name and logo is used to legitimize fraud the bank knows it the bank knew it it's the same way that moody's s. and p. and fitch used a aaa rating bond rating to legitimize the bonds that were sold to greece that were worthless that bond sold all over europe that will work close bond sold all over america collateralized debt obligations mortgage backed security bonds they knew were worthless but they put the aaa rating on it to their part of a fraud or part of a syndicate they're part of a racket just b.c. is a racketeer for one hundred fifty years this is one of the dirtiest banks of them all well you say they knew and this is what they're charging in this lawsuit in america that kay p.m.g. actually wrote two reports for h.s.b.c. one in two thousand and six and one in two thousand and eight the title of the report's quote review of fraud risk and related operational risks bernard l. made off investment securities so pretty clear what there are who looking at one of the report warned that allowing bernie to be a custodian of the funds while also managing them created potential that the trades

that plus the bonds that arrived upon the shores of europe had a aaa rating thanks to fish and moody's and s. and p. so yes they had a false sense of security and now the banks are underwater then greece goes underwater now italy's underwater spain's underwater because they were sold bonds that had a aaa rated guarantee from the u.s. but it turns out that these bonds are not worth one hundred cents of the dollar they're not even worth zero cents on the dollar well in fact why they sell how they sell treasury bonds is sounds like how they sold this gold to the people in poland we are dealing with the loss of confidence in the entire financial system and an urgent need for safe investments the environment for gold is perfect as we hear this about u.s. treasury bonds. treasury bonds are sold by hucksters they are guaranteed confiscation of wealth as a guaranteed zero return guaranteed loss if you're buying a twenty year bond with zero percent near zero percent coupon in an environment or social banks are printing money like it's going out of style you're guaranteed a loss but so but they need t

according to moody's annally theic s, if they keep moving forward, they can create another 12 millionhere's no question that we've got to do so in a way that's balanced. we've got to protect the middle class. we've got to make investments that will pay dividends down the line. that's different from what mr. romney would do. would extend the deficit for 29 years. so the budget hawks who talk about reducing the deficit would actually extend it. their plan would undermine medicare. their plan would put $5 trillion of taxes -- cut $5 trillion in taxes and raise taxes on the middle class. that's very different from what democrats and president obama wants to do. >> this is going to be an interesting war of ideas. i am excited to see you in charlotte, sir, look forward to seeing you in person. >> i look forward to seeing you too. >>> still ahead, $5 million raised for the survivors and families of people killed in that horrible shooting in the colorado movie theater. so why has none of that money been handed out? "outfront" investigates. >>> and disastrous flooding in the wake of isaac. uld

basically, although we're fully owned by government we issued bonds, we are rated aa-plus and by moody's and scould invest with the company but more likely that you would like to invest with the partners around us from the developer, downstream, midstream and up here. >> here in the united states who is expressed interest in working with you or who are you reaching out to work with? >> we have a great partner here, noble energy. they are in israel since 2004 i believe. and they are part of it. amal and levithon. we're trying to make them happy. because it iss important for israel investor to get more into israel. that is the reason for the conference here today. you can invest with those companies and you can invest with other, we're planning to exporting terminal we were talking about before is basically 10, 12, $15 billion. we don't know exactly because we're in the middle. we will need partners to come build with us doing this. we're looking for added value capital. not just capital. >> we appreciate your joining us here on the fox business network. considering the future for israel, not to

credit ratings agency moody's said today keeping the u.s.a.'s triple-a credit rating hinges on getting a deal in congress to cut the nation's massive debt load. if budget negotiations lead to specific policies cutting the ratio of federal debt to gross domestic spending, then moody's says it will affirm the country's triple-a credit rating and change its outlook on u.s. debt back to "stable." if there's no deal to avoid the automatic spending cuts and tax increases, moody's said it will be forced to slash ratings. the warning did not hurt demand for government i.o.u.s. the treasury department had record demand for three-year notes auctioned off today. the federal reserve also has talked about the risks to the economy presented by the fiscal cliff. the central bank's policy makers begin a two day meeting tomorrow, not about the fiscal cliff, but rather monetary policy. one change expected to be discussed is whether the fed should promise to keep interest rates low into 2015. here's the interesting thing about that-- ben bernanke is unlikely to be

