Pentagon will clear global banking transactions

http://www.nytimes.com/2009/05/29/us/politics/29cyber.html?_r=1 Mr. Obama, officials said, will announce the creation of a White House office — reporting to both the National Security Council and the National Economic Council — that will coordinate a multibillion-dollar effort to restrict access to government computers and protect systems that run the stock exchanges, clear global banking transactions and manage the air traffic control system.

Gary Gensler for CFTC

http://en.wikipedia.org/wiki/Gary_Gensler

http://www.prospect.org/cs/articles?article=whats_the_problem_with_gary_gensler
As Congress returns from its spring recess this week, the Commodity Futures Trading Commission (CFTC) -- which is poised to gain new authority over the risky financial instruments known as derivatives -- remains without a permanent chair.

The controversy plaguing the White House's choice to lead the CFTC, Gary Gensler, began last month when Sen. Bernie Sanders of Vermont blocked a floor vote on the nomination and suggested Gensler was not the "independent leader" needed to "create a new culture in the financial marketplace." Gensler's biggest sin, for Sanders, was helping to pass the Commodity Futures Modernization Act (CFMA) of 2000, a bill that kept the derivatives market out of regulators' reach.

Gensler has offered a mea culpa to smooth his path to confirmation by vowing to steer the CFTC toward meaningful regulation of derivatives. Unfortunately, the political jockeying over his past has obscured the key question: What is the best way to regulate the sprawling derivatives market?

After retiring at age 39 from Goldman Sachs, the derivatives-mad firm that has profited nicely from the government's multiple financial bailouts, Gensler came to the Clinton Treasury Department. There he worked on CFMA, the bill that allowed the derivatives market to metastasize into a hotbed of financial risk with an estimated value -- before last fall's financial crash -- exceeding the world's real financial holdings.

Faber: US will hyper inflate like Zimbabwe

May 27 (Bloomberg) -- The U.S. economy will enter "hyperinflation" approaching the levels in Zimbabwe because the Federal Reserve will be reluctant to raise interest rates, investor Marc Faber said. ... http://www.bloomberg.com/apps/news?pid=20603037&sid=avgZDYM6mTFA&refer=home

The economic crisis, he said, would be the harbinger of a period of instability and a "series of political crises". He added: "Forget the axis of evil; welcome to the axis of upheaval."

http://u.tv/News/Historian-Niall-Ferguson-warns-of-debt-calamity-threatening-the-west/abebdb68-4a31-402d-8cd4-a79d6d13ad19

Treasuries yield curve widens

The Treasury received $81.2 billion worth of bids for the $35 billion worth of 5-year notes it offered Wednesday. That made for a bid-to-cover ratio of 2.32, which was better than last month's 5-year auction, but was weaker than Tuesday's sale of 2-year notes.

"There's a lot of paper coming to the market due to the government's needs," Cardillo said. "There is the fear that the government's spending is going to mushroom into inflation." ... http://money.cnn.com/2009/05/27/markets/markets_newyork/index.htm?postversion=2009052715

The so-called yield curve steepened to 2.75 percentage points, surpassing the previous record of 2.74 percentage points set on Aug. 13, 2003. Yields on 10-year notes have risen more than 100 basis points since Fed officials said in March they would buy up to $300 billion of U.S. debt over six months to drive consumer rates down and lift the economy from recession.

http://bloomberg.com/apps/news?pid=20601087&sid=aYHa.5_QudRo&refer=home

In addition to raising borrowing costs for the government, rising yields on Treasury debt could hamper an economic recovery since they are used as benchmarks for certain consumer loans such as home mortgages. Higher rates on those kinds of loans could prolong a recovery in the battered housing market.

http://www.google.com/hostednews/ap/article/ALeqM5jmT59dgLTTziX4p9X9MRBRpWZGdQD98EOPN81

US Debt dumped – Maryland tax hike on millionaires backfires

Think of a typical image of a "survivalist" even the stereotypical view: tough, able to live off the land, resourceful and ready to deal with any disaster. Does this sound like the guy who whips out a Visa Card when the going gets tough? Would you expect to see a person working to build a homestead and a sustainable life using a credit card "just for airline miles"? Or perhaps, would you expect someone living by the mantra of adapt, improvise and overcome to finance a lifestyle with a home equity loan?

http://www.marketoracle.co.uk/Article10894.html

The Maryland state revenue office says it's "way too early" to tell how many millionaires moved out of the state when the tax rates rose. But no one disputes that some rich filers did leave. It's easier than the redistributionists think. Christopher Summers, president of the Maryland Public Policy Institute, notes: "Marylanders with high incomes typically own second homes in tax friendlier states like Florida, Delaware, South Carolina and Virginia. So it's easy for them to change their residency."...    http://online.wsj.com/article/SB124329282377252471.html

The latest drama began this past Thursday …

 

The supply of U.S. Treasury bonds dumped on the market was so overwhelming, even the Federal Reserve, with all its massive efforts to buy up bonds, could not stop the avalanche. ...    http://marketoracle.co.uk/Article10879.html

Asia's "Confucian" culture of right action does not look kindly on the insouciant policy of printing money by Anglo-Saxons.

