0 votes

3rd largest bank in the world predicts US financial market meltdown

Fortis is a very large Dutch-Belgian bank, and the 20th largest corporation in the world in terms of revenue.

They recently raised a lot of capital and cancelled their dividend, leaving a lot of people worried about their own solvency. Here's what they had to say:

BRUSSELS/AMSTERDAM - Fortis expects a complete collapse of the US financial markets within a few days to weeks. That explains, according to Fortis, the series of interventions of last Thursday to retrieve € 8 billion. "We have been saved just in time. The situation in the US is much worse than we thought", says Fortis chairman Maurice Lippens. Fortis expects bankruptcies amongst 6000 American banks which have a small coverage currently. But also Citigroup, General Motors, there is starting a complete meltdown in the US

Source: https://www.kitcomm.com/showthread.php?t=19066

If you guys don't have a vegetable garden, get one going. It's a good investment at any time, and especially now.

EDIT: by the way guys, if you want to keep informed on financials I suggest you check out Ticker Forum, and Karl Denninger's blog. They're really good sources of information, and you'll get news which aren't available through American sources. Karl founded Fed Up USA, a group that organizes public action against the Federal Reserve.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

Inflation corrected,

We have been in a recession for 2-3 years, I am guessing. If the govt says the economy increases by 2-3 percent annually, and we have inflation of 6-10 percent. Heck would it not be close to being called a depression.

Freedom may be worth searching for.

Remember, Dont battle the govt with guns(ALONE), Beat them in court, in state legislature, or hire Ron Paul for president.

Freedom may be worth searching for.

I have given up on my fellow Americans, (not DPers) as I will not shed one more calorie trying to awaken anyone else who is not a critical thinker and does not have the inherent feeling that something is wrong.

Depends...

Keep in mind, real GDP (the figures released by government) factors in the inflation.

I'm not saying that their estimate of inflation is an honest one, but there is an inflationary factor built into that real GDP.

It all depends on how you calculate the inflation that enters into that formula. The government stats on inflation certainly don't point to a recession, but if you believe the stadowstats.com numbers, we've been in a recession for a decade.

I agree that we should find more agreed upon and honest methods for measuring the economy...but really calling it a recession is just semantics...whatever has been occuring in the economy since 2000, it certainly sucks for most Americans.

If you want to further develop this theory...measure nominal GDP growth against a set of inflation numbers that you trust.

This is a HOAX! NOT TRUE! This is a HOAX!!! Fortis story not TR

Please send your signs to:

C Wilkinson
1019 Fremont Ave.
St. Paul, Minnesota 55106

http://www.dailypaul.com/node/50462

"it is good for the establishment to adopt liberty ideology, but it is not good for those who have already adopted liberty to fall to the feet of the establishment." ~ Annica2

Thanks

Thanks for your research. I'm kicking myself for not doing the same thing myself a month ago...when I read this and though what a bunch of BS.

I'll be glad to send some money to your sign cause...just as soon as the nephew of the former dictator of Uganda sends me the 12 million he owes me.

Also...I forwarded the Bill Gates email a few thousand times...still waiting for my millions!

Boogey-boogey-boogey-boogeymen!!!

Ron Paul is the great uniter, the income tax fighter...the military-supported, defender of the border...the political apathy solution and the champion of the Constitution! Doctor Paul is on-call!

Fortis Prediction of US Bank Meltdown a Net Hoax: Urban Legend.

Sorry, brother, Checked it out and it ends up being a hoax. Just another internet hoax.

Boris in Miami

http://www.opednews.com/articles/Fortis-Prediction-of-US-Ba-...

by Paul Haughey Page 1 of 1 page(s)

www.opednews.com

Tell A Friend

This article documents how an urban legend got started the weekend of June 28-29, 2008, how and why urban legends spread virally, and what you can do to spot them and stop them.

