Showing posts with label Matt Tabibi. Show all posts
Showing posts with label Matt Tabibi. Show all posts

Monday, 6 July 2020

This "revolution" is corporate- inspired: Matt Tabibi

Taibbi: "On America's 

Birthday, Celebrate The 

Corporate-Sponsored 

Revolution"


4 July, 2020


It’s the Fourth of July, and revolution is in the air. Only in America would it look like this: an elite-sponsored Maoist revolt, couched as a Black liberation movement whose canonical texts are a corporate consultant’s white guilt self-help manual, and a New York Times series rewriting history to explain an election they called wrong.


Much of America has watched in quizzical silence in recent weeks as crowds declared war on an increasingly incoherent succession of historical symbols. Maybe you nodded as Confederate general Albert Pike was toppled or even when Christopher Columbus was beheaded, but it got a little weird when George Washington was emblazoned with “Fuck Cops” and set on fire, or when they went after Ulysses S. Grant, abolitionist Colonel Hans Christian Heg, “Forward,” (a seven-foot-tall female figure meant to symbolize progress), the Portland, Oregon “Elk statue,” or my personal favorite, the former slave Miguel de Cervantes, whose cheerful creations Don Quixote and Sancho Panza were apparently mistaken for reals and had their eyes lashed red in San Francisco.
Was a What the Fuck? too much to ask? It was! In the space of a few weeks the level of discourse in the news media dropped so low, the fear of being shamed as a deviationist so high, that most of the weirder incidents went uncovered. Leading press organs engaged in real-time Soviet-style airbrushing. Here’s how the Washington Post described a movement that targeted Spanish missionary Junipero Serra, Abraham Lincoln (a “single-handed symbol of white supremacy,” according to UW-Madison students), an apple cider press sculpture, abolitionist Mathias Baldwin, and the first all-Black volunteer regiment in the Civil War, among others:
Across the country, protesters have toppled statues of figures from America’s sordid past — including Confederate generals — as part of demonstrations against racism and police violence.
The New York Times, once the dictionary definition of “unprovocative,” suddenly reads like Pol Pot’s Sayings of Angkar. Heading into the Fourth of July weekend, the morning read for upscale white Manhattanites was denouncing Mount Rushmore, urging Black America to arm itself, and re-positioning America alongside more deserving historical parallels in a feature about caste systems:
Throughout human history, three caste systems have stood out. The lingering, millenniums-long caste system of India. The tragically accelerated, chilling and officially vanquished caste system of Nazi Germany. And the shape-shifting, unspoken, race-based caste pyramid in the United States.


It’s tragic that this even needs saying, but the sudden reinvention in the press of modern America as a Nazi apartheid state is as phony as the thousands of patriotic campaigns that occupied the news media previously. We’re witnessing an obscene malfunction of the elite messaging system.

The people who run this country have run out of workable myths with which to distract the public, and in a moment of extreme crisis have chosen to stoke civil war and defame the rest of us – black and white – rather than admit to a generation of corruption, betrayal, and mismanagement.


I saw the first hints of this crackup in the panicked conversations of campaign reporters four summers ago. Colleagues in news media had always reveled in the power to police the boundaries of national politics. Former ABC reporter Mark Halperin* (henceforth canceled people will be marked here with asterisks, for shorthand purposes) used to cheerfully refer to a handful of pollsters, pundits, and pols he called the “Gang of 500. who “set the political agenda for the country.”


People like Halperin wrote glowing self-referential “exposes” every four years about the power of their bullshit. If they told Americans a presidential race would be decided by angsty “soccer moms” (because Bill Clinton was talking up “zero tolerance” for school truancy and a return to school uniforms), then it was so. If eight years later the deciders were “security moms,” because what mattered then was not schools or prescription drugs but “what are you doing to protect my kids from terrorists?”, then that was so.


If they said voters cared most of all to know which multimillionaire candidate was a better potential beer-drinking companion – because “a person is smart, people are dumb,” as one pundit put it – then that was to be taken seriously also.



Unfortunately, voters had other problems. By 2016 Americans had lived for a generation under an economic model dominated by huge transnational companies that sold weapons into holocausts of urban violence, rejoiced in addiction to opiates or carcinogens as a revenue model, bled virtually all the savings of the American middle class (targeting minorities especially) through a succession of speculative bubble schemes, and relentlessly lobbied to be exempted from taxes, environmental laws, criminal penalties, and even their own business errors, through bailouts approved by the “politicians” they sponsored in both parties.

