Gecopol update - Oct 15th, 2008

The Syndrum Files Gecopol update
Oct 15th, 2008


I haven't written in a while so today's rant is a bit long and a bit emotional...
It is also focused mainly on the US.

Question of the day: Are the financial bailouts the right way to go?

First the numbers: According to many economists, the recession will last 18 to 24 months, driving unemployment to 9 percent, and already depressed home prices will fall another 15 percent. Economist Nouriel Roubini believes the U.S. government will need to double its purchase of bank stakes and force lenders to eliminate dividends to save them from bankruptcy.Treasury Secretary Henry Paulson said yesterday he plans to use $250 billion of taxpayer funds to purchase equity in thousands of financial firms to halt a credit freeze that threatened to drive companies into bankruptcy and eliminate jobs.

The U.S. unemployment rate stood at a five-year high of 6.1 percent last month. Home prices in 20 U.S. metropolitan areas fell 16 percent in July from a year earlier, the most since records began in 2001, according to the S&P/Case-Shiller home- price index. Bank seizures may push home prices down further, scaring away buyers in coming months, after U.S. foreclosures rose at the fastest rate in almost three decades in the second quarter, according to the Mortgage Bankers Association.

For those of you who have read my earlier posts, know that I have been against a bailout of the banking sector. Banks that knowingly put their institution at risk through predatory lending, over-leveraging, repackaging of risky assets as Grade A safe investments, must not be rewarded for their actions. Their greed induced monetary philosophy is what propelled our financial system to this point of collapse.

When the Tech bubble burst in 2001, the stock market needed another boost to keep its record levels of valuation. Too many bigwigs would be losing too much monopoly money if something was not done. It could not be allowed to crash. The Fed, led by Alan Greenspan, lowered interest rates to the point where people nearly felt stupid if they didn't get into debt. Mortgages were force fed, propelling further loans and an ever increasing level of liabilities. The bubble formed again, a much larger bubble, but this time in the housing market. The forced infusion of cash so we can consume more and more without consequence has now found its day of reckoning.

And what do we do again?

We throw more money at the banks and its executives. As if we have not had enough of this irresponsible fiscal behavior. They will will certainly blow new bubbles, which means incredible volatility in prices (ie. the incredible stock market swings this week alone) and exploding monetary inflation around the world. And finally we can wind up with a situation where the common man cannot afford a loaf of bread, people are rioting in the streets, and martial law is imposed upon the land. Complete and utter stupidity.

The system is attempting to perpetuate itself.

The greed of the bankers is feeding off the greed of the people.
I'm talking about Big Macs, SUVs, McMansions.
The average person in India or China eats less, needs less energy. They don't consume as much and their consumption is more renewable, cotton, food, against oil, metals.
Homo suburbianus is heading toward extinction

Savers are gonna be robbed blindly in coming years through inflation or hyperinflation. Sooner or later governments will default on their debt (many are now guaranteeing everything) and the result would be even more money printing. The cost will be billed to the middle class and working people in the form of more inflation, higher taxes, and lower benefits.

Small banks in the US who are not even in danger of defaults, are actualy being forced to take on money from the Federal government! This is unbelievable! Banks who have been responsible money brokers are in essence being punished, while others who are near collapse due to their predatory actions, are being rewarded. Other large investment banks are being systematically taken over by the federal government. Is it any surprise that our Treasury Secretary Henry Paulson was the CEO of Goldman Sachs, one of the largest recipients of the bailout money?

"Fascism should more properly be called corporatism because it is the merger of state and corporate power." (attributed to Mussolini)

Why are we undergoing an enormous correction now? Because Greenspan wouldn't allow a more serious recession in 2001-2002. At least ... many people believe that, and I'm one of them.
And now that the Fed is trying to pump the credit system again ... it just puts off the final day of reckoning a little longer. But it doesn't eliminate it.The current ones put the stage for new imbalances and unattended consequences without solving the underlying issues. This will only lead to hyperinflation, creeping social unrest, and the rise of totalitarian regimes. To me, it seems just a bit suspicious that they want to put out the fire by pouring more gasoline on it... (but I'll leave the conspiracy side of this for another post)

To sum it up: It's necessary to inject some money in the system to minimize the damage as much as possible for your average citizen. But this needs to be done with a lot more regulation to avoid the path of moral hazard we are one. What we are experiencing is nothing less than a real painful reordering of the international monetary system and no amount of printed money can stop it. Lets let the system crash, pull out the weeds and start anew!

Upcoming posts:

- What will happen in good ol' Hungary?

- Where is the value of the dollar, euro and other currencies heading? This ones a bit difficult to get a clear picture on, but with everyone wanting to know where to keep their money, its worth doing a bit of research.

and a little something positive...

All we hear nowadays is doom and gloom, world-wide financial disaster, record breaking stock market crashes, bailouts, recession, depression, CRISIS! CRISIS! CRISIS!

And it will be bad. It will be bad for years to come. But we do have some cause for hope.

I went on a little hunt for some good news. Good news that doesn't fudge over the facts and distort reality. That's nearly mission impossible these days, but I found this below...

