets are particularly serious because such reference values are based on life live or in europe or typically on transactions in liquid markets and not on estimates of the bank's elko neg the president of bath and said in the speech in frankfurt so here even these giant liquid markets he's saying these are being these are being manipulated to rate it's not just these library in europe or weights or set by a cabal of a small group of bankers even these giant liquid markets are able they're able to read them and that's one of the arguments that you know defenders of rigging the guys who are hand jive and fraud those people will say well you can't read these markets because there's buyers in the sellers in this liquid and blah blah blah look the shadow banking system we know is at least as big as the visible banking

system so it's at least sixty trillion dollars in size and we know that the cost of borrowing money in the shadow banking system is there oh and we know that people who work in the shadow banking system there is no limit to the amount of money they can borrow to manipulate a market we saw this in. greece they totally destroyed that country we saw this in ireland they totally destroyed the country the t p p the transpacific partnership is the same shadow banking system borrowing unlimited amount of money zero percent interest to do a leveraged buyout of planet earth as i'm fully and there's no regulators there's no public discourse there's no pushback against this the regulators are examining how traders who communicated instant message groups exchanged information on klein orders and agreed had to trade at the time of the fix so they're also joining. investigators regulators from the u.k. u.s. and switzerland of course where dabbous is where all these guys are hand diving together on the disco floor all drunk and what are the chances that they're

actually going to investigate the guy that they're having caviar with tonight and drinking champagne and then they're chatting on the dance floor communicating with each other i have to investigate you what should i say to the people paying our salaries to pretend we're investigating you and the banker says back just tell them to. yes very very very specific can gesture there and jiving old school might say yes there is no. forum on regulatory fidelity i can assure you they're stuck for there's no panel in dad most this year. legal solutions to what happens when your bankers commit fraud no none of that is taking place as i've explained before it's a weapons dealer swap it's where find people who deal weapons of mass with the actual destruction and go to trade it's like a gun show or british aerospace or they have

a show where they showcasing sting ray rockets or missiles and things i mean that's what dabbles deserves whopping different ways of commit massive financial fraud and they get together and then they they are the hookers the price of hookers this year is never been higher i think christine legarde an hour with christine legarde this year cost seventy thousand euros that's the most expensive i've heard i'd love to see the disco dance floor there because imagine the ring tones as soon as somebody is rincon goes up oh my god if anybody are placing an order let's go from around them and it's a stampede to the cell phone tower and you know yeah this is the devil's dance so you get the white man dance there trying to you know dance like a white man right like a farmer. and then the ring tone goes off like then go both and go bells then the dance is still bombed out by still but still for the throat. froufrou for making money kristie lu is a crook and the ring tone goes off and it's back to the white man farmer day.

there's you know there's a george soros you know. vomiting on somebody's martini kamikazee you had was out sebastian is also investigating deutsche bank for rigging manipulating gold and silver prices and now this this regulator from baffin says that the issue is causing such a public reaction is understandable the financial sector is dependent on the common trust that it is a fish and and at the same time honest the central benchmark rates seem to be beyond any doubt and now there is the allegation that they may have been manipulated that's the that's the regulator head type who didn't know coppertone sun tanning lotion remember the girl with her the jaw the dog was pulling a bathing suit and if you see the little bear cheek i was thirty five that's the regulators and i'm in a world today oh. oh no all right stacy thanks

thank you stay tuned for the second half a whole lot more. the united states is a very good example here because in the early years they had a pretty strong genuine democracy that by now i would argue has degenerated into a system where money and power mattered much and then a deputy of the majority of the founding fathers of the united states would constantly say that they were not trying to institute a democracy that thought marcy was horrible they want to tap sweet institute. and. purposely designed to be institutions to as they put it exclude the majority of our participation.

in the future. is here so we fit the roads focus on new technology. on this show no posses complete with old school shoes. and we'll about the next in the suv revolution this is the potential to save lives. no. we've got the future covered. tanya the lady well tell me how you are my little grandson. i don't like i don't like. being called us. except to as an ecovillage that the spiritual side is destructive. i try to convince her to try to preach that it was

a sect but it's dangerous that she had to leave it was a story she had lost her mind. you know you see we'll come back i know it was and i will wait even if it means i must wait. until my dying day. as a new physician i swear to abide by the hippocratic oath. to the best of my ability and judgment. i will prescribe for the good of my patients. i will not give deadly doses to anybody. or advise of those to do so. i will never do harm to the.

