Before you think this banking crisis is confined to the US, you should check out the foreign new services and read what’s going on around the world, for example read what is being said in Germany.
German Finance Minister Peer Steinbrueck deemed the US banking crisis an “earthquake” that will cost the US its role as a superpower of the world financial system. He stressed that German banks can cope with losses.
“Wall Street and the world will never again be the way they were before the crisis,” said Steinbrueck in a speech to the German parliament, the Bundestag, on Thursday, Sept. 25. Write-downs and write-offs of bad credit spawned by “a blind drive for double-digit profits” have so far totaled $550 billion and no end to the crisis is in sight, he added.
The world financial system will consequently become more “multi-polar,” he predicted.
He reiterated Germany’s refusal to set up its own bank bail-out scheme, saying the crisis was principally a US problem.
Prepare for the telling quote:
Reiterating Berlin’s push for tighter regulation, Steinbrueck accused the US of blunders.
“The cause of the crisis was the irresponsible exaggeration of the principle of a free, unrestrained market,” he told the Bundestag.Washington has been reluctant to increase minimum equity rules and has too many competing regulators over US investment banks.
“This system, which in many ways is inadequately regulated, is now collapsing,” he said, adding that Germany’s banking system remained “relatively robust,” with German regulators confident they can absorb losses.
“New rules of the road” for the financial markets were needed, he said.
I can tell you the new rules Steinbrueck is describing is classic socialism.
This financial situation is not a bailout of the US financial market or lending institutions, this is simply a move to ensure greater consolidation of the banking industry by the European elites. Our tax dollars are going to be used to prop up European, Japanese and Chinese banks, increase the power of the world bank, and ultimately remove the US dollar from its global position to be replaced by the Euro.
Make no mistake about this is meant to kill the US; Paulson, Benacke and Bush are doing the dirty work, and a moronic Congress is sitting back allowing it to happen. sure there may be some loud shouts from a few, but they will ultimately go along with this move plunging us deeper into economic despair.
The days of US global financial dominance are over; Congress and the European banks have seen to that.