Charles Hugh Smith

http://www.oftwominds.com/blog.html

1. We can protect ourselves against declines in paper assets and currencies with hedges.

Frequent contributor Harun I. has repeatedly suggested in these pages that the prudent household/investor attempt to hedge the risks of huge swings of valuation via futures or options contracts. Harun has also provided many charts which depict the relative strength of gold as compared to the stock market. Unsurprisingly, stocks have lost considerable value compared to gold. Thus gold can be viewed as a hedge against paper currencies and other non-tangible assets. Oil (or other tangibles) can also be viewed as a hedge against devaluations in currencies and paper assets.

2. One-third of all U.S. houses are owned free and clear. While the media has now glommed onto the millions of insanely risky mortgages which are in default or otherwise distressed (risks skeptics had long pointed to as highly dangerous), let's not lose sight of the fact that many Americans are frugal and have either low mortgages or no mortgages.

Many of you avoided the housing bubble hype and remained renters or sold in 2005 or 2006 and escaped the carnage. Many like Alberto R. and others have lived frugally and are waiting patiently for housing to bottom, at which point they will be buyers as long-term investors.

In one sense, what is happening is not the bankruptcy of America but the transfer of assets from the spendthrift imprudent to the frugal prudent. Is this a bad thing? I don't think a "good/bad" statement has any meaning here; it is simply a market economy at work. Excesses get unwound, cash is always king, prudent investors tend to be rewarded and gamblers tend to lose all their money.

3. Not everyone speculated in housing or the stock market. Some $6 trillion has been squirreled away in money markets for years. Trillions more are in 401K and IRAs, and though much has been lost in those accounts in this crash, much is in bond funds and precious metals funds.

4. The U.S. has the ability to print trillions of dollars which are still accepted in exchange for goods and services. Now I have never said this is a good thing, as eventually this will drive the value of the dollar to near-zero, but nonetheless in the short-term possessing the global reserve currency which is still used for 2/3 of all global transactions is a powerful advantage. If the U.S. decides to print a few trillion dollars and do an FDIC-type workout of bankrupt/insolvent lenders, it can do so. Will it have negative consequences? Yes, but unwinding excesses leaves us few good choices. Being able to print a couple trillion dollars without sparking immediate hyper-inflation is still better than not having that option. (Note I was adamantly against Paulson's bogus TARP bailout, but would support financial triage along the lines of FDIC workouts.)

5. The vast majority of Americans have running hot water and electricity. These are very good things. As anyone will tell you, having money is more fun than being broke, but if you can cobble together shelter, running water and some grub (beans and rice are still cheap), then life's happinesses are not quite as dependent on constant consumption as marketers would have us believe.

As correspondent Riley T. recently noted:
"Remember getting rich has nothing to do with being happy. I worked all my career with the rich and for the most part they are not very happy and their children are very miserable and seem hopeless."

6. At least until the Federal government itself becomes insolvent, millions of people are getting Social Security and military pension checks. As my father recently noted (he's 82 years old), in the Great Depression nobody received Social Security; now it acts a a safety net not just for individuals but for the economy as a whole.

I would add that the standing U.S. Armed Forces were relatively small in the pre-WW2 eras (On 30 June 1939 the Regular Army numbered 187,893 men, including 22,387 in the Army Air Corps. On the same date the National Guard totaled 199,491 men. Source: military history online.)

Millions of veterans receive medical benefits via the VA and millions more (and their spouses) receive disability and pension checks. All of these provide a cushion of spending for the economy.

7. The U.S. still pumps 4.5 million barrels of oil per day. While we're still consuming about 20 MBD, nonetheless it is entirely possible to create an economy which consumes only 4.5 million barrels a day, should we wish to do so and should we collectively make this transition a priority. Will the energy consumption per individual remain as high as it is now? No. Nonetheless a very nice lifestyle with shelter and running water and transportation is possible in a largely solar-powered economy. Will grapes be flown in From Chile? No. Changes will have to be made. But having 4.5 MBD is a lot better than having zero.

8. There are 15 million vacant dwellings in the U.S.. There seems to be plenty of shelter available once the price drops down to market rates.

9. This is still the land of opportunity. Yes, we're all being ripped off by The Powers That Be, our politics and media are corrupt, venal and clueless, and blah blah blah, fill in the blanks with all the other ills we suffer. I do not say this cavalierly but merely in recognition that rights and citizenship are relative concepts with implicit tradeoffs. I like France and China and Japan and Italy and Thailand a lot, but there are tradeoffs to living in each nation. There is no Paradise on this planet, only various sets of tradeoffs.

Immigrants (you know, those people who fight their way through endless paperwork to get green cards and citizenship) still recognize this as a land where you can better yourself via working hard and prudent saving/investing. Unfortunately many native-borns seem to have forgotten this in their rush to a entitlement-based personal ideology.

10. We have the Internet. Want to learn how to lower your blood pressure? It's online (caveat emptor, of course--buyer beware). If you want to learn more about living better, cheaper, smarter, we have astonishing resources available online. That is a stupendous advantage our ancestors did not have.

