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Battle for the City of London Tips in Favor of the Queen; Poland to the Rescue
Reposted with permission from EconomicPolicyJournal.com
A short time ago, the financial relevance of the UK seemed in jeopardy, but two events announced only yesterday suggest the Square Mile will remain a major player in international trading, at least for the time being. First, the board of LCH.Clearnet, the country's largest counterparty clearinghouse, announced it had approved a buyout offer from the London Stock Exchange, edging out a materially lower offer from Markit, with a shareholder vote to determine the final outcome. Jeremy Grant explained a salient point earlier in the month in the Financial Times (emphasis ours):
But what about SwapClear, the over-the-counter (OTC) interest rate swaps clearing service under LCH.Clearnet?While LCH.Clearnet books OTC derivatives revenues on its accounts from the SwapClear service, this does not tell the full story on where SwapClear profits go.Some [profits] go to the OTC derivatives dealer-banks that form a curious governance mechanism for SwapClear, known as OTCDerivNet.The amount of profit that goes to these banks is dictated by a sliding scale of thresholds set out in an arrangement between LCH.Clearnet and the banks, revised last year.It is a glass bead game that few even in the industry understand, but the bottom line is that any LSE deal with LCH.Clearnet would probably have to allow SwapClear to be ring-fenced somehow to allow the banks to carry on. I can’t see the SwapClear banks represented on the LCH.Clearnet board being enthusiastic, either, about exchange control of LCH.Clearnet(which is what you’d get if the LSE wants 51 per cent).This is one hurdle that Markit, the LSE’s rival bidder, does not face. Perhaps that is why the LSE has offered a knock-out €21 a share price for LCH.Clearnet, above Markit’s €15 offered for 100 per cent of LCH.Clearnet.
Derivatives clearinghouses such as LCH.Clearnet Group Ltd. may face less pressure to move parts of their business from the U.K. to the euro area as European Union negotiators seek to resolve a clash between Britain and the European Central Bank.Poland, which holds the EU’s rotating presidency, proposed changing a draft law on over-the-counter derivatives so that “no member state or a group of member states should be discriminated, directly or indirectly, as a venue for clearing services,” according to the document posted on an EU website. The U.K. said “there are a number of issues” requiring discussion before Britain can sign off on the law.The new wording was added to negotiating texts after the U.K. said on Sept. 15 that it would sue the ECB over its plans to prevent some euro-denominated securities from being cleared outside the 17 countries that share the currency. The text was added to ease U.K concerns that the ECB may push for clearinghouses to relocate, according to an EU official familiar with the talks who couldn’t be identified because negotiations on the measures are private.
‘Highly Unclear’“It is highly unclear whether the ECB has the power to make policy like it did in the July paper,” Damian Carolan, a lawyer at Allen & Overy LLP, said in a phone interview from London. “People were quite surprised how far it felt its jurisdiction to extend.”The Polish proposal would put the U.K. “in a far stronger position in saying that the ECB has gone outside its remit,” Carolan said. “I don’t think it brings you legal certainty but it brings this policy decision clearly into the legal framework.”The U.K. lawsuit hasn’t been officially registered with the EU Court of Justice in Luxembourg.Clearinghouses such as LCH.Clearnet and Deutsche Boerse AG’s Eurex Clearing operate as central counterparties for every buy and sell order executed by their members, who post collateral, reducing the threat from a trader’s default.The derivatives rules are scheduled to be discussed at a meeting of EU diplomats on Sept. 29, according to the EU official. Draft EU laws need approval from the European Parliament and national governments before they can take effect.
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The bankers sold the UK out decades ago. Just let it die.
In the recent years Poland has become the most important financial centre for the region. Just look how many Ukrainian, Lithuanian, Czech etc. companies are lister here in Warsaw. The government is almost totally loyal to Brussels, but even they feel incomfortable with it. BJ? Maybe, but without swallowing!
GDP all of Poland? 600bn
GDP all of London? 600bn
nuff said
Financial centre- sounds way too positive... more like the event horizon for a comming implosion.
700 thousand or so mortgages in the swiss frank (leasing and consumer loans in yens... by the millions), govenment subsidized housing (the "rodzina na swoim" program- sounds Fanie-miliar?), total realestate bubble- upheld by the post-commie mafia in the banks and development firms...
The gubbernment swelling like cancer with legions of coffee slurping beaurau clercs... Spending money like drunken sailors in a whorehouse...
Local municipalities taking every penny the EU gives for bridges to nowhere and other bullshit projects, to then load up on debt (because the EU only provides a percentage- ussualy around 40%)
I wont even touch upon the social healthcare that runs out of money for treatmen around march, almoast every year, and the bulshit education system...
And besides all of the above, the head of this fish, for the last 60 years has been the most rotten, degenerate, back stabbing, group of con artists to walk this world. They ought to be drowned in molten led but this fucking idiot nation will always vote for the biggest scumbags... Their (the local cleptocracys) hobby is cooking the books and pulling the dumbfuck populace into scam after scam. It is ceirtain they have skelletons in the closet, and shitpiles under the rug... Mark my words- something will come out of nowhere and blow this country to pieces.