On Sunday, June 29, I received several forwarded articles alleging a large European banking conglomerate predicted a United States financial "meltdown" within coming weeks.

The forwarded story led me to a blog, not a news site, which alleged to provide a one paragraph abbreviation of the story, introduced by the statement "I was shocked to read the following, which was posted 4 hours ago...".

The article alleges that Fortis chairman, Maurice Lippens, expects 6,000 US banks to file for bankruptcy in coming weeks. It mentions that even large financial institutions, such as Citigroup and General Motors, will also be affected, and these events will start a complete financial meltdown in the United States.

STORY DOES NOT HOLD UP TO SCRUTINY

A quick internet search revealed the same abbreviated "article" -- only one paragraph long, with the exact same introductory statement -- has been posted on 269 other blogs and discussion boards. Most of these discussion boards allow anonymous posts, with no accountability required by the poster or author (such as the Sean Hannity fan site, the Ron Paul discussion board, etc). The story can also be found on Digg and other viral marketing and web ring sites, and I predict that you will probably see this many more times, on discussion boards or in emails, for months or years to come.

Most posts also claim that the original story was written in Dutch, and a few even contained a dead link to the alleged original story on Da Telegraaf, a Dutch news submission site. After searching the Da Telegraaf site, I was able to find the original story, which was submitted anonymously. It had no author, it sited no source, it came from no news syndicate (such as Reuters or Associated Press), and it was submitted to no news syndicates.

My first reaction to the story was that it contained all the elements of a net rumor or an urban legend, the kind my grandfather likes to forward to me: Bill Gates will give you $1,000 for forwarding his email; Obama isn't really a US citizen; undocumented Mexican laborers are going to get $1 trillion in free US health care but you are not; car jackers are going to steal your car by putting a flyer on your window; etc.

I next searched every legitimate news site I could think of, including press release sites, blogs or personal web sites by Fortis directors or employees, interviews, oral or written public statements, etc. I found no predictions of 6,000 bankruptcies.

http://www.opednews.com/articles/Fortis-Prediction-of-US-Ba-...

Please send your signs to:

C Wilkinson
1019 Fremont Ave.
St. Paul, Minnesota 55106

http://www.dailypaul.com/node/50462

"it is good for the establishment to adopt liberty ideology, but it is not good for those who have already adopted liberty to fall to the feet of the establishment." ~ Annica2

They didn't say "5000 in july"

Found the original Dutch article. The guy says indeed that he counts upon the collapse in days or weeks. His remark with the 5000 number may as well be taken as "in the next years", or "as a result".

Ohh

I've been sitting here waiting for 6000 banks to go belly up?

So...in their opinion...has the collapse happened?

I would say no...it would seem that people predicting a huge collapse and a change to life as we know it, have simply been wrong.

that george soros idiot you

that george soros idiot you like.. he's flaming liberal! everything contrary to Ron Paul!

The “change” Obama and his close allies—like George Soros’ Moveon.org —seek is a complete regime change driven by a radical political agenda. For the nation’s gun owners, “change” will take the form of many steps back to the bad old days of the Clinton-Gore years or the Jimmy Carter years, when bureaucrats in a dozen agencies were relentless in their schemes to press a hostile presidential agenda against gun ownership

lots to be proud of there JZ!

as for me and my home, we shall worship the LORD

Economic Forecasts

Economic Forecasts: 1) “The Soviet economy is proof that, contrary to what many skeptics have earlier believed, a socialist command economy can function and even thrive,” said Paul Samuelson in 1989. 2) Question: What’s your advice to the average American who is hurting now, facing the prospect of $4 a gallon gasoline? George Bush: Wait, what did you just say? You’re predicting $4 a gallon gasoline?... I hadn’t heard that. 28 Feb 08 3) “Bear Stears’ balance sheet, liquidity, and capital remain strong,” Alan Schwartz, chief executive, assured us on 12 March 2008, days before their collapse. 4) “The mother lode of [Washington Mutual] is performing awfully well with record growth numbers coming out in the second quarter,” enthused Kerry Killinger, chief executive, on 12 August 2007. They lost over three billion dollars that quarter and, within a year, were worth a tenth of what they traded for then. 5) As a matter of principle, I do not make economic forecasts – see my paper, Did Mises and Hayek Predict the Great Depression? However, I did make one: When a topless dancer sits on one’s lap and brags about the three (soon to be four!) houses that she owns, as one did in 2005, one can’t help but wonder if it might be time to get out of real estate. See Mortgages, Sub-Prime.

