This is going to be for me a tough piece to write. There is no anti anything in it, only the thinking. It would be nice if I had my old football teammate, Howie here to stand beside me. I hope Lenny from Queens and my army buddy from Brooklyn will understand. They have two things in common with me. They are all my friends and they are all Jewish. Not to mention my favorite comedian, Rodney Dangerfield, may he rest in peace. When I think about it, I only know a few Muslims, notably Marwan in San Francisco who is a great guy. Nevertheless, my bonds are with the people I know and therefore, I stand for Israel as a free state. That being said, I am deeply disturbed by what I have been reading lately, and what the media is talking about.
Nuclear Iran
The debate is over trust. Can we trust Iran which is building a nuclear plant which they say is for domestic use like electrical power. Israel says they are seeking to make a bomb. I can understand their fear when you consider the rhetoric coming out of Iran that calls for the destruction of Israel. Israel wants to strike Iran to destroy the plant, but this act could start a war. The US response is we are watching Iran very closely, however this is not the time to act. Both governments seem to be debating the date of the response as if it were an IPO stock offering. Also, and with much skepticism, Iran nuclear scientist have been dying lately. Is assassinations being conducted? This is how real serious wars are started.
Unintended Consequences
What if they are both wrong? Intelligence? Ha! Like President Bush with Iraq WMD? The thinking should be this. Just warn Iran, but tell Iran what the consequences will be if they are lying. No country has a right to tell another sovereignty what to do and using death threats, big bully actions won't get it. Have these war mongers ever read Sun-tzu? In his book, THE ART of WAR, he states,"the supreme art of war is to subdue the enemy without fighting."
For Every Action There Is A Reaction
If Iran is lying all along, at least we will know the truth. Then, we declare war on them and we destroy their plant and any other suspisions that we may have doubts about. Act with justification, but allow peace a chance!
Liars and Crooks: This week it is dedicated to Congress and the President. I want to thank the Global Guru for this unique way of looking at the budget. Simplified!
Consider our budget: US tax revenues: $2,170,000,000,000.
Federal budget: $3,820,000,000,000.
New debt: $1,650,000,000,000.
National debt: $14,271,000,000,000.
and new budget cuts : $38,500,000,000.
Now, remove 8 zeros and pretend it is your family household budget.
Family income: $21,700.
family spending:$38,200.
new debt on credit card: $16,500.
new outstanding family debt: $142,715.
Bottom line: total budget cuts for our government if it were applied to our family budget, it would amount to: $385.00 See the BS! We need a new political party that is for the people and not one from the 1%, by the 1% and for the 1%. Vote the Liberty Party.
Friday, February 10, 2012
Thursday, February 2, 2012
Groundhog Prediction: Fed Destroys Economy...LIARS and CROOKS
Today is Groundhog Day and Punxsutawney Bill sees six more weeks of winter. There is a little know correlation between the rodent's predictions and our bureaucratic Fed. It is like dog years to human years. Truth be told, I just started the theory. I see six more years of depression and recession with another climax bubble in the banking industry. I will show you how I came to that conclusion in a minute, but first, let's take a closer look at the little event.
Movie Classic
Hollywood mirrors society and made a comedy classic about the celebration in 1993, however the movie was set in 1992 exactly 20 years ago today. Gotta like Bill Murray and the beautiful, make that very beautiful, Andie MacDowell. Murray's character gets lost in a deja vu at the event and he cannot tell whether he is in reality or just dreaming. He keeps reliving the day over-and-over again. He does the same things over-and-over again, hoping for a different resolution. Isn't that the definition of insanity? Applying the same solutions to a problem over-and-over again hoping for a different outcome? This takes us to the Fed which is a bureaucracy which applies the same principles it sees in our economy over-and-over again hoping for a different outcome. I'll give the Fed one thing. They are
Consistent.
From their first year in 1913 until today, they have lost the value in our dollar to the tune of almost one percent per year. C'mon, boys! Get two percent this year and when you celebrate your one hundred anniversay next year you will have lost 100% value in our dollar. Along the way they have demonstrated their true colors many times:privatize the profits for the banking industry and socialize the losses to the taxpayers. For every economic problem they apply the same solution, more liquidity.
This is how I see the next crash. It will be from the
Bottom Up.
As opposed to a previous crash which was from the
Top Down.
Ever see a Savings&Loan? You know, the lending insitution that George Bailey operated? When our capital markets were freer back in the 1970s, there were over 4,000 of them throughout our nation. They would provide mortgages for the housing industry before our GSE took over the operation or should I say filled the vacuum left by the loss of our Savings&Loan industry. When Paul Volcker headed the Fed in 1979, he made a famous speech to fight inflation. He raised interest rates to 17.5% to slow the economy and stop inflation. He gets a lot of praise from the media and elsewhere, however not from me. It is BS! He wasn't fighting inflation only, but the growing perception by the public that paper money was worthless and
GOLD
was what maintained value. Not only that, the gold-bugs reminded everyone that gold should be our currency as stated in our constitution. If you forgot, this is the same period when gold went from $63 to $850 per ounce. As a result of the Fed's action, gold was defeated as savers could get T-Bills with no risk from the government that paid 12%. Don't worry about securing a place to keep gold. And of course, the banks won't pay interest on it and charge you to store it. The manipulators pass the laws that they want, regardless of what you want or stated in our constitution. There was one, big problem. As per usual, the bureaucrats never think through their ideas. The unintended consequences of their actions destroyed the S&L industry. You see when interest rates skyrocketed these lending institutions were caught between a rock and a hard place. They were capped by law on the amount that they could charge on money. Botton line: they had to borrow from the Fed at 12% to lend to customers at 10%. A losing season. A lost industry. Another government bailout at taxpayers expense all caused by the Fed and Volcker's actions.