The concessions to civilization employers had once under great pressure agreed to provide – pensions, medical insurance, sick leave, the forty-hour work week – vanished as the manufacturing economy was exported in a snap to unfree labor zones like China and Indonesia. Both parties supported the deals American business made with monster states. Just this week U.S. customs seized 13 tons of human hair farmed from the heads of Uighur political prisoners in Chinese labor camps: we gave that country Most Favored Nation Trading status eons ago.


I watched for election cycle after election cycle as politicians and press lackeys alike promised lives would improve with middle-class tax cuts, “service for college” grants, federal retraining programs and an endless succession of proposals to “cut red tape” and “run America like a business.”

Through the election of Barack Obama maybe there was patience for this, but within a few years after the crash of 2008 people stopped believing. When protest movements popped up on both the left and right – ordinary people mad about everything from crushing consumer and student debt to unpunished financial fraud to pointless war to surveillance to bailouts to stolen pensions to, yes, police brutality – the first reaction of donor-fattened pols was to blow off the warning signs. They controlled both parties, what was the worst that could happen?

When the election of Trump made a solid first attempt at answering that question, establishment figures howled in self-pity and outrage. Who but deplorable racists could hate us this much? Those were the first gusts hinting at the current hurricane of stupidity.


About those “deplorables”: the populist fury that drove the Trump campaign was obviously not rooted in concern over police brutality, and just as obviously Trump was using gross racial rhetoric to drum up support. I wrote about this repeatedly covering him in 2015-2016.


But he did stress other themes. In hunger to suck up discontent of every stripe, candidate Trump complained about everything from the anti-trust exemption for insurance companies (“the lines” around states prevented competition, he said half-coherently) to the “obsolete” mission of NATO, to “nation building” abroad (he pledged instead to “build the roads, highways, bridges, tunnels, airports, and the railways of tomorrow” at home), to NAFTA to the Fed to, yes, Most Favored Nation trading status for China.


In Trump crowds one frequently heard people talking about being willing to “try anything” as long as it didn’t come from a “politician,” a term which by 2016 had become synonymous with “paid liar.” Of course Trump was a liar, too, but at least he was his own liar, which in a testament to the level of pessimism gripping the country by 2016 was an important distinction to some.

Trump proved almost completely insincere with respect to all of these policy complaints. But it was amazing to watch the speed with which it became consensus that Trump’s entire platform had been only a promise to restore the power of white identity. It became taboo even to say something as tame as, “Trump sold fake solutions to real problems.” Even that was too near the truth.

Papers like the New York Times did post-mortems citing research that concluded things like “how trade affected personal finances had little bearing on political preferences,” while “unemployment or the density of manufacturing jobs in one’s area” were similarly irrelevant. The same pundits who chanted “It’s the economy, stupid,” throughout the nineties reversed tune.

* * *
The best explanation for these sudden reversals in rhetoric is that Trump broke the brains of America’s educated classes. Like Russian aristocrats who spent the last days of the Tsarist empire flocking to fortune-tellers and mystics, upscale blue-staters have lost themselves lately in quasi-religious tracts like White Fragility, and are lining up to flog themselves for personal and historical sins.

In desperation to help the country atone for their idea of why Trump happened, they’ve engaged in a sort of moon landing of anti-intellectual endeavors, committing a generation of minds to finding a solution to the one thing no thinking person ever considered a problem, i.e. the Enlightenment ideas that led to the American Revolution.

The same pols and pundits who not long ago were waving the flag for wars and insisting that American-style democracy was so perfectly realized that it made sense to bring it to all the peoples of the world, by force if needed (think Friedman’s hypothesis of a borderless utopia of forced wealth creation called the Golden Straitjacket), have now reversed course to tell us our entire history needs to be wiped clean.

Everything is a lie now. CNN even put “Independence” in quotes when describing the holiday today (i.e. “Reexamining ‘Independence’ Day”). This will end with Wolf Blitzer, dressed in a daskiki, pulling the switch to dynamite the Statue of Liberty.