NO MORE REALITY, DAMNIT!!!

Are you sick of the jolt of reality you get everyday by turning on the tube and hearing how you might not have a job waiting for you the next day... when all you wanna do is watch your favorite TV show?

Well, no need to listen to that garbage any longer!

Stick your head in the virtual sand of internet TV and avoid any chance you might have of your remote running out of batteries when flipping past your local news channel.

Internet TV Universal Remote -- The foolproof way to avoid reality!

http://gizmodo.com/5061851/internet-tv-universal-remote-quick-links-to-all-free-shows

The Syndrum Files Gecopol update - Sep 29th, 2008

Just some headlines from today:

-- The largest government intervention since the Great Depression, the $700 billion bailout bill, was voted down in congress. 205 Yes - 228 No -- Republicans overwhelmingly voted no, while most Democrats voted yes. This is unprecedented. The treasury secretary, the president, the speaker, and the chairman of the senate finance committee all supported the bill. This is a popular uprising and the awakening of people who are finally realizing what is happening.

-- The Fed takes unprecedented action to increase dollar holdings worldwide in order to prevent a full collapse of the currency

-- Gold rises to $915 an ounce. Gold coin sales halted after retail rush

-- S&P plunges 7.2%, most since Black Monday Oct. 26, 1987

The No vote today is a victory for capitalism and democracy in America. This alone should give reason for hope. Let the bankers reap what they sow. Let the them suffer for their greed and ignorance.

If the bill would have succeeded, they would be walking away with our money. $700,000,000,000 for 138 million US tax payers, is over $5,000/person.
The bailout wouldn't have solved the structural flaws. It wouldn't have cured the irredeemable ilk that glue the present financial system in place.

It would have only delayed the inevitable.

Total systemic financial meltdown.

"It is no surprise as financial institutions in the US and around advanced economies are going bust: in the US the latest victims were WaMu (the largest US S&L) and today Wachovia (the sixth largest US bank); in the UK after Northern Rock and the acquisition of HBOS by Lloyds TSB you now have the bust and rescue of B&B; in Belgium you had Fortis going bust and being rescued over the weekend; in German HRE, a major financial institution is also near bust and in need of a government rescue. So this is not just a US financial crisis; it is a global financial crisis hitting institutions in the US, UK, Eurozone and other advanced economies (Iceland, Australia, New Zealand, Canada etc.)." - Nouriel Roubini

The dominos are just beginning to fall. The fight for manioulated markets is not yet over, but these are signs of a natural reordering of a skewed world economic and political system. The systems of checks and balances are finally striking back full swing, awakening our need to rethink our most basic assumptions about life. About the role money.

If we want to build a new financial monetary system, we have to let the old defunct system destroy itself. We will all feel the pain, but we will all walk away with lessons learned.

...the next banks/brokers in danger of collapse

This past week we saw the shit hit the fan. Lehman brothers went bust and AIG, the world's largest insurer had to be saved by the government; but this is still the tip of the iceberg. Q3 numbers should be out at the beginning of October, but banks are already finding it difficult to sugarcoat their situations.

Who's next? How many more banks are in danger of going under?

This, in a large part depends on their exposure to difficult to trade, value and sell junk -- illiquid assets -- dubbed "Level 3"

Check out Citi, and Fannie & Freddie. A few months ago Bear Sterns was just under Lehman Brothers in terms of level 3 assets as a percent of equity...

If we take the level 3 assets to equity ratio, or the level 3 assets to total assets ratio, we can see who is really in danger...How much longer can the rest hold out?

>

Fidel Christo cigars,... the new hope.

Here's an idea for Fidel Castro, in his last hours, to become the hero he always wanted to be....

Fidel, learn how to make cigars!
Steady those hands, and sharpen your dexterity, because your last chance for greatness has just arrived.
Seriously, how many people would pay hundreds of thousands of dollars to own a cigar rolled by your ephemeral fingers? Start off with just a few, leak the info to a few bigwigs, let it break the press, and then stick them up for sale on the epitome of all capitalist websites, ebay, and watch the bids grow!

Take that money, and give it back to those who need it most.
Embrace capitalism in your last throes, to save communism in its last moments!

Stand tall on an alter in front of your people, holding high the cigars of hope, and while basking in the glory of the Caribbean sun, proclaim, "Your savior, Fidel Christo!"

The leaders of the world, in a self-righteous act of good-will, won't hesitate a second in buying those invaluable smokeable monuments to your now infamous legacy.

"'Fidel Christo' cigars, the new hope..."

Gecopolitico Update - June 2008


The Royal Bank of Scotland has advised clients to brace for a full-fledged crash in global stock and credit markets over the next three months as inflation paralyses the major central banks.
"A very nasty period is soon to be upon us - be prepared," said Bob Janjuah, the bank's credit strategist.
http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/06/18/cnrbs118.xml

so a global financial crash is now believed to be imminent by one of the most elite banks in Europe?
So whats the only thing they can do to at least guarantee themselves some cash?

