morgan's positions are the us treasury existence so you know well the root when you're when you're talking about the failure of j.p. morgan what we're really talking about here is the failure of the us government. we're talking about a default from the u.s. treasury. fault and j.p. morgan it is the defacto fault default of the u.s. treasury because morgan morgan's own size positions. are the treasures but there's no question about that they jamie diamond and morgan they're going to take the dollar with them and we'll end with them the u.s. economy and that's their game plan now the words when hank paulson threatened to destroy america unless they gave three quarters of a trillion dollars or every time they try to get some kind of law deregulated by threatening financial catastrophe jamie diamond is thread dollar collapse all right stay here and stay right there we're coming back to you in the second half on this new year's day special. divine power in action to date. i am and she says we need peace we are under the control of those governing you so who are at the service of a space mafia i

morgan essentially is the us treasury now the us treasury has deemed that china is not a currency manipulator that's part of their that's what they're saying publicly but this could be a war finance a war against china in a way because china is the biggest user of copper now the article points out that this scheme of the investors purchasing shares in j.p. morgan's fund won't be buying copper to use but to store the intricacies of the fund are complex but its underlying rationale is straightforward the more shares investors buy the more comp. he's taken off the market and the more copper that is taken off the market theoretically the more valuable the copper and the shares become the seamy tomo trader who cornered the market in the ninety's relied on the same essential strategy to artificially inflate worldwide copper prices so remember when you spoke to mitch firesign he said that they basically j.p. morgan now had twenty seven percent of the copper market yeah well you know most of j.p. morgan's horning going on happens right here in london under the auspices of life masters you only think

in naked short selling for example they will counterfeit or naked short sell short term treasury paper and then use the proceeds to buy long term treasury paper to manipulate the price of interest down to keep their profit centers high and people say why low i love cheaper rates because it's great for my mortgage however for every dollar they make on a mortgage or gain from a lower rate they lose two dollars in their pension accounts and that was recently published by the bank of england so that there's one hundred forty billion pounds lost due to interest rate manipulation and only seventy billion gained on the mortgage side so that again the population they cheer on the executioners like the jesse james out there the people like lloyd blankfein and jamie diamond that are murdering people with their with their financial weapons and they're at the same time they're they're becoming bankrupt well you talk about treasuries and central banks being complicit in this manipulation of library and global interest rate so i want to turn to a little clip we earlier in the year we've asked of a few guests to

of charter us treasury portfolio managers and welcome back to the kaiser report ok last time you're here we're talking about sever you had a bold prediction you were looking for a hundred fifty dollars on silver it's up six percent already in twenty thirteen what's what's the update. oh so far so good i mean. roughly in a small way what we what we thought we might do it's going up it's pretty much is going up every day this year and it's help of woman go which is something else we thought would happen and we think there's a lot more potential in the navy i mean the u.s. marine the stock. sell in sulaco and their way back in there there's very severe shortage there surely there's a shortage of developing the silver market is that correct this is just a massive demand for the silver coins in a comin them fast enough. and all supply of software is not that great it comes out of the ground right it's only been seven hundred million ounces exactly and unlike go when the big differences between gold and silver is the central banks sit in the way with tons and tons of silver no central banks do

. >>> us treasury department says the government is now burrough money from the federal employee pension fund. the move allows the government to keep paying its bills while congress debates an increase to the nation's debt limit. fitch is threatening to downgrade america's credit rating if lawmakers don't raise the borrowing limit. >>> five contractors are sending sealed envelopes to sacramento this week hoping to win the contract it start building the state as high- speed rail system. the "mercury news" explains the contractors submit one package with their plans for the project, another sealed envelope contains their price. officials will first check the proposals and then open the envelopes containing the costs. >>> san jose state university is launching an online education pilot program. the program is small for now offering only three classes, entry level math, elementary statistics and college algebra. but governor brown says it's a big step toward a new future for higher education. >> the goal is to empower more people and to reach out to our students so they can graduate quicker

