When the European Bankers created the Federal Reserve in 1913, they did not want to leave even crumbs on the table. They wanted it all.
They Create money by having the US Treasury issue interest bearing (this interest is what constitutes the National Debt!) Treasury notes and bills which the Fed then "buys" with money they created out of thin air, which though patently counterfeit, is blessed by the US Congress as Legal Tender, meaning that it can be used to pay US income taxes. This borrowed money is what the US government runs on. It is unconstitutional as the Constitution says that only the US government can "coin money."
What most people do not know is that the Fed then anointed the very financial institutions the Bankers owned and controlled to be the "primary dealers" through which they buy and sell the Treasuries! This unnecessary expense and great profit to them is lumped into the amounts we have to pay.
Although some of the institutions have changed over the years, there are still Primary dealers who, on behalf of their Owners, collect brokerage commissions on every dollar put into circulation by the Fed/Treasury, adding insult to injury!
Not only do we, the people have to pay interest on every single dollar in circulation, (look at every bill in your wallet, what does it say above The United States of America?) we have to pay a brokerage fee when the money is loaned to us!
The income tax we pay is actually the interest income to the Federal Reserve on their loans!
Here is a current (March 2007) list of the Primary Dealers:
BNP Paribas Securities Corp.
Banc of America Securities LLC
Barclays Capital Inc.
Bear, Stearns & Co., Inc.
Cantor Fitzgerald Co.
Citigroup Global Markets Inc.
Countrywide Securities Corporation
Credit Suisse Securities (USA) LLC
Daiwa Securities America Inc.
Deutsche Bank Securities Inc.
Dresdner Kleinwort Wasserstein Securities LLC.
Goldman, Sachs Co.
Greenwich Capital Markets, Inc.
HSBC Securities (USA) Inc.
J. P. Morgan Securities Inc.
Lehman Brothers Inc.
Merrill Lynch Government Securities Inc.
Mizuho Securities USA Inc.
Morgan Stanley Co. Incorporated
Nomura Securities International, Inc.
UBS Securities LLC.
Incidentally, most of these institutions are stock holders in the Federal Reserve Bank. They are the real owners of the Fed!
You will notice the names of foreign firms on the list. The European Bankers, especially the Rothchilds, the real richest family in the world; own or control All of the Central Banks in the Western Hemisphere and probably of the World!
Of course Lehman is no longer there and perhaps also Bear Sterns but you can bet they will anoint another deserving firm.
The Financial System of this country is rotten to the core and will continue to enslave us, by controlling our money supply and cost, until we wake up and do something about it.
Please comment on these postings. Only through vigorous debate will the truth become known. Thank you and please follow me if you are not already to keep up to date with more info as it becomes available. http://BillYoungOnTwitter.com
Monday, March 23, 2009
Is the USA a Giant Ponzi Scheme?
The Fake Reserve Bank and its little sister, the US Treasury have issued, promised, loaned, guaranteed Trillions of dollars. The Fake is now openly "monetizing the debt" by buying Trillions of dollars of Treasury notes and bonds with money it creates out of thin air!
China recently, and before the latese monetization by the Fake said it was starting to worry about buying more Tresuries because the joint was being flooded with them. If China stops buying our debt or god forbid starts selling the more than $1 Trillion it already owns, the wheels will come off the US economy.
In fact, the only way China and anyone in fact that buys Treasuries can ever get paid is if new people buy More treasuries. Bernie Madoff should be released from prison immediately and made Chairman of the Fake Reserve Bank. At least then it would be obvious who we are dealing with!
Just as poor Bernie found out, a ponzi scheme is self limiting. At some point in time it is impossible to continue. At some point in time, it will be mathmatically impossible to find enough money in the world to continue the scheme.
I would like my friend Chris Martenson, a PhD who has done some remarkable research on the Fed and its control of our country, to explain why this is. Watch this video and then watch the other parts of this amazing free course. It will open your eyes and blow you away! http://tw2.us/GM
Please leave your comments, pro and con, I welcome them. I also ask you to follow me on Twitter as I delve deeper and deeper into the truth behind the European Banker cartel that actually owns and controls the USA and enslaves all of us!
http://BillYoungonTwitter.com Thank You!
China recently, and before the latese monetization by the Fake said it was starting to worry about buying more Tresuries because the joint was being flooded with them. If China stops buying our debt or god forbid starts selling the more than $1 Trillion it already owns, the wheels will come off the US economy.