Today
we have low, low interest rates, however what happens when they rise? Banks, investment institutions, pensions, hedge funds, etc. will be receiving interest payment on assets with rates as low as 2% like with Ten Year Treasuries, while say at that time, rates return to their normal level, say 6 to 8%. They will be losing money and if you add inflation, basically worthless. By the way, the Fed is getting away with low rates. They work with their pals at the treasury. They offer rates at 2% for ten years, but consider this. Ten years ago gasoline was $1.04 per gallon. The medium price home was around $100K and a loaf of bread was under one dollar. Today, Helicopter Ben has the nerve to say that inflation is under 2%. Bottom line: future prices will cause the banking industry to collapse by 2016 as they will have to pay more for money while receiving less revenues from their assets. End the Fed!
LIARS and CROOKS: This week goes to three employees of Credit Suisse Group Ag or should I say ex-employees. They were charged with mispricing bonds, wire fraud, conspiracy to falsify books among other charges. One said he did it under direction from his boss so their year end bonus world reflect higher profits. This was in 2007. Nice to know the government eventually catches up to some of these crooks, however let me leave you with this. What if someone else applied the same crooked thinking to derivatives? I guess just multiply the damage by one thousand and puff, there goes our economy.
Movie Classic
Hollywood mirrors society and made a comedy classic about the celebration in 1993, however the movie was set in 1992 exactly 20 years ago today. Gotta like Bill Murray and the beautiful, make that very beautiful, Andie MacDowell. Murray's character gets lost in a deja vu at the event and he cannot tell whether he is in reality or just dreaming. He keeps reliving the day over-and-over again. He does the same things over-and-over again, hoping for a different resolution. Isn't that the definition of insanity? Applying the same solutions to a problem over-and-over again hoping for a different outcome? This takes us to the Fed which is a bureaucracy which applies the same principles it sees in our economy over-and-over again hoping for a different outcome. I'll give the Fed one thing. They are
Consistent.
From their first year in 1913 until today, they have lost the value in our dollar to the tune of almost one percent per year. C'mon, boys! Get two percent this year and when you celebrate your one hundred anniversay next year you will have lost 100% value in our dollar. Along the way they have demonstrated their true colors many times:privatize the profits for the banking industry and socialize the losses to the taxpayers. For every economic problem they apply the same solution, more liquidity.
This is how I see the next crash. It will be from the
Bottom Up.
As opposed to a previous crash which was from the
Top Down.
Ever see a Savings&Loan? You know, the lending insitution that George Bailey operated? When our capital markets were freer back in the 1970s, there were over 4,000 of them throughout our nation. They would provide mortgages for the housing industry before our GSE took over the operation or should I say filled the vacuum left by the loss of our Savings&Loan industry. When Paul Volcker headed the Fed in 1979, he made a famous speech to fight inflation. He raised interest rates to 17.5% to slow the economy and stop inflation. He gets a lot of praise from the media and elsewhere, however not from me. It is BS! He wasn't fighting inflation only, but the growing perception by the public that paper money was worthless and
GOLD
was what maintained value. Not only that, the gold-bugs reminded everyone that gold should be our currency as stated in our constitution. If you forgot, this is the same period when gold went from $63 to $850 per ounce. As a result of the Fed's action, gold was defeated as savers could get T-Bills with no risk from the government that paid 12%. Don't worry about securing a place to keep gold. And of course, the banks won't pay interest on it and charge you to store it. The manipulators pass the laws that they want, regardless of what you want or stated in our constitution. There was one, big problem. As per usual, the bureaucrats never think through their ideas. The unintended consequences of their actions destroyed the S&L industry. You see when interest rates skyrocketed these lending institutions were caught between a rock and a hard place. They were capped by law on the amount that they could charge on money. Botton line: they had to borrow from the Fed at 12% to lend to customers at 10%. A losing season. A lost industry. Another government bailout at taxpayers expense all caused by the Fed and Volcker's actions.
Today
we have low, low interest rates, however what happens when they rise? Banks, investment institutions, pensions, hedge funds, etc. will be receiving interest payment on assets with rates as low as 2% like with Ten Year Treasuries, while say at that time, rates return to their normal level, say 6 to 8%. They will be losing money and if you add inflation, basically worthless. By the way, the Fed is getting away with low rates. They work with their pals at the treasury. They offer rates at 2% for ten years, but consider this. Ten years ago gasoline was $1.04 per gallon. The medium price home was around $100K and a loaf of bread was under one dollar. Today, Helicopter Ben has the nerve to say that inflation is under 2%. Bottom line: future prices will cause the banking industry to collapse by 2016 as they will have to pay more for money while receiving less revenues from their assets. End the Fed!
LIARS and CROOKS: This week goes to three employees of Credit Suisse Group Ag or should I say ex-employees. They were charged with mispricing bonds, wire fraud, conspiracy to falsify books among other charges. One said he did it under direction from his boss so their year end bonus world reflect higher profits. This was in 2007. Nice to know the government eventually catches up to some of these crooks, however let me leave you with this. What if someone else applied the same crooked thinking to derivatives? I guess just multiply the damage by one thousand and puff, there goes our economy.
Wednesday, January 25, 2012
State of Union: Geeks Rule and LIARS and CROOKS=Bottom Line
I have been reading an interesting book by Stephen Baker called, "NUMERATI." He coined the word to reflect the substance. It is how our future is developing. Have you ever heard of Umbria, Tacoda or Technorati? Google will pay money though its AdSense, however people have been gaming them. I do not use advertising in my blog, but maybe someday I will, who knows. Who ya gonna call? GHOSTBUSTERS!? Anyway, these companies hire computer geeks and mathematicians to understand what we like, want or can be persuaded to buy by studying us. They want to know what kind of buzz the latest gizmos are generating. They want to know why we clicked on a certain web site. They want to know what makes us tick, so they generate riches by selling that info to companies that sell us products. The list of possibilities is endless: medical, insurance,etc.
