Banks Bailed Out By American Taxpayers

(WashingtonsBlog) – Americans bailed out the giant banks. So how do the too big to fails re-pay the American taxpayers?

By betting that American states and cities will fail.

As the Wall Street Journal notes:

As U.S. cities and towns wrestle with financial problems, investors are finding a new way to profit on their misery: by buying derivatives that essentially bet municipalities will default.

These so-called credit default swaps are basically insurance contracts that have long been available to protect holders of corporate bonds against default. They became available a few years ago for municipal debt, allowing investors to short sell—or bet against—countless cities, towns and bridges, and more than a dozen states, including California, Michigan and New York.

The derivatives are still thinly traded, but their existence has the potential to make investors skittish

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Video: Twelve New England towns demand 9/11 reinvestigation

(RussiaToday) – A new movement to reinvestigate the 9/11 attacks is gaining pace in the US. With major public support, 12 towns are set to decide whether to ask the federal government for a new independent probe. View Video Here

MSM: Banks Paid $32.6 Billion in Bonuses Amid U.S. Bailout

(Bloomberg) – Citigroup Inc., Merrill Lynch & Co. and seven other U.S. banks paid $32.6 billion in bonuses in 2008 while receiving $175 billion in taxpayer funds, according to a report by New York Attorney General Andrew Cuomo. Continue reading

Israeli minister changes Arab names of Palestinian cities

Israeli minister of transportation and road safety Yisrael Katz has ordered a change in all Arab names of Palestinian towns and cities that appear on signs on the streets into Hebrew names. Continue reading