In fact, the only way China and anyone in fact that buys Treasuries can ever get paid is if new people buy More treasuries. Bernie Madoff should be released from prison immediately and made Chairman of the Fake Reserve Bank. At least then it would be obvious who we are dealing with!
Just as poor Bernie found out, a ponzi scheme is self limiting. At some point in time it is impossible to continue. At some point in time, it will be mathmatically impossible to find enough money in the world to continue the scheme.
I would like my friend Chris Martenson, a PhD who has done some remarkable research on the Fed and its control of our country, to explain why this is. Watch this video and then watch the other parts of this amazing free course. It will open your eyes and blow you away! http://tw2.us/GM
Please leave your comments, pro and con, I welcome them. I also ask you to follow me on Twitter as I delve deeper and deeper into the truth behind the European Banker cartel that actually owns and controls the USA and enslaves all of us!
http://BillYoungonTwitter.com Thank You!
Sunday, March 22, 2009
Why Falling Gas Prices Are A Bad Thing!
You would think that falling prices, like for gasoline was a good thing.
However, remember the last time you were on a train stopped in the station next to another train or in a boat docked next to another docked boat and suddenly, one of the vehicles started moving? You were momentarily disoriented, because you could not figure out whether your train or boat was moving or the other one.
Prices are Not going down, the supply of money in the economy is going down!
This is called deflation and it is the one thing the Fed and other Central Banks fear even more than being found out that they are really private, profit making banks; well, almost.
Imagine if you lived on a little island with a small population and used a certain type of sea shells for money. The amount of shells stayed basically the same as the reef creature that produced them was pretty rare.
Lets say a gourd full of fresh water cost 7 shells, a new hut, 100 shells.
Now, a disease hit the reef killing all of the little money-shell creatures.
Since the supply of money was droped, the cost of everything had to fall. There was simply less money in the system.
Now the gourd of water cost only 3 shells, the new condo, er, hut only 50 shells and so on.
That is what is happening in this economy. The banks create money, then lend it into existence, you'll just have to take my word on this for now. I will give you a link to one of my resources at the end to explain it.
Now with the our banks unable to lend because they are not able to meet their capital reserve requirements, whose value has been devastated by the collapse in their value; money is draining from the economy, giving the impression that prices are falling. When All prices are falling, it is a deflation.
A prolonged climate of deflation is a central banker’s worst nightmare - it tends to stop consumers from spending as they anticipate prices falling even further.
Businesses cut prices even more to get people to buy, running up huge losses, closing, laying off workers, deeppening the problem the threat to the entire economy.
You see, about the only thing that grows in a deflation is debt. Falling wages and job losses, means that the debts are taking an ever growing percentage of the workers income, which is falling.
For example, your mortgage payment used to take 30% of your income, but now, since you had to switch jobs and make half as much money, the mortgage payment accounts for 60% of your income! Obviously this will lead to widespread defaults on mortgages, auto and credit card loans, further weakening the banks and driving the economy down further in a self-feeding death spiral.
Japan's Lost Decade was actually more than a decade, it is still lost, is a deflation that got out of hand. It is tough to undo.
If the Bush administration had taken steps to stop the housing bubble, we never would have had the collapse of housing and the concomitant collapse in mortgage backed securities. Secondly, the might have been able to mitigate its impact if they had stepped in and bought up the bad mortgages and refinanced them last summer.
Now the Obama administration, still in the thrall of the right wingers is still relying on half assed "voluntary" measures which will not fix housing and so the debacle continues.
Traditionally the cure for deflation is inflation!
Back on our little Island, an adventurous Islander sets out on a long journey to find a far off, fabled island whose reefs are teeming with those gorgeous little money-shell creatures!
After a harrowing voyage, whose details are beyond the scope of this little blog posting, he finds Nirvana!
He scoops up a canoe load of the precious shels and heads back home. With more money in the system, (inflation), prices seem to rise again, although we know of course it is the other train moving.
As long as there is not too much money added to the system (hear that Fed?) which would cause Hyperinflation, things will be OK.
It is finding that balance in the money supply that is the key.
What can you do to protect yourself and your family's finances in this chaos?