One hundred years ago they would go door-to-door, stand on busy streets, observed us while we shopped until they collected enough material to sell an advertising program. Today, it is done in labs in one end of a building working with computer teams in the other end. This brings us to last night when President Obama gave his state of the union speech.
Did you hear or notice the references to creating more jobs and retraining through schools for jobs, fairness with taxes, especially as it relates to our national debt, lowering education debt of students or the plight of home owners trying to refinance their homes? These buzz words and concepts resound with the Occupy Wall Street people, the Tea Party People and independent voters who are people like me. By making a definite statement of choice, this blog and myself are now being placed into a bucket or tribe depending on what terms the geeks classifying me use. It will be used in the future along with whatever else the math wizards deed important. This is our future. We are not just under street cameras on corners, but they watch us through our phones, computers, credit cards, teets, texts, etc.
VOTING DAY
The next election will be won by the geek company that can win the vital votes in the swing states. Sorry, guys, but if you are a given red or blue state, they take you for granted. This explains why there is never any real change in Washington. The battle is over the independents. What can I say that will get these people to believe that I understand them and I am willing to do what they suggest to right our ship of state. Winning this tribe of voters will determine the next election and all the rhetoric between now and then is nothing more than hot air. Maybe they can harness it as an alternative energy? Oh, by the way we do have hope because garbage in, garbage out will save us.
LIARS & CROOKS: This is the time for earnings season on Wall Street. The market is rallying because companies are making money, however cutting jobs, hours and product size to generate profits is not really creating true wealth. The insiders know this and they also know that the two driving forces of the status quo are the military and banking. The military has to cut back due to the declining revenues and growing debt of our government which leaves the finace industry. They have been utilizing the media and all their outlets to push up stocks centered around the financial industry such as banks, investment companies, insurance companies and the home builders. I would like for you to understand how corrupt these people are. They get rules and regulations passed to allow them to classify liabilities as assets, yet they scream there are too many rules and regulations. Bank of America which I love is the best example and keep in mind that every bank does the same technique. The company reported a $2 billion profit for the quarter. Good turn around, right? NO! Because under the column in which they place almost one trillion in mortgage securities, many are underwater and will lead to losses in the future. Remember they don't have to use market-to-market evaluations(rule change)and to cover this large amount they place less than one percent to cover any losses. This is how they were able to show a profit. Where are the regulators?
Bottom Line: President Obama calls someone making $250,000 middle class. Romney says he did not make much money with speaking engagements last year(over $300,000). Together they show that they do not know or understand what it means to be an American today because to me if you make that kind of bread, you are on the road to being rich. We need to form a new political party that reflect our real needs, issues and wants. I have the perfect name. It is...
One hundred years ago they would go door-to-door, stand on busy streets, observed us while we shopped until they collected enough material to sell an advertising program. Today, it is done in labs in one end of a building working with computer teams in the other end. This brings us to last night when President Obama gave his state of the union speech.
Did you hear or notice the references to creating more jobs and retraining through schools for jobs, fairness with taxes, especially as it relates to our national debt, lowering education debt of students or the plight of home owners trying to refinance their homes? These buzz words and concepts resound with the Occupy Wall Street people, the Tea Party People and independent voters who are people like me. By making a definite statement of choice, this blog and myself are now being placed into a bucket or tribe depending on what terms the geeks classifying me use. It will be used in the future along with whatever else the math wizards deed important. This is our future. We are not just under street cameras on corners, but they watch us through our phones, computers, credit cards, teets, texts, etc.
VOTING DAY
The next election will be won by the geek company that can win the vital votes in the swing states. Sorry, guys, but if you are a given red or blue state, they take you for granted. This explains why there is never any real change in Washington. The battle is over the independents. What can I say that will get these people to believe that I understand them and I am willing to do what they suggest to right our ship of state. Winning this tribe of voters will determine the next election and all the rhetoric between now and then is nothing more than hot air. Maybe they can harness it as an alternative energy? Oh, by the way we do have hope because garbage in, garbage out will save us.
LIARS & CROOKS: This is the time for earnings season on Wall Street. The market is rallying because companies are making money, however cutting jobs, hours and product size to generate profits is not really creating true wealth. The insiders know this and they also know that the two driving forces of the status quo are the military and banking. The military has to cut back due to the declining revenues and growing debt of our government which leaves the finace industry. They have been utilizing the media and all their outlets to push up stocks centered around the financial industry such as banks, investment companies, insurance companies and the home builders. I would like for you to understand how corrupt these people are. They get rules and regulations passed to allow them to classify liabilities as assets, yet they scream there are too many rules and regulations. Bank of America which I love is the best example and keep in mind that every bank does the same technique. The company reported a $2 billion profit for the quarter. Good turn around, right? NO! Because under the column in which they place almost one trillion in mortgage securities, many are underwater and will lead to losses in the future. Remember they don't have to use market-to-market evaluations(rule change)and to cover this large amount they place less than one percent to cover any losses. This is how they were able to show a profit. Where are the regulators?
Bottom Line: President Obama calls someone making $250,000 middle class. Romney says he did not make much money with speaking engagements last year(over $300,000). Together they show that they do not know or understand what it means to be an American today because to me if you make that kind of bread, you are on the road to being rich. We need to form a new political party that reflect our real needs, issues and wants. I have the perfect name. It is...
Friday, January 6, 2012
Tis the Season for Fruitcake...LIARS and CROOKS
Do you enjoy the seasonal treat called fruitcake? It is a hard cake with artificial flavors. If you're like most, it is a pass. In my life the only person I knew who enjoyed eating it was my older brother. In fact I believe that it began the concept of re-gifting. You know, you get something that you don't want, put it in the closet, give it to someone else next Christmas. I believe people store it in the freezer until the next holiday season and there it is on the table, looking fresh, unopened, waiting patiently for that one in a million.