Mortgages, Sub-Prime: Loaning money to people who don’t have jobs. See AAA-Rated Securities.

AAA-Rated Securities: The new word for what used to be known as sub-prime mortgages or, more colloquially, as worthless crap. See Fool’s Gold.

Fool's Gold: What the dollar is backed by – the assets of the Federal Reserve, composed mostly of AAA-Rated Securities, which are about as marketable as the chocolate-covered cotton balls that Milo Minderbinder was trying to foist on people in Catch 22. “The Fed’s balance sheet is getting corrupted with junk that others won’t buy or lend against,” observes Robert Robb.

Source: www.axiomaticeconomics.com/devils_dictionary.php

____________________________________

Shaka, you so crazy! www.axiomaticeconomics.com

It's July 31st

Today is the last day of July. We have a few more hours until it's over, but I think it's safe to say that no more banks will collapse today.

Well Fortis, you missed your estimates of the catastrophic collapse by about 5997 banks. Thanks dipshits.

This should serve as a lesson to the chicken little's of the world. The sky is not falling.

not in rapid motion but

not in rapid motion but slowly and surley... and its building momentum!

This news can't be true it

This news can't be true it wasn't on fox .

I think Fortis may be wright about the crisis

but wrong about the timing. However, the number of banks going under per month/week is increasing. First Bear Stearns takeover, than a month+ later Indy Mack, Fannie-Freddie bailout, (2) Nevada banks, the watch list has increased from 1 to 9 to 90 in just 1 month. If you look at the progression, it's possible the next few weeks could be wild.

I dont think panic will occur, the general public is to poor and stupid to care. The depression will just be a constant errosion of the banking and investment systems along with jobs.

I think I read somewhere that the average American houshold savings is/was $1300, hardly enough to panic over.

The last Great Depression

...it took five years before people even knew we were in a depression. Don't think this is any different.

Heck, fed govt won't even admit a recession - surprised???

Using pre-WWII metrics,

the US is already in a depression.

___________

Lisa C.

www.dvds4delegates.com=Ron Paul, the 44th U.S. President

“Elections are short term efforts; revolutions are long term projects.”

--Ron Paul

Join the rEVOLution here: www.campaignforliberty.com

Ron Paul "Sign Wave Across the USA" -- November 5th!

Let me correct

We did not have one bank on the FDIC watch list a month ago. I don't remember exactly, but we've been +/- 20 of where the list is now for several years. There's always banks on the watch list.

This is not spiraling out of control. Indymac was destined for this fate. Countrywide spun this bank off and used it as a sacrifice for all of their bad debt, it was doomed from the start. The two banks that just went insolvent were tiny reigional banks...totaled 28 branches...and have already been purchased by Mutual of Omaha.

Part of the problem you're stating is correct...that people in the public don't know and don't care. Another even bigger part of the problem is that people who know what the problem is would rather bitch about it than educate themselves so their armed to convince people of what we can accomplish, if we would only stand up and demand freedom.

Yet our best trained, best educated, best prepared, best equipped troops refust to fight...Thomas Todd

Know doubt banks are always on the watch list,

but I was refering to banks in trouble that the media was actually reporting. I think there should be a ratio to multiply media reportings to equal real world numbers.

JZ said..... Part of the

JZ said.....