>> i think moody's may downgrade us. s & p did it in august of 2011. the same problem is facing us in january and february. we had this bad law on the debt limit it doesn't cause the government to spend less, just makes our debt look uncertain a better way, i have advocated and would like to see them do this repeat current law and replace it with a law that restrains government spending t is the proper way to go. the current law was written in order to get the government more dealt and that is not really a usable proposition right now. we may get a downgrade in january. i think women end up with a recession and downgrade own the path we are on now. >> david, i'm not going to defend debt, right, but i will say what some of the defenders of current policies have said. they have said, okay, right-wing, you've screamed about debts for years, but yet, the stock market has more than doubled off its lows, bond yields are near record lows, demand for treasuries continues to be high. thus what they are saying is the world or american stock investors don't care

i think they only got a two-notch downgrade from s&p or moody's, they're interchangeable.ne of the rating agencies. they were threatened with a three-notch downgrade if they didn't buy the rest of it. what makes this such a risky gamble, i know the stock's up, markets are not good. people worried about europe, interest rates are still going to remain low, that hurts the returns of a brokerage unit. so this is a very difficult situation. we should point out this story's pretty interesting, mf global, it's been one year since the firm imploded, the missing customer money is still missing, $1.6 billion. a lot of people pointing fingers at jon corzine, we should point out that early on last year when the investigators at the cftc started investigating this, they interviewed the north american cfo, and she point-blank laid the culpability at jon corzine's feet. she even said that he could end up in the jail because of his actions. this is what she told the cftc, she pointed out that neither corzine, norrer is win sky denied she made that statement. people have said, listen, he

moody's. >> we had s&p 500, now we're talking moody's.final parting shots, dick grasso of the new york stock exchange and ken lango. putting politics aside for a second, where do you see the economy? you look at the stock market and we're at an all-time high, does that make sense to you? >> let me tell you something, last week i visited a nice company based in manhattan called dice holdings. they have an online employment agency. they have 86,000 high-paying jobs looking for candidates. the break point is the education of the people applying for that job. everything you address in the way of societal needs, it all gets back to education. and i'm taking advantage to make a plug. why am i for romney? because i think he'll do more for public education than obama will. obama's done nothing in four years for public education. the needle has only gone down. we need to get back to what do we need most in america? we need desperately to fix our public education system. it's in trouble, and it will destroy everything else around us if we don't fix

that's why s & p and moodies say we have to put some people in there throg compromise. the issue is this issue of sequester. let the bush tax cuts expire as planned over 500,000. take away unnecessary subsidies. then you get a $100 billion annual cut down to $23 billion in savings that i know we can find. it's time for specifics. it's timing for action. it's time for working -- it's time for action. it's time for working together. >> thank you for this opportunity to have this debate today. tim you kept talk about that plan. we still don't know how many jobs would be affected. you want to raise taxes on exxonmobil and others. i want to know what the impact is on jobs. folks, there's a clear choice and which approach will be best for jobs here in our country. i envision a better future that what we're enduring today. david asked me who are your targets in your campaign. you're asking me various percentages of i figure about 99% of the folks should be on our side. anybody who uses electricity, anybody who dreist a car, anybody who -- drives a car, anybody who pays taxes o

s efforts have failed to prevent ratings giant moody's from slabbing a negative outlook on the block later marta anderson who used to work for the european commission's us bad policies have contributed to the region struggles. i was in the commission and actually there are people in the commission and leave in their ivory tower they don't actually understand what the issue is with the economy in the european union and we are where we are because of the lack of discipline of the member states but very much also because of the lack of control of the european commission on the policy that they have put out this crisis is to a certain extent or to a large extent the result of the good or bad policies that they put him play. but they don't you mean you're responsible credit rating agencies are part of the problem or part of the solution because obviously they take certain parameters and the are of course in a way with the rating for seeing you know the interest rate go up i think it's anybody's started showing that for me they you. are short life it. and watch the full interview with u.k.

i would submit that s&p and moody's should be on trial for giving us -- [applause] to mortgage-backed securities. these are the people, ladies and gentlemen, that should be on trial. i would submit to you that ben bernanke should be on trial -- [cheers and applause] for his money policies that have debased our currency. >> all right, thank you very much. >> don't put -- >> all right. >> wall street on trial. >> hey, hey! how dare you! >> they're the ones who lost our money, and they're the ones who should be put behind bars! [cheers and applause] thank you, your honor. >> okay. all i'm saying is if they were the jury, you would be in so much trouble right now. but they're not, they are. all right, thank you very much, mr. moore. >> thank you. >> take a deep breath. [laughter] mr. frank, you ready to make it rain in here? would you like to call your first witness? >> it's time for us to hear from john mackey, the chairman of whole foods. [applause] mr. mackey, would you, please, take a seat? we'd like you to take an o oath to to tell the truth, the whole truth, and nothing but the trut