Get rid of all debt as soon as possible. Declare bankruptcy if you cannot pay. It is time to take matters in your own hands. Walk away from your home if it is seriously underwater, let the bank take it. You will not receive any substantial help from the government if you are not a Wall St bank.
Sell assets such as stocks and real estate as soon as possible, you can always buy them back much cheaper later if you follow this advice.
Buy as much gold and silver as you can. I recommend silver for reasons I spell out in other posts in this blog. Historically, gold rises in price to meet a falling Dow. In the First Great Depression in the 1930's gold and the Dow met at $36, in 1980, after huge stock crash of the 70's they met at $850. Now with the Dow crashing, (despite the recent Sucker's Rally) and gold probing the $1,000 oz mark it is likely that the two will meet again at say $3-$5,000. This is according to Peter Schiff, legendary investor and advisor.
See http://ChrisMartenson.com for a great explanation of how banks fool us into paying them interest on money that they create out of thin air! Ha, what a Hoot!
However, remember the last time you were on a train stopped in the station next to another train or in a boat docked next to another docked boat and suddenly, one of the vehicles started moving? You were momentarily disoriented, because you could not figure out whether your train or boat was moving or the other one.
Prices are Not going down, the supply of money in the economy is going down!
This is called deflation and it is the one thing the Fed and other Central Banks fear even more than being found out that they are really private, profit making banks; well, almost.
Imagine if you lived on a little island with a small population and used a certain type of sea shells for money. The amount of shells stayed basically the same as the reef creature that produced them was pretty rare.
Lets say a gourd full of fresh water cost 7 shells, a new hut, 100 shells.
Now, a disease hit the reef killing all of the little money-shell creatures.
Since the supply of money was droped, the cost of everything had to fall. There was simply less money in the system.
Now the gourd of water cost only 3 shells, the new condo, er, hut only 50 shells and so on.
That is what is happening in this economy. The banks create money, then lend it into existence, you'll just have to take my word on this for now. I will give you a link to one of my resources at the end to explain it.
Now with the our banks unable to lend because they are not able to meet their capital reserve requirements, whose value has been devastated by the collapse in their value; money is draining from the economy, giving the impression that prices are falling. When All prices are falling, it is a deflation.
A prolonged climate of deflation is a central banker’s worst nightmare - it tends to stop consumers from spending as they anticipate prices falling even further.
Businesses cut prices even more to get people to buy, running up huge losses, closing, laying off workers, deeppening the problem the threat to the entire economy.
You see, about the only thing that grows in a deflation is debt. Falling wages and job losses, means that the debts are taking an ever growing percentage of the workers income, which is falling.
For example, your mortgage payment used to take 30% of your income, but now, since you had to switch jobs and make half as much money, the mortgage payment accounts for 60% of your income! Obviously this will lead to widespread defaults on mortgages, auto and credit card loans, further weakening the banks and driving the economy down further in a self-feeding death spiral.
Japan's Lost Decade was actually more than a decade, it is still lost, is a deflation that got out of hand. It is tough to undo.
If the Bush administration had taken steps to stop the housing bubble, we never would have had the collapse of housing and the concomitant collapse in mortgage backed securities. Secondly, the might have been able to mitigate its impact if they had stepped in and bought up the bad mortgages and refinanced them last summer.
Now the Obama administration, still in the thrall of the right wingers is still relying on half assed "voluntary" measures which will not fix housing and so the debacle continues.
Traditionally the cure for deflation is inflation!
Back on our little Island, an adventurous Islander sets out on a long journey to find a far off, fabled island whose reefs are teeming with those gorgeous little money-shell creatures!
After a harrowing voyage, whose details are beyond the scope of this little blog posting, he finds Nirvana!
He scoops up a canoe load of the precious shels and heads back home. With more money in the system, (inflation), prices seem to rise again, although we know of course it is the other train moving.
As long as there is not too much money added to the system (hear that Fed?) which would cause Hyperinflation, things will be OK.
It is finding that balance in the money supply that is the key.
What can you do to protect yourself and your family's finances in this chaos?
Get rid of all debt as soon as possible. Declare bankruptcy if you cannot pay. It is time to take matters in your own hands. Walk away from your home if it is seriously underwater, let the bank take it. You will not receive any substantial help from the government if you are not a Wall St bank.
Sell assets such as stocks and real estate as soon as possible, you can always buy them back much cheaper later if you follow this advice.