In Iowa it is the season for fruitcake. It is quite a competitive market. Mitt Romney collected the largest share with 25%, however he spent the most money for those results. Think about this. The winner was rejected by 75% of the voters, however he did garner the support of an old, out of fashion brand, John McCain. Funny isn't it that the second largest share of the market, Rick Santorum, spent the second most amount of money. For traditionalist, Ron Paul just spoke about his substance ingredients and he placed third. There were a few other brand name fruitcakes on the Iowan market. Newt Gingrich utilized the re-gifting concept and people are wise to it. He probably will go out of business. Michele Bachmann said no matter what, I got a ticket to South Carolina to expand. I knew of course that she was not going to New Hampshire. Why? Because she appeared there once and declared that she was happy to be in the state that fired the shot heard around the world(Ding-Dong Award Winner). True to her word, she cancelled her expansion plans for South Carolina. The fruitcake business is extremely rough. In New Hampshire Jon Huntsman is trying out his family recipe, but he probably won't grab too much results as this is a small populated state and as I pointed out previously only one in a million respond to it.
LIARS and CROOKS: This week the first in the New Year goes to President Obama. It is not that he fits the guidelines to L&C, but worse, he supports laws that violate our constitution. We arrived at this from the past years results. He signed, although he stated regrettably, a new law that allows our military to detain any US citizen without charges just gut feelings of the administration. This tells me that I could be in trouble real soon. He also signed into law and yes again regrettably, his health care bill which will make young people criminals. Why? What is the most pressing concern for eighteen year old: a car, a date, health insurance? If you answered a or be, you too could become a criminal because the law says you must buy health insurance. Finally, he signed and yes regrettably, the Dodd Frank Bill. This act is to prevent another financial crisis among other aspects. The Wall Street Reform and Consumer Protection Act begins now, but here is the funny or not so funny part. The president signed into law a bill that is not even written in its entirety. Who in their right mind would make a law that is not even written? The sad answer is our president, the Democrat fruitcake.
In Iowa it is the season for fruitcake. It is quite a competitive market. Mitt Romney collected the largest share with 25%, however he spent the most money for those results. Think about this. The winner was rejected by 75% of the voters, however he did garner the support of an old, out of fashion brand, John McCain. Funny isn't it that the second largest share of the market, Rick Santorum, spent the second most amount of money. For traditionalist, Ron Paul just spoke about his substance ingredients and he placed third. There were a few other brand name fruitcakes on the Iowan market. Newt Gingrich utilized the re-gifting concept and people are wise to it. He probably will go out of business. Michele Bachmann said no matter what, I got a ticket to South Carolina to expand. I knew of course that she was not going to New Hampshire. Why? Because she appeared there once and declared that she was happy to be in the state that fired the shot heard around the world(Ding-Dong Award Winner). True to her word, she cancelled her expansion plans for South Carolina. The fruitcake business is extremely rough. In New Hampshire Jon Huntsman is trying out his family recipe, but he probably won't grab too much results as this is a small populated state and as I pointed out previously only one in a million respond to it.
LIARS and CROOKS: This week the first in the New Year goes to President Obama. It is not that he fits the guidelines to L&C, but worse, he supports laws that violate our constitution. We arrived at this from the past years results. He signed, although he stated regrettably, a new law that allows our military to detain any US citizen without charges just gut feelings of the administration. This tells me that I could be in trouble real soon. He also signed into law and yes again regrettably, his health care bill which will make young people criminals. Why? What is the most pressing concern for eighteen year old: a car, a date, health insurance? If you answered a or be, you too could become a criminal because the law says you must buy health insurance. Finally, he signed and yes regrettably, the Dodd Frank Bill. This act is to prevent another financial crisis among other aspects. The Wall Street Reform and Consumer Protection Act begins now, but here is the funny or not so funny part. The president signed into law a bill that is not even written in its entirety. Who in their right mind would make a law that is not even written? The sad answer is our president, the Democrat fruitcake.
Wednesday, December 28, 2011
Forecast 2012...they are all LIARS and CROOKS
The institute that declared the recession over in 2009 is full of hot air. They, like all the agencies and institutions only consider our corporate health. I say both individual and industry must breathe properly.
MEDIA
Will be a good investment this year with the elections and Olympics, but when considering individual situations, it speaks in generalities. The media will pound out more positive stories to set the public mood to develop confidence to prove that research group correct and people like me wrong. If you found work, I'm glad for you, but 14 million people will agree with me. If you have read my blog, my record speaks for itself and with that in perspective I will offer my outlook for 2012.
ELECTIONS
There will be elections in France, Russia,Venezuela and the big one in the U.S. Sadly, I think that all the incumbents will retain office. Putin, actually returns to office, but he was the power behind the president all along. Our nation has shown itself many times, most recently with the two month extension of jobless benefits and the social security tax break. Whether you agree with the new Tea Party members of Congress or not, my concern is where is their resolve? They have given up two times in a row. The first with the debt ceiling and now this. We have no leadership and the new people running always talk of change, but never do. On the other hand let Ron Paul lead the nomination process and the media gangs up on him like he is the devil in disguise(thanks Elvis). Our government owes more than it earns is the problem and it will get worse due to
BABY BOOMERS
who will be on the social security line to the tune of 4.3 million - EVERYDAY for the next 18 YEARS! This will also effect pensions and municipal bonds to which Meg Whitney may only be early with her warning.Transfer payments along with the deficit and lack of leadership will speak even louder next year. If our government were a business or individual, it would be bankrupt. I believe both political parties will speak about immigration late in the campaign. They do not really want to do anything except gather Hispanic votes. They will address all the issues in this manner, especially foreign policy and affairs, to which Iraq will be a problem along with the continuing war in Afghanistan. The way I see it our only hope is
Occupy Wall St, Arab Spring and
whatever new waves of protest forms in 2012. China keeps a lid on things at home, but they will have serious problems coming soon and of course, N.Korea has a new leader who has to pay homage to the military or he will be out. In either scenario it spells problems. All these movements are silent at the moment, but they will be back come this spring. In addition, the
WEATHER
will cause more problems. The temperature was hotter than the 1936 Dust Bowl. We had more tornadoes and severe flooding. If it continues, many global warming is a problem. In any event it will affect food to supplies to housing to which I see is in the last stage from the financial crisis. A large second wave of foreclosures will cause homes values to shrink yet again, however by early 2013 you better grab a house cheap because their will be a change in thinking. The price to replace a home will be way in excess for what is available on the market to which will begin the turn up in prices.
