it has distorted the costs of money allowing companies to make questionable decisions so that is this c s p p and that is a program in from the european central bank and i didn't realize that this program was actually going out and such a bizarre way the european central bank has read recently suggested that they might start buying corporate bonds again this is a they're going to revive this program this c s p p the author of this article on bloomberg says well consider germany's a.g. bear which agreed to buy month in may of two thousand and sixteen for sixty six billion dollars in what was then the largest all cash merger ever announced the deal was controversial from the start as bear was going to need to raise billions of dollars traditionally this means a company must go on a road show explain its plan in great detail without evidence of

a credible plan capitalists will not part with their money but the e.c.b. is not a catalyst they just gave bear billions of dollars we don't know how much they haven't revealed to buy monsanto so become a central banks right they're supposed to be the lender of last resort right they're supposed to be in the background supposed to be there in case the banks get in trouble so the deposits are safer it's a backstop measure of the central banks that's what that's why they were created but over the past twenty five thirty years they have become essentially hedge funds so they're looking for investments and they're the first place that people go was a dodgy deal like this one and as a result they crowd out competition and without competition you don't have capitalism capitalism relies on competition so competition means that if you have.

winning ideas or winning companies you survive if you don't you don't survive just survival of the fittest as competition but if you have a corrupt central bank who is willing to finance dodgy deals then it crowds out the good companies and end up with a lot of bad companies in a crowd of competition and you end up with a with a with a crony capitalism or cronyism of course that yet cries out competition because competitors to now bear monsanto because they were already like all of us now they become monopolist these huge conglomerates that control the seed supply around the world and never the less you know a bear bought this at the wrong time because months and has been hit with all these round up carcinogenic sort of. lawsuits and they're losing unfortunately for europe the european taxpayer who is underwritten the centrally these e.c.b. dodgy deals with the well connected bear of course is

a very well connected european company they're very powerful and they have access to the guys at the top and when bear went on this road show well they normally would have gone on a road show if they needed to raise sixty six billion dollars they would have had to go to you know private equity guys and hedge funds and pension funds and try to convince them that this is a great deal of this is how they're going to make money they didn't have to do that in fact the european central bank this corporate securities purchase program all they require is that you're a european company that your non financial company and that you have a aaa rating or a investment grade rating from the ratings agencies remember those rating agencies that blessed all those dodgy derivatives that took down the economy last time so that's all that used to be required and they gave them money and we don't know how much they gave right so it's a huge deal the sixty billion dollars or so without having to. to put forward any

form of due diligence or any form of documentation to justify that valuation they simply did it and shake deal with the european central bank of the european central bank prints its own money so how do you know that they should not be allowed in the marketplace to do deals if they can just print their money to do these deals and every time they make a mistake they just print more money and they've already been seeing them do that on a geo political global basis where they do mistake with bailout or some kind of i.m.f. mistake they just print money now it's being that that methodology is working its way down to the corporate level and of course you know month santo you know when you talk about the absence of competition they've been more responsible for wiping out small farmers around the world whether it's in india or the united states that company is destroyed. millions of. you know lifes lives you know their lifestyles their totally destroyed financially these sort of small farmers in

terms of this a corporate sector purchase program this is what the e.c.b. from two thousand and sixteen to present the two hundred billion dollars worth of these corporate bonds they've taken and in terms of how they finance this deal the e.c.b. should have known better because in september two thousand and fifteen before this e s p p began the e.c.b. was buying car loans asset backed debt and securitized loans this included the benchmark issue or a volkswagen which became are embroiled in rigged emission tests in the u.s. for its diesel cars how important was the e.c.b. to volkswagen when that scandal hit the e.c.b. announced that it would suspend purchases of volkswagen debt securities the move her the company's ability to raise money so again remember we're living in america tucker see it they say you know everybody's free to compete you just have to be better than the competition well they're propping up dodgy competition who should

