Infinite Unknown

- BRICS Nations Plan New Bank to Bypass World Bank, IMF (Bloomberg, March 26, 2013):

The biggest emerging markets are uniting to tackle under-development and currency volatility with plans to set up institutions that encroach on the roles of the World Bank and International Monetary Fund.

The leaders of the so-called BRICS nations — Brazil, Russia, India, China and South Africa — are set to approve the establishment of a new development bank during an annual summit that began today in the eastern South African city of Durban, officials from all five nations say. They will also discuss pooling foreign-currency reserves to ward off balance of payments or currency crises.

Continue reading »

Tags: Brazil, China, Economy, Global News, Government, IMF, India, Politics, Russia, South Africa, World Bank

- UK gives £19million aid to South Africa – its president spends £17.5million on his palace (Daily Mail, Nov 24, 2012):

It is a nation racked by poverty, where 13 million people survive on less than £1 a day, and two million have no access to a toilet.

Yet as his people struggle in squalor, South African president Jacob Zuma has sparked outrage by spending £17.5 million to upgrade his rural family home.

Continue reading »

Tags: Government, Jacob Zuma, Politics, Society, South Africa, U.K.

- South Africa Shows Europe How Anti-Austerity Protests Are Done (ZeroHedge, Oct 8, 2012):

While we have grown ‘used’ to hearing of protests in several European peripheral nations, South Africa has turned the anti-austerity protest amplifier to 11 in recent days. From the Lonmin massacre and subsequent wage increase to the truck-drivers’ strike and Amplats firing of 12,000 workers , Reuters is reporting that South Africa’s local government worker’s union has now said it will join a nationwide strike amid the labor unrest in the mining sector. Demanding ‘market-related salaries’ this strike would bring the South African economy to its knees – at a time of rising deficit concerns. Critically, this has dramatic repercussions. Since firing people is no longer an option as “Those who are dismissed will make sure that there will be no operations operating and that will cause a massacre just like at Marikana,” some companies will be forced out of business (reducing supply) or suffer significant margin compression on cost increases leaving commodity producers struggling – which will inevitably mean prices for end-users will rise (slowing end-user demand or crushing their margins). It seems the South African labor unions found the M.A.D. card.

Via Reuters South Africa:

JOHANNESBURG (Reuters) – South Africa’s local government workers’ union said on Monday it would launch a strike over pay in the next few days, the first sign of a wave of labour unrest in Africa’s biggest economy spreading from the mines into the public sector.

Since August, close to 100,000 workers, including 75,000 in the mining sector, have downed tools in often illegal and violent protests that look likely to hit growth this year and undermine the government’s efforts to cut its budget deficit.

Finance Minister Pravin Gordhan has promised to reduce the deficit from the 4.6 percent of GDP forecast for this financial year. Any public sector wage increase would make that more difficult. Continue reading »

Tags: Economy, Global News, Protesters, Society, South Africa

- 39% Of South African Gold Production Is Now Offline (ZeroHedge, Sep 26, 2012):

Over a month ago, when discussing the implications of the South African miner strike that will not end until all local mining companies’ income statements are crippled after succumbing to wage hike demands, we said “Expect more South African mines to shutter, as gold production in the world’s third largest gold producer grinds to a halt, and the local workers grasp they had the leverage all along. Should the South African example spread to other countries, then expect the price of gold to soar regardless of how much printing the central planners engage in the coming weeks and month.” Today, we find out just what the final tally is , as this too prediction is proven correct: “Strikes at South African gold mines have shut about 39 percent of capacity, including at AngloGold (AGG) Ashanti Ltd. and Gold Fields Ltd. (GFI), as unofficial walkouts spread across the country in demand of above-inflation pay increases.” And boom: “AngloGold, the world’s third-largest gold producer, today said all of its South African mines have been halted. Gold Fields Ltd. also lost a metric ton, or about 32,000 ounces, of production after strikes at its KDC and Beatrix operations.” That’s ok, Bernanke will just print more gold.Nobody could have foreseen the complete collapse in South African mining production. Continue reading »