COAL and TRAINS
will be a great investment until CNG overtakes oil in transportation late in the decade. On the surface 2012 will be a copy of 2011, however a new revelation will take notice. We all are aware of the 1% domination, but inflation, joblessness and fear will stop the tech influence. At the moment there are more SmartPhones and IPads than people in our country and with the addition of Siri and near field communication apps, well, the buying will stop for the masses and there will be a tech-gap between the haves and have nots. The same thing happened to the music industry when kids stop buying records. Demographics will affect everything in our society. I also see
HACKING
with crime as a result. It will hit the smart phones, tablets and computers. Personally, I never understood the deal with texting. If you want to inform me, call me. Do not waste my time and money with foolish nonsense. I worry about the price of oil. Irregardless of what CPI says, oil is up and it has been around $100 all year and as a country we set a record for declining use, although the media never mentions it. It is down 6% yoy.
CNG - Long Term
By the end of this decade, compressed natural gas will be the consumer choice for transportation. It is cheaper and cleaner, but it takes time and the transition will be slow due to the lobbyists.
DERIVATIVES
are the time bomb that is running parallel to our national debt. To put this in perspective the total world GDP is $65 trillion and derivative action is in excess of $700 trillion. No one can cover a mistake and the Republicans have halted the Dobbs Finance Bill on derivatives until July 2012 which allows the UNEXPECTED to happen and "Black Swans"can happen. Bottom line: we are led by the rich who never do the right thing for the nation or its people. At the moment the dollar will regain its top spot with the Euro fear and as I stated, China has problems, however the resulting drop in gold will be your best chance to get something good out of all the chaos. Because in the end the love you take is equal to the love you make which is why I say,"END the FED!"
MEDIA
Will be a good investment this year with the elections and Olympics, but when considering individual situations, it speaks in generalities. The media will pound out more positive stories to set the public mood to develop confidence to prove that research group correct and people like me wrong. If you found work, I'm glad for you, but 14 million people will agree with me. If you have read my blog, my record speaks for itself and with that in perspective I will offer my outlook for 2012.
ELECTIONS
There will be elections in France, Russia,Venezuela and the big one in the U.S. Sadly, I think that all the incumbents will retain office. Putin, actually returns to office, but he was the power behind the president all along. Our nation has shown itself many times, most recently with the two month extension of jobless benefits and the social security tax break. Whether you agree with the new Tea Party members of Congress or not, my concern is where is their resolve? They have given up two times in a row. The first with the debt ceiling and now this. We have no leadership and the new people running always talk of change, but never do. On the other hand let Ron Paul lead the nomination process and the media gangs up on him like he is the devil in disguise(thanks Elvis). Our government owes more than it earns is the problem and it will get worse due to
BABY BOOMERS
who will be on the social security line to the tune of 4.3 million - EVERYDAY for the next 18 YEARS! This will also effect pensions and municipal bonds to which Meg Whitney may only be early with her warning.Transfer payments along with the deficit and lack of leadership will speak even louder next year. If our government were a business or individual, it would be bankrupt. I believe both political parties will speak about immigration late in the campaign. They do not really want to do anything except gather Hispanic votes. They will address all the issues in this manner, especially foreign policy and affairs, to which Iraq will be a problem along with the continuing war in Afghanistan. The way I see it our only hope is
Occupy Wall St, Arab Spring and
whatever new waves of protest forms in 2012. China keeps a lid on things at home, but they will have serious problems coming soon and of course, N.Korea has a new leader who has to pay homage to the military or he will be out. In either scenario it spells problems. All these movements are silent at the moment, but they will be back come this spring. In addition, the
WEATHER
will cause more problems. The temperature was hotter than the 1936 Dust Bowl. We had more tornadoes and severe flooding. If it continues, many global warming is a problem. In any event it will affect food to supplies to housing to which I see is in the last stage from the financial crisis. A large second wave of foreclosures will cause homes values to shrink yet again, however by early 2013 you better grab a house cheap because their will be a change in thinking. The price to replace a home will be way in excess for what is available on the market to which will begin the turn up in prices.
COAL and TRAINS
will be a great investment until CNG overtakes oil in transportation late in the decade. On the surface 2012 will be a copy of 2011, however a new revelation will take notice. We all are aware of the 1% domination, but inflation, joblessness and fear will stop the tech influence. At the moment there are more SmartPhones and IPads than people in our country and with the addition of Siri and near field communication apps, well, the buying will stop for the masses and there will be a tech-gap between the haves and have nots. The same thing happened to the music industry when kids stop buying records. Demographics will affect everything in our society. I also see
HACKING
with crime as a result. It will hit the smart phones, tablets and computers. Personally, I never understood the deal with texting. If you want to inform me, call me. Do not waste my time and money with foolish nonsense. I worry about the price of oil. Irregardless of what CPI says, oil is up and it has been around $100 all year and as a country we set a record for declining use, although the media never mentions it. It is down 6% yoy.