fail and you know maybe that's why we have this ongoing crisis is that these huge corporate be humans have just run out of ideas other than buying back their own shares and taking free money from central banks well if you don't have to compete you know you're not going to compete because competition is work right i mean nobody wants to work people would rather go to the central bank and just hand over a lot of money they just printed by a company like monsanto that has. timed established itself in the agricultural sector of the economy in a ugly way where they have a socially patent to mother nature they've planted seeds and read the many times they've reduced the ability for seeds even reproduce right i mean that was one of the products that they had and then they rolled it back but that's their intention and if you can back that up with. free money i mean if you don't have to compete you don't want to compete but in the capitalist system it's competition is what

makes your work so it's not capitalism if you're just going to finance. the companies also the central banks not only help finance these zombie companies but they cause investors to mis allocate their capital especially the likes of pension funds by fixing the price of money artificially cheap and or to help all the zombie banks that are financing and helping underwrite these bad debts to the companies and we've talked about this in the u.s. and you know it is a geo political issue so it's it gets very intertwined with that here's another story about fracking that you know we've said over and over that the economics don't make sense value of us oil deals plunges ninety three percent in first quarter as investors demand higher returns the value of us oil and gas mergers and

acquisitions fell to a ten year low in the first quarter according to data released on thursday as investors pushed shale oil producers that have driven a recent merger boom to focus on lifting shareholder returns rather than production so it's plunged one point six billion in the first quarter because they're looking at the numbers and. the headline numbers keep on saying we've increased production us has never produced more oil than the one nine hundred seventy s. early one nine hundred seventy s. and here we're producing all this oil fracking where more and more barrels but investors are starting to say. yeah but where is the. profit we're not seeing any profit so they're saying enough not even though it's high yielding that nothing is enough so they're just backing out of these deals was sort of covered on the show for a few years now the acting industry cannot. by any mathematical equation you use produce profits that can only it can only attract more funds in terms of bond

buyers the banks who sell them the bonds they make money but the actual fracking regs the stuff you drill in. the gas that you pull out it the energy required is greater to get that bt used to be to use that represented in the energy you're pulling out of the ground or less than the bt use that you need to get the end the energy out of the ground number one the amount of money it takes to drill the holes is greater than the amount of money you pull out in the business right so this is this is a ponzi scheme and clearly it's a ponzi scheme and so investors now after ten fifteen twenty years are waking up to the fact that it's a ponzi scheme but they're not in some advise to understand that it's a ponzi scheme as long as they're getting a coupon as long as they're clipping coupons as long as they're getting an interest payment on their money they're like they're blind to the fact of it being

a ponzi scheme and it is a ponzi game well has been apologies game but again it's not capitalism well we've talked about this for about eight years now and what we noted from the very beginning was the fact that fracking oil in particular let's look at oil fracking rather than gas fracking and it requires it has a problem of the red queen syndrome when you you know drill a well it only lasts for a year before it starts rapidly declining by seventy percent now look at gower field in saudi arabia. that's pumping priscilla years so that's the difference between traditional oil and fracking so you do have this red queen syndrome where to keep to maintain just to stay even in the number of barrels you're producing from your acreage you've got to keep on drilling more and more more more every single year so it's kind of hitting that limit and they've been able to mask the

absence of actual profit at the individual barrels by producing more and more and now investors are like ok we've been waiting for ten years now where's this profit bob so they're only fracking bankers are making money but it's a non sustainable ponzi scheme but just before we exit i want to say that just seven of the twenty nine independent shell producers last year generated more cash from operations than they spent on drilling and dividends according to reuters so just seven are making any profits right now those profits i'm sure if you took a close look there would be no profits either for any of them and they're going to take a break when we come back much more. joining me every week on the alex so i'm unsure when i'll be speaking to the world of politics or i'm sure business.