doctors of the dogs. out. welcome back to the kaiser report imax keyser time now to turn to sandeep jaitley of the cat's a research dot com sandeep welcome back to the kaiser report thanks max big story the past week i think is the fact that china officials have announced that they've gone from one point one thousand tonnes officially of gold reserves something like two point seven thousand tons it's a huge jump biggest jump we've seen in decades for any sovereign what are initial thoughts of miners who thought so of the it's a good thing or this leaf for them to be doing. i don't know what ends they have with the gold accumulation but they're they're following sort of sensible leads from the people telling us this idea because that's a lot of gold we know that it's much more than the annual production of gold and we

know in fact that it's more gold that was even on the open market to be sold by various institutions even the i.m.f. except when you add it all up they somehow manage to get more gold than there was available for purchase therefore there is only one conclusion states like the united states are selling china their gold a lot of people have speculated that america is selling china its gold now we have proof also we also hear from sources that they are actually sitting right now on five to six thousand tons and their goal is to get to eight to ten thousand tons and therefore be in control of the biggest cash hoard or gold hoard in the world so why is america selling china its goal that is that the stupidest fricken thing they could ever possibly do. is not like they have a choice in the matter you know you have to maintain assuming that they also lingam

the go and if they also adding them go. it's that they don't have any choice you have to maintain the exchange and go. if someone wants to exchange dollars for gold then you have to go go america's economy is so wobbly and so infested with accounting fraud and debt what worse what you know what i hear you saying here a little bit is that they're trying to cover some of their bad debts just like at it again or yes in over his head has to sell the gold watch of the pawn shop so america is going to the chinese pawn shop and selling its gold so that china doesn't foreclose on america is what we're saying something like that but not only china it's the it's everybody that's buying goat is basically calling for closure on america so the indian people are behaving like the chinese government you know so everyone who behaves in that way is calling for closure basically you know paul krugman of the new york times recently said that the dollar is good because it's

backed by men with guns. yes he didn't suggest that there was any economic soundness to the american economy that there was any intrinsic value to the u.s. dollar but as many around the world have come to understand if they don't take the u.s. dollar the u.s. army will come and kill them they found this on iraq they found libya they find this out all over the world if i don't economist is saying that this is this is a just reason to hold well i don't know what schools he went to the american school and the american school of the school of the americas it's a school that teaches people how to be cia agents to go out to various countries other around the world and whack folks aren't so let's get into your kind of your day to day specialty a little bit over there with if it can't folks now you tweeted that gold doesn't have a spread under true free market action and that all goods are spread against gold all right so getting into the nitty gritty of the day to day of the gold world

speak on this a bit yeah basically you have to go back to gary and. cept of markets ability common or common ground or of the austrian school founder of the austrian school and. take that concept of the most marketable goods the object to that occupies not concept is gold now most marketable means just that you know you can take it to any market and it will have an exchange for it no matter where the market is no matter what people you're dealing with no matter what period of time you are not time travelers but you get what i mean and going forward as well it will still be a valid medium the supreme medium of exchange nobody says no to gold nobody says i work in the world and i can get something for gold and nobody says no nobody will ever say no to go as long as there are humans on the planet that's just a theory of mine i can't prove it seems like there's a good there's

a good correlation sort of was let's talk about the fact now that there's a german regular regulatory authority this week you said that the price of gold is being manipulated with unimpeachably unequivocal a there's proof and it's a bigger scandal the library they say it of course the four x. mark it's being manipulated the energy markets being manipulated it's all being manipulated so where is gold fit in a world where every single prices raked every single market is is rife with naked short selling counterfeit so isn't that a reason maybe to shy away from gold as people suggest because they're saying why should i even bother it's such a rig market i'm just going to get out of the shop buy a six pack of beer are some twinkies and gorge myself to death is understandable especially off the watching its price performance even though that's not the price but you hit the nail on the head mike's when everything else is going mad that's the only thing that will remain sane and you will not be able to exchange the same

things for insane things so if you don't have gold at that juncture whether it's in one year or two years or for. ivy is. you realize the difference between having gold and not having go you might be able to get all of these other rubbish goods like you know five thousand dollars sweaters a walk not but you will not be able to get go for a dollar those there's another big story this way you are just a follow up to a story we've done on our show i think where the first international broadcast recover the fact that america had sold off german gold way before germany recently asked for their gold back because again they've been. doing and lending out gold to the point now where or just outright selling it to china there america doesn't really have any gold in fort knox anymore but germany is now saying this gold market is it is completely nippy lated they were trying to repatriate their goal

and america said we can only do maybe thirty or forty tons out of the think it was seven hundred or something on this magnitude one point is germany say well we're we want our gold i mean they have at some point they're going to start being more demonstrative about this they will. surprise that. not be more vocal about it maybe professor effect it's a says that they're not free agents from the walls you know so they have to behave in a certain way i imagine there's an element of truth to that but eventually forget about the german state the german people will have had enough you know that's when things will get interesting if you say you want you'll go back now and you're buying tons around and says you can have it back in seven years that would be grounds to declare coleman from bankruptcy going to seventy or seventy so i give