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/5379285/China-warns-Federal-Reserve-over-printing-money.html Richard Fisher, president of the Dallas Federal Reserve Bank, said: "Senior officials of the Chinese government grilled me about whether or not we are going to monetise the actions of our legislature."

"I must have been asked about that a hundred times in China. I was asked at every single meeting about our purchases of Treasuries. That seemed to be the principal preoccupation of those that were invested with their surpluses mostly in the United States," he told the Wall Street Journal.

Fight for global reserve currency

http://www.telegraph.co.uk/finance/economics/5050407/US-backing-for-world-currency-stuns-markets.html US backing for world currency stuns markets

http://pakalert.wordpress.com/2009/05/21/uae-exit-leaves-gulf-currency-plan-on-brink-of-failure/ Gulf Currency Collapses

http://www.guardian.co.uk/business/feedarticle/8517156 Dollar still top currency in Russia reserves-cbank

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/5325805/Chinas-yuan-set-to-usurp-US-dollar-as-worlds-reserve-currency.html China's yuan 'set to usurp US dollar' as world's reserve currency

Dollar falls as Britain rating downgraded, fears US may be next

May 22 (Bloomberg) -- The dollar fell to a four-month low against the euro and dropped versus the yen on speculation the U.S. government's creditworthiness is weakening, sapping demand for the greenback. ... http://bloomberg.com/apps/news?pid=20601087&sid=a7sB2fmVON5E&refer=home

Since 1978, when such ratings began, Britain has been awarded an immaculate AAA – the mark of a healthy, leading world economy. That golden run could come ...

http://www.telegraph.co.uk/finance/comment/edmundconway/5363790/Labour-must-go-if-the-economy-is-to-be-saved.html

May 21 (Bloomberg) -- The odds on the dollar, Treasury bonds and the U.S. government's AAA grade all heading for the dumpster are shortening.

While currency forecasting is a mug's game and bond yields can't quite decide whether to dive toward deflation or surge in anticipation of inflation, every time I think about that credit rating, I hear what Agent Smith in the "Matrix" movies called "the sound of inevitability."

Gain moves MT4 to London

Dear Client:

This notice is to confirm that you will be able to continue to utilize hedging as part of your trading strategy through our UK entity, FOREX.com UK Ltd, which is authorized and regulated by the Financial Services Authority (FSA).

The transfer of your account to FOREX.com UK is not mandatory. However, keep in mind that should you decide not to transfer your account, you will not be able to establish new hedged positions beginning Friday, May 15, 2009.

Over the next couple of days, you will be receiving instructions for how to transfer your account to FOREX.com UK.

The transfer of your account will be a seamless process. You will not need to close your open positions or orders and you will be able to use the same User ID and password to log onto the MetaTrader platform. Following the transfer of your account to FOREX.com UK Ltd, your funds will be held in segregated accounts as required by FSA regulation.

Should you have any questions or concerns, please feel free to contact one of our customer service representatives.

Thank you in advance for your continued business.

Sincerely,
The Team at FOREX.com

FXCM starts shifting accounts to London

http://forexforums.dailyfx.com/nfa-no-hedging-rules-starting-may-17-2009/74526-1-faqs-nfa-rules.html

FAQs for NFA rules

Video: Trading Under the New NFA No-Hedging Rules

What the new rules mean:

• Q. Why is the NFA imposing these new rules?
  A. When it comes to the restriction on hedging, NFA believes that hedging eliminates any opportunity to profit on a transaction, and it increases the customer's financial costs (Ex: customers entering hedged positions will pay the entire spread twice, doubling the expense of entering and exiting the transaction.) NFA's position is that "customers do not understand either the lack of financial benefit or the financial costs involved" in carrying long and short positions in the same currency in the same account
  
• Q. What will happen with my existing positions?
  A. All positions that are opened before 4pm ET on May 15th will not be affected. If you place an opposing order after it will net out any positions regardless of when they were opened.
  