CNG - Long Term
By the end of this decade, compressed natural gas will be the consumer choice for transportation. It is cheaper and cleaner, but it takes time and the transition will be slow due to the lobbyists.
DERIVATIVES
are the time bomb that is running parallel to our national debt. To put this in perspective the total world GDP is $65 trillion and derivative action is in excess of $700 trillion. No one can cover a mistake and the Republicans have halted the Dobbs Finance Bill on derivatives until July 2012 which allows the UNEXPECTED to happen and "Black Swans"can happen. Bottom line: we are led by the rich who never do the right thing for the nation or its people. At the moment the dollar will regain its top spot with the Euro fear and as I stated, China has problems, however the resulting drop in gold will be your best chance to get something good out of all the chaos. Because in the end the love you take is equal to the love you make which is why I say,"END the FED!"
Thursday, December 15, 2011
Gamechanging Words for 2012...LIARS and CROOKS
Ever watch JEOPARDY? I will utilize the category concept with some new words that I feel will be front and center in 2012. I know one thing. The media loves new words because they can throw them out to confuse the public and it increases their ratings. Then, after over using them and everyone knows what they imply, they find new ones. It is all a sham to disguise and distract us from our real problems like today we heard that unemployment claims went down 19,000 to an average of 366,000, the lowest since 2008 indicating that jobs are improving. Big, big headline. Well, did you also hear today that the census bureau revealed that 1 in 2 Americans are poor or low class. That is what I'm talking about. Real serious internal problems. The first word on our list is
RE-HYPOTHECATION
Ever hear of it? It is an English law term that is similar to our term lien except in use. A lien is a block on a transaction that has to be cleared in order to execute the transaction. In commodity usage re-hypothecation means your assets can be claimed immediately for failure like for example a margin call. So, when Jon Corzine testified before Congress that he did not know where his client's missing money was located, he told the truth, probably the only one he stated. The problem is the word fiduciary. Goldman Sachs had the same problem when they secretly bet against the same CMO's that they sold to the market. Did Jon Corzine tell his client's that they could lose their money due to re-hypothecation? I bet not! The other problem is the people asking the questions. Why didn't they wrap them around the word fiduciary? Because these are the same people who receive their campaign money from the people that appear before them. They are all LIARS and CROOKS.
Our next word is
WORLD FEDERALISM
What is that, you ask? It is Helicopter Ben dropping our dollars to anyone and everyone in the world. Through the FREDDOM of INFORMATION ACT it was revealed that our Federal Reserve lent out over $7 trillion dollars during the financial crisis. That equals half of our total net worth. No wonder they did not want to be audited. Well, last week they gave away our dollars to Europe and others for basically nothing, putting Americans in jeopardy because we will pay if anything goes wrong with this out of control idiot. The bottom line is this: these people are the ones who got us into this financial mess and it is the same people with their same ideas trying to solve the situation that they created. This is why I say, End the Fed! Start a new political party that works with the concepts of Jefferson and Madison and today's environment. Oh, by the way did you hear that Steuben Glass is no more. We allow the status quo to rule with the lie of free trade and every week another American company dies. The constitution says to PROTECT the GENERAL WELFARE not the welfare of the global community. Our next word is
CYBER ATTACK
We supposedly ended the Iraqi war today, but we are building a compound that holds 16,000. What an outright lie that the government and military believes the public will swallow. In any event the real danger is on our borders, internet space and government debt.
Last year China and Russian hackers stole over $387 billion worth of corporate secrets for product development and our military leaders got us worrying about Middle East training in the dersert. But hey, they allowed the bomb to be stolen from them in the first place. Top security? Ha! Forty thousand people have died in the drug wars on our southern border and we find that one of our agencies are selling weapons to the bad guys. Security? Ha!
Finally, our debt surpassed our GDP for the year, climbs $4 billion everyday and we still have the financial housing crisis, deriveratives running wild and now, their will be a line with 4.3 million baby boomers looking to collect social security putting us deeper in debt everyday. They have no choice because their are no jobs. Government transfer payments will provide half of our economy. We'd better wake up and protect whatever is left like every nation does in the global community. Protectionism is why they are growing and we are shrinking and aging.
LIARS and CROOKS: this week it is AMR which filed for bankruptcy. This whole bankruptcy setup must be over-hauled. It is another lie and sham. The company has over $4 billion in cash and yet it says it cannot meet its obligations. Of course not! It never intended to in the first place. They never funded the pension fund for their workers. With the bankruptcy they screw their shareholders and bondholders and of course, the ratings agency gave their bonds the thumbs up. Every company seems to follow the same scenario and no regulator does anything about it. It all ends in another government program that is also out of funding. Maybe our government is planning the same thing to all of us, cause we know that they have already stole the money that was placed into the social security program. End the FED!
RE-HYPOTHECATION
Ever hear of it? It is an English law term that is similar to our term lien except in use. A lien is a block on a transaction that has to be cleared in order to execute the transaction. In commodity usage re-hypothecation means your assets can be claimed immediately for failure like for example a margin call. So, when Jon Corzine testified before Congress that he did not know where his client's missing money was located, he told the truth, probably the only one he stated. The problem is the word fiduciary. Goldman Sachs had the same problem when they secretly bet against the same CMO's that they sold to the market. Did Jon Corzine tell his client's that they could lose their money due to re-hypothecation? I bet not! The other problem is the people asking the questions. Why didn't they wrap them around the word fiduciary? Because these are the same people who receive their campaign money from the people that appear before them. They are all LIARS and CROOKS.