with manufacturing consent to public will. when the really close is project themselves. with the flaming. lips and neither will. we can all middle of the room sit. but i can't. be the first one to. go. with hundreds. i chose

a useful to do because. people think i was national. i thought. it was from the typical seems. to me. these critics one of the most musically. because between. a fishing and a wife there the smear. both of you those who. oppose someone. because of a love spell if you will it's pretty deep. welcome back to the kaiser report i-max kaiser it's i'm out of turn to professor steve keen

author of the buggy economics it was he's got his own patriotic town over there a pastry on reagan get his witty economic inside almost daily well worth it i highly recommend it steve welcome back thank you max o'reilly now steve king you're just in australia the property market has finally turned it would appear after decades of never ending price rises is this the big kratos you've been talking about a few other people have been talking about that disappearing for a few years what's going on yeah i think it is the big crush. is being pumped as far as it can go when you finally get in the dump off at the pump because a strike is should have had a crash back in two thousand ita long with the rest of the world we had a high level of profit in america had we had a big credit bubble we had a bigger housing bubble it was prevented by the government and i've got to take some of the blame because one we got frozen if you don't these stories leading

current affairs program the day the day after that the prime minister was grilled with respect to my views and one week later he came up with a rescue package and that rescue package was opposed giving a thousand dollars to anybody with a pulse in the country and message government spending on schools a cash for clunkers top scheme as well and also doubling and tripling in out of money they gave the first time boss which restarted the housing bubble so all that stuff plus china came in the mess of buying at the strange results is again to fuel its property bubble that went on for several years and kept the get the thing floating then we reach pretty much pick private debt big trip to bed about two hundred ten percent of jay forty percent higher than america's fake level it was flat lining and then the banks made a brilliant decision they decided to hold a royal commission of themselves to show dry. they were because they got sick and tired of. you want your heart to international breaking

into a show your programs as you can see was some big news to tell you about it's breaking wiki leaks julian massage has been arrested and removed from the ecuadorian embassy in london after all this time say u.k. police are signs it has been arrested by officers from the metropolitan police on this site i'm just checking it at the embassy of ecuador on a warrant issued by westminster magistrates court twenty ninth june twenty twelve he's been there all the time of course for failing to surrender to the court he's been holed up there for six years let's go live to london and you should certainly is there as well gosh this story i mean maybe this was on the cards bearing in mind what was being said this week some kind has been trained on the place is going to favor is for exactly those concerned but this is such a long and complicated story about how he ended up there in the first place how long he's been there and what what happened to him as and where this day came when eventually he could not seek shelter there anymore bring us up to speed what's out

and what's a likely to happen next and it is safely in london. exactly what we're hearing reports that the metropolitan police has contends that julian assange has been arrested on me from the dorian embassy in london now a son has been holed up in the ecuadorian embassy in london since two thousand and twelve after seeking asylum there as swedish police wanted to question him over allegations of sexual assault although that investigation was trawled a son to face charges in the u.k. for by violating bail conditions and this is what he's been arrested for there also fears day that he could be extradited to the u.s. for the publication of u.s. classified documents on the wars of of iraq and afghanistan but tension has actually been brewing and very recently after which. leaks tweeted that julian assange could be expelled lost their stay said this is been burning since then and yesterday they were

a press conference was held with wiki leaks and with the editor in chief saying that there had been an extensive spying operation on julian assange intriguingly aqua door an embassy in london now this material gathered with indian embassy contained actually gigabytes of recorded video material and would be in material photos monitoring scientists every move and meeting with this interest there as well their worries that this was a huge breach of confidence but since said president miranda took power in ecuador a sign from the president has quite rocky relations particularly over the publication of the documents regarding an offshore account in panama that these are allegations that president miranda tonight and also that wiki leaks denies publishing as well but we're going to keep you up to date on the developments as and when they happen with this breaking news. just check you know. to shoot here what the metropolitan police is saying there's an update at ten thirty three local