up when i question about the buzz on wall street as they give me three thousand i.b.m. ok you're done you'll get the conference seven years yeah it's not. market is it no no to this your dad they've identified some threats to the system one another one is fiscal irresponsibility isn't the fiscal irresponsibility the product of the very people at davos who are central bankers who are committing mass of monetary irresponsibility to begin with isn't this the pot calling the kettle black absolutely absolutely and these guys they they want to make it look like they're trying by saying you know deficits about. you know we have to come and and blah blah blah i'm more of the philosophy that you should carry on spending the fee you know was people still value it's an exchange you know there's no point in trying to contrive a value on something that will be ultimately value you know so all of this political sure that we have benefits and all of this nonsense immigration or comes born from

this basically you know there have been hundreds of currencies over the past hundred years and the average lifespan is something like twenty seven years and they every single one as all ended up achieving their ultimate value of zero yes with the exception i think the british pound is one of the the longer running fee but of course they created the bank of england and it's a constitutional monarchy and it's a place with very little you know what would one call civil rights but look looking at this on a global basis over there at the i.m.f. christine christine legarde was just saying this week that we need to protect ourselves against the deflationary ogres ok once again accu ing paul krugman says there's deflation we need to print christine legarde a saying oh the deflationary ogre's we need to print the e.c.b. there's deflation we need to print mark carney well there's not sure about inflation but got to be careful about deflation we've got to print doesn't give

doesn't printing money. to feed the zombie banks in fact is that the number one. deflation it will it will exacerbate things much more than the thinking from that perspective because they're basically the way they're doing it is by buying exchanging cash for bonds so instead of the set of bankers that used to make money being the bankers of the government by basically giving a home for the government paper and now the state is basically saying to the people look we'll make you wealthy if you just hold on to government bonds interest rates will go to zero you'll have these huge profits and you know you'll you'll make a fortune like all of the bankers i was given example just b.c. just announce that they've got a seventy billion pound black hole of debt. so seventy billion dollars of the bets that they've made are worthless they've carried them on their books at one hundred

cents on the dollar but now they're saying now at they're actually worth zero cents the dollar so they'll go to the bank of england mark arnie and they'll mark carney will take seventy billion worth of worthless junk that's valued zero and he'll give them seventy billion dollars worth of gilts of. english treasury by british treasury bonds yeah and they'll do that swap and they'll call that quantitative easing and they'll call that a monetary policy of some type and h.s.b.c. will declare themselves a solvent but number one h.s.b.c. is insolvent by any accounting measure they're insolvent yeah be quantitative easing as you just described is a massive fraud and seeing at what point do you close a bank like a just b.c. they load your money for hezbollah they launder money for mexican drug cartels they've got a seventy billion dollars black hole of debt they're insolvent but the government keep printing money and that's causing the deflation it's crowding out real

investment they're supporting a bankrupt institution your thoughts. you're right it's not singling out h.s.b.c. per se but the whole system you know. there's no there's no question the this is all this is all a it's are all it but it's any assurance to the people who are where i honestly think the innocent me ignorance you know the nazi not maliciously sort of evil people is the basis of a firing squad that if you know what about each one of them in the firing squad doesn't have the bullet and they all walk away thinking oh that was me i'm innocent but yet they're all guilty so the accounting for a k p m g that h.s.b.c. did they have the bullet they don't know even though they're in accounting for they don't know what who they killed but they know if they know how much they paid for lunch and they're going to get a write off against the government but how many banks they kill this morning i don't know my nauman accountant what i know all right we've got about ten seconds

left actually running out of time. so we don't have any but i take it that europe still bullish on gold absolutely absolutely so we'll move lower the price goes the more the more you should be i think the american say stocking. stack to keep stock in the all right senate jenny thank so much for being once again on the kaiser report and that's it for this edition of the kaiser report with me max kaiser and stacy herbert i'd like to thank our guest sandeep jaitley of research dot com if you'd like to get in touch tweet us at kaiser report intellects timed by you know. as a new physician i swear by the book to go. to the best of my ability

and judgment. i will prescribe for the good of my patients. i will not give deadly doses to anybody. or advise of those to do so. i will never do harm to. doctors of the dogs. out.

liz. liz. live. live. live. live

live. cross-talk rules in effect that means you can jump in anytime you want. live. after three years of. just over one hundred. loma sea and common sense come together with one. war is not d.h. . does chance.

to own revolutionary kangaroo court self to tonight's a violent protest leave the center of ukraine's capital devastated and many of those guarding it in hospital. so-called european opposition has violence in its d.n.a. the kiev protests are slipping beyond the control of the moderate opposition as far right movements and extremists move in. syria's opposition decides it will attend peace talks after the u.n. retracts an invitation to iran just a day before the t.v. the summit starts a move moscow has called a mistake. russian diplomats those attending the peace talks to focus on the terrorism plaguing syria amid reports of al qaeda training camps across the country up top stories this hour.