• Q. I am an MT4 user, how will my account be affected?
  A. MetaQuotes, the developer of the MetaTrader platform, is working to put through a patch that will disallow hedging. If you wish to keep the same functionality that you currently have you can move your account to FXCM UK by filling out the opt-in form found here http://www.fxcm.com/mt4-hedging-transfer-form.jsp
  
• Q. I use the Forex System Selector platform, how will my account/portfolio be affected?
  A. Tradency, the company behind the Forex System Selector software will also be putting through a patch to comply with the new rules. If you are concerned about how this will affect your FSS portfolio, you can fill out the opt-in form to have your account transferred to FXCM UK which can be found here http://www.fxcm.com/fss-hedging-transfer-form.jsp The new restrictions do not apply to accounts with FXCM UK so submitting that form will ensure that there are no changes to your account.
  

Transferring to FXCM UK:

• Q. If I switch my account to FXCM UK what protection is available?
  A. The Financial Services Authority (FSA) is the government agency that overseas spot FX trading in the United Kingdom. The market has been regulated in the UK much longer then it has been in the US. Accounts with Forex Capital Markets LTD (FXCM UK) are fully segregated in accordance with UK financial regulations. The FSA, one of the world's most respected financial regulatory bodies, administers these regulations. In the unlikely event of FXCM UK's bankruptcy, clients of FXCM UK would be considered secured creditors and receive priority in bankruptcy proceedings.
  
• Q. With my account at FXCM UK, will I need to phone the UK to get support?
  A. FXCM's global offices are open 24 hours a day, seven days a week. You may continue contacting the same office and support staff you have been accustomed to, through the same familiar telephone, chat, and email methods, regardless of where your trading account is set up.
  
• Q. How may I deposit to my account if it is housed with FXCM UK?
  A. FXCM UK provides for bank wire, debit card, credit card, and check deposits and withdrawals. Please note there are different website links and funding details associated with accounts at FXCM UK . Visit FXCM - Depositing Funds Options for full details. Please also note that we are in the process of updating our bank information for FXCM UK to include US bank accounts and debit/credit card deposit functionality.
  
• Q: Do I need to download any new software if my account is with FXCM UK?
  A: No, you will use the same trading station. No additional download is required.
  
• Q:. What is the cutoff date to opt in to transfer my account to FXCM UK?
  A: MT4 clients must submit the opt-in form by Wednesday May 6th. Forex System Selector clients must submit the opt-in form by Wednesday May 13th. Clients using the regular FXCM TS II platform must submit the opt-in form by May 27th
  
• Q: What happens if I don't transfer before the deadline? Can I transfer after? How?
  A: We highly encourage clients to transfer before the deadline so that your account can be moved over will all open positions. If you choose to move over after the deadline you will have to close out all open positions before we can move your account.
  

FX System Hosting VPS Hosting Solution

Wednesday, April 29, 2009

EES announces a solution for working during a pandemic: Remote Location Servers to run your trading strategies or your office. Order while supplies last (the infrastructure will be in short supply as many will do the same).

With Swine flu approaching pandemic status, many are recommending the early preparation for a pandemic. Properly planned, a pandemic can have a minimal impact on business operations, as many of today's functions can be managed from a home-office or remote location.

Central to any disaster recovery or pandemic operations is a dedicated server. FX System Hosting offers a wide range of tools to support your I.T. backup plans, including dedicated servers, FTP backups, assisted service plans, webhosting, $10 .com purchases, email marketing, and more. Use a dedicated server for trading, or install Microsoft Office and use it like a desktop.

This service is a full data-center solution, where customers can get virtual dedicated servers or full dedicated servers and 24/7 support. Other VPS providers for the EA market provide virtualized order execution solutions that do not provide the flexibility of having your own dedicated server.    

Why our service is better than other VPS solutions.

• Your own windows server with static dedicated IP – connect using Windows Remote Desktop connection or Radmin from Anywhere in the world
  
• Server is always online
  
• Assisted plan includes 24/7 maintenance and support
  
• Install up to 20 MT4 Terminals depending on server capacity
  
• Install Open Office and other office applications, use it like a desktop (virtual office)
  
• Use like remote backup, access while travelling or relocating
  

 

See more at: http://fxsystemhosting.com

Why Dedicated Servers

Admin access: Install and run virtually anything on the server.

Manage multiple Web sites: Host multiple Web sites on one server account.

Versatility: A dedicated server/virtual dedicated server can be used for a wide variety of purposes, including gaming, virtual (i.e., shared) hosting, and hosting of traffic-intensive Web sites.