"The biggest harm you can inflict upon the poles is to let them govern themselves"
- Otto von Bismarck
England should let the Poles come in and solve their Islamo problem in England. The Poles are quite good at that - see The Battle of Vienna.
The British are the best at English. Just thought I'd mention that. Coming from an American. Oh and I love their metaphors. Or similies. Or something. My own ignorance is like an anchor and my entire country is like a child.
najglupsza.
fixed it for you.
This looks very significant:
"What concessions or favors he might have wrung from the UK are unknown, but we would not be surprised to see a British role in the EFSF cum pan-European bond"
The UK was already happy to bail out Ireland unilaterally.
UK Exports £bn (2008)
from http://www.guardian.co.uk/news/datablog/2010/feb/24/uk-trade-exports-imports#data
1 UNITED STATES 35.0
2 GERMANY 28.5
3 NETHERLANDS 19.4
4 FRANCE 18.7
5 IRISH REPUBLIC 18.6
That's why the UK bailed them out. The UK sells half as much stuff to the RoI (pop. 4.5 million) as to the USA (pop. 307 million)
What does Ireland export besides Guinness and crappy U2 records.
useful to note it shows CLEARLY that UKs most important trading partner is USA not Europe
Let the fuckers rot.
They had to.
Their banks were on the hook for about €10bn.
Doesn't mean that a Conservative led coalition would play any significant role in a "Pan European Bond".
It ain't gonna happen.
Ireland is a different matter. More chance of Ireland adopting a Sterling backed Pound than the UK adopting pan European bonds.
Polska jest najlepsza!
http://www.youtube.com/watch?v=4w-A54h_GQ8
From the mystery religions of ancient Egypt to the Zionist role in 9/11, "Ring of Power -- Empire of the City -- 4,000 Years of Suppressed History" puzzles together the missing pieces of our human story. Find out how an Illuminati network of international bankers and European royalty have turned the world's nations and citizens into their debt slaves.
Part 1: 9/11 The Untold Story
Half the world believes Muslims were responsible for 9/11. The other half believes it was Israeli Zionists. Who is right?
Part 2: Hidden Empire
The world's most powerful empire is not the USA. It is an empire that insiders call "Empire Of The City"
Part 3: Trail Of The Pharaohs
Did the Biblical Abraham really live to be 175? Did Moses really turn staffs into snakes and rivers into blood?
Part 4: God And The Queen
Genealogy charts show that British and French royalty are descendants of Mary Magdalene and Jesus. Is it true?
Part 5: All The Queen's Men
How rich and powerful is Queen Elizabeth II?
Part6: The Godfathers
They scammed control of the Bank of England and the US Federal Reserve, then they found God-Gold, Oil and Drugs.
Part 7: Cheating At Monopoly
How many people would play a game of monopoly if the banker was cheating and fixing the rules? Over 6 billion.
Part 8: Asses Of Evil
The New World Order MAFIA are invisible rulers who make puppets out of politicians and heroes out of villains.
Part 9: King Of Hearts
The ultimate goal of "insiders" is to disarm the world and create one world empire under one world ruler. Who is he?
Part 10: Solutions
Protesting and writing letters to deaf politicians doesn't work. What does work?
"Genealogy charts show that British and French royalty are descendants of Mary Magdalene and Jesus. Is it true?"
Just when we were having a coherent, interesting conversation.
In metals news, Tulving stopped posting spot.
Here's Tulving's explanation. "Call for Prices As Most Services Prices Are Not Updating Correctly, Currently."
So, is somebody monkeying with the PM quote mechanisms, or are they breaking, or is Tulving giving up on the paper spot price and setting his own (which I fully expect to happen eventually as the paper game dies)?
Jesus and Mary Magdalene were Polish.
OT: Here from the "Fringe" of "fringe blog sites" I would point out that currently there is a geo-magnetic storm thanks to a recent coronal mass ejection (sun event) that is messing with my computers, my network(s) and the internet.
So if your equipment is getting squirelly, don't blame the IT folks. It is "cosmic man".
Check out sunspot activity on 1302. Its given off two x class flares and CME's in the last week.
http://www.spaceweather.com/
wow, look at those auroras, fantastico!
Wow, that's a huge spot. Hope it stays quiet as it crosses past us.
The seemingly unlikely bridge between the UK and Poland
Uh hello? September 3, 1939?
And the fact that, according to some estimates, somewhere in the region of a million Poles have moved to the UK since EU enlargement in 2004.
better than a million nigerians
Yes, those stupid effin Poles expected the Brit Navy to sail on dry land. "On to Berlin!" Not this again, please....
Those Poles back then wern't all that stupid, maybe a bit too naive and hopefull for brits acting upon treaties they signed... how silly... But the fact is- any offensive action by the allies on the western border of Germany in '39 would end in a parade in Berlin two months after the first shots would have been fired. Hitler wasn't ready for war on two fronts... But the french where too busy making white flags, and the british still had a mouth full of Hitlers cum after sucking his dick for years...
Today... Now thats what I would say are stupid fucking poles... With the euro crumbling the party line is still jumping into it head first... every scam thrown at the sheople lands the criminal class milions... and they are still going to elect the same con artists that have been fucking them for the last 20 years.
Erick, any news on the plane crash or has that been completely swept under the rug?