Our next word is
WORLD FEDERALISM
What is that, you ask? It is Helicopter Ben dropping our dollars to anyone and everyone in the world. Through the FREDDOM of INFORMATION ACT it was revealed that our Federal Reserve lent out over $7 trillion dollars during the financial crisis. That equals half of our total net worth. No wonder they did not want to be audited. Well, last week they gave away our dollars to Europe and others for basically nothing, putting Americans in jeopardy because we will pay if anything goes wrong with this out of control idiot. The bottom line is this: these people are the ones who got us into this financial mess and it is the same people with their same ideas trying to solve the situation that they created. This is why I say, End the Fed! Start a new political party that works with the concepts of Jefferson and Madison and today's environment. Oh, by the way did you hear that Steuben Glass is no more. We allow the status quo to rule with the lie of free trade and every week another American company dies. The constitution says to PROTECT the GENERAL WELFARE not the welfare of the global community. Our next word is
CYBER ATTACK
We supposedly ended the Iraqi war today, but we are building a compound that holds 16,000. What an outright lie that the government and military believes the public will swallow. In any event the real danger is on our borders, internet space and government debt.
Last year China and Russian hackers stole over $387 billion worth of corporate secrets for product development and our military leaders got us worrying about Middle East training in the dersert. But hey, they allowed the bomb to be stolen from them in the first place. Top security? Ha! Forty thousand people have died in the drug wars on our southern border and we find that one of our agencies are selling weapons to the bad guys. Security? Ha!
Finally, our debt surpassed our GDP for the year, climbs $4 billion everyday and we still have the financial housing crisis, deriveratives running wild and now, their will be a line with 4.3 million baby boomers looking to collect social security putting us deeper in debt everyday. They have no choice because their are no jobs. Government transfer payments will provide half of our economy. We'd better wake up and protect whatever is left like every nation does in the global community. Protectionism is why they are growing and we are shrinking and aging.
LIARS and CROOKS: this week it is AMR which filed for bankruptcy. This whole bankruptcy setup must be over-hauled. It is another lie and sham. The company has over $4 billion in cash and yet it says it cannot meet its obligations. Of course not! It never intended to in the first place. They never funded the pension fund for their workers. With the bankruptcy they screw their shareholders and bondholders and of course, the ratings agency gave their bonds the thumbs up. Every company seems to follow the same scenario and no regulator does anything about it. It all ends in another government program that is also out of funding. Maybe our government is planning the same thing to all of us, cause we know that they have already stole the money that was placed into the social security program. End the FED!
Wednesday, November 30, 2011
SC:Failed - Called It - Now I See...LIARS and CROOKS
The Super Committee did nothing, just as I predicted. What's more it reflects that our so-called leaders who are nothing more than rich elite, will only seek personal gain, re-election and maintaining the status quo for their perspective political parties until the next crisis arises to which they will try to achieve more of the same. The problem is the next crisis is here. It showed its face in Europe with the "new" solution to the sovereign nation debt situation. The idea is the same one that I predicted in my unpublished book which kills my internal self because I will not only not receive any credit for the warning, but my solutions to help America to answer these crooks is collecting dust along with it.
ONE WORLD ORDER
These are the super rich, mostly descendants of the aristocracy who under the concept of a One World Order for peace under their rule will help everyone. Yeah, it will bring the working men & women of the world back to feudalism with them in charge. They will have a new world currency to which the banks will dictate how much each nation can spend, on what it can spend it on and what and how much it can produce. The system uses central banks to which they have completed the first stage. The Euro is stage two. You see, last week the banks offered more money for the debt nations if they surrendered their sovereignty. This is the danger! You give up any rights to bankers who are just greedy, moral-less people seeking a return to the aristocracy and feudalism under the disguise of democracy. Please, for the sake of world freedom, just say NO!
Government Jobs
Part of the disguise to our decaying society and our declining standard of living has been the rise of government jobs. These are federal, state and local. They pay a higher wage than the private sector and a package of benefits that suggest a rising middle class which for appearances covers all bases except the Occupy Wall Street came along and soon these discrepancies will come to light. For those who understand the situation like Stephan Moore in his Wall St. Journal article points out that more Americans work for the government than construction, farming, fishing, forestry, manufacturing, mining and utilities COMBINED! Nearly half of the $2.2 trillion cost of state and local government is the $1 trillion a year for pay and benefits of its employees. By the way 37 states have pensions that are unfunded and I don't give a damn about those people even though I will feel and understand their pain. They have been taking all these years while the rest of us have suffered. Sorry, that is the way I feel about it. It is up to you to force your state to honor your benefits, not the nation.
This is the collusion that government produces that works for the One World Order scheme. The second? The lie of free trade. It is their cornerstone to cause the decay in the U.S. If and when we collapse, the rest of the world will fall into place. Europe is just paving the roadway system that our corrupt leaders will turn to when our nation faces its financial nightmare called our debt which Mayer Rothschild stated back in Napoleon's time, "give me control of a nation's money, and I care not who makes the laws."
How Do They Know
...because every time there is risk in the marketplace, it turns to the dollar. Folks, the dollar is rising because of all the risks being created in Europe and today the banks came out with their plan. You see, no one wanted to buy the dollar because of all our debt, however if and this is what I hope for, that the Euro fails then all these banks will suffer unless they have some dollars to cover their assets which will decline in relationship to the dollar. So, our Fed is supplying dollars incase they need them if all hell breaks loose in Europe. By having dollars it will balance out any loses with the Euro or in any basket of currencies. Our Fed is corrupt and it is their strength in these emergencies.
Meanwhile
...back at the ranch people are doing what these same people want them to do - consume and apparently pepper spray is the best buy in town, whether you're at Walmart, UC Berkeley or Wall Street. Did you get a rash? Try VIOXX. Oh, wait! Merck recalled it and they paid a huge fine, but admitted no guilt. Never could understand how a company can commit a felony and not close shop? The Republicans have the nerve to want no rules and regulations and yet, this stuff happens year in and out. Crooks!