Tags: Africa, AngloGold, Economy, Global News, Gold, South Africa

YouTube Added: 17.09.2012

If Nostradamus were alive today, he’d have a hard time keeping up with Gerald Celente.
– New York Post

When CNN wants to know about the Top Trends, we ask Gerald Celente.
– CNN Headline News

There’s not a better trend forecaster than Gerald Celente. The man knows what he’s talking about.
- CNBC

Those who take their predictions seriously … consider the Trends Research Institute.
– The Wall Street Journal

A network of 25 experts whose range of specialties would rival many university faculties.
– The Economist

Tags: Afghanistan, Africa, Bailout, Banking, Barack Obama, Ben Bernanke, Bonds, Bundesverfassungsgericht, China, Constitution, Debt, Derivatives, Derivatives market, Dictatorship, Drones, Dwight D. Eisenhower, ECB, Economy, Eric Holder, ESM, EU, Europe, Fascism, Fed, Federal Reserve, Food stamps, Gerald Celente, Germany, Global News, Goldman Sachs, Government, Great Depression, Greece, Hyperinflation, Inflation, Internet, Iran, Iraq, Ireland, Islam, Israel, Italy, Law, Lebanon, Libya, Mario Draghi, Military, Mitt Romney, Muammar Gaddafi, NDAA, Obama administration, Pakistan, Politics, Quantitative Easing, Religion, Ron Paul, Rothschild, Society, South Africa, Spain, Sudan, Supreme Court, Syria, U.S., Unemployment, War, WMDs, WW III

- Platinum Soars As Spreading South African Miner Strike Cripples World’s Biggest Platinum Firm (ZeroHedge, Sep 12, 2012):

Ten days ago, when describing the latest casualty of the ongoing South African miner revolution, we said: “Expect more South African mines to shutter, as gold production in the world’s third largest gold producer grinds to a halt, and the local workers grasp they had the leverage all along. Should the South African example spread to other countries, then expect the price of gold to soar regardless of how much printing the central planners engage in the coming weeks and month.” Fast forward to today: “Labour unrest sweeping across South Africa’s mining sector hit top world platinum producer Anglo American Platinum on Wednesday, with striking miners blockading roads leading to shafts belonging to the mining giant, police said. The platinum price jumped as much as 1.5 percent to $1,624.74 an ounce, its highest since mid-April amid fears of more disruption to supplies of the precious metal used in jewellery and vehicle catalytic converters.” The good news: the complete mining shut down has not spread to other countries. Yet. The bad news: as expected, one after another South African mine is going offline. Why is this an issue? Because Chinese demands is soaring, even as the world is about to lose its third largest producer of gold. Not even the CME hiking gold margins to infinity will do much to prevent what will inevitably be a surge in precious metal prices. Factor in what is likely to be more easing by Bernanke tomorrow, and it may be time to eye the all time nominal high of just over $1,900 gold hit a year ago.

From Reuters:

South Africa is home to 80 percent of known reserves. The platinum price has jumped more than 17 percent since police shot dead 34 protesters at the Marikana mine of world No. 3 platinum producer Lonmin on Aug. 16, the bloodiest security incident since the end of apartheid in 1994.

Continue reading »

Tags: Economy, Global News, Gold, Platinum, South Africa

- South African Miners “Playing Dangerous Game” As Tensions Rise Again (ZeroHedge, Sep 11, 2012):

While it appears the mainstream media has forgotten about the ongoing drama in South Africa, the tensions are rising rather dramatically around the Marikana mines (owned by LonMin mining). As Al Jazeera reports, thousands of miners (along with wives and supporters) have defied an extended deadline (brokered by the government) and decide to remain on strike. The following clip provides some rather concerning color on what is occurring as Julius Malema, the expelled ANC leader, has already been charged with inciting violence – and is “playing a rather dangerous game.” He is calling for a national strike as he addresses the people: “they have been stealing this gold from you. Now it is your turn, you want your piece of the gold.” The tough reality is that as extraction costs rise (energy/depth) and now miners’ costs rise, then the end-product’s cost must rise, or – as Melema suggests – supply goes offline.  Must see clip.