of charter us treasury portfolio managers and welcome back to the kaiser report ok last time you're here we're talking about sever you had a bold prediction you were looking for a hundred fifty dollars on silver it's up six percent already in twenty thirteen what's what's the update. well so far so good i mean it's. roughly in a small way what we what we thought we might do it's going up it's pretty much is going up every day this year and it's help of gold which is something else we thought would happen and we think there's a lot more potential in the navy i mean the u.s. marine the stock. sell in sulaco in their way bigger than theirs verisign or shortage position there is a shortage of developing the sober market is that correct this is just a massive demand for the silver coins in a comin them fast enough. and all supply of software is not that great that comes out of the ground right so it's been several million ounces exactly and unlike go when the big differences between gold and silver is the central banks sit in the way with tons and tons of silver in the central eastern only so

diminishing of traditional civil liberties the expansion of imperial war the looting of the us treasury on the part of wall street firms has continued unabated under the obama white house on all of these major structural issues there is no difference between george bush and barack obama on some issues like civil liberties obama's worse right i keep saying i mean he's entering his fourth term as pressure with appoint someone like brennan and the systematic erosion of arthur the liberty of the antiwar movement also completely died the bush policies continued that blind party loyalty caused the death of the liberal class. you know what happened was in two thousand and four the leaders of the antiwar movement and i think in a very misguided decision decided to call a moratorium on demonstrations to elect john kerry who during the campaign if you remember out bush you know i would have never withdrawn from fallujah i mean it was and i think that this is part of the left failure that's not our job to take. it's our job to stand fast around moral imperatives. and and challenge will centers of

let's you keep buying us treasury bonds expect to happen to you what happen it could duffy expect to happen he would happen to saddam hussein our contacts at the state department america will come and bomb you that's what this fellow at pimco is saying so why did a bomb manager have access to the pentagon to go kill the compact competition oh that's the american business model the washington consensus is that we don't want to compete well just to kill you l. ron help them go to bob you know who needs it what about capitalism what about competition pepto don't kill your competitors cowardly moron yes but listen they are living in a world in a matrix in which they are the bond kings here they've actually been advised and clients and bill gross has been quite vocal that he himself is buying gold for his own portfolio but that's within the context of a theocracy globe. system in which the u.s. dollar is king when germany does this however it's not just a simple investor protecting their wealth this is a political statement this is an act of war they see that it makes the whole their whol

. >>> the us treasury department says the government is now borrowing money from the federal employeesion fund. the move allows the government to keep paying its bills while congress debates an increase to the nation's debt limit. major credit rating agency fitch is threatening to downgrade america's credit rating if lawmakers don't raise the borrowing limit. >>> emergency rooms are busy these days seeing people going to the hospital due to energy drinks, double from 2007 to 2011. the government reports most of the cases involve teenagers and young adults drinking energy drinks. reports say it causes insomnia, nervousness, headache, rapid heartbeat and seizure. a lot of young kids drink the. >>> coming up, what colin kaepernick has accomplished in less than a year that jeff garcia couldn't in five. >> four days until the 9ers play the nfc championship game in atlanta. why you can tell true fans by their retro look coming up. >> what's cool about your school? you can submit your nomination on our website, cbssf.com/coolschool. we may come out and feature your school on the show. jwwñ >

has taking dos taken the hard cash and used bonds -- the treasury has taken the hard cash and replace them with bonds. we are probably -- we don't have to pay china, japan, and every other lender that has given the us money. the reality is we are going to pay our bonds, whether to social security or china. that's why we have to be fiscally responsible. >> just to follow-up, for most of the last year, you have said that social security has no business being in this -- in these debates, not the debt ceiling debate, not the fiscal debate. a couple of weeks ago, right after nancy pelosi came out and said that she would back something similar to what obama was backing, the chained cpi scenario for social security, which would have reduced payments for future beneficiaries -- we have been watching week by week. suddenly, you were not quite as vocal in your opposition to that. is that an indication you would support something like that in the grand bargain you are looking for? >> first, i have deeper spec for nancy pelosi, our leader in the house. she has -- deep respect for nanc