More rumors of a rising risk of Israel preparing to attack Iran

Some analysts say Israel is planning to take advantage of this window of opportunity while Bush is still in power, since many Jews suspect Obama's support for Israel is only lip service. Labor Knesset Member Ofir Pines-Paz said of Senator Obama, "I respect him but suspect him."

http://www.rgemonitor.com/blog/roubini/252803/
...but as the blog also argues, an attack on Iran would cause "...a major global recession, wars throughout the Middle East (Iran, Iraq, Gaza, Lebanon, Israel, etc.) and a major increase in geopolitical instability."

..so do they have the cahones to bring Armageddon raining down upon us all? ...or is that what they've been planning all along?

Financial Times has a very nice graphical, animated presentation of the physical (not the trading) market for oil. It is quite informative.
http://www.ft.com/cms/s/0/74bf31bc-992a-11dc-bb45-0000779fd2ac.html

While you are evaluating the graphics, take a close look at the U.S. position on the oil chessboard. See what our percentage of world demand is, and how much we produce, and how that is changing over time. Take a look at China, Russia, Saudi Arabia and Iran. Then take a look at Iraq.

This is the chessboard. Some believe Israel to just be the red herring, designed to deflect attention from the actual issue - a "not-oil" reason to do some very dirty oil business.
US's oil dependence is not a given. It's a choice, and it's becoming a very expensive choice. We are going to pay for this next set of mis-steps for a long, long time.

Leading House and Senatorial donkeys and elephants, with the support of Aipac, have raised a bill (on the way to a fastrack passing) calling on a Naval blockade of the Strait of Hormuz, as two more large aircraft carriers arrive to the area. You dont send that much hardware to one place for show.
http://globalresearch.ca/index.php?context=va&aid=9377

The blocking of the Strait, where 60% of the world's oil passes through, have some analysts seeing oil past 350$! And thats only if Iran's supply is halted (they have 1/5th of the worlds oil reserves, and supply 5% of it currently). This is something Iran has threatened to do in the past if attacked. Why would US risk imposing such a move itself? Does it see an attack on Iran as too risky just now, but are still preparing for a timed crash of the world economy? Or is it just a bluff meant to placate Israel's fears and delay the inevitable attack?

Could the religious fundawacks be having have way too much say in the direction things are heading? Oil is not the only issue at hand for many, but fulfillment of prophecy...
http://www.jewsonfirst.org/06b/cufi.html

Either way, it seems there are different and opposing powers at work, and not only between the nations with vested interests, but within the US power structure itself. We can only guess what road things will take in the near future, but I'm not seeing too much positive no matter how hard i'm looking for it.

So if things continue to head the way they are heading, what can we do about it?

One investors steps to protecting himself:

"1. sold all my mutual funds in Jan 2007
2. invested in euro etfs and gld etfs. (I've recently sold the Euro etf)
2. pulled cash and stockepiled it along with some silver/gold in a safe
3. open two accounts at small credit unions and place several months cash for emergencies
4. I have no debt except for the home which is at 50% LTV.

so far my investments are up more so than if I had listened to a broker.
I watch the market constantly for signs of problems and can react rapidly to it.
I read many different blogs including this one for ideas, trends, thoughts, etc."

I surf, I read, I share...


I just watched a documentary about Charles Darwin narrated by Richard Dawkins. His exploration develops Darwinian theories toward altruism and kindness as human genetic expressions. Humans are uniquely able to empathise and aspire for gain beyond their immediate kin or tribe. I like to think my genes have such expression, and that my sons will inherit those genes in a world I help to shape for the benefit of many I will never know. Kindness and altruism are human expressions, just as valid and just as natural as brutality and selfishness. Uniquely, we humans choose which impulses we prioritise and express through our morality and judgement. Perhaps that is why I remain an optimist.

Written by London Banker on 2008-08-11 16:44:13

Secret of life

I discovered life’s secrets, and I bribed it.

Let me keep my happiness I said, and I shall not reveal the key.

Let me live forever, and I shall not pass on the truth.

Let me live this eternal bliss, and you shall keep your job as the holder of fates.

Little did I know,

a gamble does not gamble.

Little did I see,

for you cannot escape darkness through darkness.

Little did I accomplish,

for the only secret is, that there is no secret.

The US economy is a giant being pelted by rocks and pebbles. Constant hits & scrapes, bruises and cuts have slowly bleed the giant to near death. Collapse is imminent. The giant is now on life-support. The medics have rushed to the aid again with yet another injection. Pointless, futile and postponing the inevitable...

Fed takes boldest action since the Depression to rescue US mortgage industry

By Damian Reece
Last Updated: 2:10am GMT 12/03/2008

Equity traders, being ever the optimists, decided to look on the bright side of yesterday's central bank intervention. London and New York did a jig after the US Federal Reserve and Bank of England pulled out all the stops to avoid markets falling into a pit of despair.

And who can blame them? When you've got state institutions as big as the Fed supporting markets then where's the worry?

