“Senate Majority Leader Harry Reid issued the following statement on Sunday night:
“Tonight, talks broke down over Republicans’ continued insistence on a short-term raise of the debt ceiling, which is something that President Obama, Leader Pelosi and I have been clear we would not support. A short-term extension would not provide the certainty the markets are looking for, and risks many of the same dire economic consequences that would be triggered by default itself. Speaker Boehner’s plan, no matter how he tries to dress it up, is simply a short-term plan, and is therefore a non-starter in the Senate and with the President.
“In an effort to reach a bipartisan compromise, we are putting together a $2.7 trillion deficit reduction package that meets Republicans’ two major criteria: it will include enough spending cuts to meet or exceed the amount of a debt ceiling raise through the end of 2012, and it will not include revenues. We hope Speaker Boehner will abandon his ‘my way or the highway’ approach, and join us in forging a bipartisan compromise along these lines.”
Immediate reaction of the market : U.S. stock futures down more than 100 points.
Meanwhile, from Global Research comes the following information:
– An audit of the Federal Reserve’s emergency lending programs, revealed that the Fed provided more than $16 trillion in secret loans to bail out American and foreign banks and businesses. Independent Senator Bernie Sanders responded to the audit by saying, quote, “This is a clear case of socialism for the rich and rugged, you’re-on-your-own individualism for everyone else.”
– The 13 trillion was not even paper money; it was computer keyboard issued
– Senate Majority Leader Harry Reid described the “cut, cap, balance” bill, proposed by Republicans, as one of the worst bills in the history of the country.
– Unemployment is not quite 9.2%, more likely around 30% (maybe even higher)
– Greece didn’t really get any bailout funds at all. All of the bailout funds were given by European creditor governments to the banks that held the Greek bonds. And Greece was told, “Well, there’s a 50 billion euro loss on your bonds that have gone down. You have to sell off and privatize €50 billion of your land and property in the public domain.”
I wonder if it is the harbinger of the USA collapse? Because right now it looks like the probability of global economic collapse is around the corner.
Are we doomed?