Dedicated Server plans include:

• Bandwidth Overage Protection
  
• Free rapid setup
  
• FREE! Google® Adwords® Credit*
  
• FREE! Microsoft® adCenter Credit†
  
• 24x7 FTP access
  
• Linux: CentOS (4 or 5) or
  
• Red Hat Fedora (7 or 8)
  
• 3 Dedicated IPs
  
• Our world-class data centers
  
• Best-of-breed routers and servers
  
• TippingPoint™
  
• Intrusion Prevention Systems
  
• 24x7 email, telephone and
  
• Web-based tech support
  
• 24x7 physical security
  
• 24x7 network monitoring
  

EES Stimulus Package

Any new order of a Virtual Server or Dedicated Server will receive a check from EES, either $20 or $40 ($20 for virtual $40 for dedicated). Must keep account for at least 2 months. Mention offer code EESS28A.

Also, the purchase of ANY product or service from www.fxsystemhosting.com will receive EES I.T. pack, and Elite Expert Trader, EES award winning EA package (see www.eliteetrader.com ).

Resources

http://www.networkworld.com/news/2009/042909-swine-flu-planning.html?hpg1=bn 10 tips for swine flu planning

http://www.newsnow.co.uk/h/Business+%26+Finance/Industry+Sectors/Agriculture/Bird+Flu News Now Bird Flu (currently updating swine flu)

http://traderstartpage.com/ FX Trader's Startpage with news and links

http://fluwikie.com/ A Wiki is a type of online collaboration that allows anyone (including you) to edit any page on a website. The open nature of the wiki format allows diverse, decentralized participation, and has shown itself able to develop surprisingly effective and sophisticated products, such as the Wikipedia.

http://www.flutrackers.com Forum about Swine Flu

http://blogs.wsj.com/health/ WSJ Health Blog

http://eliteforexblog.com EES Blog, where any updates and important news will be posted

http://www.cdc.gov/swineflu/ CDC Swine Flu page

Click here to order supplies for swine flu

Elite Forex Blog offers Opera Widget

http://widgets.opera.com/widgetize/Feed%20Reader/Advanced/?serve&skin=skin7&widgetname=Elite%20Forex%20Blog&url=&rel=blogger&ref=eliteeservices

first time that a swine flu has been detected in humans. ... Evidently, no one is a world expert.

The World Health Organisation is awaiting formal confirmation from US authorities the new swine flu virus has spread significantly between people, a sign that could indicate an "imminent" influenza pandemic.

Confirmation infected people in two countries are spreading the new disease to their families or contacts in a sustained way would meet the World Health Organisation's criteria for declaring a phase 5 alert on its scale of 1 to 6.    http://www.irishtimes.com/newspaper/breaking/2009/0428/breaking53.htm

"We've never had a situation like this in the world. It's the first time that a swine flu has been detected in humans. ... Evidently, no one is a world expert."

But a Seattle-based risk assessment firm, Veratect, whose clients include corporations and nonprofit organizations that operate internationally as well as some foreign governments, says it noticed something was wrong in late March.

It issued a warning to its clients on April 2 of what it said could be a worrying new flu strain in southern Veracruz state.

Veratect's chief scientist, James Wilson, said in a posting on his private blog, Biosurveillance, that the company noticed something amiss on March 30, when a lawyer fell seriously ill in Ottawa after returning from Mexico.

http://www.americanchronicle.com/articles/yb/129157973

EL PASO, Texas (AP) — U.S. airports and border agents waved people through Monday with little or no additional screening for Mexico's deadly swine flu — a far more muted reaction than the extreme caution elsewhere around the world. ...    http://www.google.com/hostednews/ap/article/ALeqM5gypVZz9TCTG1Lf1snAmsMMOXCEdwD97R64300

MEXICO CITY (AP) — The swine flu epidemic entered a dangerous new phase Monday as the death toll climbed in Mexico and the number of suspected cases there and in the United States nearly doubled. The World Health Organization raised its alert level but stopped short of declaring a global emergency. The United States advised Americans against most travel to Mexico and ordered stepped up border checks in neighboring states. The European Union health commissioner advised Europeans to avoid nonessential travel both to Mexico and parts of the United States.     http://www.google.com/hostednews/ap/article/ALeqM5g8-DEMtAE9q4i4ySQ0eV_qZefmRQD97R61401

Swine Flu shakes up markets

Stocks, Grains, Peso Drop on Swine Flu; Treasuries, Yen Gain By Daniel Hauck

April 27 (Bloomberg) -- Stocks declined around the world, while the yen, dollar and Treasuries gained as the swine flu outbreak spread. Mexico's peso fell and grain prices retreated.