The Fed, with its latest $200bn offer of cheap cash, has provided yet more state aid for errant hedge funds and another Washington-backed bail-out for Wall Street bankers. The Bank of England joined in again, further shedding any notion of being wary of moral hazard. But as the bail-outs are getting bigger, then clearly the problems causing them must be getting bigger.

The Fed has saved the day again, but it will only be for a day or so. It was Friday remember when it had to pump $200bn of cash into the system. Yesterday it was offering to lend a similar amount to try and soak up some of the toxic debt out there which has left the lending markets hamstrung. How much further can the central banks go to support a system that is so obviously broken?

Arguably, having come this far, Mervyn King and Ben Bernanke have breached the point of no return. There is no going back. The US certainly is now relying on its central bank to keep its most important credit markets open, its equity markets from plunging and bring a veneer of normality to financial life. Traditional supports, such as confidence in normal commercial debt repayment, have been knocked away as institutions are engaged in a desperate dash for cash.

We have not seen anything like it since the decade of the Great Depression. Melodramatic as that might sound, it is a fact but a fact that markets seem unwilling to accept. While the Fed is willing to slash rates and hope, and pump liquidity into the system, markets will remain optimistic. But it is a race to the bottom. The Fed hoping it reaches the finishing line first and restores confidence returns before a bank goes bust. But the spectre of a collapse is neck and neck with Bernanke and it's still anyone's guess which will win.

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/03/12/ccom112.xml

The key to happiness from Jay Leno??

First read Jay's comments below. These are things we all seem to forget. I say we're cursed by being raised in this modern bullshit culture of materialism. We can't seem to find our happiness because all we are forced to see is what we don't have...

The more we have, the more we want.
the more we want, the less we think we have.
The less we think we have, the more elusive happiness becomes.

keep things in perspective


Jay Leno wrote this; ...It's the Jay Leno we don't often see....
"The other day I was reading Newsweek magazine and came across some poll
data I found rather hard to believe. It must be true, given the source,
right?
The Newsweek poll alleges that 67%of Americans are unhappy with the
direction the country is headed, and 69% of the country is unhappy with
the performance of the President. In essence , 2/3's of the citizenry
just isn't happy and want a change.
So being the knuckle dragger I am, I started thinking:
"What are we so unhappy about?''
Is it that we have electricity and running water 24 hours a day, 7 days
a week?
Is our unhappiness the result of having air conditioning in the summer
and heating in the winter?
Could it be that 95.4 % of these unhappy folks have a job?
Maybe it is the ability to walk into a Grocery store at any time, and
see more food in moments than Darfur has seen in the last year?
Maybe it is the ability to drive from the Pacific Ocean to the Atlantic
Ocean without having to present identification papers as we move through
each State?
Or possibly the hundreds of clean and safe Motels we would find along
the way that can provide temporary shelter?
I guess having thousands of Restaurants with varying cuisine from around
the world is just not good enough.
Or could it be that when we wreck our car, emergency workers show up and provide services to help all, and even send a helicopter to take you to
the hospital.
Perhaps you are one of the 70% of Americans who own a home. You may be
upset with knowing, that in the unfortunate case of a fire, a group of
trained firefighters will appear in moments and use top notch equipment
to extinguish the flames thus saving you, your family and your
belongings.
Or if, while at home watching one of your many flat screen TVs, a
burglar or prowler intrudes, an officer equipped with a gun and a
bullet-proof vest will come to defend you and your family against attack
or loss.
This all in the backdrop of a neighborhood, free of bombs or militias
raping and pillaging the residents. Neighborhoods where 90% of teenagers
own cell phones and computers.
How about the complete religious, social and political freedoms we
enjoy, that are the envy of everyone in the world?
Maybe that is what has 67%of you folks unhappy.
Fact is, we are the largest group of ungrateful, spoiled brats the world
has ever seen. No wonder the world loves the U.S., yet has a great
disdain for its citizens. They see us for what we are. The most blessed
people in the world, who do nothing but complain about what we don't
have, and what we hate about the country instead of thanking the good
Lord we live here.
I know, I know. What about the President who took us into war and has no
plan to get us out? The President who has a measly 31% approval rating?
Is this the same President who guided the nation in the dark days after
9/11? The President that cut taxes to bring an economy out of recession?
Could this be the same guy who has been called every name in the book
for succeeding in keeping all the spoiled, ungrateful brats safe from
terrorist attacks?
The Commander-In Chief of an all-volunteer army that is out there
defending you and me? Did you hear how bad the President is on the news
or talk show? Did this news affect you so much, make you so unhappy you
couldn't take a look around for yourself and see all the good things and
be glad?
Think about it, ... are you upset at the President because he actually
caused you personal pain OR is it because the "Media" told you he was
failing to kiss your sorry ungrateful behind every day.
Make no mistake about it. The troops in Iraq and Afghanistan have
volunteered to serve, and in many cases may have died for your freedom.
There is currently no draft in this country. They didn't have to go.
They are able to refuse to go and end up with either a ''general''
discharge, an ''other than honorable'' discharge or, worst case
scenario, a ''dishonorable'' discharge after a few days in the brig.
So why then the flat-out discontentment in the minds of 69% of
Americans?
Say what you want, but I blame it on the Media. If it bleeds, it leads;
and they specialize in bad news. Everybody will watch a car crash with
blood and guts. How many will watch kids selling lemonade at the corner?
The media knows this and media outlets are for-profit corporations. They
offer what sells, and when criticized, try to defend their actions by
"justifying" them in one way or another. Just ask why they tried to
allow a murderer like O.J. Simpson to write a book about :"How he didn't
kill his wife, but if he did, he would have done it this way"...Insane!
Stop buying the negativism you are fed everyday by the media. Shut off
the TV, burn Newsweek, and use the New York Times for the bottom of your
bird cage.
...Then start being grateful for all we have as a country.
There is exponentially more good , than bad...
We are among the most blessed people on Earth, and should thank God
several times a day, or at least be thankful and appreciative.
"With hurricanes, tornados, fires out of control, mud slides, flooding,
severe thunderstorms tearing up the country from one end to another, and
with the threat of bird flu and terrorist attacks, ..."Are we sure this
is a good time to take God out of the Pledge of Allegiance?"
Jay Leno
2007