summertime live this morning say a juice judge forty seven has to day thirty eleventh of april get arrested by officers from the metropolitan police service the m.p.'s at the embassy of ecuador and screw southwest one as we've been saying issued by westminster magistrate's court on the twenty ninth of june twenty twelve for failing to surrender to court since he's been taken into custody at the central london police station where he will remain says the met before being presented before westminster magistrates court as soon as possible so no data timing on the at the moment. the m.p.'s as a jew to do execute a further it says the warrant on behalf of westminster magistrates court i was invited into the embassy. following that could during government withdraw of asylum . no jeremey hunt the foreign secretaries. the u.k. is allowing coming in thanking ecuador's president moreno for cooperation with the u.k. foreign office to quote in shaw faces justice. jeremy hunt going on to say no

one is above the law so big news julia signs after all this time holed up in the ecuadorian embassy there arrested by police basically ecuador said no more it's been out of favor with the current president but feeling anyone there he goes what a different looking man the prime being carried down those steps white beard gaunt haggard we've seen him in various states a while back he used to come out on to that balcony of course look at these pictures again what a dramatic scene listees. just in breaking news here on r.t. international dooley in a very angry and bitter man being taken away by a number of police and bundled into that police as i say. to go back to what i'm actually saying here this is all just happening that he is. he's been arrested. at

the ecuadorian embassy there on a warrant issued by westminster magistrates' go away about the twenty ninth of june twenty twelve you remember the various kinds against him that were dropped sweden was involved here as well the worry is that when he came out of there what would happen to him next would he go to sweden. would he be extradited eventually was the worry to the united states of course and face action there the metropolitan police saying that a duty to execute this warrant has over saying about half of a westminster magistrate's court and that it seems is where he is going to be taken and presented as soon as possible after being held in custody you listen to arrested in the ecuadorian embassy. confirmed by the metropolitan police back in november twenty eighth an american court you may recall this is so complicated this story. actually revealed the charges against this facility in the us federal court documents the united kingdom has an extradition treaty that would allow british

police to arrest the wiki leaks founder and transport him to the u.s. question is is that going to happen now there's going to be so much attention on this story over the coming days you could just see it brewing no can't you where this man is going to end up a lot of people for him a lot of people against abuse a demon to some he's a hero to so many others of course wiki leaks and get washington by publishing hundreds of thousands of secret u.s. diplomatic cables that were laid bare as reported here when they got a program on this channel for a while didn't it highly critical u.s. appraisals of world leaders from the russian president vladimir putin to members of the saudi royal family. late as well back in twenty twelve the group released over ninety thousand secret documents detail the u.s. led military campaign in afghanistan followed by almost four hundred thousand internal u.s. military report detailing operations in iraq more than two hundred fifty thousand classified cables from u.s. embassies followed then almost three then almost three million after that dating

way back this was such a big whistleblower because me and these operations well wiki leaks just a reminder again more news coming in jeremy on the u.k. foreign secretary thinking i could also president merino for cooperation as he put it with the u.k. foreign office to call in shaw as sanj faces justice further he says no one is above the law as a new line in now let me read it before i read it to you yes the russian foreign ministry spokeswoman commenting now about a scientist is that detention saying the hand of democracy is strangling freedom here read into that as you well wiki leaks founder julian is sanj arrested by the metropolitan police removed pretty forcibly if you can see there from the ecuadorian embassy and boy even if you haven't been following this story for a while did he look different. he's been kept up holed up there it's a very small quarters i need to research this but from what i remember of it when i

last looked there but six months ago the offices there are extremely small he was kept in just one or two rooms really not really seeing daylight and very rarely seen out in public of late the russian foreign ministry spokesman again repeating this saying the hand of democracy ironically is strangling freedom here that's rush's view on what's happened here i suppose at some point this had to come to an end another line in president of the new president in ecuador relatively new drew a songes a solemn state has over his quote violations of protocols is what's being said here destroying this story back a little bit too loose arrested at the ecuadorian embassy in london where he's been there since twenty twelve while on bail in the u.k. over sexual assault allegations against him in sweden now if i remember again i'm joining up on this if i remember those charges were dropped but there is still this question mark what would happen to him as and when he eventually had to leave that