Buy as much gold and silver as you can. I recommend silver for reasons I spell out in other posts in this blog. Historically, gold rises in price to meet a falling Dow. In the First Great Depression in the 1930's gold and the Dow met at $36, in 1980, after huge stock crash of the 70's they met at $850. Now with the Dow crashing, (despite the recent Sucker's Rally) and gold probing the $1,000 oz mark it is likely that the two will meet again at say $3-$5,000. This is according to Peter Schiff, legendary investor and advisor.
See http://ChrisMartenson.com for a great explanation of how banks fool us into paying them interest on money that they create out of thin air! Ha, what a Hoot!
Friday, March 20, 2009
The Fed Has Now Put Us in a Noose!
The Fed is now moving in for the Kill!
Pick up assets on the cheap, like the two AIG Subs while strangling us with staggering debt. While the Pin Heads are arguing with Obama over deficit spending, the only proven way out of a Deflation, the Fed Forces $2 Trillion more in debt onto the American People with their bogus "purchase" of Treasury bonds and Mortgage backed securities. You do realize that they "buy" the debt, the bonds that we have to repay with interest with imaginary money, that they just create out of thin air, don't you?
How would you like to be able to "buy" Billions of dollars worth of interest bearing bonds when you have a zero balance in your bank account? The interest on those bonds will be added to the National Debt and repaid by our grandchildren's grandchildren, if ever.
Don't you find it amazing that the government could owe money to itself? Or that one part of the government would pay Billions in commissions to buy bonds from another part of the government as the Treasury Dept does when it "sells" the treasury bonds to the Fed?
The answer of course is that the Federal Reserve Bank is as Federal as Federal Express (sorry if you heard that joke before!) I call it the Fake Reserve Bank. It is owned by a cabal of European Bankers, operating through their Wall St Puppets in this country. It is the Principan Dealers who earn the commission on the sales of the treasuries through the Feds Open Market Committee.
The European Bankers own or control most of the Central Banks around the world. They have engineered "Panics" as they were called in the 19th Century, recessions and Depressions for hundreds of years. Their aim is to cause massive financial failures so that they can come and scoop up the "failed" assets at give away prices.
This, however seems to be the Big One as Red Foxx used to say on Sanford and Sons, the TV series. It appears to be a coordinated, world wide Depression. I believe their aim this time is to bring on the New World Order under which they will directly control the world's money and therefore control everyone and everything in the world that relies on money.
Both the European Union with its Euro and the still hush hush North American Union, already signed into existance by George Bush, with its new currency, the Amero, were steps in that direction.
The World's Central Bank is already in existance, the Bank for International Settlements. We probably have a couple of years before the Depression peaks and the solution, the New World Order is put forth as the only alternative to save the world, this is their MO. This is how the Federal Reserve Bank was foisted on the US in 1913 in response to the Banker engineered Panic of 1907; which is unconstitutional on its face, as the issuance of money was granted solely to the US government by that document.
I have a couple of excellent resources for those skeptics who may think, as one put it, I wear tin foil hats and receive messages from outer space. If are not afraid of the truth, I advise you to look into thim matter: The Money Masters-How the European Bankers Gained Control of the United States of America http://tw0.us/bD And Chris Martenson, a PhD who has studied and updated a lot of the historical data on this topic http://www.chrismartenson.com/
Be sure to take his Crash Course.
Be informed. Spread the truth. Ultimately that is the only thing that can stop the destruction of our country!
Oh, and why don't you hear about this from politicians and the media? They are already owned and controlled by the bankers!
w
A
Pick up assets on the cheap, like the two AIG Subs while strangling us with staggering debt. While the Pin Heads are arguing with Obama over deficit spending, the only proven way out of a Deflation, the Fed Forces $2 Trillion more in debt onto the American People with their bogus "purchase" of Treasury bonds and Mortgage backed securities. You do realize that they "buy" the debt, the bonds that we have to repay with interest with imaginary money, that they just create out of thin air, don't you?
How would you like to be able to "buy" Billions of dollars worth of interest bearing bonds when you have a zero balance in your bank account? The interest on those bonds will be added to the National Debt and repaid by our grandchildren's grandchildren, if ever.
Don't you find it amazing that the government could owe money to itself? Or that one part of the government would pay Billions in commissions to buy bonds from another part of the government as the Treasury Dept does when it "sells" the treasury bonds to the Fed?