Part of the problem you're stating is correct...that people in the public don't know and don't care. Another even bigger part of the problem is that people who know what the problem is would rather bitch about it than educate themselves so their armed to convince people of what we can accomplish, if we would only stand up and demand freedom.

standing up and demanding freedom will have nothing to do with changing the banking rules.. nothing can be accomplished until dumb asses like soros quite buying politicians to do special favors for them.. now talk about supporting freedom soros bankrolls ultra liberal leftists but he is a freedom fighter lol.. nothing can be done till all the idiots in both the senate and congress are kicked out and Men and Women who are honest like Ron Paul, vote and pass legislation that stops Fascism! the education needing done is who the people elect to office who will uphold the CONSTITUTION and get rid of the FEDERAL RESERVE.. at that point things will change! so "standing up and demanding freedom alone " won't accomplish anything.. its whose on capitol hill, that is where the evil either takes hold or freedom springs!

ahh yes the banks are just

ahh yes the banks are just fine!

Jim Sinclair’s Commentary

The silence surrounding this important event is mindboggling.

NAB will shock Wall Street
The Business Spectator

The National Australia Bank's decision to write off 90 per cent of its US conduit loans will have dramatic repercussions around the world. Wall Street will be deeply shocked when they understand the repercussions of what NAB has done. It is clear global banks have nowhere near provided for their exposures to US housing loans which in the words of John Stewart are experiencing a “meltdown”.

We are now way beyond sub-prime. NAB says that it is suffering a 55 per cent loss on American housing loans – an event that has never happened in the history of a developed country in recent memory. This is an unprecedented event and means that the cost of bailing out the US financial system is now far beyond the highest estimates. A US recession is now locked in, but more alarmingly, 55 per cent loan losses point to the possibility of a depression.

It means the cost of bailing out housing exposures to the two mortgage insurers will be so great that it will leave no room to bail out anything else and there are several US banks that are now in big trouble. NAB says that the dislocation in the residential market is separate from the corporate market, but the flow on is inevitable.

While global banks have been writing down their balance sheet assets, few have tackled their conduit exposures which are off balance sheet but to which they are ultimately liable.

I wish to add one more thing ...

You are correct it is not spiraling out of control yet, and there is at best a very outside shot that it does, but make no mistake, these are not ordinary times.

I predict the potential for a climactic moment in late November, or early December at which point global intervention will probably succeed and we will reach a very low bottom. Something around a DOW 9000, which would be closer to DOW 8000 in January Dollars.

The world markets will be forever altered, and I fear the trend will be towards regulation as opposed to the opposite.

You painted a picture that this is business as usual and I would argue that this is highly, highly unusual.

WAHOR!!

Fortis...you're almost there

They predicted 6000 banks to collapse in July. After last night...we've now had 3.

Only 5997 to go...and still 6 days left in July.

Anyone still trust Fortis?

ahh jz you and your dad jeff

ahh jz you and your dad jeff are making lots of friends here lol!

as for me and my home, we shall worship the LORD

Umm...

You're making moronic assumptions, don't you think?

Jeff23432 (or whatever the number) is either myself writing as another name, or my dad?

Here's some truth here...my Dad is a rank and file neocon who sells cars, and can barely type. I'm pretty sure he's not posting on this site.

Some more truth...I have never personally met anyone who has ever posted on this site (at least to my knowledge).

Here's some more truth. I have never posted on this site (or any site since I was 18 for that matter) as anything except jzneff.

A little more truth...I do not and have never worked in securities, banks, government, or anything else that would lead me to have an agenda.

You think my analysis and opinions are so far fetched that not a human alive would agree with me? You may be of the majority opinion here, but it's not that hard to think that someone in their right mind would share my views.