so you have the right to do it, but you don't have the ability to do it. >> reporter: the treasury uses a separate computer system to make interest payments on the federal debt so it is possible investors would get what they are owed. but what happens with social security, medicare and federal employee pay, is less clear. so secretary lew would have to make a decision. he could recommend the president continue business as usual-- ignoring the debt limit, borrowing money and paying the bills. as justification, lew could say the president had to choose between conflicting laws congress has passed requiring him to spend money and not spend it at the same time. >> at that point, i assume someone who would claim to be an injured party would bring suit and the federal government, if you can imagine this and the congress would find themselves before the supreme court arguing under what circumstances the debt of the united states should be paid or could be paid. it gets into really nasty stuff. >> reporter: but veterans of washington's budget battles say the rhetoric jack lew will face will be

so you have the right to do it but you don't have the ability to do it. >> reporter: the treasury uses a separate computer system to make interest payments on the federal debt so it is possible investors would get what they are owed. but what happens with social security, medicare and federal employee pay, is less clear. so secretary lew would have to make a decision. he could recommend the president continue business as usual-- ignoring the debt limit, borrowing money and paying the bills. as justification, lew could say the president had to choose between conflicting laws congress has passed requiring him to spend money and not spend it at the same time. >> at that point, i assume someone who would claim to be an injured party would bring suit and the federal government, if you can imagine this and the congress would find themselves before the supreme court arguing under what circumstances the debt of the united states should be paid or could be paid. it gets into really nasty stuff. >> reporter: but veterans of washington's budget battles say the rhetoric jack lew will face will be

spring court in citizens united voted five to four to give corporations the opportunity to use corporate treasuries in political campaigns but eight of the nine justices when they signed that particular judicial decision eight of the nine justices said the house and senate should pass legislation for full disclosure so the white house worked on it the house of representatives passed a disclosure bill went over to the senate it got fifty nine votes the first time around the edges of which is clear it was a majority the second time around it got fifty five votes and what's interesting about the fifty five votes is that in nineteen sixty five when medicare passed it only had fifty five votes so it's important for us to recognize the filibuster has been used as an object of obstruction it was never intended to be used like that and common cause believes that is frankly unconstitutional and if we can get past the issue of standing and get before the judicial community with the merits of the unconstitutionality the filibuster i think we can go back to having the house and senate operate its democracy goi

the treasury can use extraordinary measures to raise an extra $200 billion.ra funds will only last until about mid february or early march according to the bipartisan policy center. good luck trying to explain this to conservative talk radio show host, rush limbaugh. >> i think it's a debt limit as your monthly credit card limit. you can't go over it on your credit card. and the united states government can't spend more than what its credit limit is or its debt limit. now ali velshi at cnn says that has no relation to spending. >> that's right, rush, the debt ceiling was create sod the congress wouldn't constantly need to authorize congress to borrow to raise more money. it doesn't authorize any new spending it authorizes payment. it does not increase deficits. it allows the treasury to pay for the things that the u.s. government has already bought. if the congress doesn't raise the debt ceiling. treasury won't be able to pay the bills and the u.s. government will start defaulting on some of its obligations. here's what happens on february 15th of this year.

us. treasury secretary tim geithner is urging congress to raze the u.s. debt ceiling or risk causing irreparable harm to the economy. he says the government will run out of tools to avoid a default by late february, early march. the u.s. credit rating is not a bargaining chip or hostage that can be taken to avoid any political agenda. president obama again rejected any negotiation with republicans over the debt ceiling. i love the debt clock. it's almost as fast as the amount of money they're going to earn tr nike. >> and is we'll talk about that. >> meanwhile, fed chairman ben bernanke speaking monday warned the u.s. economy isn't out of the woods yet and is still at risk from political gridlock. >> raising the debt ceiling, which congress has to do periodically, gives the government the ability to pay its existing bills. it doesn't create new deficits, it doesn't create new spending. so not raising the debt ceiling is sort of like a family trying to improve its credit rating saying, i know how we can save money, we won't pay our credit card bills. not t