The Dow Jones Stoxx 600 Index of European shares dropped 1 percent, led by airlines on concern that the disease will reduce travel. Futures on the Standard & Poor's 500 Index slipped 1.8 percent. The yen climbed more than 1 percent against the euro and the peso slid more than 3 percent against the dollar. Corn fell the most in a week on speculation the outbreak may curb demand for pork and animal-feed grains.

The spread of swine flu from Mexico to as far as New Zealand prompted concern of a pandemic, snuffing out a rebound in stocks that has pushed the MSCI World Index up 27 percent since March 9. Shares also fell and Treasuries rose after Lawrence Summers, director of the White House National Economic Council, said the U.S. economy will continue to contract "for some time to come," in an interview on "Fox News Sunday."

"As if we didn't have enough to contend with," Sydney- based Greg Gibbs and London-based Andy Chaytor, strategists at Royal Bank of Scotland Group Plc, wrote in a report today. "It's just what we need now, a flu pandemic in the midst of the biggest financial crisis since the Great Depression."

Yields on 10-year Treasury notes dropped five basis points to 2.95 percent. The yen strengthened to 126.94 per euro from 128.66 last week. The dollar advanced to $1.3151 per euro, from $1.3242.

http://www.bloomberg.com/apps/news?pid=20601087&sid=amnn0.D7GtUg&refer=home

Goolge map updates http://maps.google.com/maps/ms?ie=UTF8&hl=en&t=p&msa=0&msid=106484775090296685271.0004681a37b713f6b5950&ll=32.650649,-116.139221&spn=2.062781,3.99353&z=8

April 28th Secret Debt Meeting

DEPARTMENT OF THE TREASURY     Departmental Offices; Debt Management Advisory Committee Meeting   Notice is hereby given, pursuant to 5 U.S.C. App. 2, Sec. 10(a)(2), that a meeting will be held at the Hay-Adams Hotel, 16th Street and Pennsylvania Avenue, NW., Washington, DC, on April 28, 2009 at 10:30 a.m. of the following debt management advisory committee: Treasury Borrowing Advisory Committee of The Securities Industry and Financial Markets Association. The agenda for the meeting provides for a charge by the Secretary of the Treasury or his designate that the Committee discuss particular issues and conduct a working session. Following the working session, the Committee will present a written report of its recommendations. The meeting will be closed to the public, pursuant to 5 U.S.C. App. 2, Sec. 10(d) and Public Law 103-202, Sec. 202(c)(1)(B) (31 U.S.C. 3121 note). This notice shall constitute my determination, pursuant to the authority placed in heads of agencies by 5 U.S.C. App. 2, Sec. 10(d) and vested in me by Treasury Department Order No. 101-05, that the meeting will consist of discussions and debates of the issues presented to the Committee by the Secretary of the Treasury and the making of recommendations of the Committee to the Secretary, pursuant to Public Law 103-202, Sec. 202(c)(1)(B). Thus, this information is exempt from disclosure under that provision and 5 U.S.C. 552b(c)(3)(B). In addition, the meeting is concerned with information that is exempt from disclosure under 5 U.S.C. 552b(c)(9)(A). The public interest requires that such meetings be closed to the public because the Treasury Department requires frank and full advice from representatives of the financial community prior to making its final decisions on major financing operations. Historically, this advice has been offered by debt management advisory committees established by the several major segments of the financial   [[Page 16259]]   community. When so utilized, such a committee is recognized to be an advisory committee under 5 U.S.C. App. 2, Sec. 3. Although the Treasury's final announcement of financing plans may not reflect the recommendations provided in reports of the Committee, premature disclosure of the Committee's deliberations and reports would be likely to lead to significant financial speculation in the securities market. Thus, this meeting falls within the exemption covered by 5 U.S.C. 552b(c)(9)(A). Treasury staff will provide a technical briefing to the press on the day before the Committee meeting, following the release of a statement of economic conditions, financing estimates and technical charts. This briefing will give the press an opportunity to ask questions about financing projections and technical charts. The day after the Committee meeting, Treasury will release the minutes of the meeting, any charts that were discussed at the meeting, and the Committee's report to the Secretary. The Office of Debt Management is responsible for maintaining records of debt management advisory committee meetings and for providing annual reports setting forth a summary of Committee activities and such other matters as may be informative to the public consistent with the policy of 5 U.S.C. 52(b). The Designated Federal Officer or other responsible agency official who may be contacted for additional information is Karthik Ramanathan, Acting Assistant Secretary for Financial Markets (202) 622-2042.   Dated: April 2, 2009. Karthik Ramanathan, Acting Assistant Secretary for Financial Markets. [FR Doc. E9-8020 Filed 4-8-09; 8:45 am]   BILLING CODE 4810-25-M