Tags: Africa, Economy, Global News, Society, South Africa

- SAfrica labor unrest spreads, 41,200 miners strike (AP, Sep 10, 2012):

MARIKANA, South Africa (AP) — Labor unrest spread in South Africa on Monday with a wildcat strike by 15,000 workers stopping operations at a gold mine while few workers reported for duty in the fourth week of a stoppage at the world’s third largest platinum mine.Gold Fields International said its strike started Sunday night and that senior managers were at the scene Monday trying to find out what is wanted by miners at the west section of its KDC mine. The east section of the mine was operating normally. 

At a second platinum mine, Implats, 15,000-plus workers are demanding a 10 percent pay rise although they are continuing to work, spokesman Johan Theron said.

Lonmin PLC platinum mine said just 6 percent of its 28,000 workers turned up Monday morning at its mine in Marikana, west of Johannesburg. Mine drivers drove around looking for workers to pick up, but the buses returned to the mine empty.

Continue reading »

Tags: Africa, Economy, Global News, Society, South Africa

- First Platinum, Now Gold: As South African Miners Strike Spreads, Thousands Of Ounces Remain In The Ground (ZeroHedge, Sep 2, 2012):

Two weeks ago we showed dramatic footage as striking miners at Lonmin’s Marikana South Africa platinum mine were fired upon by local the local cops, killing dozens of protesters in the process. Aside from the implications of what happens when the establishment loses control and desperate  workers revolt with complete disregard for their own safety, the strike has crippled the world’s third largest platinum maker, and has cut daily production of the precious metal by 2,500 ounces. Since then the Lonmin situation has remained critical, with just 6% of the South African company’s workers turning up for work last week. In the meantime, the strike bug has gone airborne, and has now impacted Gold Fields, the world’s fourth largest gold mine. From the FT: “Some 12,000 workers at a gold mine operated by Gold Fields have gone on strike, in the latest industrial strife to hit South Africa’s mining industry. Sven Lunsche, a spokesman for Gold Fields, said the wild-cat strike was not directly related to the crisis at the Marikana platinum complex, where 44 people have been killed in violence after rock drill operators downed their tools to demand higher wages on August 10. But he acknowledged that “the atmosphere in the mining industry is very volatile at the moment and this may have had an indirect impact on the situation”. The bottom line: “The strike was costing the company 1,660 gold ounces of production a day, Mr Lunsche said.” In other words in addition to the fear of a resumption in money printing by central bankers, the gold price will now have to deal with the added fear that supply disruptions just may hamper China’s stealthy hording attempts to become the world’s biggest holder of physical gold, or at least at sub $2000/oz prices.Furthermore, it appears that where the striking miners of Lonmin and Gold Fields have boldly gone, many more local unionized workers are set to go as well, in the process shuttering the biggest industry in the Southern African nation: Continue reading »

Tags: Africa, Economy, Global News, Gold, Society, South Africa

Before:

- South Africa: Police Kills More Than 30 Striking Miners

- South African Marikana miners charged with murder (BBC News, Aug 30, 2012):

Workers arrested at South Africa’s Marikana mine have been charged in court with the murder of 34 of their colleagues shot by police.

The 270 workers would be tried under the “common purpose” doctrine because they were in the crowd which confronted police on 16 August, an official said.

Police opened fire, killing 34 miners and sparking a national outcry.

The decision to charge the workers was “madness”, said former ruling ANC party youth leader Julius Malema.

“The policemen who killed those people are not in custody, not even one of them. This is madness,” said Mr Malema, who was expelled from the ANC (African National Congress) earlier this year following a series of disagreements with President Jacob Zuma.

“The whole world saw the policemen kill those people,” Mr Malema said, adding that he would ask defence lawyers to make an urgent application at the high court.

The killing of the 34 was the most deadly police action since South Africa became a democracy in 1994. Continue reading »

Tags: Crime, Democracy, Dictatorship, Global News, Government, New World Order, Police, Police State, Politics, Society, South Africa