treasury is using extraordinary measures to get through about late february or early march. if congress doesn't act by then, the government risks not being able to pay some of its bills. republicans seem to think the debt ceiling is a useful tool to limit how much the government spends, but that is not what the debt ceiling law is supposed to do. it gives the u.s. treasury the flexibility to borrow money to pay the government's bills without going to congress to get approval every single time. it has nothing to do with spe spending or debt control. you might want it to be about spending control like i'd like to be in "people's" list of 50 most beautiful people. wishful thinking doesn't make it happen. they can use the debt ceiling as a hostage like they attempted to use the fiscal cliff as a hostage, to get something else done, something they haven't been able to use do using the normal democratic process because that process is broken. the fiscal cliff deal puts off dealing with mandatory spending cuts until march 1st. republicans fully spend to use the debt creeling to ext

us this week. it was good to have you on the show. coming up. get ready for a hypochrissy alert. the president nominating this guy t run the treasury and what he used to run at c>> it is time for what do i need to know for next week? tracey burns. >> a case of hypocrisy in the while. jack lew worked in citigroup . that kind of caused the financial melt down? >> john, what are you watching. >> verizon is a cash cow and have a five percent yield. i think it is going to be a great

paul craig roberts a former assistant secretary of the treasury told us earlier he thinks they have ran as confirmed as the cia had the agency will further expand its powers granted moving the cia into a more powerful position which the cia will like what you see here is the movement of the cia away from being an intelligence agency toward being a police agency and a military force the. war on terror is becoming more and more directed at the american population it's the american population is being spied on around the clock we now have drones flying here domestically all of this is coming home i hear spy drones and the unaccountability of these growing police agencies. on just a few minutes watch our expand report on people growing discontent over police action against american citizens during protests. the government no longer represents the people. the people are going to take the terms. we. the way or the fish really. want. to write. what you are to live for moscow now for many of us a dog is man's best friend but with a rising number of serious attacks in the u.k. there is a growing

serious than that is that he's delusional paul craig roberts a former assistant secretary of the treasury told us earlier he's saying if brennan is confirmed as the cia heads the agency will further expand its powers granted moving. to a more powerful position which. the cia will like what you see here is the movement of the cia away from being an intelligence agency the toward being your police agency and the military force the. war on terror is becoming more and more directed at the american population it's the american population that's being spied on around the clock and we now have drones flying here domestically all of this is coming home or here are the drones and the unaccountability of these growing police agencies well later this hour a watch or exam a report on people's growing discontent over police action against american citizens during protests. tension between loyalists and police in belfast over the flying of you know flag are far from easing after pro-grade of protesters pelted security forces with petrol bombs for six consecutive day now a long m.p. for belfast east says the vi

the tax and treasury's office did let us know that with some businesses if they are just in automatic mode, they may not and they may just issue their renewals with the current business registration amount and so, for the on-line renewals we will automatically capture that dollar but any checks that are mailed in may not. they may or may not see the new dollar requirement. and so, they have kind of made an internal determination that depending on the degree we may or may not be able to company tur that dollar. with this new program, and i am really appreciative because i think as you have heard from small businesses, small businesses were the ones that really made this recommendation to the state to put it into a law. >> next, i have provided for you what i think is a really good summation of sb 1186 for you to take a look at. a few things that i want to highlight that are small business related

deposit it in the treasury. use it to pay the nation's bills. charles payne, why didn't we thing of that? are you kidding me? >>guest: this is funny, because he is not too far off the farce that we live under already. the only difference is if his situation, the platinum coin is given to the treasury, but right now it is given as a treasury bond and he is saying forget the bond part turn up the coin, give it to the treasury, and the treasury has $1 trillion but spend to your heart's content. >>neil: if i saw them, and that is collectively, the congress take as much time, pain and effort to solve the debt crisis i would be okay but i'm not. >>guest: well, this is a shortcut. this is the easy solution. this could be the grand bargain. when i heard the story i thought of an island where they have big coins made of stone. >>neil: that is a 20-year paycheck. what is so yield, i thought it was a joke. the idea being we are never going to be up against the brink if we have a magic coin that the fed has ready. this is almost like lucky charm, the magica