If you're trying to provoke me into a childish fight, it will not work. I have and will rise above you. Please stop replying to me, it's obvious you don't read what I type before you reply, and I have given up with you. I know what your point of view is, and myself or anyone else here can just go to Jim Sinclaire's website if we need your opinion.

lol right........... exactly

lol right........... exactly what i thought you would say! things getting to you a bit or is it just that time of the month??

as for me and my home, we shall worship the LORD

ahh jz you and your dad jeff

ahh jz you and your dad jeff are making lots of friends here lol!

as for me and my home, we shall worship the LORD

My guess is that the next depression is likely to start sometime

between Q3 2009 and Q2 2010.

"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---

government of the people, by the people, for the people
---

Bank collapses don't cause depression

The worst this is going to cause is more inflation and longer recession.

I know your intentions are in the best of places...I really recommend that people here read this book.

http://www.lewrockwell.com/rothbard/rothbard173.html

(BTW, I love lewrockwell.com ) Please visit this site, it has some great thought provoking articles.

What you need to understand about depression is that only panic causes them. People panic and do some very irrational things. They run banks, collapsing them. The demand action from congress, who can only manage to cause more problems. They demand presidential orders, which only cause more problems and more depression.

Depression is not inevitable...and WE must be the ones to lead the country into realizing this. This does not have to happen and we have the power to stop it! The world is looking at us and waiting for the solution. We have never had a bigger chance to save ourselves and we're squandering it on predicting impending doom!

How can we avoid depression? We can get people to realize what they want from their government...they want less taxes, they want less regulation, they want less spending, they want the aggresive wars to stop.

If people start demanding this...very clearly and loudly...we can avoid sinking into depression and furthermore...we can avoid ever getting to this point again!

This is why many of us are fighting. We feel this is our last chance to rally our country and remember why we grew into this great place. We did it through freedom...this is the land of opporitunity.

Please...engage people not with predictions of depression...but the message is that freedom will keep us from depression, and freedom will come if America demands it in a clear voice. For instance, ask someone if tomorrow, government were to spend what it did in 1998...but every person would stop their income tax withholdings immediately...would our country be hurt or helped by this?

The numbers of this...

1998 federal budget, 1.7 trillion
2008 federal budget, 2.90 trillion

The difference is 1.2 trillion dollars. We'll pay 1.25 trillion in income tax this year.

Please commit these numbers to memory. This tells of the great opporitunity we have to demand our rights back...and in the process we'll save our economy as well.

Well, at least, I like your positive thinking as long as it

does not become denial.

However, in my strong opinion, deflation is inevitable because I believe that deflation really is a symptom of aging of population that shows up in terms of the economy due mainly to the declining natural demand caused by aging. Therefore, unless you can alter the aging of population, you cannot stop deflation, in my opinion. And, in my opinion, this is the real reason behind the motivation to create NAU to integrate a young Mexican population. And, in my opinion, depression is inevitable with deflation as long as we have a debt based money system because the debt based money system would collapse without a constant expansion of the economy that is impossible when deflation happens or when the dominant segment of the population is retiring, in my opinion.

However, I tend to agree with you that depression is not inevitable, but only if we get rid of the debt based money system and replace it with a new system that does not require a constant expansion of the economy to function, in my opinion. I also agree with you that the Income tax must go.

"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---

government of the people, by the people, for the people
---

Getting rid of the debt based money system

This is not required to save us from collapsing.

This system itself is not causing the danger of falling apart economically. It's important, and would be much better if we could instill a system of honest money, but we don't need to do this in short order to save us from the abyss.

What we really need to do is start dramatically shrinking the size, scope, and power of the federal government. We have to withdraw from the world empire we've set up, and we've got to quit making promises that we can't keep. These are the things that are pushing us to collapse.

Want to save the American economy? All it would take would be the elimination of 1.25 trillion dollars worth of federal programs (trust me, we won't miss them) and thus eliminate the income tax. The country would immediately get a substantial raise and the economy would recover instantly.

Educate yourself an others on methods for honest money...but realize that is step 10 and we are on step 1.