The answer of course is that the Federal Reserve Bank is as Federal as Federal Express (sorry if you heard that joke before!) I call it the Fake Reserve Bank. It is owned by a cabal of European Bankers, operating through their Wall St Puppets in this country. It is the Principan Dealers who earn the commission on the sales of the treasuries through the Feds Open Market Committee.
The European Bankers own or control most of the Central Banks around the world. They have engineered "Panics" as they were called in the 19th Century, recessions and Depressions for hundreds of years. Their aim is to cause massive financial failures so that they can come and scoop up the "failed" assets at give away prices.
This, however seems to be the Big One as Red Foxx used to say on Sanford and Sons, the TV series. It appears to be a coordinated, world wide Depression. I believe their aim this time is to bring on the New World Order under which they will directly control the world's money and therefore control everyone and everything in the world that relies on money.
Both the European Union with its Euro and the still hush hush North American Union, already signed into existance by George Bush, with its new currency, the Amero, were steps in that direction.
The World's Central Bank is already in existance, the Bank for International Settlements. We probably have a couple of years before the Depression peaks and the solution, the New World Order is put forth as the only alternative to save the world, this is their MO. This is how the Federal Reserve Bank was foisted on the US in 1913 in response to the Banker engineered Panic of 1907; which is unconstitutional on its face, as the issuance of money was granted solely to the US government by that document.
I have a couple of excellent resources for those skeptics who may think, as one put it, I wear tin foil hats and receive messages from outer space. If are not afraid of the truth, I advise you to look into thim matter: The Money Masters-How the European Bankers Gained Control of the United States of America http://tw0.us/bD And Chris Martenson, a PhD who has studied and updated a lot of the historical data on this topic http://www.chrismartenson.com/
Be sure to take his Crash Course.
Be informed. Spread the truth. Ultimately that is the only thing that can stop the destruction of our country!
Oh, and why don't you hear about this from politicians and the media? They are already owned and controlled by the bankers!
w
A
Sunday, March 15, 2009
A Shot Across Our Bow, From Our New Masters, the Chinese!
March 12, 2009
The Debtor, is the Slave of the Creditor!
The Debtor, is the Slave of the Creditor!
”We have lent a huge amount of money to the United States,” (70% of its total $2 Trillion in foreign investments!) Chinese Premier Wen told the annual press conference that marks the close of the National People‘s Congress, China‘s parliament.
”Of course we are concerned about the safety of our assets. To be honest, I am a little bit worried. I request the US to maintain its good credit, to honour its promises and to guarantee the safety of China‘s assets.”
Darn those diplomats, have you ever seen a threat couched in such polite terms? "I request the US maintain its good credit...and guarntee the safety of China's assets!" (Or else?)
All a part of the 8 year legacy of George Bush, recently voted the 36th worst President in American History, who borrowed more money, mostly from China, than all American Presidents before him. His administration some how took an inherited budget surplus and left us with an economic crisis greater than all others in the history of the world and that will probably degenerate into the 2nd Great Depression!
Making us the US the biggest debtor in the history of the world and the debt slave of our new, Chinese Masters, is not what I call "keeping us safe" In fact it is just the opposite, George, look it up in the Thesaurus, or have someone look it up for you!
Bonuses to be Paid to Bankrupt AIG!
Despite Fed Chairman Bernanke's lie before Congress last week, AIG is a zombie institution. It is only alive because of the life support, 4, Huge infusions of Billions in taxpayer funds. It cannot exist on its own without government help.
This is the firm that single handedly issued enough fraudulent insurance on securities across the world that the world's financial markets would collapse if the insurance claims were not paid. We, the taxpayers are now making good on AIG's fraud!
Now, are you ready for this? It turns out that AIG is going to give Bonuses, over $161 Billion of our money to the top executives of the AIG unit that wrote the fraudulent securities!
And some Pea Brains are complaining about the possibility of some unworthy home owners getting relief under the Presidents Home Owner Bailout! Open your Goddamn Eyes!
The rules of the game are now Startlingly clear. They are taking literally the Wall St saying that the Banks are too big to fail and the taxpayer is too little to Bail!
Well, ladies and gentlemen, I come from the mean streets of Bedford Stuyvesant in Brooklyn, NY.
There we always treated each other equally. If someone came after you with a knife, you defended yourself with a knife. If a gun, you used a gun and so on.