Continue reading at Taibbi's substack




Friday, 17 May 2013

Price-fixing by oil companies


Everything Is Rigged, Continued: European Commission Raids Oil Companies in Price-Fixing Probe
By MATT TAIBBI



16 May, 2013

We’re going to get into this more at a later date, but there was some interesting late-breaking news yesterday.

According to numerous reports, the European Commission regulators yesterday raided the offices of oil companies in London, the Netherlands and Norway as part of an investigation into possible price-rigging in the oil markets. The targeted companies include BP, Shell and the Norweigan company Statoil. The Guardian explains that officials believe that oil companies colluded to manipulate pricing data:
The commission said the alleged price collusion, which may have been going on since 2002, could have had a “huge impact” on the price of petrol at the pumps “potentially harming final consumers”.
Lord Oakeshott, former Liberal Democrat Treasury spokesman, said the alleged rigging of oil prices was “as serious as rigging Libor” – which led to banks being fined hundreds of millions of pounds.
The inquiry also involves Platts, the world’s largest oil price reporting agency. The concept here is very similar to both the LIBOR scandal, which involved banks manipulating the benchmark rates for interest rates, and to the possible rigging of interest rate swap prices through the manipulation of ISDAfix, the benchmark rate for those instruments, which is also the subject of a regulatory probe.
We wrote about both of those scandals in last month’s Rolling Stone article, “Everything is Rigged.” In that piece, finance professionals talked about the potential for manipulation in other markets that involve voluntary price reporting:
What other markets out there carry the same potential for manipulation? The answer to that question is far from reassuring, because the potential is almost everywhere. From gold to gas to swaps to interest rates, prices all over the world are dependent upon little private cabals of cigar-chomping insiders we’re forced to trust.
“In all the over-the-counter markets, you don’t really have pricing except by a bunch of guys getting together,” Masters notes glumly.
That includes the markets for gold (where prices are set by five banks in a Libor-ish teleconferencing process that, ironically, was created in part by N M Rothschild & Sons) and silver (whose price is set by just three banks), as well as benchmark rates in numerous other commodities – jet fuel, diesel, electric power, coal, you name it.
One analyst I spoke to for that piece talked specifically about Platts (and another, similar price assessment company), noting that they “do benchmarks for the entire oil market, the entire refined products market” and “you name it” – any of these benchmarks that rely on voluntary reporting could be manipulated.
It’s not clear yet exactly what is alleged to have occurred, but Europeans have long complained that retail gas prices have not seemed to match wholesale prices. In fact, complaints that wholesale prices at gas stations were noticeably slow to fall when wholesale prices fell prompted the U.K.-based Office of Fair Trading last year to conduct a cursory inquiry into possible anti-competitive behavior in the fuel markets. Early this year, they announced that they hadn’t found enough evidence to warrant a full-blown investigation. But complaints persisted.
The story is obviously hugely significant in its own right, just as the LIBOR story was. But both are even more unpleasant in conjunction with each other, and the other price-fixing scandals that have cropped up in the financial markets in the last year or two. We’ve had other price-fixing scandals involving gas in the U.K. and here in the U.S., just a few weeks ago, it came out that the Federal Energy Regulatory Commission (FERC) concluded that JPMorgan Chase used “manipulative schemes” to tinker with energy prices in Michigan and California.
FERC last year also recommended a massive $470 million fine against Barclays for similar activity. (Barclays has vowed to fight the penalty.) Deutsche Bank, meanwhile, settled with FERC for $1.7 million after the commission alleged that the German bank was involved with manipulation in the California energy markets for several months during 2010.
More on all this later . . .

Saturday, 27 April 2013

The Global Ponzi Scheme


Everything Is Rigged: The Biggest Price-Fixing Scandal Ever

The Illuminati were amateurs. The second huge financial scandal of the year reveals the real international conspiracy: There's no price the big banks can't fix





Matt Tabibi

April 27th, 2013


Conspiracy theorists of the world, believers in the hidden hands of the Rothschilds and the Masons and the Illuminati, we skeptics owe you an apology. You were right. The players may be a little different, but your basic premise is correct: The world is a rigged game. We found this out in recent months, when a series of related corruption stories spilled out of the financial sector, suggesting the world’s largest banks may be fixing the prices of, well, just about everything.