embassy was going to happen at some point wasn't it well it's happened now this is breaking news an hour to international it's five minutes to one in the afternoon moscow time just before five to eleven in the morning british summer time in london these scenes. there we go just look at that the sea looks like such a different man disney from what you saw three four five years ago i'd say heard show on this channel a number of years ago now it's been a while back not been seen on the balcony for a while. but this is fueling astonish far from freedom out on the streets of london again a bundle straight in a mit police van ready to go to. temporary custody and then to be presented be here let me just check at the latest the men are saying on their website this. to be presented before the westminster magistrate's court. and it's following an invitation from the ambassador of the embassy let me go in

and get him of course normally these embassies are hallowed ground a you're allowed in there. no one else is allowed to come and get you it's a place of safety but not today a quitter ecuador said no more and the police have gone in the question is a say what happened next we're going to hold one of the guests we're going to line up to give you a bit of a thought on what might happen next it's anyone's question reminded me of such course forty seven years old. but gosh does he look older where. there's been very little people who worry about his welfare whether you like this money or not he's been cooped up there for such a long time what about his welfare worried about he's not really had much exercise he's not had any space to exercise and of course of late as well it's been a very hollow welcome from ecuador under the new guy in charge there marino. wiki leaks founder julian sanj arrested at the ecuadorian embassy in the united

kingdom to remain in custody in a police station in central london in till he's brought to court as soon as possible. all right let's see if we get some listeners. interest confuse some of the news wires here to see what's also being said if we've got any more lines and we've got this is very early days. was presently merino saying it withdrew mr songe asylum outraise repeated violations to international conventions be good to get some idea on what that actually means you know it sounds very technical what is it that eventually pushed ecuador to say no war you can seek shelter you can't seek protection here anymore and the big question is what is going to happen to him next julius and you arrested at the. dorian and embassy repeating ourselves here. because this is big news. but the main thing is he did

not walk out of that embassy. british police were invited inside to bring him out. the russian foreign ministry spokesperson saying that hand of. democracy here is strangling freedom pensée you look at it as a say here of some people an absolute villain to others. very unpopular with some of the of the big stories that that he brought the backing for that he broke some people didn't believe it some day. he's been holed up there. for so many years but now is about to. face westminster is the westminster match was caught in the coming time we don't know still no time when i was there it's days or hours since i get more on that says we get more on that we'll let you know but it's all happening under a warrant issued way back by westminster measures court on the twenty ninth of june twenty twelve. or a wiki leaks understand because published that huge trove of documents revealing

war crimes mass surveillance and corruption. that works. now among the videos saying in arbutus exclusive to us we're the only ones that are got that at the moment that's to be confirmed but if you just shortly says r.t. international it's the eleventh of april just coming up to one in the afternoon here eleven in the morning in london and this astonishing scene through for them. from the ecuadorian embassy where julie scrounge forcibly manhandled out of the ecuadorian embassy by the police looking like

a broken man not shaven looking gaunt. sputnik news agency here in moscow let me see what they've got to say about these different various lines coming out now as more of this is being heard yesterday hearing more of the background on which other to say at the moment he's been arrested because ecuadorian president in marino confirming on thursday that the the country had withdrawn his asylum status so that's the key thing where the police are but allowed to go into these sort of hallowed grounds of the embassy in the first place in the country to draw on the asylum status from a sarge the founder of the wiki leaks were supplying website over his violations of international conventions and daily life protocols you may recall it was not long ago when i was into that we're hearing more and more of a clampdown about him such as the hollow feeling of the well we had in the embassy there initially well. but it got less and less of a welcome as time went on as the weeks went on as the days when i was the most well known as the knee is went on and this is the end into a police where a son has been residing in that.