The banks, unfettered by the effete Federal Government; and I am being charitable, are trying, with boldness, arrogance and unfettered greed to take every single penny they can from us. That in my view constitutes an attack on me and my family!
We must defend ourselves, equity and justice demands that.
What I am recommending here and to all of my clients is that they should do everything in their power to put themselves and the welfare of their families first.
We are currently in a Deflation, heading into a the 2nd Great Depression, I believe.
In a Deflation, which few of the Experts seem to be aware we are in, and god help us the know nothings among the public and Congress that are calling for a Reduction in spending which is exactly opposite to what needs to be done to break out of a deflation; the only thing going up is the value of our debts.
As the money drains from the economy, strangling demand, the very definition of deflation; asset prices fall across the board as they are now as do dividends and wages. The only thing that does not go down is the debt.
Look at it this way. If you were making $50,000 year and you owed $10,000, that is 20% of your income. If your income is cut, say you have to take a new job at a greatly reduced salary, the amount of your debt stays the same. But now it has grown to represent 40% of your income therefore sucking up the much lager percentage of your income.
To save yourself and your family, get out of as much debt as possible before it depletes all the remaining resources you have; your retirement funds, your children's educational funds, the money you are saving for a down payment on a house, etc.
If that means stop paying and defaulting on bank debts, credit cards, etc. then do it! Go bankrupt if at all possible to wipe the debts out. Fuck the banks!
I know, I know, what about the integrity of this approach? Remember, fight knives with knives, guns with guns? You are fighting against godless criminals who are out to rob you!
What about your credit score you ask? Well, you can either be the one with the highest credit score among the other "responsible citizens" living under the viaduct, or you can be among the few who come out on top on the other side of the depression by investing their cash in precious metals, gold and silver, the only form of money that goes up in chaotic financial times.
This will be the only way to survive the inevitable devaluation of the dollar which will be required to get us out of this Depression, just like it helped get us out of the last; but this time, instead of gold going from $20oz to $35oz, you will probably see it go from $1,000oz to $10,000oz!
I believe silver will be an even better investment for many reasons. If you would like to read more, go to http://tw1.us/BC
In any event, that gold or silver will either be in your pocket or the bank's, the choice is yours!
You are invited to read this entire blog to get a better understanding of the very real dangers that what we, the citizens are facing from the banks and their compliant handmaidens the politicians.
The bonuses will be paid to executives at A.I.G.’s financial products division, the unit that wrote trillions of dollars’ worth of credit-default swaps that protected investors from defaults on bonds backed in many cases by subprime mortgages.
Thursday, March 12, 2009
More Obfuscation?
Banks complain that fair value rules (aka Mark to Market) assess their security holdings at “liquidation value” rather than the value they would have in a going concern that can wait to see if they repay in full. But what else than “liquidation value” could the government require if it is going to continue to invest in, stabilize or otherwise resolve the holders of these securities?
In short, banks want to get the "Full Market Value" in other words, a value close to the purcahse value these toxic were bought at as opposed to the current value, Post Bubble that is as low as 5% on some types of securities.
Wouldn't it be nice if you could get full, pre-bubble value for your 401(K), your home or other deflated assets?
Call or write your Congressman, if you can pull him or her away from the lovely feeding trough Wall st has set up, long enough to listen and tell him or her that you will not stand for such a travesty and if they cave in to Wall St you will get your revenge at the polls!
In short, banks want to get the "Full Market Value" in other words, a value close to the purcahse value these toxic were bought at as opposed to the current value, Post Bubble that is as low as 5% on some types of securities.
Wouldn't it be nice if you could get full, pre-bubble value for your 401(K), your home or other deflated assets?
Call or write your Congressman, if you can pull him or her away from the lovely feeding trough Wall st has set up, long enough to listen and tell him or her that you will not stand for such a travesty and if they cave in to Wall St you will get your revenge at the polls!
Wednesday, March 4, 2009
Ugghh! It is Getting Harder and Harder to Report This Stuff!
I mentioned in an earlier Post that this year is the end of the Government Bailouts! You know why? Because it is coming down to either the Banks, GE and AIG go under or the Federal Government goes under! It is coming to that.