You may have heard of the Libor scandal, in which at least three – and perhaps as many as 16 – of the name-brand too-big-to-fail banks have been manipulating global interest rates, in the process messing around with the prices of upward of $500 trillion (that’s trillion, with a “t”) worth of financial instruments. When that sprawling con burst into public view last year, it was easily the biggest financial scandal in history – MIT professor Andrew Lo even said it “dwarfs by orders of magnitude any financial scam in the history of markets.”

That was bad enough, but now Libor may have a twin brother. Word has leaked out that the London-based firm ICAP, the world’s largest broker of interest-rate swaps, is being investigated by American authorities for behavior that sounds eerily reminiscent of the Libor mess. Regulators are looking into whether or not a small group of brokers at ICAP may have worked with up to 15 of the world’s largest banks to manipulate ISDAfix, a benchmark number used around the world to calculate the prices of interest-rate swaps.

Interest-rate swaps are a tool used by big cities, major corporations and sovereign governments to manage their debt, and the scale of their use is almost unimaginably massive. It’s about a $379 trillion market, meaning that any manipulation would affect a pile of assets about 100 times the size of the United States federal budget.

It should surprise no one that among the players implicated in this scheme to fix the prices of interest-rate swaps are the same megabanks – including Barclays, UBS, Bank of America, JPMorgan Chase and the Royal Bank of Scotland – that serve on the Libor panel that sets global interest rates. In fact, in recent years many of these banks have already paid multimillion-dollar settlements for anti-competitive manipulation of one form or another (in addition to Libor, some were caught up in an anti-competitive scheme, detailed in Rolling Stone last year, to rig municipal-debt service auctions). Though the jumble of financial acronyms sounds like gibberish to the layperson, the fact that there may now be price-fixing scandals involving both Libor and ISDAfix suggests a single, giant mushrooming conspiracy of collusion and price-fixing hovering under the ostensibly competitive veneer of Wall Street culture.

To read the complete article GO HERE

Sunday, 9 December 2012

Max Keiser interviews Matt Tabibi

Keiser Report: Hollywood Accounting

In this episode, Max Keiser and Stacy Herbert look at how Hollywood accounting has turned the global financial system into one in which money and wealth melt like so much congealed snow. And so from Pontiac, Michigan to the Australian outback, zero percent interest rates and jobs that never materialize are the new normal.

In the second half, Max Keiser talks to Matt Taibbi of Rolling Stone magazine about banksters who can't recall a single thing about their crimes, including everything


Monday, 9 July 2012

Matt Tabibi on the LIBOR banking scandal

Max and Stacy talk about why nobody is freaking out about the LIBOR banking scandal

Keiser Report: Fraud & 60

Orgasms


In this episode, Max Keiser and co-host, Stacy Herbert, discuss why nobody is freaking about LIBOR in America, while JP Morgan caught doing an Enron on US energy markets and GlaxoSmithKline pays 10% of their ill-gotten gains for bribing doctors and scientists across America. In the second half of the show Max talks to Kevin Sara of the TuNur solar export project of Tunisia about solar exports from the Middle East and toxic derivatives exports from the City of London.





Why is Nobody Freaking Out About the LIBOR Banking Scandal?
By Matt Tabibi


7 July, 2012


The LIBOR manipulation story has exploded into a major scandal overseas. The CEO of Barclays, Bob Diamond, has resigned in disgrace; his was the first of what will undoubtedly be many major banks to walk the regulatory plank for fixing the interbank exchange rate. The Labor party is demanding a sweeping criminal investigation. Mervyn King, Governor of the Bank of England, responded the way a real public official should (i.e. not like Ben Bernanke), blasting the banks:
It is time to do something about the banking system…Many people in the banking industry are hardworking and feel badly let down by some of their colleagues and leaders. It goes to the culture and the structure of banks: the excessive compensation, the shoddy treatment of customers, the deceitful manipulation of a key interest rate, and today, news of yet another mis-selling scandal.
The furor is over revelations that Barclays, the Royal Bank of Scotland, and other banks were monkeying with at least $10 trillion in loans (The Wall Street Journal is calculating that that LIBOR affects $800 trillion worth of contracts).