My Fellow Americans,

What would it feel like to turn on the news one day & hear the President making the following speech:

My Fellow Americans,

the defeat of the Iraqi regime has been completed. We have managed to put in place an incompetent, untrained government unable to end the civil war which has since broken out. The Suunis, formerly in power, are now the disenfranchised minority causing upheaval. The Kurds have nearly all the oil and are attempting to create a separate state (the nerve of those guys!). The Turkish are attacking from the north, you have refugee crisis' in Jordan, and the majority Shi'its, the more radical Muslims now in power, are teaming up with their brothers in Iran. Al Queda has moved in and terrorism is for the first time a real problem (where did they come from?).

Since it would foolish to spend more money on having our troops police a warzone, I gave the order for a complete removal of all American forces from Iraq. This action will be complete within 30 days. It is now time to begin the reckoning.

I have in front of me a list which will serve as a guide for all future American governments. We cannot afford to make any more bone-headed decisions based on ill-conceived and delusional notions of the American Empire running the world.

First of all, the American Empire has fallen! The day's of our cultural and economic superiority are over. Our war on terror has become a war on peace! Our misguided policies have created an economy based on debt, illusions of prosperity based on soon worthless IOU's, power based on lies, and false security based on fear.

Open your eyes!

Half the world hates us,
our economy is in shambles,
our precious dollar is being abandoned,
and freedom and security are Orwellian terms used to justify the encroaching police state!

Our financial markets are collapsing,
we borrow billions daily from foreign governments,
unemployment and inflation is on the rise.
the middle class is disappearing!

Our two party 'representative and democratic' government has been run by two families for almost 20 yrs (Vote Hillary 2008!),
Our education system is one of the worst in the developed world,
Our social security system is a Pandoras box waiting to open,
Our healthcare is unaffordable for the majority of Americans.

What happened to the most economically prosperous, culturally deemed superior, benign and loved world Empire?
It has followed the natural cycle of Empires, has been corrupted by power, and is now collapsing. How orderly this will happen, is up to us. So we need a change in tactics...

No more reckless unilateral foreign policy. We will work together with our neighbors and we will enter into negotiations before even thinking about bombing a country. No more needless spending on wars! We will turn those billions of dollars to improving our quality of living at home!
We will no longer pay interest to the private bankers for printing OUR money! Let them keep the Federal Reserve, but from now on they will be employees of the government, paid an average wage to work the printing presses. The money saved will be enough to provide universal healthcare and social security benefits to all!
We will scrap the electoral system, use traceable paper ballots for elections and bring back the popular vote!
We will work with with the UN, so mutual solutions can be found to our common problems.
We will keep on donating money to countries in need. We need a serious shift in anti-American sentiment.

And a note to all of you who think we should keep doing what we've been doing: Learn to speak Arabic, because you will be going on an all expense paid one-way trip to the heart of Baghdad. A reform colony is currently is being en set-up to provide an opportunity for all of you who think we should stay to be educated by the locals!

God bless America . Thank you and good night.

If you can read this, thank your parents.
If you are reading it in English, thank a soldier by visiting his grave.

CAN MUSLIMS BE GOOD AMERICANS?

I received the following email about Muslims:

For the sake of debate, anyone care to refute it?
(btw, I still plan on voting for Obama, and I don't believe he will ask to be sworn in on the Quran)

"CAN MUSLIMS BE GOOD AMERICANS?
This is very interesting and we all need to read it from start to
Finish and send it on to anyone who will read it!


Maybe this is why our American Muslims are so quiet and not speaking
out about any atrocities.....
Can a good Muslim be a good American? This question was forwarded to a
friend who worked in Saudi Arabia for 20 years.

The following is his reply!

Theologically - no. . . . Because his allegiance is to Allah, The moon
God of Arabia ..
Religiously - no. . . . Because no other religion is accepted by His
Allah except Islam (Quran, 2:256) (Koran)

Scripturally - no. . . Because his allegiance is to the five Pillars of
Islam and the Quran.
Geographically - no . . . Because his allegiance is to Mecca , to which
he turns in prayer five times a day.