, and on the front page of the financial times this morning, the headline reads that now moody's might join the s&p as downgrading the united states good credit ratings. excellent credit ratings. both of those project serious threats to the united states. one, how do we continued our diplomatic efforts, our military and economic efforts abroad to export, to engage the world, to explain american values, and make sure our people are safe overseas. and, to come how do we protect that great credit rating of made in the u.s.a. i am an optimist. i believe that we can achieve these outcomes. the cairo book that many people are reading this past summer talks about great leadership, but it also quotes walter lippman and james reston talking about the worst congress they have ever seen in terms of the gridlock. and we overcame that. just as i am optimistic we will overcome gridlock on capitol hill that we see today. two ways around that are great leadership, bipartisan leadership, democrats and republicans working together as they did 15 years ago for a balanced budget in 1997. and secondly, with tweets, w

moody's threatening a downgrade from the aaa. the s&p's done it. but in the construct of all that noise we look at an opportunity to buying into risk assets, not selling. >> we'll talk more when you return in a little bit. >>> two key numbers on housing out today. diana olick follows that beat and she has them both live for us in washington. >> that's right, sue. home sales and new constructions both in the positive in august leading realtors to say that this housing recovery is becoming "much more convincing." take a look if you will. existing home sales up 7.8% month to month to the highest level in two years when we had the home buyer tax credit juicing activity back then. fewer distressed sales in the mix last month. that's foreclosures and short sales. just 22% of the toastle. that's down from as high as 40% in the last couple of years. that's because volumes of those foreclosures are way down. still though, cash is king. nearly one-third of all home sales in august in cash. historically that should be down around 10%. you can see it in the we

fitch, s&p, and moody's actually give ratings. apple, 70215. a new all-time high.ee times this year that we have seen apple. home depot and bake of america have been the two leaders of the dow jones industrial. dennis: well, could u.s. banks withstand a terrorist cyber attack? that question after bank of america suffered a denial of service attacks yesterday. here with the bottom line. >> according to -- according to intelligence sources it is unclear whether terror group had anything to do with a cyber attacks on bank of america, but it came as the sdi director has been warming to -- warning that cyber criminals are increasing attacks on u.s. banks of all sizes target every day. mostly from cyber hackers in eastern europe. the way it works is, hackers break-in via spam or fishing e-mails, then steal bank employee logging credentials and that consumer money, up $2 million in some instances. hackers masquerade as bank administers is 55 administrators signing off on wire transfers of customer accounts and then launched a massive denial of service action as a distract

s&p. three days later state that a downgrade. moody'said if you don't interact together, if you don't have a plan for fiscal responsibility, we could be downgrading you as well. that is another warning shot across the bell. i don't think anything is going to happen before the election. too much politics going on. the house is trying to avoid a tax increase and we are waiting on the senate to act and join us. gerri: that is my next question. if you can't even get the center together on this, this one house of congress here, it doesn't really raise confidence in the overall abilities as congress as a whole to do something. >> i agree. the economy is bad. i think it's getting worse. the small businessmen and women are worried about that sequestration and they have very little confidence in washington and that is why they are not investing. despite what is coming out of washington. gerri: i feel like everyone is making the same point and it's not very convincing. i tried before and it didn't work, some burns on my hands. it is frustrating to

moody's is threatening to cut the debt rating if congress gets too close to the fiscal cliff s it the right thing to do? talk to us go vote. finance.yahoo!.com, the results are coming up. sue? >>> as you know this is day two of a massive teachers strike in the nation's third largest school district t left parents struggling to find doctor their kids a nnd many cases, parents are simply not able to go to work. the president of the chicago board of education today says it is taking the teachers union "more time than we think it should." 350,000 students right now are being impacted. >>> more with michael lewis straight ahead on power lunch, including details of his days inside the white house. the market's roaring back after a late-day drop yesterday, up 87 points now. we are talking about just how high they might go, coming up. plus, we are waiting for mark z. and julia boorstin is live in san francisco with that. hi, julia. >> that's right, sue, a ima he here at the tech crunch disrupt conference in san francisco where everyone is eagerly awaiting for facebook ceo mark zuckerberg to s

there is too much division in congress, and that is why it s&p and moody's have said we have got to put some people and they're willing to compromise. the challenges on the table before us right now is this issue of sequestered. -- sequester. i have laid out a pretty simple, straightforward plan. let the bush tax cuts expire over $500,000. take away on necessary subsidies. then you get a cut, accounting for billions in savings. it is time for specifics. it is time for action. it is time for working together. >> thank you for this opportunity to have debate today. tim, you keep talking about the plan, and we still do not know. if you want to raise taxes on exxonmobil or others, we want to go into the impact. which approach is going to be best for jobs here in our country. i envision a better future. david asked me about who are you targeting in your campaign? there are various percentages. i think about 99% of the folks should be on our side. anybody who uses electricity, anybody who drives a car, anybody who pays taxes, anybody who works for a living or once a job should be on our side.