The banks gamed LIBOR for two semi-overlapping reasons. As noted here last week, there were instances of Barclays traders badgering the LIBOR submitters to "push down" rates in order to fatten their immediate bottom lines, depending on what they were trading or holding that day. They also apparently rigged LIBOR downward in order to produce a general appearance of better health, essentially tweaking their credit scores a few ticks upward.

Most intriguingly, or perhaps disturbingly, there were revelations last week that Bank of England deputy Governor Paul Tucker had a conversation with Diamond at the peak of the crisis in 2008. The conversation reportedly left Diamond, and subsequently his traders, with the impression that the bank had carte blanche to rig LIBOR downward in order to help allay spiraling public fears about the banks’ poor financial health.

British officials, and Tucker individually, deny that Tucker gave Diamond permission to rig rates. But a report by British regulators did conclude that the two were talking about Barclays LIBOR submissions on October 29, 2008, and that as a result of that conversation, Diamond came away with a “misunderstanding.” The Daily Mail quotes the Financial Services Authority report:
However, as the substance of the telephone conversation was relayed down the chain of command at Barclays, a misunderstanding or miscommunication occurred.
This meant that Barclays’ submitters believed mistakenly that they were operating under an instruction from the Bank of England (as conveyed by senior management) to reduce Barclays’ Libor submissions.
That is explosive stuff. Members of Parliament will be grilling Tucker tomorrow about those events in what is sure to be a far more combative and entertaining legislative inquiry than the Jamie Dimon dog-and-pony show we just went through here in the states in recent weeks.

The implications of that part of the story should be particularly chilling to Americans, who in recent years have been party to a number of revelations about strange and seemingly inappropriate contacts between senior regulatory officials and big bankers during the heat of the crisis.

We know that American officials in 2008-2009 were extremely concerned about the appearance of weakness in the financial markets, so much so that they may have resisted pursuing criminal prosecutions against big banks, and we also know that they spent a lot of time commiserating with Wall Street figures before and during the crisis.

If Bob Diamond and Paul Tucker were having these talks about LIBOR, is it fair to wonder what else Hank Paulson and Lloyd Blankfein were talking about in the 24 discussions they had in the six days following the AIG disaster? When Paulson had a secret meeting with the entire board of Goldman Sachs in, of all places, his hotel suite in Moscow, in June of 2008? Or what other material nonpublic information was exchanged when Paulson met with a gang of hedge fund chiefs at the offices of Eton Park management in July 2008, and laid out for them a possible scenario for putting Fannie and Freddie into receivership?

Anyway, the LIBOR story is leading the front pages of most of Britain’s dailies, it’s on TV, and it’s producing blistering editorials and howls of outrage amongst politicians and activists. But as compadre Yves Smith at Naked Capitalism put it, where’s the outrage here in America?

The big story on our shores in the last few weeks has been the health care ruling, which makes sense, but then after that… what? The heat? Tom and Katie? (There’s actually a story about how Katie can wear heels again, now that she’s not married to a short person). Joe Sandusky? Nightline’s big story tonight, which is already being hyped on the net, is about how fat Chris Christie is and why the hell he hasn’t done the bypass surgery yet:
New Jersey Gov. Chris Christie opened up about his weight problem in an interview with ABC News and stressed he is "trying" to lose weight, a battle he's waged for 30 years, but said he's never considered gastric bypass surgery because it's "too risky."
"I mean, see, listen, I think there's a fundamental misunderstanding among people regarding weight and regarding all those things that go into, to people being overweight," Christie said in an interview that will air Tuesday on "Nightline."
Glad to be informed! The New York Times, meanwhile, did chime in with a house editorial yesterday, and it was appropriately somber. And there has been some coverage in the financial press.

But to me what’s missing from all of this is the “Holy Fucking Shit!” factor. This story is so outrageous that it shocks even the most cynical Wall Street observers.

I have a friend who works on Wall Street who for years has been trolling through the stream of financial corruption stories with bemusement, darkly enjoying the spectacle as though the whole post-crisis news arc has been like one long, beautifully-acted, intensely believable sequel to Goodfellas. But even he is just stunned to the point of near-speechlessness by the LIBOR thing. “It’s like finding out that the whole world is on quicksand,” he says.

So as far as the stateside press goes, I’ve got to assume the cavalry is coming soon. But when?