And the Beat Goes On
Over 40% of the students in Detroit don't graduate. Over 50% of Hispanics don't graduate and everyone goes to Black Friday, Small Business Saturday(I like that idea)and Cyber Monday.
By the way bank prosecutions are down under both political parties tenure's. Didn't we just experience the worst financial crisis? Bernie Madoff and others? Yeah! No rules and regulations or water down whatever ones got through. This is our leaders?! ...And then, we keep the Sabanes-oxley act which only hurts small startups which results in less competition to the conglomerates and didn't prevent the disasters that Enron left us exactly ten years ago this week.
Stress Test for Banks
It's coming and isn't it funny that the Fed pushes this one day and the next, announces a world cooperation to exchange currency swaps, cutting the price to exchange money. And at the same time the rating agencies finally did their job and downgraded the banks, which our Fed counter acted upon. Speaking of the stress test, this time it is set to imagine 13% unemployment which is closer to the present situation, but will reflect a future time when they will admit it it is that high, however it will be more like 17% at that time. It's coming people. Prepare! Don't waste your money on another stupid gadget. Sorry, that is what I see coming down the pike.
LIARS and CROOKS: See Merck above or Newt Gingrich who consulted with Fannie Mae and Freddie Mac people to the tune of over $1 million and he calls the other Republican candidates doing the request of lobbyist. He is the only candidate that is clean. Ha! Get out of town! End the Fed!
ONE WORLD ORDER
These are the super rich, mostly descendants of the aristocracy who under the concept of a One World Order for peace under their rule will help everyone. Yeah, it will bring the working men & women of the world back to feudalism with them in charge. They will have a new world currency to which the banks will dictate how much each nation can spend, on what it can spend it on and what and how much it can produce. The system uses central banks to which they have completed the first stage. The Euro is stage two. You see, last week the banks offered more money for the debt nations if they surrendered their sovereignty. This is the danger! You give up any rights to bankers who are just greedy, moral-less people seeking a return to the aristocracy and feudalism under the disguise of democracy. Please, for the sake of world freedom, just say NO!
Government Jobs
Part of the disguise to our decaying society and our declining standard of living has been the rise of government jobs. These are federal, state and local. They pay a higher wage than the private sector and a package of benefits that suggest a rising middle class which for appearances covers all bases except the Occupy Wall Street came along and soon these discrepancies will come to light. For those who understand the situation like Stephan Moore in his Wall St. Journal article points out that more Americans work for the government than construction, farming, fishing, forestry, manufacturing, mining and utilities COMBINED! Nearly half of the $2.2 trillion cost of state and local government is the $1 trillion a year for pay and benefits of its employees. By the way 37 states have pensions that are unfunded and I don't give a damn about those people even though I will feel and understand their pain. They have been taking all these years while the rest of us have suffered. Sorry, that is the way I feel about it. It is up to you to force your state to honor your benefits, not the nation.
This is the collusion that government produces that works for the One World Order scheme. The second? The lie of free trade. It is their cornerstone to cause the decay in the U.S. If and when we collapse, the rest of the world will fall into place. Europe is just paving the roadway system that our corrupt leaders will turn to when our nation faces its financial nightmare called our debt which Mayer Rothschild stated back in Napoleon's time, "give me control of a nation's money, and I care not who makes the laws."
How Do They Know
...because every time there is risk in the marketplace, it turns to the dollar. Folks, the dollar is rising because of all the risks being created in Europe and today the banks came out with their plan. You see, no one wanted to buy the dollar because of all our debt, however if and this is what I hope for, that the Euro fails then all these banks will suffer unless they have some dollars to cover their assets which will decline in relationship to the dollar. So, our Fed is supplying dollars incase they need them if all hell breaks loose in Europe. By having dollars it will balance out any loses with the Euro or in any basket of currencies. Our Fed is corrupt and it is their strength in these emergencies.
Meanwhile
...back at the ranch people are doing what these same people want them to do - consume and apparently pepper spray is the best buy in town, whether you're at Walmart, UC Berkeley or Wall Street. Did you get a rash? Try VIOXX. Oh, wait! Merck recalled it and they paid a huge fine, but admitted no guilt. Never could understand how a company can commit a felony and not close shop? The Republicans have the nerve to want no rules and regulations and yet, this stuff happens year in and out. Crooks!
And the Beat Goes On
Over 40% of the students in Detroit don't graduate. Over 50% of Hispanics don't graduate and everyone goes to Black Friday, Small Business Saturday(I like that idea)and Cyber Monday.
By the way bank prosecutions are down under both political parties tenure's. Didn't we just experience the worst financial crisis? Bernie Madoff and others? Yeah! No rules and regulations or water down whatever ones got through. This is our leaders?! ...And then, we keep the Sabanes-oxley act which only hurts small startups which results in less competition to the conglomerates and didn't prevent the disasters that Enron left us exactly ten years ago this week.
Stress Test for Banks
It's coming and isn't it funny that the Fed pushes this one day and the next, announces a world cooperation to exchange currency swaps, cutting the price to exchange money. And at the same time the rating agencies finally did their job and downgraded the banks, which our Fed counter acted upon. Speaking of the stress test, this time it is set to imagine 13% unemployment which is closer to the present situation, but will reflect a future time when they will admit it it is that high, however it will be more like 17% at that time. It's coming people. Prepare! Don't waste your money on another stupid gadget. Sorry, that is what I see coming down the pike.
LIARS and CROOKS: See Merck above or Newt Gingrich who consulted with Fannie Mae and Freddie Mac people to the tune of over $1 million and he calls the other Republican candidates doing the request of lobbyist. He is the only candidate that is clean. Ha! Get out of town! End the Fed!
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