moody's is threatening to downgrade us after s&p has done just that. that is the bottom line.ays the taxes in this country? you will see upper bracket and dirty joke in washington, d.c., guys, is that tax cuts for the rich, well, they're the ones paying the taxes. lori: real hard facts and figures under politics of it all. >> that's right. lori: coming up tonight on "cavuto" neil will have mitt romney's first reaction to the backlash. don't want to miss that. 8:00 p.m. eastern. melissa: motorola mobility revealing its latest razor smartphone. the razr i is out today. it uses different processor chip than other smartphones. joining me is roger kay of end point technology. roger, thanks for being here. you were helping us out with apple's new announcement of the iphone. let me ask you, are your hopes high for this phone? what do you think about it? >> melissa, the importance of this phone it is intel's foray, well, another intel foray into the phone business. intel has been talking about getting into phones for a long time. it has really been a long time coming. now this represe

times" this morning, the headline rains that now moody's -- the headline reads that now moody's might join the sp in downgrading the united states excellent credit rating. both of those project serious threats to the united states. one, how do we continue our diplomatic efforts, her military and economic efforts abroad, to export, to engage the world, to explain american values and to make sure that people are safe overseas. number two, how do we protect that great credit rating of "made in usa." i am an optimist. i believe that we can achieve these outcomes. the caro book that many people are reading this summer talks about great leadership. but it also quotes walter lippmann and james preston u talking about the worst congress we have ever seen in terms of a gridlock. and we overcame that. just as i am optimistic that we will overcome the gridlock on capitol hill today. two ways around that are great leadership, bipartisan leadership, democrats and republicans working together as they did 15 years ago for a balanced budget in 1997. and secondly, the tweeds, the blogs, the social media, the ame

s&p 500 added four. stocks shrugged off a warning from moody's saying the u.s. coo lose its aaa credit rating.ad to the end of the fed's two-day meeting and a decision on whether they'll take additional steps to boost the economy. and that is it from cnbc for now. we're fifers in business worldwide. i'm going to hand you back over to "hardball." >>> when congressman ryan looked into that tv camera and attacked president obama's medicare savings as, quote, the biggest, coldest power play, i didn't know whether to laugh or cry. it takes some brass to attack a guy for doing what you did. >> welcome back. he made up those lines right standing there. that was former president bill clinton doing the impromptu act at loost week's democratic convention knocking u.s. congress moon paul ryan for ignoring the fact he included the same medicare savings in his own budget passed by the house. president obama needs bill clinton to help him with olders voters. bill clinton is taking his case to florida today and tomorrow. "the new york times" has reported potential trips now ahead scheduled already perhaps, o

there's too much division in congress and that's why s&p and moody's is basically saying we've got to put some people in there who are willing to compromise. the challenge that is on the table before us right now is this issue of sequester. i've laid out a pretty simple straightforward plan, but the bush tax cuts expire as planned over 500,000, fix medicare, take away unnecessary subsidies. then you get a $100 billion annual cut down to a $23 billion in savings that i know we can find. it's time for specifics. it's time for action but it's time for working together. allen: thank you for this opportunity have this debate here today. tim, you can't talking about that plan. we still that mohammed jobs will be affected. you want to raise taxes on exxon mobil and others. i'd like to know what the impact on jobs. folks, there's a clear choice in this an election. and which approach will be best for jobs here in our country. i envision a better future than what we are entering today. steve asked me earlier about who are you targeting in your campaigns. you're asking me various personages. i

there's too much division in congress which is why s&p and moodies says we have to put people in thereilling to compromise. the challenge that's on the table before us right now is the issue of sequester. today, i laid out a simple straightforward plan, let the bush tax cuts expire as planned over 500,000, six medicare, take away unnecessary subsidies, and then there's a $100 billion annual cut down to a $23 billion in savings that i know we can find. it's time for specifics. it's time for action. it's time for working together. >> thank you for this opportunity to have this debate here today. tim, you've kept talking about that plan. we still don't know how many jobs would be affected. you want to raise taxes on exxon-mobil and others. now, folks, there's a clear choice in the senate election and which approach will be best for jobs here in our country. i end vision a -- envision a better future than today. david asked about, you know, who are you targets in your campaigns? you ask various percentages. i figure 99% of the folks should be on our side. anybody who uses electricity, anyb