Socially - no. . . Because his allegiance to Islam forbids him To make
friends with Christians or Jews.
Politically - no. . . Because he must submit to the mullahs (spiritual
leaders), who teach annihilation of Israel and destruction of America ,
the great Satan.

Domestically - no. . . Because he is instructed to marry four Women and
beat and scourge his wife when she disobeys him (Quran 4:34 )

Intellectually - no. . . Because he cannot accept the American
Constitution since it is based on Biblical principles and he believes
the Bible to be corrupt.
Philosophically - no. . Because Islam, Muhammad, and the Quran does
not allow freedom of religion and expression. Democracy and Islam
cannot co-exist. Every Muslim government is either dictatorial or
autocratic.

Spiritually - no. . . . Because when we declare "one nation under God,"
the Christian's God is loving and kind, while Allah is NEVER referred
to as Heavenly father, nor is he ever called love in The Quran's 99
excellent names.

Therefore after much study and deliberation....


Perhaps we should be very suspicious of ALL MUSLIMS in this country.


They obviously cannot be both 'good' Muslims and good Americans.


Call it what you wish it's still the truth. You had better believe it.
The more who understand this, the better it will be for our country and
our future. The religious war is bigger than we know or understand. And
Barack Hussein Obama, a Muslim, wants to be our President? You have GOT
to be kidding! Wake up America! Obama even says if he wins the
election, he will be sworn in on the Quran---not a Bible!"

How many countries can you name in 5 minutes?

How many can you do? :)

54

The imminenet US/world financial meltdown?

Some oblivious marketmen hiding behind a smokescreen of ill-defined logic say were experiencing a slight slowdown in growth, set to improve next year. Other interest induced optimists say we have a mild recession coming which will last at least a until late next year. Some realists predict a severe recession in the US for years to come which will have epidemic effects on the world economy. Some pessimists are even going as far as predicting nothing less than the complete meltdown of the world monetary system...

I put myself in the realist camp, but unfortunately I see too many sign of the pessimistic arguments holding more weight then they should...

What are the warning signs?


Subprime read "deadbeat"
Loans
SIV's
CDO's
RMBS's
ABCP

Major Corporate leaders ousted

Major leaders retire

Heightened insider stock sales

Little M&A activity

Little IPO activity, many withdrawn

Stock buybacks

Free fall in Equities stopped by unknown, unseen forces

High Libor Spreads

Dollar Devaluation

Huge Drop in ABX index

Govt. Intervention in free market contracts

Large swath purchasing by foreigners of hard assets

Tremendous volatility in markets

Fed cuts despite high inflation

Rush to quality and safe havens

Inverted yield curve

Credit Market Lock-up

Desperate asset sales or stock issues to obtain cash or capital

Loss of confidence

Huge rise in price of commodities

Consumer & Governmental Debt in multiples over GDP

Foreclosures

Runs on Banks and Fund managers

Lack of any meaningful coverage of distresses on major networks

Artificial Rallies in seriously diseased business sectors

Speculation

Expensive overseas wars without exit strategy

Massive deficits without accountability

Political Intrigue

China's ABSOLUTELY NO LENDING UNTIL YEAR END policy

Sudden move from lax lending standards, to super-due diligence standards

Currency Manipulations

Foreigners wishing to reject dollar denominated transactions

Hoarding

Comparisons to Japan in early 90's

Layoffs in employment (40K+ in Citigroup, 1000+ in other investment bankers)

Greater transparency (xtra appearances) in Fed, READ we can announce more often crypt messages in order to make artificial market movements seem less random

Manuevering to have already weak finance entity left holding the bag on investments going bad


It all adds up, don't let them deceive you that these aren't real. There can't be anymore kicking the can down the road. It's time, there has never been a more perfect storm of correlating evils, take your own precautions.

meeting randomly...

...just how did we meet?

Friend X - (for the sake of anonymity, lets call him Alan): I met Syndrum in Berlin – to be more accurate, in the district called Wedding. He was living in a small shed on an allotment – at the time, he was part of a couple. His partner was a coloured stripper that would entertain American servicemen in a seedy bar called 'Darf ich... ?', that was run by a tobacco baron, Wurst Keyfob. If my memory serves me correctly, the stripper was called 'Colin', and he was a formidable and muscular specimen. At that time, I was an ardent gardener, and liked nothing more than popping a mixture of dried blood and manure on my radishes in order to get an early Winter crop. In any event, I was on the allotment, directing my seed utilising a Balsa riddle, when I heard sobbing from the shed. Being a caring type, after three hours, I went over to investigate - and looking through the broken pane that served as the only window, I saw a soiled, under-nourished specimen wearing nothing but a stained apron. It was Arpad… The rest is history – as Syndrum and Colin eventual 'tied the knot' and built a lovely extension on the shed – and are even hoping to adopt.