The Big Banks, those that are too big to fail hold about $200 Trillion in Toxic Derivatives, CMO's CDO's and CDS's. Last time I looked, they were estimated to be worth anywhere from 50% down to 5% of the value noted on the bank's balance sheets. There is simply not enough money in the world to keep these cash sucking vampire zombies and their blood thirsty management afloat, period.
Look at this. I fully expect the employment numbers to be released on Friday to be north of 700,000, maybe not when they are released, but perhaps when they are "revised" next month when even worse figures will make them look not so bad.
It is official, the stock market has now lost 50% of its value since 10 '07 meaning that 10-12 years worth of accumulated wealth, over 5 Trillions in asset values have been destroyed.
Where will the Dow end up? I predicted in Oct Nov when it was about 10,000 that it would hit 5000 in the next 6 months, and it looks right on target. After that? Below 3,000 is likely. Why?
Corporate profits, the driver of stock prices are down 61% that is the biggest drop in 141 years and they are going lower. Assisting will be a default rate of at least 10% in corporate bonds which will ripple through the bank's asset valuations.
They say that 1 in 5 mortgaged homes is underwater, the owners owe more than the property is worth with prices down about 30% since the peak and since there was only a 25% equity cushion to begin with... With prices slated to go down another 15% this year, that will mean between 25 and 30% of mortgaged homes will be underwater. What was that sound? Jingle Mail, the sound of keys being mailed to the banks! They won't have to bother to foreclose.
10% of mortgages are delinquent, about 4x normal.
Let's see, total consumer debt is is closing in on 350% of GDP, and that GDP is an inflated number! We'll see a record level of credit card defaults as the debt bloated consumers flatulate their way back to normal debt and spending levels.
Where does that leave you, and me? Relying on the Internet to generate cash flow. This is the only out for the Middle Class to become the Internet Class. High paying jobs, like Master's degrees will be nostalgic relics of a time long ago before this century is out.
The only train out of here? Not the feeble pokes the Obama team is making at the problems, with Rush and the Kno Nothings cowering them into feebility.
Precious metals will be the only antidote to the Ultimate Solution to the problem, probably though in Obama's first term, will be precious metals as they have always been in times of chaos and hyper inflation.
Stay tuned as I fleshout these options.
The Big Banks, those that are too big to fail hold about $200 Trillion in Toxic Derivatives, CMO's CDO's and CDS's. Last time I looked, they were estimated to be worth anywhere from 50% down to 5% of the value noted on the bank's balance sheets. There is simply not enough money in the world to keep these cash sucking vampire zombies and their blood thirsty management afloat, period.
Look at this. I fully expect the employment numbers to be released on Friday to be north of 700,000, maybe not when they are released, but perhaps when they are "revised" next month when even worse figures will make them look not so bad.
It is official, the stock market has now lost 50% of its value since 10 '07 meaning that 10-12 years worth of accumulated wealth, over 5 Trillions in asset values have been destroyed.
Where will the Dow end up? I predicted in Oct Nov when it was about 10,000 that it would hit 5000 in the next 6 months, and it looks right on target. After that? Below 3,000 is likely. Why?
Corporate profits, the driver of stock prices are down 61% that is the biggest drop in 141 years and they are going lower. Assisting will be a default rate of at least 10% in corporate bonds which will ripple through the bank's asset valuations.
They say that 1 in 5 mortgaged homes is underwater, the owners owe more than the property is worth with prices down about 30% since the peak and since there was only a 25% equity cushion to begin with... With prices slated to go down another 15% this year, that will mean between 25 and 30% of mortgaged homes will be underwater. What was that sound? Jingle Mail, the sound of keys being mailed to the banks! They won't have to bother to foreclose.
10% of mortgages are delinquent, about 4x normal.
Let's see, total consumer debt is is closing in on 350% of GDP, and that GDP is an inflated number! We'll see a record level of credit card defaults as the debt bloated consumers flatulate their way back to normal debt and spending levels.
Where does that leave you, and me? Relying on the Internet to generate cash flow. This is the only out for the Middle Class to become the Internet Class. High paying jobs, like Master's degrees will be nostalgic relics of a time long ago before this century is out.
The only train out of here? Not the feeble pokes the Obama team is making at the problems, with Rush and the Kno Nothings cowering them into feebility.
Precious metals will be the only antidote to the Ultimate Solution to the problem, probably though in Obama's first term, will be precious metals as they have always been in times of chaos and hyper inflation.
Stay tuned as I fleshout these options.
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