Syndrum - If my memory serves me correctly, it was the brutally harsh winter of 1960, as Alan rightly said, in a poor district of Berlin called Wedding. Being an aid worker at the time, I was attending to helping the poor malnourished druggies in the area with my female colleague Karin, when I came upon a destitute and obviously delusional space cadet. This poor soul, with only the vein stained whites of his eyes showing, was attempting to defecate a blade of frozen grass rising out of what looked like the remains of a half buried bean can. With his head turned upwards toward the sky, teeth clenched & reddening face he was screaming "grow horsey, grow!". It was Alan, a typically average fellow who apparently through the loss of his family from a freakish accident involving a horse-drawn wagon and 500 k. of horse manure, the details of which I will spare for sake of brevity, became involved in the Berlin underground Eco Rejuvenation While on Drugs posse. After considerable time spent in rehab, Alan was able to return to normal life as an oyster farmer, albeit with some disturbing levels of recurring LSD remnant induced flashbacks.

Alan - I daren't deny the entirety of poor Syndrum's reminiscences – I do get flashbacks of the horrible incident with the cart full of manure, courtesy of Syndrum's eau de cologne (and generally inadequate sense of personal hygiene). Thankfully, time is, indeed, a healer. And I am sure Syndrum enjoys a tremendous – even overwhelming sense of fulfillment every time he and Colin enjoy intimacy. I understand that they strew an assortment of horticultural equipment (including loose mulch) around the boudoir to recapture their early fumblings.

Syndrum - It breaks my heart to see the bitter and ungracious effects prolonged medication has on the human thinkbox. Alan, my dear friend, one of these days I pray you will also find your "Colin". Maybe then you will finally come to see the benefits metamorphic references of horticultural equipment can have on the human sexual spirit, instead of the solitary practices you have so aptly demonstrated countless times in finer public establishments. God forgive me! If only I knew you would take my suggestions literally, I would have been kinder by referring to human livestock instead.

Alan - Indeed, if only I could find my Colin - but can there be two? Obviously, I am not envious of the man-love you share together – especially the ghastly haemorrhoidal conditions that are testimony to your pumping-actioned, physical love. In your case, the sentiments of Christmas are correct – you would have been so much better off 'giving' over the last twenty years than 'taking'…

Syndrum - My dear downtrodden drifter from the Berlin narcotics wasteland, through your 'avant-garde prescription poison' induced words, I have surprisingly stumbled upon some uncanny wisdom. I have realized I am apparently trapped in a limbo of lost souls - totally beaten and ailing itinerants whose names are something like Buddy, Pal, Sport, Top, Buck, Ace, Bubba, and of course Colin; all looking to give, when all I do is take. From now on, I will be a giver! I'll start with my hoe, plow, shovel (large & small), my wide array of power drills (combi included) and of course my manure bucket, so you can enjoy this Christmas fully engrossed in your shameless and profligate solitary sexual acts with my (used, although in very good shape) horticultural equipment. And please allow delivery by Bubba. He is very much looking forward to meeting you!
Now that we have our Christmas wishes out of the way, what do you say in celebration of our friendship and the upcoming season of giving, we agree on.... well, meeting randomly! :).

Which of the presidential candidates are owned by the banks?

This is a re-posting of "The Red Pill Guys" recent blog. http://rabbit-hole-journey.blogspot.com/

The Campaign Contributors of the Media Anointed

The USA is controlled by the Corporatocracy, by the lobbyists and big business interests. The people that own these corporations are the people that own and run this country. They are not interested in making life better for you or me. They are only interested in their own money and power.

By controlling the mass media, they choose who the next president is. At the beginning of election campaigning, they immediately declare and anoint who the "top tier" are. This is the short list of whom they approve for the presidency. The 2-party system ensures that this list gets pared down to "Puppet A" and "Marionette B".

Of these corporations, the most powerful are the banking and finance corporations.

Now let's look at the largest campaign contributors of the media anointed presidential candidates.

The following info is taken from http://opensecrets.org/pres08. The site has an explanation

HOW TO READ THIS CHART: This chart lists the top donors to this candidate in the 2008 election cycle. The organizations themselves did not donate , rather the money came from the organization's PAC, its individual members or employees or owners, and those individuals' immediate families. Organization totals include subsidiaries and affiliates.

Because of contribution limits, organizations that bundle together many individual contributions are often among the top donors to presidential candidates. These contributions can come from the organization's members or employees (and their families). The organization may support one candidate, or hedge its bets by supporting multiple candidates. Groups with national networks of donors - like EMILY's List and Club for Growth - make for particularly big bundlers.

Take note of how the "top tier" media anointed ALL have banking and finance corporations as their top contributors. To all the Hillary fans who think that she is different than the others in terms of not kowtowing to Big Business Interests, TAKE SPECIAL NOTE.

HILLARY CLINTON:


BARACK OBAMA:



RUDY GIULIANI:



MITT ROMNEY:


And now let's look at Ron Paul. He's consistently received the most donations from enlisted personnel. They probably understand first-hand what folly our foreign policy of empire-building is, and Ron Paul is espousing the Founding Fathers' admonition to stay out of internal affairs of other nations.

RON PAUL: